Audit reveals errors in building permit fee allocation process

Concerns over financial discrepancies took center stage during the Board of Mayor and Alderman Study Session Meeting in White House, Tennessee, on December 19, 2024. City officials discussed issues related to the allocation of building permit fees and impact fees, revealing a significant oversight in the accounting process.

The discussion highlighted that while online transactions for building permits were functioning correctly, in-office transactions were not being recorded properly. This led to a misallocation of funds, with fees intended for impact services—such as police, fire, and road maintenance—being incorrectly categorized solely as building permit fees. The city’s finance team acknowledged that this manual error stemmed from a misunderstanding of the product codes used during the transaction process.

Officials confirmed that corrective measures have already been implemented, including adjustments in journal entries to rectify the financial records. “It’s like it never happened,” one official stated, emphasizing that the necessary funds have been moved and accounted for, ensuring no impact on the general fund.

Looking ahead, the city plans to enhance training for new staff to prevent similar issues in the future. The finance team reassured the board that revenue projections remain on track, indicating that the overall financial health of the city is stable despite the recent challenges.

This meeting underscored the importance of accurate financial management and the need for ongoing oversight to maintain the integrity of the city’s revenue systems. As the city moves forward, officials are committed to ensuring that all financial processes are thoroughly checked and balanced to avoid future discrepancies.