Report 2020-804 Recommendation 1 Responses
Report 2020-804: City of Lindsay: It Must Take Substantial Action to Address Its Financial Problems and Its Inadequate Management Practices (Release Date: August 2021)
Recommendation #1 To: Lindsay, City of
To address the $6.3 million it improperly transferred to its general fund, Lindsay should, by February 2022, re-establish the loans to its restricted funds, and develop and implement a plan to fully repay those funds.
6-Month Agency Response
On February 22, 2022, the Lindsay City Council approved the City of Lindsay Formal Repayment Plan FY 2022-2023 with accompanying amortization terms and schedules via Resolution 22-09 (Exhibit I).
The City wishes to note that there exists no legal finding that 1) the applicable transfers resulted in taxpayers being charged more than the reasonable cost of service, or 2) the transfers came from rate revenue.
- Completion Date: February 2022
- Response Date: February 2022
California State Auditor's Assessment of 6-Month Status: Fully Implemented
60-Day Agency Response
The City will address the $6.3 million in funds referenced and present formal repayment schedules to the Lindsay City Council by February 2022.
- Estimated Completion Date: February 2022
- Response Date: November 2021
California State Auditor's Assessment of 60-Day Status: Pending
All Recommendations in 2020-804
Agency responses received are posted verbatim.