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IU must re-evaluate its handling of money, credit

For the Midwestern Intermediate Unit IV, based in Grove City and encompassing school districts in Butler, Lawrence and Mercer counties, the questions before it are how and why something allegedly so wrong could have happened and what safeguards could have prevented it.

That “something” is the alleged misuse of a credit card by former executive director Cecelia Yauger, whose resignation was accepted by the IU board Wednesday evening. The board had placed Yauger on administrative leave with pay on March 27 as a result of the suspected credit card irregularities.

Neither the specific amount of money nor an estimate of the IU’s total loss, if any interest payments were involved, has been divulged. Meanwhile, Timothy McNickle, IU solicitor, reportedly is continuing the probe of Yauger’s credit card use.

Yauger had headed the intermediate unit, which coordinates with local school systems, serv-ices and funding for programs including special education, since 2007. While operating on a $3.9 million general operating budget, the IU handles 59 other budgets that total more than $100 million, some of which are state and federally funded.

Neither the IU board nor IU officials can be certain at this time whether the purported irregular credit card activities in any way impacted state or federal money. But the fact that state and federal funds are administered by the intermediate unit is destined to make the Yauger case of interest beyond the three member counties.

Because the taxpayers are the source of money that flows through the intermediate unit — the local districts contributed $649,135 for the current fiscal year — the public has the right to an estimate, even a preliminary one, at this time.

However, Yauger’s case should not be prejudged. Despite Yauger’s expressed plan to reimburse the IU, she is presumed innocent until proven otherwise.

The situation demands a thorough probe by the IU board as to how the problem evolved. Obviously, some procedures need to be changed to ensure that no one has access to funds or credit card use without monitoring by others. It’s apparent that proper safeguards weren’t in place regarding Yauger.

At the same time, if the IU has not up to now required detailed documentation for spending, whether by cash, check or credit, it must now demand details.

Yauger first worked for the intermediate unit in 1979, when she was hired as a special education teacher. As the IU-4 leader, a position she held for six years, she compiled a commendable record until she came under suspicion recently for the possible improper credit card transactions. Now all of the intermediate unit’s financial management structure must come under scrutiny.

Yauger always was considered a solid IU asset. Now many people are troubled by the prospect that they might have not seen the larger picture.

The investigation should continue until the intermediate unit and public have answers to all of the remaining questions.

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