Templeton Eyes Free Cash Bonus

Templeton Eyes Free Cash Bonus
After pouring over books, town may have $750,000 left over
Rebecca Leonard
News Correspondent

TEMPLETON  An abundance of free cash that could be used for capital expenses is in sight for the town.

“We aren’t sure yet but we could be seeing close to three-quarters of a million dollars,” said interim Town Administrator Bob Markel, of the free cash account, which consists of funds left over from the previous fiscal year, which can’t be used until certified by the state.

According to Mr. Markel, he was told by auditors from the Massachusetts De­partment of Revenue that they were unable to audit the books for fiscal years 2013, 2014, and 2015 because they were in such disarray. It would also be expensive to have the company put them in order.

Since early March, Kelli Pontbriand, the town’s accountant, has been reconstructing financial records in order to submit them to auditors.

“We thought it would be in the best interest of the town to save them some money and give Kelli 40 hours to have her do it,” said Mr. Markel.

Mr. Markel guesses that Ms. Pontbriand should be finished by Thanksgiving. Once the books are in order, they can be audited and then the Department of Revenue will release the certified free cash. At that point, the town would also be able to get its bond rating restored.

Selectmen, the Advisory Board and Mr. Markel discussed how the money would be spent and they are in agreement that two-thirds of the money should be put into reserve in the event of an emergency and the remaining one-third will be used for one-time purchases such as a car, a new roof for one of the town buildings or new carpeting.

They agreed that the town will no longer use free cash on annual recurring expenses in the operating budget.

“Free cash is unpredictable. When you use free cash to fund the budget you’re really rolling the dice,” expressed Mr. Markel.

Usually the certified free cash is available before the fall town meeting, however this year that isn’t going to happen.

Optimistically, the town could see the certified free cash as early as February or as late as March 31, Mr. Markel said.

Ms. Pontbriand must go through every transaction that has been made and by doing so has made several discoveries including the finding of a long-forgotten bank account with $120,000 in it.

Mr. Markel admits that it’s embarrassing that the town was able to lose track of the account and he’s not quite sure how it happened; however it “indicates to the town that its accounts are being systematically reviewed and put in order so that it never happens again.”