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A state audit released Wednesday found that Baltimore's Board of Liquor License Commissioners had failed to correct a number of problems unearthed in a 2013 audit. However, the board's chairman said most of the recurring problems have been addressed since auditors closed their investigation in September.

The 49-page report by the state Office of Legislative Audits spells out 18 major problems at the board identified between January and September 2015. A common thread was a lack of policies or procedures to guide liquor board operations, including how license applications are handled, how payments are accepted and how inspections are conducted.

The audit found that the board did not assess correct license fees for the Horseshoe Casino Baltimore, it renewed licenses without ensuring that licensees paid the proper amounts, it did not always complete license transfers within 180 days and it failed to digitize license records for the public by July 2015.

In a response to the audit, liquor board chairman Albert J. Matricciani Jr. wrote that, although the board did not agree with every finding, it agreed with its overall conclusion: The agency lacked policies and management practices at the time of the audit, which “directly led to agency outcomes that did not necessarily comport with state law.”

But Matricciani said the audit told only half the story, and that since September, the agency has come into compliance with 16 of the 18 findings. The board has revised its rules and regulations, published a procedures manual and created tracking systems to monitor licensed establishments and inspections. The agency still has to establish a process for monitoring closed establishments and digitize its license records, a process expected to be complete by the end of the month.

“I believe the agency has made significant strides in becoming ... more accountable, transparent and effective in the discharge of its duties as required by state law,” Matricciani wrote.

Anthony McCarthy, a spokesman for Mayor Stephanie Rawlings-Blake, said the mayor was pleased to see the liquor board moving in the right direction.

“I believe that she is excited about the opportunities that this affords the liquor board to be more effective in services,” he said. “She's especially pleased at the dialogue and conversation that's going on right now between the new liquor board commissioners and the staff, and this real renewed sense of accountability.”

Chrissy Anderson, president of the Fells Prospect Community Association who is active in liquor board issues, said she was not surprised the audit contained many of the problems brought to light in 2013 and thought the board's response left a lot to be desired.

“It's disappointing to read some of it. I mean, I'm happy with some of the changes that they've made,” she said. “What do you do to a state agency that doesn't comply with state law?”

smeehan@baltsun.com

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