#1 2011-04-14 23:50:26

Globe wrote:

Spending is on hold until audit is finished

By Christine Legere
Globe Correspondent / April 14, 2011

Wareham officials are postponing all monetary decisions for next fiscal year until the end of May, in order to give an outside auditing firm an opportunity to put the town’s financial affairs in order.

As it stands, the town’s two top financial officers — the treasurer and the accountant — have a $919,000 difference of opinion over Wareham’s bottom line.

Town Meeting reconvenes on April 25 with a warrant that includes various requests for funding, but officials say any consideration of such matters as the municipal budget or capital expenses for fiscal 2012 will be postponed until late next month.

Sullivan and Powers, a Wakefield-based accounting firm, pinned the blame for the discrepancy on the town accountant’s office, in a draft report on fiscal 2010 finances released two weeks ago.

The auditors said there were several “journal entries’’ in the accountant’s general ledger during the year that reflected her effort to reconcile the books and make the numbers agree, without accompanying data to account for the deductions.

“The town has lost the ability to ensure that key assets and revenue sources are adequately safeguarded,’’ the draft audit report said.

The firm will now go back and try to track down which entries were not made in the general ledger — a task being done at additional cost to taxpayers. The discrepancy may date back several fiscal years, the auditors said.

Town accountant Elizabeth Zaleski, meanwhile, was fired by the town administrator five days after the auditors’ draft report was unveiled, making her the second accountant to be drummed out of that position in as many years.

It’s not that anyone is thought to have absconded with municipal funds, officials said. But there is grave concern over the lack of bookkeeping clarity when millions of dollars are being handled annually.

“Nobody walked into the treasury and left with a wheelbarrow full of money,’’ said Town Administrator Mark Andrews. “The records in the treasurer’s office match the bank statements.’’

That made the town accountant’s office the focus, he said, and the auditors found that personnel there had failed to record all expenditures when the office should keep a running tally of the in-and-out flow of cash.

Andrews said he is confident Sullivan and Powers will make considerable progress in straightening out the books by May 1. That would allow plenty of time for officials to fine-tune the fiscal 2012 budget prior to Town Meeting in late May.

“I’ve put in place a full recovery plan,’’ Andrews said. “I am acting as the town accountant while also functioning as the town administrator.’’

Zaleski did not return a call for comment.

Her lawyer, meanwhile, has contacted Andrews, arguing that his client cannot be fired without a public hearing, under the town’s charter.

While that hearing would most likely be scheduled in the coming days, the lawyer, John Clifford, said he doesn’t believe his client can expect objective treatment. He said Andrews notified the media of his actions through a press release before Zaleski even received her certified notification letter.

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Yahoo! Buzz ShareThis .Clifford said minds appeared made up: “Mrs. Zaleski was fired based on a draft,’’ he said. “In his letter to Mrs. Zaleski, Mr. Andrews says he ‘intends’ to fire her, but in the press release he says she’s fired. We don’t know if she’s fired or not.’’

Former selectmen chairwoman Jane Donahue, who chose not to run again in last week’s annual election, said Zaleski took the hit for mistakes made long before her time. “She inherited a hornet’s nest,’’ Donahue said.

Wareham has been in a financial mess as far back as 2001, said Donahue, who was a member of the town’s Finance Committee at the time.

“It’s a matter of record that when the Department of Revenue came in and did a financial management review in 2001, there were serious concerns,’’ she said. Those concerns have never been fully addressed, Donahue said.

In a second management review of Wareham’s financial practices, conducted two years ago and available on the agency’s website, the Revenue Department attributed some of the town’s failed financial practices to a lack of continuity in leadership. The town had gone through seven town managers in 10 years, the department noted.

Regardless of past problems, however, some town officials argue a discrepancy of $919,000 is certainly grounds for Zaleski’s termination.

Selectwoman Cara Winslow, in office now for a year, said she had assumed that all accounting shortcomings pointed out by Powers and Sullivan in its fiscal 2009 audit had been addressed. The firm completed its review of fiscal 2009 last June, and immediately began its audit of fiscal 2010.

“Then I found out one of the biggest issues wasn’t being addressed,’’ Winslow said, of the $919,000 accounting discrepancy in fiscal 2010. “If you made that kind of mistake, would you expect to have a job? I feel badly that I sat there for the last year and accepted everything. The citizens of this town deserve better.’’


