Some of the Tennessee Wildlife Resource Agency’s management practices open the department up to risks of fraud and spending abuses, a recent audit released by the state comptroller’s office said.
The most egregious example of a lack of oversight is with state payment cards, which allow TWRA employees to buy goods and services for the agency. According to the audit, between July 1, 2009 and Jan. 24, 2013, TWRA employees made more than 57,000 purchases, totaling nearly $13.3 million.
“Tennessee Wildlife Resources Agency management did not maintain proper controls over State Payment Cards, increasing the risk that state resources will be used improperly due to fraud, waste, and abuse,” the audit found.
Employees were allowed to make purchases that should not have been permitted, and also to avoid purchasing limits because, according to the audit, supervisors failed to double check and approve receipts in some situations.
While TWRA policy requires employees to maintain logs of purchases that are then approved by supervisors, state auditors found that record-keeping was not always maintained and approved properly across the board, leaving an opportunity for fraudulent purchases.
Also the audit found cards are not always deactivated promptly after a cardholder leaves the employ of TWRA. “Management did not always promptly terminate cardholders’ payment cards, resulting in one purchase (totaling $55) made on a terminated employee’s payment card,” wrote the probe’s authors.
Agency overseers recognize a need to revise its policies to encourage better compliance and say steps are being taken to address the issues raised in the report, said Jeff McMillan, chairman of the Tennessee Wildlife Management Commission, which meets Thursday and Friday at Meadowview Conference Center in Kingsport.
“This is why we need to do an audit every year,” said McMillan, a dentist from Bristol. “We have audits to find where things need correcting and we’ve done that.”
McMillan maintained, though, that the agency overall is doing the job it was set up to do, which is manage wildlife. “We’ve got elk, geese, sandhill cranes. It’s like the good ole days,” he told TNReport this week, adding the agency manages the wildlife of Tennessee on a balanced budget.
However, one of TWRA’s most vocal critics in the Tennessee General Assembly, Strawberry Plains Republican Sen. Frank Niceley, said the audit is proof positive the agency’s leadership needs an overhaul.
“What people need to realize is, the TWRA is set up as a free-standing agency,” Niceley said in an phone interview with TNReport Tuesday. “It is the only agency that is set up that way. It was done as an experiment in the ‘70s and it has failed.”
Nicely noted that some of the issues found by the Comptroller have been found in the past and not corrected.
“Management has not been managing. They are having a big party on the sportsman’s dime,” Niceley said. He said he has no problem with the mission of the TWRA, he just wants to see it more efficiently run.
“It needs new management,” Niceley said. “It needs a commissioner (who should) answer to a standing committee.”
McMillan defended his volunteer post, saying the commission is removed from politics. “You get a non-political opinion on what needs to be done with wildlife,” he said.
In addition to failing to rigorously monitor purchases with state money made by employees, the audit found problems in how TWRA manages state-owned equipment, crop leases and computer security.
The audit found the agency doesn’t always carefully track equipment and suggested an annual inventory of the approximately $35.5 million worth of TWRA-owned guns, vehicles, boats and tractors. Auditors found not all state property was sufficiently documented and lost items were not always reported correctly or in a timely manner.
“Due to the sensitive nature of these items and the decentralized nature of the agency’s operations, it is critical that TWRA maintains proper internal controls over equipment,” the audit said.
The audit, which can be read in full here, also reported:
- TWRA did not oversee crop leases properly, which increases the chances of lost revenue for the agency
- It did not enforce its conflict-of-interest policies; and
- It did not always protect its Remote Easy Access Licensing (REAL) computer system, which could open the agency to hackers.