City Council To Discuss Cash Flow Crisis In Montebello
MONTEBELLO (CBS) —City leaders are set to meet Wednesday to address a cash flow crisis that one official says demands "immediate corrective action".
Interim City Manager Peter Cosentini has asked Montebello's City Council to hold a special meeting after he warned that the city was strapped for cash and may have trouble paying employees or bills if authorities don't take "immediate corrective action," the Los Angeles Times reported.
"The true nature of the city's cash deficit" was hidden for many years by accounting maneuvers, Cosentini warned in a statement Tuesday.
"Figuring out the math has been challenging given the lack of sufficient documentation provided as well as the lack of transparency," the Times reported Consentini as writing.
City officials found two previously undiscovered bank accounts earlier this year containing city funds of which they were not aware.
There is concern among some observers and Montebello administrators that the city may be forced into bankruptcy, The Times reported.
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