Submitted article and staff report
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Auditor for the City of Galion Brian L. Treisch responded today to the submission of the proposed ordinance for the initiative petition submitted by the Citizens for Galion group.
Treisch made the following comments in a released statement:
“I have three areas of concern with this initiative and proposed ordinance. First, there appears to be several questions regarding the language in the proposed ordinance. While I have concerns on these areas, this will be best dealt with by our Director of Law.
“Second, I take exception to the assertion that the electric customers were incorrectly charged by the City of Galion. During the entire time that is defined by the proposed ordinance the City of Galion was in financial emergency and under the financial guidance of the State of Ohio. All rates were reviewed by council, the then City Manager, and the State Auditor’s office. All billings were made in accordance to local ordinance. The audit firms used during this time found NOTHING to report with regard to the billing and revenue collection by the City of Galion.
“Finally, the proposed ordinance fails to mention the impact of such an initiative to the financial position of the City of Galion. The cost of engaging an audit firm, the cost of the audit, the cost of binding arbitration are costs that will be borne by the taxpayer through the general fund. The cost of preparing the supposed refund will be substantial. The impact of any supposed refund will impact the financial recovery plan and the financial stability of the City of Galion. This may well impact the City’s ability to exit financial emergency. The potential for rate increases to offset this supposed refund is there.
“Overall, this is a bad idea for the City of Galion to consider this initiative. The premise upon which this is based is flawed and flawed badly.”
Citizens for Galion has moved forward in its quest to obtain signatures on a petition that would place an issue on the November ballot for the repayment of alleged overcharges in the citizens’ electric bill. The initiative calls for an ordinance authorizing the City of Galion to enter into a contract for auditing and consulting services to audit the city electric rates billed from July 1, 2005 through Dec. 31, 2012. It would also determine the amounts consumers have been overbilled for electric during that period, establish a fair and impartial process for the audit procedure, and authorize the issuance of refund checks to those who were overcharged during that time.
The matter was most recently addressed at the June 24 Galion City Council meeting where members of council and other city officials argued that an audit would be a detriment to the city, which is on the cusp of getting out of fiscal emergency.
Citizens for Galion announced the ballot initiative June 11 and presented a certified statement of the initiatives to Auditor Treisch.