Transcript Highlights:

• They were auditor galleons here. Would you speak to that, Auditor? Yeah. I thought it was...
• Thanks, Auditor.
• The remainder of that section, the next section relates to the state auditor, the role of the state auditor
• Go ahead, auditor. Mr.
• Any questions for the auditor? Oh, everybody. Any questions for the auditor? Everybody's good.

Keywords: 908, all

Transcript Highlights:

• Okay, up next is our state auditor, Mark Hunt. Mr. Auditor, Mark Hunt. Mr. Auditor...
• We have 156 employees, down from 164 under the previous auditor. The auditor before us had 214.
• Questions of our auditor? Senior Senator from the 13th. Thank you, Mr. Auditor.
• and the state auditor.
• We need auditors. We need auditors in the chief inspectors' division.

Keywords: 994, senate, all

Summary: The Senate Finance Committee met with a quorum, approved the minutes from the prior meeting, and heard budget presentations from the Secretary of State, the Attorney General, and the State Auditor. The Secretary of State’s office described its FY27 budget, emphasizing efficiency gains from technology, election security work, and business services. It said it is operating with fewer staff than a decade ago, but rising costs and outdated statutory fees are creating deficits in service of process and other operations. The office asked the committee to consider either increasing fees or allowing it to retain a larger share of business-service revenue, and it also proposed creating an Office of Entrepreneurship to help small businesses navigate state government, grants, permits, and related services. Committee members questioned the Secretary of State’s office about fee increases, the current 50-50 split of certain revenues with general revenue, and whether the proposed entrepreneurship office would duplicate existing services. The office said it would complement, not replace, Commerce, SBDC, or grant programs, and would report metrics and policy recommendations to the legislature. The Attorney General then requested a one-time $2 million special revenue appropriation to hire additional lawyers and support staff, citing increased litigation, federal and state legal work, and the need to defend new laws. He also discussed embedded DMV lawyers handling DUI revocation hearings and said the arrangement costs the office just over $200,000. The State Auditor reported that his office is largely self-funded through special revenue and said he wants to reduce reliance on general revenue over time. He highlighted savings from renegotiated leases and an open government contract, discussed the need for more auditors in the Chief Inspector’s Division, and described fraud recovery and P-card operations. A major topic was delinquent land sales: the auditor said the office sold about 17,000 parcels last year and believes online bidding and better marketing could generate substantially more revenue, with the surplus potentially shared among counties, the state, and other programs. Members also asked about securities fee changes, fairness hearings, fire department audits, IT/cybersecurity, and how surplus proceeds from delinquent land sales should be handled. The committee adjourned after the presentations and questions.

Transcript Highlights:

• Auditor Gallian could...
• Auditor Gallion is here. Would you speak to that, Auditor? Yeah, I thought it was... I asked Mr.
• The remainder of that section, the next section relates to the state auditor, the role of the state auditor
• Go ahead, auditor. Mr.
• Any questions for the auditor? Oh, everybody. Any questions for the auditor? Everybody's good.

Summary: The committee convened, approved the prior meeting minutes, and received a memo summarizing major audit items. The State Auditor’s office and outside auditors then presented a series of audits, many of which were clean with unmodified opinions and no findings, including the Bank of North Dakota, the Guaranteed Student Loan Program, the Office of the Governor, the State Treasurer, the Office of Management and Budget, the Department of Transportation, the Department of Environmental Quality, Lake Region State College, and the Office of the Governor. The North Dakota Stockmen’s Association audit was also clean overall, but it repeated findings about limited segregation of duties and auditor assistance in preparing financial statements, which the auditor said were expected to continue because of the organization’s small size. Committee members asked about out-of-state board addresses, and the association explained those members were North Dakota residents using South Dakota mailing addresses. Several audits did include findings. The Council on the Arts audit identified two issues: payroll charged to federal awards without supporting time records, and $12,825 in Cultural Endowment Fund spending that was not allowable under state law, including staff training, retreats, and executive director candidate travel. The Department of Public Instruction audit found unsupported scholarship applications in the paraprofessional-to-teacher program, but additional testing confirmed the funds were credited properly and students completed required school district work, so no improper payments were identified. The University of North Dakota audit found a lack of documentation and transparency in School of Law admissions decisions; the auditor said the law school used a holistic process but did not keep notes or evaluation tools to show why applicants were admitted, waitlisted, or denied. UND leadership said the school is in good standing with the American Bar Association and agreed better documentation is needed, and the auditor said the issue was the missing documentation, not ABA accreditation itself. The most extensive discussion centered on the North Dakota Racing Commission audit, which found four findings: overspending the promotion fund’s 25% operating cap, grant conditions not being met, improper breeder fund awards, and improper procurement. The auditor said promotion fund spending exceeded the cap by $327,447 and the fund balance dropped sharply over the audit period. Racing Commission director Bruce Johnson said the agency had become complacent, that grant requests were treated as routine, and that controls and documentation need to be tightened. He also explained that the breeder fund overpayments involved two horses whose ownership transfers were not properly documented before racing, and that the procurement issue stemmed from an advertising contract that proceeded without proper written procurement procedures after a misunderstanding with the State Procurement Office. The auditor said the Racing Commission will now be audited every two years because of the findings. The committee also received updates on Dakota College at Bottineau’s bank reconciliations, which Minot State University said had been brought current after an 18-month backlog, with only one account still needing cleanup; members asked for a written report on the corrective actions. The North Dakota Fair Foundation was reported to have dissolved, with remaining funds transferred to another nonprofit account for continued support of the state fair. Finally, the Department of Public Instruction provided an update on school meal debt, revising the earlier estimate to about $1.1 million based on incomplete district survey responses, and said the Anti-Lunch Shaming law likely increased meal debt because schools must feed students regardless of account balance. Members discussed the need for a more accurate year-end debt figure and possible future reporting at a later committee meeting.

