Editor’s note: This is the fifth installment of an ongoing series taking a detailed look at the recently released audit for the town of Mannsville, spanning from July 11, 2011 through Dec. 31, 2015. Previous parts of the series are available at Ardmoreite.com.

As part of the recently released audit for the town of Mannsville, Oklahoma State Auditor and Inspector Gary Jones was asked to review possible discrepancies in hiring practices, including nepotism, payroll, use of town vehicles and travel reimbursements. The continued findings of the report are as follows.

• It appears that Fire Chief Derek Gray received 2 paychecks totaling $1,080 for the same pay period, July 10, 2014 through July, 23, 2014.
The audit states that Gray received 2 paychecks on July 22, 2014, both paid from the general fund, and both representing hours worked for the same pay period on July 10, 2014 through July 23, 2014. The audit adds that the purchase orders did not include time sheets or documentation to support the payment so it could not be determined what work hours had been compensated. The audit also said that the pay period included seven days of work time prior to Gray’s employment with the town and were dated as paid before the end of the pay period.

• Gray was credited with 57 hours of compensatory time with the town before he was officially employed, resulting in $855 of unearned pay.
According to the audit, Gray was not officially employed by the town until July 1, 2014. Auditor did not receive time sheets for the pay period but pay stubs showed that Gray did not work more than 40 hours during the period and would not be have been eligible for compensation time.  

• Gray was paid $202.50 by the MPWA for nine hours worked in the month of April 2015, before he was officially hired by the MPWA board on April 30, 2015.
According to the audit, Gray was credited with working hours on April 10, and April 25-26, 2014 prior to his approval for employment.

• The payroll hours regarding Gray’s hours worked, comp time earned and leave taken were inaccurate and at times erroneous and incomplete.
According to the audit, some finding would have been considered “immaterial” had they been isolated incidents but suggested that the “number of inaccuracies noted indicates an overall inadequate accountability of Gray’s time.” The audit goes on to state that the findings “reflected a lack of oversight, review or supervision of his time and leave accountability.”

• Gray was paid time and a half for all hours worked for the MPWA regardless of the total hours worked in a week.
The audit states that “even when total hours worked did not exceed the weekly 40-hour threshold for accruing overtime, Mannsville Power and Water Authority hours were paid at the overtime rate of time and a half.”

• The town allowed employee healthcare coverage to lapse due to lack of payment. Between Jan. 1, 2014 and Aug. 31, 2014, premiums of $720.18 were deducted from employees paychecks without coverage in place.
The audit reports that between Jan. 1, 2014 and Aug. 31, 2014, Mannsville withheld $720.18 in premiums from employee payroll without providing health benefits. The audit reports that some premiums were reimbursed, “no documentation was provided to suggest the remaining balances withheld had been reimbursed.”

• In 2015, the town did not submit payroll taxes due to the proper governmental agencies.
The audit reported that “near the end of the audit fieldwork the town was behind on their payments to the Oklahoma Tax Commission, the Internal Revenue Service and the Oklahoma Employment Securities Commission.” Audit staff were told by “Robert Clark, the town’s CPA, that the town had been in contact with all three agencies and was working to correct the situation.”

• Social Security taxes were not withheld and/or paid in for the benefit of town employees as required.
The audit states that Mannsville board had voted for a referendum on April 8, 2013, to provide employee with full Social Security benefits. According to the audit, the referendum passed on Sept. 30, 2013, with an effective date of July, 1, 2013. The audit states that Clark concurred with SA&I staff that the town was not participating in the Social Security Program as required.

• The town does not maintain written policies concerning the use of town vehicles.
The audit findings suggested that the town’s board define written vehicle use policies and require documentation of trips taken, trip purpose and miles driven.

• Travel reimbursement claims did not include complete supporting documentation.
The audit states that of the more than $10,000 of mileage reimbursements requests, 22 of 43 claims from Barnes lacked sufficient documentation and that some of the requests lacked review and approval from a supervisor.