State Auditor Susan Montee’s examination of Missouri State University identified key challenges for the public higher-education institution.
In a report delivered Oct. 19, Montee pointed to improper documentation and lack of controls, issues that resulted from the implementation of a $7.6 million computer processing system in June 2009.
Montee said documentation settings were not added properly in the system, leading to inaccuracies for JQH Arena, the Child Development Center and the MSU Foundation, the school’s fundraising arm.
The audit also found that money from MSU’s operating fund subsidized JQH Arena, making it seem that the arena’s financial shape was better than it actually was. She said the arena lost money its first two years of operation. It is expected to lose nearly $330,000 in fiscal 2011, which began July 1.
In November, MSU President James Cofer assembled a nine-member task force to find ways to make JQH Arena profitable. The task force’s findings are expected in April.
The MSU Board of Governors responded to the audit with a letter reassuring Montee’s office that the school will work to address and correct the issues uncovered. One of the Top 10 Stories of 2010: See the rest here.