Those of us who know John Musolf, know him to be an intelligent man with a vast knowledge on financial matters. On a number of occasions, John has attempted, unsuccessfully, to convey some of his knowledge to the Oro Valley Town Council. At one recent meeting, from his "perch", Terry Parish went so far as to denigrate John after his enlightened 3 minute presentation as allowed by the council.
John has written us concerning the GOVAC financial situation. Please take the time to read his message
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"I attended an Oro Valley Town Council Study Session on December 12, 2007 where the Greater Oro Valley Arts Councill ("GOVAC") discussed the organizational direction, special events, and recommended funding levels with the Council. There was no opportunity for the public to comment on the GOVAC presentation that evening.
I attended the Oro Valley Town Council meeting on December 19, 2007 and was given the opportunity as a public citizen to comment on the GOVAC presentation given on December 12, 2007. Most of the presentation on December 12, 2007 was given by President Satish Hiremarth of GOVAC.
President Satish commented that GOVAC has supported the quality of life in arts and culture in Or Valley for the last ten years. I believe what GOVAC is doing is admirable, but their activities must be on a sound business basis.
President Satish said there had been a rolling deficit in operating GOVAC for the last six years. He talked about the contributions that Oro Valley taxpayers had given GOVAC for the last three years:
2005/2006: $180,000
2006/2007: $110,000
2007/2008: $110,000
There was no audit available or documentation breakdown presented on how the Oro Valley taxpayer’s funds had been spent by GOVAC for those three past budget years.
President Satish mentioned that GOVAC is requesting an increase of about $100,000 from Oro Valley taxpayers for 2008/2009 (total $210,000). President Satish went on to state that GOVAC is in a deficit and had already drawn in advance the 3rd quarter funds from the Oro Valley budget to continue operating.
President Satish then stated that it might be possible that GOVAC would go deeper into deficit and may have to go into bankruptcy in January 2008 unless 4th quarter funds could be drawn in advance from the Oro Valley budget to continue operating.
President Satish then referred to a documented projected expenditure breakdown for the five special events that GOVAC wants to sponsor for 2008/2009 and the funds that Oro Valley taxpayers might provide.
The original intent of the Master Operating Agreement between the Town of Oro Valley and GOVAC was that 5o2n funding would diminish over time, not increase. It appears that the Oro Valley taxpayers will be asked to continue to increase their contributions as deficits grow.
It appears that GOVAC needs some professional accounting and audit support to prudently learn how to budget and balance both revenue and expenses and live within reasonable parameters (a sound business basis).
The Oro Valley taxpayers can’t be expected to continue to “bail-out” GOVAC for past deficits and future projected ones. Significant work must be done by GOVAC to provide the detail to show their activities can be primarily self-sustaining with minimum taxpayer funding.
John Musolf
Oro Valley resident and taxpayer
3 comments:
Okay, let me get this straight. The Town Council wants to give a multi-billion dollar French company $360,000.00 in subsidies for no good reason.
Then they want to turn around and give $210,000.00 to an organization that can't manage money so that people in SaddleBrooke don't have to drive all the way to Tucson to listen to the orchestra and don't have to pay the full cost of bringing them to Oro Valley.
That is on top of giving Vestar a $23.2 million subsidy so that people in SaddleBrooke don't have to drive all the way to Ina and La Cholla to shop at WalMart.
Then they want to tax me so that they can build a $50-million park so people can play tetherball.
Am I missing something here?
"OV Mom"---- You're almost correct. Thanks to Parish & Loomis, the Naranja Park is now up to a potential $80 million ---but I'm sure Dankwerth would say, that's only a "minuscule" amount over the $49.1 they originally tried to force on us. And let's look at the good news: At least until the next time the Council votes, it's not the $160 million Parish & Loomis were pushing.
Of course GOVAC thinks the town should bail them out.
Why not? Our town courtesy of the majority on the council extend all types of "gestures" to all types of entities, except the taxpayer.
Time for somebody at a higher government level to look at the financial dealings of this group and maybe even some of the people involved.
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