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Taylor Releases City of Coshocton/Coshocton Port Authority Audit

Former Executive Director Spent Over $64,000 for Personal Use; Possible Ethics Violations

Tuesday, April 10, 2007

Coshocton County -

State Auditor Mary Taylor released the 2004-05 audits for the City of Coshocton and the Coshocton Port Authority reporting that the former executive director misspent more than $64,000 in taxpayer money for his own personal use.  This issue has been referred to the Ohio Attorney General’s Office.

“The audit identified the serious misspending of taxpayer money and every dollar should be repaid,” said Taylor.  “We have referred this case to the proper authorities for action and we will continue to aggressively investigate cases such as this one.  Individuals who illegally or inappropriately spend taxpayer money must be held accountable.”

The audit found that the former Coshocton Port Authority Executive Director Ed Flynn was responsible for mishandling $64,685.97.  Flynn illegally spent the majority of the money, $63,800.58, by using the Port Authority credit card to purchase jewelry, propane, and cash advances for personal uses.  Additionally, Flynn received a salary overpayment of $562.31 and his wife, Amy Flynn, received a salary overpayment of $323.08.

A possible conflict of interest situation was also discovered in the audit.  Edmund and Amy Flynn operated Flynn Consulting and received a contract from the Coshocton Airport Authority to market an air show.  This relationship was established without the consent of the Port Authority Board.  At the same time, the Port Authority granted a revolving loan of $60,000 to the Airport Authority.  This matter is being referred to the Ohio Ethics Commission.

Recommendations issued by the audit include:
• Establishing a uniform credit card policy
• Adopting a policy for government owned cars and cell phones
• Using purchase orders to approve expenses

The new Coshocton Port Authority Executive Director T.J. Justice has worked with the Auditor of State’s Office to develop and implement responsible polices and procedures recommended by the audit. 

The Ohio Auditor of State’s Office is one of the largest accounting offices in the nation.  The office strives to ensure that all public funds are spent legally and appropriately and works aggressively to root out fraud, waste and abuse in public spending. Taylor encourages anyone suspecting fraud or misspending of public dollars to contact her office toll free at 1-866-FRAUD-OH (1-866-372-8364).

A full copy of the audit is available online at
http://www.auditor.state.oh.us/AuditSearch/Reports/2007/
City_of_Coshocton_Coshocton_Port_Authority_05-04-Coshocton.pdf