Transcript Highlights:

• One of them is the Office of the State Auditor.
• You know, if you're an external auditor like our office is, like the legislative auditor can be, like
• 00:04:00.480> legislative<00:04:01.000> auditor office is, like the legislative auditor
• Auditor, any final thought on this topic?
• These cases can the Legislative Auditor.

Keywords: 1187, senate, all

Summary: State Auditor Julie Blaha discussed fraud in Minnesota, emphasizing that recent attention on fraud during COVID-19 should be separated from broader, ongoing fraud risks. She explained that the Office of the State Auditor oversees about $60 billion in local government activity, including school districts, cities, townships, counties, special districts, and port authorities, and works both to prevent fraud through audits and to investigate cases when they arise. Blaha said the biggest current challenge is workforce shortages in accounting and accountability fields, which makes it harder to provide oversight even as public demand for accountability increases. She urged legislators to involve her office early when drafting bills so the right oversight tool can be matched to the risk, rather than simply adding an audit requirement by default. She also said a proposed Office of the Inspector General would be a useful accountability discussion, but stressed that internal audit structures are often more effective than relying only on external audits. Blaha said the public plays a major role in detecting fraud because tips are the most common way fraud, waste, and abuse are uncovered. She encouraged public employees and local officials to report concerns, especially around unusual spending or misuse of purchasing cards, and noted that reporting can be confidential and is often required for certain public employees. In her closing remarks, she warned that COVID-era fraud often involved private-sector actors and said outsourcing government work requires careful risk analysis and added oversight. The segment ended with a reminder that allegations of state government fraud can be submitted to the Minnesota Office of the Legislative Auditor online, by phone, or by mail.

Transcript Highlights:

• That is correct, Auditor Gallion.
• Or maybe it's giving the auditor more power.
• Chairman, and thank you, Auditor Gallion.
• Thanks, Auditor Gallion. Questions or comments for the auditor? Anyone? No, we're good.
• Auditor. Mr.

Keywords: 908, all

Transcript Highlights:

• We continue to work with the auditors.
• General concerns, right, gaps in your guys' process found by the Auditor General?
• general concerns, right, gaps in your guys' process found by the auditor. list of auditor general concerns
• , right, gaps in your guys' process found by the auditor general.
• The Office of the Auditor General is the legislature.

Keywords: 1182, all

Summary: The Committee on Director Nominations met to consider Ruby Dylan Williams for Director of the Arizona Department of Housing. Chair Jay Kaufman opened with remarks about the committee’s role in scrutinizing nominees’ commitment to faithfully executing state law. Williams, who has served in housing roles since 2020 and as interim director since March 2025, described her background in both public service and the private sector and said her priorities would be expanding housing supply, preserving housing stability, and improving technology-driven operations and transparency. Members questioned Williams extensively about department oversight, fraud prevention, auditor general findings, homelessness policy, budget priorities, and the cost of affordable housing programs. She said the department had strengthened internal controls, added verbal verification steps for wire transfers, increased site inspections and grantee monitoring, and was tracking 68 performance metrics. She also defended the use of LIHTC and other federal housing programs as key public-private tools, said the department was working on a real-time homelessness data system, and explained that if state funding were cut, staffing would likely be reduced before core programs. Several members pressed her on past fraud and audit findings and on whether the department had been sufficiently proactive in preventing them. Public testimony was overwhelmingly supportive. Developers and industry representatives praised Williams’ experience, her knowledge of housing finance, and her role in streamlining the qualified allocation plan and improving the department’s responsiveness. They argued that her leadership has helped attract investment and increase housing production in Arizona. After debate, the committee voted 3-2 to recommend Williams’ confirmation to the full Senate, with Senators Kavanagh and Shope voting no and Senators Bravo and Ortiz voting yes.

