Century Audit Finds Millions In Deficits, Millions To Be Repaid, Deteriorating Financial Conditions
August 21, 2019
A draft audit shows financial conditions that are continuing to deteriorate in Century and multi-million dollar deficits.
Tuesday afternoon, Kristen McAllister of the auditing firm Warren Averett presented the draft audit for the fiscal year ended September 30, 2018, to the town council. The town will finalize responses to the findings before the audit, which was due back on June 30, is submitted to the state.
Those findings included deteriorating financial conditions, a deficit of $3 million in the general fund, a deficit of $1.5 million in the natural gas fund. The audit also found:
Financial Condition
The town’s overall financial condition demonstrates serious signs of a deteriorating financial condition. The Town has experienced several cash flow and management issues resulting in assessment of late fees, insufficient funds in the payroll bank account, delinquent payroll tax deposits, and missed debt service payments.
The natural gas fund owes the special revenue fund approximately $2.7 million. The sales tax revenues recorded in the special revenue fund are restricted for specific purposes; therefore, these funds will have to be repaid or it will be considered an inappropriate use of the restricted revenues. In June 2018, the town council approved a repayment plan of $300 per month.
“Overall factors contributing to this condition include lack of short and long-term financial planning, improper cash management activities, and lack of analysis of existing tax rates and fee structures for proprietary operations,” the audit states.
Cash Management
The Town’s cash management and control activities are weak, as evidenced by the following:
- Payroll cash account was overdrawn numerous times during the year
- Payroll taxes were not remitted timely to IRS
- Payroll checks were provided to and cashed by employees prior to the issue date on the check causing the town’s payroll bank account to be overdrawn
- Excessive late fees and interest charges incurred on credit cards
- Late and missed debt service payments by the water and sewer fund and the natural gas fund
- Town council not receiving timely information about the cash position and cash needs of the town
Credit Card Usage Policy and Receipts
The audit noted that several receipts and/or other supporting documentation for charges made to the town’s credit cards were not maintained. This practice could result in the payment of unsubstantiated expenses. Furthermore, it was also noted that the business purpose of certain credit card charges was not documented. Examples include purchases of food, fuel, and various supplies.
Capital Asset Tracking
Town assets are not properly recorded in the town’s records, creating the need for a complete physical inventory.
Budget Over Expenditures
General fund expenditures exceeded budgeted amounts by $653 thousand, which is in violation of Florida statutes. The town budgeted grant revenues and expenditures in the special revenue fund, but recorded this activity in the general fund causing the over expenditure. Without an accurate and complete budget, the council cannot effectively make the necessary financial decisions for the town.
Audit Late Again
The town’s audit is being submitted late for the fifth consecutive year. The audit was due to the state by June 30, 2019, but still has not been filed.
Unused Bank Accounts
The town maintains over 25 checking accounts. Many of the accounts were established for narrow purposes and have few transactions and small balances.
Pictured top: Century council members Sandra McMurray Jackson, Ben Boutwell and James Smith review audit findings Tuesday afternoon. Pictured below: Mayor Henry Hawkins listens as auditor Kristen McAllister presents her findings. NorthEscambia.com photos, click to enlarge.
‘Operation Sprinkles’ Collects 300 Plus Stuffed Animals For Kids
August 21, 2019
Remember the lost stuff animal Bubblegum Sprinkles that led to stuffed animal drive at a local doughnut shop? In about two weeks, over 300 stuffed animals were collected, and now they’ve been donated to local groups.
As we reported earlier this month, the stuffed animal husky named Bubblegum Sprinkles was accidently left behind at Maynard’s Donut Company on Nine Mile Road. Maynard’s knew he was something special, so they found the surveillance video of the young lady that left him behind and set out to find her on social media. That led to a sweet reunion with with 3-year old Nina English and her dad Michael.
And that led Maynard’s to launch “Operation Sprinkles” to collect the stuffed animals.
Operation Sprinkles collectd over 300 stuffed animals and passed them along to Sacred Heart Children’s Hospital, the Escambia County Sheriff’s Office and Ronald McDonald House Charities of Northwest Florida.
