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State Auditor's Office formally dings county
By NATALIE JOHNSON
natalie@masoncou nty.com
The Washington state Audi-
tors Office released its formal
accountability audit report for
Mason County.
Representatives from the
Auditors Office met with the
Mason County Board of Com-
missioners on Dec. 3 to review
the findings.
The audit reviewed county
activities from Jan. 1, 2012,
through Dec. 31, 2012.
The audit, released Mon-
day, lists three findings: The
county assessor's controls over
personal property were not
adequate to ensure that the
county collects all tax revenue;
the Belfair sewer fund's finan-
cial condition puts it at risk of
not being able to meet its finan-
cial obligations; and the equip-
ment rental and revolving fund
(ER&R) did not charge funds
equitably.
The full report released
Monday goes into the findings
in detail.
According to the report, the
county is required to create
a list of personal property for
all businesses operating in the
county. Each year, businesses
are required to update infor-
mation about their property by
April 30.
In 2008, 2009 and 2010 au-
dits, the state Auditor's Office
recommended that the Asses-
smZs Office improve controls
over the identification of that
personal property.
In the most recent report,
the state auditor stated eight of
18 businesses selected during
the audit were not in the coun-
ty assessor's records, did not
submit a 2012 property listing,
and were not taxed for personal
property.
"Businesses that have not
reported personal property are
not taxed or penalized equita-
bly compared to businesses al-
ready in the assessor's records,
and the county has not collect-
ed all personal property taxes
to which it is entitled," the re-
port states.
The. county responded to
the finding by saying that staff
turnover exacerbated the prob-
lem in 2012.
"Somewhere in the progres-
sion of training, the new pro-
cedure wasn't applied as effec-
tively as a more experienced
employee may have done," ac-
cording to the reports.
The state auditor highlight-
ed financial problems with the
Belfair sewer in the audit re-
port.
"The sewer is not generating
enough revenue to pay back the
debt," the report reads.
The sewer fund will be short
by between $500,000 and $1 mil-
lion each year until the debt is
paid off, according to the report.
The state auditor has recom-
mended that the county "estab-
lish a formal financial plan to
address how it plans to repay
the debt," and to closely moni-
tor the sewer fund to ensure
the plan is followed.
The county commission re-
sponded, saying that the county
is in the process of developing a
financial plan for the sewer.
Lastly, the state Auditors
Office found that the county's
ER&R fund did not charge
funds equitably.
According to the report,
between 2010 and 2012, the
commission reduced payments
from the current expense de-
partment for vehicle, computer
and telephone costs, and elimi-
nated those charges in 2013.
Departments outside of the
current expense department
continued to be charged ER&R
expenses.
"The board of commission-
ers chose to reduce the amount
charged to the current expense
departments to decrease ex-
penses during the budget set-
ting process," the report states.
The state auditor recom-
mended that the county allo-
cate costs for ER&R equitably,
and "correct past inequities in
the ER&R fund."
The county commission re-
sponded, saying it planned to
develop a plan to address the
issue.
County consolidates HR, central operations00into support services
By NATALIE JOHNSON
natalieCwmasoncounty.com
The Mason County
Board of Commissioners
unanimously approved a
resolution Dec. 24 creat-
ing a Support Services
Department.
The new department is
a consolidation of human
resources, central opera-
tions, risk management,
emergency management,
information services
departments, and will
provide support to civil
services and the board of
equalization.
County commissioner
Terri Jeffreys said the
new department will
make running the county
more efficient.
"We have activities of
the county that are man-
aged by multiple different
departments," she said.
"It's so decentralized that
we don't have a lot of con-
tinuity."
Current Human Re-
sources Director Bill Ken-
ny will take control of the
department as support
services director.
"It's broadening his
role as a human resources
director," Jeffreys said.
"Human resources be-
ing a significant function
of this, we didn't want to
lose that skill set. We felt
that that was a tremen-
dous resource to be able to
draw from."
Kenny said staff cuts
after the beginning of the
recession isolated some
departments.
