Audit Dings City On Public Works Documentation

A state audit released this week dinged University Place for failing to document purchases for public works projects that involved money that was transferred within its general fund.

The state Auditor's Office, which examined 2009, found that the city transferred $922,145 from its surface-water management fund to its debt service and public works-construction in progress funds, and the city wasn't able to document the money.

"We could not determine whether surface-water management funds were transferred in accordance with state law," the audit read. "Therefore, we cannot determine if one fund benefitted another, which state law does not allow."

University Place City Attorney Steve Victor told Patch that the finding centers on administrative details.

Basically, he said, University Place documented that the money was transferred from fund to fund, as well as what the money would buy. It didn't clearly document the exact purchases made with the money, which created the state finding, he said.

But the city knows what every dollar paid for, Victor added. It included stormwater projects in the Town Center area along Bridgeport Way West, Alameda Avenue West and Drexler Drive West.

"The primary reason for the finding was there was a lack of understanding on the staff's part for what the auditor wanted to see," he said. "It was not just how the money was budgeted, but also spent."

The state said it has recommended the city improve its documentation in the past four audits, although this year is the first that University Place received a finding.

Victor said the city understands exactly what the state is looking for. In fact, it's already adhering to those standards for federal auditors, who are monitoring University Place because of federal grants tied to Town Center. Generally, federal auditors have higher standards for documentation and accountability than the state.

"We agreed with them in the exit interview that we'll treat this the same as the federal audit," he said. "We understand what they want now."