McAllen Audit Shows Now Problems

By Davis Rankin

McAllen city commissioners found out Monday that the city’s financial house is in order and they gave the go ahead to buy more water for the city.

The Audit Partner for Grant Thornton, McAllen’s auditing firm, told commissioners that they will get a “clean audit opinion” on the city’s financial statement for fiscal year 2016-2017, “meaning they are free of material misstatement.”

Angela Dunlap said she had “no scope limitation and could look at any document we needed to look at and we were able to talk to whomever we needed to talk to.”

The commission’s regular meeting Monday night began as a joint meeting with trustees of the McAllen Public Utility Board (PUB).  PUB trustees are elected the same as commissioners and over see sewer and water services for McAllen.

Trustees and commissioners also voted to add more water to the city inventory, “to allow City of McAllen to continue to sustain a growing population.”

PUB General Manager Mark Vega urged permission to apply to the Texas Water Development Board’s State Water Implementation Fund for a $6,900,000 loan to buy 3,000 acre feet of surface water rights from Hidalgo County Irrigation District #1.  That amounts to $2,300 per acre foot.

Vega said adding 3,000 acre feet amounts to an additional 1 billion gallons of raw water and would bring the city water supply to 12.5 billion gallons of raw water.

Finally, trustees and commissioners voted to renew McAllen’s depository bank agreement with Plains Capital Bank, extending it until July 31, 2019.  City Manager Roy Rodriguez told them “We’ve been very happy with their services.”

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