Taylor Releases East Liverpool City School District Audit

Friday, September 7, 2007

Columbiana County -

State Auditor Mary Taylor recently released the fiscal year 2005 audit for East Liverpool City School District.  The audit revealed that compensation overpayments occurred and budgetary laws were not consistently followed. 

“School district officials should regularly monitor actual spending to their approved budget to ensure that only approved expenditures are made,” said Taylor.  “If board members aren’t aware and don’t approve certain expenditures made by the district, the risk of inappropriate or illegal use of taxpayer dollars significantly increases.”

Auditors found that $42,745 was spent on additional salary payments to faculty and staff without prior approval from the school board.  The school board and the financial supervisory commission, which is in place to monitor the school’s activity, have since approved the additional salary payments after first being notified by state auditors. 

Other issues noted in the audit include:

  • For twenty of the school district funds, actual receipts were less than the amount budgeted or estimated putting the district at risk for deficit spending.
  • The district’s general fund budget exceeded amounts approved by the County Budget Commission.  Failure to adhere to the amount certified by the County Budget Commission could lead to excess spending.
  • Money was not set aside to pay for bills when they entered into a contract.  By not reserving the proper funds, the district may have problems paying bills as they become due.

The Ohio Auditor of State’s Office is one of the largest auditing 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.