Daniels: Budget constraints in Greenfield financial office make it difficult to stay in legal compliance
By
Brandy Chandler-brandychandler@gmail.com
Former Greenfield Finance Director Karen Daniels said her resignation this week was prompted by the lack of resources that have been made available to the finance office, which makes it difficult to keep the office in legal compliance.
Daniels told The Highland County Press that she has enjoyed working for the people of Greenfield, but that with the small staff and resources, it was difficult to perform office functions required by the Ohio Revised Code. "Without additional staffing, no one can meet the responsibilities and legal requirements of this office. This is not about me. This is about the work that needs to be done and in the taxpayers' best interest," Daniels said.
"I certainly have appreciated the opportunity that I have had in being appointed, elected and then appointed the position of auditor/finance director of the City of Greenfield," Daniels wrote in an email to The Highland County Press. "In recent years, financial cuts were needed to be made in consideration of the financial condition of the city, particularly the general fund. At that time, the auditor’s office was the first to take a reduction in personnel in staff, going from a staff of three to a staff of one. The office was also broadened to include oversight of the income tax office and the water and sewer utilities billing office. I understood that this particular action was needed and I was promised staffing would be restored when funds became available. I was and have been willing to take on the additional responsibilities in order to keep the city moving forward on a day-to-day basis and also keep the city in compliance with Ohio’s revised code, which include local, state and federal compliance. These duties include budget and cash controls, purchase order processing, payables, receivables, payroll processing, personnel benefits, and most importantly compliance to the Ohio Revised Code of reporting, i.e., audits, and of course balancing of funds and accounts."
The workload, she said, was also increased due to a conversion of new software at the end of 2010.
"In 2008, the city was notified that the current software system used for finance and payroll system used would no longer be supported and an update would need to be installed by the end of 2010," Daniels said. "The purchase of necessary software was made and paid for in 2010. The office is in process of this conversion. This, too, has added an additional workload."
The city of Greenfield has been through significant changes and financial difficulties in recent years. In 2008, a voter initiative changed the form of government from the mayor/council municipality to the current structure with a five-member council and appointed city manager.
In 2009, a more-than-70-percent decrease in tax revenue decimated the city's budget. Daniels ultimately projected an end-of-year cash balance of $60. Unexpected property tax income boosted the cash balance, but the city made significant budget cuts in order to maintain a balanced budget. Earlier in 2009, four firefighters and three police officers were laid off, and two administrative positions were eliminated. In November 2009, voters approved a 5.5-mill property tax levy to fund the Paint Creek Joint Fire and EMS District, which eliminated the Greenfield Fire Department.
While finances continued to be tight through 2010 and 2011, the revenue stream is improving. However, officials continue to be frugal with the budget. In December 2010, the Greenfield City Council, at the recommendation of City Manager Betty Bishop, voted to increase the salary of Daniels and of Greenfield Chief of Police Tim Hester. Hester received $1.90 per hour, at a total additional cost of $5,103.57. For Daniels, it is a raise of an additional $4.73 per hour, for a total additional cost of $11,948.74. Bishop had stated that most Greenfield employees are underpaid compared to their counterparts in other cities and villages and suggested the raises because Hester and Daniels each manage employees who make more than they do.
"The income stream has been restored to support the much-needed additional staffing requirements," Daniels said. "The administration has been notified that funds are now and have been available to restore at least one entry-level position back to the auditor’s office and that this position is gravely needed to perform the duties of the auditor’s office. This additional staffing will be needed to assist whoever holds this office. Yes, funds are tight in several departments, but funds are available and have been available in the general fund since third quarter 2010. General funds support this office. General funds are and have been available, but not appropriated to support an entry level position to assist this office prior to year-end. Additional staffing to support the taxpayers is a necessity to keep this office in compliance. The role of an auditor/finance director is the lifeline to every successful city or village. It must be funded."
The Greenfield City Council will meet Tuesday, May 17 in council chambers, during which Bishop will make a recommendation for an interim finance director. Bishop told The Highland County Press that the recommendation will be an internal appointment, and that the city will advertise for the permanent position.
"I have appreciated and truly enjoyed working for the citizens of Greenfield and would have continued to do so with additional assistance," Daniels said. "Without additional staffing, noone can meet the responsibilities and legal requirements of this office. This is not about me. This is about the work that needs to be done and in the taxpayers' best interest. Given this complex situation, this certainly has not been as easy decision for me to make."
Former Greenfield Finance Director Karen Daniels said her resignation this week was prompted by the lack of resources that have been made available to the finance office, which makes it difficult to keep the office in legal compliance.
