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<br />I <br /> <br />I <br /> <br />I <br /> <br />City of New Brighton <br />June 14, 1983 <br />Page Two <br /> <br />the points made in the auditor's report, but would <br />look to the staff for further comments. <br /> <br />3. Councilmember Benke stated he felt there was <br />no evidence at this point that would document <br />wrongdoing but neither could it be documented <br />that funds were not misused. He further stated <br />he felt there was no way to prove either innocence <br />or guilt. He stated that employees were not <br />given a chance to respond, and urged the Council <br />to keep an open mind as to these findings. <br /> <br />Motion by Benke to direct staff to provide the Council <br />with a status report at the next meeting responding <br />point by point to the findings presented by the State <br />Auditor in his report, including actions taken to <br />respond to these actions. <br /> <br />Mayor Harcus responded that he recommended that the <br />City form an audit committee to review the performance <br />of the auditors and assist in the selection of the <br />auditor. The Mayor further stated that the State <br />Auditor had turned the report over to the County Attorney. <br /> <br />Mayor Harcus suggested that the Council adopt a resolution <br />requesting the County Attorney to call a Grand Jury. <br /> <br />Councilmember Blomquist stated that as a point of <br />order, there was a motion on the floor, that had <br />not been seconded. <br /> <br />Councilmernber Schmidt stated that the County Attorney <br />must determine if there is enough evidence to convene <br />a Grand Jury. He further stated that it was the <br />County Attorney's responsibility and the Council did <br />not have to pass a formal resolution to that fact. <br /> <br />Councilmember Schmidt stated that the Council could <br />not downplay the management deficiencies addressed <br />in the State Auditor's report but felt the newspaper <br />article did not give staff or the City enough credit <br />for taking the initiative to correct the problems and <br />clear the air. He further stated that it was the <br />City that turned its report over to the State Auditor, <br />and that he agreed with Councilmember Benke to have <br />staff respond to the items in the auditor's report. <br /> <br />Councilmember Blomquist stated he agreed with Council- <br />members Schmidt and Benke and also was disappointed <br />in the Auditor's report. He further stated that he <br />supported Benke's motion. <br /> <br />Councilmember Janecek seconded Benke's motion, and <br />stated she also was disappointed in the content of <br />the State Auditor's report. <br />