New London council okays consolidating accounts
By TRISHA PHELPS
Mt. Pleasant News
NEW LONDON — New London City Council started its monthly session with a joint meeting with the utility board of trustees last night.
During the joint meeting, it was decided that the four city bank accounts would be combined into one account, keeping separate line items for each of the previous accounts.
“We have four different bank accounts,” said City Clerk Kasi Howard. “There is a city account, utility account, health insurance for the self-funded part, and payroll.”
Howard explained that money often is transferred from one account to another on a fairly regular basis, such as for payroll.
“The payroll account, every week I transfer money from city and utility, just enough to clear the checks, so it is just a wash. As far as bookkeeping goes, it would just make things a whole lot easier if we just had one account that we all used, “ said Howard.
One concern that Howard brought to the board about combining the accounts included making sure that money was kept as separate line items so that the individual balances would remain accurate for each organization.
Howard also assured the boards that she would keep cost for everyday things, such as check and deposit slips, as true to the original account as possible.
“For buying checks and deposit slips, I have to come up with a way to make that fair,” said Howard. “I was thinking about looking into last year and seeing how many theutility used and how many the city used and splitting the cost like that. If the city used 700 and utilities used 300, we would split the cost 70/30.”
Splitting interest in an even manner was also addressed.
“We would get interest off of the money in the accounts, so my thought would be to take the previous month’s balance of your funds and do a percentage and then divide the interest according to that so everyone would get their fair share of the interest,” said Howard.
Howard pointed out that the potential issues would not outweigh the benefits of combining the accounts, and the boards agreed.
After the utility board was dismissed and a brief recess, the council opened its regular business meeting, in which it was agreed to waive the second and third readings of the sewer rate service charge increase due to no public comment.
According to council members, there haven’t been any comments from citizens regarding the proposed increase. During the meeting, no one from he public had comments during questions or comments about the proposed increase.
The ordinance states that the first 1,500 gallons of water would cost $31.50 (monthly minimum charge), the next 3,500 gallons would cost $11 per 1,000 gallons, with graduated fees for additional 5,000 gallons.
The new rates will become effective in July and billable in August.
“If this is all worked out in the end, we won’t have to have any more increases, right?” asked Council member Frank Staley.
“We hope not,” responded council member Kirk Miller.
Howard assured the council that as long as usage stayed the same, she doesn’t foresee any more rate increases in the future.
The council also:
• Approved a ride-along policy for the police department, allowing for students age 16 or older to participate in an educational ride-along with the police department to assist with their careers class at the high school.
• Approved mailing a reminder of the current grass clipping ordinance and burning ordinance to citizens in an effort to begin stronger enforcement of violations.
The next New London City Council meeting will be July 1 at 6:30 p.m. at the city office.