State education officials have begun an examination of the books in the financially troubled Hancock County school system, with the state superintendent telling legislators that the initial look raised questions about contracts and some employee bonuses that might have exceeded legal authority.
State officials have indicated that county school system officials circumvented the mandated use of the West Virginia Education Information System.
Superintendent Michele Blatt addressed the ongoing situation in Hancock County while presenting the state education system’s budget proposal today before the House Finance Committee.
State school officials received a flurry of questions from delegates.
“Why wasn’t there some big alert come up? I don’t know — the hammer comes up out and slaps you upside the head,” asked Delegate Joe Statler, vice chairman of the House Education Committee.
“What do we have to do to make sure that if somebody is not doing the job — how could that get this deep in before somebody realized the failure?”
Hancock County has been described as being roughly 140 employees over what the state school funding formula could support. State officials have said the county used federal covid relief dollars for ongoing expenses and then did not wean off adequately when that funding dried up.
Altogether, state officials have said Hancock County’s troubles include a $5 million cash shortfall, a $2 million high school overspend and a $1 million turf project with dollars from the county board’s general fund.
The state Board of Education moved last week to take over Hancock County schools and fire top personnel.
“So there’s lots of lots of moving pieces right now,” Blatt said.
Uriah Cummings, the state school financial operations officer, has been on site in Hancock County and addressed lawmakers on Thursday. He characterized the county’s failure to appropriately report through the West Virginia Education Information System as a violation of state law.
“The West Virginia code does stipulate the county boards of education are required to use the accounting system set forth by the West Virginia Department of Education,” Cummings said.
“There’s law that that dictates that county boards of education are to use that accounting system.”
On the bonuses, Cummings described to lawmakers fall and spring local payment to employees — “to all employees, a flat sum of money that was split in half, once in the fall and once in spring, to which there is no applicable state law that
allows that practice.”
Delegate Matthew Rohrbach, R-Cabell, asked if a forensic audit is being considered “to see if there’s any criminal intent.”
The state education officials replied that the county takeover and review have just begun. “So that is to be determined,” Cummings said.
Delegate Marty Gearheart, R-Mercer, followed up by asking for clarification on if the state education officials would refer the matter to local prosecutors if the investigation uncovers criminal actions.
“Absolutely,” Blatt responded.
In comments to reporters after the meeting Blatt elaborated by saying questionable actions involving state funds could be presented to the State Police and actions with federal funds could be reviewed by the Office of Inspector General, “and so we do have those contacts, and can share information as we receive it.”
State Auditor Mark Hunt, who also spoke before the House Finance Committee on Thursday, said Hancock County’s school system is audited annually and has drawn no red flags the most recent three times.
“So now we’re understanding that they’re having a problem making payroll, and we’ll certainly audit that and work with the Department of Education and with the folks in Hancock County to see what happened,” Hunt told delegates.
.