BAY MINETTE – An independent audit of the city’s books came back with a welcome surprise — the city ended up with more than it started with in the bank.

“The bottom line is a good number and it shows the city is going in the right direction,” said accountant Jerry Bundy. “The department heads are doing a good job.”

Bundy’s report to the Bay Minette City Council was an “unqualified opinion.” It showed no instances of noncompliance in the accounting process or in dealing with state and federal funds.

The auditor did suggest the city look more into electronic banking, both collecting fees and taxes, and in making payments. In addition to saving time, electronic transfers reduce risks.

“Some of the grants we receive are deposited in an account automatically,” said finance director Joe Landenwich. “Sales tax is also automatically deposited into our bank account.”

Bundy said the city should look into direct deposit for paychecks.

“The utilities board has been doing it for a couple of years,” said Bundy. “It offers dual benefits. It cuts down on fraud risks and you don’t have to buy checks at 18 cents each.”

The city has about 150 employees, including summer workers. Eliminating the paychecks would save around $600 in the costs of checks. But it offers other, less tangible savings.

Employees would no longer be tempted to leave early on payday to get their check in the bank. The money would be deposited automatically. Instead of a check, they would receive a pay stub every two weeks, showing how much they were paid.

“I guess we will look into it,” said Mayor Bob Wills. “It looks like it could save us some money and it would be easier for the employees.”

The fiscal year 2012, which ended Sept. 30, 2012, saw the city bring in more than $700,000 in revenues than originally budgeted. Nearly $300,000 of that amount was for increased services. The city also collected $122,000 more in taxes than expected.

The increases in revenues were offset by related increases in expenditures. The general cost of running the city, along with Culture and Recreation, and Capital funds chewed up the bulk of the budget.