Nolensville Interim Mayor's "Sweetheart" Bank Deal Raises Serious Money Management Questions???

Nolensville bank proposal raises money-
management questions Citizens, aldermen
agree: Nolensville needs more control over
checks, balances. By Charles Booth Staff
Writer/Tennesseean: Thurs., 09/14/06

NOLENSVILLE — Hoyt Bedingfield, a former
director of finance for the city of Birmingham,
Ala., went to the Nolensville Board of Mayor
and Aldermen meeting Sept. 7 with a question
about the town's checkbook. He thought it was
strange that local elected officials have direct
control over the finances, which is not how he
saw things done in Alabama. And since he's
been a Nolensville resident and taxpayer for
the past six months, he decided to address the
board about his concerns."I would suggest that
the mayor and aldermen have better things to
do than possibly be in the day-to-day administ-
ration," he said. "Delegate that to a qualified
person that you have on staff." (How very right
he is! Qualified, got it? Not interim realtor/
mayor and town recorder/secretary? And you
don't vote for yourself...Mr. Interim Mayor!)

The town, which has invested its money in First
Tennessee Bank for about 10 years, is in the
process of also opening an account with Peoples
State Bank ofCommerce. This move is what
sparked Bedingfield's interest.The bank is seek-
ing a partnership with the town since it recently
moved its headquarters into Nolensville.
"We would like to do business with the city,"
said Rick Moody, president and CEO of PSBC.
"We're really well capitalized to provide the
collateral needed to accept the city's funds."
(But they arenot a member of the State's Co-
llateral Funds Pool (low risk/hi-return) so
some don't recommend town deposit their
funds with them. Even though the bank offer-
ed generous interest rates and special offers
for only town employees. Call it an incentive
package but interim mayor did not share the
6/7 bank letter with his board members.
See 9/13 previous post for details).
The ordinance still needs to be passed on
second reading by the town's board, but it
would not end Nolensville's relationship with
First Tennessee Bank. (Which as of 1996 is
the town's official depository of town funds
for 10 years and doing an excellent job. So
why add another bank?)

"This ordinance, if passed, would authorize
another depository," Attorney Bob Note-
stine said. "It doesn't delete First Tennessee
as a (the)primary depository, but it does add
Peoples State Bank as a depository." (The
interim mayor had no comment on why the
town needs another depository? Sweetheart
deals never entered my mind...no sorrrreeee!)

But Bedingfield thought someone other than
the board should be handling this matter.
He said elected officials have a duty to "pro-
perly manage taxpayer assets," and someone
such as a city manager should be in charge of
those decisions. (Nolensville desparately needs
an experienced professional city manager like
Franklin and Brentwood.)
The town doesn't have a manager, but Mayor
Dugger said Nolensville does have someone
who oversees the finances. "Cindy (Lancaster)
is our town recorder. She's in charge," he said.
(Not so fast interim mayor in 7/6 you voted for
yourself & the town recorder to be authorized
to handle the town's investment funds by resol-
ution #6-16. Two serious mistakes: Can't be
done by resolution and you can't vote for your-
self?)
Alderman Joe Curtsinger agreed with Beding-
field that the town's elected officials shouldn't
have so much control over its finances. (Most
financial experts agree the mayor and/or a
secretary should definitely not be the SOLE
controllers of the town's funds.)
"I think we should look at the formation of
an investment committee or something,"
he said. "Especially when we're talking about
investing funds." (A suggestion that the inter-
im mayor said.."he absolutely disagrees with!)

Curtsinger suggested they rework the ordinance,
but the rest of the board voted in favor of it on
first reading. (Without rescinding the 7/6 #6-16
resolution which could make #6-20 NULL &
VOID.) If it passes on second reading this fall,
Nolensville will invest some town funds in PSBC.
(This will not happen unless the interim mayor
corrects the many mistakes he has made on this
matter since July 2006. BTW the audience of
citizens will probably demand his correcting the
many errors.)

Channel 4 I-Team is closely watching just how
the interim mayor cleans up his performance
and this entire banking mess!

Read what Mrs. Beth-Weavers Lothers, Candidate
for Mayor, is saying about PUDS? CLICK HERE.
www.whatsgoingoninnolensville.typepad.com
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