PAGE TWO
THURSDAY, JUNE 2», IM7
THE NYSSA GATE CITY JOURNAL, NYSSA, OREGON
^4n iditoUal
FINANCIAL CHAOS
WHO CARES?
... by George
The featured article in this issue of “Your Taxes”
can be of real value to even citizen in Oregon. The
question is not that it happened in Treasure Valley
Community College, but that it did happen in Oregon.
We hare long contended that On-gon has the finest
combination of Budget I.aw and Municipal Audit Law
of any state in the Union, but after this series of
events uc wonder if there isn't too much being taken
for granted
Blame for the near chai« might properly be placed
on the shoulders of those most directly involved, the
local board and administration, but certainly not with
out fault as the occurences developed were the inde-
pendent auditor whose responsibility is to the taxpayers
of the district, the Division of Audits which is charged
with maintaining prescribed standards of accounting
and reporting to the State Tax Commission any irregu
larities in the budget procedure, and the State Tax
Commission which “shall order the municipal corpora
tion to correct its procedures in the preparation of its
subsequent budgets.”
From our on-the-spot review of the problems of
TVCC we can’t help but conclude that there were, and
still are. budget irregularities in abundance at the col
lege. Our inquiries to various officials indicate that no
censure of any kind is contemplated. We would hope,
as a minimum, that our investigation will provoke the
Commission to order corrective procedures, if, in fact,
our findings prove to be violations of, or deviations
from, the Local Budget Law. ’ ’ “
We strongly recommend to the Board and officials
of the district that the budget be re-published to con
form to the Budget Law, not only revealing to the
patrons of the district the financial plans of the college,
but the intended disposition of receipts from the sale of
the recently-approved bonds. At the very least, a supple
mental budget is mandatory prior to the expenditure
of any bond proceeds in the coming fiscal year.
Without Supervision
The Journal is carrying the entire report of Oregon Tax
Research following their exhaustive study of conditions of
TVCC’s financial conditions and the causes.
It should serve as a warning of what can occur without
proper supervision and failure to follow laws set up to protect
the interest of taxpayers.
It answers, in an unbiased manner, a number of questions
asked by Journal readers immediately prior to the May 24
election on the budget and bond issues. But it should not be
considered as opening a breach that has been closed. The
board has taken many corrective steps and should have the
full cooperation of all citizens in their efforts to right the
wrongs.
Ronald W. Batt
NAZARENE
Still Improving
Sp/4 Robert W. Batt tele-
phoned his parents, Mr. and
Mrs. Ronald Batt, Tuesday to
notify them that his condition
is improving.
He reported that be is now
able to move his hands and
arms.
The artificial kidney
machine is now used occasion
ally and will soon be discon
tinued.
Robert will be hospitalised
at Walter Reed hospital for
several mdnths more under
going therapy to regain the use
of his hands and arms.
Longs Entertain
Senior Citizens
A potluck dinner meeting of
the area’s senior citizens was
held Friday on the lawn at the
home of Dr. and Mrs. John E.
Long.
Those with anniversaries in
April, May and June were hon
ored with hirtbday refresh
ments.
Next meeting will be at 10-30
a.m. Friday on the Long lawn.
In case of inclimate weather, the
group will meet in the Methodist
church basement.
All area
residents, 55 years of age or
older, are cordially invited to
attend the semi-weekly gather
ings.
Mr. and Mrs. Arch Hunter
of Woods Cross, Utah were
recent weekend guests of cou
sins, Mr. and Mrs. Jesse Elgin.
The Nyssa couple planned to
leave Wednesday for Bountiful,
Utah to attend an Elgin family
reunion on July 1. Th-iy plan
to be gone for several days.
Church Denn;
PROLOGUE
The people of Treasure Valley Community College
have revealed, by their vote on both the budget of the
college for the coming year and their approval of the
bond issue, their support for the institution. In so
doing, thev have recognized their responsibility to
some 3.000 ]x*rsons furthering their education at the
college, and respected their moral obligation to the
hank In our investigation we found no one who con
doned or defended what happened
How did it happen? The answer is simple Those
charged with the management of the financial affairs
of the college did not follow the law in the budgeting
and exjx-nditure of public funds. Others with the re
sponsibility of overseeing and gaining compliance with
the law. either failed in carrying out their duties or
were ignorant of the state of affairs in the operation of
the college.
