KILLEEN, Texas (KXXV) — A recent audit conducted by City Auditor Matthew Grady found that the Killeen Police Department (KPD) and the city’s Finance Department have strong internal controls in place for managing funds obtained through seized assets.
The audit aimed to evaluate whether funds are accurately recorded and appropriately spent, and whether KPD complies with all federal and state regulations governing the use and reporting of asset forfeitures.
As of the 2024 fiscal year, KPD reported a total of $738,608 in seized asset funds, with $467,702 allocated for the development of the department’s Real Time Crime Center. The facility, which officially launched on March 17, 2025, aims to enhance officer coordination, improve emergency response times, and expand surveillance capabilities throughout the city.
Grady’s report praised KPD and the Finance Department for following key accounting principles, particularly the separation of duties, which reduces the risk of fraud by dividing responsibilities such as authorization, custody, recording, and reconciliation among different individuals.
However, the audit identified one area for improvement: the storage conditions of seized vehicles. Currently, vehicles are kept in uncovered areas while awaiting legal resolution, which can take years. Exposure to weather can damage the vehicles, reducing their value as evidence or as potential auction assets.
The auditor recommends that the city establish a plan to improve long-term storage solutions for seized vehicles, thereby preserving their integrity and value.