State Audit Questions CIESC Credit Card Expenses

Audit Questions $47K In Golf, Wine, Catering Expenses

An audit just released by the State Board of Accounts questions $47,398 in expenditures made by the Central Indiana Educational Service Center, including catering, limousine service, golf course fees, and a trip to a wine-tasting shop.

CIESC was established in 1990 with a goal of helping school districts be more efficient and cost-effective. It currently provides services in more than two dozen districts.

CIESC collects membership dues from school districts, and entered the spotlight last school year by charging Franklin Township parents school bus fees, per an agreement with the school corporation.

“There were numerous instances where credit card payments did not have any supporting documentation to support the charges listed on the monthly billing statements,” read the audit.

The questioned expenses span the period of August 1, 2009 to June 30, 2011, RTV6’s Kara Kenney reported.

“We requested the July 2009 credit card statement totaling $14,480.80; however, it was not presented for audit,” read the audit.

The questioned costs included $10,404 in catering expenses, $6,675 in restaurant dining, $71.68 to Tastings A Wine Experience, $109 to Chico’s, $73 at Nordstrom, and more than $1,054 at Amazon.com.

In a June 12 response, CIESC Executive Director Mary Ann Dewan said the governing board adopted a new credit card policy on February 22, 2012.

“A new procedure has been implemented,” read the response. “Individual employees will no longer be issued a credit card. (CIESC) credit cards will be under the custody of the treasurer.”

Another State Board of Accounts audit released in March questioned alcohol purchases.

"Alcohol purchases charged to the (CIESC) credit card totaled $546.98 during our audit period," read the audit released in March, which indicated that employees had repaid $424.50 in the alcohol charges.

CIESC has a travel policy that states the organization will not reimburse for alcohol expenses.

Click the link -- http://www.in.gov/sboa/WebReports/B40658.pdf to read the audit in its entirety.

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