“I have come up with $53,000 in receipts and turned them over to the auditor’s office for review,” Davis said. “We are still working to find more receipts.”

The auditor’s office confirmed Monday that investigators have received the receipts, which Davis mailed before Thanksgiving.

“We have received them, but I can’t comment any further other than to say investigators are reviewing them and they will communicate with the mayor if the receipts are acceptable,” said Lisa Shoemaker, a spokeswoman for the Auditor’s Office.

Shoemaker said Auditor Stacey Pickering will issue a statement Friday about the repayment demand against Davis. The demand was issued Nov. 2.

The investigation leading to the order revealed charges that included family counseling, clothing purchases and personal meals and entertainment, all charged to a city-issued credit card or to Davis’s personal card for reimbursement by the city.

Altogether, the auditors cited $170,782.28 worth of unsubstantiated expenses, including fees and interest, for which they said Davis must produce receipts to prove it was city business. If not, they gave the mayor 30 days, which will be up Friday, to repay the city.

If the $53,000 worth of receipts submitted by Davis are accepted by auditors, it will reduce the amount he must repay to $117,782.28.

“If the funds are not recovered, a civil lawsuit could be filed,” Shoemaker said. “Criminal charges could also be pursued by local and federal authorities.”

– Yolanda Jones: (901) 333-2014

Over the last ten years, cell phone use in Mississippi by state agencies has increased as expected.

“It’s really changed the way we do business, not just in the private sector but in the public sector as well,” said State Auditor Stacey Pickering.

Pickering says a few years ago there was not much oversight and a lot of waste of taxpayer money with a multitude of plans and service providers.

“Low minute plans and high minute usage and it was running up the tab,” said Pickering.

To better control costs, the legislature back in 2008 passed a law requiring agencies to implement a system to account for wireless communication devices, but according to the Cell Phone Usage and Accountability Report from 2009, issued by the state auditor’s office, the law has not necessarily achieved what it set out to do.

The Department of Information Technology Services however argues the law has increased accountability in justifying cell phone use.

“Sometimes a cellular service is the best value for the taxpayers,” said Pickering.

In fiscal year 2004, the state had 5,064 cell phones accounted for with a total cost of more than $2.5 million. For fiscal year 2008, the number of phones jumped by 20% to 6,082 with a total cost of more than $3.1 million, which is an increase of 23% from the cost of 2004. If you ask the state auditor, there’s always room for improvement.

“It may be an issue of convenience but is it one of necessity and I think that’s where we’ll see the greatest savings,” said Pickering.

The Department of Public Safety leads all other state agencies with more than 700 cell phones, followed by the Department of Transportation with just under 700. There’s also the issue of duplication of services, asking the question, if you have a landline phone, do you need a cell phone.

“There’s always going to be som6e exceptions, but you’ll be amazed at how many people actually spend the vast majority of their time in their office and they’re assigned a cell phone and they have a landline,” said Pickering.

To save money, Pickering says it all comes down to agencies, regulating themselves through internal controls.

“I hope every agency head goes through that practice every year and it would really help when it comes to cell phone use and realize, you know what, we may be spending money we don’t need to,” said Pickering.

The Cellular Usage and Accountability Reports are put out every few years by the auditor’s office with recommendations to be used as a guide for lawmakers. The next reports will come out in the next year or two.

He “returned it without using it,” according to state College Board spokeswoman Caron Blanton, who said Bounds felt it would best be used by a student.

Now, the office of State Auditor Stacey Pickering is working jointly with the state College Board, which Bounds oversees, to determine whether Southern Miss violated state law in the purchase and distribution of 700 tablets in July and August as part of a pilot program.

State auditor spokeswoman Lisa Shoemaker said that her office is conducting an initial inquiry to determine whether wrongdoing occurred, before it will decide whether to launch a formal investigation.

College Board officials notified the auditor’s office of the possible violations last week, Shoemaker said.

Also reviewing the transaction are Southern Miss officials from the offices of General Counsel and Internal Audit. It was the internal auditor’s office that discovered a potential problem in late October.