Transcript Highlights:

• Is the fact that he has included one forensic auditor, one new forensic auditor in the BCA. One.
• Is the fact that he has included one forensic auditor, one new forensic auditor in the BCA. One.
• Is the fact that he has included one forensic auditor, one new forensic auditor in the BCA. One.
• Is the fact that he has included one forensic auditor, one new forensic auditor in the BCA. One.
• Is the fact that he has included one forensic auditor, one new forensic auditor in the BCA. One.

Keywords: 919, house, all

Summary: House Fraud Prevention and State Agency Oversight Committee Chair Kristen Robbins opened by criticizing the governor’s fraud package as too focused on new spending and staffing, and not enough on culture change, accountability, eligibility rules, and an enterprise-wide IT/data strategy. She said the committee had heard a good overview from multiple commissioners, but she remained concerned that piecemeal technology investments and added staff would not address the root causes of fraud. Robbins also said she would introduce a bill based on issues raised in committee, including requiring grants management staff to complete Office of Grants Management training and certification. A major action announced was the launch of a new whistleblower portal at mnfraud.com, which legislators said will let people submit basic fraud allegations, after which staff will follow up and forward matters to the Office of the Legislative Auditor, BCA, law enforcement, or the attorney general as appropriate. Members noted that the Office of the Legislative Auditor already has a separate reporting portal, and there was a question about why the new site does not allow anonymous reporting; Robbins said contact information is needed so staff can follow up. She also said the portal is intended to centralize and triage reports from agency workers, service recipients, and providers. Republican members said the governor’s proposal still misses key pieces. Vice Chair Anderson argued the package mostly adds staff to agencies that failed to catch or act on fraud, and said Minnesota needs a statewide independent inspector general with authority outside agencies and a stronger whistleblower system. Representative Marion Rarick said the proposed criminal penalty increases are too small compared with federal penalties and criticized the package for adding only one forensic auditor at the BCA while DHS receives many more positions. She also argued that agency managers should face sanctions when fraud occurs under their watch and said the state needs a culture where employees can be rewarded for good work but also held accountable for failures. Members discussed several other ideas, including creating new crimes for kickbacks and theft of public funds, requiring fraud fiscal notes, improving data sharing and eligibility verification, and using better IT so systems can talk to each other. There was also discussion of whether government services should rely less on nonprofits and private contractors; one member said fraud often follows a particular business model rather than the sector itself, while another suggested capping salaries of top nonprofit executives receiving government funds. The committee also noted that the governor’s fraud package is being presented as a package but will likely move as separate provisions through different omnibus bills.

Transcript Highlights:

• The legislative auditor made three recommendations related to hospital inspections.
• As a reminder, we follow up on legislative auditor recommendations for four years.
• Therefore, the legislative auditor concludes that focusing the metric on...
• The legislative auditor has two recommendations.
• This leads us to legislative auditors two recommendations.

Summary: The committee met on December 3, 2025, with a quorum present and approved the September 17 minutes. Members first voted to suspend the 2026 JLARC lodging tax expenditure report for one year, based on staff’s explanation that the report is self-reported, not verified, and less useful than State Auditor accountability audits; the motion passed. The committee also approved renaming the JLARC I-900 subcommittee to the “Committee to Hear SAO Performance Audits,” while keeping the opening script noting that the performance audit process exists under Initiative 900. The committee then heard follow-up updates on two prior performance audits. The Department of Health presented a draft strategic management plan in response to findings on hospital inspections, complaints, adverse event review, and hospital data access. JLARC staff reiterated that 72% of hospital inspections were late, that DOH did not verify third-party inspection standards or review adverse event reports, and that complaint data suggested possible language-access barriers. DOH said it concurred with the recommendations, had improved on-time inspection compliance to about 49%, planned annual updates starting in July 2026, and would work on accreditation oversight, complaint-language access, and data accessibility, though members pressed for firmer deadlines and questioned the three-year timeline for language access improvements. The Liquor and Cannabis Board also reported on its cannabis market study recommendation. JLARC staff said the agency’s data were incomplete and unreliable, limiting oversight of production, recalls, tax collection, and diversion. LCB said it had improved its current CCRS system but still relied on self-reported data, and it presented a decision package for a new traceability system estimated at about $9 million over three fiscal years. LCB described a plant-tagging and serialization approach tied to production, processing, testing, and retail, but acknowledged it did not currently have sufficient staff to fully implement the system without additional funding. The committee also received briefings on JLARC’s recommendation-tracking tools and the 2024 public records reporting summary, including a high-level review of agency response rates, request volumes, costs, and litigation. Finally, JLARC presented the proposed final report on the Office of Privacy and Data Protection, concluding that OPDP meets its statutory responsibilities and has high user satisfaction, but that its mandate should be updated to better match its current capacity and focus; the committee adopted the report for distribution. The meeting then moved into the 2025 tax preference performance reviews, where JLARC staff summarized nine reviews and noted that the Citizens Commission on Tax Preference and Performance Measurement endorsed all 17 legislative auditor recommendations, with comments on seven. Early reviews discussed included natural gas transportation fuel preferences, travel agent and tour operator B&O rates, nonprofit low-income housing development, multipurpose senior centers, disabled veteran adaptive housing, and trade convention attendance, with staff and commissioners generally recommending continuation of some preferences, modification of others, and improved objectives or performance measures where needed.

