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Article updated: 12/4/2012 4:56 PM

Dixon budget rebounding after comptroller's arrest

By

DIXON, Ill. -- The budget in Dixon is on the rebound after the city's comptroller was arrested for stealing more than $53 million in public money, the city's new finance director said.

Paula Meyer told city council members Monday night that the city's operating budget is still $16.6 million short, but, she said, the city has seen a $3 million rebound since comptroller Rita Crundwell was arrested in April.

"I wanted to show this is where we were at, and this is where we're at now," Meyer said. "There are going to be limits to what the city can do. They are limited on what they can borrow, and limited to what they can do to react to needs."

Crundwell pleaded guilty last month to stealing more than $53 million from the city over the last 20 years. The Telegraph in Dixon reports (http://bit.ly/SK2iiu) that the city lost $30 million in operating fund over the last decade.

Meyer says the city's capital development fund was worst hit. She says that fund lost about $2.4 million.

Crundwell is scheduled to be sentenced in federal court this February. U.S. Marshals are selling her belongings to raise money.

Previously consultants told the city that it should pay back about $7 million it owes to municipal funds including the motor fuel tax fund, the downtown development fund, the band fund, the Oakwood Cemetery fund, the civil defense fund and the emergency vehicle fund.

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