"We went from 430
employees to ayear later
about 330," he said. "And
very little work actually
went away, so there were
people trying to maintain
service levels without that
support and centraliza-
tion ... There were some
functions that no one was
clearly responsible for."
The consolidation will
also provide more staff
support for citizen boards
such as the civil service
commission and the Board
of Equalization.
Consolidating the de-
partments could make it
easier to implement proj-
ects such as a countywide
salary survey or county-
wide personnel policies,
Jeffreys said.
Kenny said the consoli-
dation will also allow the
support services depart-
ment to play a role in ad-
dressing concerns about
the county's Equipment
Rental and Revolving
fund raised by the state
AuditoxZs Office this year.
'%Ve need to become
more clear on what it is
we have and what it is we
need," he said.
County Auditor Karen
Herr expressed concern
about the resolution last
week before the commis-
sion approved it,
"rhe public had no re-
view process," she said.
Members of the county
commission said they had
discussed the move since
October, but the depart-
ment was not included in
the proposed county bud-
get released in November.
Herr said the creation
of the support services de-
partment was included in
more than 100 pages of
changes to the 2014 bud-
get submitted to the Au-
ditolZs Office on Dec. 17,
two weeks after the county
commission held a public
hearing on the budget Dec.
2.
"It totally circumvent-
ed the budget process,"
she said. "It's unprec-
edented the number of
changes that were made
after the public hearing."
The new department
will also include budget
analysis and financial
management.
Kenny said he thinks
the county commission is
being "great stewards of
the public dollar."
The resolution includes
reclassifying Kenny as
support services director,
the central operations ad-
ministrative supervisor to
administrative services
manager and the risk
manager/budget analyst
to human resources/risk
manager.
Kenny said he will con-
tinue to handle labor rela-
tions, but that the human
resources/risk manager will
take on tasks such as up-
dating personnel policies.
The department adds
two paid postions, includ-
ing the budget director
and the human resources/
risk manager. The com-
mission voted Dec. 10 to
hire Frank Pinter as bud-
get director.
Mason County Com-
missioner Terri Jeffreys
said it adds $178,00 to the
2014 budget.
Nonprofit Briefs
United Way accepting funding applications
United Way of Mason County invites nonprofit
agencies to consider applying for available funds gen-
erated through workplace giving campaigns.
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Page A-6 - Mason County Journal - Thursday, Jan. 2, 2014
United Way is accepting applications from orga-
nizations that address at least one of the following
areas: education, income and basic needs, and health.
The application and training on the new two-year
funding format will be provided at a Community Service
QUALITY BUILDINGS
AT AFFORDABLE PRICES.:
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Tm Car hrage Gage I Hobby Shop Tm Car gmge Shop & IN
S12,259+h.
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INhrage
S15,514.m S23,878+m
30x3sx18 & g 30xsox18" & 9
z-Sto 3-Stall garage Two Story garage & IN
$20,439. $32,547. S $40,195- Sw
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in Customer
Satisfaction
35 Years of |
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All Prices Include Plans; Labor, Materials and Concrete Floors I
Group meeting from i to 2:25 p.m. Jan. 14 at the Public
Works building at 100 W. Public Works Drive, at the cor-
ner of U.S. Highway 101 and state Route 102/W. Dayton
Airport Road. The deadline for the application is March 3.
The money is available annually for agencies
and programs serving Mason County residents. Af-
ter Jan. 14, interested agencies and groups can call
United Way at 426-4999. Applications are also avail-
able at the website at Unitedwaymasonco.org. Click
on "funding" and "apply for grant."
Anyone interested in working with the United
Way board of directors to review agency applications
and recommend how to distribute the money can call
Tamra Ingwaldson, executive director of United Way
of Mason County at 226-4999 or email tingwaldson@u
nitedwaymasonco.org. The orientation is April 17.
See BRIEFS on page A-7
Behind the
Habitat Store
CLEANERS & TAILORS
,._j. Mon-Fri 6:30 a.m.-6:00 p.m., Sat 9:00 a.m.-2:00 p.m. I
crmDer 215 South Second. 426-3371 [
I 'Member ' Serving She#on and Mason County for 89 years I