Ava City Council convened on Tuesday evening for their regular bi-monthly business meeting. During the session an overview of the city’s annual audit report was presented by Wayland Mueller, senior accountant with Davis, Lynn & Moots, P.A. of Springfield, Mo.
Mueller said the city had received a clean opinion on the audit, and that was “the best you can get”.
In the overview, Mueller cited several financial highlights:
• The net assets of the city’s governmental activities decreased by $133,782 as a result of current year activities.
• The net assets of the City’s business-type activities increased by $728,970 for the year.
• City assets exceeded liabilities as of June 30, 2011, by $10.3 million (net assets) Of this amount $2,873,157 was unrestricted and may be used to meet future City obligations.
• Total long term liabilities of the City increased by $483,822.
Recommendations suggested in the audit were noted as:
• The city was out of budgetary compliance in two funds, a setback that happens when predicting the use of funds;
• There is a need to establish a depository agreement with a bank, and set up a dual authorization on money transfers.
• To continue to maintain and fine tune the purchase order process and system.
• To implement a system where the bank statement is received and reviewed by two separate employees.
• Staff receiving cash amounts should not be the one to reconcile the bank statement.
The audit in compliance was applicable for the year ended June 30, 2011.
During the meeting, the contract between the City of Ava and the Ava Area Chamber of Commerce was renewed for a six-month period, beginning January 1, 2012.
The agreement stipulates the city will pay the Chamber $13,800 over a six-month period, as long as the Chamber fulfills certain tasks on behalf of the City of Ava. Job responsibilities require the Chamber to serve as a liaison for the City, and promote the area and interests of the business community. Tasks include supplying information for economic development purposes and to support business growth in the area.
The Chamber is also responsible for compiling statistical data and informational packets that may be used as promotional material for the county.
The agreement was approved as presented.
The board also adopted a sewer collection system maintenance plan, a requirement associated with the elimination system permit recently issued to the City of Ava by the Missouri Department of Natural Resources (DNR).
According to Janice Lorrain, DNR requires the City to have a maintenance and repair program in place for the collection system.
The deadline for submitting the plan is January 3, 2012.
City Attorney Larry Tyrrell presented the Municipal Court Docket for review by council. The document was approved as given.
Monthly bills were also approved for payment.
Councilmen in attendance were Ric Engelhardt, Judy Lovan and Bill Long. Burrely Loftin was absent.
The next meeting slated for Tuesday, Dec. 27, was canceled due to the Christmas holiday.
The Ava Board of Aldermen will reconvene on Tuesday, Jan. 9, 2012.
