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Local News

July 15, 2013

Audit shows decreases in receipts, disbursements for Centerville

Centerville realized a 5 percent decrease in receipts for the year ending June 30, 2012 as compared to the prior year, according to an audit released by Clive-based Certified Public Accountants Peak & Co. LLP.

The audit states Centerville’s total receipts were $6,968,373, which included $1,762,220 in property taxes, $198,567 in tax increment financing, $2,162,420 in charges for services, $1,029,844 in operating grants, contributions and restricted interest, $481,860 in capital grants, contributions and restricted interest, $531,508 in Local Option Sales and Service Tax, $3,854 in unrestricted interest on investments, $658,015 in bond proceeds, $74,560 in hotel-motel taxes and $65,525 in other general.

Centerville’s disbursements for the year ending June 30, 2012 dropped by 11 percent as compared to the prior year, the audit states.

Disbursements totaled $5,994,379 and included $1,848,550 for public safety, $816,458 in capital projects, $573,804 in public works and $1,839,015 in business type activities.

Other financial highlights from the audit show Centerville’s property tax receipts for fiscal year 2012 decreased an average of 4.4 percent, which comes to approximately $90,000.

City employees have accumulated earned but not used vacation, compensatory and personal hours based on the rate of pay in effect at June 30, 2012 of approximately $120,194.

Centerville’s contributions to the Iowa Public Employees Retirement System and to the Municipal Fire and Police Retirement System of Iowa have steadily increased since fiscal year 2010.

IPERS plan members contribute 5.38 percent of their annual covered salary and the city contributes 8.07 percent. The city contributed $56,639 in 2010, $64,485 in 2011 and $81,050 in 2012.

MFPRSI plan members contribute 9.40 percent of earnable compensation and the city’s contribution can not be less than 17 percent. The city contributed $94,290 in 2010, $125,914 in 2011 and $164,755 in 2012.

The Peak & Co. LLP audit released in June of this year uncovered questionable practices at the Centerville Municipal Airport, including lack of monthly bank reconciliations, inaccurate and incomplete accounting records and spotty petty cash fund records.

The audit found the airport does not have “procedures in place to provide assurance that all fuel bought for resale is either on hand, sold to customers, or used by the airport on airport equipment.

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