Fate of misspent JWA funds up in the air

Paul Clinton

JOHN WAYNE AIRPORT -- A county auditor’s report of revenue from the

airport will show “less than 1%” of the money was misspent by supervisors

when it is released in February.

Internal Auditor Peter Hughes went public with the news during a

presentation to the Orange County Board of Supervisors on Tuesday.

Hughes is wrapping up a nearly two-year review of county spending of

John Wayne Airport revenue.

He began his review of the board’s discretionary spending in May 2000.

The board unanimously asked Hughes to perform the work.

Hughes, who holds an office created by the board after the county’s

1994 bankruptcy, is scrutinizing a $40-million pot of money spent by the

board between July 1, 1997, and June 30, 2000.

On Wednesday, Hughes declined to answer questions about the report.

“He’s unwilling to make any comments on the audit until it’s

released,” said Renee Aragon, Hughes’ secretary.

Whether the misspent funds would have to be paid back by the board is

also still being determined, Aragon said.

The misspent funds would amount to less than $400,000. The board

majority spent about $13 million a year to plan and promote an airport at

the closed El Toro Marine Corps Air Station.

That majority has included Supervisor Jim Silva, who represents

Newport Beach and Costa Mesa. Silva could not be reached for comment.

South County supervisors have tried to ban that spending, arguing that

it is imprudent in light of John Wayne’s expected $10.4-million shortfall

for the 2001-01 fiscal year.

The board has delayed a plan to raise parking fees and other charges

to compensate for the expected shortfall until late January.