Photos for NorthEscambia.com, click to enlarge.
ECSO: Molino Man Hits Grandfather With An Apple, Threatens Him With Machete
August 21, 2019
A Molino man threatened his grandfather with a machete and hit him with an apple, leading to two felony charges, according to the Escambia County Sheriff’s Office.
Ricardo John Molina, 28, was charged with aggravated assault on an elderly person and batter on an elderly person. He remained in the Escambia County Jail Wednesday morning with bond set at $54,500.
The grandfather told deputies that he became involved in an heated argument with Molina, who had a machete. Fearing his safety, he said he went to his bedroom and closed the door. Molina began to kick the door, and the victim opened it briefly to tell him to stop.
In self defense, the grandfather pepper-sprayed Molina as he advanced toward him with the machete, according to an arrest report. Molina threw an apple at the victim, striking him in the chest. Molina told his grandfather “he would cut his head off”, the report states.
The grandfather refused medical treatment.
Molina stated that he did not touch his grandfather.
Century Grants Easement For Gulf Power Natural Gas Pipeline
August 21, 2019
Century is granting a permanent easement to Gulf Power for the installation of a natural gas pipeline on a piece of property the town owns on Tedder Road.
The pipeline is part of a Gulf Power project to convert Plant Crist from coal to natural gas. The proposed natural gas pipeline will run about 39 miles from the existing Florida Gas Transmission Pipeline near the Florida/Alabama border outside Century south through McDavid, Molino and Cantonment to Plant Crist on Pate Street just northwest of the University of West Florida. Over 85 percent of the proposed route would be located on existing corridors like Gulf Power transmission line corridors.
Gulf Power is paying the town $28,000 for the 50-foot easement that will temporarily be expanded to 95 feet during construction.
The entire parcel is 23.53 acres along Tedder Road just west of the Century Work camp and Elsie Davis Road. A Gulf Power high voltage electrical transmission line already traverses the property, and the natural gas pipeline will be installed parallel to and just west of the electrical line, according to town documents.
The pipeline will be at least 36 inches deep, allow the town to construct any needed driveways across the easement with the approval of Gulf Power. The parcel of land is currently mostly wooded and not used by the town for any purpose.
Escambia Man Gets 30 Year Sentence For DUI Manslaughter
August 21, 2019
An Escambia County man has been sentenced to 30 years in state prison for the death of two passengers in his vehicle last year not far the the Walmart in Ensley.
Jamie Ty Hamrick, now 29, was convicted of DUI manslaughter. He was driving south on North Palafox Street at Sharmon Street when his Honda Civic ran off the road, collided with a ditch, became airborne, hit a fence and overturned into a large oak tree about 2:50 a.m.on September 27, 2018.
Passengers La’Phontae DeWayne Lewis, 25, and Antion Wade Lindsay, 32, were ejected from the vehicle and pronounced deceased. Hamrick was not injured.
Prosecutors said Hamrick was under the influence of alcohol, Xanax and marijuana. He had a blood alcohol level of .155, nearly twice the legal limit.
Azerbaijan Visitors Learn About Escambia Extension – And The Gator Chomp
August 21, 2019
A group from Azerbaijan learned a little about football culture during a Cantonment visit Tuesday.
The group is part of the International Visitor Leadership Program and the Gulf Coast Citizen Diplomacy Council. They learned about the programs offered byUF/IFAS Escambia County Extension on Stefani Road in Cantonment, and they also learned how to do the University of Florida Gator chomp.
Photo for NorthEscambia.com, click to enlarge.
Clothes Dryer May Have Started Fire That Destroyed Gonzalez Garage
August 20, 2019
UPDATE: A clothes dryer may be to blame for a fire that destroyed a four-bay detached garage in Gonzalez Tuesday afternoon.
Firefighters arrived about 2:30 p.m. to find heavy fire in the structure on Golden Rod Road, near the former Escambia Charter School site. It took about 70 minutes to bring the fire under control, according to an Escambia County spokesperson.
An investigation determined that the fire was accidental and possibly caused by a clothes dryer.
There were no injuries reported.
Photos for NorthEscambia.com, click to enlarge.
