By Wayne Allen
July 30, 2013
PDT Staff Writer
According to multiple sources, former Scioto County Economic Development employee Kendra Hobson is currently being investigated by the State Auditor’s office.
When asked what he could say about the situation, Todd Book, Scioto County Interim Executive Director said, “All I can tell you is that she no longer works for the county.”
According to an employee directory of the Scioto County Courthouse, Hobson is listed as working in the Economic Development Office under the title of, “Revolving Loan Fund/Flood Plain.”
“She was terminated several months ago, at least two months ago. What I told the commissioners to tell people is that this is an ongoing investigation and we do not have any comment,” Book said.
When asked who was doing the investigating, Book responded, “The auditor of state is doing the investigation.”
Scioto County Auditor David Green said Hobson was the only person he knew of that had been fired.
Green further stated, “Effective June 3, 2013 Kendra was involuntarily terminated. They placed her on administrative leave for maybe a week (prior to her being involuntarily terminated) and then had a hearing and terminated her.”
Book, Green and Scioto County Prosecutor Mark Kuhn said the investigation is ongoing and declined to divulge further details.
On May 31 the commissioners received a letter from the U.S. Department of Commerce requiring the county repay funds that were not spent properly.
“For the period of Oct. 1, 2010 through March 31, 2011, administrative expenses exceeded RLF (Revolving Loan Fund) income by $2,759. For the period of April 1, 2011 through Sept. 30, 2011, administrative expenses exceeded RLF income by $18,798,” the letter said. “This resulted in $21,557 of RLF capital for lending being used for administrative expenses without prior approval of the EDA (Economic Development Administration), and which costs are questioned and may be disallowed.”
In their follow-up communication to the resolution proposal, “The county has indicated to EDA that approximately $15,000 of $21,551 in administrative expenses cited in the Dec. 31, 2011 OIG (Office of the Inspector General) findings were for payroll and other non-RLF related operational expenses of the county.”
The letter states that the EDA will work with the county on a repayment plan for the $15,000.
Scioto County Commissioners Chairman Mike Crabtree could not be reached for further comment.
Wayne Allen may be reached at 740-353-3101, ext. 228, or firstname.lastname@example.org. For breaking news, follow Wayne on Twitter @WayneallenPDT.