San Bernardino is now the third California city to seek bankruptcy protection in recent weeks after Stockton in June and Mammoth Lakes last week. Unlike Stockton and Mammoth Lakes, however, San Bernardino's bankruptcy announcement came as a surprise (only to people who don't know California is broke, of course). San Bernardino the 17th largest city […]
I would expect more and more items like these in the news in the months and years ahead but that’s just my humble opinion.
Apparently commissioners in Lawrence Park Township, Pennsylvania are sick of messing around and would like an Erie County judge to appoint a custodian to handle the volunteer Lawrence Park Fire Department. On Friday, the township filed a petition, after a July 12th vote of 3-2 to go to court.
The three commissioners are claiming the Fire Department is violating a township ordinance by not providing an accounting of how the department is spending township money. The commissioners are arguing a custodian should be in place long enough to bring the department in compliance with the law.
The commissioners and the Fire Department have been feuding over the department’s finances since 2009. The firefighters have said the department is fiscally sound.
The funny part of all this is that the fire department claimed part of the reason why their finances were so jacked up was the Form 990 they “never knew existed” according to department president Maureen Crotty. Apparently the township commissioners felt the lack of a 990 (which reveals any non-profit organization’s expenses and revenues and is required for all non-profits above $250,000) was one of many good reasons not to give the department more money.
So back in April, almost a year after the IRS said all required 990s better be in or else, the fire department was still waiting to get a completed 990 back from its newly hired accountant, who didn’t have time to fill out the simple form while also auditing the department’s financial records by request of the stingy township commissioners.
Back then, Crotty stated she hoped the finished 990 and audit would help repair the strained relationship between the fire department and the five-member board of commissioners. Guess that didn’t happen.