UPDATED... Huntington Has Over $212 Million in non-current Liabilities

Updated 31 weeks ago by Tony E. Rutherford, News Editor
UPDATED... Huntington Has Over $212 Million in non-current Liabilities

 

The WV State Auditor's office recently completed the Fiscal 2016 audit of the City of Huntington.

Based on Pages 13 and 40  of the audit, the auditor concluded:

The governmental activities had a deficit net position of ($212,083,241) as of June 30'2016' The city has incurred significant debt in excess of anticipated revenues in this and prior years for the net pension liability and other postemployment benefits obligation as estimated within the actuarial evaluations' The city is in the process of developing funding strategies to reduce these debts in the future'

In addition, the audit found that retired firefighters have been overpaid "likely since 1990," said city manager Cathy Burns in a Herald Dispatch interview.

 Burns said the incorrect formula is still being used on "50 or so" retirees, although it has been corrected on others.

Scott Mellert, secretary, of the city's pension board wrote in a letter:

"The board carefully considered whether it would be appropriate to recover any prior overpayments which were mistakenly made to retirees or to adjust future payments to retirees whose benefits may have been mistakenly calculated. The Board concluded that it would be both impractical and inequitable either to seek recovery of overpayments made prior to July 1, 2016 or adjust future payments to retirees who retired prior to that date. Among the factors considered by the Board in reaching these determinations were the hardship which such action would impose on retirees, the legal uncertainty surrounding the likely success of such efforts and the fact that the City of Huntington has contributed to the fund each year since January of 2010 the amount actuarially determined to be necessary to assure the fund's solvency and fiscal integrity over a 40 year period, taking into account benefits actually being paid to existing retirees and other pension recipients."

 

 

SEE  SEPARATE STORY TO DOWNLOAD PDF,

CORRECTED... SCROLL TO ATTACHMENTS

http://www.huntingtonnews.net/148181

 

CITY OF HUNTINGTON, WEST VIRGINIA RECONCILIATION OF' THE BALANCE SHEET . GOVERNMENTAL FUIDS TO THE STATEMENT OF NET POSITION June 30,2016


Long-term liabilities are not due and payable in the current period and therefore are not reported in the funds 


Capital leases, $ (2,827,389)

Tax increment financing, ( 1,150,000)

Compensated absences, ( 1,351,104)

Net pension liability - PERS, (1,623,339)

Net pension liability - DBP, ( 164,913,826)

Other postemployment benefits payable, (61,272,929)

 

Accrued interest payable, (47,160)

Liability for closure and postclosure costs for landfill, (22,017.000)


Net position of governmental activities, s ( 212,083,241)


     
* Audit pg. 13 and 40. Download PDF in prior story.

However, the audit also found:

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