In 2012, the Modesto City Council authorized $6.8 million in spending on street repairs, but earlier this year discovered that the city spent far more than authorized – contracting for $9 million in repair work.
A city report blamed “clerical errors” by employees who no longer work for the city, but added that due to staff turnover, “management has not been able to determine the reasons for these actions and must conclude it was due to human error.”
“The fact is we’ve done something we shouldn’t have,” interim City Manager Joe Lopez said. “We are trying to rectify the situation and are putting processes in place to make sure it does not happen again.”
Mr. Lopez said the overspending was unearthed as part of a review of city contracts. He said officials have not found another example in which the city spent more than authorized, but the review has found deficiencies that need to be addressed. Problems and recommended solutions will be discussed by the city after the review is completed, he indicated. (Source: The Fresno Bee, September 12.)