Columbus – Auditor of State Dave Yost made recommendations today to Owens State Community College that will aid the board of trustees in addressing the college’s fiscal watch status.
“The recommendations made today can go a long way in bringing back financial stability to Owens Community College,” Auditor Yost said. “I urge the board of trustees to give them serious consideration as they implement a recovery plan.”
According to Ohio Administrative Code Chapter 126:3-1-01(D)(1)(b), after a declaration of fiscal watch by the Ohio Board of Regents, the Auditor of State is required to issue a report outlining the nature of the financial accounting and reporting problems of the college, as well as recommendations for corrective actions.
The Auditor of State’s Local Government Services Section analyzed the following areas:
The analysis found that substantive weaknesses in the college exist in the areas of purchasing policies and purchasing card usage, payroll segregation of duties, and the lack of a comprehensive forecasting and planning policy.
Several recommendations to the college include:
Owens State Community College was placed in fiscal watch by the Ohio Board of Regents on April 21, 2015. A college is placed in fiscal watch if it receives a composite score of 1.75 or less in the Board of Regent’s financial ratio analysis required by Senate Bill 6 (122nd General Assembly). In 2013, Owens State Community College received a composite score of 1.10 and a score of 1.0 in 2014. The college developed a financial recovery plan that was approved by the board of trustees on July 15, 2015 and was submitted to the Ohio Board of Regents.
Auditor Yost added that he’s “encouraged” by Owens Community College’s hiring of Dave Cannon as their chief financial officer, pointing to his experience serving in former Auditor Jim Petro’s administration.
A full copy of this financial accounting report may be accessed online.
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The Auditor of State’s office, one of five independently elected statewide offices in Ohio, is responsible for auditing more than 5,800 state and local government agencies. Under the direction of Auditor Dave Yost, the office also provides financial services to local governments, investigates and prevents fraud in public agencies and promotes transparency in government.