Wednesday, April 6, 2011

Emergency Funding Passed, Transition Proposed

Notice posted on mail room door at City Hall.

At Monday's special meeting, the City Council passed a resolution authorizing an "emergency appropriation" of $58,000 aimed at supporting the Recreation and Purchasing Divisions through the June 30 end of the 2011 fiscal year.

The move averted an April 15 scheduled layoff of staff in the two divisions, but council members then questioned what will happen as FY 2012 begins July 1. Normally, the city would have the first three months of the new year to work on introduction of the 2012 budget while using funds equal to 25 percent of the 2011 budget to operate the city.

Speaking by phone, Chief Finance Officer Ron Zilinski mentioned a six-month "transition year" budget to bring the city back to a calendar year budget as it had before a 1991 change. Zilinski said in the short term people would be kept to the end of the fiscal year and through the six-month transition year.

Then it can be decided whether or not the city needs the Purchasing Division, he said. In answer to a question from Councilman Adrian Mapp, who first proposed that Purchasing could be folded into the CFO's office, Zilinski said after the calendar year it could become part of his office, but a qualified purchasing agent would be needed.

Zilinski was hired in 2010 after state officials threatened to fine both the mayor and each council member $25 daily for failing to appoint a chief finance officer after three entire years without one. The CFO post is one mandated by the state, but after former CFO Peter Sepelya retired at the end of 2007, no replacement was named.

Zilinski, retired last year from a finance post in Trenton, was only hired after the city passed a salary ordinance for the title of city treasurer and agreed to let him have that title with a 28-hour work week. When Mapp pressed for dissolving the Purchasing Division and adding the responsibility to Zilinski's office, the mayor gave the council a letter from Zilinski saying it would be a burden and she hinted that he might quit if the duties were added to his office. If so, she said, she would expect the council to pay her $25 a day penalty for not having a CFO.

On Monday, Councilman Cory Storch questioned how the city could change to a calendar year. Zilinski said he had some preliminary budget projections for the transition period and the calendar year and said, "It looks like it is a good idea for the City of Plainfield."

Storch asked what the city would have to do and Zilinski said a resolution and ordinance would be needed "probably very soon," prior to July.

Numerous fiscal year municipalities have recently changed back to a calendar year.

Before the vote on the emergency appropriations, Mapp said he could not support it because no statutory emergency existed. He had suggested transfers in May for the two divisions. Storch said he would support the resolution but believed the city could have provided the services "with or without these funds."

Storch noted that through past layoffs, other divisions have managed to operate and noted the financial struggles many taxpayers are suffering. To say that the city could not manage Recreation or Purchasing, he said, was "completely untrue."

"The timing will only make things worse next year," he said.

The city will enter the 2012 fiscal year with what Zilinski projects as a $3.5 million shortfall.

Storch once again called for cooperation between the administration and governing body, but said, "I don't see that cooperation coming from City Hall."

At the vote, the measure passed 5-1-1, with Vera Greaves, William Reid, Bridget Rivers, Storch and Council President Annie McWilliams voting "yes," Rebecca Williams voting "no" and Mapp declaring himself "present but not voting."

--Bernice Paglia

7 comments:

  1. I hope everyone does some research. Having a "normal" fiscal year just makes sense and puts the city in line with the state and feds.

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  2. No it does NOT !!! The entire pupose [and hidden expenses involved in it ... remeber creative accounting days i.e. Enron era] was to get the City on the same wave length as the State. Mark my words, the 6 month budget will COST the taxpayers more than 1/2 [half] a normal budget year.

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  3. So the council voted 5-1-1 to restore funding for Recreation and Purchasing. Excuse me, but why did they vote to defund those departments in the first place? Politics as usual.

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  4. To 3:15pm. How does it get the City on the same wave length of the State when the City continually holds up the budget because the State does not release its relief number to the City until November? We are told that the reason we cannot get the budget approved by July 1 is because we have the wait until the November number?

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  5. To 4:16 p.m.: The city did not apply at all last year because municipalities had to agree to certain conditions about spending and also explain their policies or efforts on shared services, etc. The previous year the Memorandum of Understanding for their $250,000 in state aid included a ban on food at meetings and various other constraints. I doubt the administration will ask for state aid ever again if they have to curb their enthusiasm for spending on non-essentials.

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  6. Love it - doubt the administration will ask for state aid ever again if they have to curb their enthusiasm for spending on non-essentials.

    LOL...you made me chuckle Bernice !! Even if you are one of the 4 supposed Horseman of the Apocalypse per "The Scarlet Chicken"

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  7. Miss Bernice,
    I was ate city hall and noticed that the reception desk in the hallway blocks thw World War Memorial of our fallen heros. This is totally disrespectfull to the memorial proper protocal dictates that nothing be placed infront of it etc

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