$29,384 in late fees and penalties
The first finding says McCombs did not pay the village’s federal, state and school district tax withholdings from 2020, 2021, 2022, and 2023 on time. As a result, North Lewisburg had to pay interest and penalties in the amounts of $27,116, $1,016 and $535 for the late federal, state and school district remittances, respectively, according to the audit.
Additionally, she didn’t pay employee and employer contributions to the Ohio Public Employees Retirement System (OPERS) on time during 2022 and 2023 which resulted in penalties and interest for the village of $715.
Under Ohio law, late fees and interest incurred through gross negligence are an illegal expenditure of public money, so a finding for recovery was issued against McCombs and her bonding company in the amount of $29,384.10 and in favor of the village of North Lewisburg general fund.
McCombs could not be reached for comment Monday. A message was left on a phone line believed to belong to McCombs.
North Lewisburg Village Mayor Ted Murphy Jr. said McCombs resigned her position, and that the audit report speaks for itself “in regards to performance of duties.”
“We are working closely with the auditor’s office to correct all areas as quickly and most importantly compliance-wise as possible,” the mayor said. “The auditor’s office has been and will continue to be a great help going forward. We have implemented new procedures such as mail handling and hired a new fiscal officer.”
$11,250 in wrongful payments
The second finding is for overpayments made directly to McCombs, according to the audit.
In June 2020, the village council approved an extra $500 a month for the fiscal officer for performing extra duties due to the retirement of the billing clerk, according to the auditor’s office.
The billing clerk position was filled in May 2022. During 2022, 2023 and 2024, McCombs allegedly continued to compensate herself the $500 monthly stipend after the position was filled and she was no longer performing the extra duties.
As a result, McCombs was overcompensated by $4,250 in 2022, $6,000 in 2023, and $1,000 in 2024 — a total of $11,250 — according to the audit.
A finding for recovery was issued against McCombs and her bonding company in the amount of $11,250 and in favor of the village of North Lewisburg.
The Ohio Auditor of State’s office said Monday afternoon that the findings for recovery had not been repaid.
Other audit problems
North Lewisburg’s state audit for 2022 and 2023 also included three items of noncompliance and/or “material weakness.”
- The village’s mayor’s court was disbanded effective Jan. 1, 2023, but the village was unable to provide a completed docket for 2022, so auditors could not determine if receipts were complete and accurate. There was no evidence of any bank reconciliations for the mayor’s court in 2022-23. “The omission of Mayor’s Court fund activity from the village’s financial statements results in inaccurate financial statements,” auditors said.
- The audit listed six misstatements on the village’s financial statements and/or accounting records, including costs being paid out of the wrong fund, expenses being classified incorrectly in financial statements, and failure to properly record state grant payments.
- For 2022 and 2023, the former fiscal officer did not properly track available funds or file appropriate resolutions as required, according to auditors. Estimated revenues were overstated or understated within the village’s accounting system for multiple funds, in some cases by as much as $219,000, according to the audit.
Not the first time
In North Lewisburg’s 2020-21 audit, a finding for recovery of $2,159 was issued against McCombs for “penalties that resulted from the late remittance of retirement withholdings,” according to the state auditor.
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