Gary Common Council held its finance committee meeting via teleconference

Gary's city council asks Mayor Jerome Prince to 'show us the money'

Contributed By:The 411 News

The Gary Common Council wants to know how much the administration is spending, not just what is in the bank accounts.

Tuesday's council finance committee meeting saw amendments to pending Ordinance C.P.O. 2020-26 requiring the mayor's office to give a monthly financial report to the council.

Mayor Jerome Prince has been public about the state of his city's finances. He told council members at the May 5 council meeting, "the city finances are in disarray," adding that the city comptroller had been relieved of her duties. "Her responsibility is providing this administration with an accurate accounting of our finances, and after 100 days, she simply was not able to do it to the satisfaction of this administration," Mayor Prince said.

The mayor said his administration found bank accounts that hadn't been reconciled in a year.

The ordinance asks the mayor to deliver a detailed monthly report of the city's finances, including an accounting of all bank accounts, accounts receivable, and accounts payable to the city council by the 5th day of each month.

"I think they should turn over to the finance committee whatever they got, right now; whether they are right, wrong, or different. Give it to the finance council now," Councilman Clorius Lay ordered.

Councilman William Godwin said he would amend ordinance 2020-26 to show the amounts of monthly expenditures.

"We want to know what big ticket items are being paid," Godwin said. "Have we paid our NIPSCO? Have we paid our health insurance premiums?"

Godwin went down a list of concerns he had with city finances. The delay of property taxes. A provision of the public safety building sale leaseback allows the bond holder to intercept payments. "And, I'm also concerned about the ability of the casino to fulfill its obligation to the city. I know they have taken a substantial financial hit."

Finance committee chair Mary Brown said, "We received this information from the prior administration."

Councilman Ron Brewer echoed Brown. "We met with the previous administration for over a year concerning city finances. We were in a money crunch. I think it's important we know where the money is going. We knew every month what the big ticket items were. Something needs to be delivered to this body. It was a condition of the sale leaseback that the city and the council worked together. I don't see it happening now."

Arlene Colvin, the mayor's chief of staff and acting comptroller told councilmembers, "The administration is attempting to get a handle on finances so we can give the council a financial accounting, but I'm not sure we can give you the reports as clear as you want them to be. There's no withholding of information. The details you wanted I can't give them right now."

Colvin said she will continue to give the council financial reports they have received in recent months.

The finance committee issued a second ordinance, C.P.O. 2020-29, asking for an overview of city operations at the Board of Public Works. The ordinance requires all contracts approved by the BPW be reviewed by the council before the contract is signed by the mayor.

Relations between Mayor Prince and the city council have not been amiable and it seems doubtful the new mayor will follow the prior administration's lead. Mayor Prince is preparing for a new economic development corporation -- Re-Imagine Economic Development Corporation -- separate from the Gary Economic Development Corporation created during Freeman-Wilson's term. Brewer and Godwin are members of the GEDC. Godwin's response, "We will continue to exist."

Some city council members have nagged the mayor about his choices for police and fire chiefs. They termed Chief of Police Richard Ligon as unqualified because he never held a position with a municipal police force. City Fire Chief Sean O'Donnell was opposed because he wasn't a city resident.

A public hearing on the ordinances will be held at the June 3rd Gary Common Council meeting.

Story Posted:05/29/2020