Was the Board of Education of Treasure Valley a
group of incompetents? Certainly not. The Board was
Members of the Nazarene
church are planning a Fourth
of July picnic to be held at
the Apple Valley School.
An invitation is extended to
all the members and friends
of the church to share in this
holiday picnic.
David Alexander, president of
the young adult fellowship, is
general chairman for the picnic
arrangements.
This family event will in
clude a pot-luck dinner with
games and activities through
out the afternoon. The schedule
of activities is set to begin
around 11:00 a.m. with the meal
to begin at 12:30 p.m. Games
and races and other events
wtn follow.
made up of men of unusually high integrity and all of
them have displayed competence in the handling of
their personal affairs. The Board made no attempt to
shed its responsibility for what happened, but what
they did was to place their trust in a paid administrator
with a unique ability for mis-rnanaging the financial
affairs of the college.
That our investigation will bear fruit is, of course,
a matter of speculation. As this is being written, we are
aware of the interest of certain state officials in trying
to bring order out of near chaos. But we are equally
aware that some will choose to brand Oregon Tax Re
search as “aginners” because of a series of complaints
lodged with community colleges in total.
We would remind those who make such charges that
community colleges undertake identical responsibilities
along with the other 1300 municipal corporations in the
state and we are a better friend of community colleges
than are some misguided or poorly advised college ad
ministrators. We’re only asking or seeking what is de
manded from all public corporations, because, after all.
OTR cares.
Youth Camp will be held at
Victory Cove in McCall, Ida.
The schedule of activities are
boys camp for ages 9-11, July
10-15; junior high camp, July
17-22; senior high camp, July
24-29; and girls camp for ages
9-11,July 31-August 5.
CjfUXCH
Members of Faith Lutheran
church will meet for a family
potluck picnic at 5 p.m. Sunday,
July 2 in Nyssa south park.
Luther League members are
organizing plans for the picnic
and recreational activities.
SAFE DRIVING
is YOUR
RESPONSIBILITY
(Not The Other Guy s)
YOU'RE IN THE DRIVER'S SEAT.
W e W ant Y ou T o L ive
Ny$$a Pharmacy
Right 00 the Corner — Right on the Price
Floyd Rhoades (on left), outgoing president of Nyssa Lions
club; and Richard Forbess, newly elected president, display
memorial plaques to be given to families of the late Warren
Farmer and Thomas G. Jones.
The deceased men were
long-longtime members of the organization. Journal Photo.
Salesman Attends
Don’t Wait ’Til Winter
TO HAVE YOUR FURNACE SERVICED
LET US DO IT NOW
AND IT WILL BE READY FOR WINTER.
101 N. FIRST
4
EDER’S
NYSSA
Georgia School
(Continued from page I)
fined to the current fiscal year which contravened and
violated numerous section* of the Local Budget Law.
Pracading Fiscal Year 65-66 Budget Ovarapant
The audit for the fiscal year ending June 30, 1966,
reveals expenditures from the General Fund were >176,-
836.98 greater than the amount budgeted. Over-expend
itures were principally occurred for classroom instruction
($15,102 84) Capital Outlay ($115,843 44) and new
buildings ($75,89850). These over-expenditures were
offset by under-expenditures in other categories leaving
a net over-expenditure of $176,836.98.
Expenditures in excess of amounts budgeted is ex
pressly prohibited by ORS 294 435 which provides that
after the governing body has adopted resolutions making
the appropriations, “thereafter no greater expenditure
of public money shall be made for any specific purpose
than the amount appropriated therefor . . .”
On May 6, 1963, voters in the Treasure Valley
Community College District approved a three year
señal levy in the amount of $42,000 to be used for con
struction purposes. With the expiration of the serial
levy, the voters subsequently approved on September
22. 1965 an additional five year serial levy for the same
amount. Each year since the serial levy was legally au
thorized by the voters, the levy has been extended on
the tax rolls and the receipts turned over to the com
munity college district. However, the serial levy Isas
never been budgeted.
Not only does the law require that such funds be
budgeted, but ORS 280.110 specifically requires that
the funds from such a levy be kept in a fund separate
and distinct from other funds and retained or expended
only for the purpose for which the fund was created.
