Editor's Note: This article has been updated to clarify who was running the festival prior to Legacy CTX taking over operations.
The Village of Salado faces a financial crisis following the discovery it spent money that did not belong to the village.
- Nearly a million dollars were placed in the wrong account.
- The error can lead to a big budget deficit.
BROADCAST TRANSCRIPT:
"So many people have experienced this, and if we had all rallied together, maybe we wouldn't be in a 2.2-million-dollar deficit," Salado resident Theresa Howard said.
Salado Mayor Bert Henry announced at a town hall meeting on Tuesday that the city deposited a $945,000 check into its general fund.
But the money did not technically belong to the city, it was money to be placed in escrow for a development project.
At this point, the mayor says the money was deposited into the city's account by mistake.
But a former Salado alderman I talked to tells me money mismanagement is a recurring issue with the city.
"I’m hurt, I mean, it's unacceptable, I mean, government is for the people," former Salado alderman Jason Howard said.
Howard tells me the mayor's announcement was a total shock to him—as the auditors told the council they were in a good place financially.
But other neighbors say they weren't surprised at all.
"I run a nonprofit here, and for years we've been trying to, you know, make it known to people that we have a very corrupt village government," Salado resident Theresa Howard said.
Theresa says her nonprofit, Legacy CTX, noticed money issues with another group in the city regarding the Sirena Festival. She tells me she took over the festival from Tiffany Schreiner, after noticing funds were missing. I reached out to the city to speak with them about the issue, but they refused to get back with me.
"No one wants to see taxes raised, right, no one," Theresa said. "It's a mix of frustration that it got to this point, and relief that it's finally coming out."
Editor's Note: This article has been updated to clarify who was running the festival prior to Legacy CTX taking over operations.
