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California State Auditor Logo COMMITMENT • INTEGRITY • LEADERSHIP

City of Blythe

Inadequate Planning and Other Ineffective Management Practices Hinder Its Ability to Provide Needed Services to Its Residents

Report Number: 2020-802

HIGH RISK ISSUES

City of Blythe Risk Designation:  High Risk




ISSUE
Blythe’s Financial Stability Remains Uncertain Even With Recent Improvements
  • Favorable Economic Circumstances and Stable Spending Have Helped Improve Blythe’s Finances, but Its Reserve Is Still Low
  • Although Blythe Has Sought New Sources of Revenue in Recent Years, Some Results Are Uncertain and Others Have Not Materialized as Expected
  • The City Would Benefit From a Plan to Establish Its Long-Term Priorities
Blythe Must Address Deficits in Its Enterprise Funds as Well as Unmet Safety and Infrastructure Needs
  • The City Intends to Use General Funds to Replenish Historical Shortfalls in Some of Its Enterprise Funds
  • Blythe’s Pension Burden May Exceed Available Resources
  • Blythe’s Future Public Safety Needs Will Require Substantial Additional Resources
  • The City Could Do More to Address Vacant Buildings, Which Pose Public Safety Risks and May Strain City Resources
The City Needs More Effective Management Practices to Improve Its Financial Stability and Its Ability to Provide Services to Residents
  • Blythe Has Not Ensured That the Utility Rates and Service Fees It Charges Consistently Cover the Cost of Providing Services
  • The City’s Contract Management Practices Rely Too Heavily on Institutional Knowledge, Increasing the Risk of Fraud, Waste, and Improper Payments
  • The City Has Needed a Permanent City Manager for Years
Appendices
Appendix A—Scope and Methodology
Appendix B—The State Auditor’s Local High‑Risk Program
Agency Response
City of Blythe
California State Auditor's Comments on the Response From the City of Blythe

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