Audit reveals salary supplement issues at Nashville District Attorney's office

The Metropolitan Nashville Audit Committee convened on April 8, 2025, to discuss a significant audit of the District Attorney's office, marking the first comprehensive review in over a decade. The audit, conducted by newly promoted auditor Jeremy Waldorf, aimed to evaluate the office's processes regarding revenues, expenditures, and asset management.

Key findings revealed that while the District Attorney's office has established effective processes, there were seven observations leading to eleven recommendations for improvement. Notably, the audit highlighted issues surrounding salary supplements for assistant district attorneys, which have not been reevaluated since their introduction in 2017. The initial goal of these supplements was to make salaries competitive with public defenders, but a recent analysis showed that the disparity has widened, prompting the need for a documented methodology to assess and adjust these supplements annually.

Another critical observation involved the tax treatment of these salary supplements. The audit found that state employees receiving supplements were incorrectly classified as independent contractors, leading to improper tax implications. The committee recommended that the District Attorney's office collaborate with Metro Finance and HR to rectify this issue and ensure compliance with IRS regulations.

The audit also addressed contract management practices, revealing a temporary services contract that lacked clear terms and was outside of procurement code. Additionally, discrepancies were found in computer inventory management between the District Attorney's office and the IT services, necessitating a coordinated effort to maintain accurate records.

The committee emphasized the importance of improving revenue documentation, particularly concerning FOIA requests, and recommended enhanced security measures for cash handling. Other observations included the need for better invoice management and record-keeping for credit card purchases.

All recommendations from the audit were accepted by the District Attorney's office, which has already begun implementing many of the suggested changes. The committee's findings underscore the importance of transparency and accountability in government operations, aiming to enhance the efficiency and effectiveness of the District Attorney's office for the benefit of the Nashville community.

As the audit process continues, the committee plans to monitor the implementation of these recommendations closely, ensuring that the District Attorney's office can better serve the public while maintaining compliance with legal and financial standards.