Esto Council reviews town’s financial standing amid funding concerns

The Esto Town Council met for its regular session on Tuesday, October 21, where members discussed growing concerns over the town’s financial condition.

During the meeting, Council Member Heather Huckaby questioned the town’s ability to meet financial obligations after noticing lower-than-expected fund balances despite recent cuts to employee hours and wages. Huckaby said she was hesitant to sign checks without confirmation that sufficient funds were available to cover pending payments.

Town Clerk Ben Tew reassured the council that funds were currently available, though he acknowledged that balances were tight. Shortly afterward, Huckaby noted what appeared to be excess funds in the general account. Tew clarified that the additional amount represented grant funds temporarily held in the same account.

Town Attorney Michelle Jordan advised against mixing grant money with general funds, noting that grant dollars are typically earmarked for specific uses and cannot be spent on unrelated expenses. Huckaby then requested verification of the town’s general fund balance excluding grant allocations. Tew confirmed the account remained solvent but acknowledged that the margin was narrow.

As discussion continued, concerns were raised about the potential for insufficient funds to meet payroll obligations. Jordan noted that such a scenario could qualify the town for financial emergency review under Section 218.503(1) of the Florida Statutes. She read portions of the statute outlining conditions that trigger state oversight, including failure to pay wages, debt service, or required contributions due to lack of funds.

Under state law, municipalities facing these conditions must notify the Governor and the Legislative Auditing Committee. The Governor’s Office may then determine whether the municipality requires state assistance to avoid or resolve a financial emergency.

Council members did not take formal action regarding the matter but agreed to continue monitoring the town’s financial position and ensure all accounts are properly managed moving forward.