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Little oversight cited in possible foster care overcharges

Published On: Feb 11 2013 08:04:29 AM CST

County officials working with a Middleton foster care agency accused of overcharging taxpayers say the financial information the agency disclosed wasn't detailed enough to spot potential misuse.

The State Journal said Community Care Resources may have overcharged taxpayers by more than $6 million by exploiting weaknesses in financial oversight by the counties and the state.

The Wisconsin Department of Children and Families revoked the agency's license following an audit it said found inflated salaries and taxpayer money spent on luxury cars, personal travel and other expenses between 2009 and 2011.

Owner Dan Simon has vigorously denied the allegations.

Until a year ago, the state had no oversight over the charges the company billed each county. Now the state sets the rates that can be charged per child.

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