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Winter Springs mayor disturbed, disappointed over release of harsh city audit

Seminole County Clerk of Court Grant Maloy released audit draft

WINTER SPRINGS, Fla. – Winter Springs Mayor Kevin McCann is “disturbed” over a draft audit of city spending released by Seminole County—but not because of what’s in it.

McCann said in a letter to Seminole County Clerk of Court Grant Maloy that “the draft audit report should have never been released to the news media because it is deemed confidential by law until the final audit report is completed by the County’s Inspector General and delivered to the City... It is highly unethical for me to respond about notes that are incomplete. This is entirely inappropriate that this is going to the media and everyone else before it’s finalized and that’s what the state statutes are for.”

Maloy released the 180-page draft audit publicly as a public record late last week after several months of investigation.

[READ THE FULL DRAFT AUDIT BELOW]

“My office’s work on the audit was finished and in our opinion, subject to public records requests,” Maloy said. “We are looking forward to the City’s response. The audit calls for more transparency and controls over how our tax dollars are spent. I would hope the Mayor would work towards that goal, instead of blaming others for the findings included in the report.”

When two of Winter Springs’ bridges failed after last year’s hurricane, some citizens began asking why the city didn’t replace them before the storms as planned using penny sales tax revenue.

“The City proposed a group of projects that included: roadway improvements, new trails, new sidewalks, asphalt resurfacing, bridge replacement and repairs, stormwater water quality, and pipe realigning valued at $19 million,” the audit reads.

State Sen. Jason Brodeur in January asked the state auditor general for an operational audit of the city and then Seminole County Commissioner Jay Zembower asked Seminole County’s Division of Inspector General for an audit.

[RELATED: City of Winter Springs under audit by State of Florida | Winter Springs city manager announces retirement amid audits]

Both Brodeur and Zembower were concerned how Winter Springs spent its portion of the penny sales tax that voters approved in 2014, intended for improving infrastructure.

Winter Springs had planned to beef up its bridges and roads with its $19 million share but then reallocated funds to include 20 “new police vehicles, white fleet vehicles, machinery and equipment,” according to the audit.

“Although we agree that the City is in compliance with the requirement of having a public meeting, and the City is in compliance with Florida Statues, the City Commission, in our opinion, did not follow the intent of the referendum,” the audit shows.

The draft also found “the City transferred money ($5.5 million) from the Infrastructure Fund... into the Water and Sewer Fund allowing the proceeds from a county-wide sales tax to be used on a municipal water and sewer utility means Seminole County taxpayers are subsidizing costs of local utility users,” the audit continues.

Brodeur wants more answers.

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“This confirms exactly what we had suspected before which was that the City is somehow commingling the funds and can’t account for the penny sales tax money that was given, and that puts the residents in jeopardy for their water and wastewater treatment,” Brodeur said. “And so what we’re trying to do is get to the bottom of where the money is and who’s responsible for those decisions that puts those residents in jeopardy.”

The draft, under “What were the results of the audit” on page 3, found that “a small portion of the funds were not spent in compliance with the law.”

McCann refuted that finding.

“There are other parts that I have read that very specifically say that we are in compliance,” McCann said.

McCann said City staff will respond to the draft and, when a final copy of the audit is released, promised to respond line by line.

The draft also mentioned that six other cities besides Winter Springs, Seminole County and the school board are getting money from the penny sales tax and recommends more accountability to ensure funds are appropriately spent, including internal controls and regular audits.

“More internal administrative controls are needed to increase transparency and protect the citizens’ tax dollars,” the audit concludes.

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About the Author
Erik von Ancken headshot

Erik von Ancken anchors and reports for News 6 and is a two-time Emmy award-winning journalist in the prestigious and coveted "On-Camera Talent" categories for both anchoring and reporting.

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