Legislative Joint Auditing-Counties and Municipalities

Not be the right time the. Sheriff. Okay we'll call is made to order of any year senator garner you gonna you wanna say. All right of them then we will just go right in to the. Minutes. you've got a copy in front of more it's your pleasure. Posted for motion and a second to approve the minutes all in favor say aye opposed no. Motion carried. Discussion of non compliance with municipal accounting law Mysteel. Thank you Mr chairman. If you look on page thirty two of your synopsis we have the city of Cotton Plant. And We the staff think that this is a candidate for us pursuing fourteen fifty nine one seventeen procedures for non compliance with the municipal council law. Of under the treasurer we have several findings related to the municipal council law a pre numbered receipts were not issued cash just the receipts and disbursements journals were not establish for all funds and they were established they were not properly posted to include all receipts and disbursements this goes back to two thousand fourteen both of those finding a bank reconciliations were not performed an adequate documentation was not maintained for all disbursements and fixed asset leasing was established but it did not include lander equipment and I had no policy We try to key on issues that would prevent the governing body for making informed decisions and not reconcile your bank accounts not having proper journals would in my opinion preclude the governing body for making informed decisions. So we just wanted to bring that to the committee's attention and ask if you want us to pursue fourteen fifty nine one seventeen procedures. Be a recommendation. You need a motion. Okay we'll have a motion and a second any discussion on that. saying none those in favor of the motion say aye. Posebno motion carried. Thank you now what's called by the procedure now. They've been notified. Yes the first step in the procedure is for us to send the city a notification that their records are non compliance then they will have sixty days to get the records in compliance and I can call us at any time during that time period and we'll go out and look. we give them every opportunity to get things in line before we take the next step if they don't get the records in compliance and sixty days the next step will be to notify the state treasurer to withhold half of their term back. But they do have sixty days before that happens. What's the chances of them. Is that something they can do they get right on. I would think if they wanted to they could. I would have to do is reconcile bank statements and get the Journal speaks to Okay a senator garner yeah I think what I forget the name of the city that we had last time that we kind of started looking at this and then they comply with some of the stuff that we won't it was that something that. Hey I think so so that mean there is a secure is kind of a person place or my saying that wrong well Gilmore's one got a complaint Gilmore got into it and we gave them money yeah that that's what is so there is a precedent seems to be that is more intent and effort to comply than it is thank you know how far down the road you get everything so if they made a halfway decent effort that could be rectified but they don't keep doing what they're doing I think this is appropriate action. I believe Mr creatures here from the Municipal League they always offer lots of help to if the municipality ask for it. All right then we will go from here then thank you party. Of. Review reports. The first report that we have a guest boards on the first page of the state county. We have These were differed from the previous meeting the county jail under the county judge the county paid to employees a total of nineteen thousand ninety five dollars without an authorizing ordinance in conflict with fourteen fourteen twelve oh two. And interregional opinion two thousand eight dash fourteen. thirteen eight sixty six paid employee one was for sanitizing housekeeping duties performed outside normal working hours and fifty two twenty nine was paid to employee number two percent Ising duties perform during and after working hours. Under the county Clerk. We had the county paid a total of sixteen sixty five an improper mileage reimbursements to the county Clerk seven thirty six and the chief deputy Clerk nine twenty nine. For conducting business in their home town as follows eleven fifty three from making bank deposits that based on time State Bank timestamps appear to be made on their commute to and from work two hundred nineteen dollars for duplicate mileage reimbursements one eighty four for making bank deposits on days according to bank statements no deposits from a hundred and nine dollars for either commuting mileage in addition the county Clerk in the chief Clark received eight hundred and eight dollars and questionable mileage reimbursements for conducting other business in their home town the bill bility of these reimbursements could not be determined based on review of available records and the judge and the Clerk are here to answer any questions. Okay if if you would the judge in the Clerk would you come Senator chairs at the head of the table there turn your Mike song by pressing the middle button and identify yourselves and you're recognized. Richard tenderly said county judge. Valerie Donaldson DJ county Clerk. If you look at this matter straightened up. Yes yes Sir we did when we passed an ordinance that would take care of this One lady the waited number one I have been doing this job for like twenty years I did not realize. I just knew that she was going to claims over four hours under sanitation because of. coated. Okay so she was working for Mark McElroy then. Yes I think so okay. Other questions. A representative right thank you represent human of judge you know those two that's listed at thirteen thousand and five thousand for employee wanted to do we just failed to go through the quorum court to get that authorized or what happened there Sir. yes Sir we did that we I was more worried about to the billing for health departments and we have a lot of people going there and I have every day I was worried more about COVID and co which breeding at this time that I was did not in my eyes and crossed my tease I apologize. Any other questions from committee. All right of center Beckham. Thank you chair the judge there's there's there's several things on here that I have questions on one we paid you pay in full we. The five thousand two hundred twenty nine dollars during normal working hours to do. Looks like work that they've already been paid. Two double paying them for their time is that correct may be some yes Sir if is the lady that did that reported to me that she was called upon what I have here to do and at like fifteen or twenty minutes before her normal time to get out I would let her go and start on the health department because she had one health department and McGee and everyone else apartment and demos and they wanted to do was would usually why don't to get there but they kind of got tired of having to do it often so yes Sir so the salaried positions are hourly position hourly. And what was that really rate the same for for both type functions or is there a a differential between the. I believe that was a sign the same pay for her normal duties and the for the sanitation duties. She got paid mileage as always going differently okay on the sanitation. Good. The next one is the next on the list here which is the the relative for the all the jobs posted and applicants received or did you all pick relatives. And hire relatives without posting the job publicly. I'm not. I was trying to get as many people counted in our senses. And we were in a situation former head covid coming into the houses and I have. Didn't know how else to handle it but to put some people out. And Walmart dollar stores grocery stores wherever people were going in and out in an attempt to get as many people counted as we can we have a lot of Hispanics that do not trust the government they do not believe when we say this cannot be used against you they don't understand that and I thought they needed counting then we have some people who just don't want to but filed and. I was hoping to work with that that I had two people that were doing that and I. And my daughter who has a degree of thought would help us have how did I harder sorry Williams was one of the jobs posted snaps to the register were just part tax just in the big twelve relatives of elected officials in Little payroll. Yes Sir. And. One analyst to the next one is the improper mileage reimbursements Have these been. Has there been. Any documentation provided for this or as the money then returned. Yes we have all of our deposit slips we found all of our claims and we stapled everything together everything matches it's to these areas are a legitimate there are. They're not on the way home or on the way to work well. Maybe a couple our last year or the year before was a really bad year for us because we Arkansas city the court houses in a rule community so we're not in the middle of town were we've got you know Walmart of. A bank what we do have a small bank there but we love thirty two miles from the courthouse and some of us that the first town nearest to the courthouse is eleven miles the second biggest town is thirty two so when our courthouse was closed due to covid. People are still dying so we in office we have to do probate cases some of these things we would actually have to go to these people and open up probate cases for them that's one thing but with the deposits this is for improper mileage I'm I'm not really understanding how that was improper because we actually had gotten written up a couple years prior because we did not make enough deposits so we were told we had to make deposits every week even if it was five dollars so we were making sure we were making those