“I’m very, very, very saddened by the situation,” President Martha Saunders said Tuesday. “I’m saddened by the fact that I had employees that have been caught up in this.”

So far, three Southern Miss employees have been placed on paid administrative leave, including former provost Bob Lyman who resigned his position abruptly last week to join the faculty ranks.

Also placed on leave are Chief Information Officer Homer Coffman, who heads the school’s iTech division and Mike Herndon, director of Procurement and Contract Services.

Southern Miss paid Blackboard $432,000 to purchase the tablets, in addition to other mobile and design services, according to Southern Miss Chief Communications Officer Jim Coll.

Part of the inquiry concerns a possible failure to follow state bidding law. Mississippi Code Section 31-7-13 mandates public bids for purchases over $50,000 by state agencies.

There is also the question of whether the Blackboard contract violated College Board policy, with the $432,000 contract exceeding the $250,000 threshold requiring board approval, according to the policy handbook.

Blanton said the contract never came before the College Board.

Saunders said she was unaware of the contract, stating that it comes from an area – iTech – that does not cross her desk.

“I was not unaware of the program,” Saunders said. “I assumed that all the details had been handled properly.”

Because the tablets are state property, officials have asked students to bring them in to be inventoried through the end of November.

The students, who were originally told the tablets were theirs to keep, must now return them upon graduation.

State Auditor Stacey Pickering, who is the chaplain with the Mississippi Air National Guard 253rd Air Support Squadron, was the guest speaker at the event.

Pickering, who holds the rank of a first lieutenant, quoted former U.S. President Abraham Lincoln.

Pickering talked about the importance of serving the community and country.

The Laurel native said he’s proud of the country and those who are serving in war time.

“I’ve never been more prouder,” he told the crowd. “As President Abraham Lincoln said ‘America is the last best hope of this world.’”

Pickering said veterans serve for many reasons. However, he highlighted three of those reasons: conviction, a sense of service, and the anticipation of the future.

“Veterans are interested in what they can do to serve our nation,” he said. “Every veteran serves for the future — not just for their children but their children and their children’s children. … We want to give them a better nation.

“It’s good to see these young people who have stepped up and are standing in the gap,” Pickering added. “I’m thankful for those who serve.”

Twenty-year-old Airman Frazier Houze, son of Belinda and D.C. Houze of Laurel, attended the event with his family — his grandmother, Elner Andrews; mother, Belinda Houze; and uncle, retired veteran Thomas Andrews.

Houze, who is stationed in California on the USS Carl Vincent, is a 2010 graduate of Laurel High School and was home on leave during this special event.

Retired veteran Thomas Andrews, who lives in Florida, said he was home visiting for the holiday.

“It’s important for people to realize what this day means,” he said. “It’s an opportunity to let Americans know that we appreciate their service.”

Vic Lee, past state commander of the Disabled American Veterans, agreed.

“This is a day of celebrating, unlike Memorial Day, which is set aside to remember those who have passed,” he said. “People sometime confuse the days. However, Veterans Day is when we say thank you to veterans for their past and current service.”

Bro. Thomas J. Fisher, a 77-year-old veteran, said he attends all the events at the museum.

“This is a very patriotic day and I’m a part of it,” said Fisher, who was a parachuter in the military. “I’m proud to be a veteran and I’m glad to have served God and my country.”

Henry Thompson, a local veteran who had 20 years of federal active duty, also attended the event.

“It’s a great day for the American public to recognize veterans for what they have done,” said Thompson, who retired in 1968. “It’s wonderful for the school children to get involved and become aware of the service that veterans have given and are giving to this country.”

Artie Adams and the South Jones High School Jazz Band provided music for the event. Kent Miller, minister of music at Pleasant Grove Baptist Church of Laurel, led the singing of the national anthem.

Boy Scout Troop 38 of Laurel presented the colors for the event.

Glenda Wheelis with the American Legion Ladies Auxiliary distributed poppies during the Veterans Day Program. Wheelis said the poppies are memorial flowers made by veterans and worn in memory of veterans. She said donations collected for the poppies are used to provide entertainment and gatherings for the veterans in the VA Nursing Home in Collins.

