A nonprofit sports group that made money selling food and drinks in Fort Worth city parks and community centers owes the city $114,308, according to an audit.
The nonprofit, the Fort Worth Park and Recreation Sports Advisory Council, had a contract with the city for more than 15 years but canceled it in July 2019, the audit said.
Under the agreement, the Sports Advisory Council operated concession stands in Gateway Park and vending machines in city community centers. It was supposed to pay Fort Worth 20 percent of its net revenue or $2,000 per year, whichever was greater.
Auditors said they verified that the process was followed correctly the last four years.
But when the contract ended, any money left in in the nonprofit’s account was supposed to become the property of the city, the audit said. The investigation revealed the group never turned over the money.
“Based on our review of the SAC’s compiled financial statements and information obtained from the SAC’s accountant, we concluded that the SAC owed the city of Fort Worth $114,308,” the audit concluded.
The audit also noted that the nonprofit paid $10,740 a year for “accounting services” but did not identify to whom.
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In a brief telephone interview, SAC President Donald Keith Dalton declined to say if the organization planned to pay the city.
“I’ll have to check into that,” Dalton said before the phone disconnected.
He did not answer return phone calls or a message left on his voice mail.
Steve Newcom, an Azle accountant who was listed in Texas Secretary of State records as SAC’s treasurer and director, did not return phone calls seeking comment. SAC uses the same address on its tax statements as Newcom’s CPA business on Boat Club Road.
Fort Worth city council member Cary Moon, who chairs the audit committee, said the city is trying to get the nonprofit to pay its debt.
“It’s taxpayers’ money,” Moon said. “We’re going to protect the taxpayer.”
