WINONA LAKE – Clerk-Treasurer Laurie Renier read a written statement during the Winona Lake Town Council meeting Tuesday in defense of her work in her position.
The town’s finances have been a topic of concern for several months in relation to bookkeeping issues.
Tuesday, Renier said the State Board of Accounts has been conducting an audit of the town’s finances, which started in May, and it is not known yet when it will be completed.
“Because of this, there is a lot I have not been able to discuss over the past year, and maybe I’ve been overly cautious because I’ve been accused of being uncooperative, even though the council has disregarded any financial advice I’ve offered, including advice I received from the State Board of Accounts back in February that I was told was not going to be followed. There was even an argument with my chief deputy over the fact you (the council) were not willing to take that advice. I just recently learned from two council members that what I shared was never disclosed to them, at least not in the way I presented it.
“I would like to share, at least for the public to know, that the current year is not even included in the timeframe of the audit. I have repeatedly said since the first of the year that the town’s accounting system cannot accurately reflect the town’s finances because it hasn’t operated correctly since it was first established. The town has 11 bank accounts and only two are implemented in the software. There is only a slim possibility that bank reconciliations have ever been done correctly. That is why I needed a consultant’s help with the year end. Even her ability to help was hindered by discrepancies in the system. There are several corrections that need to be made in 2023. What she was able to complete was a work in progress so that we could finish the year-end and file the annual report in time,” Renier said.
In August, the council approved a consultant agreement with Retha Hicks for her to provide the town with financial duties and reporting requirements.
On Sept. 12, the council also approved an agreement with Baker Tilly for 100 hours, not to exceed $25,000, to help get the town’s books up to date from January 2023 to present.
Renier said there were significant problems she and her staff found in the past year, which were not discovered in her first year because there were people in place who had done their jobs for many years. Renier said she trusted those people were doing their jobs correctly, which she said was her mistake and takes full responsibility for the things she didn’t know.
“Since this all began, I have not been included in many conversations about the town’s finances. I have repeatedly reported these problems and asked for the help I needed to get the clerk’s office in order, as the law requires. The questions I’ve asked about spending and whether the town has money for various projects and purchases are not because I want to control these things. It is to ensure that the financial future of the town is protected,” she said. “As I’ve said, there is still quite a bit I’m not allowed to say until the audit is complete and is released to the public. It’s been a tough year to say the least, and not just for me, but also my staff and our families. It’s not just me that has fought daily to do the best for the town.”
The only comment after Reiner finished her statement was Council President Rick Swaim saying thank you.
Reiner also asked about the $3,410 bill for attorney Jack Birch to represent her earlier this year, as it remains unpaid.
She cited an Indiana code that states “a clerk-treasurer may hire or contract a competent attorney or legal research assistant on terms the clerk-treasurer deems appropriate. Appropriations for the salary of the attorney or legal research assistant shall be approved in the general budget.”
Councilwoman Ashley McGinnis said the town has a general legal fund and not one that’s allocated to the clerk-treasurer’s office. McGinnis said the bill was a personal responsibility.
Earlier in the meeting, McGinnis presented a draft of an internal controls policy. She said she took an internal controls policy from another town and modified it. She wants input from department heads and council members. She said the policy is for everyone that works for the town, but doesn’t go department by department.
Town Manager Craig Allebach said as changes are made, they need to make sure there is one master copy with all the changes. McGinnis said she’d take on the responsibility of making all the changes.
In other business, the council:
• Heard about “Winona Happenings,” which were Grace Homecoming, Oct. 6; Faith in Blue at the Pavilion, Oct. 7 2 to 6 p.m.; Symphony of the Lake at the Heritage Room, Oct. 7 at 8 p.m.; Trick or Treat on the Trail, Oct. 28 from 3 to 5 p.m.; Activities in the Park, Oct. 28, 5 to 7 p.m.; and trick or treat, Oct. 31 from 5:30 to 8 p.m.
• Approved an ordinance amending the ordinance number establishing a fund for the ice rink. The original ordinance was approved in July.
• Learned from Winona Lake Fire Department fireman Mike Cox the fire department was awarded a $5,000 grant and it will purchase 1-1/3 of two thermal imaging devices .the department is looking to purchase. The council approved the cost of $2,086.14 to help with the remaining cost.