Daniels told The Highland County Press that she has enjoyed working for the people of Greenfield, but that with the small staff and resources, it was difficult to perform office functions required by the Ohio Revised Code. "Without additional staffing, no one can meet the responsibilities and legal requirements of this office. This is not about me. This is about the work that needs to be done and in the taxpayers' best interest," Daniels said.
"I certainly have appreciated the opportunity that I have had in being appointed, elected and then appointed the position of auditor/finance director of the City of Greenfield," Daniels wrote in an email to The Highland County Press. "In recent years, financial cuts were needed to be made in consideration of the financial condition of the city, particularly the general fund. At that time, the auditor’s office was the first to take a reduction in personnel in staff, going from a staff of three to a staff of one. The office was also broadened to include oversight of the income tax office and the water and sewer utilities billing office. I understood that this particular action was needed and I was promised staffing would be restored when funds became available. I was and have been willing to take on the additional responsibilities in order to keep the city moving forward on a day-to-day basis and also keep the city in compliance with Ohio’s revised code, which include local, state and federal compliance. These duties include budget and cash controls, purchase order processing, payables, receivables, payroll processing, personnel benefits, and most importantly compliance to the Ohio Revised Code of reporting, i.e., audits, and of course balancing of funds and accounts."
The workload, she said, was also increased due to a conversion of new software at the end of 2010.
"In 2008, the city was notified that the current software system used for finance and payroll system used would no longer be supported and an update would need to be installed by the end of 2010," Daniels said. "The purchase of necessary software was made and paid for in 2010. The office is in process of this conversion. This, too, has added an additional workload."
The city of Greenfield has been through significant changes and financial difficulties in recent years. In 2008, a voter initiative changed the form of government from the mayor/council municipality to the current structure with a five-member council and appointed city manager.
In 2009, a more-than-70-percent decrease in tax revenue decimated the city's budget. Daniels ultimately projected an end-of-year cash balance of $60. Unexpected property tax income boosted the cash balance, but the city made significant budget cuts in order to maintain a balanced budget. Earlier in 2009, four firefighters and three police officers were laid off, and two administrative positions were eliminated. In November 2009, voters approved a 5.5-mill property tax levy to fund the Paint Creek Joint Fire and EMS District, which eliminated the Greenfield Fire Department.
While finances continued to be tight through 2010 and 2011, the revenue stream is improving. However, officials continue to be frugal with the budget. In December 2010, the Greenfield City Council, at the recommendation of City Manager Betty Bishop, voted to increase the salary of Daniels and of Greenfield Chief of Police Tim Hester. Hester received $1.90 per hour, at a total additional cost of $5,103.57. For Daniels, it is a raise of an additional $4.73 per hour, for a total additional cost of $11,948.74. Bishop had stated that most Greenfield employees are underpaid compared to their counterparts in other cities and villages and suggested the raises because Hester and Daniels each manage employees who make more than they do.
The 2010 census numbers showed that Greenfield lacked the required 6,000 residents in order to be considered a city. It is currently undergoing a conversion to a village status, which some people say could result in a significant loss of funds.
The 2010 census numbers showed that Greenfield lacked the required 6,000 residents in order to be considered a city. It is currently undergoing a conversion to a village status, which some people say could result in a significant loss of funds.
"The income stream has been restored to support the much-needed additional staffing requirements," Daniels said. "The administration has been notified that funds are now and have been available to restore at least one entry-level position back to the auditor’s office and that this position is gravely needed to perform the duties of the auditor’s office. This additional staffing will be needed to assist whoever holds this office. Yes, funds are tight in several departments, but funds are available and have been available in the general fund since third quarter 2010. General funds support this office. General funds are and have been available, but not appropriated to support an entry level position to assist this office prior to year-end. Additional staffing to support the taxpayers is a necessity to keep this office in compliance. The role of an auditor/finance director is the lifeline to every successful city or village. It must be funded."
The Greenfield City Council will meet Tuesday, May 17 in council chambers, during which Bishop will make a recommendation for an interim finance director. Bishop told The Highland County Press that the recommendation will be an internal appointment. However, once the conversion is made to village status, law director Brian Zets believes that the position will change to village treasurer, which is an elected position decided on by voters. Bishop said that he is seeking legal opinions from the state, and she will continue to update council on the matter.
"I have appreciated and truly enjoyed working for the citizens of Greenfield and would have continued to do so with additional assistance," Daniels said. "Without additional staffing, noone can meet the responsibilities and legal requirements of this office. This is not about me. This is about the work that needs to be done and in the taxpayers' best interest. Given this complex situation, this certainly has not been as easy decision for me to make."