As I explained in the Fire Dept. audit; every department listed on the budget is broken into two sections: Employee Cost and Other Costs. The Other Cost budget 2012-2013 for the Sports Park is $113,959. I've totaled the Check Register for the last two fiscal years and found actual expenses much lower:
2012-2013 Budget $113,959
FYE 2011 $68,419
FYE 2012 $61,681
The budget lists $45,169 in ABC accounts – which is 40% of their other costs budget. These are the accounts they use to funnel expenses from other departments.
The 11-04 Life Insurance account is listed with Employee Costs on the Budget, but it is listed here because every item coded to the Sports Park on the General Fund Check Register is included. Life Insurance is budgeted at $300, but the costs were less than $50/year.
There is no '20-06 Professional Services' on the Budget, but as of 01/01/12 the Sports Park has an $80.00 monthly charges with the memo 'Public Agency Retirement Service'. The $80.00 service fee is also being attached to the Fire Dept., Lifeguards, Tidelands, and Clean & Green budgets.
Fire, Lifeguards, and Tidelands have numerous employees to absorb the $80 fee, but the Sports Park only has four (4) employees which makes this a $20/month 'service charge' per person.
The Clean & Green budget has no employees, but the Budget lists '11-01 PERS-City Portion as a negative <$74,000>. A negative means they are taking $74,000 that should be going to their employees' pensions and using it fund Clean & Green.
Page 13 of the Financial Statements for year end 06/30/11 list the Sports Park expenses at $270,762 - which is $21,503 over budget. Payroll and General Fund accounts for the 2010-2011 fiscal year only total $203,596.52 – which is $67,165 under budget. A $67,000 difference may not 'sound' like a lot, but it's 25% of the Sports Park's total budget.
There are other employee costs that the City 'bundles' instead of allocating, so I can not directly tie them to the departments. On the Budget the City lists $6,712 in PERS-City Portion, but I find it hard to believe when the Employee PERS is only $831. The City is generously funding PERS, but it's not going to the these four employees.
The Sports Park generates revenue through various means, but they are not getting any credit on their budget. The food purchased for resale is listed as '30-02 Operating Supplies' – which is for purchases like cleaning supplies and batteries. Items purchased for resale should be accounted for separately to track profit/loss.
Most of the $65,000/ year Sports Park expenses are for the grounds keeping and utilities. The grounds crew is contracted at $3,052.83/month, which is $36,634/year. Utilities make up another $10,000/year. Operating Supplies run another $10,000, but half is food and drink the Sports Park is re-selling, so there is profit to account for.
I don't have little kids, so I'd never been to the Sports Park. Going from City Hall to the Sports Park is like going from the shores of La Jolla to the slums of El Cajon. The front room is a place for kids to gather. It has some table games, a couple computers, and some books; but the furniture is sadly cheap and uncomfortable. Overall the place is spotless and the staff makes the most of every penny and square inch of space.
The $7,000 in checks issued for musical instruments and a few hundred dollars in building supplies is because the staff converted some space into a two-room recording studio. The Staff covered the labor themselves so the entire project costs under $10,000.
After auditing the Sports Park I don't know how they run the operation on $200,000 a year. They open 6 days a week, offer a wide variety of services & activities, and most importantly provide a safe place for our kids to gather. The City is over-charging them and keeping their revenue. Frankly, it stinks of serfdom.