deposits every week. The think the what I'm reading in this the concern and. Staff can help us on this is that you're turning in mileage from your house to your office or vice versa when you're going to make a deposit instead of the additional mileage. We'll. There's there's no reimbursement for you to get from home to work the mileage reimbursement for the additional knowledge to go to the bank yes and I think that's the the concern here is that it looks like you your term in full knowledge and serve the partial. Of order and and that there are duplicate mileage reimbursement okay I can X. the the home tale that I do have a Dumas address but I live in the rural area I live ten miles from outside of the miss so that is not calculated in any of my knowledge it's to the bank in the bank back to the office and if there's a duplicate I couldn't find anything stating there is duplicate I know we did sometimes take deposits for our treasurer when she could make it so. That's all I can tell you guys I'm sorry if we did anything wrong. To have a lot of. Yet you're still recognized you want to join the staff yes okay we got someone here that can probably address it. Okay fine. Jimmy lot legislative audit. the problem. Is I thank I thank you are correct the problem is. If you. If you leave during the middle of the day you go to damos make a deposit and drive back to the courthouse. Then your debut that mileage reimbursement but it becomes a. I think I. R. I. R. is issue if you. Like here to deposit on may the fifth two thousand twenty you charge mileage from Arkansas city today miss Davis backed Arkansas city as if you made a trip that day. But the time stamp on the deposit was five fifteen PM so I'm sure that was on your way home so you're not due any mileage. To commute back to work the next morning what makes sense and what was that date. That with this is just one example that I picked out but it was may the fifth two thousand twenty. Okay. And then on the you'd mentioned the duplicate I have one example of that. Own June nineteenth two thousand twenty. view and the deputy county Clerk. both receive mileage for going to damage to make a bank deposit six nineteen twenty but there's only one bank deposit made so that may just been a Clerk where. I'm wondering if that could it could have been could have been like a Friday and a Monday type situation but I will say this we don't have normal working hours in my office specially during covid one of my employees due to her health conditions I let her stay home most of the time so it was just me and my chief deputy that sitting behind me we worked a lot of mornings we went in at six in the morning and a lot of times we didn't get off to ten or eleven at night so. But we just didn't have regular hours and we did go income back in the mail today but there might be one or two that we didn't but most of those work we'd go and come back. The judge making a test that we do work crazy hours in my office. Yes that is true. Okay Senator Beckham you anymore questions of senator garner okay all right a representative right yes thank you a representative Hillman. Well let me ask you this if it's say fifty miles from your home to your job and back. Did you just charge for the excessive amount up on top of what you normally would drive to work and back a day how did you do. Just from The courthouse to the bank which is thirty two miles. And the the that's all I would charge I wouldn't do the extra ten twelve whatever miles it was going home. Other questions from the committee. R. anyone any representative or senator this not on the committee have a question. Yes ma'am can. Thank you Mr chair So what you're saying. What you just said. Of that you would charge mileage to go to the bank but nothing additional from bank to home street was so going to the bank did that mean you had to drive. More than your usual mileage to go from work home. It I mean a different direction there's to direct there's two ways you can go to my home. The normal way it's like a scenic route I couldn't go that way out have to go through McGee and go on highway sixty five to get to the bank. So it it took you off you're you're beaten path yes they go that way so you only charge from the bank and then to home. No I didn't charge from the bank to home I charges from the bank to the courthouse okay. Thank you. Any other questions. Yes Center Beckham you're recognized. In in. The business throughout the years I've run into a very similar situations with mileage reimbursements When we start auditing when there's a lot of questions a lot of gray area wasn't five extra miles to stop a Walmart did you go above McDonald's did you get a milkshake from sonic whatever while this is going on so as always questioned when you're doing something outside of work hours in your billing back to the city council. Private company What I would advise is you either do this during normal working hours or you allow county employed as a county vehicle to do this transportation and. In that way it doesn't we don't have this gray area of what is to go is it was a ten miles from the office to the bank. And twelve miles to the House any charges ten miles instead of the two mile deviation of your normal trip so that it would just make a cleaner make it look better whether it's more money in your pocket less money in your pocket it all comes back to the what is the correct way of handling the public's money would you agree I do. Okay any further discussion. Proper motion at this time would be to review file. Motion and a second. Any discussion. Those in favor say that. Posed no. Motion carried. Thank you all for coming and you are excused thank you. The next report for which we have a guest is on page six's Newton County. The county judge and the SharePoint by the county judges here the sheriff couldn't make it under the county judge we have a finding the county paid a total of a hundred thirty two thousand seven fifty two to to vendors to blast and crush rock at a quarry owned by a private individual in the county pay ninety seven forty for the purchase of the rock without a contract for Corey use or for gravel storage on the individual's property. Because the gravel is not stored on county property the county is unable to monitor access to the gravel or maintain a record of inventory further more competitive bids were not solicited for rock blasting and crushing in noncompliance with fourteen twenty two one on one to one fifteen. In addition and according to county officials County use resources including trucks and employees to haul gravel for citizens to purchase the gravel from another vendor an apparent conflict with article twelve section five interpreted by AG opinion two thousand to forty three. They're insufficient documentation the value of the services could not be determined and county judges here to answer any questions about this finding. Okay of the judges will come down Senator table and turning my call in and tell us who you are and what you're going to fix this problem what you have done to fix this problem Warren Campbell Newton County judge. On the question of the rock and everything we're just alternate over somebody else to Christian rock everything will just buy the raw if the gravel I like if we just go right back or someone by. Your do that by the truckload or by the ton but yeah yeah but that's how we got about a pack. All right. What about all in law for private individual's income dark Arkansas can. So it just if people bring a check to the office we offer easy by within the county where I mean it's always been done then that way for years. I got a quorum court of a didn't get past the con court the charging for all in a note okay. I make any questions. Okay president right thank you Michelle Mr Martin anything that's up in above twenty five thousand is that not the figure that we use now that you have to be at that out if you buy something. I think it's thirty thousand nine thirty is that right thirty five thirty five thirty five and they didn't get baited out take me as what the findings is okay thank you. Senator garner. He had two points this was specifically so the first part I get you bought it in the store there may be no you do the second part is a customary. For the county use resources the whole Ravel to citizens who purchased the gravel from another vendor. I mean in my reading is wrong did did did ex party by the gravel and then you use County property to haul that to a private citizen. Like if I got somebody to whole like my stuff for my business some place in Arkansas misinterpreting that is what's going on there if somebody would hollow put like from their house someone the county road or public road without if they want to buy pay for. Okay so. If I want to put my new private driveway with a bunch of gravel I could buy that from this vendor and I could come to you and you use county resources put down my private land and I will not private it's got a public or county. Okay we'll have any documentation proved that we're just your that's what you're saying you did. The Hey if we grade maintained roads you know there we we say they're public records. The road that we great maintain what staff what is the conflict with the Arkansas constitution port condition turn turn general opinion specifically were they what were you saying that they're violating. The article twelve section five Would be providing using public resources to benefit private citizens. Which is what we're saying that they were doing was hauling gravel purchased by a private citizen. Using county resources. And we have the supervisor who they could and answer more specific questions. Okay I want is I want to know if we're all talking about the same thing here and are you is made example level gravel road and and there's a little pot holed out from a house what turnout every time and the and I'll talk to the judge and he said what I would I just don't have enough money to