For Immediate Release:                                                      

October 19, 2021                                                                   

Wellsville Local School District Overlooked $36,337 Worth of Insurance Errors

Columbus – Auditor of State Keith Faber’s Office released the 2020 financial audit of Wellsville Local School District in Columbiana County. The audit included two findings for recovery totaling $36,337 as a result of insurance errors.

“This is just sloppy handling of tax dollars and cannot be tolerated,” said Auditor Faber. “Attention to detail is imperative to a successful financial operation and this school district should ensure these oversights are corrected.”

Two employees were improperly included in the District's insurance program for which the District paid premiums on their behalf to the insurance consortium totaling $30,057. Both employees were unaware they were included in the plan and did not avail themselves of the insurance. The entire $30,057 was remitted to the consortium, however, once in the consortium, Wellsville loses ownership of the money and it becomes a part of the insurance pool to pay all member district claims.

A finding for recovery was issued against (former) Treasurer, Robert Barrett and Treasurer, Nancy Francis and their bonding company, Travelers Casualty and Surety Company of America, jointly and severally, in the amount of $ 25,247 and $4,810, respectively, in favor of Wellsville City School District’s General Fund, in the amount of $30,057.

Additionally several District employees received healthcare benefits without paying their share of the premiums. There is no written documentation, contracts, or Board of Education action approving the benefits. For the period 2019 through 2021 the following employees should have contributed toward their health insurance:

• Joe Traina $792
• Rita Koopman $1,984
• Susan Ralston (deceased) $1,520
• Julie Moore $1,984
• Total $6,280

A finding for recovery was issued against Joe Traina, Rita Koopman, Susan Ralston (deceased), and Julie Moore in the amounts of $792, $1,984, $1,520, and $1,984, respectively and against (former) Treasurer, Robert Barrett and his bonding company, Travelers Casualty and Surety Company of America, and against treasurer Nancy Francis and her bonding company, Travelers Casualty and Surety Company of America, jointly and severally, in the total amount of $4,587 and $1,693, respectively, in favor of Wellsville City School District’s General Fund, in the total amount of $6,280.

A full copy of this report is available 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 6,000 state and local government agencies. Under the direction of Auditor Keith Faber, the office also provides financial services to local governments, investigates and prevents fraud in public agencies, and promotes transparency in government.