Follow the money … if you can.
The Town of Apple Valley (TOAV) says there are $31 million in the treasury with $4.3 million in a bank account at very low .35% interest (why, and is this collateral for something?), plus 31 CDs at about 2% interest, but do they exist and why is each in a far-term future ladder? AV Energy is getting a $2.5 million loan by April 1st. The RDA records are declared lost and $15 million cannot be explained to the California Department of Finance for reimbursement. Liens against properties for this year are $377K plus other years remaining unpaid numbers, Unfunded pension liabilities will soon be going from $8 million toward $16 million. Why are books maintained for PBID, VVEDA, etc.? Warrants and payrolls at $6 million/month can exhaust this treasury soon and cash position will continue to decline quickly as it cannot be sustained.
Where are listings of all millions of debt (COP, P&R ($7 million) Golf Course ($2 Million?), etc.) and all the $7+ millions of transfers each year already made and those that need to be paid back? What are the reserve balances in the general fund, and each of the other funds under the control of TOAV Council? The Town recently settled litigation involving paying back $798K from the general fund to waste water fund. The Town also needs to pay attorney fees for both sides in two publically-announced cases which may amount to payments totalling $100+K.
Is there any government oversight overseeing the local government? There are obviously several sets of books being secretly maintained and stored. Any copies being protected? Is KISS principle used at all in Town’s financials (“Keep It Simple …”)? Based on my review, this picture is unacceptable from many aspects. Is Council going to do “due diligence?”
Al Rice, Apple Valley