Independent auditor Gary Bailey was challenged directly Monday evening - “You couldn’t find nothing?” - and he continued to deliver his message.
That being, “It was a good year.”
In 2022, Bailey stunned the Clinton City Council with an audit that showed City financial reserves were dwindling and its operating income was $1 Million underwater.
At the City Council’s Jan. 5 meeting, Bailey provided a document that shows that same operating income, now, is $3.2M to the good.
“We have certainly come back from some dire times the past few years to where we are now, and I see us going to continue to do really good things; and I appreciate the good work that everyone has done as well as the support of council,” Mayor Randy Randall said.
Bailey’s firm, Love Bailey Associates, produced a City of Clinton audit report that is unmodified, meaning a clean report with no findings of flaws in the internal controls and no recommendations for changes in the accounting procedures. A separate audit was required on the funds that the City has asked FEMA* to reimburse because of Hurricane Helene’s devastation.
“You did a really good job with the accounts,” Bailey said of City Finance. “Everything we needed to see was there. A few years back it wasn’t the case; we’re in a much better shape now.”
“You couldn’t find nothing? Everything was perfect?” Council Member Anita Williams challenged.
“Last year I would have complained that your liquidity was too low in the utility fund and you increased that; but, no, I thought you did a really good job. I haven’t been able to find any issues that we need to bring to you,” Bailey said.
Williams asked, and City Manager Joey Meadors agreed to, to have the audit posted on the City website for citizens’ inspection. “We’ve had issues and stuff with neighboring cities but we want to be transparent and accountable to our citizens,” Williams said.
Meadors said that transparency, and other issues, would be part of a Thursday night called council meeting related to an update of the City’s Strategic Plan.
Bailey said the City has money in reserves to pay down debt, make capital expenditures, and perform maintenance — “you have righted that ship,” he said. Salaries and benefits make up 71% of the expenses in the city government operations budget, and power purchases make up the bulk of the city’s utilities budget. The government operations fund has 108 days of operating money on hand in case a man-made or natural emergency interrupts the flow of cash into the city (90 days is the recommendation).
“You are in a strong liquidity position,” Bailey said.
In Utilities, he said, “It was an equally great year, revenues are up.” The utilities have cash reserves to go 89 days in case revenues were to be interrupted; last year, that number was 34 days.
“There are no internal control findings. The city had a really good year. You bounced back from some down years in ’23 and ’24. Great job,” Bailey said. “The budget was approved and maintained. Joey (Meadors, city manager) and Carl (Stevens, finance director) held to the budget and put the city in a great position.”
In other business, Council heard about a noise complaint related to 1777 Gary Street, and a Police representative spoke one-on-one with the citizens who made the presentation to council. Members were given a rousing “thank you” from students and parents of The Zone for a local community grant that allowed for a summer feeding and education program.
Council adopted proclamations - January as Birth Defects Prevention Month and Blood Donor Month in the City of Clinton.
By wards, council members presented residential Christmas Decorations Awards and the business award was presented to All-State Hayden Copeland - winners get a $50 credit on their next electric bill.
Council approved a new RS-2 zoning designation for high density single-family residential, and adopted its every-six-months ordinance to suspend the blue laws (allowing businesses that want to, to open on Sundays without restrictions). Council re-appointed Michael Stoddard, Steven Laird and Harold Nichols to the Design Review Board - a candidate for Ward 6 position is considering accepted an appointment.
“I want to thank Susan Tallman for her service,” Council Member Megan Walsh said. “This is a volunteer thing people do to serve on this (board), and people were jarred by recent comments to the DRB due to recent events and we appreciate them for their work.”
“It is thankless work, but very necessary,” Randall said.
Council authorized Meadors to sign a lease with Laurens County providing office space in the MS Bailey Municipal Center to the Laurens County Department of Social Services. Local DSS moved into the building Nov. 1 following a renovation that cost $1.769 Million (the State provided $1.5M of that amount).
Stevens’ monthly financial report indicates the city has a $1M fund balance, and that figure is remaining stable.
“Thank you to finance and the staff for the audit we just received,” Mayor Pro-Tim Danny Cook said. “It is remarkable and outstanding for our city. No weaknesses or findings is pretty rare in any audit. Thank you to the City and Main Street for a wonderful Christmas. It was well-received, and have a safe start to the new year.”
*FEMA = Federal Emergency Management Agency
The Jan. 5 Council meeting here.
