Allentown City Council Votes For Financial Study

At their June 20 meeting, Allentown City Council approved Ed Zucal's motion for a financial study, including a forensic audit of some accounts. This is to ensure there are no more hidden debts waiting to ambush them. The sole No vote came from Jenn Mann acolyte Courtney Robinson.

This is really needed. Earlier this month, Finance Director Brent Hartzell told Council that its debt service is already too high to justify any more long-term debt. The City had a $8 million deficit in 2016, which climbed to $10 million in 2017. The City is expected to run $5 million deficits for the next five years.

When he interviewed for Mayor, Nat Hyman  said pretty much the same thing.

This explains why former Allentown Mayor Edwin "Fed Ed" Pawlowski was so anxious to run for Governor, then Senator.

Councilperson Zucal; June 20, 2018 Motion under Old Business:

Given the fact that we had some discussion about doing a financial study during a presentation from a representative from the state: I make a motion to establish committee of council, consisting of the Chairperson of the Budget and Finance Committee, two additional councilpersons as appointed by the President or agreed upon by City Council, and the Clerk; and that they  consult with selected city staff on an as needed basis, to draft and release an RFP by August 8, 2018; and such audit might include but not be limited to examining the following as determined by the committee and council:

This motion is being made to show transparency between city government and the citizens of Allentown; and to remove any doubt that might be placed on the current council and incoming Mayor Ray O’Connell in regard to any unknown hidden financial debts the city may have had without their knowledge.  

1. Financial and Management audit.
2. Long-term financial obligations – Post Retirement Benefits, long term pension costs, etc.
3. Forensic audit of specific accounts – for example: capital projects and their reconciliation, determination of cash balance, topics as determined by council.
4. Identify available cash including bank balances and cash flow issues going forward.
5. Collective bargaining review.
6. Review of service level and delivery or services.
7. Identify potential non-essential services.
8. Options for reducing cost of services.
9. Options for raising revenue.
10. Make use of funding available through the EIP.