Audit finds Bunkie in healthy financial condition

City officials started 2017 off with good news from its auditor.
Seth Norris, of Kolder-Champagne- Slaven and Company, told the City Council on Jan. 12 that Bunkie is in “a strong financial position.” One of the biggest reasons for that strong position is the voter-approval of a property tax to support a bond issue for sewage system improvements. Another is Bunkie’s reserve fund, which could allow the city to operate efor 75 days if all revenue stopped.
“This was a very clean audit with a strong budget,” Norris told the council. “Bunkie now has a net total position of $17,942,958.”
The general government fund has $6,778,887 while the business-type activities has a total net position of $11,164,071. Norris also praised the enterprise fund, which consist of the water system fund and sewer system fund, which showed an increase of assets to a total of $7,608,886 including a $100,000 increase in revenue.
Total revenues coming into Bunkie totaled $4,354,167 in the general fund during the fiscal year that ran from July 1, 2015 to June 30, 2016. Expenditures in the general fund totaled $4,127,112. The ending fund balanced in general fund went from $462,910 to $7,309,364, which included $6,182,061 from the sewage bonds.
One drawback in the budget was retirement costs rose over $400,000 in the general fund, Norris noted. The state now mandates government entities show retirement liabilities.
While it doesn’t cost Bunkie any money, the budget has to show the liability in the budget.
Bunkie’s liability rose from $1.2 million last year to $1,635,984 in net pension liability because of cost-of-living and other increases. The increase shows Bunkie with a deficit of unrestricted net position of $643,060.
“We were able to stay within the budget,” Mayor Mike Robertson said, giving department heads credit for that feat.
The Police Department has the highest departmental budget. Police Chief Bobby Corner has complained over the past several months the council has cut his budget. The council budgeted $740,336 for the police department in the current budget.
There may be some figures left, but Norris estimates the Police Department expenditures totaled $725,573 last year. Police salaries totaled $366,330 last year and the council raised the budgeted amount to $392,600 for this year’s budget.
The next highest department in the budget was the general government (City Hall), which was $533,535 -- down from $594,166 last year.
The City Hall budget includes $158,500 for all the insurance paid by the city for all departments, including police, for liability, building and vehicle insurance.
It did not include group health insurance and workman’s compensation insurance, which is broken down by each department.