GIRARD Mayor asks for audit to determine deficit

The cost of the justice center mushroomed by $2 million.
By TIM YOVICH
VINDICATOR TRUMBULL STAFF
GIRARD -- About $175,000 in city money is unaccounted for, and the city could be $1 million in the red by year's end.
Mayor James Melfi said Thursday he has asked for a state audit to determine what happened to the money and the exact amount of the deficit.
Although the mayor would not estimate the amount of deficit until the audit results are available, council president Leon Grimes places it between $500,000 and $800,000 and former city auditor Sam Lamancusa projects it at $1 million by year's end.
This is out of about $3.5 million that flows annually through the general fund, according to Sam Zirafi, city auditor, who placed the anticipated deficit at $800,000.
Melfi said the audit should take about three weeks.
How review came about: He said the need for the review surfaced after council approved the purchase in February of 20 cars for the police department. When it came time to dip into the capital safety fund, the mayor said, $175,000 that was supposed to be in the fund was missing.
The order for the police cars was canceled.
How the money got out of the fund, where it went and who authorized it are questions Melfi said he wants the state auditor to answer.
The mayor said he does not think the money was stolen.
Lamancusa, who left the city in February to manage the Trumbull County treasurer's office, said Thursday he warned officials when he left office that the city had a $700,000 deficit at that time and projected it at $1 million by the end of the year.
Money was not transferred out of any account without council approval, Lamancusa said.
Melfi said projects "have been a drain on the city."
Costly projects: He pointed to the purchase of Girard and Liberty lakes for $2.4 million, a commitment to spend $2.1 million on underground utilities when state Route 422 is widened and $5 million for the justice center that opened last year. The cost of the center was originally pegged at $3 million.
The city pays $48,000 a month on those three projects. "The capital projects have put a burden on the annual operating capital of the city," said Melfi, who took office in 2000.
The audit will pinpoint what funds have a negative balance, where operating funds have gone and what should be done.
Since the justice center is built and the city is committed to the underground utilities, one option is to sell land such as the nearly 1,000 acres at Girard and Liberty lakes, Melfi said.