Paducah City Manager Jeff Pederson says BBQ on the River Incorporated will comply with its 2011 contract with the city and supply a limited-scope audit to officials.
The audit is part of the agreement in which the city provided BBQ on the River 20 thousand dollars to establish a downtown retail store.
BBQ on the River also stated in the contract that it was waiting on 501(c)3 status from the Internal Revenue Service.
It failed to acquire the standing and it lost 501(c)4 status in 2012. But Pederson says he doesn’t think that’s the main issue.
“I don’t believe the non-profit status was a condition of the grant," Pederson said. "I don’t know that the contract stipulates penalties. It’s an administrative contract so certainly the city manger would have the contract administration responsibility."
Pederson says the city expects to receive the audit from BBQ on the River in the near future.