At the April 24 meeting of Catasauqua Borough Council, discussion on the results of the 2021 audit continued.

Information on the audit was released at the April 3 meeting.

Borough Treasurer Catherine VanDyne reported the borough overspent by $3 million in 2021. Some of the overspending included $92,000 for code enforcement; $2,300,000 for the Iron Works project; $438,170 for engineering services; $332,603 for legal services; $211,114 for the police department; and $99,000 for overtime pay.

At the April 24 meeting, Vincent Smith, former borough council president until December 2021, questioned the Iron Works information. He asked if the noted expenditure for the Iron Works grant was to be reimbursed by the state government.

Borough Manager Glenn Eckhart said the project was not finished.

The $42 million Iron Works project, which had been in the planning stages for more than 10 years, received grant money in excess of $4 million for site preparation work the borough was obligated to perform.

The project was reportedly in the site preparation phase when, in early June 2022, Dunn Twiggar, the site development firm, sent the borough an email asking for an extension of the sales agreement that was set to lapse a few days later.

Council did not act on the extension request. The borough reportedly received a termination letter June 3 from Dunn Twiggar.

Smith alleged only select parts of the audit were released during the April 3 meeting, adding this discrepancy has caused a lack of faith and trust within the ranks of the community. He suggested complete details be reported during meetings, giving attendees and the press “the full picture.”

“It’s a lot more professional and balanced to have global overview, up through this year, as opposed to picking certain issues that fit someone’s agenda,” Smith said.

VanDyne said she took over the budget accounting in 2021. She alleged overspending on engineering, legal services, police department and overtime lacked appropriate checks and balances, adding all bills and expenditures need appropriate paperwork to disburse funds.

Beginning with the 2022 budget, Van Dyne said, there is more fiscal accountability.

According to Eckhart, the current budget is $55,000 less than the previous year. He added expenditures are currently on target, specifically all current line items and their budget numbers.

Smith recommended the budget and its current status be made available to the public view, thus revealing overspending and minimizing shock.

Eckhart said when council receives bills for approval, it is assumed the funds have been disbursed.

Smith then questioned how the bills got approved if the money was reportedly not there.

Members of borough council offered no excuses regarding the possible mishandling of expenditures but did state some of the numbers may be skewed.

In other budget news, it was mentioned the borough will be receiving $600 a month from Grace Industries, which is leasing a portion of the George Taylor House plot. This is anticipated to be a three-year contract.