do that so if I go by low to gravel someplace you holler that impose on that road is that what we're talking about here cases like that yes Sir okay I and I and you said public areas would that be like a church parking lot or something like that what what's a public area that's not County. Anything we considering highway grade maintain a public is public road by public access okay so it's it's it's on roads and yes it may not be a county road there's a public right yes okay all right okay I think we got a staff here could but it's clear this up a little bit. Lance Woodworth the staff. Our understanding that we would have this finding was the since the individuals of the systems were purchasing the gravel that it was for their private consumption. So the county was using the resources to all the gravel to place on their driveway on their private property. Understanding okay we have no doubt we had no documents. We have documentation. So it cannot add interjected sorry. It says a county official said that so did you have a source that said they were hauling to private. For use by private citizens council stuff yes with our discussion with the county judge and then but there's no documentation of law are extra picking it up moved it to address one on one to verify that exactly. Judge you see what is it that's the issue for us right I mean I'm not gonna call you I'm not coming any questions your integrity or what you're saying but when we have a county official saying that they're hauling. That too I mean that's that's of to me a big no no I understand yeah okay we'll come look at it out of a. The better for us anyway. Okay all right fair enough NFF my second point I made I'm sorry hi if the quicker Committee is fine I have no problem with the county judge's finding being reviewed the issue is the sheriff was issue was a huge deal to us last time if he or she is not here to be held accountable that I would suggest we do not file that second part I know we can bifurcate them and DO one review of the other we need to hold the whole thing but I I will have some serious questions about this hundred three firearm purchase. Yes Sir we can we can add to bar the report and and by the sheriff back by the county judge would not have to come with the assumption that we've already if assuming we did is what we're we're fine with what this part of it is yes okay I would I would make a suggestion to the committee okay that thank that was emotional and what I think we just need to pass over and have a deferred do I'll make a motion to further support to our next committee meeting thank you. The motion the second. A discussion those in favor say aye opposed no motion carried judge Campbell you want to come back next time but be sure I sure get your. No promises yeah okay. The next report we have a guest for is on page twenty five under reports with repeat findings we have the town of twin groves. Others to repeat finding under the mayor general fund disbursements exceeded procreation is by sixteen thousand and street vendors persons exited appropriations by eleven thousand in noncompliance with fourteen fifty eight two oh three similar findings been there in the two previous reports and the mayor is here to address any questions. Twenty five. Mayor you're recognized to explain all this after you defy yourself or have recently excuse me Wesley Tyus mayor of city of twin girls. Look at these and. Some. Come and burst about but never the less would you. Do what we can to clean them up and. Really we file. We've done a great deal in order to take care of the repeat findings. We had. An additional order earlier in the year. And I heard you go across some of the the rules regarding that additional order we went through those became through those okay. and and all of those funds were dropped at that time. But again the the. The exceeding the budget. That was ignorance and you know you have to take responsibility for that and I do. And and as far as I can see that should never happen again we right now we have We can get real time. Information as far as our finances is concerned where we at source what we've spent what we appropriated to spent what we did not prior to of the year twenty twenty one we didn't have that ability we have created a journal but. It wasn't care properly so. Our Clerk as you can see according to our paperwork or Clerk changed at. October first of last year and one that I have now is working hard she's tremendously prideful so in my and cleaning this up and make a city of twin girls in compliance in all areas so as far as the space or budget spending. I don't see what we should ever do that again. I had a surprise is forced the Transferral. We knew about the sixty five thousand dollars but we did not know about the additional forty three basically forty three hundred dollars so when it was brought to our attention through the audit we went to work to. pay that off so we get that out of the way. And our plan now is to. Pursue the sixty five thousand dollars if if I understand or the law correct if I heard correctly. We're going to have to pay ten percent of whatever that is starting at the end of this year so we want to get that down before we can make that payment and not stress the positive to land roles so we're working. To satisfy everything and the way I see it is somewhere a ten year plan or less but nevertheless we we do have a plan as far as the pre numbered receipts. Again the Clerk that I have now she did the best she could but she and she didn't get any help from a previous Clerk she did the best she could chase down all of the receipts that she could but she did not get the mall but she she tried so this year or this past year I'm reasonably confident that we have complied with that and again with through the extra audit the auditor assault the improvement and gave us other suggestions that all of those suggestions we're taking seriously and we're going to try to not have any of these repeat offenses again the sixty five thousand dollars. And reading this bill it it goes back to for and that perhaps was ending on it so it probably goes back beyond that. And and I'm going to do the best I can to clean up everything is forced to rules concerning. Okay Their test how long have you been mayor the I'm going to this is my fourth year okay all right so relatively motion this is on somebody else right most of this was on somebody else but that does not while I'm here when you accept officer there was a lot of surprises that I have one I got in But again I'm not here to put this on somebody else when you take office you take responsibility and I certainly appreciate that of one of the questions in our as for questions from committee of our you numbered receipts now. Yes what we have okay have a spreadsheet the and I can get real time information and she is very particular this last audit that we had the lady said that she don't care if it's a nickel it have to be receded coming in and you know even with also when you're dealing with different ones. Bad habits are hard to break but you know I don't want to be here so we're going to do what we can to do it the right way so that we don't. All right. I appreciate your questions from the committee. Okay hearing none okay centre back. You said that the forty two not ninety four has been taking care of the of the office yes great it's good to hear and the the sixty five thousand continue in the two fifty a month payment or your love do what you can afford on that and and actually what it was it was set up at fifty dollars a month and I don't know how to arrive at but I told the council that we need to do something to and may we set up to fifteen are plans are to pay more than that but we wanted to set it is something that if something happened that we couldn't we couldn't make the two fifty but is this going to be. This one is our priority now because we got rid of a lot of other things so this is our priority now is to get this down so when this announcmenet is we have to pay the ten percent that we're able to do that as well great studio thank you. So you're paying two dollars and fifty cents a month and you think at the end of the year that's gonna be six thousand dollars sixty five hundred dollars no two hundred fifty dollars a month or that go to the closest street department okay the girls and gentle Fund to St Paul okay. But there's sixty five thousand dollars there's been used as the street fund for general revenue right now that's what happened in the past that's one dollar value is that's going to be paid back right yep that's what we're gonna work on okay that's what we're knowledge then the month and go to that yes it's going to go to that is going from the general fund to the street front. I guess the point I'm trying to make is that's not gonna make up to sixty five hundred dollars at the end of the year. Well it has that going into affect you know in the at the end of this year right so if it goes into our plan is is to get this down by the end of this year again to two hundred fifty dollars is just something that I told him that if if things got type we can still afford that I do want to say five hundred and not be able to make that five hundred but for all intents and purposes I'd like to make that five hundred a month all right get it down to so that when we go to ten percent twin girls can make that ten percent in front. Okay thank you for state in may at. Okay I don't you want to the committee. It's mayor it's my understand just wanna make sure there's a proper understanding here's my understanding that law is not that you pay ten percent of what you owe district done but you pay ten percent of your general revenue. Until the straight Fund is paid off okay so that would be probably substantially more and I just want you to be able to plan your and and I appreciate that and and you know you can cut a deal with so again the plan is the same is to do as much as we can so that