The Village of Octa is grappling with the revelation of financial irregularities following a state audit of its books. The Ohio Auditor's office released findings on Tuesday, indicating that a total of $4,333.43 in improper payments had to be recovered from village employees and officials due to late fees and unapproved compensation.
According to the Ohio Auditor's report, a portion of the money has already been repaid, amounting to $1,535, but that still leaves the village $2,798.43 short. This deficit was primarily accrued from January 1, 2022, through December 31, 2023, a period during which the village's fiscal oversight failed to safeguard taxpayer dollars appropriately.
The audit particularly called out former Fiscal Officer Penny Johnson, who is responsible for the bulk of the remaining unpaid sum. She was found to be liable for $2,798.43, which was attributed to fees, penalties, and interest for late remittances of federal and state taxes, as well as pension system withholdings. The Ohio Auditor's office was forthright in its assessment, stating that the late fees, penalties, and interest paid by the village, which were incurred as a result of gross negligence, serve no proper public purpose and could have been avoided had the withholdings been paid promptly.
Responsibility for this financial miscue does not lie solely with Johnson. The report also found that Village Council members collectively needed to repay $1,400 due to receiving overpayments for meeting attendance, a debt which has since been settled. Additionally, an employee was wrongly paid $135 for overtime, an amount that has also been reimbursed, leaving Johnson and her bonding company "jointly and severally liable for the total" of the remaining balance.
For interested parties, the full audit report detailing these financial missteps by the Village of Octa officials can be accessed through the Ohio Auditor's official website.
