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Indiana DOR Chief To Resign Over 2M Glitch

Indiana's Department of Revenue Chief has resigned.  A $200,000,000 mistake cost him his job. The Department says a programming error resulted in the state distributing $13 million per month less per month than they should have since January 2011.  91 Indiana Counties will start seeing that money come back to them with interest.

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By: Sherrell Hubbard
Updated: April 6, 2012
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The error was discovered after a review by the Office of Management and Budget.  They are calling in an outside expert to perform an audit.  And they say they are going to continue dig into the DOR's reports to check for any other big glitches in their system.

 

Office of Management and Budget Director Adam Horst says "there are two senior managers at the department of revenue who no longer work at the department as of yesterday."

 

A costly mistake.  State general fund revenues were overstated and local option income taxes were under-distributed.  What does it mean for Allen County?  Allen County Chief Deputy Auditor Nicholas Jordan says based on state budget reports, the county may see 15 million dollars soon.  Jordan says "It's a good problem to have."

 

He says the money will likely come in the form of a lump-sum and then monthly payments.  Jordan says "I did learn that potentially the immediate distribution will come to Allen County in the amount of 10 million dollars which is for 2011 and the first four months of 2012."

 

He says he is not exactly sure how this money will be used in the county.  The 2012 budget is already set.  "As of today there's been no discussion amongst the county in regards to what this would be used for or if it would be used at all during 2012," says Jordan.

 

When the county receives the money they will then distribute it to cities, towns, and townships.  The money could be used for things like operations cost, highways, county roads, and libraries.  But for now that still remains to be seen.  "We have yet to receive a certification from the Department of Local Government Finance telling us what that means for each individual tax unit in Allen County," says Jordan.

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