when that comes into effect that we're able to do that yes Sir. Are there other questions from the committee. A representative right thank you thank you represent human you know I think miss Marty that the county to the rule of thumb is you can spend County are not County but city general funds for roads but you cannot stand rolled money for the general fund is an of a. That's what is an account is it what is the city's okay all right any other questions. One major thank you very much for coming and you're educating may I appreciate. Of the without objection from a committee we will review this one invalid. Thank you. Party. Okay I got a little out of order book and go back to page fifteen This Is and reports referred to the prosecuting attorney we have the city of Carlisle. under the Clerk treasurer we have a. Send to the mayor and Clerk treasurer we have a repeat finding OMB circular A. one thirty three require city management to obtain federal compliance audit when expenditures exceed seven hundred fifty thousand. That city had federal expenditures in excess of seven fifty and seventeen and again did not obtain the federal compliance on as required new management oversight the city could be responsible for repayment of federal expenditures of instances of non compliance is have noncompliance are noted during a federal compliance audit we recommend the city obtained and federal compliance audit. Then under the Clerk treasurer we have a repeat finding is noted in the prior report the city over paid a trash collection vendor thirty thousand eight hundred sixty three to recoup the overpayment the city's reducing the right pay to the vendor from nine dollars and ten cents to eight dollars per household for forty one months in apparent conflict with article twelve section five. Which states in part no city shall loans credit any corporation association institution or individual the city began recouping seven thirty three a month beginning in February of twenty one and as a report dated vendor owes the city twenty five thousand seven hundred thirty five dollars. On the next page. Page sixteen. I there's a finding required the prosecuting attorney under the. As it's about the middle of the page where the bullets are the second bullet yeah eight employees transferred four hundred and fifty al pointed five hours of sickly to four employees in violation of city policy and over payment of fifty three hundred to the Clerk treasurer card as a result of the sickly transpire. And that's the all the repeat findings in PA findings and the mayor is here to address any questions. M. I. R. A. Glover Carlisle. We were written up. No one telling Committee star with we were written up for twenty something different. Problems. And we're guilty on all of. Want to know that. But I also want to tell you how we got to this point. Two thousand seven I was. How is. Elected mayor Carlisle. And at that time I had a treasure. They were really shall are really good tranger. Kept things on the up and up. Several years later. She had some issues with. With the Counsel for the council had some issue with her and she resigned. So we moved to Maine a state system the. And it proved to be a disastrous move. She didn't know what she was doing. And she. She is made a mess of everything that's where we in one we're in the shape we're in right now. On top of that. There was something else going on with her house so. Hello ordered founded two was thirty five thousand dollar commission. Who from city coffers. So. I wanted to terminate her. When we found when auditors found and what they said but I couldn't do it because he was an elected official. So we've been trying to solve the problem with the person a college of property. And that's where we're in shape we're in right now. Move she was arrested two months ago. And. We've we terminated our. Since so I went and found my used to be treasure and bagger to come back. And she did she's been on board now for two weeks and if you'll give us a little bit of time few months we'll get all this straightened out get this embarrassing situation and this. You. The three Meyer. Comments. Okay. Senator Garner. Thank you would you say she's been terminated what was what exactly does that mean she was fired. Bush election official and and in which she. Yeah she was she was elected Clerk. The. Treasures not elected position. I would choose elected Clerk. Some are I'm I'm a misunderstanding seven so you said you couldn't fire somebody if they were elected right but the person who was arrested wasn't the same person my right about that are to different. The same person that how were they fired I guess because if you're elected position you can only be can be impeached you can be fired from being the. Treasure treasure okay. She had two jobs one was horrible one was elected has she been. Impeached recalled Quizon from her elected position yet. Say that again. Is she still the Clark she still the close still Clerk yeah our what what process do you maybe check your answer this to get somebody like that out officer elected position because if she won't resign I can't think of a stronger case for doing the proceedings to remove that person from the l'exposition initiative not allow she still the Clerk well that's what I'm saying well law is you need to go away till she go to trial and gets convicted. Then we can replace okay it's Clerk. Jack is there any kind of thing they could do is as far as I can impeach I mean I would think about it so that we can have peace you know the governor or anything like that is nothing like that. All right thank you. Okay other questions Jett said our representative Gonzalez. Thank you Mr so that this woman had two jobs in only one of was elected position what could do not fire her from that treasurer position then and you can now. Who who told you that you couldn't fire at the time I don't know state trooper that was investigated of telling when they found out there was from so what I need to fire and they said you came. He said this to keep your mouth shut. And let us play this out so that played out over two years that's why we're in this mess we're in right now. We tried to fix the problem with the person that caller the problem. You can do that so you knew this person was stealing from. You knew this person had been stealing from you for two years and and still just. And when he was a thief and steals who's her treasure. But you could of fire from that from that provider position went to Clark. Clark position doesn't pay much. The ones that receive a bill or anything at all if she was the one for me but anyway thanks. representative right thank you represent Hillman Sir those two positions one is a treasure one to Clark right are they a dual job. I mean are they both put together into one descriptions are handling most cities operate like that whoever the treasury is is Clerk Clerk or does it. Council meetings. Keeps the records campuses. Well. It just looks like that you would have two positions I've seen many many tales have two different positions there it looks like you that you could have got rid of her within the description of the treasure fortune. The test the VA's hang out of state trooper Milton's the name field of. I want to apologize to the L. I'm a little bit further here I just got had brain surgery two months ago so one little bit. Thank you for. Thank you thank you Mr flowers thank you so much just to clarify it sounds like and I just wanted to make this allow for you not to to make this clear. It sounds like there was an investigation and before you fire her you waited for the investigation and the arrest to take place and then you fired her is that what happened. He after she got arrested yet okay I thank you so much. We've been doing some research appear and perhaps for a if you had to talk to Jack ahead of time a probably knows about this but there is a state law fourteen fifty nine that allows a city to relieve someone an elected official of their duties. So did this not not it will happen you again because you know better now but that is a. I would suggest any county gets in trouble or city first place the stop is it municipally. What we were told. That we couldn't. Letter bill. Until she was arrested. Okay what we were advice we got from the prosecuting attorney. Okay. Jack yes I mean or say. Well not been speaking up here for you so. Thank you Mr chairman I I thank you civil I'm sorry Jack creature Arkansas Municipal League I think what the mayor. May have meant was that the date removed as the you know the council can assign. The Bookkeeping the trade the Treasurer duties second assigned those duties even though you have the the position says Clerk treasurer they can assign a different individual to perform those duties so you know that person is elected in that hole that office the council can remove those duties from them and and assign those somebody else I think that maybe Mayr's what you all did the mayor use had firing but I think they remove the duties from her I'm retired keep minutes of the game. Council meetings and then does the. Council meetings. Treasure. Course keeps all of. Finances post to straight. Okay. Representar Senator Garner yet Amin Hey I think that if you're saying that the law enforcement was telling you to kind of hold off my instinct is they were investigating that didn't want to tip their hands to their investigation into her. and that may have been why that you all were waiting to go made action if that's true and they have a prosecutable case and some is amended to recruit maybe that's a kind of the best solution that could happen because I know that happens sometimes with other cases and situations so by imagine I'm thanks I'm speculating that that's what the state trooper was telling you Mr from trooper Melton tell me let it play out yeah he's probably their prior investigating he want to make sure you got enough dirt on the way do this with organized crime