As President Trump’s DOGE dredges through waste at a federal level, movements pushing for audits at every level of government are gaining notoriety. In Virginia calls for local audits are quickly uncovering issues.
Audits of the City of Richmond have uncovered roughly $1.45 million in FY 2023 grants awarded to organizations that did not meet the city’s standards. That amounts to nearly 25% of all $6 million in grants examined in the audit failing to meet compliance standards.
Richmond’s budget provides more than $13 million to more than 54 local nonprofits that provide human and cultural services. City Council initial concerns prompted a 111-page document delving into the effectiveness of city funded programs.
“Our intention is to provide you with the opportunity to have a greater line of sight into how the organizations are performing,” said Traci DeShazor, Richmond deputy chief administrative officer for human services.
The human and culture services audit is just the latest round of troubles for Richmond leaders. A 2024 third-party audit found a mass of problems including six months of unanswered voicemails, 716 unprocessed car tax records found in a box under a desk, seven years of unprocessed DMV personal property records, and other problems.
“This is exactly the results from the consultant we wanted to see. … i.e. diagnosing the problem, getting to the root cause of the problem, etc.,” city spokesperson Gianni Snidle told Axios.
The audit did not name which awarded nonprofits failed to meet city requirements but did issue a warning concerning future funding.
“Without adequate staffing, training, monitoring, and oversight, the city is exposed to significant risks, including fraudulent use of grant funds,” the audit said. “The current environment creates vulnerabilities that could allow fraud to go undetected, undermining public trust and the effectiveness of these programs.”