Ohio Inspector General investigation finds companies allegedly colluded to improperly receive ODD grant monies
In March 2023, the Ohio Department of Development (ODEV) referred to the Ohio Inspector General a complaint involving BridgePort Digital, an online Information Technology training provider, and 26 companies whose employees were receiving training from BridgePort Digital.
The complaint stated that the companies were enrolled in the Ohio TechCred Grant Program and received monetary reimbursement for employees who attended training classes from Bridgeport Digital. The complaint explained that ODEV had concerns about the legitimacy of the documents submitted, the verification of payment and course completion.
Ohio TechCred is a program administered by ODEV that gives employers the opportunity to upskill current and future employees who complete eligible technology-focused credentials. Employers who submit successful applications to the program are eligible to be reimbursed up to $2,000 for each formally employed staff member who receives a W-2 tax form each year and completes an approved training.
The investigation found that the companies under review allegedly failed to comply with Ohio TechCred Program guidelines, resulting in improper reimbursements totaling $1,093,500. Investigators further found that the companies allegedly did not typically incur the cost of the training prior to receiving reimbursement as required by the grant guidelines.
In addition, investigators determined that the individuals who received the trainings allegedly were not W-2 employees of the companies and were thus not eligible for reimbursement. Finally, investigators discovered that the companies allegedly routinely submitted to ODEV requests for payment of the maximum amount of reimbursement per training ($2,000).
Bank records acquired during the investigation revealed that the reimbursement money was allegedly split between Bridgeport and the companies and did not reflect the actual costs paid by the companies for the trainings as reported on Bridgeport invoices.
The Ohio Inspector General made six recommendations to the Ohio Department of Development to strengthen the agency’s internal controls and for recoupment of the improper reimbursements.
This report of investigation will be referred to the Ohio Auditor of State, the Cuyahoga County Prosecutor’s Office and the Franklin County Prosecutor’s Office for consideration.
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