and a bunch of stuff as well to allow people to keep operating so they can get more charging more evidence to make sure they do it so I hope this case goes all the way through and she's. Prosecuted as much as possible because that may I call trooper Melton two or three times during that time in that area only would tell me is an ongoing investigation. That's only would tell me. Anybody else have any questions of senator Beckham. Thank you chair I have some questions on a little different topic here in the report which is the Overpayment for the trash collection Where they're gonna pay back. One of the RSA the attorney said that is not alone. And we can do it now when I came up. as mayor said we need to get our thirty thousand dollars back. City attorney said in the manner that for the. Our our citizens to just go down on the. Trash. The. And. So the council went with them and go with me. I mean that in any school in. That is correct at the. I ask did you have a general questions about the. employee leave. Eight employees transferred Fortner fifty five hours of sickly to four employees. payment of fifty three hundred dollars to the Clerk treasurer occurred is that did the what what what happened there what was. Can you give us some details on that how that happens was these employees know where he was being transferred. Yeah we've got a. Way where a person gets sick and misses work. People can transfer their sick hours to him so he'll get a check. Hi thank in this instance that person will never got a check that we. Because they were out of sync hours in some of the main police. Gave their their hours to her. Those the Clerk treasurer yeah where she can get a check one of the still money. Warning was stealing money right. Okay everybody everybody. Lactis zero. Shares sweet girl when. She would think if. Tell us to. So she was sick for four hundred fifty five hours. I think that's true thank as. Okay. That's what I wish to explain to me. Will serve. So. Representantes dos were you wanting at. Are you waving to someone about a tractor that way one time by the way. Okay. Thank you might not on yet. I have a question for staff on on the this finding with the trash collection in the city's response it looks like basically they're not plan on anything with that they're going to continue doing the same thing that they're doing or and say that it's not a not a loner loaning their credit that it's considered a settlement repayment agreement So in the next audit over these forty one months of this gonna take pay this back or we can see them in here again over the same issue what's what's your take on the response. Before the next order will probably run that by our legal counsel Mr airy to get you know we're not lawyers he is. To see what he would think we should do. There are times when there's something obvious that if they're correcting it like if they were recouping the money we would still have it like as a repeat finding but we wouldn't make income if progress is being made But all that to say into we got in there the next time I couldn't say for sure exactly what we would do we would see what the circumstances were when we got there. Does that help any. It. Yeah I guess I mean that those concerns me some that we would just you know look at that as a repeat finding of something like that happen because the laws are there for a reason you know I'd like to see a clear interpretation of it I guess and some of these cases of. Yeah. That the chance for an attorney general's opinion to be requested by someone that thank you. Senate. Follow the staff as well if they were to change vendors of the vendor go out of business the city would be owed money from a. They would have to file in the bankruptcy court to to be paid the money back when liquidation takes place is that correct again I'm not a lawyer but I'd be afraid to ensure that I don't know the answer as they are a creditor since that into the owes the money. Maybe I'm not a again I'm not a bankruptcy lawyer I don't know how that plays out. What is no country boy I don't know anything certainly not a lawyer but I know that if I was on the city council ray how would the. And I got an opinion from the state. Legislative audit I will take that over the device of the lawyer that I hired a for myself so take that back to you city council and a point that out to him that the probably get in less trouble to do what we want to. Mister chair the added this is going to the prosecuting attorney as well so he'll have a chance to make a call on that. As well. Okay. Any other questions. Thank you Jack thank you right of. What a pleasure of the Committee thanks to committee. Yes Sir thank you. What. Okay. You are deferred. Okay we will or that okay motion second all in favor say aye opposed no motion carried. The next report will be on page twenty Stone County. There's I repeat finding on the share of the commissary account cash receipts and disbursements journals were not properly reconciled bank activity and a bank account balance of eight thousand seven seventy six was not identified. the sheriff is here to answer any questions. Okay Shepherd you will identify yourself and then you'll be recognized to plead your case. They turned on place plants bond Stone County sheriff. Of what had happened on that was an and not team we had a. Part time secretary and. On the commissary account she was. Because then the money into the account but it in the end of the month she wouldn't take in the profit and given it to the treasure. And the same thing happened to me in twenty. With the new full time secretary she didn't know that the profits were supposed to be going over to the treasury select account built up to almost twelve thousand dollars. And they told us how to fix it we're doing monthly. End of the month reports and turning that over to the treasury. All right questions from the committee. Senator you're recognized why would you be wanting to ask him a question. Actually I the sheriff's office and some kind of gone through a lot and and I just appreciate them working through a lot of the issues that that that because of past personal I guess with us if they that so you know these guys have done a really good job of just really trying to clean it all up they're kind of the victims of some just really. Bad things that happened with former employees may I guess would probably be the best they and and then we also lost one of our sheriff's deputies which was really he was killed in the line of fire sergeant Mike Stephen and he was a very close friend of myself and sheriff bonds and everybody there the sheriff's office so it's been a tough time for them and that's that's why I am making a comment that I am thank you your walk. Thank you senator one. Any other questions. representantes dos thing Mr so. It correct me if I'm wrong but I think I heard you say that that account built up like twelve thousand dollars yes but in this report were totaling over twenty two thousand dollars on just one instance of what do you do we know what happened with the with the rest of that money or. I don't know what money I'm not saying I'm on page twenty a look at the bottom of the paper the bottom of the page. I'm sorry about that I'm looking across County I apologize my fault. Other questions. Or share thank you for coming and now we hope you get this thing straightened out and we we are your friends with this one is going to be right thank you all right thank you thank you of. What's pleasure committee. Without objection to be filed. The next report is on page twenty two. start senate Miller Pitsch the city of Pangburn. We have a repeat findings under the recorder treasurer District Court Clerk. We know the following payroll issues Internal Revenue Service form nine forty one for the third quarter was not provided for inspection withholdings in matching report on IRS form nine forty one were not submitted in a timely manner which resulted in charge penalties and interest thirty eight hundred dollars additional penalties interest could be assessed by the IRS to the late filings and unpaid balances. Of the District Court Clerk the ending bank balance was identified with their seat numbers for cases not yet adjudicated and payments made on all unpaid individual time accounts as required by code at and the recorder treasurer and District Court Clerk miss Hopkins is here to address any questions. Okay if you will identify yourself and you'll be recognized to answer this report got Holly Hopkins the recorder treasurer and court Clerk. Okay is is that the usual and our small of a town it is ACT. Our I was appointed in nineteen because they elected official retired and at the end of retirement before was out for. The court Clerk at that time had an issue. And she just up and left one day. So there was nobody else other than me and the mayor left in the building so the court Clerk job just kind of fail to me because nobody else was there okay so that's how come I am the court Clerk and then I was elected in twenty. So you've got both those positions now yes Sir okay have we get in this mess and what you can do to fix well in. Nineteen. The last order that we had there was there was a similar finding with our S. so after I was elected they actually offered me a raise. I asked them if they would keep the raise not give it to me and hire an accountant to do all of our tax proceedings until everything was straightened out. So they they can't put my raise and then they still have not hired anybody. okay. And you're still working there I am. Sell me in the mire of actually had discussion about this for the past couple weeks and he promises main they're going to hire one. But will say. Okay. Questions from the committee. Our culture. What seems like Senator. Look at that light to come on Senator have you figured out why the other people quit yes. Well maybe so or are your and and and services are your withholding reports of these matching now or