Entries Tagged 'Audit' ↓

City of Sioux Falls Meetings, Dec 6-8, 2021

Audit Committee • 4 PM • Monday 6th

• Update on External Audit of City’s 2021 Financial Statements by Eide Bailly, LLP

• Annual Risk Assessment

• 2022 Proposed Audit Plan

Sioux Falls City Council Informational • 4 PM • Tuesday 7th

• Engineering Design Standards Updates

• 2021 Crime Trends & Statistics by Police Chief Jonathan Thum (So now the City Council is finally getting a presentation yet still NO links to the Power Point presentation).

Sioux Falls City Council Regular Meetings • 6 PM • Tuesday 7th

Item #6, Approval of Contracts,

Sub Item #7, RR Crossing Improvements, $82K (I would assume this has to do with some of the development going on with the RR Redevelopment. I recently had a few beers with a business fellar who works closely in this industry that flat out told me any major changes to rail traffic through this area MUST go thru the FEDS.)

Sub Item #11, Zoo design for Lion exhibit, $482K (I find it curious this is going thru Parks and Rec. So now our parks budget is being used to ‘Design’ things for the Zoo. Just think of using this money for actual improvements to our FREE parks system?)

Sub Item #17, (you will notice this has to do with a payout to the Chamber for BID taxes since the separation from the CVB that NO ONE in the media wants to talk about. There is also NO mention of the dollar amount).

Item #40, 2nd Reading, the mysterious alcohol licensing fees.

Item #47, 2nd Reading, Fire sale for parking lot for UN-affordable housing DTSF.

Item #50, 1st Reading, approving new districts in Sioux Falls

Item #53, Resolution taking money from streets to the Facade Core Revitalization Program, $120K, but who is it going towards?

Sioux Falls Parks Board Meeting • 4 PM • Wednesday 8th

Ironically, this meeting is being held at the Overlook Cafe at the same time as the CRC meeting. How convenient? There is one item on the agenda that sparked my interest under ‘New Business’;

Sanford Parking Agreement – Don Kearney

Not sure what this is about, but maybe it has something to do with the soccer and ball fields they are building right now?

Charter Revision Commission • 4 PM • Wednesday 8th

Well, well, well. It seems the CRC has decided to move this meeting back to 4 PM instead of 3:30 PM like last month. I wonder why? There seems to be a lot more agenda items this time around . . . this will actually be a really interesting meeting. While I support Kirby’s ideas about the mayor, I don’t support rank choice. But it really doesn’t matter because the CRC will KILL all of these proposals anyway.

Sioux Falls City Council Agenda, Oct 4-6, 2021

The City Council and other boards have a full agenda this week;

• The Audit Committee has finally released some audits, been awhile. On Spectra (the people who provide concessions to several city owned entertainment facilities) they found a ton of non-compliance especially with insurance requirements. On the Midco Aquatic Center they have seen an over 50% drop in attendance since 2019 and around a 40% drop in revenue. They were also non-compliant on several fronts and like the Spectra Audit it seems our own Finance Department is not doing regular checks of compliance. For Travel expenses there was several instances of non-compliance. $137,000 travel reimbursements paid directly to travelers (city employees). Many of these results don’t surprise me. I have said the City Manager (The Mayor) is running a rudderless ship and when you have a poor city manager, it results in poor management under that person.

• The Planning Commission has decided to go full rogue by putting every single item on the consent agenda this month. Now items can be pulled for discussion by the Commission or Individuals from the public but I find this startling considering that all items are recommended for approval by the Planning Department and I am sure several Commission Members will recuse due to conflicts. Folks, this is what true cruise control government looks like. I am still puzzled why we even have a Planning Commission.

• The Charter Revision Commission will continue to review the Charter.

• City Council Informational will review building code changes.

• City Council Regular Meeting;

On the contracts and agreements (Item 6) in sub items 17-18 they are paying this consulting firm out of Florida to do this?

And of course sub item #38 where we are reviewing the Human Relations Commission.

