Council grilling on audits: finance staff and city administrator pressed on reserves, cash and leadership

Councilors spent a sustained portion of the Sept. 22 meeting pressing city administration and finance staff about recent audit restatements, the status of pooled cash, and what multiple members described as gaps between previously reported general‑fund balances and current cash availability.

Council member (name given in roll call) asked the city administrator, Tracy Douglas, whether she believed the $25,000,000 general‑fund balance presented during the FY27 budget presentation was accurate. Douglas replied that the figure reflected the most recent auditor‑verified balance but that the auditors had since redistributed amounts among accounts, making the current available pooled cash lower than the prior audited presentation.

Council member (identified in the transcript) announced, during the Q&A, that he would "move to amend the agenda to add terminating employment with our current city administrator" at the Oct. 12 meeting and said he would consult the city attorney about whether that session would be open or closed. Douglas responded that if her employment had become a distraction, she would "absolutely respond to the will of the council."

Why it matters: The exchange made clear the council expects greater clarity on cash balances, fund accounting and the timeline for hiring interim CPA support. Staff told the body they are seeking an interim contract CPA firm in October and will provide finance updates at upcoming meetings.