So long, Section 56: Decades-old Akron budget provision usurping council authority is history

A decades-old provision in Akron's operating budget that allowed the mayor to unilaterally approve professional service contracts over $50,000 dollars without scrutiny from City Council is gone.

During council's budget and finance committee meeting Monday, Finance Director Steve Fricker said the so-called Section 56 that has historically been included in the operating budget ordinance is toast.

There is still a Section 56 in the 2024 budget ordinance, but it's not the same Section 56 that drew criticism from council last year.

"That language has been entirely removed from this operating budget," Fricker said. "There is still a Section 56 that basically has some language that basically allows us to make disbursements, but there is no language in this budget ordinance that allows the administration to contract for professional services over $50,000. Those pieces will all come to council."

Here's what you should know about the now-extinct version of Section 56.

What was Section 56?

Section 56 was a line item in the operating budget ordinance introduced in 1966 by Mayor John Ballard and his finance director that allowed the mayor to approve contracts, even those for more than $50,000.

It had been present in every operating budget since — until this year.

With the language, City Council essentially relinquished its power under Section 95 of the city charter, which provides that the mayor must get council approval for expenses "in excess of $50,000."

Section 56 in a previously proposed city budget ordinance first appeared in the 1960s. Since then, it's been used by mayor's to get around a rule in the city charter that requires the mayor to get spending approval for purchases and contracts of more than $50,000.
Section 56 in a previously proposed city budget ordinance first appeared in the 1960s. Since then, it's been used by mayor's to get around a rule in the city charter that requires the mayor to get spending approval for purchases and contracts of more than $50,000.

Did former Mayor Dan Horrigan's administration use Section 56?

Horrigan, and every other city administration for the past 56 years, used the provision to approve contracts with no oversight. Between 2021 and 2023, Horrigan used Section 56 to issue 362 contracts worth $121.5 million.

While the 2023 operating budget passed with Section 56 intact, Horrigan said he wouldn't use the provision to sign new contracts without council's approval.

How did Section 56 come to light?

The provision came under scrutiny by council last year due to the Beacon Journal's reporting, sparking debate at City Council and culminating in the elimination of the language from this year's budget.

Contact reporter Derek Kreider at DKreider@Gannett.com or 330-541-9413

This article originally appeared on Akron Beacon Journal: Akron budget language that usurped council authority for decades is gone