Globe: Spending is on hold until audit is finished

Last edited by DDPTRO (2011-04-14 23:55:45)

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#2 2011-04-15 01:26:20

Christine Legere, Boston Globe wrote:

Selectwoman Cara Winslow, in office now for a year, said she had assumed that all accounting shortcomings pointed out by Powers and Sullivan in its fiscal 2009 audit had been addressed. The firm completed its review of fiscal 2009 last June, and immediately began its audit of fiscal 2010.

“Then I found out one of the biggest issues wasn’t being addressed,’’ Winslow said, of the $919,000 accounting discrepancy in fiscal 2010. “If you made that kind of mistake, would you expect to have a job? I feel badly that I sat there for the last year and accepted everything. The citizens of this town deserve better.’’

Sticking the nut of a news account at the bitter end is known in the trade as a buried lede.

Psst.... Should we remind Cara and Steve why the fuck we elected them?

Ladies and germs, they're both lost causes. Let's recall every elected Wareham office holder, this time with the state counting our ballots. The citizens of this town deserve better.

Last edited by billw (2011-04-15 01:28:06)

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#3 2011-04-15 06:14:04

Once again, the incompetence of the hypocrite elite leads to embarrassing headlines for Wareham.  Will this town ever be free of the incompetence of the hypocrite elite?

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#4 2011-04-15 06:23:33

Funny how the tin hats claim that everyone else before them was bad.  They can say what they want, but town meeti g was never delayed due to massive amounts of unaccounted for money before their arrival.  This happened under their watch, under the ta and accountant they chose.  My god, this town will go bankrupt before the hypocrites are through.

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#5 2011-04-15 07:25:24

GuyIncognito wrote:

Once again, the incompetence of the hypocrite elite leads to embarrassing headlines for Wareham.  Will this town ever be free of the incompetence of the hypocrite elite?

Not as long as the replacements we elect claim they're our pals, turn a blind eye for a calendar year to the frauds we've told them they'll find and approve it anyway.

Steve Holmes and Cara Winslow have found religion? I'm not buying it. They're either grossly incompetent or they're also lying. Amounts to the same thing. Recall them all.

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#6 2011-04-15 08:11:19

Interesting how a Town has to continue Town Meeting because of the inability to balance the books, but, your brilliant TA must have a plan, and isn't too concerned, because he can pay a Police Chief almost as much money as the Boston Police Commissioner.

I have no doubt that Andrews, with his many years experience as a TA and accountant and financial wizard will pull Wareham out of the hole and will devise a wonderful plan to recapture to shortfalls that exist and are coming.

To celebrate his brilliance, there will be a sunset viewing at the newly opened Swifts Beach to watch the pigs fly by. Bruce, of course, will be the MC and will ensure that each pig is tagged properly.

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#7 2011-04-15 08:24:51

Wednesday night at the FinCom meeting Andrews was asked about hiring a town accountant his response after being asked twice and 20 minutes of BS was NO.... he could do it..

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#8 2011-04-15 08:54:01

I am not trying to be funny. I really am confused. I was brought up in a world where people went to church, cared for their neighbor and for the most part followed the rules. How does one fight a group of people willing to sell their soul? They lie, cheat and steal (at least through over payment in salary to the in group and maybe more). I don't know how good can triumph when we have rules and they don't.

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#9 2011-04-15 10:37:24

Menrva wrote:

I am not trying to be funny. I really am confused. I was brought up in a world where people went to church, cared for their neighbor and for the most part followed the rules. How does one fight a group of people willing to sell their soul? They lie, cheat and steal (at least through over payment in salary to the in group and maybe more). I don't know how good can triumph when we have rules and they don't.

WE keep on!! WE keep exposing the lies, coverups and false/lack of information. Follow what is in our hearts and do the right thing. Anyone who knows me knows I am stubborn and I will NOT give up and will fight till my last breath!!!

Hang in there you are NOT alone...

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#10 2011-04-15 12:44:03

Thanks Liz. That was great. I can see why people rally 'round you.

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#11 2011-04-15 13:58:08

I love you, Liz.

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#12 2011-04-15 23:09:12

I feel the same way you do Menreva.  There are times when it seems hopeless to try to fight for the town against people who see compliance with the law, ethics, and basic principles of morality as optional.

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#13 2011-04-16 21:00:56

Thanks, Liz.........I'm hanging in there & I am not leaving Wareham.

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