Curry County officials scramble after Treasury flags $2.7 million in unreported ARP funds

At a Jan. 9 Curry County Board of Commissioners meeting, county staff told commissioners an email from the U.S. Department of the Treasury showed the county had reported only $1,734,964.84 of American Rescue Plan (ARP) fiscal recovery funds while $2,717,947.16 remained unaccounted for.

The discrepancy was presented by Kina, who reported she received the Treasury notice and began a line‑by‑line review of county records. "we were given 4,400,000.0 little over $4,400,000 of, American Rescue Plan dollars," Kina said. She told the board that Treasury's records show the county had received two roughly equal deposits in early 2021 but that county financial records contained only one journal entry for those deposits.

Why it matters: The county made budget decisions in 2024 under the impression ARP funds had been fully spent. Commissioners said the newly disclosed shortfall, if the money actually remains available, could change prior budget choices and potentially reduce previously made cuts.

What staff said they are doing: Nick, the county treasurer, and Kina said they are tracing bank deposits and ledger entries from February 2021 forward to identify whether the second deposit was not recorded, was miscoded, or was actually spent and not documented. Kina said Treasury allowed the county to reclassify the unobligated amount as "lost revenue" for reporting purposes to avoid returning funds immediately, and staff submitted the required reporting to satisfy Treasury in the short term.

Staff gave precise figures from Treasury's notice: $4,400,000 total allocated; $1,734,964.84 reported; $2,717,947.16 unaccounted for. Kina and Nick said two equal ACH deposits of roughly $2.2 million each were received in April 2021 but that only one corresponding ledger entry has been found so far.

Commissioner response and next steps: Commissioners pressed staff to complete the audit quickly. The board asked staff to work through records, auditors and bank statements and to report back to the budget committee by early February. Commissioner Patrick Hollinger urged prioritizing a forensic and performance audit if it turns out funds remain available. "If we learn that these funds were accessible to us, we have to address that," he said.

Staff cautioned the public not to assume the funds are immediately usable until the review is complete. Kina said the county may find the funds were spent or miscoded; "We may have money. We may not have money. If I mean, we that's that's the thing. We just need to identify, from the moment it came in the door, what happened to it," she said.

Ending: The board agreed to reconvene the budget committee in early February for a detailed update. Staff said they would continue the line‑by‑line review and, if available funds are confirmed, would bring proposals (including the possibility of funding a forensic audit) back to the commissioners.