By David Eck
Enquirer contributor

MONROE - After wrestling with a budget crisis for much of the year, city officials on Tuesday outlined dozens of new procedures for handling city money.

The new procedures come in response to a draft state audit that found flaws in nearly every way money has been accounted for and spent in recent years.

Poor internal controls and accounting practices and uncontrolled cash spending in 2002 led to a $3.1 million fund deficit, $660,000 cash deficit and check overdrafts, the audit shows.

A few of the new controls include:

• Reassessing how all money is posted to correct inaccurate recording of revenues.

• The finance director and city manager reviewing all monthly financial statements to ensure accuracy.

• Improving budget procedures and controlling spending, which has eliminated the need to hold checks until they can clear.

• The city manager reviewing all expenditures prior to signing purchase orders. The manager will also review departmental budgets with department heads monthly.

"We are currently up to date with all our bills," Acting City Manager William Brock said. "We have completely reviewed all our debt."

The audit found no money was missing.

"We totally changed the way we're doing business," Mayor Michael Morris said.

About 40 residents attended Tuesday's council meeting to hear the discussion of the audit and the city's response.

E-mail daveck@fuse.net