A two-year audit of the former Connecticut Development Authority (CDA) released today says that the quasi-public enterprise fund, didn’t follow public meeting laws.
The state Office of Auditors of Public Accounts said the CDA, which last year was merged into Connecticut Innovations (CI), failed to file its meeting schedule with the Secretary of State in 2012 and failed to file meeting agendas with the secretary in both 2011 and 2012.
Former CDA officials told auditors they weren’t aware political subdivisions of the state had to file those documents, the report states.
The audit also found that CDA didn’t include in its annual report required information about anticipated wage rates related to its financial assistance programs. CDA included the information for new financial assistance in 2011 and 2012, but did not report it for outstanding financial assistance.
The auditors recommended that Connecticut Innovations implement controls to comply with requirements not adhered to by CDA. The report includes a response from CI saying it will “strive for continuous improvement in complying with all reporting requirements.”
In it’s final three years in existence, the CDA’s biggest source of revenue was the XL Center, which it leased from the city in 1993 and subleased to AEG in 2007. It’s next biggest revenue source was interest from loans it made.
The CDA booked a combined loss of $10.2 million for the fiscal years 2010 through 2012, according to the audit.
