The City of Amarillo has released the findings of an internal audit into expense reimbursements for Amarillo Economic Development Corporation (AEDC) employees over the past three fiscal years. The audit, conducted at the request of the Mayor and City Council, focused on whether employee reimbursements adhered to established policies.
The audit found that all reimbursements were approved by AEDC management or a board member and had supporting documentation. However, the audit also identified some areas of concern, including the use of personal cards by AEDC employees for business expenses and the lack of clear policies and procedures for reimbursement.
As a result of the audit, the City and the AEDC are planning to update their policies and procedures to document the process of paying reimbursements and to prohibit the use of personal cards for business expenses, except in emergencies.
The audit also revealed that AEDC employee reimbursements totaled $111,514.15 in the 2022 fiscal year, $324,258.35 in the 2023 fiscal year, and $300,375.42 in the 2024 fiscal year. Kevin Carter, AEDC President and CEO, had the highest reimbursement amounts each fiscal year.
Key Findings:
The audit examined employee reimbursement data for the past three fiscal years.
All reimbursements were approved by AEDC management or a board member and had supporting documentation.
The AEDC's policies and procedures regarding employee reimbursements were found to be outdated and lacking in detail.
The audit identified a practice of employees using personal cards for business expenses, which was not explicitly prohibited by the AEDC's policies.
The highest reimbursement amounts were paid to Kevin Carter, the AEDC President and CEO.
Recommendations:
Update the City and AEDC policies and procedures to document the process of paying reimbursements.
Require AEDC employees to use "P" or "purchase" cards for business expenses, except in emergencies.
