A Recent State Audit Report Reveals That The City Of Moorhead's Budget Is In The Red. In 2012 Through 2013 Moorhead Was Operating On A 155-Thousand Dollars Deficit On It's One Point Three Million Dollars Budget. The Audit Report Shows Several Issues With Accounting, Cash Control, Fine Collection And Inventory Management That Were Still Unresolved.  Water And Sewer Funds Was  The Single Largest Expense For Moorhead. It Cost Taxpayers Nearly A Half Million Dollars. The Fund Had Nearly A Hundred-Thousand Dollar Deficit. City Manager Melvin Chambers Says The Fund's Financial Strains Were The Result Of A Lawsuit Filed Against The City. Moorhead City Leaders Say They Are Taking Action To Level Their Finances And Address Accounting Issues.