Key Takeaways:
- Baltimore spent $2.9 million on unauthorized purchases in 2024.
- 72 purchases lacked proper approval, bypassing city regulations.
- Errors included forgotten renewals, missed deadlines, and oversight.
- Examples include a gym membership, document scanning, and catering.
- The city faced other financial missteps, like overpriced rental cars.
Baltimore’s $2.9 Million Spending Mistake: A Look at Unauthorized Purchases
The city of Baltimore recently revealed that it spent $2.9 million without proper approval. This discovery, made by OpenTheBooks.com, shows financial mismanagement in 72 transactions. These purchases ignored the necessary steps, meant to ensure wise and fair spending.
How Baltimore’s Spending Process Works
In Baltimore, the Board of Estimates must approve all contracts. This board includes the mayor, comptroller, and city council president. The goal is to avoid waste and ensure competition among companies bidding for contracts. However, recent events show gaps in this system.
Mistakes and Mishaps: Understanding the Unauthorized Spending
Most of the unauthorized spending wasn’t due to emergencies but to simple mistakes. For instance:
- Sheriff’s Department Gym Membership: The department forgot to cancel a gym membership, costing $65,400.
- Public Works Document Scanning: A contract renewal oversight led to an extra $36,000 payment.
- Fire Department Catering: Despite canceling an event, $572 was paid for catering that wasn’t used.
Other Spending Issues in Baltimore
This wasn’t the only financial misstep. Baltimore also mishandled a $34 million rental car budget. They kept an overpriced contract and even mistakenly sold a resident’s Toyota Tacoma, paying $51,141 in reimbursement.
Lessons Learned: The Need for Accountability
The case of Baltimore’s unauthorized spending highlights the importance of careful financial management. Just as individuals monitor their bank accounts, cities must track every dollar. This incident shows the consequences of poor oversight and the need for better accountability in public funds.
This spending error serves as a reminder for all cities to review their financial practices. Ensuring each purchase is approved and necessary is crucial for maintaining trust and accountability.