Feds may end Ohio manufacturing program after audit cites $20.9 million in misspending

- The U.S. Department of Commerce's Office of Inspector General released an audit criticizing Ohio for poor oversight of $20.9 million received through the Manufacturing Extension Partnership.
- The audit identified unauthorized spending and self-dealing among board members of local affiliates that received federal funds.
- The audit recommends that the National Institute of Standards and Technology consider terminating Ohio's funding and attempt to recoup the mismanaged funds.
- The audit covers program spending from 2017 through 2024 and includes details of unnecessary expenditures on events and marketing.
- MAGNET, one of the local affiliates, disputes the audit's findings, claiming inaccuracies that misrepresent their program.
A longstanding, federally funded Ohio manufacturing program may be permanently shut down following a recent audit that found significant misspending. The audit, released by the U.S. Department of Commerce's Office of Inspector General, highlighted poor oversight of $20.9 million received over a decade through the Manufacturing Extension Partnership.
The report detailed instances of unauthorized spending and self-dealing by board members of local affiliates, including the Manufacturing Advocacy and Growth Network in Cleveland. It recommended that the National Institute of Standards and Technology consider terminating Ohio's funding and seek to recoup the mismanaged funds.
The audit covers spending from 2017 to 2024 and notes that the federal government had already paused funding in December in response to preliminary findings. Local affiliates, which rely on this funding for job training and support, have expressed concerns about potential closures due to the funding issues.
MAGNET's CEO contested the audit's findings, stating that the agency was not given the opportunity to review the report before its release and claimed inaccuracies that misrepresent their operations. The Ohio Department of Development stated it has a zero-tolerance policy for fraud and is cooperating with the audit process.
联邦政府可能终止俄亥俄州制造业项目,审计指出2090万美元的错误支出
一个长期以来由联邦资助的俄亥俄州制造业项目可能会在最近的审计后被永久关闭,该审计发现了重大错误支出。美国商务部监察长办公室发布的审计报告强调了对通过制造延伸合作伙伴关系在十年内获得的2090万美元的监督不力。
报告详细列举了地方附属机构董事会成员的未经授权支出和自我交易的实例,包括克利夫兰的制造倡导与增长网络。审计建议国家标准与技术研究院考虑终止俄亥俄州的资金,并寻求收回管理不当的资金。
审计涵盖了2017年至2024年的支出,并指出联邦政府在12月已根据初步发现暂停了资金。依赖这些资金进行职业培训和支持的地方附属机构对潜在的关闭表示担忧。
MAGNET的首席执行官对审计结果提出异议,称该机构在报告发布前未能获得审查机会,并声称存在误导其运营的不准确之处。俄亥俄州发展部表示其对欺诈行为零容忍,并正在配合审计过程。