While the Farrell Recreation Commission plans to sponsor its summer recreation program as it always has, it also wants to be careful about spending money.

The state Department of Community and Economic Development will be auditing the commission after a local audit showed improper bookkeeping, Farrell Councilman and commission member Louis Falconi said Wednesday.

DCED provides the city an annual Community Development Block and Grant, and the city passes on some of that money to the commission.

Local auditing firm McGill, Power, Bell & Associates LLP discovered in a review of the 2001 books that the commission did not keep invoices for $20,053 in expenses, which violates the CDBG provisions.

Officials have said they are not sure if someone took the money or if it was spent properly and just not properly tallied.

"It's still an ongoing investigation at this point in time," said commission Chairman Riley Smoot.

The investigation is a joint venture of commission members and officials from the city and Farrell Area School District, said Smoot, adding that if there is any indication that money was stolen, the probe would be turned over to Southwest Mercer County Regional police.

Smoot is a Southwest sergeant.

In the meantime, the commission is researching any requests for payments it receives.

The Farrell-Wheatland Little League Tuesday asked the commission to reimburse it for the $950 it spent on charter fees and insurance. League spokesman Shane Weisen said the commission has done that for several years, with the payment each year fluctuating, depending in insurance.

Smoot said he would have to confirm the commission's past practice with former recreation director Charles Branca.

Dr. Kimberley Richards of Southwest Gardens Economic Development Corp., Farrell, requested the commission pay for two portable toilets for its annual summer Community Reunion Days in the Park, and supplies for an arts program. She said the commission has paid for them before.

Smoot asked Ms. Richards to provide past bills to back up her request.

"If there's any way to get it done, we'll get it done for you," he said.

New recreation director Anthony Retone said each employee the commission hires for its summer recreation program will have to fill out a time sheet to get paid, and the time sheets will be submitted to the city clerk for payment.

The audit showed that payroll taxes were not withheld from employees last year.

As a cost-saving measure, Retone suggested the commission not pay for the maintenance of playgrounds this year.

Playgrounds that will be used for this year's program are Rosetta Ragster/Southwest Gardens Park and the Emerson Avenue playground, both city-owned parks, the elementary school playground, a district play area, and the Wheatland playground, which is owned by the borough.

Dr. Richards, co-executive director of Southwest Gardens, said her agency relies on the commission to maintain the park during the eight-week summer program.

Although the park is owned by the city, the city does not have the staff or the equipment to keep up with all its grass-cutting responsibilities and does not cut the grass at the park regularly, she said.

"We're lucky if we get four cuts" a summer by the city, Dr. Richards said, adding that residents will cut the grass the rest of the time.

The commission usually hires two adults and two or three college students to cut grass, clean up and otherwise maintain the playgrounds, Retone said.

For summer program staffing, the commission has received 13 applications from college students, five from Farrell teachers or coaches, two from high school graduates and five from high school students.

Retone said the commission hires the teachers, coaches and college students first and fills in as needed with high school graduates.

The teachers and coaches are paid $7 an hour and the others are paid $5.15 an hour.

The commission is accepting applications until 3 p.m. Wednesday.

The summer rec program will begin June 10 or 17, Retone said.

The commission set its next meeting for 4 p.m. Wednesday in the fire station meeting room.