PORT ANGELES — The state auditor’s office has cited Shore Aquatic Center with inadequate internal controls over its financial and accounting reporting during 2022 and 2023, and found Executive Director Steve Burke personally benefited from more than $40,000 in public funds over six years.
In three reports released Monday, state auditors identified significant weaknesses in the district’s accounting practices, little financial oversight, lax internal controls and incomplete records, as well as improper self-insurance medical payments and credit-card use by Burke.
At a special meeting on Oct. 28, the Shore Aquatic Center board voted to place Burke on paid administrative leave and appoint director Ryan Amiot as interim executive director.
Attempts to reach Burke, who was reelected Port of Port Angeles commissioner in Tuesday’s election, were not successful by press time.
State auditors opened their special investigation after noticing unusual payments and credit-card activity during a regularly scheduled review in October 2024.
According to a fraud report covering transactions between Feb. 21, 2019, and March 31, 2025, state auditors concluded that Burke had received $19,067 in self-insurance payments, including a single $9,000 check that was not supported by medical receipts, $14,338 from a Social Security tax refund that belonged to the district and $7,743 in personal credit-card charges such as fuel purchases, travel expenses and an oil change for his wife’s car.
The report also said Burke didn’t have a signed employment contract and hadn’t received a performance evaluation since he was hired in 2010. He approved his own reimbursements and had charged more than $190,000 on the district card since 2019.
The state auditor’s office has forwarded the case to the Clallam County prosecuting attorney’s office.
Board president Navarra Carr said the state auditor had notified the district in the spring that it was opening an audit investigation and kept the board informed as more findings came to light.
In a special meeting on Monday, the board discussed with the state auditor’s office the agency’s findings. At the state auditor’s request, the board didn’t disclose there was an ongoing investigation to keep the process private.
In a separate accountability report covering Jan. 1, 2022, to Dec. 31, 2023, state auditors cited the district for significant weaknesses that allowed irregularities and errors to go unnoticed.
State auditors reported that the district had no effective process for reviewing financial transactions, bank reconciliations and investment accounts, that it allowed Burke to review and approve his own reimbursements and credit card charges, that it relied on financial reports that were incomplete or inaccurate, leaving them unaware of the district’s financial activities, and that it failed to follow a number of its own policies.
Among auditors’ findings on credit card charges was one employee who charged more than $62,000 over a three-month period, nearly $54,000 of which couldn’t be verified as valid business expenses. They also identified $12,600 in unsupported or unallowable expenses for personal meals and beverages, and $442 in personal purchases — mostly by Burke — that the district couldn’t confirm had been reimbursed.
Auditors faulted the board for not ensuring internal controls were established, documented or enforced. They also faulted the board for failing to conduct a performance evaluation of Burke over his 15-year tenure.
While state auditors found the district’s actions didn’t violate any laws, they nonetheless concluded that weak governance created opportunities for the misuse of funds.
Carr said the board cooperated with the auditor’s office throughout the investigation. It accepted the findings and agreed to adopt the recommendations in the report. Those include rebuilding internal controls, establishing written policies, recovering misused funds and ensuring board review of all financial activity.
“We’re currently working on what the implementation looks like and what the next steps are,” Carr said. “There are things that we have to work on, and we really want to get them right.”
Burke’s status remained undetermined as the board awaits action from the prosecuting attorney’s office.
“We still want to see how this all plays out,” Carr said.
Shore Aquatic Center
The Shore Metro Park District was created after the city of Port Angeles announced plans to close William Shore Memorial Pool because it could no longer afford to maintain or operate it.
In a special election on May 19, 2009, voters overwhelmingly approved the forming of a new metropolitan park district and authorized a property tax levy, passing the measure 67.67 percent to 32.33 percent.
The district, which operates Shore Aquatic Center, is governed by a five-member board that is composed of two city council members, two county commissioners and one community representative.
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Reporter Paula Hunt can be reached by email at paula.hunt@peninsuladailynews.com.
