State auditor alleges Mitchell mayor misused municipal equipment, resources

MITCHELL, Neb. (KOLN) - The Nebraska State Auditor’s Office released a letter on Tuesday detailing their findings in a recent investigation regarding the City of Mitchell’s alleged misuse of municipal equipment and resources.

According to the letter, the office received several allegations the mayor was routinely using municipal equipment for his own benefit. The unauthorized use of public resources for personal financial gain is against Nebraska law, the office wrote in a press release.

The state auditor’s office received photos and videos, including one that reportedly shows the mayor spraying the area near his driveway with a City-owned utility vehicle.

Foley’s office said the mayor denied the allegations and claimed to own the utility vehicle. After further investigation, the audit team, with assistance from the Scotts Bluff County Sheriff’s Office and a local farm equipment supplier, confirmed the utility vehicle is owned by the city.

State law prohibits not only intentionally obstructing or hindering an examination by the Auditor of Public Accounts but also willfully attempting to mislead anyone responsible for conducting such audit work, according to Foley’s office.

“I am amazed that anyone, especially a government official, would attempt to mislead my auditors – who are second to none when it comes to uncovering financial wrongdoing in Nebraska. Do they really think that we won’t verify the information provided?” Foley said.

The audit team also looked into what appears to have been excessive payments, totaling $47,448, to the mayor’s own business, “The Handyman,” for work performed at the Mitchell Care Center, a municipal assisted living and nursing facility.

Several of the payments to the mayor’s business have allegedly not been presented for the City Council’s approval. Furthermore, Foley’s staff found that “The Handyman” invoices lacked adequate details of the services provided.

“My office can’t have boots on the ground in every corner of the State, so it is comforting to know that citizens are willing to stand up for what is right and report, often anonymously, their concerns through our fraud, waste, and abuse hotline,” Foley said.

Foley is in the process of forwarding all of the documentation and other audit evidence compiled by his staff during the City examination to the Scotts Bluff County Attorney, the Nebraska Attorney General, and the Nebraska Accountability and Disclosure Commission for further review and, as appropriate, legal action.