Eyes on Vienna Fire Dept. overtime as fiscal investigation continues
The Vienna community gathered for the first time with trustees Tuesday since the state's auditor's office put the township under a fiscal emergency.
This comes as 21 News found last week the township's deficit continues to rise. 21 News spoke with trustees as the first of many state audit results were revealed.
The puzzle pieces are slowly coming together as to why Vienna Township is facing nearly a two million dollar deficit. The State released a Fiscal Emergency Analysis last week, showing the fire department had a significantly high deficit of $1,276,520.
"There's still some audits going on," explained Trustee Michael Haddle. "Including reconciliations and investigations. The answers aren't there yet. We want to answer them but you can't."
Trustees announced Tuesday that a board would be established to create a game plan to pull the township from financial distress.
"The commission will come up with a plan to repay outstanding bills," explained Chairman Phil Pegg. "The trustees still have to do their job as far as paying the bills."
The board would be comprised of community members and one trustee, a seat Pegg publically said he is not interested in.
From these initial findings of the Fiscal Emergency Analysis, Pegg explained hundreds of overtime hours spent at the fire department could have been the source of where those missing dollars went.
Within the first two weeks of 2024 (12/30/23-1/12/24), 238 hours of overtime were paid to fire department employees, according to a payroll supporting form also submitted to the state. Fire Chief Richard Brannon signed off on the paperwork, with one employee making as much as 80 hours of overtime within two weeks.
Trustees believe fire department overtime money was appropriated from other funds, including police and the road and bridge fund.
It is still unclear if any money was pocketed for personal gain.
Vienna was declared in fiscal emergency by the state auditor after Ohio Auditor Faber's investigation found the township met two of six conditions, which included:
- It had a deficit fund balance of more than $1 million, the largest portion of which was attributable to fire services;
- and the township treasury had a deficit of $627,636.
The Auditor of State’s Office declares a fiscal emergency if any one of six conditions exists:
- 1. default on debt obligation
- 2. failure to make payment of all payroll
- 3. an increase in the minimum levy of the township that results in the reduction in the minimum levy of another subdivision
- 4. significant past due accounts payable
- 5. substantial deficit balances in township funds
- 6. a sizeable deficiency when the township’s treasury balance is compared to the positive cash balances of the township’s funds
There are 12 communities in the state—including Vienna—with fiscal emergency declarations, including three cities, seven villages, and two townships. Seven of those declarations have been in place for more than six years, including one, the City of East Cleveland, which was declared in October 2012.
There is no timeline as to when a financial board could be established. Visit the State Auditor's website to read the Fiscal Emergency Analysis in full.