There is no contention that the funds from the serial
levy were expended for any other purpose than which
they were intended but is cited only as one of many
instances where the Treasure Valley Community College
disregarded the law in the budgeting and exjienditure
of funds.
Another violation occurred with respect to the serial
levy in 1965. In that year, the amount of the serial levy
certified to the County Assessor was $56,000 which re
sulted from an illegal $14,000 being allowed for discounts
and delinquencies. The Attorney General issued an
opinion stating that it is not permissible to extend a
serial levy in an amount greater than authorized by
the voters. A $5,000 override was certified to the county
assessor in 1966 but was voided by the County Assessor
at the instigation of OTR.
Unbudgated Fund*
An examination of the audit for the fiscal year end
ing June 30, 1966 reveals Treasure Valley Community
College operated a number of funds that were not in
cluded in the budget. With the possible exception of the
Student Body Fund, all of these unbudgeted funds were
of a nature that should have been budgeted. The fund*
indicated by the auditor to be unbudgeted and the
nt expen
amount
expended from these funds for die year ending
June 30, 1966 are as follows:
Confirmât ion on
Ghoulish Acts
Sought by Fry
The commander tn chief of tne
Veterans of Foreign War* of the
United States Lesli« M Fry. on
June 12, called on the Attorney
General “to immediately inves
tigate reports that antiwar
groups here in the United States
have asked North Vietnamese
troops to strip American mili
tary wounded and dead of per
sonal effects for use by these
protest groups
“The report, emanating from
Saigon, claimed that this ghoul
ish order was found in a docu
ment taken from a captured
North Vietniunese officer The
document is reported to say in
pert: 'These American protest
groups requested us to provide
them with the personal articles
of American soldiers, killed or
wounded such as identification
cards, letters, pictures, personal
papers
handkerchiefs,
note
books and diaries . . .
“Our government must con-
firm or deny this report, If *
is factual, we most know who
the ‘protest groups are and
stringent action must be taken
immediately. This inhuman ef
fort is bevond my comprehen
sion
If the report is true, the
‘protest groups' have now gone
too far.
“The American people have
allowed these antiwar peacenik*
full rem in their efforts to sub
vert and destroy United States
policy in Southeast Asia, The
vast segment of American opin
ion will nse against these peace
niks if this horrendous report
is true. These people must not
be allowed to carry out their
intended crime against the fami
lies and loved ones of our brave
men killed and wounded while
ffghMng for peace m viei Nam.
They must be publicly identified
and appropriate action taken im
mediately by our government,"
(The Stars and Stripes) June 15,
1967.
Bob said it was "kinds like
being in the army agaln-with
Bob McKinney, salesman for the early rising, full day sched
Owyhee Truck and Implement ule and classes at night." He
company returned to Nyssa Sat also reported the temperature
urday follwoing an intensive as being high with the humidity
one-week training course on neck deep to add to the dis
tractors and farm equipment at comfort.
Too, there was a
International Harvester’s story of baling a rattle snake
training center at Tifton, Ga. of great size that didn’t make
He, along with 20 other men him any less eager to leave
from all parts of the U. S., this area near the Florida bor
studied and operated a large der.
number of tractors, tillage and
hay machines in actual field
GO CLASSIFIED!
conditions.
Obituaries
Disbursement I 'nbudgeted I' unds
Student Body Fund
—------—u— $ 9,938 96
Housing and Food Service ------—-------- 6,596 75
Federal Funded hutruction not determined (
)
Bookstore Fund--------------------------------------------- 39,377.65
8,484.04
Athletic Fund ——-
9,205.40
Foundation Fund --------------- - —-------
Work Study Fund----------------------------------------- 105,003.13
ORS 294.361 require* each municipal corporation to
estimate in detail it* budget resources for the ensuing
year by fund* and sources. T he Budget Law i* specific
in the kind* of resources which must lie included, and
leaves no doubt that the source of revenue from which
the unbudgeted expenditure* were made should be
budgeted. The cardinal principle of the Local Budget
Law is that n<> expenditure shall be made without an
appropriation authorizing the expenditure. •
T he failure of the Treasure Valley Community Col
lege to adhere to thi* one simple principle was directly
responsible for dir near financial collapse of die college.
