SEYMOUR, Mo City Hall in Seymour was slapped with a poor rating from the Missouri Auditor on Wednesday.
The audit was conducted because of a petition signed by some citizens of Seymour asking the auditor to look into city hall's books.
"I was disappointed to say the least. A poor rating is not the reflection of our city at all." said Sam Burt, city administrator of Seymour.
In the findings of the audit... there were three major issues highlighted.
The first was about the city's utility rates, because the city had not done periodic formal rate cost studies and hadn't increased or decreased their utility services for several years.
But city alderman member Dan Wehmer says they were in the middle of a rate cost study during the audit...
"Our rates were too low across the board. Water, sewer, and electric. So again I don’t really know what the state auditors are talking about. I think that they are upset that we make money." said Wehmer.
Another issue was that Seymour did not have a city plan or comprehensive plan to guide planning and zoning activities.
Burt says that is now fixed.
"We have done a lot of work there. That is just not something on the front burner of a small city like ours with a small staff.” said Burt.
And the audit also found the board has not been monitoring the financial condition of the city and is not receiving detailed information showing the cash balances for each fund... and has relied on transfers from utility funds to balance the city's budget.
"All small cities if they have an electric like what we do, they transfer those funds. That is just part of doing business.” said Burt.
"We have taken electric department profit, and used that money to pay for police, streets which is something that 500 other cities in the state of Missouri do. But we get a poor rating." said Wehmer.
For the full audit report Click HERE