The Town’s Liquidity sucks and who took us down that “Rabbit Hole”. Bullard, Lofton, Tebo and Tomlinson

 Remember the Ken Daniels’ emails sent to Joe Griffin?   Our CPA was so assured that one could spend fuel tax funds on the salaries of Town officials which he stated as follows:,   “Pam accounts for roads and streets expenditures; she takes minutes of the meetings in which road and streets were discussed (obviously) bills are received and paid relating to roads and Streets…the employee who patches a pot hole…Stacy manages employees relating to roads and streets (“fix that pothole); Council provides oversight/direction” 


Our CPA also stated how these funds could be allocated and his famous statement “you may lean on the LOGT (LOFT) hard due to the funding of the Roads and Streets from other sources in prior years”.    What was meant by that is the fact that we received FEMA and other money, which the County was not paid for in a two year period and we were to pretend we used those funds by taking it from the Local Option Fuel Tax (LOFT) funds.


Well last night’s story was a totally different one.  Apparently our CPA received a second opinion from Purvis Gray and Company of Ocala whereby he changed his statements that the Town was to spend LOFT for excavation, any allocations, budget Roads and Streets and budget it all on one line item.   And of course Councilors Lofton and Brown would not have caught that statement because they believe Mayor Miller is the problem when she has been stating our handling of those funds is wrong, all along. But who took us down that rabbit hole?  It was Rhett Bullard, and Spencer Lofton who have felt their opinions trump actual statutes and with the assistance of the CPA at that time, and Attorney Hatton’s full agreement that we listen to our CPA, that rabbit hole these people have taken us down has cost the Town of White Springs.  But let’s not forget Ms. Tebo who is the worst manager of all times, not understanding either finance or law and allowing her GED partner in crime Pam Tomlinson do what she wishes.  At least our CPA realizes NOW that he could be liable, if his posture did not change.


When I mentioned the fact that the attorney at the Department of State stipulated that the State virtually protects its municipalities and will not go after these municipalities, a reason was given. The State believes that Municipal CPA’s have a duty to guide municipalities in to spending money in accordance with statutes.  Instead, our CPA did not guide our municipality but rather found a way for Tebo, Bullard and Lofton to spend, spend, spend on such things as paying for the defense of Tebo to virtually sue one of our Councilors, now Mayor, Miller and remove her from her seat and let’s not forget protecting Tebo from a claim of discrimination against Anita Rivers, all from LOFT funds.  But of course, later in the meeting, when Councilman Tom Moore was concerned about getting an attorney general’s opinion because of his fear that the town would be charged for the $750,000 previously misused by Bullard and Lofton’s administrations, I likewise provided the information above. 


Mayor Miller said that the intent would be an inquiry based upon hypothetical situations rather than our statements that it was handled in that manner.  The situation passed but McKenzie not understanding what I had just stated about the Attorney at the State Department basically stated that we were not going to blame the CPA.  Didn’t he understand that I was reiterating what was stated to Joe and I from the State Department.  No, he has so much hate for Joe and I that he can’t really hear what we are saying and that is very sad indeed.


Apparently Ken Daniels also found the area where we have paid Kenny Hutcherson over $150,000 in funds whereby it was stated that we can offer health insurance for a period of two years, but it is paid by the individual employee and the cost increases by a specific amount as determined by actuaries of the company.  Of course Hutcherson’s name was not stated and I believe Daniels was discussing COBRA which I thought was only offered for a period of one year.  Hutcherson should have gone under Medicare Disability and Social Security and we should not have paid him for over two years from the Town’s funds stating it was leave money, just to keep him afloat.  But again we have the most ignorant staff between Tomlinson and Tebo in the history of White Springs, accompanied by the two worst mayors in the history of White Springs, Bullard and Lofton.  Now this entire mess has been left to Mayor Helen B. Miller to correct and I am not certain even those on the council who take her side occasionally realize that if they do not do something to make the changes she is recommending, White Springs will not only go down the rabbit hole further but in the Sewer Drain.


In the past three years the Town’s Net Operating position has been $214,000.  If we divide the total expenditures by twelve months our operating expenses come to $127,000 a month.  Our Town does not even have two months of operating expenses.  By adding the $90,000 Grant for the Willie Guy Turner Park it comes to operating expense of 2.4 months but the Town needs to have at least on the low side six (6) months of operating expense.

Daniels feels that it is a waste for Staff to collect accounts but rather than wasting staff resources, all such collections should be turned over to a collection agency….just like the money we didn’t owe that Staff tried collecting from us for the third time, right?

The General Fund’s liquid Net worth is $148,900.   In a full accrural Statement Recreation of $252,236, these projects appreciate but will drag the net down by depreciation.  Grant Revenue goes out of the operating funds as well as sale of Land. 

It was suggested by Daniels that the Enterprise funds (Sewer and Water) are not removed and placed into the General Fund.  Last year it was $44,000 and Stacy Tebo feels that it is fair to remove such money into the General Fund as she explained to Mayor Miller later in the meeting, Yvonne works on the billings and statements and there is no charge made in the Enterprise Fund.  Mayor Miller felt the only deduction that should go into the General Fund would be the 10% Tax on the Town’s Utility Services, since it is a Tax and Miller is correct in accordance with the ordinance.  Yet Tebo stated that out of that money we must pay for Garbage removal, which in my opinion is not sewer and water and is separate and distinct and should not be part of the enterprise account whether it is on the same billing or not.  It is just another lazy way of handling things by Tebo and Tomlinson.

Ken Daniels stated that we had a $124,000 drain on the Boat Ramp when we had not received the funds immediately.  Then we overbilled the customers for water and of those over charge 20 out of 400 have been paid by ordinance.  Apparently although everything was handled by our Town Ordinance, the Statute did not allow such payments to the customer per Attorney Hatton.  So much for our brilliant handling of things. 

It was also mentioned that if the Town has a bond, it should pledge its revenues to cover those bonds.  There must be a Debt Service Fund.  Apparently we can’t call it a  “Budget” if one looks at our Revenue position.  We have many deficits because we didn’t finish those grants for transportation and Roads.

We were told not to spend LOFT funds.  When it gets to May and June don’t budget 100% change our Budget to a fraction like 80%. One has to move from informal deposits to restricted funds debt compliance.  Right now we are holding $14,000 from FEMA which has not been requested to be paid back from Tropical Storm Debbie.  Our Water and Sewer revenues were $321,000 which has lowered to $262,000 in Water and Sewer revenues due to depressed billings when money had to be returned to the customer.  This caused an Operating loss in the Enterprise fund of $224,000 while $44,000 was moved to the General Fund, making our operating for sewer and water far worse.  Daniels stated it is the Town’s choice as to what they wish to do because it is the Council’s right to determine how to handle the situation.  Note Daniels apparently has found that his advice, especially in writing was not correct, so he is trying to remove all liability out of his court and into the Town’s Court.

Comments from our CPA included “Wish things were better.  Get a handle on it”.  “No policy or Commitment to Pay.  Liquidity Sucks- Crippling the ability to run the Town”.


 And then Mr. Daniels exited the buildings and took off in his Porsche Convertible.

Karin for the blog


I think it is funny that not only our CPA but our Town Attorney changed some of their prior statements about LOFT.  Perhaps they are a bit concerned about their Errors and Ommissions (Malpractice) liabilities.  Now we are to just handle things the way the Town wishes and if these councilors did not hear what Daniels was saying, they’d better heed what Mayor Miller has been stating all along, or we will no longer have a White Springs.  Get a grip McKenzie, Lofton and Brown.  I know it’s hard to admit you are wrong…but you all are wrong!!!

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