Also, residents had the opportunities to pay tribute to area veterans at a variety of events conducted on the special holiday.

• The West Jones High School Choral Department hosted a Veterans Day Program in the WJH Performing Arts Center Friday.

• Stringer Attendance Center honored local veterans with an appreciation ceremony and  luncheon Friday. The keynote speaker was Dr. Gregory Scott Dearman.

• Glade Elementary School selected the theme “Proud to be an American,” for its annual Veteran’s Day Program.

• Jones County Junior College Nontraditional Students Center conducted a Veteran’s Recognition Service.

“Our intent is to ensure the public that we are taking the allegations of the state auditor’s office very seriously,” Alderman Greg Guy said Thursday about the measures to be presented.

If adopted, the proposed resolution before the board would require prior approval from aldermen for travel by all elected officials. Travel outside the state would also require approval from the city administrator and the employee’s department head.

Use of any money taken from the city’s tourism fund must also receive prior approval under the proposal.

State Auditor Stacey Pickering and members of his office met with Davis and some of the city’s aldermen Nov. 2 to discuss the results of a seven-month investigation into Davis’ expenses. They investigated charges to a city-issued credit card and to Davis’ personal card that were reimbursed by the city.

All in all, they cited $170,782.28 worth of unsubstantiated expenses, including fees and interest, for which they said Davis must produce receipts to prove it was city business or else repay the money within 30 days.

Meanwhile, Davis said he has accounted for $53,000 that was spent at local restaurants in the city in the past 21/2 years on city business.

That amount is part of the $128,000 that auditors are questioning.

“I’m not the only one at these dinners,” Davis said. “There are others from the city there also, but it is my card that picks up the bill.”

A list of the charges reviewed by auditors, but not all of which is among the charges Davis was ordered to substantiate or repay, shows trips and dinners both inside and outside Mississippi. The charges on that list, provided under a Freedom of Information request, were on Davis’ city-issued credit card, not the personal card. Neither Davis nor the city has provided a list of city-reimbursed charges on the personal card.

The city-issued BancorpSouth card shows a charge for $7,578.86 on July 13, 2009, at Ruth’s Chris Steakhouse in Biloxi. Davis said the city hosted a reception at the restaurant during the Mississippi Municipal League annual conference.

The BancorpSouth statement also shows a transaction on July 3, 2010, in which Davis booked a flight from Memphis to Phoenix for $875.90. Then, on July 10, the statement shows Davis left Phoenix to return home, which he said was to attend the funeral for Southaven officer Bill Sanders. Davis then returned to Arizona on an Airtran ticket that was charged on the city card for $1,136.30.

Among other charges known to have been questioned were a trip to Key West, Fla., and clothing and other expenses related to Davis and his former wife getting two weeks of counseling at Psychological Counseling Services Ltd. in Scottsdale, Ariz., in June and July 2010.

The auditors’ findings showed that Davis charged $24,946.16 for “non-work related treatment” for him and his family at the Arizona clinic. Davis repaid the city $13,199.82 for his wife’s counseling at the center.

“I am working to comply with the auditor’s office and whittle away at the expenses by getting the receipts,” Davis said. “It is hard to get receipts from out-of-town businesses, but I am working hard to do this.”

He added that some citizens dropped off donations totaling $2,000 to help him pay back any the money that is owed.

“There was no intent of wrongdoing,” he said. “I feel confident the money will be repaid, and the new rules and regulations that the city will put in place will be followed.”

– Yolanda Jones: (901) 333-2014

State Auditor Stacey Pickering says most of the 72 guns – including three automatic rifles and four sawed-off shotguns – belong to the City of Bassfield or Jefferson Davis County and were not assigned to Bullock.

Authorities issued a search warrant for Bullock’s home Thursday.

Pickering says night vision goggles found at the home still have a property of Jefferson Davis County label.

Pickering says no charges have been filed against Bullock and his office is trying to figure out proper ownership so the weapons can be returned, except for the sawed-off shotguns, which are illegal and will be destroyed.

