Riverside residents petition for state audit

One hundred and thirty-four residents of Riverside signed a petition to have the city audited. The petition was presented to the Riverside City Council at its meeting Monday night. At that same meeting, the council voted 3-1 to have certified public accountant Ann M. Menke of West Point perform the city?s four-year audit.

Councilors Todd Yahnke, Rodney Waldschmidt and Kevin Kiene voted in favor of the resolution. Councilor Ralph Schnoebelen voted against it.

The petition asked that the city receive an audit from the state auditor?s office. Susan Battani, director of the financial audit division in that office, said the petition requires that the city perform an audit. However, according to Chapter 11.6 of the Iowa Code, the petition does not require the state to perform the city?s audit. The city may choose to be audited by the state or by a certified public accounting firm. Battanti said the city of Riverside has fulfilled this obligation by entering into an agreement with Menke, and thus will not be audited by the state. She said the state auditor?s office will continue to monitor the city to ensure its audit is completed on time.

When Menke?s audit is complete, the residents of Riverside may petition for a re-audit. The petition would need 100 signatures. It would go to the state auditor?s office. That office would decide if a re-audit were warranted. If so, the state would perform the re-audit. The state auditor, who is currently David Vaudt, would decide whether a re-audit is necessary.

The residents? petition requesting an audit this year coincides with the city?s regularly scheduled audit. Residents may petition for an audit any year. If the petition results in an audit, the city must be audited again no less than four years from that audit. The frequency of mandatory audits is a function of a city?s size. Some cities are required to be audited every year. In Riverside?s case, it must receive an audit every four years.

The city?s contract with Menke asks her to audit the city?s past four budget years, which begin with the 2007-2008 fiscal year and end with the 2010-2011 fiscal year. In her proposal, Menke estimated that her fee would be between $7,500 and $9,500. She agreed to complete the audit before Nov. 1.

Riverside resident Larry Simon presented the audit petition to the council Monday. He said an audit was called for because the city has a new employee in Missy Carter, the utilities billing clerk. Carter was hired in January.

?We have hired a new employee here not too long ago,? said Simon. ?Anytime I?ve ever been around, there is always some sort of audit done so that they?re starting on square one when they come in. It?s for this young lady?s protection and to keep everybody honest.?