In this installment of audit highlights, the key words are "ineligible recipients...ineligible projects...amounts that exceeded limits...tax credits for [work] that had occurred before the contracts were executed."
From page 4 of the audit (full text):
Program Administration
WEDC did not have sufficient policies to administer its grant, loan, and tax credit programs effectively, including some statutorily required policies. It had no policies for determining how to handle delinquent loan amounts. In other instances, WEDC did not consistently follow statutes or its existing policies when making awards.
We reviewed files for 64 awards that WEDC made in FY 2011-12 and found that WEDC made some awards to ineligible recipients, for ineligible projects, and for amounts that exceeded limits specified in its policies.
WEDC lacked invoices or other contractually required documentation showing that authorized costs were incurred for 7 of 29 grant and loan awards that we reviewed.
In addition, four contracts executed through the Jobs Tax Credit program allocated four businesses a total of $906,000 in tax credits for job creation and employee training that had occurred before the contracts were executed.
The four contracts for $960K in tax credits appear to be based upon fraudulent applications. The incompetence of the WEDC process seems to be a feature and not a bug.
ReplyDeleteElect people whose ideology is dedicated to the concept that government doesn't work, and they go about proving it.
ReplyDeleteThe takeaway, though: REPUBLICAN government doesn't work...
Working for a job training program, do you know how fast you'd lose a contract if you did a tiny fraction of what they did? We get audited by the state and feds and every i has to be dotted and every t crossed. The BIGGEST issue is eligibility and disallowable costs...and you can't have allowable costs without having been determined to be eligible. They should be prosecuted for this.
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