Early reports from a Broward County special district inspired legislation bolstering such districts' ethics rules and now a board member of the water utility says that issues a state audit found will be fixed.
The North Springs Improvement District (NSID) provides water and sewer services to 40,000 Coral Springs and Parkland residents in a county of nearly 2 million people.
The Auditor General's report that Democratic Rep. Dan Daley requested identifies district practices and procedures in seven areas that either don't comply with state law or raise questions.
The district has 30 days to respond to the 13-page report to describe actual or proposed corrective actions.
Among the report's findings:
— In four of nine contracts the audit examined — involving more than $23 million — the district did not allow 30 days for potential vendors to respond, as state law requires.
— Competitive bids were not solicited as required by state law engineering and construction services totaling $7.8 million and instead awarded the contract to an existing, continuing contract.
— The 2017 sale of a 25-acre vacant land was sold for $4 million without an independent appraisal and the district doesn't have policies and procedures related to the sale of real property.
— The daughter of one of the district's contractors was hired as an administrative assistant for $20 an hour without the position being described and advertised.
A news release says that the preliminary audit's results exonerate its manager Rod Colon. A report in the Florida Bulldog alleged he had profited from business dealings the district had.
"Colon's personal financial gain related to business with the district is in accordance with state ethics laws, which allows special district employees to do business with their agency," the release said.
Colon acknowledged making a commission he earned off an earlier land sale, which the Bulldog reported, but said that happened before he became the district's manager.
"The auditor general found no issues with the commission or the legality of it," Colon said.
Anthony Avello, appointed to the NSID board in March, said the district is taking the preliminary reports findings to heart, the news release says. "We are committed to implementing internal changes to address the auditor's report and additional internal policies that are tougher than state mandates and laws," Avello said. "As a board supervisor, NSID should always strive to do better, and we will."
Florida has more than 1,900 independent and dependent special districts. This more obscure part of government — often dedicated to a singular purpose — has recently been grabbing more headlines.
Gov. Ron DeSantis backed legislation that abolished the independent district that allowed Disney World to govern 25,000 acres of property in Orange and Osceola counties that now forms the heart of Disney World's Florida operation. A new district, the Central Florida Tourism Oversight District, was created in its stead with a board of gubernatorial appointees.
Democratic Rep. Christine Hunschofsky said she's glad that reports of goings-on at the Coral Springs water district inspired her to introduce legislation (HB 199) that changed special district board members exemption from training in state ethics laws.
"I think it's a good practice for board members and elected officers to do an annual ethics training to be aware of the ethics laws that govern them and the entities they work for," she said.
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