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Auditor Reveals Multnomah County Overspent $78K on External Contracts

Multnomah County Faces $78,000 Overspend on Executive Recruitment Due to Billing Errors

Multnomah County disclosed a $78,000 excess expenditure on executive recruiting services due to billing inaccuracies and contract compliance lapses, according to a report issued Thursday by County Auditor Jennifer McGuirk. The inquiry was initiated after a tip to the good government hotline questioned the qualifications of a contractor hired for executive recruitment—an allegation that was ultimately unsubstantiated.

However, auditors uncovered issues related to overbilling by recruitment contractors. “The county has a responsibility to be efficient with taxpayer dollars, especially given current reductions in the general fund,” McGuirk asserted, emphasizing the need for stricter adherence to contracting and invoice approval protocols.

In a statement, Multnomah County Chair Jessica Vega Pederson concurred with all recommendations outlined in the auditor’s report, pledging to enhance county contracting policies moving forward. “A plan to address the recommendations from this investigation has been developed,” she assured.

The audit examined 40 recruitment processes for senior positions conducted between July 1, 2020, and October 17, 2024, revealing a 5% overspend on recruitment services. One particular case highlighted excess charges exceeding $44,000, stemming from a misalignment between the initial higher rate agreed upon with the recruitment agency and the final contract terms.

The auditor’s findings included $34,000 in undetected billing errors, further emphasizing the need for compliance with established contract terms to promote equitable public contracting practices.

In response to these issues, Vega Pederson announced plans for training sessions in June to reinforce the county’s contracting policies. She expressed gratitude for the opportunity to improve processes related to procurement, invoicing, and payment compliance.

For more coverage on this story and others, visit OregonLive.com.

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