you'll still just they already County the issue was the lady that had the job before me had been there for several years which she she was locator job that she use quickbooks and as she would write a check nothing. Duty I use quickbooks it pops up and tells you when something is date. Whether it be your taxes. Certain bills that come out of paycheck staff for your retirement. There are ten years worth of those still popping up that I'm going through because she never cleared anything off. So it's hard I do that monthly every two weeks of trying to figure out which ones are what supposed to be paid in what should have been paid in what's been paid. Yes Sir self made bill answer this is this for twenty twenty or four previous. The report was for twenty twenty but we have that the finding was in the previous report on the taxes and the District Court Clerk finding it was in the previous two reports. So this will go back at least to nineteen and I don't know if that was a multiple year those eighteen nineteen or if it was just nineteen. There was as of the twenty twenty was filed correctly and just the nineteen as a bill in the. Well this says that the nine forty one for the third quarter this would have been for twenty so that is another. Your answers I was asking yes a a with the finding should say if it was if if these particular instances where for prior years and I'm actually a little confused on what says Talk about the interest of thirty eight hundred and the IRS actually gave me gave the city a nine thousand dollar refund. So. That's what I was kind of confusing for me. Was that refund though for taxes they were overpaid that included penalties and interest as far as I read the inspirado is said it was four over paid taxes and penalties. Okay well we I'm not having that work paper in front of me I would have to go back and look at it that's fine. So if you've got the third quarter filed yes twenty one mmhm. That was the nine forty one you have filed for the third quarter yes Sir okay. So here's what you're saying is what I don't see you in here again anymore now. All right other questions from the committee. Seeing none thank you ms Hopkins and good luck on getting things straightened out thank you and we we. Keeping up with I got one more thing to say you don't want to responsible for that forty five mile an hour speed limit sign right to bottom that he or I before you get it back no Sir I am not. Once every time I go through there. I am not allowed to ask the question yes ma'am the one that's on the cover court Clerk I'm actually willing for anybody to tell me what today. We do have a twenty thousand dollar balance on that account I have gone all the way back to twenty thirteen to paper files. And that account has always had a fifteen to twenty thousand dollar balance. I have no and and we're going to keep getting hit for that I don't know where to put the money. Do you come back to the same amount every month this article it it may very just barely but not if you can get to come back to the same amount for several months in a row so you know that that is the part that you'll never find then you can contact the IOC they have a kind of a procedure to show how much to give to the state how much to how to distribute the money but you have to get a court order but I can guide you on that. Thank you very much. All right well thank you again for coming in the. I hope we don't see you again thank you very much of what's supposed to committee without objection or save the file. The judge. The next report we have is on page twenty seven the town of women Springs. Hi the repeat findings under the mayor. At a general but generally street expenditures exceed appropriated amounts by thirty three ninety eight and sixty seven twenty five four nineteen and And an eighteen. S. A. N. and then two thousand fifteen street fine line eleven thousand to the water operation maintenance fund and thirty two hundred to the general fund. As of December thirty first thirty first of twenty the street fund is twelve hundred from water and thirty one sixty two from the general fund. This balance reflects sixty dollars of loan repayments may nineteen no longer payments were made in eighteen or twenty these loans were not complies with twenty seven seventy two oh seven a similar finding was issued in the prior to reports on page twenty eight at the top. The governing body did not review the prior year report accompanying comments and recommendations first regularly scheduled meeting following receipt of the report is required by code and the mayor is here to answer any questions. Okay Mary if you will be sure to Mike is all that identify yourself and tell us about how we're going to fix these problems. I agree and use murder or inspiring. The what the problem is. The street department was that there is a general fund. And. We start making payments on it every month in the city Clerk somehow got out of the habit of making payments every month and I failed to follow up on it so strictly my fault for not following up on. We are back to making payments now trying to get paid back. Are we done it out of ignorance because we do not know. You could not take street money and. If the general fund ever when we took over this. From a past administration. Every time within such a disarray all the bank accounts corrected out and it was just a mess. We've done this in order to try to keep things going to pay past due bills or do. Are the water department of rape of a bait all there's back. And fire department paid all there's back. Okay and you've been paying back cover sixty dollars a month. Back to general fund and and echo thirty two twenty two yes okay we're we're a very small town with matching bank accounts there's not a whole lot we can do it once and. what what's your general revenue for a year you got an idea no Sir I don't. Okay. You get. About twelve thousand. So so. In order to get to that ten percent of your general revenue it's going to start paying back to the street fund additional you want about double your sixty dollars a month looks to me like that a war okay we can manage but but you need to work with the municipal league and people like that to make sure that that you get that done don't start until next year but you need to get that done start making time for right now you say well of you don't have to increase it to ten percent of your of your general fund that comes in yes to pay that back according to the law that was passed back in January okay okay yes Sir I will just leave on a regular basis because okay they they have alot good I like to hear that. Any questions from the committee. Okay. I just have a comment on the next page that for the mayor. Just make sure you review the report with the Was it the city council town council yeah don't counselor yes or no we we did that. Any sentiments that we did. But they say we need to do something else to. Or resolution or whatever. Orange. And we started doing that when we do review to the city council Arkansas has been administered we'll review it we just didn't know about the ordinance or resolution I'm rather confused donation resolutions in orange juice because I've talked to lawyers and they can give me a straight answer for one. Back a resolution. Which they are not. But every time we find your term which cited for not having a resolution represent. Well if we start doing so. Our with my quiet you in the past few years we didn't know was supposed to make okay borer. A. I think in this case probably if it was noted in the minutes in the medical property approved and signed in okay on that represented by thank you Mr chairman of certain you've got Jack creature here today from a National League yes and I guarantee you if you can follow his lead on that unit he'll take you out of trouble. Exactly only on your edges okay hold on okay thank you. Other questions. Okay of thank you may use an good luck on getting this straightened out thank you. Without objection receiving file. Marty. That is all the reports that we had people invited for so we can go back to the start we've already talked about this the Sheik County all court twenty and nineteen no one was invited but the committee has deferred those. and so the next one. on the Grange which is on page five. We actually did a staff visit here and the recorder treasurer has documented that the findings been substantially corrected staff would recommend we filed that report without objection. On page seven. We have Perry County this is under the report certified to the bond board the finding was that the jail intake records of procedures regarding commissary funds from January one of twenty two June thirty of twenty one review the following deficiencies forty to eighty and unaccounted for funds two forty one and receive funds and missing and incomplete in my records we were unable to determine custodian because commissary funds as multiple boys have access to these funds this has been referred to the on board and the prosecuting attorney staff would recommend we file. Without objection. Yet it's on page seven for auto report Hammer Hillman yes it's on the top okay and still on page seven this is a long one. this is going to be a special report on the seven regional solid waste management district that we reviewed as some transactions on. Charlie can't our staff member is going to give the overview and then lance Woodworth our supervisor Northwest Arkansas we'll talk a little bit more about the Ozark solid waste management district. I'm sorry I can't staff this report was issued as required by Arkansas Code for legislative audit to review selected policies procedures and transactions of the Arkansas regional solid waste management districts. For this first round we randomly selected seven districts in the state to review which included Craighead county Mississippi County Sebastian County charter could deploy Michael closer please thank you. Southeast southwest