Report outlines more allegations of waste at Citizens

There is more evidence of waste at state-run Citizens Insurance.

First, state inspectors found the state-run insurance company was burning money on lavish trips, from a luxury hotel in London, to a resort in Bermuda.

Then state regulators just released another report that found more evidence of excessive travel and office expenses.

That includes more than $10,000 a month for vacant office space.

Taxpayers are on the hook for it because citizens moved from one office to another before its contract was up.

So, the company is on the hook for that vacant space for the rest of this year.

State regulators also charge that Citizens makes big purchases without negotiating for the lowest price. They say they found big differences in what Citizens paid and what lower bidders would have charged.

That can add up especially for a company that spends hundreds of millions of dollars.

Citizens says it solicits bids the same way as other state agencies, and it is trying to sub-lease its vacant space -- but can't find a tenant.

It also tightened the travel policy, and is working to restore public trust.

*****

LINKS:

Full report on Citizens:
http://content.foxtvmedia.com/wtvt/html/misc/CitizensFinalExaminationReport.pdf

Citizens response:
http://content.foxtvmedia.com/wtvt/html/misc/CitizensResponse_GilwaytoMcCarty.pdf

PREVIOUS COVERAGE:

Audit: Citizens travel expenses ‘excessive'
http://www.myfoxtampabay.com/story/20627337/2013/01/18/audit-citizens-travel-expenses-excessive