In our ongoing story detailing the audit done by the Kentucky Office of Public Accounts in December 2015. According to section three of the audit, former Mayor Jerry Fannin may have accepted an illegal gift. In 2010, the city voted to enter a bid of 300-thousand dollars for the former Prestonsburg Elementary School building and it property, but were outbid by an unnamed party. During the February 2014 meeting, the council again discussed purchasing the lot for 1-million dollars. At that meeting, Councilman B.D. Nunnery brought it to the chambers attention that Fannin had received a sizable gift in scrap metal from the property owner. Nunnery said that he questioned the gift, because it could have posed a conflict of interest. Fannin was entrusted by the city council to negotiate the property acquisition on their behalf. While there were no charges, Nunnery was among the officials who questioned if Fannin had acted as a partner with the property owner. Fannin did admit to receiving the scrap metal but he has not released the value of the gift. This could be a violation of the city’s code of Ethics, which claims that no elected official shall receive a gift of any kind valued over 100 dollars.