Members of the Arkansas Legislative Joint Auditing Committee sharply criticized financial misconduct uncovered within the City of Pine Bluff’s Parks and Recreation Department during a meeting Friday, with one lawmaker describing the activity as “plain old theft.”
The comments came after legislative audit staff presented findings detailing more than $600,000 in unaccounted funds and unallowable purchases, much of it tied to the Parks and Recreation Department. The matter is currently under investigation by the Arkansas State Police.
During the meeting, Rep. Robin Lundstrum, R-Elm Springs, chair of the House committee, addressed Pine Bluff Mayor Vivian Flowers following her testimony. The committee ultimately voted to file the audit report.
The 2024 financial audit, released Friday, gave the city an unmodified opinion on its primary funds, meaning auditors found the city’s overall financial statements were fairly presented. However, a separate management letter detailed significant concerns involving the offices of the mayor, the parks director and the finance director.
Officials serving during the time period covered by the audit included former Mayor Shirley Washington, City Clerk Janice Roberts, Treasurer Greg Gustek, Parks and Recreation Director Trudy Redus, Finance Director Gina Devers, Police Chief Denise Richardson, and Urban Renewal Director Chandra Griffin.
Major Findings in Parks and Recreation
The most serious findings centered on the Parks and Recreation Department. The audit has been referred to the prosecuting attorney, the Arkansas attorney general and the Governmental Bond Board.
Auditors identified $179,629 in manual receipts collected between Jan. 1, 2023, and May 21, 2025, that could not be traced to deposits recorded by the city collector.
Missing receipts were noted at the department’s main office, the Jaycee Golf Course, and several RV parks. Auditors also reported that no receipts were issued for revenue collected at Harbor Oaks Golf Course, meaning the amount of missing funds could be higher.
Auditors also found $48,415 in unallowable purchases, including items such as holiday decorations, kitchen supplies, personal hygiene items, fashion accessories, gift cards and electronic devices. In some cases, items were shipped to addresses unrelated to the City of Pine Bluff.
According to the audit, some invoices submitted to the city clerk’s office had been altered to hide what items were purchased and where they were shipped.
Auditors also reported that three lawnmowers purchased by the department could not be located during the audit review.
Two Parks and Recreation employees — the office manager and assistant director who were working during the time the transactions occurred — were terminated in May 2025.
Finance Department Issues
The audit also cited problems within the city’s Finance Department.
Auditors reported noncompliance with Arkansas law and proper accounting procedures, noting that cash receipts journals were not properly maintained or reconciled and that monthly bank reconciliations were not completed in a timely or accurate manner.
City Leaders Outline Reforms
Mayor Vivian Flowers, who took office Jan. 1, 2025, told lawmakers the actions described in the audit occurred before her administration and that correcting the issues has been a priority. Flowers said the city has launched several reforms, including hiring an accounting firm to conduct a forensic audit covering 2023 and 2024, with expanded focus on the Parks and Recreation Department.
The city has also hired a consultant to develop standard operating procedures for all departments, something officials said previously did not exist in several areas of city government.
Flowers also noted the city created a procurement director position and has begun transitioning to a new financial management system through Tyler Technologies.
Current Parks and Recreation Director Prutty Holman told the committee she discovered irregularities soon after taking the position in early 2025 and moved quickly to address them.
Holman said the department has eliminated manual receipts and now records all transactions through the city’s New World financial system, which prevents records from being altered after they are entered.
The department has also implemented written procedures for employees and eliminated cash transactions at the RV park by introducing QR code payment systems.
Finance Director Gina Devers told lawmakers that new citywide procedures are also being implemented for departments that handle public funds.
Devers said she instituted a three-day rule for deposits, requiring checks received by the city to be deposited within three business days.
Investigation Ongoing
When asked about potential criminal charges, Flowers said the matter remains under investigation.
“We have met with the prosecutor’s office as well as State Police and our own police department, and I believe the status is still under investigation by the State Police,” Flowers said.
Deltaplex News first reported in June 2025 that the Arkansas State Police had launched an investigation into the Pine Bluff Parks and Recreation Department after local authorities requested assistance following the discovery that more than $250,000 was missing from the department.
At the time, city officials turned over documents and evidence to investigators, and Jefferson County Prosecuting Attorney Kyle Hunter requested the state police take over the case.
The city has said it is fully cooperating with investigators as the case moves forward.
