Investigation into AIDServe Indiana Continues as Head Officials Resign
Mark St. John, director of AIDServe Indiana, resigned Wednesday as the state and U.S. Department of Housing and Urban Development continue to investigate the not-for-profit agency for misappropriating funds, the Indianapolis Star reports. AIDServe's board president, Dr. Bob Burgbacher, also stepped down, and on Thursday AIDServe officer Steve Everett, who was expected to serve as interim chief, also resigned (Williams, Indianapolis Star, 11/10). After "numerous complaints" about the agency, which serves more than 800 people with an annual operating budget of $5 million, the state Department of Health, AIDServe's "main source" of funding, investigated and found that the agency provided services without adequate reimbursement under an unapproved budget, used funding earmarked for patient care to pay for other expenses and did not properly keep records ( Kaiser Daily HIV/AIDS Report, 10/16). While the state audit is continuing, HUD officials are calling for "a system of controls," and said that Indiana would not receive any federal dollars if AIDServe, a state contractor, continued to receive money from the state. The "turmoil" at AIDServe has left providers across the state wondering how they will serve their "needy clients." For example, the agency owes Greater Hammond Community Services $30,000 for reimbursable expenses. This has forced the organization to help those only "in dire need." With AIDServe bouncing checks and unable to pay its bills, the health department has taken over many of the services, such as prescription drug management. The results of the state's review and audit are expected next month (Associated Press, 11/10).This is part of the KHN Morning Briefing, a summary of health policy coverage from major news organizations. Sign up for an email subscription.