Los Angeles Times Article
Editor’s Note: If anyone in local government thinks the world is not watching Modoc County, we suggest they take a look at a recent article in the Los Angeles Times in which Modoc County’s misappropriation of treasury funds is mentioned. Perhaps more importantly, the article confirms coverage by the Modoc County Daily News blog that the State Controller’s Office is also watching Modoc County.
http://www.latimes.com/news/local/la-me-01-26-bell-state-20110126,0,6623584.story
Wednesday, January 26, 2011
Newspaper Requests Release
Of Misappropriation Claim
The editor of the Modoc Independent News yesterday, Jan. 25, formally requested that the Board of Supervisors publicly release materials containing information about the county’s misappropriation of treasury funds.
Ray A. March appeared before the board during the public comment portion of the supervisors’ regular meeting asking that Chair Shorty Crabtree make public documents the board possesses that reveal who was responsible for improperly taking an estimated $20 million purportedly to off-set deficits at the Modoc Medical Center.
The board took no action on March’s request, nor did any of the supervisors comment. However, during a recess Crabtree said he opposed the release of the information because he did not think the public was entitled to see it.
When pressed, Crabtree said he would consult with former District Attorney Gary Woolverton and County Counsel John Kenny as to whether the document should be made public. Neither Woolverton or Kenny were present at the board’s meeting.
A claim against performance bonds insuring public officials such as the Board of Supervisors, chief administrative officer and other bonded department heads, has the potential of seeking an estimated $10 million in damages through the county’s insurance policy, according to Woolverton who drafted the claim.
Woolverton, while district attorney, declined to release the claim or specifically discuss its contents. (See Modoc County Daily News blog, Dec. 9, 2010).
County officials, including Pam Randall, assistant chief administrative officer, have not responded to the newspaper’s request to inspect the county’s insurance policy. Trindel Insurance Fund, a joint powers authority representing Modoc County and other northern California counties, has also refused to release any information.
This is not the first time the monthly newspaper and its daily blog has encountered resistance in obtaining public documents from Modoc County officials.
The First Amendment Coalition successfully obtained the personnel records of CAO Rick Rudometkin, but only after repeatedly advising Kenny that it would seek remedy in the courts under the California Public Records Act.
March’s request in full:
“I am Ray March, editor of the Modoc Independent News and its sister publication Modoc County Daily News blog. I’m here this morning to respectfully ask that the Board of Supervisors release to us for our inspection a copy of the document commonly known as the claim against performance bonds.
“We believe the release of this material is mandated under the California Public Records Act. It is our contention that the board chair has the discretionary authority to order the immediate release of this document to us, and in doing so waive any search and copy fees.”
Of Misappropriation Claim
The editor of the Modoc Independent News yesterday, Jan. 25, formally requested that the Board of Supervisors publicly release materials containing information about the county’s misappropriation of treasury funds.
Ray A. March appeared before the board during the public comment portion of the supervisors’ regular meeting asking that Chair Shorty Crabtree make public documents the board possesses that reveal who was responsible for improperly taking an estimated $20 million purportedly to off-set deficits at the Modoc Medical Center.
The board took no action on March’s request, nor did any of the supervisors comment. However, during a recess Crabtree said he opposed the release of the information because he did not think the public was entitled to see it.
When pressed, Crabtree said he would consult with former District Attorney Gary Woolverton and County Counsel John Kenny as to whether the document should be made public. Neither Woolverton or Kenny were present at the board’s meeting.
A claim against performance bonds insuring public officials such as the Board of Supervisors, chief administrative officer and other bonded department heads, has the potential of seeking an estimated $10 million in damages through the county’s insurance policy, according to Woolverton who drafted the claim.
Woolverton, while district attorney, declined to release the claim or specifically discuss its contents. (See Modoc County Daily News blog, Dec. 9, 2010).
County officials, including Pam Randall, assistant chief administrative officer, have not responded to the newspaper’s request to inspect the county’s insurance policy. Trindel Insurance Fund, a joint powers authority representing Modoc County and other northern California counties, has also refused to release any information.
This is not the first time the monthly newspaper and its daily blog has encountered resistance in obtaining public documents from Modoc County officials.
The First Amendment Coalition successfully obtained the personnel records of CAO Rick Rudometkin, but only after repeatedly advising Kenny that it would seek remedy in the courts under the California Public Records Act.
March’s request in full:
“I am Ray March, editor of the Modoc Independent News and its sister publication Modoc County Daily News blog. I’m here this morning to respectfully ask that the Board of Supervisors release to us for our inspection a copy of the document commonly known as the claim against performance bonds.
“We believe the release of this material is mandated under the California Public Records Act. It is our contention that the board chair has the discretionary authority to order the immediate release of this document to us, and in doing so waive any search and copy fees.”
Modoc County Audits:
A Guarded Diagnosis
 |
| Left to right, David Showalter, Roger Alfaro, Kevin Pulliam |
The auditors spoke in couched language much like doctors who use medically technical terms because they are uncomfortable breaking bad news to a terminally ill patient.
By example, they said Modoc County is in jeopardy as a “going concern,” which refers to the county’s ability to remain financially solvent and avoid bankruptcy.
They noted that the county’s general fund ended the year $381,087 in the red.
They wrote in their report, “The county is currently in a severe financial crisis. For several years the county has utilized the investment pool (treasury) to finance deficit spending relating primarily to the Modoc Medical Center. To finance its ongoing operations, the county has utilized cash balances from other unrestricted and restricted funds, and external pool participants.”
