Pay-as-you-go?
There is $1.1 million budgeted for golf course irrigation improvements. Awhile back, the Council voted that all improvements to the golf courses would proceed on a “pay as you go” model. We have over 5 years of history on the performance of the Community Center Fund (CCF) and it has never had a positive balance of $1 million. In fact, according to page 6 of the Town Manager’s Recommended Budget, the CCF is forecasted to end the 2021 budget with a deficit of $214,212.
The approved budget also allows for $750,000 to be spent toward ADA compliance of the Community Center. (ADA upgrades were supposed to have been completed by FY 2018/19 according to the rosy projections and promises of the Hiremath council. See below.)
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| From the Town's December 2014 Power Point Presentation |
I asked the Town where all this money was coming from. The Town confirmed to me that the $1.1 million for the irrigation project was coming from the CCF. But can we be confident that the Town Manager will respect the Council wishes of pay-as-you-go and not spend the $1.1 million unless and until the CCF has the money as a positive balance? Are you confident that this will happen?
A Capital Fund Smokescreen
When I inquired where the funding was coming from for the $750,000 to correct ADA issues, the Town replied that it was coming from the Capital Fund. I believed this response to be a smokescreen so I continued the conversation and inquired, “What is the difference between the Capital Fund and the General Fund?” The Town responded: “Generally speaking, in most instances projects budgeted in the Capital Fund can be assumed to be funded with General Fund resources. Exceptions would be projects that have associated grant or intergovernmental funding or outside contributions associated with them.”
$3.3 million in General Fund withdrawals for a “turn-key” operation
Remember, we have already withdrawn $1 million from the General Fund in 2014 to purchase the property, another $1.2 million in 2015 to initiate the CCF, another $350,000 in 2017 to supplement the CCF, and now an additional $750,000 in 2020 for ADA upgrades for the Hiremath “turn-key” Community Center.. This adds up to $3.3 million in General Fund withdrawals for this purchase (of which only $360,000 has been returned back to the General Fund -- despite a promise from the Hiremath council to have paid back $600,000 by May 2020).
And don’t forget that between 2015-2020, you have also donated over $10 million of your sales tax dollars towards this “turn-key” operation.
And the Hiremath stench continues.
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Mike Zinkin and his wife have lived in Oro Valley since 1998. He served on the Oro Valley Development Review Board from 2005-2009, the Board of Adjustment from 2011-2012, and the Town Council from 2012-2016. He was named a Fellow for the National League of Cities. He was a member of the NLC Steering Committee for Community and Economic Development and a member of the Arizona League of Cities Budget and Economic Development Committee. He was an Air Traffic Controller for 30 years. Mike has a Bachelor’s degree in history and government from the University of Arizona and a Master’s degree in Social and Philosophical Foundations of Education from California State University, Northridge.
