Lacey no longer works for the village. She is suing the auditor after theft in office charges against her filed by a grand jury in December 2016 were dropped in September 2017. The lawsuit, filed in the Ohio Court of Claims, is scheduled for trial in March and seeks unspecified damages exceeding $100,000.
A message left with Lacey’s attorney was not returned.
Another finding of the newly released audit is that there was little accounting of the collection of the village’s 1 percent income tax.
“There was no evidence to support that the village took steps to verify that those who should be paying income taxes and/or filing a tax return were actually paying income taxes and/or filing a tax return for 2015 or 2016,” the audit says.
Village administrators did not return a call seeking comment. But they responded to the auditor’s office as part of the audit process.
“Income tax software was not being utilized by previous clerk. No historical data is available due to lack of posting. SSI software was implemented in April 2016 and has been utilized since,” village administrators wrote.
Other findings listed in the audit are accounting problems, such as a lack of supporting documentation for some appropriations, incorrect amounts being input or money being posted to the wrong accounts.
“Failure to maintain a complete and accurate accountability of public monies could lead to errors and irregularities occurring and not being detected in a timely manner,” the audit says.
The village told auditors most of the issues were fixed in 2016. In response to one finding listing 37 accounting errors, they wrote: “Due to the amount of incorrect procedures/lack of posting, filing & records, etc. the village of New Madison is continuing to correct mistakes and working at moving forward.”