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A state audit of Neosho’s finances is another step closer to being a reality.
On Friday, a group of Neosho residents presented an audit petition containing nearly 750 signatures to Newton County Clerk Kay Baum.
“It’s very obvious that we’re not receiving information delivered to the public from the city administration,” said David Holley, who delivered the petitions late Friday afternoon along with councilmember Heather Bowers and Les Bond. “And if this is the only way to get information from the city of Neosho is do a state audit, than that’s what we need to do.”
In November, Bowers obtained petition forms from the state auditor’s office, but didn’t begin collecting signatures until City Manager Jan Blase acknowledged he used part of an $895,100 state transportation assistance revolving (STAR) loan, earmarked to build two hangars at the Hugh Robinson Memorial Airport, to make city payroll and to pay city bills. About 20 members of the group have been collecting signatures since the first week of December.
“A lot of people did a lot of hard work on this,” Holley said. “They (city administrators) chose the route they took and this is the route we took.”
Holley said he was concerned about the amount of time the audit would take. Baum’s office will begin certifying signatures on the petition on Monday, making sure each signer is a registered voter and there are no duplicate signatures. The petition will then be forwarded to the state auditor’s office.
“I’m very glad to see the sheriff’s department is investigating part of this,” Holley, a former deputy with the Newton County Sheriff’s Department, said. “We need to do something to get our town back.”
On Friday, the Daily News reported the sheriff’s department is investigating fund transfers from the hotel / motel tax into the city’s general fund. The department received a complaint from Richard Davidson, Neosho’s mayor pro tem, about the transfer. Davidson alleges the transfer violates ballot language, which states monies from the commonly-termed “bed tax” must be used to promote tourism.
“The city council of the city of Neosho is aware that a criminal investigation by the Newton County Sheriff’s Office has commenced,” said Neosho Mayor Jeff Werneke, in a statement. “We understand that the subject matter of this investigation is whether City Manager Blase illegally utilized funds from the city’s hotel / motel tax to meet payroll and pay other city bills. The city council is confident the sheriff’s office will conduct a thorough investigation into this matter and the city will participate in whatever way requested to assist with the investigation.
A state audit of Neosho’s finances is another step closer to being a reality.
On Friday, a group of Neosho residents presented an audit petition containing nearly 750 signatures to Newton County Clerk Kay Baum.
“It’s very obvious that we’re not receiving information delivered to the public from the city administration,” said David Holley, who delivered the petitions late Friday afternoon along with councilmember Heather Bowers and Les Bond. “And if this is the only way to get information from the city of Neosho is do a state audit, than that’s what we need to do.”
In November, Bowers obtained petition forms from the state auditor’s office, but didn’t begin collecting signatures until City Manager Jan Blase acknowledged he used part of an $895,100 state transportation assistance revolving (STAR) loan, earmarked to build two hangars at the Hugh Robinson Memorial Airport, to make city payroll and to pay city bills. About 20 members of the group have been collecting signatures since the first week of December.
“A lot of people did a lot of hard work on this,” Holley said. “They (city administrators) chose the route they took and this is the route we took.”
Holley said he was concerned about the amount of time the audit would take. Baum’s office will begin certifying signatures on the petition on Monday, making sure each signer is a registered voter and there are no duplicate signatures. The petition will then be forwarded to the state auditor’s office.
“I’m very glad to see the sheriff’s department is investigating part of this,” Holley, a former deputy with the Newton County Sheriff’s Department, said. “We need to do something to get our town back.”
On Friday, the Daily News reported the sheriff’s department is investigating fund transfers from the hotel / motel tax into the city’s general fund. The department received a complaint from Richard Davidson, Neosho’s mayor pro tem, about the transfer. Davidson alleges the transfer violates ballot language, which states monies from the commonly-termed “bed tax” must be used to promote tourism.
“The city council of the city of Neosho is aware that a criminal investigation by the Newton County Sheriff’s Office has commenced,” said Neosho Mayor Jeff Werneke, in a statement. “We understand that the subject matter of this investigation is whether City Manager Blase illegally utilized funds from the city’s hotel / motel tax to meet payroll and pay other city bills. The city council is confident the sheriff’s office will conduct a thorough investigation into this matter and the city will participate in whatever way requested to assist with the investigation.
“It is the Neosho City Council’s understanding that upon completion of the investigation a report will be filed with the Newton County Prosecutor for further proceedings should Mr. [Jake] Skouby determine a violation has taken place. Pending the completion of this investigation, it would be inappropriate for the city council or any member of the city administration to make any further comment.”
The city council will meet in a special closed session at 6 p.m. Monday to discuss personnel issues.
On Saturday, Bowers forwarded a letter from City Attorney Steve Hays asking council members to review Werneke’s statement and to refrain from commenting on the issue.
“I’m sure all members would agree that the legitimacy and integrity of the sheriff’s office investigation is of utmost importance,” Hays said. “This matter could very well end up being heard in state court proceedings and the last thing the city needs is to have a defense attorney bring up comments made by city officials which could prove detrimental to the successful prosecution of this matter.”
Voters approved the “bed tax” issue by a nearly 2-1 margin in 2006.
Hays previously told the Daily News had the issue been proposed to him beforehand, he would have advised against the fund transfer.
In December, City Finance Director Bob Blackwood acknowledged a total of $611,900 had been transferred out of three funds: the city sewer and water department fund, the tax increment finance (TIF) fund, and the hotel / motel tax fund.
Bowers said Friday she hoped the sheriff would not limit the scope of the investigation to Blase alone.
