News 11/16/01

Richmond approves audit for new sports complex

By Nicole R. Grubbs

RICHMOND -- The City Council received only a minor blow as members reviewed the city audit report Tuesday

Richmond's new sports complex has been causing headaches for the council because it exceeded the budget. The costs for this project have left the city with a loss of nearly $170,000.

"If there is one issue in the audit, this is the one that needs to be discussed thoroughly," said Curtis Roberts, manager of Jones, Simpkins L.L.P.

"That's the fund that's giving me continual heart burn," said Mayor Kip Panter.

The budgeted cost was $64,000, which leaves the city short by nearly $103,000.

"That's a fairly significant deficit," Roberts said.

The problem isn't nearly as big as it seems, Roberts said. There are promises of money coming from a restaurant tax and the rest of the deficit will be paid by the Church of Jesus Christ of Latter-day Saints.

The restaurant tax will be paid by Cache County, but it won't give Richmond a written agreement although county officials have said it is "their intent to pay," Roberts said.

"I can't do anything, my hands are tied," he said, with regard to asking for a written agreement. "I wish I could be more help."

"Pull out your wallet," Councilwoman Leslie Erickson joked.

Even though the city will be receiving money to cover the cost of the complex, the state will ask for a corrective action plan. "If you didn't have a plan, I would be paranoid," Roberts said.

The other aspects of the audit, such as the sewer fund and the money used for construction projects, look good, he said. The sewer fund has been losing cash reserves, but the city recently added a lagoon to it. It will recover from the cash loss soon, Roberts said.

It has lost nearly $18,000 in cash, he said. "That is squat when it comes to water."

"The sewer fund is in pretty good shape," said Panter.

"Overall, the city looks to be well managed," Roberts said.

The Council unanimously approved the audit.

Councilman L.D. Bowcutt has been supervising the sports complex project and expects completion in the spring. It will be called the Cub River Sports Complex.




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