Taylor Releases Waterford Township Audit

Tuesday, August 7, 2007

Washington County -

State Auditor Mary Taylor released the audit of Waterford Township for 2005 and 2006 today. The audit reveals that township officials improperly spent $23,000 on a fire protection services contract and makes additional findings related to various accounting practices.

Auditors found that township officials used money from the road and bridge fund to pay $23,000 for fire protection services. Township officials paid for the contract using money from the wrong fund. When auditors made recommendations to correct the error, there was not enough money in the proper account to cover the expense. Township officials say an adjustment will be made once more money is available.

“Ohio law dictates how funds from certain accounts are allowed to be spent,” Taylor said. “It is crucial that local entities follow these guidelines to ensure accuracy and accountability in the way your tax dollars are spent. The failure to do so could increase the potential of misuse or theft of public funds.”

Additionally, auditors cite the township for maintaining too much cash in certain bank accounts causing as much as $328,000 in one month to be uninsured. The federal deposit insurance corporation (FDIC) insures cash deposits of up to $100,000, but township accounts were exceeding that amount during certain months of the audit period.

Other findings include:

  • Spending money on certain items before trustees passed official resolutions allowing the purchases.
  • Entering incorrect budget amounts into the township’s accounting system resulting in several financial adjustments and additional audit work.

The Ohio Auditor of State’s Office is one of the largest accounting offices in the nation.  The office strives to ensure that all public funds are spent legally and appropriately and works aggressively to root out fraud, waste and abuse in public spending. Taylor encourages anyone suspecting fraud or misspending of public dollars to contact her office toll free at 1-866-FRAUD-OH (1-866-372-8364).

A copy of the full audit is available online at www.auditor.state.oh.us.