Montpelier, Vt., comes clean about accounting slip

MONTPELIER, Vt. — Vermont’s capital city is coming clean about a 5-year-old accounting mistake that cost it hundreds of thousands of dollars.

After being questioned by the Barre-Montpelier Times Argus, Montpelier officials apologized and revealed the extent of the blunder in an extraordinary full-page newspaper ad.

The overpayment was prompted by a clerical error.

A contractor was owed about $85,000 for a water line project. In late 2004, the city sent him a check for $548,110, which he cashed. The city realized the mistake in 2006.

It has since gotten back about $114,000 and earlier this year won a judgment of more than $393,000, which includes interest. But the city, which has an operating budget of about $14 million, has yet to collect any of that and has given up hope of ever getting it.