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State Audit Finds Trouble at GRDA (Dec 08, 2011)

An audit of the Grand River Dam Authority released Thursday has identified several possible problems within the organization.

The state Auditor and Inspector’s office 77-page report says it appears decisions are being made by GRDA officials that could benefit them personally.

The report says a relationship exists between the authority’s board chairman and one of GRDA’s vendors, PELCO Structural.

The president of PELCO is both the board chairman’s brother-in-law and employee.

The audit says this connection was not disclosed to the board and could have given the company an unfair advantage in winning more than 5-million dollars in contracts.

The report also says GRDA spent 140-thousand dollars for work on an airport near the authority’s headquarters without approval from its board.

The audit report also says former CEO Kevin Easley had two questionable car rentals while on business trips, including one for a Chevy Camaro rented in Palm Springs, California for 362 dollars that was driven 43 miles.

The report says Easley stayed at the conference location and also had 200 dollars in taxi fares during the same visit.


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