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Kingsford sticks with CLA as its city auditor

KINGSFORD — Kingsford City Council has accepted a proposal from CliftonLarsonAllen of Green Bay, Wis., to provide city auditing services for the next four years.

The cost will be $33,600 for the first year, increasing to $34,440 the second year, $35,385 the third year and $36,435 the final year.

CLA has served as the city’s auditor for the past three years and has a local person doing the work. Additionally, they will provide consulting services to the city at a cost $180 per hour as requested by City Manager Mike Stelmaszek to abate reoccurring deficiencies.

In his report to the council at a previous meeting, Stelmaszek said informal efforts have been unsuccessful in reducing these issues and the problem is exacerbated by the federal funds flowing through the city’s accounting system, warranting formal consulting services.

Gabridge and Company of Grand Rapids had the only other bid at $32,640, including travel and other expenses.

In other business, the council:

— Approved a request from We Energies to install fiber optic cables from the hydroelectric dam at Cowboy Lake to a substation on Nelson Drive, and up Westwood Avenue from Woodward Avenue to a tower they have on Pine Mountain. The infrastructure improvement will add significant services to residents and property tax revenue to the city, Stelmaszek noted.

— Agreed to offer another insurance option from MESSA in addition to the insurance plans negotiated in the collective bargaining agreements. In a memo to the council, Stelmaszek explained the policy has the same deductible with lower premium costs. The lower premiums do mean lower benefits because of a slightly higher co-pay for office visits and higher costs for prescription coverage. Employees who pay little or nothing for these services will benefit from the lower premiums. Because employees pay 20% of the premiums and the city pays the other 80%, there is also a significant cost savings for the city if any employee opts to select this option. It was reviewed by the city’s labor attorney, Nate Wolf of Mika Meyers PLC, who said if this plan is offered “in addition to and not instead of the current offering” he does not see any issues with it.

— Heard an update on the city holiday celebration, set for Thursday, Dec. 5. It will be from 4:30 to 6:30 p.m., instead of three hours as it was last year. Jennifer Castro, who is organizing the party, said she believes that will be long enough and it will provide more time afterwards for cleaning up. The tree lighting will be at 4:30 p.m.

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