The Bunker Ramp is going to bite us in the rear

The Audit Committee of Sioux Falls meets tomorrow, and they have some precarious recommendations about the Parking Enterprise Funds.

As you can see our debt service is extremely high (mostly due to an ill-advised Bunker Ramp). There is even suggestions that parking employees work in other departments.

This is what happens when supposed leaders make very bad decisions. Will we ever learn?

How is the new Minnehaha County Treasurer doing?

I haven’t heard anything concrete, but the rumor is since Swanson took over it is pure chaos. I guess she has been admitting to employees that she in over her head. This is what happens when you elect someone based on the letter behind their name instead of qualifications. Just look at our State Legislature who continues to write bills to enrich themselves and friends while taking freedoms from us.

Swanson had ZERO management experience and from what I am hearing, doesn’t really know what goes on in the treasurer’s office. I could have guessed this after reading her Facebook posts that were incomprehensible.

I guess the Auditor’s office isn’t much better, he isn’t fairing well either.

Folks, this is why one-party rule hasn’t worked for us.

Sioux Falls City Councilor Greg Neitzert and the suspicious ‘blue line’

Have you noticed the blue dotted line between the Operations Committee and the Internal Auditor?

Why is there a dotted line?

Is the Mayor assigning supervisory roles on the City Council?

If Greg is reelected on Tuesday, is he planning to “supervise” the Internal Audit office?

Hmmmmmm.

City of Sioux Falls 2019 COMPREHENSIVE ANNUAL FINANCIAL REPORT

This financial report was released yesterday after the Audit Committee Meeting yesterday.

2019 CAFR DOCUMENT

Remember, this is just a ‘review’ of our financial statements. This is NOT a forensic or investigative audit. In other words they are not digging around for fraud or blatant waste, they are simply looking to see if the actual accounting the city has done matches the statements. A cakewalk for any outside independent auditor.

I have argued for a long time that the city needs to start from zero with their budgeting at least every 3-5 years. That is NOT what occurs now. City departments basically take the budgets from the year before and tweak them. It’s lazy and and wasteful. I also think an investigative audit needs to be done every 3-5 years to look for fraud but most importantly wasteful spending.

This laziness (and greed) is one of the reasons our taxes and fees continue to grow at an astronomical rate. I think the city should run a tight ship that only spends on essential infrastructure and FREE quality of life (like parks). I also think they need to balance their budget each year. If the budget started from ground zero each year, you would see a lot more savings and fiscal restraint. This of course would require city directors, the mayor, and the city council to work at it, and together. I know, lofty goals 🙂

Sioux Falls Audit Process for 2020 loaded with Conflicts

Just when you think we can start having real discussion without conflicts of interest or just conflicts, we have the Chair of the Sioux Falls Audit Committee Greg Neitzert pouring more salt into the wounds. On December 2nd and 17th of 2019 Neitzert proceeded to highlight the recent monster mistake he made having a closed selection process for the Council’s Internal Audit manager. Now watch how he also is having to clean up the mess now encompassing 4 (count them) four possible ethics complaints being filed or other possible repercussions. Looks like being a little autocratic is like being a little bit pregnant? 

He told us we were wrong to question his process, guess who was really wrong, again?

The Bunker Ramp, the gift that keeps giving

So we hire someone with (several) conflicts of interest and we have to make new ordinances to tamp them down. Dumb.

Guidelines for dealing with conflicts of interests between auditors and city staff who oversee parking first need to be in place, said Councilor Greg Neitzert, who chairs the city’s audit committee.

“First we need to get the conflict of interest policy in place. Then you can start the process of who’s going to run point on (an audit),” Neitzert said. 

When Shana Nelson was hired as internal audit manager for the city last year, officials stated then that should the parking system ever be audited, Nelson wouldn’t be a part of that work. Nelson is married to Sioux Falls Parking Manager Matt Nelson.

