East Plains Council Of Governments audits show financial mismanagement

From the Clovis News Journal - By Tonjia Rolan  - The first of seven government-mandated audits of the Eastern Plains Council of Government dating back to 2005 painted a picture of financial mismanagement and ineptitude that is likely to be repeated in consecutive audits, according to Sandy Chancey, executive director of EPCOG. Mary Gray, EPCOG executive assistant to the director, said yearly financial audits are required by the federal government in order for EPCOG to receive and disperse government monies. "How they continued to get state funding all those years without yearly audits no one knows," Gray said. Chancey, who took over as executive director of EPCOG in June 2011, said, "No financial audits had been done since 2005 and no auditable books had been kept." Allegations of mismanaged funds and possible embezzlement at EPCOG began to surface in 2008, when Tillman was still executive director, according to a previous Clovis News Journal story. EPCOG employee Lori Howard was convicted in 2010 of embezzling $145,000 and sentenced to 10 years in prison. The overdue audits, spanning the last seven years, should be complete by July, when House Bill 411 kicks in which prohibits state agencies from contracting with any entity that does not have current financial audits, EPCOG hired Odessa Hamilton, an accountant with auditing and grant experience, to help build an accountable record keeping system for the organization, according to Chancey. "We will have books that can and will be audited for 2012. The seven years of delinquent audits will cost the organization $100,000 and will be paid for by the sale of two houses in Santa Rosa owned by EPCOG." read more

East Plains Council Of Governments audits show financial mismanagement