State audit finds Douglas County Treasurer over, under paid school districts, city by millions
A state audit found millions in overpayments and underpayments to Omaha metro school districts, the city of Omaha, and Douglas County itself in 2021, according to a letter released by the Nebraska State Auditor's office.
Douglas County Treasurer John Ewing said the distribution process used in 2021 was "incorrect." Ewing said his office followed the same protocol that had been used for the previous 61 years.
"What we had, in this case, was a situation where for 61 years ... this county treasurer's office, believed that the distribution of the OPPD payment in lieu of taxes should be distributed proportionally," Ewing said at a press conference Tuesday.
Ewing also said that no money is missing or "any deviant behavior like that."
The audit found Ewing's office miscalculated payments from funds paid by the Omaha Public Power District.
"This was not an intentional error on our part, this was simply a mistake in interpreting the state statute," Ewing said.
The treasurer's office overpaid Omaha Public Schools by $5.6 million, the city of Omaha by $4.4 million and Douglas County by $2.6 million.
They underpaid Elkhorn Public Schools by $4.2 million, Ralston Public Schools by $4 million and Westside Community Schools by $3.7 million.
According to the letter, the overpayments and underpayments were due to Ewing's office failing to "include the levies of all school districts within the City of Omaha."
He added that his office has worked with the state auditor's office to ensure the 2022 distribution process was fixed.
"We were cooperative with the State Auditor's Office as we always are with any audits that are done on the treasurer's office," Ewing said.
Ewing said the county board will look at the process of addressing overpayments as well.
Omaha Public Schools issued a statement Tuesday regarding the overpayment: “We welcome the efforts of the Auditor to ensure that, going forward, all political subdivisions are paid correctly. We will review the Auditor’s findings and continue to work with Douglas County to see what the next steps are.”
Read the full report from the Nebraska State Auditor's office here