LEXINGTON, Ky. (5/14/13) – Auditor Adam Edelen accepted Lexington Mayor Jim Gray’s request to conduct a review of a real estate deal by HealthFirst, a nonprofit primary care clinic that is primarily supported by tax dollars.
HealthFirst has spent about $250,000 in public funds to develop a new public health clinic on Southland Drive. Questions have been raised about the deal after the clinic announced last month that it might abandon the project because it doesn’t have enough money to operate the facility.
Auditor Edelen said that while Lexington has no direct control over Health First, Mayor Gray has acted appropriately in contacting the Auditor’s Office.
“My office will conduct a limited review of the Southland Drive project to try to determine what went wrong in an effort to expand health services to low-income Lexingtonians,” Auditor Edelen said. “Questions about how a quarter of a million dollars were spent need to be answered.”
Mayor Gray said, “A new health clinic is at stake here. Federal dollars are funding the project and it is important they are spent properly. Regrettably, concerns have been raised and they must be addressed. The appropriate oversight authority is our State Auditor and I have encouraged him to review the issues.”
Auditor Edelen said auditors will focus solely on the project and the federal grant money that was spent to develop it.
Information provided by the Office of the Auditor of Public Accounts Adam H. Edelen
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