SCOTT AUDIT SUGGESTS SHERIFF'S CHANGES

BENTON -- State auditors have recommended changes in the financial operation of the Scott County Sheriff's Department and urged Sheriff Bill Ferrell to avoid even an appearance of a conflict of interest.

The recommendations are part of an audit of the county government covering the three years ending Dec. 31.

The auditors questioned the practice of depositing fees and other revenue collected by the sheriff's department in the Mercantile Bank of Sikeston. The sheriff serves on the bank's board of directors.

In 1992 and 1993, sheriff's department personnel were reimbursed $861 and $1,115, respectively, for mileage associated with transporting the deposits from the county seat at Benton to the bank in Sikeston, a distance of 15 miles.

This was done even though the county depositary, First Financial Bank in Benton, is within walking distance of the sheriff's office, auditors said.

"An elected official should refrain from any action which even appears to be a conflict of interest," the audit said.

But Ferrell said Tuesday there isn't any conflict of interest and he will continue to deposit the money into the bank account that offers the best deal for the county. Mercantile Bank doesn't charge fees regarding the deposits made by the sheriff's department and pays interest on the account.

Durward Dover, the county's presiding commissioner, believes the money ought to be deposited with the county's official depositary.

The county, he said, shouldn't be paying mileage to deputies to drive to Sikeston to deposit money in a bank. "It seems to me that someone should be making restitution for the county because I can't see that is a good way of spending county money."

The auditors also suggested the commission pay directly to vendors the cost of feeding prisoners. Currently, the commission reimburses the sheriff for meals at a daily rate of $3.30 per prisoner.

If the commission decides to continue reimbursing the sheriff's office, it should base the meal rate on documented expenses and actual meals served, auditors advised.

Ferrell defended the current arrangement. "We are complying with what the statutes are now. It's the way it has always been done. We feed prisoners cheaper than anybody around."

Dover said he isn't as concerned with the amount of money being paid for prison meals as he is the bookkeeping arrangement. Like the auditors, he believes there should be better documentation.

The presiding commissioner said past practices aren't a good reason to ignore the auditors' recommendations. "If it was wrong all these many years, it's still wrong."

But Ferrell insisted the sheriff's department is well managed. The auditors, he said, have merely made recommendations.

"It may be best from an auditor's point of view, but it may not be best from the taxpayers' point of view," said Ferrell.

Dover said the county commission needs to review the whole audit soon.

But Dover, who was defeated in his re-election bid in the August Democratic primary, said the other two county commissioners don't share his concerns about the financial operations of the sheriff's department.

Dover said he doesn't have any power as a lame duck commissioner to push for any changes. "I am a dead duck."

During his re-election campaign, he acknowledged past disagreements with Ferrell over operation of the sheriff's department.

County Clerk Bob Kielhofner, who defeated Dover in the August Democratic primary and will take office as presiding commissioner in January, said the audit didn't unearth any major problems.

"There are administrative things we need to do," said Kielhofner.

In other audit business, Scott County will withhold $55,711 combined from its seven school districts to properly adjust for Proposition C as recommended by the auditors.