PORT ANGELES — Clallam County Commissioner Jim McEntire still wants the state Auditor’s Office to examine a now-resolved dispute with the county treasurer as part of the usual 2016 audit.
Commissioners Mike Chapman and Bill Peach did not object to McEntire’s request Monday.
“I want to have something from the state auditor that says good, bad or indifferent, and not just silence and informal information more or less by hearsay,” McEntire said a board work session.
“I want something in writing from the auditor, and I think appropriately when they do the audit for the entirety of this year’s finances and compliance with state law.”
The three commissioners voted unanimously July 13 to request a special compliance review and audit for the awarding of $1.3 million in Opportunity Fund grants to the port and city of Port Angeles.
County Treasurer Selinda Barkhuis objected to the process the board employed to approve the grants, specifically a lack of public hearings and signed contracts with port and city governments.
Clallam County Prosecuting Attorney Mark Nichols concluded in a legal memorandum that the board acted properly when it awarded the $1 million grant to the Port of Port Angeles and $285,952 to the city.
Representatives of the Auditor’s Office verbally agreed with Nichols’ conclusion, county officials have said.
“When the review/audit is completed, please release your conclusions to the public,” commissioners asked the state auditor’s office July 14.
“We believe that despite a well-researched legal opinion from the county prosecutor, misinformation and speculation about alleged illegal acts on the part of the county has eroded public confidence in its local government. We believe an independent third party review communicated to the public will help to restore that,” commissioners added.
Barkhuis broke the stalemate when she announced Sept. 10 that would not reject the warrants associated with the grants because of an undisclosed medical issue.
Kelly Collins, director of local audits for the state auditor’s office, said in a Sept. 27 email to McEntire that it was her understanding that the county had resolved the issue and that her office no longer needed to proceed with a special compliance review.
McEntire, who is running against Mark Ozias for a second term on the county board, replied in a Sept. 28 email that the “main issue should still be addressed” in the regular audit.
“When they found nothing wrong in the quick look, they would save the information for next year’s audit,” County Administrator Jim Jones told commissioners Monday.
“That would be the normal case. It sounds like that’s kind of what Kelly is suggesting as well.”
Asking the auditor office to conduct the review as part of the regular audit would reduce costs, McEntire added.
Commissioners have said they took the unusual step of holding public hearings before they approved the infrastructure grants. The appropriations were twice recommended by the Opportunity Fund Advisory Board.
After Barkhuis announced that she would not reject the warrants, commissioners voted 2-1 Sept. 15 to disperse the funds.
Chapman voted no, saying that the money should have been placed in the 2016 budget to remove any doubt about transparency.
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Reporter Rob Ollikainen can be reached at 360-452-2345, ext. 5072, or at rollikainen@peninsuladailynews.com.
