Review of 2009, 2010 financial records comes up clean
By Kathleen Brady Shea, Managing Editor, The Times
In business Monday night, Supervisors Robert A. Hammaker (left) and Michael E. Elling received a favorable report on the 2009 and 2010 township audits.
With an illustrious past that includes the Battle of the Brandywine and the Underground Railroad, Kennett Township has seen its share of skirmishes, and now it can add a chapter in a recent one involving finances to its history.
The Ghost Auditor Caper, which surfaced after the 2009 and 2010 audits were allegedly performed by a mysterious individual who never cashed the checks for payment from the township and then disappeared, had prompted a public outcry for a re-do. On Monday night, the drama ended anticlimactically: No missing millions. No mismanagement. No malfeasance.
Tim Umbreit, a principal of the township’s new auditing firm, Umbreit, Korengel and Associates, reported that a review of the township’s 2009 and 2010 financial records produced “clean opinions.” He said an additional analysis of the township’s open-space and sewer funding also showed nothing improper.
Umbreit said allegations that $2 million in open-space funds were missing apparently stemmed from a document distributed by a citizens’ group. “A lot of the numbers that were on that summary simply weren’t accurate,” he said. Umbreit said he received “100 percent cooperation” from township employees and made some recommendations about tightening controls.
“We know where we can find him,” joked Supervisors’ Chairman Michael E. Elling at the end of Umbreit’s presentation.
The controversy first surfaced more than a year ago and then played a role in last November’s election. Supervisor Scudder G. Stevens, who was not present at Monday night’s meeting, ran on a platform of increasing township transparency and defeated Allan Falcoff, the former supervisors’ chairman.
In February, under pressure from more than 100 township residents, the supervisors agreed to re-audit the 2009 and 2010 records after both Police Chief Albert McCarthy and a private investigator could locate neither Ed Johnson, the auditor hired by the board, nor his company, SGR.
Despite Monday night’s audit review, repercussions of the dispute linger. In an attempt to clarify expenditures and address questions about the original audit, Stevens filed a Right-to-Know request that spawned litigation that is still pending. Responding to a resident’s question, Township Manager Lisa M. Moore said the conflict has cost the township nearly $38,000 to date in legal fees.
Moore said that the information sought by Stevens is contained in computer tax software used by the township that also contains employees’ personal data and that the personal information cannot be redacted from the program. She said an expert for Stevens is trying to resolve the apparent impasse.
Elling said he was optimistic that the township would ultimately prevail in court, but he said he could not rule out another appeal.
Other business included the approval of a revised soliciting ordinance, a special sewer study, and five stop signs. Details can be found on the township’s web site: http://www.kennett.pa.us.
