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Update: Wilkes-Barre Township couple displaced after blaze at their Nicholson Street home

Wilkes-Barre Mayor George says city prepared for approaching storm

WILKES-BARRE &#8212; The city&#8217;s deficit grew to $3.3 million at the end of last year, deepening the hole started a month earlier, according to a draft financial report.Expenses totaled more than $47 million while revenues reached approximately $43.7 million, according to a report prepared by the finance department for Mayor Tony George. The numbers belonged to George&#8217;s predecessor former Mayor Tom Leighton who prepared a balanced budget of $44.4 million with no property tax increase for 2015, the last year of his third term.George and Leighton were at odds over the budget last year while George was still a city councilman. In preparation of taking office as mayor, George questioned how there could be a surplus in October when there were so many unpaid bills. He accused Leighton of holding off on paying vendors in order to make payroll.City officials pointed out revenues and expenses will continue to trickle in during the first quarter of this year and be booked for 2015. They expected to make adjustments under the city&#8217;s accrual accounting system. The December report indicated 98.5 percent of the budgeted revenues were collected and expenses reached approximately 106 percent of the budgeted amount.&#8220;Right now, the report would show December numbers without all of the accrual adjustments,&#8221; Brett Kittrick, city finance director, said in an email Thursday.The adjusted numbers for 2014 showed a surplus of $713,143. Revenues totaled $51.7 million and expenses came in at $51 million.The report was obtained through a Right to Know request by the Times Leader. Under the city&#8217;s charter, the mayor is required to provide the city controller a monthly report of the city&#8217;s financial status that includes revenues and expenses and balance of the general fund. The city council also has access to the report.As budgeted, taxes amounted to the largest revenue source for the city. At year&#8217;s end, $27.4 million in taxes were collected or 102 percent of the $26.7 million budgeted. Under expenses, public safety topped the list at $22.4 million or 98 percent of the $22.8 million budgeted.Throughout the report, various line items exceeded budgeted amounts:&#8226; Earned income taxes: $12.6 million or 106 percent of the $11.8 million budgeted&#8226; Parking violation fines: $383,506 or 170 percent of the $225,000 budgeted&#8226; Donations: $50,389 or 503 percent of the $10,000 budgeted&#8226; Medical insurance for former city council members: $3,318 or 1,084 percent of the $306 budgeted&#8226; City administrator retirement sick leave: $25,283 or 2,037 percent of the $1,241 budgeted&#8226; General building and plant contract services: $1.8 million or 9,334 percent of the $20,000 budgeted&#8226; General building and plant building utilities: $105,325 or 10,532 percent of the $1,000 budgeted&#8226; Criminal investigation overtime Special Investigations Division: $57,218 or 1,144 percent of the $5,000 budgeted.Kittrick explained the reasons for some of the high percentages as either mistakes or unexpected costs.The $1.8 million expense under the building and plant contract services was for &#8220;unbudgeted repair work that needed to be done at the police station,&#8221; he said.The 10,532-percent over budget line item for general building and plant utilities was &#8220;a typo,&#8221; Kittrick said, indicating the line-item budgeted amount should have been $60,000 instead of $1,000. Even with the correction, the expense of $105,325 is still over budget. But Kittrick said utilities for the Intermodal transportation center are paid out of the general fund throughout the year and the city is later reimbursed.The city is similarly reimbursed for overtime for police officers participating in task force programs with state and federal law enforcement agencies. However, the budget still lists the defunct Special Investigations Division unit in the line item for the overtime expense. The expense at the end of December totaled $57,218 or 1,144 percent of the budgeted amount of $5,000.&#8220;That line in the budget is used to keep separate the overtime for officers that assist other agencies,&#8221; Kittrick said. The reimbursements, though not identified as payments for overtime, were booked under the state and federal grants&#8217; categories, he said.The city budgeted revenue of $15,000 under a U.S. Drug Enforcement Administration Grant. It received $11,749 or 78 percent of the budgeted amount at the end of December.Likewise, the FBI Grant was budgeted for $8,000 and 76 percent or $6,085 was received. A total of $35,000 in state police grants was budgeted, but the city received $55,109 or 157 percent of the line item.&#8220;The budget amount varies from year to year but it ends up being a wash anyway because the reimbursements make up for the expense,&#8221; Kittrick said.<div class="metaInfo"><bylineMeta>By Jerry Lynottjlynott@www.timesleader.com</bylineMeta></div><div class="metaInfo"><shirttailMeta>Reach Jerry Lynott at 570-991-6120 or on Twitter @TLJerryLynott</shirttailMeta></div>

Draft financial report shows Wilkes-Barre ended year with $3.3 million deficit