Beaumont’s 2 Year Anniversary of SCO Investigative Report
Elaine Morgan Stoped the Only Citizen at the Audit & Finance Meeting from Completing her Public Comment as did David Fenn at the SGPWA.
San Gorgonio Pass Water Agency President David Fenn stopped Judy Bingham from making a public comment statement because he didn’t want to hear a Citizen speak the truth.
Beaumont Audit and Finance Committee Chair Elaine Morgan also stopped Judy Bingham from making a public comment statement because she did not want to hear a Citizen speak the truth. There was not one other citizen attending the Meeting. Only two people were watching the meeting on the internet, and one of them was me.
The remaining Beaumont Audit and Finance Committee Meeting consisted of Beaumont Finance Director Melana Taylor talking about reports she can create as she has blabbered on for almost two years and the Committee debating if the imaginary reports might be too detailed – I kid you not.
Below is the Transcript of Judy Bingham’s Public Comment:
I had the opportunity this afternoon to attend a San Gorgonio Pass Water Agency meeting where the Directors were in essence giving themselves a $9000.00 per year raise.
I spoke up about how one of the Directors, Mr. Castaldo, who as you all know sat on the Beaumont Planning Commission and City Council for years and passed through all the developments that have resulted in the OVERDRAFT of the Beaumont Basin and that the Council members should have been indicted along with City Management.
I was interrupted by the President and later in the meeting Castaldo shared with all in the public meeting that he wasn’t indicted because the City Attorney had lied to them.
At that point I said “Read State law. Read it yourself.”
If I knew they all had conflicts of interest in 2004 and pointed it out repeatedly in council meetings; wouldn’t you have expected one of them to look up Government Code 1090?
I am telling you this story to point out that all of you are responsible for following State and Federal Laws. This is serious, but you believe whoever you want to believe, that is your choice.
But it is your responsibility to follow the law.
In the next two months government agencies throughout the State will be releasing their 2017 Audited Financial Statements. The City of Beaumont has yet to released their 2016 Audit nor has the City released the June, 2016 General Ledger. My public record request for the June 2016 General Ledger is now 16 Months Overdue.
The Federal Securities and Exchange Commission requires every government agency to maintain an Audit Committee that is responsible for hiring Independent Auditors, Approving the Audits, & overseeing the bond transactions. Beaumont is required to comply with SEC laws because the Beaumont Finance Authority has $200 Million in Bond Debt AND the Community Facilities District has $200 Million in Bond Debt.
SEC Cease and Desist Order against the Beaumont Finance Authority, Undertaking 22, requires the designation of an individual officer that will be held responsible for ensuring compliance with federal laws in an attempt to stop Beaumont’s charade of claiming that no one is accountable for fraud and the forging of government documents.
But this Committee pretends that Federal Laws don’t apply to them, only State Laws, so let’s review the California State Controllers’ Investigative Report released on November 3, 2015. We are at the 2 year anniversary of this Investigative Report.
Finding 1. “Lack of Proper Accounting and Records of Bond Issuance, Fixed Assets, and Inventory.”
Accounting for the Bonds is the first Finding because it is also of primary importance to the State. Finding 1 of SCO Report is six pages long and details the lack of proper accounting. On page 11 the City’s Response states:
“As part of the FY 2016 monthly process, all bond transactions will be recorded and monthly bank reconciliations with the Trustee bank statements will be performed by the newly hired senior accountant and reviewed and approved by the Finance Director and City Manager.”
Melana Taylor is the referenced “newly hired senior accountant” and there is no Finance Director or any other Accountants on staff.
Two years after the SCO’s Investigative Report and the City still has no Finance Department, no qualified Finance Director, and can not produce clean audited financial statements.