City audit finds significant deficiencies in Columbia parking coin collection procedures

COLUMBIA, Mo. (KMIZ)

A City of Columbia internal audit found significant deficiencies in the parking administration’s coin collection and deposit procedures, including violations of a same-day counting policy, unrestricted management access to uncounted money and outdated meter technology.

The Finance Department rated parking administration as “partially effective” and identified five areas that presented a high risk to the Public Works Department’s coin deposit and secure storage procedures.

The audit was conducted from April 6 to April 30 after a reported theft involving the city’s former parking manager. Finance Director Matthew Lue submitted the report to City Manager De’Carlon Seewood on June 1.

The audit found that coins were not always fully counted and stored on the same day they were removed from parking meters, violating the city Finance Department’s deposit entry policy.

It also found that management had 24-hour access to uncounted and undeposited coins, as well as coins that had already been counted and placed in bags.

The audit says outdated street meter technology provided limited reporting capabilities, preventing the Finance Department from conducting a complete financial audit of collections. Because the city does not have detailed historical collection data, the Finance Department said it cannot guarantee the audit uncovered every significant issue involving parking coin deposits.

The audit reviewed 10 years of parking fund balance data, a period intended to exceed the amount of time the former parking manager worked for the city. Finance officials also attempted to review collection data directly from the meters but said the information was unavailable.

The Finance Department found that the core internal controls for collecting parking coins were adequately designed but identified significant problems with how some procedures were enforced.

The city says it has limited access to the coin collection room to between 7 a.m. and 7 p.m. Public Works is also working with the city’s Information Technology Department to create automated notifications when employees use their access cards outside designated hours.

Parking management said in the audit response that any access outside designated hours that cannot be readily explained and supported by camera footage will result in disciplinary action.

Changes to access for the counting room, including adjustments to access times or adding staff, will now require director approval and dual control with Finance Department leadership.

The city also plans to review its collection and counting procedures and retrain parking administration employees. The responsibility for counting coins will be rotated among full-time collection employees.

The audit found the city’s existing street meters are outdated and prone to collection errors. The meters can accept invalid currency without providing parking time and do not provide real-time collection data without employees manually reading each meter.

The parking administration plans to purchase newer software compatible with the city’s existing street meters. According to the audit, the software would provide Public Works and Finance employees with easier access to collection information and allow for weekly audits.

The city is also planning a pilot parking kiosk to replace some meters within the next year. The audit says moving toward smart meters, kiosks or app-based payments would greatly reduce the possibility of theft but would be costly to implement.

The audit also found that meter revenue has trended downward over the past several years. Finance officials said increased parking fees this fiscal year should have offset losses and reductions to some degree.

Public Works responded that parking fees increased only recently and said the department will review the trend when more 2026 data becomes available. Parking supervisors also plan to conduct random in-person and digital observations of the deposit process at least once per month.

Under the city’s current process, coins are collected weekly from street meters using locked collection equipment. The coins are counted under dual control, placed in bags and logged in a record shared by Public Works and Finance employees. The city’s armored courier transports the money for deposit the next business day.

The city conducted the audit following the arrest of former Columbia Parking Manager James Faup in April.

Faup is charged in Boone County with stealing more than $25,000. According to court documents, Faup allegedly admitted to stealing approximately $45,000 in coins from the city over nine months.

Faup previously pleaded guilty to misdemeanor stealing in 2013 in a separate case involving University of Missouri parking collections. The City of Columbia previously told ABC 17 News that Faup worked for the city from Feb. 20, 2013, until April 2, 2026.