Tri-County Community Action Program, a 501(c)(3) non-profit organization asking the town of Tuftonboro to give it $5,000 in 2017, was in federal court Friday. The organization filed a lawsuit in December, 2015, against a former auditor. Tri-CAP has a budget of more than $20,000,000 and alleges that its auditor from 2008-2011, Ron L. Beaulieu & Co., of Portland, ME, failed to alert the board of directors of Tri-CAP that the organization’s finances were in shambles, in what other auditors have characterized as “inappropriate and perhaps illegal,” according to the New Hampshire Union Leader.
In particular, Tri-County CAP officials were taking money from a flush, fuel assistance account to prop up a dental medicine benefit for low-income clients that was running way over budget.
“The defendant during his years of audits found no deficiencies, and reported no concerns to TCCAP’s Board of Directors,” the suit said.
Once the state director of charitable trusts learned of the charity’s financial problems, he named a special trustee in January 2013 and dismissed Beaulieu as the auditor and retained Mason & Rich of Concord.
The new auditors found “substantial financial difficulties,” ordered the 2012 audit be modified and said in a report that the problems were “long-standing, multi-year problems and were so dire as to question whether TCCAP could continue to provide services as a going concern.”
Due to Tri-CAP’s financial mismanagement, the New Hampshire legislature stepped in and provided the organization with a $1,000,000 bailout and a $300,000 line of credit. Tri-CAP later settled with the state for $700,000.
You can view the Tri-County Community Action Program request package that was sent to the Tuftonboro selectmen.
Those who are interested in donating their own money to Tri-County Community Action Program can do say at their web site. Those who want to donate other people’s money to Tri-CAP don’t have to take any action. The selectmen will already be redistributing the town’s tax money to Tri-CAP and other 501(c)(3) organizations that the selectmen support.