Middleton’s Community Care Resources, Inc. (CCR) has been accused of allegedly misusing $5 million in taxpayer money between 2009 and 2011. According to a report in the Wisconsin State Journal, a Jan. 23 letter from the state Department of Children and Families revoked CCR’s license effective Feb. 7, alleging that owner Dan Simon and his wife, Mary, double-billed the state’s foster care program for rent and office expenses; billed the state more than $64,000 for personal travel, including multiple trips to Alaska and Hawaii; charged $120,000 in expenses for the Simons’ three homes, six vehicles, and three boats; purchased a Lexus for $43,000 in 2010; and were reimbursed for hundreds of thousands of dollars in miscellaneous and undocumented expenses. The couple also reportedly earned $531,000 in inflated salaries. The letter did not address an additional $1.3 million in “excess profits” the agency allegedly earned over the three years.
A 24-year-old agency, CCR says on its website that it provides foster-care services to about 200 children around the state. A closely related nonprofit, Community Care Programs (CCP), recruits parents, places children with foster families, and acts as a conduit between foster parents and officials.
The state audit, completed in January, found that over the course of several years, CCR billed CCP a total of $3.1 million for “administrative services.”
A review of both companies’ records showed no documentation of the charges.
Lawmakers overseeing the case have called for a criminal investigation and a complete audit of the entire foster-care program.
Simon and his wife are vehemently contesting the charges and appealing the revocation, filing a 27-page rebuttal claiming they were grossly underpaid compared to similar positions elsewhere, and proposed to “upwardly adjust their salaries,” according to reports. State records show Simon earned just over $1 million in three years, while his wife earned just over $380,000.
