PETERSBURG, Va. (WRIC) — We are getting a better image of exactly how deep the money problems in Petersburg run thanks to a recently uncovered document providing a snap shot of the money owed by the city of Petersburg.
This document was prepared on August 1st by state auditors who were brought in to help out city staff. It is the first comprehensive list of money owed to companies as of June 30th.
The paper shows at one point the city owed $23.3 million dollars, before making a $4 million payment in June which brought their debt down to $18.8 Million. Some of those waiting to collect are local departments like the 2.8 million owed to city schools. Another $1.9 million was owed to VRS, $1.7 million to Riverside Regional Jail and a whopping $3.2 million to a category just labeled “Misc. Vendors.”
Some of those waiting to collect are local departments like the $2.8 million owed to city schools. Another $1.9 million was owed to VRS, $1.7 million to Riverside Regional Jail and a whopping $3.2 million to a category just labeled “Misc. Vendors.”
The biggest line item, however, left unpaid as of this document is $4.1 million dollars in “internal loans from other funds.”
Other points of note, Anthem, a health insurance company, is still waiting to be paid $490,000. And AFLAC, another insurance company, is waiting for $24,000.
8News asked the city manager’s office what these payments were for and if they were for insurance coverage the city is behind on and they city manager was not available to answer that question.
One other thing to note is that a company called First Vehicle Services, Inc. was responsible for maintaining city vehicles to make sure they are operational. We have learned the city has discontinued their service with them to save money. But, according to this document, they are still owed $680,000.
So, who will now fix city vehicles such as fire trucks, police cars, and ambulances if they break down? This remains to be seen.