“Our search warrant of Earl Bullock’s residence resulted in the recovery of 72 weapons believed to be illegally obtained by Bullock,” said State Auditor Stacey Pickering. “We believe the majority of the weapons were purchased by the City of Bassfield but were later converted to personal use by Bullock. We are working to determine who purchased each weapon in order to return it to the proper government entity. The 4 sawed-off shotguns seized are illegal to possess, and we are working with Alcohol, Tobacco, Firearms and Explosives Agency (ATF) to properly dispose of them. This investigation remains ongoing, and we are working with the District Attorney to address potential prosecution.”

Alcohol, Tobacco, Firearms and Explosives (ATF) and the Mississippi Bureau of Investigations assisted in the execution of the search warrant and seizure of the 72 weapons from Bullock’s residence.

Bullock is the former Chief of Police for the City of Bassfield. He is running unopposed for re-election as Constable in Jefferson Davis County in the November 8 general election.

Davis tells The Associated Press he’s not sure how he will pay the demand, which is for $170,782.

Auditor Stacey Pickering issued the demand Wednesday after a seven-month investigation. There are no criminal charges.

Pickering says Davis caused a “betrayal of the public’s trust” by billing for things such as a personal trip to Key West, Fla.

In July 2010, Davis traveled to an Arizona clinic for stress and anger management counseling, and Pickering says the city paid thousands.

Republican Davis ran unsuccessfully for Congress in 2008.

A two-week counseling session for Davis and his former wife at an upscale Arizona clinic in the summer of 2010 triggered a seven-month investigation that started with an anonymous tip, according to Auditor Stacey Pickering.

Altogether, expenses cited by auditors amount to $170,782.28 and must be repaid within 30 days.

“The $170,000 is not the largest sum we have seen in a case like this,” Pickering said, “but it is a sizable sum of money that belongs to the taxpayers. I mean, this is property taxes that families worked hard to pay in the city.”

The total puts Davis in the company of a lengthy list of area public officials who have faced accusations of misuse of public funds or position.

Twelve Tennessee elected officials were nabbed in 2005 as part of the Tennessee Waltz corruption case, and Memphis City Council member Barbara Swearengen Ware resigned this summer after being indicted on a felony charge of official misconduct for using her office to bypass vehicle inspections.

No criminal charges have been lodged against Davis, who said he has no plans to resign and will seek re-election at the end of his four-year term in 2013. Pickering said it will be up to local, state and federal prosecutors to decide if any potential criminal charges will be brought.

Davis, 44, who has been mayor since 1997, blamed the situation on accounting practices.

“The auditor is not questioning whether it was city business or not,” he said after meeting with auditors in Southaven on Wednesday afternoon. “We just don’t have the receipts to back it up. I operated under the assumption that credit card billing statements would suffice for the documentation, but that is not the case.”

Davis paid some expenses on a city-issued credit card and some on a personal credit card for which he was reimbursed.

The mayor conceded the $170,000 is a large sum to repay but said he is confident auditors will work with him.

“I feel confident that the state auditor will work with me to make the necessary payments on whatever that amount ends up being,” he said.

Auditors said the city’s Board of Aldermen, which approved the expenses, will be liable if they are not repaid. Pickering added that the auditor’s office will file a civil lawsuit seeking reimbursement of the funds if necessary.

Largely because of migration from Memphis, Southaven has become Mississippi’s third-largest city — behind Jackson and Gulfport — and one of the Memphis metro area’s larger suburbs. The city had a 2010 population of 48,982.

Pickering said that while misuse of government funding by city officials is not new, it is unusual for a larger city like Southaven.

“It is one thing to see this lack of of internal control in a smaller municipality that does not have the staff to deal with the administrative work, but Southaven is one of the larger cities in the state,” he said.

The auditors’ findings showed that Davis charged $24,946.16 to the city’s credit card to pay for “non-work related treatment” for him and his family at the Arizona clinic. Davis repaid the city $13,199.82 for his wife’s counseling.

Pickering said other expenses that were not documented with receipts included a personal trip to Key West, Fla., clothing and several travel bills for recruitment trips.

The auditor’s investigation covered a nearly three-year period, dating to when Davis and the Board of Aldermen were elected in 2009.

— Yolanda Jones: (901) 333-2014