Actual Salaries Not Revealed in Budget
The Local Budget Law (ORS 294.351) require*
that an estimate of expenditures be prepared by funds
and itemized to disdoae fully (boldface ours) all pro
posed expenditures therein. So far as thr estimate for
fiersonal service* (salaries) is concerned, the law re
quires, except for jiersons who receive hourly wages, the
full salary for each officer and each employee to be
listed. It is permissible to group the salaries of like
classification and salary so long as the range does not
exceed $600 per annum spread between minimum and
maximum salaries of like classifiration.
The budget document covering the fiscal year ending
June 30, 1967 contains a summary of expenditure* for
personal service*. 'Ilie casual observer examining the
document could conclude that no instructor at the insti
tution receive* a salary greater than $8,899 per annum.
Howrever, this is not the case The college engaged in
the deceptive and questionable practice of not reporting
the full salary paid certain individual* employed at the
college on a 12 month basis. A* an example, the actual
salary received by the business manager for the current
fiscal year is $13,000, as opposed to the $10,250 reported
in the budget.
OTR is not privy to the salary record* of the college
and is uncertain as to what extent tin* practice was
utilized throughout the salary schedule*. Inquiry by
OTR, as to why this practice was followed, brought
the response it was feared budgeting the full 12 month
salary would cause dissension among other teachers in
the community. The point which should forcibly be
made is that there is no room for thi* type of deception
in handling the affairs of a municipal coqioration.
Audit Report Not Critical
The audit re|>ort covering the ojieration of the
Treasure Valley Community College for thr fiscal year
ending June 30, l‘*66 was transmitted to the college on
January 27, 1967. The letter of transmittal, from the
auditor, to the Board of Education of the college, ac-
(Continued on page 3)
James Farmer
Grandchild Arrives
Services for James Farmer,
father of the late Warren Far
Elizabeth Rhodes
mer of Nyssa, were conducted
Tuesday afternoon, June 27,
Funeral rites for Elizabeth
1967 at Relyea chapel tn Boise,
Hoover Rhodes, 71, will be con
with interment made in the
ducted at 3 o’clock this after
Nyssa cemetery.
noon at the Vale Ward of the*
Mr. Farmer, 88, succumbed
LDS church.
Interment will Friday at his home, following
be made in Valley View ceme an extended illness.
tery, under direction of High’s
The deceased had been active
chapel.
in sheep ranching and farming
Mrs. Rhodes, a native of
in Idaho and Oregon since prior
Kansas, succumbed Monday at
to 1900. He was a member of
Malheur Memorial hqspital in
the LDS church, was a past vice
Nyssa, following an extended
president of the Idaho Wool
illness. She had been a resident
Growers association and past
of Malheur county since 1950.
director of the Livestock Pro
In addition to her husband,
duction Credit association.
Huion Rhodes of Jamieson, she
Mr. Farmer was a member
is survived by three brothers
of the Boise Rotary, Arid and
and one sister.
Hillcrest Country clubs.
The family has suggested that
Survivors include his widow,
contributions be made to a me
Ruby of Boise, six children, 23
morial fund established to ben
grandchildren and 19 great
efit the Nyssa hospital.
grandchildren.
A daughter was born Sunday
morning, June 25, 1967 to Mr.
and Mrs. Allan Rainsberry at
Holy Rosary hospital in Ontario.
The six-pound, 15 1/2 ounces
infant is the couple’s first child
and has been named Susan
Marie.
Maternal grantfoareots are
Mr. and Mrs. Homer Wood of
Nyssa.
Arrivals
June 23 — To Mr. and Mrs.
Marvin Bowers of Adrian ao
B-pound, 3-ounce boy, David
Wayne.
June 26 — To Mr. and Mrs.
Orville Jacobson of Nyssa a
7-pound, 8-ounce girl, Elisa
beth Diane.
IH Introduces New Type Farm Tractor
IntrcxActlon of the flrit hydrostatic-drIve farm tractor
was announced here today by D. A. Erickson, Owner of
Owyhee Truck and Implement Company of Nyssa.
Commenting on the new tractor, Just released by Inter
national Harvester Company, Mr. Erickson said," The
hydrostatic Farmall '656' Is the first farm tractor that gives
the user any speed he wants from 9 In reverse to 20 mph for
ward, and changes speed on-the-go, without the use of a clutch
and without changing the throttle."
OWYHEE TRUCK & IMPLEMENT CO
Phono 372-2228
401 Main Street
NYSSA . . . OREGON
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