By: robjamco | Original Article at Patch.com
Regarding the Press-Enterprise endorsement of all three Beaumont Council incumbents
To P-E Editorial Board, (Sent to the P-E)
Your use of blatantly false statements as a basis for endorsing the
three incumbent candidates for Beaumont City Council is baffling and is
not supported by the facts.
Your claim: “Beaumont boasts sound finances”
The facts: The City’s outside Auditing firm finds…..
Material Weakness:
2013-1 Deficit unassigned fund balance in general fund
Significant Deficiencies:
2013-2 Deficit cash balance in general fund
2013-3 Deficiencies in internal control over cash receipts
2013-4 Deficiencies in internal control over cash disbursements
2013-5 Bank reconciliations not prepared and reviewed timely
Your claim: “Beaumont has ample reserves”
The facts: The City’s outside Auditing firm finds…..
“The City’s Governmental Activities had a deficit unrestricted net
position of $32,707,527 and General Fund had a deficit unassigned fund
balance of $6,866,481 at June 30, 2013. It is uncertain whether the
$21,500,000 advances to the Beaumont Successor Agency will be
collectible due to the dissolution of the Redevelopment Agency. It is
uncertain if the City will be able to reduce the deficit without
additional revenue sources or expenditure cuts. In addition, the City
does not currently have the financial resources to pay the WRCOG TUMF
settlement in the amount of $42,994,879 plus interest and fees”.
Your claim: “among the most fiscally sound (Cities) in California.”
The facts: The City’s outside Auditing firm finds….
“Funds with deficit cash balances are borrowing cash from capital
project funds. In the event that the City does not obtain cash flows to
support operations, the City could become insolvent.”
. The rebuttals above are not my opinion, rather just a small fragment of the public record available at:
(City Audit Internal Controls Reports 2012-13) http://www.ci.beaumont.ca.us/D…
I strongly urge you to retract your endorsements based on the
deliberate mistatements from your sources of information. Shame on you
for perpetrating this deception.
R Conlogue
Beaumont, Ca