November, 2011 State Auditor Performance Report shows the Marchione Administration improved upon an outdated 2003 "Allocating Overhead Cost plan"
According to a Performance Audit by the State Auditor's Office on "Allocating Overhead Costs," 11/28/11:
According to a Performance Audit by the State Auditor's Office on "Allocating Overhead Costs," 11/28/11:
"Washington’s cities spend about $500 million per year for overhead costs such as information technology, human resources, accounting and facility maintenance. Approximately one-third of these costs are paid from funds whose use is restricted by law, including water, sewer and other utility funds.
As municipalities increasingly face shrinking revenue, they commonly use utility or other dedicated funds to help pay for overhead services. However, our past audits have found cases in which cities overcharged their utilities for overhead, essentially shifting costs onto utility ratepayers that should have been borne by all taxpayers....
The following cities participated in the audit: Aberdeen, Bainbridge Island, Bellevue, Monroe, Mukilteo, Redmond, Spokane and Tacoma. Read More >>