By GINA KINSLOW
HORSE CAVE — The Horse Cave City Council voted Monday night to hire a new certified public accounting firm to audit the city’s 2007-08 financial records, even though the city has yet to pay its former auditor.
The council realized the former auditor, David Gilbert with Gilbert and Gilbert of Glasgow, had not been paid when it reviewed the city’s monthly financial report.
Gilbert submitted a bill for $35,362.25 — three times the amount Gilbert normally charges to conduct an audit of the city’s financial records — for auditing Horse Cave’s 2006-07 financial records. The audit was submitted to the council for approval in May. Martin refused to sign the management representation letter because a portion of the information included in the audit report relates to city business that transpired during his predecessor, JoAnne Smith’s, term in office.
Martin signed the letter on March 31, which enabled Gilbert to proceed with presenting the audit report to the council even though the audit report had been completed since January 2008.
The council failed to comply with state law when the audit report was not completed by Feb. 1, 2008.
Martin said in May that Gilbert could have presented the audit report without his signature on the management representation letter and that had he done so the city would not have such a high bill.
City Clerk Ann Matera noted during Monday night’s meeting that a check to Gilbert and Gilbert had not been mailed.
“Is there any reason why it hasn’t been mailed?” asked councilwoman Sue Nunn.
Councilman Randall Curry pointed out that the council had already voted to pay the bill.
“We need to go ahead and get that behind us,” he said.
Councilwoman Vickie Rogers asked if the city would be charged an additional fee if the bill isn’t paid within a certain length of time.
Matera replied that the city would have to pay a finance charge of $533 each month that the bill isn’t paid.
The check has not been mailed because Martin has yet to sign the check.
Nunn asked Martin why the check hasn’t been signed.
“I haven’t seen the check,” Martin said.
Matera told Martin she had given it to him and that he had given it back to her. He also said his memory must be bad. “I don’t remember one thing about it,” he said.
Nunn then asked Martin if the check would be signed now that he knows the check has been written.
“We’ll just see what happens,” Martin said. “I don’t know anything about it.”
Nunn told Martin she hoped the bill gets paid.
“It (the check) needs to be put in the mail tomorrow, if possible,” she said.
Later in the meeting, the council agreed to hire Barry Dalton with Barry Dalton, Inc., a certified public accounting firm in Somerset, to audit the city’s 2007-08 financial records at a cost of $10,900.
“He’s the only bid we’ve gotten,” Martin said. “We need to move on with this audit and get it done.”
Martin asked Matera if Dalton had said he would be willing to do the city’s 2008-09 audit.
“He has not given me a price on the next one,” she said.
The council asked Matera what her impression was of Dalton.
“He came down and looked at our books and asked me a lot of questions,” she said. “I feel comfortable with him.”
Rogers pointed out that if the council was going to hire another auditor then it needed to go ahead and pay the previous one.
Smith commented on the fact the city had received only one bid and that it was not from a local firm.
“It’s amazing that we need to go all the way to Somerset to get someone,” she said.
The council voted 6-0 to hire Dalton to audit the city’s 2007-08 financial records.
