Mayor Madden Under Fire for Delayed Financial Report Release - Lacks Transparency - Mandeville, LA

Mandeville residents are raising concerns over Mayor Clay Madden's delayed release of the FY2023 Audited Financial Report, initially promised by March 1st. Despite the commitment, Mayor Madden now pledges to release the report on March 6th, a mere three days before the start of early voting. 

According to the Mandeville, LA City Charter, the mayor is required to furnish a complete financial report to both the city council and residents within 45 days following the end of the fiscal year, which concluded on August 31, 2023. However, with the report now 137 days overdue, questions arise as to whether the mayor intentionally withholds critical information during his reelection campaign, as early voting commences on March 9, 2024.
Council at large, Rick Danielson, sheds light on a five-month-long struggle to obtain the FY2024 budget document, including the closing General Fund balance from the end of FY2023. Despite numerous assurances from the city finance director and a subsequent promise from Mayor Madden, the necessary updates were never made, leaving financial transparency in question.

The situation escalated when a mayoral candidate, Mr. Lyons, faced rejection of two public records requests for the report. Advised by counsel, Mr. Lyons filed a lawsuit with the 22nd district court, to compel Mayor Madden to disclose the information. 

Initial reports from the city revealed a significant deficit, which Mayor Madden attributes to Hurricane Ida spending nearly two years after the storm's occurrence. However, critics argue that the city's financial woes are not attributable to Ida spending or potential FEMA reimbursements. Rather, they stem from substantial employee raises averaging 16.7% over two years, soaring departmental expenditures, and stagnant revenue growth, leading to expenses outpacing revenues. 

Despite Mayor Madden's assertions in a video that city finances are "great," scrutiny of the presentation by the CPA firm CRI to the council and mayor paints a different picture. While CRI acknowledges a healthy general fund balance, it's notable that this balance was cultivated during Mayor Villere's tenure and has since been depleted, leaving emergency funds for future disasters in jeopardy. 

Equally troubling is P&N's warning that the city may not be reimbursed for over $3.65 million in Hurricane Ida recovery spending due to missed deadlines for submission. With salaries and benefits accounting for 70% of the operating budget and no permanent funding source identified, concerns mount over the sustainability of such high labor costs. 



The finance director has warned that massive increases in spending without a corresponding increase in property taxes and fees are "dangerous." Mayor Madden's attempt to shift blame onto the council for approved spending further exacerbates tensions.

As Mandeville residents await the overdue financial report, transparency, accountability, and prudent fiscal management remain critical issues in the upcoming election cycle.
Location: Mandeville, LA, USA

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