City Manager Jason Molino told us a bit more about the announcement made by the city earlier today that the Internal Revenue Service had placed a lien on a City Hall bank account. Molino said the lien was the result of a "reporting error," and that the city's cash flow and debt were not affected.
"Payroll taxes are filed every three months," he added. "When you file a report with the IRS, the payroll needs to be equal to what was reported."
In the case of the payroll reported for the second quarter last year, the report was in error: that is, the numbers didn't match. Molino said that it was a one-time mistake.
"We've done the paperwork to correct the error," he said. That means that any financial penalties that may have been levied by the IRS would be revoked.
Molino said he could not comment further on the departure of Deputy Director of Finance Shelly D'Alba — also announced today following an executive session of the City Council this morning — including whether D'Alba was fired by the city or resigned.
The amount of the lien was not readily available, said Molino, though it should be provided to The Batavian soon.
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