The Municipal Accountability Review Board (MARB) is a state board that provides oversight to financially distressed municipalities. West Haven was moved to the board’s highest tier last April after $900,000 in a $1.15 million federal grant for pandemic relief was misspent. MARB controls bond ordinances, budget transfers, contracts greater than $50,000 and has the right to appoint a finance manager, who will work in city hall to give advice and mandates.
To help West Haven with finances, MARB implemented a financial management firm. In August, a contract was formed with Protiviti Government Services, a Virginia-based subsidiary of management consulting Robert Half. There has been a meeting with Protiviti officials and stakeholders to begin their work here in West Haven.
The executive finance manager of the state Office of Policy and Management, Kimberly Kennison said, “I’m very excited about this, and also being able to help the city move forward and address those items that need immediate attention.”
The contract was obtained by the New Haven Register and Protiviti will be paid $1.4 million for the work done in West Haven. This will be paid by state funds that are available because of Tier IV related expenses. The contract will be in effect until March 31, 2025.
Additionally, the new contract enforces that there needs to be a financial manager, “In addition to monitoring city activities and operations for compliance with Tier IV requirements, the financial manager is expected to carry out certain MARB powers to be delegated by the board, to ensure the implementation of measures designed to improve or correct financial operations and to monitor the city’s adoption of those measures.”
The main contributions that Protiviti will be adding to the town are to support the MARB in its oversight of West Haven and provide the city with project management support and coaching.
A financial analysis of West Haven has been prepared to serve as a road map for Protiviti which was commissioned by the MARB. The results of the analysis have not been made public yet since the information could make West Haven susceptible to attack according to MARB officials.
The MARB is expected to make all decisions and Protiviti’s role according to the contract is “limited to advice and project management support.”
This is the first time the state Office of Policy and management will be placing a financial management liaison in West Haven since it escalated to a Tier IV municipality. Making it unclear how much legal authority the state can mandate to make sure the city complies.
“My administration will provide the financial manager leadership with no excuses and without delay as has been the status quo of the Rossi administration,” Barry Lee Cohen, the winner of the Republican mayoral primary, said. “The sooner we show good faith and comply with the MARB mandates, the better.”
The Democratic mayoral nominee, state Rep. Dorinda Borer said on the topic, “Robert Half has a strong reputation and I think it’s great we will have that financial support on the ground.” Although, she also said, “It’s my goal however if elected to build trust and confidence amongst MARB through my constructive collaborative actions and demonstrate that we have the ability to manage our own City. We should be able to do that long before 2025.”
Protiviti Government Services may be a step in the right direction for West Haven after mishandling finances over the last few years.