Redkey sets deadline on overdue bills (05/19/06)

REDKEY — Fireworks may not be limited to the usual display when July rolls around.

Redkey Town Council members Thursday night set July 1 as the deadline for water and sewer customers to begin paying long overdue accounts or face immediate shut-offs.

Town clerk-treasurer Sandy Kirby said that while many residents have started paying current bills since she took over the job late last year, some have made no effort to pay their past-due bills from six months ago and earlier when Brenda Adkins was the town’s clerk-treasurer.

In a surprise move last October, Adkins submitted her resignation from that position while Indiana State Board of Accounts auditors were in the midst of reviewing Redkey financial records. Adkins subsequently reimbursed the town nearly $40,000 to cover misappropriated funds, along with $3,189 in unnecessary finance charges incurred by the town and $4,284 to cover the cost of state audits. The state audit alleged Adkins diverted $32,061.99 from utility payments for her personal use while she was in office.

After further review of the town’s financial records and water billing accounts, Kirby reported in March that about 80 Redkey residents owed $90,000 in delinquent water bills, some of them dating back several years. “These delinquent bills will not just go away,” Kirby told the council members Thursday night.

Town resident and volunteer fire department member Don Knisely said Thursday it was not fair to the residents who had been paying their water bills faithfully for the town not to try to collect the past-due accounts.

Town council president Dottie Quakenbush said that some of these people haven’t made any attempt at all to pay the past-due balances prior to Kirby taking over as clerk-treasurer about six months ago.

“I think the council should set a deadline,” Kirby said. Quakenbush agreed, explaining that giving them six more weeks to pay or make arrangements to pay seemed fair to her. Quakenbush then picked the July 1 date.

Initially, council member Violet Erlenbush objected, saying, “It’s our fault, too.”

Representing the law firm of town attorney John Brooke, lawyer Leslie Horn pointed out that these customers have had six months to make some sort of arrangements. The town should start operating its water and sewer service with a goal of breaking even. “You are operating in the hole now,” she said.

“We ought to be fair with the ones who are trying,” Erlenbush said.

“It’s not fair to us who are paying,” Knisely said.

The council then unanimously approved a motion to set the July 1 deadline.

On a related topic later in the meeting, council members approved two claims from the Indiana State Board of Accounts calling for the payment of $3,189 for mileage and hourly expenses relating to the town’s water fund audit and $3,156 for expenses in connection with the state board’s sewer fund audit of the town’s records.

Erlenbush questioned both of the bills, and Kirby explained that both audits were very difficult to complete and time-consuming.

The State Board of Accounts is supposed to help communities, Erlenbush said, adding “the state has a lot more money than Redkey.” However, the motions to approve the two claims were approved unanimously.

“If we got our water bill money collected, we could pay our bills,” councilman Darrell Smith interjected.

In other business Thursday night Redkey council members:

•Heard a report from Fire Chief Randy Young that the department’s 1987 tanker truck was in need of major repairs. For one thing, the tank is rusting out, he said. Also with all the spring rain, the roof at the fire station is leaking again, he added. Young was instructed to get some cost estimates and more information.

•Greeted newly appointed Republican town council member Joyce Harshbarger, 525 S. Meridian St. She replaces James Guffey who resigned earlier this year for personal reasons. Her term will expire in December.

•Approved an agreement with Kenna Consulting and Management Group, Inc. of Indianapolis to do an evaluation and assessment of the town’s chances to receive state and federal grants. Kenna president Donna Anderson told council members Thursday that the firm will not submit any bills for payment unless grants are received. “We don’t get paid if you don’t get funded,” Anderson said. In addition to applying for grants, the firm will also administer them for town officials.

Erlenbush said that the town’s water reservoir tower is undersized and leaking as well. She urged that some sort of grant be sought to correct that situation as soon as possible. “We’re in dire need of a new tower,” she said.

Also Erlenbush said that Wayne Bailey, former Jay County community development director, had been working on trying to secure grant money for the town in the past, but ran into problems when state officials wanted to review Redkey finances and audit reports closely. Also Erlenbush said that state officials wanted combined sewer-water bill rates increased from about $35 to $45 for 4,000 gallons of usage, so that the rates would more accurately reflect expenses in those departments.[[In-content Ad]]