The various symptoms the audit threesome from Vavrinek, Trine, Day (VTD) laid before the board included the county’s long history of fiscal misappropriation, a woeful lack of training and accountability within county departments and the fact that until only recently Modoc County did not follow accepted standard government accounting practices -- failing to comply with Governmental Accounting Standards Board (GASB) or Generally Accepted Accounting Principles (GAAP).
This absence of accounting practices, which VTD’s Roger Alfaro explained euphemistically as “no written policies or procedures,” is one of the reasons why the auditors could not give an opinion on the 2008 audit.They could not verify the opening equity balances because the closing balances for 2007 did not match the opening balances for 2008.
VTD identified 44 “material weaknesses,” a standard accounting term which when reported by an auditor suggests that a misstatement could occur. Undetected and unresolved, a material misstatement could eventually appear in the county’s financial statements which would impact its fiscal viability and credibility.
Included in the list of 44 in addition to the deficiencies previously noted are -- budget, year end closing, capital assets and infrastructure, information technology, segregation of duties, personnel and payroll, disbursements, cash collections, interest apportionment, authorized signatures, reconciliation, cash flow monitoring, long term debt, leases, fraud prevention, pensions, trust funds and inter fund transactions.
To view the entire list go to www.modoccounty.us
The auditor also gave a qualified opinion on fiscal year 2009, meaning either the information provided in the audit is not complete or the county’s accounting methods did not follow GAAP, Alfaro said.
Excluded from the qualified 2009 opinion were three areas -- capital assets because of inadequate records, inventory because the auditors could not identify inventory balances and compensated absences such as leave time, memorandums of understanding (MOU’s) and bargaining units.
-- Barbara March
Monday, January 24, 2011
Ruby Stop Work Order
Vya Work Camp Unaffected
Although an injunction and stop work order have been issued on a portion of the Ruby Pipeline a company spokesman has informed the Modoc County Daily News blog that the Vya worker’s camp is not affected by the injunction.
Jan 14 the U.S. Court of Appeals for the Washington, D.C. Circuit issued an administrative stay on construction from milepost 509.9 to 549.9 (Spread 5) in Nevada, according to an El Paso Corp. representative.
El Paso termed this “a routine response to an emergency motion…filed by the Summit Lake Paiute Tribe,” stating the Federal Energy Regulatory Commission (FERC) is named as the respondent and that “the stay is standard administrative procedure to allow the court time to review and, in this case, seek agency comments.”
The El Paso spokesman said the stay does not affect the project moving forward, because it covers an area where they do not yet have a Notice to Proceed from the FERC or the Bureau of Land Management. However, archaeological crews have reportedly been taken off the job in the disputed area.
The FERC responded to the court Jan. 19, arguing that the petition sought by the Summit Lake Paiute Tribe should be denied. Ruby intervened and filed an opposition brief with the court. A court of appeals ruling is pending.
Vya Work Camp Unaffected
Although an injunction and stop work order have been issued on a portion of the Ruby Pipeline a company spokesman has informed the Modoc County Daily News blog that the Vya worker’s camp is not affected by the injunction.
Jan 14 the U.S. Court of Appeals for the Washington, D.C. Circuit issued an administrative stay on construction from milepost 509.9 to 549.9 (Spread 5) in Nevada, according to an El Paso Corp. representative.
El Paso termed this “a routine response to an emergency motion…filed by the Summit Lake Paiute Tribe,” stating the Federal Energy Regulatory Commission (FERC) is named as the respondent and that “the stay is standard administrative procedure to allow the court time to review and, in this case, seek agency comments.”
The El Paso spokesman said the stay does not affect the project moving forward, because it covers an area where they do not yet have a Notice to Proceed from the FERC or the Bureau of Land Management. However, archaeological crews have reportedly been taken off the job in the disputed area.
The FERC responded to the court Jan. 19, arguing that the petition sought by the Summit Lake Paiute Tribe should be denied. Ruby intervened and filed an opposition brief with the court. A court of appeals ruling is pending.
Audits Posted on County Website
Editor’s Note: Anyone wishing to see the state-ordered audits of Modoc County’s financial record-keeping for 2008 and 2009 can do so by going to www.modoccounty.us. On the home page there is a line “Recent Audit Documents.” Just click on that and you can access the audits.
Editor’s Note: Anyone wishing to see the state-ordered audits of Modoc County’s financial record-keeping for 2008 and 2009 can do so by going to www.modoccounty.us. On the home page there is a line “Recent Audit Documents.” Just click on that and you can access the audits.
Modocians Go International
Editor's Note: Thanks to an alert reader it has been brought to our attention that Modoc County has made the pages of "Economist" magazine, referencing Gov Brown's recent budget press conference at which he made the Modoc and Alameda county quip.
http://www.economist.com/node/17906049?story_id=17906049&CFID=160334358&CFTOKEN=74056926
Editor's Note: Thanks to an alert reader it has been brought to our attention that Modoc County has made the pages of "Economist" magazine, referencing Gov Brown's recent budget press conference at which he made the Modoc and Alameda county quip.
http://www.economist.com/node/17906049?story_id=17906049&CFID=160334358&CFTOKEN=74056926
Alternative Crops in Surprise Valley?
Surprise Valley Grange
Surprise Valley Grange
presents
Rob Wilson
Friday, Jan 28, 6:00
Cedarville Senior Center
Bring a potluck snack to share
Rob will give an over view of the Farm Advisor’s role in Modoc County and discuss the potential for alternative crops in Surprise Valley
Presented by the
Cedarville Senior Center
Bring a potluck snack to share
Rob will give an over view of the Farm Advisor’s role in Modoc County and discuss the potential for alternative crops in Surprise Valley
Presented by the
Surprise Valley Grange
For details call 530/ 279-2099
For details call 530/ 279-2099
Subscribe to:
Posts (Atom)