Cantonment Truck Driver Hit By Vehicle, Critically Injured In Santa Rosa County
August 20, 2019
A semi truck driver from Cantonment that stepped out of his truck into a north Santa Rosa County highway was hit by another vehicle Tuesday morning.
Curtis Hazard, age 52 of Cantonment, was traveling east in his semi on Highway 182 near Hickory Flatts Road between Chumuckla and Allentown. He stopped his semi in the roadway, stepped out of the vehicle and hit by a Chevrolet pickup truck driving in the opposite direction at 6:01 a.m., according to the Florida Highway Patrol.
Hazard was transported to Sacred Heart Hospital in critical condition.
The driver of the pickup, 61-year old Joseph L. Trawick of Milton, was not injured.
The FHP is continuing their investigation and any charges are pending.
File photo.
Flomaton Approves Sunday Alcohol Sales As Leaders Discuss Christian Values
August 20, 2019
The Flomaton Town Council voted Monday afternoon to legalize Sunday alcohol sales as council members and the mayor stressed they were still holding to their Christian values.
“We got a mayor that says he’s a Christian; we got a councilman that he said he’s a Christian,” said councilman Buster Crapps, “and that’s good. I want to make it clear that I am too. And I don’t feel like I’m going to hell in a handbasket by voting this in because this is to help the community. We might as well get tax off of it as anybody across the (state) line gets tax.”
Council members said they want to keep tax money from Sunday alcohol sales in Flomaton instead of watching it go to Century or Atmore, all of which have legal Sunday sales.
“If Century is selling, Brewton is selling, all our people is going to do is to go to these places and buy it,” council member Lillian Dean said. “So why not us get the revenue from what the others are already selling. So we are not saying this is bad thing. This is a good thing because it is bringing revenue to this town. And we need the revenue. We absolutely do. If you as a consumer is going to another town to buy it why not just go down the street in the town that you live in and purchase it. And I see that as a good thing,” Dean said.
The council has considered Sunday sales before, with a vote failing in August and September of 2018 to ask the Alabama Legislature to approve a bill to that effect. That effort failed due to no-votes from Councilman Roger Adkinson, a deacon at the First Baptist Church. He said it went against his Christian values.
Mayor Dewey Bondurant noted that he is a Christian but said Flomaton needs tax revenue before pausing for a personal story.
“Probably nobody in this room hates alcohol more than me. I grew up in it; I saw what it can do to families,” Bondurant said. “When we get together for a reunion, which we do once a year, some of the kids I know grew up in it just like I did. And they’ve had a bad time growing up because of alcohol. That’s the reason I hate it so much. I hate smoking the same way.”
“In the meantime, we need more revenue for this town,” Bondurant said with major emphasis. “We need income. We just need income.”
The ordinance approved Monday by the council also bans alcohol consumption in public except on the premises of a licensed retailer. It also places restrictions on alcohol consumption on private property in some instances.
“It shall be unlawful for any person to consume or drink any alcoholic or malt or brewed beverage on private property or premises where the general public has access and which is open and accessible to the use and accommodation by the general public such as parking lots and other private areas which are customarily used by the public,” the ordinance states.
Pictured top: Flomaton Mayor Dewey Bondurant relates a personal story about alcohol during a special meeting of the Flomaton Town Council Monday afternoon. Pictured inset: Council member Lillian Dean. Pictured below: Council member Buster Crapps. Pictures bottom: The Flomaton Town Council votes on a Sunday alcohol sales ordinance. NorthEscambia.com photos, click to enlarge.
No Serious Injuries In Century Rollover Crash
August 20, 2019
There were no serious injuries in a two vehicle crash Monday night in Century.
The vehicles collided on Hudson Hill Road just west of Highway 29 about 10:20 p.m. One driver was treated at the scene for minor injuries, but no one was transported to the hospital.
The crash brought down power lines, leaving nine Gulf Power customers without electricity until early Tuesday morning.
The Florida Highway Patrol is investigating. The Century Station of Escambia Fire Rescue and Escambia County EMS also responded.
Photos for NorthEscambia.com, click to enlarge.
