|The financial and accounting elements of the utility's management are consistent with the assessment completed in November 2006. There is a mixture of manual and computerized procedures using QuickBooks Pro 2006 accounting software. There was a form of a budget for the water/sewer utility; however, was not sure if it had been adopted and entered into the QuickBooks program and the year-to-date revenue and expense data needed for monthly financial reports was not readily available. Without this information, accurate reports were not available for review by the council. This also made it difficult to know if the utility is receiving sufficient revenues to cover operating expenses.
During the assessment, it was discovered that the water utility was not current with paying their electric bill. A significant amount is owed, and the balance has remained unchanged for some time, indicating the water utility has not been billed for the at least the last few months. In addition, the amounts that had been billed per month exceeded the budgeted amount for water utility electric for the whole year. The administrator did say that some of the residents are now on the new POWERSTAT (pre-pay) system and the rest of the community would eventually be put on the system. This action would help in collecting past due balances. She also stated that there was a plan to use an outside agency to do collections since there was a problem with collecting present and past due balances. This is something to be discussed at the next council meeting. There is a washeteria service operated from the water building with unreported revenues at this time.
At this time there are no revenues available for repair and replacement costs, nor have funds for this been budgeted or set aside. Year-to-date revenue and expense data was not available, so it is unknown whether revenue and spending are above or below budgeted levels. The administrator just took over three weeks prior to this assessment, which meant that there is no written manager's report and very limited briefings to the council.