Recovery audit finds school treasurer deliberately overpaid himself in health insurance

Randy Scherf, the treasurer for Berea City Schools in Ohio, is accused of taking nearly $28,000 in medical insurance reimbursements from the school district.

According to Sun News, a recovery audit conducted by the Ohio State Auditor's office found that Scherf was paid for excess COBRA payments, which totaled $27,899. Additionally, Scherf received a further $7,104 in insurance payments for his spouse. Scherf has filed a lawsuit against Berea City Schools disputing the claims and arguing he is entitled to the payments under the district's Medical Expense Reimbursement Plan (MERP), reports Sun News.

"This is a true business dispute of how much I should be reimbursed for my health costs," he told the news source. "If I did not feel strongly as I feel that this is unfounded, I would not have filed a lawsuit."

The state auditor's office says Scherf was only allowed to receive between $289 and $686 each month for medical expenses under MERP, but he pocketed $1,189 per month from October 2009 to December 2011.

"Payroll is what treasurers do," said state auditor Dave Yost. "It's bad enough to get it wrong by $28,000, but it's worse when it goes into your own pocket."

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