Accounting records and other public records must be maintained in a manner that will support accurate financial statements.
OVERDRAWN CASH BALANCES
The cash balances of the following funds were overdrawn in 2004:
FUND & AMOUNT OVERDRAWN
General- $2,897,556
Motor Vehicle Highway- $221,546
Local Road and Street- $181,407
Law Enforcement Continuing Education- $23,720
Unsafe Building- $57,608
Indiana Housing Board Rental Rehabiltation- $11,428
Reserve Liability- $34,491
TIF Park East Industrial- $50,110
Medical/Drug Fund- $72,653
The cash balance of any fund may not be reduced below zero. Rountinely overdrawn funds could be an indicator of SERIOUS FINANCIAL PROBLEMS which should BE INVESTIGATED by the governmental unit.
APPROPRIATIONS
The records presented for audit indicated the following expenditures in excess of budgeted appropriation.
FUND & EXCESS AMOUNT EXPENDED
General- $1,037,578
Motor Vehicle Highway- $285,788
Local Road and Street- $356,564
Park Nonreverting- $6,916
Ambulance Runs- $6,916
Park Cumulative Building- $277
Indiana Code 6-1.1-18-4 states in part "...the proper officer of a political subdivision shall appropriate funds in such a manner that the expenditures for a year do not exceed its budget for that year as finally determined under this article."
The citizens of New Albany are concerned about the findings in the 2004 City Audit. Why is Mayor Garner saying there is no need for further investigation?
