Budget: an estimate of income and expenditure for a set period of time. To my way of thinking, a budget is established and maintained by first determining how much money you know you will have, allocating that known quantity of money to various categories, and then tracking to ensure that your expenditures stay within those limits.
In my view – and admittedly – I am somewhat fiscally conservative – you do not go outside the budget once you have established the categories and the amounts allocated to each. You always allocate an “emergency” fund category for when things don’t go as planned – but that is part of your budget.
The very definition of fiduciary irresponsibility – is setting a budget based on:
1. How much you spent last year; or
2. How much you think (hope, pray, imagine, etc.) you will get this year.
The June 2019 NYWD board packet was sent to me via email on June 24, 2019 in anticipation of the June 27, 2019 NYWD Board Meeting. The agenda contained an item to approve the budget for the fiscal year 2019-2020. Apparently the expectation was that the board had three and a half days to review the document and were to then vote on approving it.
This was sent seven days before the end of the fiscal year. Why was this being introduced so late in the fiscal year which starts July 1 and ends June 30?
Where was the opportunity for revising this proposed budget?
The budget had never been discussed previously. The budget sent to me June 24, 2019 was not made available to the public via the website as I have repeatedly requested. The budget needed to be printed out on 11 X 17 size paper in order to even make it legible.
I reviewed the budget and came to the June 27, 2019 meeting prepared with questions. I also printed a number of copies for the public who would most likely be seeing this budget for the first time.
NYWD funds belong to the People and as a Director, one of my primary responsibilities is fiduciary responsibility.
The video above is 18 minutes long – that is exactly the length of time the Board took to “review”, “evaluate” and vote to approve this almost $2M budget. I voted “No”.
Questions I was able to ask:
Responses I received:
Most disturbing to me, is the absence of reasonable precautions. Here is the approximate amount of money NYWD KNOWS it will have each year:
Grand Total NYWD Can Count on Each Year = $1,209,000.00
Total Budget Approved by the Four Culpable Directors for 2091/2020: $1.74M.
Total Potential Deficit: $531,000.00
NYWD is counting on money from Power Revenues from SFWPA. There is NO WAY to know there will actually be any revenues.
October 24, 2019: NYWD Board of Four Culpable Directors votes to award $40,000.00 to a PR firm. This was not in the budget. When I objected, GM Maupin exclaimed: “We have $5M in the bank!“