An auditor with the Nebraska Auditor of Public Accounts has determined that College Park has been inappropriately invoicing Hall County for the College Park Executive Director’s salary and benefits. A spokesman for College Park disputes the findings. (Carol Bryant, Central Nebraska Today)
GRAND ISLAND – A spokesman for College Park disputes State Auditor’s findings in a Jan. 27 letter to Hall County Commissioner Karen Bredthauer.
An auditor with the Nebraska Auditor of Public Accounts has determined that College Park has been inappropriately invoicing Hall County for the College Park Executive Director’s salary and benefits.
“It was noted that funds paid by the county for the depreciation reserve account were commingled with other College Park funds and maintained in an investment,” Craig Kubicek, deputy auditor for the Auditor of Public Accounts, wrote.
The Auditor of Public Accounts (APA) analyzed invoices for 2023 through 2025. For fiscal years 2023 through 2025, College Park invoiced the county for $40,409 of payroll that lacked documentation to support the propriety of that amount under the lease agreement. The amounts invoiced to the county for the executive director’s salary, taxes, and IRA match were: $13,644.45 (2023), $13,644.55 (2024), and $13,119.76 (2025).
L.J. McCormick, executive director of College Park, and Dr. Jeff Edwards, chairman of the College Park board, are not commenting about the situation.
On Jan. 29, Grand Island attorney Kevin Walsh issued a statement in response to the Jan. 27 letter.
“College Park’s invoicing practices during the audit period were consistent with prior practice, which was developed over the course of more than three decades and reflected the joint understanding between College Park and Hall County as to what constitutes reimbursable costs under the lease,” Walsh wrote.
“This understanding took into consideration the fact that certain of College Park’s employees are actively involved in the maintenance and operation of the premises which are the subject of the lease. The compensation of those employees when engaged in such activities is therefore properly categorized as an operating expense and not a cost of administration,” Walsh wrote.
“This understanding is supported by the fact that the itemized invoices sent by College Park to Hall County were approved and paid by Hall County. There recently were differing good faith interpretations of relevant portions of the lease and College Park has cooperated with Hall County to adjust its billing practices to align with the recommendations of the state auditor,” Walsh wrote.
“Throughout the audit process and continuing through the present, College Park has remained ready and willing to find resolutions to any good faith differences in the interpretation of the lease which may arise between it, the office of the Auditor of Public Accounts, and Hall County, as reflected by its actions in response to the audit of the lease,” Walsh wrote.
“In the end, College Park is a nonprofit 501(c)(3) charitable organization providing an environment for education that delivers life-long learning, arts, and entertainment enrichment opportunities to the residents of the Grand Island, Hall County, and Central Nebraska. College Park will continue its mission in cooperation with Hall County and its other partners to provide educational opportunities for the benefit of the community,” Walsh wrote.
After meeting with representatives from the county and Hall County Extension Office in August 2025, College Park stopped including the executive director’s salary in the reimbursement invoice.
“We recommend College Park work with the county to determine the amount that was improperly invoiced and agree upon the amount that should be returned to the county,” Kubicek wrote.
Hall County Commissioner Karen Bredthauer has served as the county’s representative on the College Park Board for approximately 10 years. She said that beginning in 2019, she began noticing financial discrepancies and began to accumulate paperwork documenting those items. She eventually was able to get Hall County Attorney Marty Klein to listen to what she had discovered. Klein recommended going to the State Auditor’s Office.
Although the lease agreement between College Park and the county does not include a monthly lease payment, a portion of the agreement provides for reimbursement of College Park operating costs on a monthly basis.
“Operating costs shall include depreciation reserve and other costs of operation of the building and real property excluding the costs of administration…and secretarial costs,” the agreement said.
“It was noted that the amount recorded as the county’s share of interest, dividends, and earnings on the commingled account does not appear to be a proportionate share of the income generated by College Park’s investment accounts,” Kubicek wrote.
“The county should receive a proportionate share of the income generated from its funds in the College Park investment accounts,” Kubicek wrote.