southwest central and Ozark mountain. As silent exhibits on page three of the report findings for these districts included lack of segregation of duties improper disbursements questionable purchases related party transactions violations of Arkansas Code internal control issues and payroll issues. All the districts the responded with corrective actions that they have taken to address the findings. Three findings for the Sebastian County district referred to the twelfth judicial district prosecuting attorney for further review as required by Arkansas Code. These findings included cash withdrawals used for disbursements rather than pre number checks or electronic disbursement system. Questionable credit card purchases business conducted with the company for which a board member served as vice president and failure to conduct a formal bidding process required Arkansas Code. That is a summary of. The normal procedures we did for the seven districts lance is going to go over the. Extra procedures for the additional procedures that we did on Ozark mountain. Lance Woodworth staff. Alay also conducted additional procedures for Ozark mountain district to determine the status of issues of concern to certain legislators first Aillet staff review of a contract with a vendor revealed that the district did not conduct conduct the formal bidding process for services to manage the district's dated a operations rather the district board contracted with me recyclables for a one year period in the contract did not contain a clause specifying the amount of compensation in total the district paid the recycles five hundred and eighty two thousand as shown in exhibit three on page fourteen of the report of this amount just over seventy one thousand was paid under the one year contract in the remaining five hundred eleven thousand was paid without a contract over a six year period. Second day review the. Sale of district owned equipment documents reviewed indicated the sale was conducted in accordance with applicable court order and state law. Finally Ailey reviewed issues related to the neighbors landfill which was purchased in two thousand five using bond funds and closed in two thousand twelve. In December of two thousand fourteen the trustee for the bondholders filed suit against the district for non payment of principal and interest on the bonds and the court appointed receiver who subsequently recommended as setting an annual service fee of eighteen dollars on all residential and business parcels within the district. During may through June two thousand eighteen taxpayers in each of the district's six counties filed a legal exaction lawsuits regarding the assessment of the eighteen dollars fee. As of the report date the judges who issued rulings determined that the service fee was an illegal exaction and these laws or lawsuits were still pending additional court action a timeline of the events surrounding these mad matters is provided in appendix a of the report. I don't see any by with their lights on. Now the representative right thank you Mr chairman. Are we not. Putting a limit of about two dollars and fifty cents on a partial for any type of. Richmond district Mr Martin I have no idea I thought. Thank you. I do I do have a couple of copies of this report appear for anyone wants the actual report and course it has been released on our website as well. You may. What. This this is me just trying to process all this. From this how much was referred to the prosecutor like how much what specific issues were gonna have a little trouble diving into different parts of it. The only ones that were required to the. Prosecutor where the three findings for Sebastian County. Okay I'm looking at them them all appeared fee money one here's Blake are they paid some scholarship I know that I was looking for areas but then thirty nine and the other one is is there smoke to that or is that what what was going on with it in finding one in the forty five hundred dollars for for gift cards for social media contest winners and for keep for some Fort Smith beautiful recycling participation of paint by students in the classroom. twenty five hundred dollars was there was paid to the individual was reportedly for warehouse class within the company would not accept a check for some reason. In the two thousand dollars of course was for Christmas bonuses. The finding to. By the two I'm fine with personally you would bless whales false. And then finding three was like conducted business with. A company that was owned by one of the board members. So does no bid process. Okay so this guy has he was a board member he on the business type item thirty nine thousand dollars without an authorizing ordinance in additionally they do not be at that service so board members company got a thirty thousand nine thousand dollar contract with no competition. Is that referred the prosecuting attorney yes. Interesting and can you okay never I was gonna ask what charges you do that are good enough okay let's go back on Ozark little bit he will Charlie is limited background on how we got to where we are now the history of it. Regarding the legal matters yeah I had to have this all get started up ten years ago or however long ago was okay so when I believe it was two thousand twelve the the landfills shut down and they defaulted on the bonds and in two thousand fourteen the district attempted to file bankruptcy but the court didn't allow that it denied their petition and so later on in two thousand fourteen I think late in two thousand fourteen the bondholders that. Trustees yes they filed suit against the district and at that point the court appointed receiver the receiver. Was to make recommendations and so the court ordered those recommendations and then they implemented those recommendations also or those recommendations the main one was assessing an eighteen dollar fee for all real property all residential and business parcels within the district and that fee is being collected for bluish clip collected in seventeen eighteen and nineteen and as I mentioned. In the citizens in each of the six counties filed legal exaction lawsuits and they've made rulings but those are still on going in the court system at this time. So it so the original bond was secured by the full faith and credit of the state of Arkansas is that right. Was it an outside bonding company. I wouldn't be able to answer that. All right. The weather's of the I guess the point the whole thing is there's a long history here and is not over yet and is not gonna be over for. so representative right you can thank you Mr chairman just have a question lands thank you Sir leads on this eighteen dollars for partial. If you had to say three hundred acres on a partial that would be eighteen dollars but if a person on hand and say one acre would that still be eighteen dollars that's my understanding yes Sir. Thank you all right okay see more. Okay. Represent right I was so distracted so if I need to do something to stem a line made the what what what was Mr chairman you know that eighteen dollar Ferry yes Sir okay. We did pass a law it made me feel which is that's that's what I thought you referred to the reason the way they got to that was this court appointed to asset interest was a once at recommended and a court order that I'm I'm not right on the courtordered and it's like no matter what senator of the representative Hillman if it's one acre our first five hundred acres is still the same for a it's it's that's the law. Yes Sir. Got a question on the boards of the. Guessing is the accounting practices been referred for Southwest Arkansas and south central regional. The the prosecutor. Asia twelve I stepped out in middle of the Senate follows us. We have a feedback now trying to figure out year Mike and I'm going to go on. So the delivery findings that were referred to the referred to the prosecuting attorney where the first round Sebastian can okay okay. What I kind of got off on the Ozark thing because I've been following that for a number of years and the. it's it's just a mess. That I don't think we're gonna have a good answer to right share. In by asking a questions on this. The representative Gonzalez thank you share on all those art thing And yells opinion who's ultimately responsible for that but look it appears that this was the board forfeited defaulted but at the bottom of this it looks like maybe they hired somebody to do their day to day management wasn't their responsibility was the taxpayer's responsibility that are now having to pay it and what. Where does come from. I thank Marty can help us on that. Well I think that's probably what's being decided by the courts is that correct Lance that's all in the court system and. We might have opinions but they're not they would just be our personal opinions of service on the and the art of the audio and funny records of any wrongdoing or I mean I don't know how far going in into all its here. Yes for this we we went back to two thousand thirteen and We look at payments to the vendor that was the contracted to be the executive director we looked at the eighteen dollars fee and then we provided that appendix of the court you can of the the timeline of the court proceedings and as Marty said many of those are still ongoing. Representative Gonzalez it would be interesting to go back up prior to the twenty twelve when this is in private hands to see if they were charging enough fee of four the the disposal after actually operated. Yes Sir. So on the heels of the mountain This was set up by a sales of bonds to private individuals. Four investment firm something like that right people invested money they knew the risks associated. And part of the settlement part of the way to recoup the money that they owed the court decided to start charging citizens. And not the investment firm not the group decided to set this up it wasn't the the. Was in the county that set the supper the sentence of the of