Journal-Times (Grayson, KY)

Local News

June 4, 2014

State auditor ends Olive Hill investigation

June 4, 2014 — State Auditor Adam Edelen has concluded a preliminary financial investigation into the City of Olive Hill.

In a letter addressed to Mayor Kenny Fankell and dated June 2, Edelen revealed a “pattern of concerns” dating back to 1998.

The limited audit was conducted, in part, to determine if a more thorough investigation was warranted.

Edelen said the pattern raised questions as to whether the city is effectively addressing weaknesses noted in past audits, conducted in 1998 and 2000.

“Although the APA (Auditor of Public Accounts) takes seriously all allegations... limited resources of this office are not well spent on addressing concerns unless management and the governing body take recommendations seriously and work to meet their own responsibilities of managing city operations in an accountable, compliant, and transparent manner,” Edelen stated in his letter. “I strongly encourage city officials to work to resolve disputes and improve the manner in which city operations are governed.”

Another part of the investigation centered around city utilities. However, Edelen stated in the letter that the APA office will not perform a more detailed, special examination of those concerns.

Future decisions of the court related to pending litigation potentially impact the concerns,” the letter stated. “We are unable to proceed in providing and independent examination of the concerns related to the city utilities, which was the primary subject of our work.”

Field auditors did identify some issues with general governance and operations.

Weakness in providing proper oversight of operations:

From January through March, four City Council meetings were not held due to lack of quorum. Edelen reminded the mayor and Council members that elected officials have a responsibility and obligation to “be present and active in all matters related to their function.”

Disaster Recovery Plan is needed:

A portion of the auditor's preliminary procedures could not be conducted because a damaged computer led to a loss of records. The APA office encouraged the city to create a Disaster Recovery Plan (DRP) that includes backing up electronic system data.

Text Only
Local News
  • 16 indicted by Carter grand jury

    Indictments of 16 persons have been handed down by a Carter County grand jury. Although 11 of those were processed June 27, the documents were released Monday to the Journal-Times.

    July 23, 2014

  • Wreck4.JPG Wreck leaves trail of gravel

    Members of Carter County Emergency Management, Norton Branch Fire Department, Kentucky State Police
    and Carter County EMS responded to an overturned truck Monday afternoon.

    July 23, 2014 1 Photo

  • Rex Collins.JPG Package liquor sales begin in Grayson

    It took more than a year, an investment of about $750,000, and a lot of paperwork but packaged liquor went on sale last Thursday in Grayson.

    July 23, 2014 1 Photo

  • Star Elementary renovation underway

    Ongoing renovation of Star Elementary School was one of the main topics of conversation at Monday night’s meeting of the Carter County Board of Education.

    July 23, 2014

  • Standout Youth Rally

    The third annual Standout Youth Rally will take place this weekend at the Olive Hill Shrine Park. The Christian praise and worship experience is free and includes admission, food, camping and entertainment.

    July 23, 2014

  • Stage lighting welcome at renovated OHHS

    Performers at the Olive Hill Arts and Education Center, previously known as Olive Hill High School, eventually will be highly visible to their audiences in the future, thanks to help from the Carter County Community Fund (CCCF).

    July 23, 2014

  • Olive Hill fire chief to step down

    Olive Hill Fire Chief Wes Gilliam has informed the Journal-Times that he will resign from his position effective July 31.

    July 23, 2014

  • DSC_9807.JPG Beer on sale in Olive Hill

    Malt beverage sales began in Olive Hill last Wednesday.

    July 23, 2014 1 Photo

  • store.jpg Packaged liquor sales begin this week

    July 16, 2014 1 Photo

  • DSC_7242.jpg Rodeo rides again at Carter County Fair

    After three years with no rodeo, the bucking broncos will return to the Carter County Fair this Thursday and Friday.

    July 16, 2014 1 Photo

Poll