11/23/2022 - Jefferson City, Mo.
State Auditor Nicole Galloway today released her audit of the Carroll County Ambulance District. The ambulance district's board of directors passed a resolution requesting the audit, after a whistleblower call from the ambulance district led to an initial review by the Auditor's Public Corruption and Fraud Division. The audit resulted in a rating of "poor," the lowest possible.
The audit covered a period of time during which a former director was responsible for the ambulance district's operations. Auditors found at least $91,794 was misappropriated from the district during an approximately nine month period. Payroll overpayments totaling $54,530 and questionable mileage reimbursements totaling $1,945 were paid to the former director. The former director also misappropriated $4,021 from a district employee benefit reimbursement account and used a district credit card for personal purchases totaling $108. The former director also improperly authorized 19 payroll overpayments totaling $29,560 to 15 district employees.
The audit identified inadequate oversight by the board of directors over the former director and insufficient segregation of duties over the various financial accounting functions. The board did not adequately monitor the district's payroll and disbursements activity, which enabled the misappropriation by the former director.
The audit recommends that the board work with law enforcement officials regarding criminal prosecution of the improper overpayments, questionable and improper reimbursements, and improper purchases, and take the necessary actions to obtain restitution. Going forward, the audit recommends that the board should segregate accounting duties to the extent possible and implement appropriate reviews and monitoring procedures.
The audit also noted several instances where the board failed to follow the Sunshine Law as it relates to closed session minutes, results of votes, and signed meeting minutes. The Missouri Attorney General sued the district in April of 2021 for violations of the Sunshine Law.
A complete copy of the audit is available here.