The Tennessee Comptroller’s Office has released an investigative report from an investigation of allegations of malfeasance related to the Town of Liberty. The investigation was limited to selected records from January 1, 2020 through January 31, 2023.

Through the investigation, some minor infractions were brought to light, with some changes recommended for the way the town conducts business.

According to the report, the town made expenditures totaling at least $17,960.72 for utilities and maintenance of the town hall; however, daily operations were conducted from town employees’ homes rather than from town hall.

It goes on to state that the town does not offer set hours of operation, and that in order to pay taxes, obtain permits, and conduct other town business, town residents are required to call prior to visiting personal residences of the town secretary and town tax collector. The report states that the town government should offer hours of operation to its residents.

The report also states that during a visit to the secretary’s personal residence, investigators noted public funds collected from town residents placed openly on a drop-leaf table, located in the secretary’s kitchen rather than being placed in a cash drawer or vault. It alleges that failure to properly maintain and secure collected funds increases the risk that errors or misappropriations will occur without prompt detection.

A main issue for town business being conducted at personal residences is also insurance. The report states that Liberty’s property insurance policy provides coverage for town hall, the community center, the old elementary school, and the old fire hall. They do not include personal residences of town employees and that locations used to conduct town business should be compliant with Americans with Disabilities Act provisions to ensure that individuals are provided an equal opportunity to benefit from all services and activities. Conducting town business from personal residences or private businesses creates potential liabilities, both legally and financially for the town and its employees.

Another issue addressed in the report is a conflict of interest by the purchase of equipment from a local business owned by a former town alderman.

In June 2022, the air conditioning unit in the town community center needed to be replaced, and town officials met in the community center’s parking lot to vote and award the emergency expense bid to the lowest bidder for $9,600.  The lowest bid had been submitted by a former alderman’s brother. The alderman had stepped away for the vote.

The report finds that based on the former alderman’s partnership in the business, the town was prohibited from doing business with the company.

Comptrollers said that no allegations of any fraudulent activity or theft were found during the investigation, but the town needs to establish better internal policies and procedures.

Liberty Mayor Audrey Martin said that the town plans to address all of the issues raise in the investigation. “I am very pleased with the thoroughness of the state comptroller’s investigation and that there were only two findings which are an easy fix and very doable. I am in the process of making things right to put us back in good standing with the state,” said Mayor Martin. “We are going to have inside, and outside cameras and Wi-Fi installed at our town hall which will also cover the surrounding area including the community center and playground. We are anxious to put this behind us and set our sights on making Liberty better,” said Mayor Martin.