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Fix for Underpayments Leads to Overpayments at Morgan Township
Columbus – A handful of fire department employees owe Morgan Township (Butler County) a combined $2,139 after a series of retroactive payments meant to remedy underpayments caused overpayments, state auditors found.
A report released today by Auditor of State Dave Yost shows the employees were underpaid at least once from 2014 through the early months of 2017 after the township incorrectly calculated paychecks using the wrong pay rates or number of hours worked.
The township rectified the mistakes by adding a retroactive payment to the subsequent paycheck of each underpaid employee. However, the township failed to delete the added amounts from its accounting system, causing the excess pay to linger on the employees’ paychecks for up to five more months than intended. This resulted in overpayments totaling $3,154.
“It doesn’t instill confidence in leadership when the solution to one payroll error breeds even more problems,” Auditor Yost said. “The township needs a thorough review process to ensure the dollar amounts are accurate on every paycheck.”
Auditors issued findings for recovery equal to the overpayment amounts listed below:
- Anthony Shroyer: $960
- Kristopher Prosser: $580
- Steven May: $514
- Jeremy Witte: $453 (Fully Repaid)
- Nathaniel Pierani: $442
- Christopher Johns: $205
The township approved a resolution on July 18, 2017, that requires repayment of the funds by Nov. 7. To date, four employees have repaid $1,015 of the $3,154 owed to the township, leaving a remaining balance of $2,139.
The fiscal officers and trustees who approved the improper payments are jointly and severally liable for the findings if the employees fail to return the full amount.
A copy of this audit report is available online.
The Auditor of State’s office, one of five independently elected statewide offices in Ohio, is responsible for auditing more than 5,900 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.
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