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City Controller Finds Sloppy Bookkeeping Among Groups That Help Raise Money For Philadelphia Rec Centers

By Mike Dunn

PHILADELPHIA (CBS) -- Philadelphia's Controller has found questionable bookkeeping among groups that help raise private money to support city recreation centers. His findings, in one case, have been sent to the District Attorney.

Under the microscope of City Controller Alan Butkovitz are recreation advisory councils, run by neighborhood residents to boost funding for the city's dozens of rec centers. He attempted to audit fourteen of the 126 council and was met with resistance from council leaders. In the end, Butkovitz was able to audit just three of them. He found sloppy bookkeeping at all three, and the books of one advisory council -- in Fox Chase -- were forwarded to the DA.

"We saw red flags, triggers," Butkovitz said, "the type of indicators that would mandate that we turn it over to the District Attorney."

city recreation center ledger
(credit: City Controller's Office)

 

Specifically, Butkovitz said the former treasurer of the Fox Chase Advisory Council had the council's checks mailed to her home, and had signed checks payable to herself. The Controller said the treasurer took the council's financial records with her when she left the position.

No city tax dollars are at issue -- just private donations -- but Butkovitz recommends stronger city oversight of the advisory councils. In his written response to the audit, Parks and Rec Commissioner Michael DiBerardinis promises exactly that going forward, including mandatory training for each advisory council, and quarterly reviews by his department of all Advisory Council financial reports.

Butkovitz's office estimates that all 126 councils raise about $2-million a year, with the money going to supplies, equipment and programming for the rec centers, as a supplement to the city's own funding.

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