A Colorado state audit criticized Connect for Health, a nonprofit organization that runs the state’s health insurance marketplace, for its sponsorship practices, financial management and reporting in a Sept. 16 report.
The state’s General Assembly requested the audit following Connect for Health’s sponsorship of a progressive advocacy group’s fundraiser in 2023.
While the audit did not identify any political donations, it highlighted some sponsorships — such as for the Denver Zoo Flock Party and a golf tournament — that lacked a documented tie to Connect for Health’s mission. The auditor also found that the organization did not report its 2023 public awareness and outreach campaign expenditures properly, nor did it keep consistent financial documentation.
Specifically, the organization’s CEO made potentially risky “high-dollar” purchases. CEO spending on lodging, for example, was over $20,000 during the investigated period. Meal and alcohol expenses were another concern.
“We found that expenses for meals and alcohol purchased by the CEO included high-dollar transactions with inconsistent documentation to justify the business purpose and amount,” the report said.
In fiscal 2024, the auditor reported Connect for Health spent $5.8 million on marketing and outreach.
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