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Jeff Co. Clerk Holsclaw defends office after critical audit

by Renee Murphy


Posted on October 3, 2012 at 9:08 AM

Updated Thursday, Oct 4 at 6:27 AM

LOUISVILLE, Ky. (WHAS) -- The Jefferson County Clerk is defending her office after a critical audit from the state. Bobbie Holsclaw handles millions of dollars every year for the county and calls the audit alarming and disturbing. The audit does not reveal any criminal activity. WHAS11’s Renee Murphy sat down with Holsclaw and has both sides of the story.
“I certainly will not stand by and allow something like this to go on when I certainly don’t agree with any of it,” said Holsclaw.
“These recommendations that we have provided to Ms. Holsclaw to make improvements to her office to limit the risk of fraud or theft of taxpayers,” said Stephanie Steitzer with the State Auditor’s office. “Simply because these things were not discovered in past audits does not mean the auditor’s office approved of those activities”

The audit lists the following problems:
-Holsclaw's office was operating a private non-profit voter outreach program.
-Collections for charities like the Crusade for Children were collected in her office and there was the potential for public dollars and donations to get mixed up.
-The audit also had concerns about gas cards for her employees and $99,000 in bonuses to her employees.

“She gave $99,000 worth of Christmas bonuses to employees which is not allowed under the state constitution. Any incentive pay must be performance based,” said Steitzer.
“All of this to me, I have a hard time with. I think if there had been money missing if there was something else I would have been devastated by that but I refuse to sit here and accept that because one person says that something is wrong to necessarily agree with all of that,” said Holsclaw.
Holsclaw says one of the things she has the biggest issue with is gas cards for her employees. She says that’s the way the state told her to handle the expenses.
“If he would have found a better way to do that I would have been happy to have changed that but to write that up in an audit when I was instructed to do that I think it poor management on his part,” said Holsclaw.
She has asked the Jefferson County Attorney to take a look at the audit to insure nothing illegal happened.

Click here for the news release PDF from the Auditor's office