State Audit Flags Prompt New Investment and Sales Tax Policies

From the Hartford City Common Council meeting on March 2, 2026

The Indiana State Board of Accounts has directed Hartford City to adopt two new financial policies following an audit closeout meeting with Clerk-Treasurer Dana Whatley.

The first is an investment policy. A previous Clerk-Treasurer invested city money into what auditors called "an improper type of investment" without council approval. That investment has since been closed and the money returned to the city. The second is a sales tax policy. The city is tax exempt but has been paying sales tax on some credit card purchases through individual departments.

Council voted 5-0 on March 2 to direct City Attorney Tyler Rotstein to draft ordinances for both policies. Whatley proposed making individual departments responsible for any sales tax they pay.

Separately, Mayor Eckstein praised Whatley's office at the January 5 meeting for a strong audit report from the State Board of Accounts covering 2021–2024, noting it finished quicker than expected and under budget.

Both ordinances, once adopted, would add new financial safeguards for how the city invests and spends public money.

Source: Hartford City Common Council Minutes, March 2, 2026 (hartfordcity.net)