Macksburg owes state key records
MACKSBURG–Officials in the small Washington County village of Macksburg are not commenting on missing financial records that have landed them in on the “unauditable” list by Ohio State Auditor Dave Yost.
During the course of the regular financial audit for Jan. 1, 2015 through Dec. 31, 2016, the condition of the village’s financial records was determined to be inadequate, leaving the state unable to complete the audit.
According to Beth Gianforcaro, press secretary for the State Auditor’s Office, Macksburg is unauditable because the village failed to provide specific information.
The information missing includes annual financial statements, bank reconciliations and receipts for 2015 and 2016. Also payroll ledgers and a cashbook were not maintained. Voucher packages including invoices and payroll records including time sheets, federal and state withholdings, sick and vacation leave, W-2s and W-4s were also missing for the 2015 and 2016 years.
“This isn’t something that happens very often,” said Gianforcaro. “We currently have 21 entities on the unauditable list out of more than 5,800 clients.”
Macksburg officials including Mayor Jerry Williams, Treasurer Esteal Hendricks and council members Ted Dobbin, James Westfall, Cindy Staley, Dorothy Pack, Tina Williams and Rhonda Tanner did not return numerous phone calls for comment made since May 8.
Within 90 consecutive days of the date of the letter on April 13, the village must revise its financial records and fill in the missing pieces to complete the audit. If the village can’t bring accounts, records and reports to an auditable condition, according to the State Auditor’s Office, legal action could be taken. This action may result in the Ohio Attorney General issuing a subpoena for Hendricks and Williams to appear in the state treasurer’s office to explain the failure to bring accounts, records and reports into an auditable condition.
The state makes free tools available so that villages and municipalities can keep careful records and be transparent in their spending of public money.
“Something that has been very beneficial to the Village of Beverly is using the state auditor’s software, Uniform Accounting Network, to assist with record-keeping,” said Pam Jackson, treasurer for the Village of Beverly. “It creates reports for not only the State Auditor’s Office but really for anybody to see those public records. It also automatically goes to the state, making it easier for the auditing process.”
Jackson said using this software makes it pretty hard to do any record-keeping incorrectly.
“I’m not able to write a check if the money isn’t there for me to spend,” she said. “It protects myself and the village from any financial troubles. This is exactly how I would want it to be and I’d recommend any city or village take advantage of the state’s software. It keeps everyone out of trouble and the records are in order.”
The State Auditor’s Local Government Services Section is available for the officials of the Village of Macksburg to assist in bringing the records to an auditable condition. This service is used for a variety of reasons including the reconstruction of financial records.
A website called OhioCheckbook.com allows villages to submit their records online for the public to view. Currently, the villages of Lowell and Lower Salem use the transparent website. OhioCheckbook.com sets a new standard for government transparency, allowing users to track every cent that is spent within local governments in Ohio. The website even shows all the spending for the entire state of Ohio.
Janet Kidd, treasurer for the Village of Lower Salem, uses the website to allow taxpayers to see exactly where their money is going. Kidd has been the treasurer for Lower Salem for more than 30 years and said she’s never run into a financial problem like the one Macksburg is facing now.
“I am to the penny every single month and if there’s even one little mistake, I have to find out where I was wrong,” she said. “We’ve never had any big issues. I’m a hard-copy person but I use OhioCheckbook.com and the state’s software too. When the bank statements come at the end of the month, I make sure the bank and I agree on every cent.”
On April 7, 2015, Treasurer Josh Mandel sent a letter to 18,062 local government and school officials representing 3,962 local governments throughout the state calling on them to place their checkbook level data on OhioCheckbook.com and extending an invitation to partner with our office at no cost to local governments. Since that invitation, 1,114 local governments and school districts have committed to partnering with OhioCheckbook.com.
“By making information readily accessible on OhioCheckbook.com, citizens and journalists are able to help encourage good spending decisions by their state and local governments,” said Mandi Merritt, press secretary for the State Treasurer’s Office. “We’ve heard that many governments across the state and country that have placed their spending online in searchable and downloadable databases have seen significant decreases in public records requests that can be time consuming and costly, as all the information is already at the fingertips of the taxpayers.”
Also using OhioCheckbook.com are the City of Belpre and Liberty Township.
“The city of Marietta has committed to OhioCheckbook.com and we are currently working with local officials to get their local checkbook site up and running,” said Merritt.
Macksburg has faced some financial issues before. Last December, former village fiscal officer Kimberlee Gardine was sentenced to 120 days in jail for stealing $3,885 from the village. Gardine spent the money on Internet cable bills from August 2013 through July 2015, a personal car insurance bill in December 2013 and to purchase a camera and photos from Walmart in 2013. She also used the village debit card at ATM machines to make 10 cash withdrawals totaling $1,905.
The issues were discovered by the state auditor’s office.
At a glance
¯The Village of Macksburg was put in an “unauditable” list in April.
¯ This was after Treasurer of the State Dave Yost determined the village lacked financial records needed to complete the standard audit.
¯ From April 13, the village has 90 days to get the proper information to complete the audit.
¯ Failure to get that information could result in legal action by the state.
Source: Ohio State Treasurer’s Office.