There are concerns at Daytona Beach City Hall over how public money is being spent. City Commissioner Stacy Cantu says she found questionable charges on city-issued credit cards known as P-Cards, prompting a closer look at who is using them and why.”Why are we paying for contractor employee training? Why are we paying a $144 monthly cell phone bill when the city already has bulk accounts?” Cantu asked during a recent meeting.According to the city’s P-card policy, telephone charges, no matter the amount, cannot be charged on the account. Other prohibited charges include gasoline, vehicle repairs (with an exception), car rental agencies, and cash advances, among other things. City leaders do say the policy is years old and needs to be updated. According to city records, about 280 employees have P-Cards, including 10 contract workers assigned to the Halifax Harbor Marina. However, the city’s service agreement with the marina operator makes no mention of the authorized contractors having access to city-issued credit cards.”They should not have access to city money,” Cantu said. “If they need something, they can submit a purchase order and get reimbursed.”Despite that, contractors spent nearly $189,000 during the 2023 to 2024 fiscal year, and have already charged $128,000 so far this year. Among the purchases was a $1,170 hotel stay for the annual Marina Industries Conference and Expo, as well as smaller expenses such as a $60 purchase at Publix for cake, flowers, and cards.A city document outlining P-Card guidelines shows that for fiscal year 2024, Daytona Beach budgeted $5,000 for travel and $5,000 for education and training at the marina. The funds were meant, according to the city, to strengthen marina operations and customer service. However, the marina’s contract contains no language stating the company is entitled to those funds.City Manager Deric Feacher has since suspended the contractors’ cards pending a full review of the purchases. The findings have also drawn the attention of state Sen. Tom Leek, who represents parts of Volusia County. Leek noted that the city was already under audit for unrelated issues and said this latest discovery could prompt a broader investigation.”I would expect the Joint Legislative Auditing Committee to expand the scope of its audit of Daytona Beach,” Leek said. “They need to see how this money is being spent, who is approving these expenditures, and where the receipts are.”Leek added that misuse of funds undermines trust in local government.”We all want local control,” he said. “But every time a city does something like this and the state has to step in, it chips away at that control. Somebody has to be watching if they are not watching themselves.”Leek said that an inquiry by the State Attorney’s Office cannot be ruled out.
There are concerns at Daytona Beach City Hall over how public money is being spent. City Commissioner Stacy Cantu says she found questionable charges on city-issued credit cards known as P-Cards, prompting a closer look at who is using them and why.
“Why are we paying for contractor employee training? Why are we paying a $144 monthly cell phone bill when the city already has bulk accounts?” Cantu asked during a recent meeting.
According to the city’s P-card policy, telephone charges, no matter the amount, cannot be charged on the account. Other prohibited charges include gasoline, vehicle repairs (with an exception), car rental agencies, and cash advances, among other things. City leaders do say the policy is years old and needs to be updated.
According to city records, about 280 employees have P-Cards, including 10 contract workers assigned to the Halifax Harbor Marina. However, the city’s service agreement with the marina operator makes no mention of the authorized contractors having access to city-issued credit cards.
“They should not have access to city money,” Cantu said. “If they need something, they can submit a purchase order and get reimbursed.”
Despite that, contractors spent nearly $189,000 during the 2023 to 2024 fiscal year, and have already charged $128,000 so far this year. Among the purchases was a $1,170 hotel stay for the annual Marina Industries Conference and Expo, as well as smaller expenses such as a $60 purchase at Publix for cake, flowers, and cards.
A city document outlining P-Card guidelines shows that for fiscal year 2024, Daytona Beach budgeted $5,000 for travel and $5,000 for education and training at the marina. The funds were meant, according to the city, to strengthen marina operations and customer service. However, the marina’s contract contains no language stating the company is entitled to those funds.
City Manager Deric Feacher has since suspended the contractors’ cards pending a full review of the purchases.
The findings have also drawn the attention of state Sen. Tom Leek, who represents parts of Volusia County. Leek noted that the city was already under audit for unrelated issues and said this latest discovery could prompt a broader investigation.
“I would expect the Joint Legislative Auditing Committee to expand the scope of its audit of Daytona Beach,” Leek said. “They need to see how this money is being spent, who is approving these expenditures, and where the receipts are.”
Leek added that misuse of funds undermines trust in local government.
“We all want local control,” he said. “But every time a city does something like this and the state has to step in, it chips away at that control. Somebody has to be watching if they are not watching themselves.”
Leek said that an inquiry by the State Attorney’s Office cannot be ruled out.
