Cullen alderwomen support appointment of fiscal administrator

CULLEN, La. – The town’s Board of Alderwomen were unanimous Monday night in supporting the state appointment of a fiscal administrator to run the town.

Mayor Pro Tem Floydean White is uncertain exactly when that will take place.

“The next step is for the person to come in and begin the process to help us find ways to secure funds,” White told KTBS on Tuesday.

The vote on a resolution consenting to a fiscal administrator took place during a special called meeting. An attempt last week to consider the resolution was unsuccessful because the board lacked a quorum of members.

Town attorney Josh Chevallier still explained the process last week. He said having full support of the board would speed up getting a certified CPA on board to assume control of the town’s finances and decision-making.

Chevallier said a fiscal administrator has already been identified and is willing to take the assignment. He said the unidentified CPA could be available to begin work Sept. 1 if the process moves forward quickly.

The attorney general, legislative auditor and state treasurer must sign off on an agreement, which would then be submitted to the Webster Parish District Court for a court order.

The town of Homer went through a similar process over two years ago. Town leaders were summoned to Baton Rouge then to appear before the Legislative Audit Advisory Committee and hear the members' concerns about Homer's financial viability because of unpaid bills, severe debt and unreliable financial records. 

CPA David Greer took over the reins and assumed direct control over personnel decisions, municipal spending and check signing. He negotiated IRS settlements, adjusted water rates, stopped unnecessary leases and even cut staffing. 

Greer told KTBS in February he had gotten the finances and operations back on track. While he hoped to shed his responsibilities soon, the town is still undergoing a state investigative audit. And elections for a new mayor and Board of Selectmen are this fall.

One of the driving factors to get Cullen back on track financially is an emergency that’s developed with the town’s water system. The lack of a properly operated water system puts the safety of the town’s citizens in jeopardy.

But Cullen hasn’t had the money to even purchase necessary supplies – or much else. Or even pay its employees. Or pay its bills. The bank has closed several accounts.

The state legislative auditor’s office is also conducting an investigative audit of Cullen's finances. No timeline has been given for its completion.

Mayor Terry Hoof resigned on July 31 amid the financial crisis.