Thursday, August 24, 2006
The city of San Diego will have to pay at least $45 million to make the changes recommended in the Kroll report. But mayor Jerry Sanders says he's committed to acting on all of them, in order to restore the city's credibility on Wall street. KPBS reporter Alison St John has more.
Mayor Sanders says he's working as fast as he can to act on the Kroll report recommendations, issued August 8th. The changes add layers of extra oversight to make sure the city does not hide it debts and liabilities in the future, They also require millions of dollars in new information technology to make financial reporting more transparent.
Sanders: "For too long San Diego has been held up as an example of how not to do things. We now have an opportunity to embrace reform and serve as an example of how a city can credibly get its affairs in order and move on to a very productive future."
Sanders says the city's long delayed audits should be up to date by next spring.
In spite of the city's massive deficits, he hopes once the city's finances are out in the open, the credit rating will be restored, and the city can borrow on the public markets again by next summer. Alison St John, KPBS news.