Audit criticizes handling of grant

MARYSVILLE – Marysville’s internal controls and reporting were significantly lacking, according to a 2005 state audit report released last week.

The report reviewed two federal grants and found that Marysville failed to comply with several regulations related to one of the grants.

The $300,000 grant helped pay for the Strawberry Fields soccer fields on 152nd Street NE, Marysville finance director Sandy Langdon said.

The money was awarded in 2002 for work done in 2003, she said.

The city didn’t report the grant money properly, did not screen subcontractors as it should have and failed to obtain payroll information to comply with federal laws, according to the report.

Public works officials were unaware the project was paid for with federal money, according to the report.

Even before the findings were reported, the city changed its internal processes and took care of the problems, Langdon said.

“We didn’t have to pay anything back. We just had to beef up our internal controls, which we already have done,” she said.

A separate state audit of the city’s finances found no problems.

Reporter Jackson Holtz: 425-339-3437 or jholtz@heraldnet.com.

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