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Inexperience of leaders fuels crisis

Imagine for a moment applying for the job of Chief Financial Officer (CFO) for any of the large entities in the City of Dunkirk, such as Refresco, Brooks-TLC Hospital or Wells Enterprises. Some of the questions asked during the interview are:

— Do you know how to create a yearly budget?

— How about creating a 1-year/5-year/10-year projection plan? Do you understand how to read financial statements?

— Do you know how to create a budget for a multi-million-dollar company, as well as allocating all revenue appropriately?

— Do you know how to ensure incoming revenue matches expenditures?

You answer each question with “No, I don’t really know.” And in the end, the interviewer tells you “Great! You have the job…congratulations!”

Do you really think he/she would say that? Let’s say you do get the job…how would you even begin to undertake these duties without any prior experience, or at the very least nominal understanding? Being these are not functions suitable for on-the-job training or “learn as you go” …we can assume that you would probably do a dismal job as CFO, potentially creating real monetary problems for the company overall. And while you’re picturing this scenario, imagine being given the position for 2-4 years without any oversight or even a yearly review. Can you see how quickly a company could potentially get into financial trouble, having someone as the CFO not truly understanding the financial aspects of the overall operation?

This is the heart of the problem the city of Dunkirk is currently facing … and has in the past as well. The elected positions of mayor and council demand all of these functions/duties be fulfilled, and yet we elect people not based on their experience but on personality. With a yearly budget of over $28 million, six people are literally given the collective position of CFO for the City of Dunkirk.

Without prior experience. Without oversight. Without question.

No functioning company would ever hire an unqualified person to handle their $28 million budget without experience, and yet this is the normal state of affairs for us. To be fair, this is probably how every city/town/municipality throughout the United States is being handled, with elected officials being “hired” without any thought to experience. And this should be addressed throughout the country.

But in this case, we’re focusing on us, and the recent state audit highlighting the current failures of governance. I’m not pointing fingers at any one person, for I was also an elected official and no one asked me if I understood all the duties my position encompassed. Which brings me to the point: how do we fix this?

There is a solution, but too many people disagree for various reasons the logical conclusion: hiring a qualified City Manager. Someone who is educated in all affairs of a city and managing a $22 million budget. Someone not politically affiliated…just someone who is hired based solely on his/her qualifications.

Just like any business would hire someone to oversee their financial operations. Businesses don’t care what the CFOs political leanings are…they are concerned that they understand the position and get the job done. And if that person isn’t able to fulfill the functions of the job, they are let go. That’s the way successful businesses are run. Why isn’t the city considered a large business?

In my opinion: elected officials don’t have any skin in the game. They aren’t financially invested in the City of Dunkirk. There are no stakeholders, and no one is personally invested. And so, the city’s finances aren’t treated like the finances of any functioning, profitable company. If we’re ever going to dig ourselves out of the financial mess past and present administrations have put all of us in, we need a qualified person to take over.

Or, we can keep doing the same thing and handing the reins to unqualified people, hoping they know what they’re doing. But no one should be surprised when huge shortfalls are discovered, proper planning wasn’t/isn’t undertaken, and revenues consistently fall short of expenditures, eventually forcing ongoing property tax increases to make up the shortfalls. There is a solution to our problem.

The real question is…can we come together and agree what’s not working and fix it? I sincerely hope so. For the sake of all residents who are horrified at the huge property tax increase being proposed for 2025, and perhaps for years to come.

Stephanie Kiyak is a former council member-at-large.

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