In the wake of recent findings by the state Auditor’s Office and a subsequent internal investigation by city officials, Oak Harbor Marina harbormaster Mack Funk has resigned from his position.

A memo Oak Harbor Develop-ment Services Director Steve Powers sent out to city staff this week confirmed that Funk submitted his resignation Feb. 1. Although sparse on details, it said Funk stepped aside with “good will to allow the city flexibility to re-design its management approach to the many issues facing the marina, including the ongoing dredging project.”

In an email to the Whidbey News-Times, Funk said that his resignation was still pending and that he was not at liberty to respond to requests for comment from the newspaper. He referred all further questions to his attorney, Christon Skinner, of the Law Offices of Skinner and Saar in Oak Harbor.

Calls to Skinner were not returned.

Powers and City Administrator Paul Schmidt declined to comment, referring to Mayor Jim Slowik as the spokesperson for the issue. However, the mayor did not return multiple messages left this past week and Monday morning.

In December, the state Auditor’s Office released its annual financial review of the city’s books with two findings. Both identified a lack of adequate internal controls over cash-receipting and deposits in the finance department and at the marina.

The report disclosed a slew of problems at the small-boat harbor, from record books being left out and incomplete recording of fuel sales to a single person performing end-of-day reconciliation of the Fuel Dock Change Fund.

In an interview following the audit’s release, Slowik said the city had known about some of the problems at the marina. The city specifically requested that the auditor’s office shine its spotlight on the facility. Although no criminal activity was identified at the time, Slowik said that he was going to request an independent city investigation to follow the state audit.

Powers’ memo made no mention of the audit and did not say Funk was fired. Rather, it indicated that it his departure was a mutual decision.

“This resignation will lead to a change in management at the marina, which Mr. Funk has graciously agreed is appropriate at this time,” the memo said.

It went on to thank Funk for his four years of service as harbormaster.

Chris Sublet is serving as interim harbormaster until a permanent replacement is found.