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State to begin withholding Allouez Township’s revenue share

The Allouez Township Community Center is pictured. (Photo courtesy of Allouez Township website via Houghton Daily Mining Gazette)

ALLOUEZ TOWNSHIP — The state of Michigan Department of Treasury on Nov. 28 informed Allouez Township officials that the state will begin withholding revenue sharing funds to the township.

The reason for the action, as stated in the letter, is because the township has not yet submitted its annual audit report to the state, as required by the Uniform Budgeting and Accounting Act. It was the fourth warning sent by the state.

An Oct. 2 letter from the state treasurer’s office to Allouez, sent vial email, says that the Act requires all units of local government to file with the state treasurer a completed Annual Local Unit Fiscal Report, which the township had not done for the fiscal year of 2023.

A subsequent email, dated Oct. 23, warned the township that the same public act authorizes the state treasury to conduct the audit at the expense of the local government, or it may instead withhold revenue sharing until the township comes into state compliance.

“To avoid either of these actions,” the letter cautions, “your certified public accountant must submit the audit within 30 days from the date of this letter electronically.”

Another letter was sent, via e-mail, on Nov. 3, informing the township that revenue sharing payments will be withheld until the audit report is received by the state treasurer’s office.

The Nov. 28 letter from that office to the township says that revenue sharing payments will be released upon the receipt of the following:

≤ The above-referenced audit report

≤ Auditing Procedures Report

≤ Single audit, if applicable

≤ Report of Deficiencies or Findings.

Allouez Township Supervisor Mark Aho said on Friday that due to some discrepancies in payroll accounts, the township’s auditor is still working to complete the report, adding that while the township is waiting for the finalization of that report, the township’s IRS filings have been completed.

At the township’s regular December meeting, the township clerk, Becky Butala, who took responsibility for the township’s not having filed its audit, suggested she might consider resigning from the elected position.

Aho said on Friday that she had not yet said she would.

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