NRP accounting error forced Bourbon County appraiser’s office to repay about $40,000 and drained equipment reserve

County Appraiser Matt (last name not specified) told commissioners the appraiser’s office discovered calculation errors in the Neighborhood Revitalization Program (NRP) that resulted in approximately $40,000 in refunds owed to taxpayers. He said the county manually recalculated claims and paid most refunds in 2024, which depleted the appraiser’s equipment reserve and will push the appraiser’s fund levy higher while the reserve is rebuilt.

Matt said the problem arose because the county’s software lacked the needed capabilities and some user errors compounded the issue after staff transitions. He said manual recalculation for multiple years showed the county owed money to property owners and that the county moved about $30,000 from an equipment reserve fund in 2024 to satisfy payments. As a result, the appraiser’s equipment reserve is low; Matt said the office may start the next fiscal year with little to no equipment reserve and will levy to cover the office’s full budget.

Matt explained there was an option to pursue recovery against the appraiser’s professional bond for eligible claims (heirs, omissions, dishonesty), but he said the commission previously voted not to pursue that course. He described internal controls now established: a spreadsheet cross‑check between manual calculations and system outputs that the appraiser and finance staff use as a second check on NRP calculations.

Commissioners and staff discussed cash‑flow timing and the immediate need to ensure appraiser operations can continue; Matt said the county will levy for the appraiser’s budget and work to rebuild the equipment reserve. No formal action was taken at the workshop.