Fri., September 21, 2012 11:02am (EDT)

Audit: College Ignored Financial Problems
By Associated Press
Updated: 2 years ago

ATLANTA  —  
An audit has found that a $25 million shortfall at Georgia Perimeter College was caused by chronic overspending and an inattention to finances by administrators of the suburban Atlanta school. Evidence of the school's dire financial situation was available in both school financial statements and publicly available state audits. (Image Courtesy of Georgia Perimeter College.)
An audit has found that a $25 million shortfall at Georgia Perimeter College was caused by chronic overspending and an inattention to finances by administrators of the suburban Atlanta school. Evidence of the school's dire financial situation was available in both school financial statements and publicly available state audits. (Image Courtesy of Georgia Perimeter College.)
An audit has found that a $25 million shortfall at Georgia Perimeter College was caused by chronic overspending and an inattention to finances by administrators of the suburban Atlanta school.

The review by the University System of Georgia was released Thursday.

It found that the school's senior fiscal leaders ignored or didn't notice of warning signs the college was heading toward financial disaster.

Evidence of the school's dire financial situation was available in both school financial statements and publicly available state audits. Those reports showed the college overspending its budget and using dwindling reserves to make ends meet.

However, the review states that the school's former president didn't read the financial statements and other key officials didn't fulfill their fiscal management duties.