Gee, Councilor ‘Friends and Family Plan’ wasn’t this brought up when we were basically moving Shana from one department to another? It seems we will never get to the bottom of what the Hell is going on with the parking department and Bunker Ramp.

I’m not sure a policy needs to be in place, maybe we should just hire someone who doesn’t have a conflict. Though I will admit that I have been impressed with Shana’s professionalism in the audits she has presented so far. Maybe she really is a ‘Rock Star’?

I have also been made aware that Greg pulled this from his sanitized butt and other councilors/members on the audit committee had no idea he was going to propose this and first found out about it reading the article.

Like the hiring of Nelson, I guess Greg thinks the audit committee is his little dictatorship. It’s good to be King.

Councilor Stehly gets it done without even voting

As I have mentioned in the past, Councilor Stehly has gotten a lot of things done without the votes, but by just simply putting on pressure.

She did it again this afternoon at the Audit Committee Meeting.

She asked for several things from the podium during the 2020 Audit Plan presentation;

• An external audit of the Parking System (Theresa mentioned that she found it odd that the city wants to keep building or subsidizing parking ramps downtown yet wants to sell off flat parking lots).

• An audit of the CMAR (Construction Manager at Risk) process.

• Travel expenses of city staff (I guess that during the current administration, city directors and staff, and mostly the mayor, have been taking a lot of ‘junket trips’ but not really giving a report to the public as what they are doing on the trips. Recently TenHaken put up a short column about his trip to China, but never really told us what was really discussed. We also get a lot of updates on FB from the Innovation Manger and all the different cities he has been drinking in.

• A study of City Director salaries in comparison to other cities. Something I pointed out the last time the HR department did a wage study, but did NOT include city directors. How convenient.

The committee argued the merits of all the items. Councilor Brekke mentioned that maybe the city council budget analyst could look into the last two items and do a presentation on those findings – which I agree.

Audit Manager Nelson suggested that the CMAR audit would have to be done externally due to it’s speciality of the audit.

But they got into a long discussion about the external parking ramp audit. Councilor Kiley said he didn’t want to put it on the audit plan because they are in the middle of litigation, but other members argued that there was nothing wrong with putting it on the agenda, and if they have to pull it in the future, they can. The amendment to add it passed with Kiley and Chair Neitzert voting against it. Councilor Stehly doesn’t sit on the committee so she couldn’t vote on it.

T.J. TypeOver said they won’t audit it until it is done;

T.J. Nelson, deputy chief of staff in the mayor’s office, said City Hall isn’t opposed to a review of the parking system or the ramp, but not until the ramp project is complete and the dust settles on any lawsuits surrounding it.

“The administration will complete a comprehensive review of the process that led to the prior approval of this project by the Huether administration. This will take place following the ramp’s completion and resolution of any outstanding legal matters,” he said. “At this time, the administration supports a financial or construction audit consistent with the time frame outlined above.”

Yeah, after we have f’d up in every possible way we can, then we will tell the public how that f’k up occurred. WHAT!? Wouldn’t it be wise to figure that out BEFORE we move ahead with another developer or even litigation? Wouldn’t this help our case? Sometimes I wonder if putting money in a burn barrel would be a better way to spend money then paying city communication staff.

There was also a presentation on the Landfill Audit. There was a lot of problems going on out there where basically employees were not following procedures and not doing proper inspections. You can listen for yourself. My view is the city is missing out on a lot of landfill revenue due to the laziness of the employees. I think they were warned about these things in past audits. I think it is time to start handing our pink slips, then maybe they will get the picture.

Chair Neitzert mentions at the end they are going to start the process of hiring another staff auditor (which they do need). I wonder if this time they will actually put an employment ad in something besides Tidbits and the City Hall’s lunchroom?

PUBLIC TRANSIT MEETING

I still haven’t heard all the details of what happened, but I guess a committee member got a little irate about how the public is being left out of the decisions they are making. More to come.

Sioux Falls City Councilor Neitzert ManSplains what our internal auditor does