GOP Gubernatorial Candidate Chris Rants continues to examine Vander Plaats’ record while President and Board Chairman of Opportunities Unlimited. Below is the press release his campaign sent out today.
Rants: Internal Audit Shows More Financial Trouble Under Vander Plaats
SIOUX CITY — “The audits and tax returns speak for themselves. Under Bob Vander Plaats’ leadership, things got worse. A lot worse. When an audit shows his organization violated the terms of their primary bond agreement – that’s not a track record to take to the Governor’s office. We have that in Chet Culver already,” said Rep. Chris Rants, candidate for Governor from Sioux City.
A review of the audit of Opportunities Unlimited during Vander Plaats’ last year as Chairman of the Board (June 2003), reveals that Opportunities Unlimited violated their bond agreement. The audit states, “For 2003 the Organization did not meet the Net Income Available for Debt Service requirement. Under the Special Covenant section of the Loan Agreement, the Organization is required to retain a management consultant.”
“Both Vander Plaats and Culver have a habit of telling Iowans that everything is fine, they have it all under control. But in both cases, their financial audits tell a very different story,” explained Rants. “Culver says he has a Triple A bond rating, and Vander Plaats says care for resident improved. Both are true, but neither explains away their deficits, nor the deficiencies in their audits. We never hear about that on the campaign trail. A self proclaimed ‘turn around’ expert is supposed to make things better, not worse.”
*From the June 2003 Opportunities Unlimited audit report: “In 1994 the Organization received $2.53 million from Health Care Facility Revenue Bonds through the City of Sioux City, Iowa. Additional Revenue Bonds of $3.0 million were issued in 1998 through the County of Woodbury, Iowa. The terms of the Revenue Bonds include various covenants which require the maintenance of a debt service funds equal to the maximum annual principal and interest requirements, restrict how the proceeds are to be spent and have certain financial conditions. For 2003 the Organization did not meet the Net Income Available for Debt Service requirement. Under the Special Covenant section of the Loan Agreement, the Organization is required to retain a management consultant.”
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