KINGMAN – The financial services department took steps about a week ago to decrease the credit card spending capabilities of City employees by reducing the number of employees with access to City credit cards, as well as the spending limit on those cards.
City credit cards were reduced from about 40 to 31, and spending limits for some middle-managers were reduced from a limit of $5,000 to $2,500. Department directors still retain the spending limit of $5,000. The new policies were requested by Interim City Manager Jim Bacon, said Tina Moline, financial services director.
“The Interim Manager came in and felt that some of those employees and middle-managers did not necessarily need the credit cards and that the directors could make those purchases,” she said.
Moline noted that the limit reductions were not because those limits were reached or exceeded. In fact, one reason for the limit reductions was because the spending limit of $5,000 was never utilized.
“After looking at the purchasing history, they were never even close to those $5,000 limits,” she said.
While these weren’t the only new policies implemented, it is expected that they, by themselves, will reduced the City’s periodic financial expenditures by more than 40 percent.
Other policies implemented addressed in writing detailed descriptions of financial department procedures on “everything the finance department does, all of its services and responsibilities,” Moline added.
From bank reconciliations to accounts payable, payroll and travel policies, these procedures have not changed since Nov. 17, 2015, but are now in written form. The policies were revamped in 2015 after former Interim Finance Director Diane Richards was accused of embezzling more than $1 million from the City. Richards was sentenced to nine years in state prison Oct. 4 after pleading to four counts of felony theft.