this is private investment right. It's a it's a group of counties this solid waste district it's managed by county judges and city mayors the. Issued the bonds and sold the bonds to. Private individuals to make to operate the solid waste district operate the landfill world was collateral the bonds the bank by the county back by the solid waste district or do you know. I believe it was backed by the landfill the revenue from the landfill but at. We had to go back in and dig into the bond that is interesting when you you transferred the. Loss of an investor to Orlando. This is an interesting. Concept there so which is I think is one reason all that still ongoing. And what I have what if you'd like the full report I've got one more copy of your. Okay any other questions from the staff to the staff. Hi thank you all of. It's get it gets kind of sticky sometimes on this. Of okay What motion to receive and file without objection done. Okay we can now move to page eighteen. To the city of Elkins This Is under reports are part of the prosecuting attorney. the city pay six hundred dollars to an employee for construction services beyond regular job duties without an authorizing ordinance and the finance director the city discovered that employees payroll direct deposit have been fraudulently diverted to another bank account. At the employee contacted the city about not receiving our payroll deposit it was determined that the on April twentieth of twenty the city my direct deposit change request after receiving an email from what appeared to be the city employee's email account this resulted in a thousand and ninety dollars to the city. If there are no questions staff would recommend we file. Without objection. On the same page under Jefferson County there's a finding under the county judge referred to the prosecuting attorney. There is a code nineteen pandemic the county pay seventy thousand dollars to to individuals for deep cleaning and sanitizing in county buildings during the period January one twenty two August twenty six of twenty one these individuals do not appear to have a provided cleaning services to other customers or to operate and incorporate cleaning business additionally we were unable to determine these individuals are qualified to provide specialized cleaning services. During a meeting with the county judge and other county employees on August twenty fourth the county judges chief of staff acknowledge hiring the individuals in approving the invoices however she was unable to provide any detailed information concerning these individuals qualifications or the process for selecting them to provide cleaning services. Also the county judge failed issue an Irish form ten ninety nine to one of the individuals who received payments totaling twenty six thousand dollars in twenty. If there are no questions staff would recommend we file. Got questions Senator are represented flowers the one of the motion to send. And I can get this information later just be interested in knowing the. Vendors were. The end of your call we were. Okay I don't have that right now yeah that's something I can get it later okay if you could get thank you. Other questions about this. Yes on the of the next page where the authorized withdrawals are taking place. The. The figure out who is taking the money. on the last finding in Jefferson County the letters okay other matters this is one of those that we've had several cases in the past where it's a nationwide issue there hacking into the bank. Transactions And when the entity reconciles our bank account if I find it quickly the bank makes it good but we we have no idea who's doing it. The the bank made a good the they they replaced funds yes all funds to recover from the bank okay. Thank you the key to that is the entity reconciling the bank accounts timely. It other questions about that. Without objection will review it. Page. Page nineteen at the bottom we have the city is to be echo the city paid a nonprofit organization three thousand dollars fifteen hundred and twenty in nineteen for community child advocacy services without a contract in conflict with article twelve section five Yes if there are no questions that would recommend we file okay. Early not gonna go back and correct it puts the for the last two years file in the they they need to contract okay and so hopefully they. To this finding and are gonna do what they need to do okay all right without objection be filed. On page twenty we have Cross County this was also referred to the PA. Shares off of office personnel brought to our attention one jail receiver fines of seventeen sixty collected on September twenty first of nineteen it could not be traced to a District Court or sheriff's office receipt to be deposited to your order court docket further review revealed The following numbers or say selling twenty two thousand collected for bonds at the county jail could not be traced to subsequent District Court sheriff's office receipt to be deposited or to a court docket fourteen thousand to ninety and counting your twenty and eight thousand to twenty from January one to September twenty one of twenty one because certain of these funds could not be determined due to multiple individuals having access to the funds. Share for not maintaining proper custody of all receipt books sheriff's office personnel were unable to locate receipt books for January twenty one collections and receipts issued or not always properly voided or maintained in the receipt the. It appears that bond and find refunds were issued by county jail personnel using cash funds and supporting documentation was not maintained. As a result the share of contact the first usually District prosecuting attorney requested the state police to investigate these issues. If there are no questions staff would recommend file. Without objection. On page twenty one we have the town of cash. This was a repeat finding in a court treasure was requested to be here but did not I have not heard from her staff recommended firing this for. The objection with for your question yeah I I have a question as well is this This gives cover to the Because the basically the speed trap laws. When when they don't proper for the ticket what was your question has been when they don't properly report the ticket accounts. NO. Is this back on. Because County. Cash. Okay no problem reporting the try to take account. Journals. Okay. I think this is just I mean I have to go back and look to be sure but the general traffic funds that were not properly posting classified I don't think this was related to the speed trap law I mean if they were trying to get past the speed trap law this could come into effect but there's nothing in this body would indicate that we would have indicated if it was. Without objection without. on. See on the same page the city of Green Line. There's repeat findings under the mayor and I also did not hear from him he was invited to be years that would wreck recommend we defer this one as well. Without objection. On page twenty two we have the city of free. US saying the. The record treasure was invited to be here I have not heard from her staff would recommend we depart this one without objection. Mr yes Sir could I ask ask questions of staff she certainly could I go back to the town of cash you may all right. So it in the responses of a of a they're trying to correct the finding and made improvements still fill the other falling short of a family they are falling short they're still finding their when when you all go in and have these findings how close is your staff work with them to actually correct and help them implement some type of correction on this. It gets kind of sticky because we have to be careful that we're not going back to audit our own work so we help them to the extent that we can and we try to point them in directions like to the Municipal League or to the ministry of Office of the Courts or other resources that don't have the constraints that we have. How it works again we tried to the extent that we can without overstepping that line. Okay a appreciate that because I think you know it it is our job sometimes to to help out as well so if you're wanting amend direction of getting a health and they're not taking or whatever that's that's good enough of yes Sir back in the days before Enron and worldcom we used to just go in and help them and help them fix it but then that all changed auditing standards and even though this is not an audit we still have to be very careful not to cross the line. To where we're actually going back in auditing our sales basically okay thank you. Our independent mature if those have been on this committee for awhile you know cases been here before. Okay. Okay so we now are Page twenty three to the city of Turrell they called and they would have concerns about the weather and about COVID and they requested to depart until February. The staff would recommend we defer this one to the next meeting without objection. I think that gives us to. All reports that have findings that have adequate responses. On page twenty eight. Twenty eight to thirty seven there thirty nine reports that have findings that have adequate responses if the committee has no questions I would recommend following these if you do have any questions would be happy to talk about any of them. And I want to pull any of these reports other batch. I give Senator back a little bit of time to look through that okay. Okay without objection will file these. NTM just reminded me that I skipped Wabbaseka it's on page twenty six and twenty seven they also requested a fire to the next meeting okay without objection. Okay and then on page thirty eight and thirty nine there eighty six reports with no findings staff would recommend we favour as well. Without objection. Is there any other business to come before this committee before we adjourn. Seeing none we stand adjourned and thank you all for your patience.