AUDIT FINISHED, NOT YET ISSUED

Jackson County Drug-tax Dispute Looms

A possible investigation into records-tampering allegations
surrounding Jackson County's anti-drug tax could delay auditors from
issuing a report.

However the county Legislature on Monday approved a $30,000 increase
in its contract with the auditing firm Cochran, Head & Co.

Auditor David Cochran said that although his firm had completed its
audit, he was reluctant to issue findings until the records-tampering
allegations investigation was complete. He said the probe could
unearth additional records or information that could alter his findings.

"Most prudent auditors, given some of the allegations made, would be
reluctant to issue anything," Cochran told county legislators on Monday.

However, Cochran said he would provide information legislators need to
decide next year's budget.

Legislator Bob Spence balked at Cochran's decision, calling the
allegations unfounded.

"That (type) of allegation could stymie every audit in this country if
all a person has to do is raise their hand and say, 'Records have been
moved,' " Spence said.

Legislative finance and audit chairman Ron Finley also was
displeased.

"You work for this body (the Legislature), and I would like to have a
report," he said.

Cochran then proposed issuing a report reflecting the uncertainty of
the county's records, but he warned that the report could change with
the outcome of the investigation.

Prosecutor Mike Sanders stopped short of confirming an investigation
was under way. But he cautioned legislators against issuing
legislative hearing subpoenas on the matter to witnesses involved in a
possible criminal inquiry by his office.

Meanwhile, legislators voted 7-1 to increase Cochran's contract from
$90,000 to $120,000. Finley said the increase was justified because
the firm had dealt with delays beyond its control.

The wrangle on Monday was the latest installment in the controversy
surrounding the Community-Backed Anti-Drug Tax, known as COMBAT.

The current hullabaloo began two weeks ago when Cochran auditors
alleged that COMBAT files were locked away from them by another
financial firm that County Executive Katheryn Shields said she hired
to protect the records. Shields said she hired the second firm to
inventory the records.

Shields said the inventory yielded no evidence records were improperly
destroyed.