Where’s ARPA funding? Manager says he will find it

BY TRACY LEE TATE

Times Staff Writer 

LAKE BUTLER — After lengthy citizen comments (see related story) the commission moved on to its regular business, which included the reinstatement of the interlocal agreement with Union County, which it had decided previously to not renew. 

Once commissioners were made aware that doing so would cause the city to have to fund its own law enforcement, fire protection and emergency medical services, they saw their error in failing to renew and voted last month to reinstate the agreement. 

County Commissioner Ryan Perez lent his time and support for the renewal, attending city meeting to be available for discussion. The city commissioners had already agreed that they needed to reinstate, but made it official by a 4-0 vote Jan. 17. 

City Finance Director John Sapp was not in attendance at the meeting due to his vacation so the finance report was given by City Manager Dale Walker. He reported a “big loss” in the wastewater fund for December. 

Commissioner Melissa Hendrix asked Walker where the $900,000 in ARPA money was, and Walker said he did not know but would ask Sapp when he returned. Hendrix pointed out that the city was now borrowing from itself (to fund the new Public Works facility) and had $1.3 million depleted. At the time, Walker was the only person who signed checks. She asked him if it was not part of his job to know where the money went. 

Acting Mayor Annette Redman noted that the $900,000 was already designated to go with grant funds to upgrade the lift stations for the wastewater system. 

“We have a $3.5 million grant for the new wastewater plant and the $900,000 is supposed to go with it,” Hendrix said. “Now we will have to recoup.” 

Walker responded, simply saying, “We will find it. ”

Hendrix also brought up the issue of the boat races planned for March. She said the event would cost the city $10,000 if there were no sponsors. Walker indicated that there were none. Since no contract had yet been signed with the sanctioning body that governed the races, Hendrix made a motion to not hold them and the commission agreed unanimously. 

In a related concern, Hendrix said that Walker had signed a contract with a property owner who owned a lot near the Lakeside Park to provide more parking for the event. The contract, signed by Walker without commission consideration or approval, was for $1,300 and Hendrix said she wanted the details so see if they city would owe money for the lease if the races were not held. 

The commission heard a report from Greg Land with Mittauer and Associates, the city engineers. He said the company had prepared a Florida Senate request on behalf of the city to replace the in-ground water storage tank, which dates back to 1964 and has been in need of replacement. Lang said the Senate had approved the request and provided $800,000 for the purpose, with the usual $75,000 city match not required. 

The fully funded project will replace the 200,000 tank and Mittauer will administer the project through the Department of Environmental Protection. He requested that the commission approve the project and they did so unanimously. 

The commission entered into an interlocal agreement with the Union County Supervisor of Elections Office to administer a special election to fill Seat 2 and bring the board up to full strength. The seat was held by Redman, who was vice mayor and became acting mayor when Mayor Jack Schenck resigned late last year. 

Qualifying to run for the seat will take place from Feb. 13-17, and the election will be held on April 4. The timing for the election is determined by state regulations concerning elections, giving time for ballots to be printed and mailing ballots to voters who request them. The city has several voters who are overseas in the military and time must be allowed so they can express their wishes. 

Hendrix gave a report of her findings after talking with the city auditors, Powell and Jones, an action approved by the commission at its earlier special workshop. She said she asked the auditors about several areas of concern, such as credit card usage, the uniform and shoe policies, the land swap, the ARPA funds, the apparent lack of any 1099 forms issued to Walker for the rent, fuel and vehicle the city provides him with, the cell phone charges, the employee insurance stipend and the general lack of any financial checks and balances. 

She was told that most of these things would not show up in a regular audit, but would require a forensic audit of all materials from October 2021 through December 2022. The cost to the city for this special audit would be between $6,600 and $7,700, but she was told that all the legwork she has done in assembling financial records would reduce the cost. The special audit was approved by the commission 4-0. 

Hendrix also brought up the costs of building and outfitting the new building for the Public Works Department. 

“The city has already spent $600,000 to relocate public works and now there is the cost of putting in a road for it,” Hendrix said. “I am afraid we are going to have to get a loan to pay for it. ”

The city had put the job out for bids and approved one from local contractor Darrell Williams for $119,000. The board agreed to explore the matter further at its next special meeting and City Attorney John Maines asked that the contractor be contacted to see if he would be agreeable to being flexible about when he will begin the work, possibly postponing it until next budget year. 

The next scheduled special workshop will be held on Monday, Feb. 13, and will take place in two parts. First, the commissioners will meet at 6 p.m. at the new public works facility to see what is being done and whether or not some of the plans might be altered to reduce costs. Then, at 7 p.m. the board will convene in the meeting room in the Lake Butler City Hall to conduct the workshop. Matters up for discussion at the workshop will include the budget and spending, the mowing issue and issues with the water bills being experienced by citizens.

Train program at UC museum

The Union County Historical Society will present a program on Tuesday, Jan. 31, at 6:30 p.m. at the Union County Historical Museum, 410 W. Main St. in Lake Butler. The program will be presented by Clarence Brannen, a local train historian. All are welcome to attend this interesting program.