DAYTONA BEACH, Fla. — Daytona Beach City Manager Deric Feacher answered our questions about our investigation into potential misuse of city credit cards. Nine Investigates has spent the past 10 days examining the issues.
We found thousands of dollars spent on hotels, flights, restaurants and even retail stores. Those findings are now getting attention from state leaders.
The city manager stated there is a policy issue related to credit cards and travel, with some policies dating back to 1999.
We asked him how so many of these purchases have been signed off on and how non-city employees ever ended up with credit cards.
Here is a portion of our interview:
Demie: who is looking at all of these, who is approving them? I know it goes through several layers. Do you think things have been missed?
Deric Feacher: “There could be a potential for some missing. That’s always, we are human but there are different layers that show what takes place getting things approved and we will continue going through those layers with updated policies and procedures and if we find fault with anybody, they’ll be dealt with from a disciplinary standpoint.”
Demie: “Are there receipts for every single one of these purchases? Because I have been told there are not.”
Deric Feacher: “Well, if there’s no receipts. There has to be a justification written up for the no receipt. And like I said, from the city commissioner down to me to a janitor, if we don’t have receipts for our p-cards we have to give justification for it in writing and there has to be some type of investigation on if it’s an accurate justification.”
Our review of public records revealed that credit cards were issued to non-city employees, including one who spent nearly $80,000 in a year, which is a clear violation of city policy. Feacher told us this had been happening long before he took the job, but he suggested it might still be a practice the city continues with an updated policy.
“Now, since all of this came out and Commissioner Cantu had some concerns about it, I suspended those cards. And now they’re using their corporate cards and they’re going to have to pay taxes on that for work that we are asking them to do at our marina. So, when you look at it, is it better for them to have a city p card or not because now the taxpayers are going to pay for something that we need done at our marina,” explained Feacher.
Demie: “So from the p cards to the travel, to anything else going on with spending in the city, it’s a policy issue? “
Deric Feacher: “Yes, that has to be updated. I don’t see anything nefarious activities taking place by staff that’s where we need to update our policies. “
Feacher said updating policies is a priority of the city’s new chief financial officer.
Demie: “Is it her job to update the policies or your job?”
Deric Feacher: “It’s the department director’s job to make recommendations to me as the city manager and take that forward so it’s not a matter of who, we’re going to say you need to do this and that. It’s a matter of it’s a team concept to pull the policies together and make sure that it works.”
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