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Probe Of City's Financial Practices Ordered

By Paul Tuthill

http://stream.publicbroadcasting.net/production/mp3/wamc/local-wamc-962827.mp3

Springfield, MA – Less than two years after a state appointed board ended its direct management of the City of Springfield Massachusetts, concerns have been raised by disclosures of financial errors and an investigation into financial irregularities at one of the city's high schools. WAMC's Pioneer Valley Bureau Chief Paul Tuthill reports

It was recently discovered that Springfield had overpayed one point two million dollars to hundreds of its school teachers. It was also found the city had failed, for years, to bill for excise taxes from automobile businesses. City officials confirm an investigation is underway into financial irregularities discovered at Putnam Vocational High School, where there have been suspensions, resignations and firings.
Should the public be concerned that Springfield is regressing to the days when mismanagement and corruption was so rampant the city required a state taxpayer bailout to avoid bankruptcy and the presence of a state financial control board to manage the city's affairs for five years??
Springfield City Councilor Timothy Rooke, who chairs the council's audit committee and is a member of its finance committee
One of the new financial management positions in Springfield City Hall that was required by state law for the city's return to local governance two years ago is the Chief Administrative Finance Officer the job is held by Lee Erdman .
Erdman can not say how long it will take to complete the review.
Springfield Mayor Domenic Sarno says the fact these errors were discovered and are being investigated and rectified is a testament to the city's ability to govern itself
The city is in negotiations with the union that represents its public school teachers to come up with a plan for the teachers who were overpaid to return the money. The school superintendent says the people who were found responsible for the payroll error .which went undiscovered for almost six months..have been disciplined. The school department refuses to publically identify the individuals or disclose their punishment.
The city's chief assessor Richard Allen says an effort will be made to collect the unbilled excise taxes from car dealers and auto repair shops..a billing error that goes at least ten years..including the five year tenure of the control board
Allen says the city is owed more than 300 thousand dollars, but it is unclear how much it will be able to collect.
As for the investigation at Putnam Vocational and Technical High School, officials remain tight lipped. Officials confirm that financial irregularities were discovered last summer at the school, where teachers have access to student activity accounts. Officials confirm there have been disciplinary actions, including firings but they refuse to give further details..