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August 05. 2012 10:26PM
State says Bridgewater board violated law in not noting deficits
BRIDGEWATER — The state Department of Revenue Administration has informed the selectmen that they have been violating state law by not telling residents in the annual report that the town has been running a budget deficit in recent years.
“From our perspective, the town has not been in compliance with the law for several years,” said Barbara J. Robinson, the department’s director of municipal services.
The selectmen, who operate without much support staff in this town of about 1,000 people, say they will comply with the law. But they haven’t been trying to keep anything from residents, said Selectman Hank Woolner.
“We discuss the whole situation at our town meeting,” Woolner said. “There’s been no attempt to keep anything from the residents of this town by us. We tell them everything. The accountants that do the audits of the town every year know, too.”
A group of six residents, led by Donald Jacques and Donna Olszak, wrote to the department on June 11 asking for a determination on the town’s lack of mention in recent town reports of the budget deficit.
The town has been running budget deficits in all but two years since 2004, Olszak said, including a deficit of just under $40,000 in 2010.
“The town annual reports always indicate to the people that we are in good financial shape,” she said. “We have never been told we are in a deficit.”
In a return letter to Olszak and the other five residents, Robinson said the DRA has been aware that the town hasn’t reported deficits in its annual report, and state officials have told town officials of the problem.
“At a minimum, RSA 41:9, IV requires that all municipalities must publish the general fund balance sheet in the annual report or post it at the annual meeting. Financial Reports submitted to the Department of Revenue Administration have reported the town of Bridgewater’s balance sheet in a deficit position for year-end 2008, 2009 and 2010,” Robinson wrote.
“Through correspondence, we informed the town that RSA 41:9, V requires the selectmen to place a warrant article on the next warrant to recommend to the voters action they deem appropriate to reduce the deficit. That has not been done.”
Robinson said the DRA has sent letters to the town about the issue. “We would do that any year we find a deficit not reported in a town’s annual report,” she said.
dseufert@newstote.com
“From our perspective, the town has not been in compliance with the law for several years,” said Barbara J. Robinson, the department’s director of municipal services.
The selectmen, who operate without much support staff in this town of about 1,000 people, say they will comply with the law. But they haven’t been trying to keep anything from residents, said Selectman Hank Woolner.
“We discuss the whole situation at our town meeting,” Woolner said. “There’s been no attempt to keep anything from the residents of this town by us. We tell them everything. The accountants that do the audits of the town every year know, too.”
A group of six residents, led by Donald Jacques and Donna Olszak, wrote to the department on June 11 asking for a determination on the town’s lack of mention in recent town reports of the budget deficit.
The town has been running budget deficits in all but two years since 2004, Olszak said, including a deficit of just under $40,000 in 2010.
“The town annual reports always indicate to the people that we are in good financial shape,” she said. “We have never been told we are in a deficit.”
In a return letter to Olszak and the other five residents, Robinson said the DRA has been aware that the town hasn’t reported deficits in its annual report, and state officials have told town officials of the problem.
“At a minimum, RSA 41:9, IV requires that all municipalities must publish the general fund balance sheet in the annual report or post it at the annual meeting. Financial Reports submitted to the Department of Revenue Administration have reported the town of Bridgewater’s balance sheet in a deficit position for year-end 2008, 2009 and 2010,” Robinson wrote.
“Through correspondence, we informed the town that RSA 41:9, V requires the selectmen to place a warrant article on the next warrant to recommend to the voters action they deem appropriate to reduce the deficit. That has not been done.”
Robinson said the DRA has sent letters to the town about the issue. “We would do that any year we find a deficit not reported in a town’s annual report,” she said.
dseufert@newstote.com
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