Transcript Highlights:

• Auditor Randall said, “For the record, Judy Randall, legislative auditor.
• Um Auditor Randall. Auditor Randall said, “Uh, um, excuse me. Thank you, Mr. Chair.
• Um Auditor >> All right. All right. Um Auditor Randall. Randall. Randall.
• so how does the legislative auditor so how does the legislative auditor investigate<00:41:40.000
• >> Auditor<00:47:40.000> Randall. >> Auditor Randall. >> Auditor Randall.

Keywords: 919, house, all

Summary: The Legislative Audit Commission Evaluation Subcommittee met on October 6, 2025, to choose additional program evaluation topics for the Office of the Legislative Auditor. Deputy Legislative Auditor Jody Mson Rodriguez explained that the commission had previously selected seven topics from an initial list of 11, with background papers already prepared on five of those items, and that the subcommittee was now being asked to select five more topics for background papers before narrowing the full set to four recommendations later in the fall or early spring. Members discussed several possible topics, especially emergency medical services, non-emergency medical transportation, MinnesotaCare eligibility, child care assistance, medical assistance fraud prevention, and U.S. Bank Stadium. David Kersner of OLA said emergency medical services and non-emergency medical transportation are distinct programs, and noted the EMS topic was evaluated in 2022 while non-emergency medical transportation had not been reviewed since 2011. Auditor Judy Randall said MinnesotaCare eligibility, child care assistance, and medical assistance fraud prevention are better suited to OLA’s financial audit division or special review unit rather than program evaluation, and that financial audits and special reviews do not require Legislative Audit Commission nomination. On process, Mson Rodriguez said the subcommittee had already met its minimum required selections under the commission’s policy and was free to choose additional topics. The discussion also covered whether to broaden the stadium topic beyond U.S. Bank Stadium; staff said the U.S. Bank financing structure alone would be a major undertaking, but they could help craft a future topic focused on maintenance across multiple facilities. No final vote or motion was taken in the portion of the meeting provided, and the chair indicated the committee would continue nominations and discussion.

Transcript Highlights:

• Any other questions for the auditor?
• Any other questions for the auditor?
• And thanks to the department and to the auditor.
• , to the auditor for the product here.
• The auditor really did an outstanding job.

Summary: The Joint Legislative Audit Committee heard an audit on the Department of Cannabis Control’s oversight of cannabis packaging and labeling, focused on whether products attractive to children are being kept out of the legal market. The auditor said the department’s rules are often vague or subjective, leading to inconsistent enforcement, and that the state relies heavily on licensees to self-police because there is no upfront review before products reach the market. The audit cited examples involving cartoon-like images, bright colors, flavor references, candy-like imagery, strain names, and beverage packaging, and recommended clearer statutory standards, possible pre-approval of packaging, better enforcement tools, and stronger tracking of repeat violators. Assemblymembers and senators largely agreed that child safety is the priority, but differed on the best policy response. Some members argued for clearer legislative limits and even plain packaging, saying products like root beer, cherry pie, and cereal-like designs are plainly appealing to children. Department officials said they had already begun reforms, including a centralized label-review team, a rubric, improved databases, and more attention to repeat violations, while also emphasizing that the illicit and intoxicating hemp markets are major sources of youth exposure and that resource constraints limit inspections. They said they are open to working with the Legislature on more specific standards and additional funding. Public witnesses split between public health and industry perspectives. A pediatrician and public health advocate urged stronger restrictions, including plain packaging, limits on flavors and potency, and a pre-market review system, arguing that vague rules have failed children. Industry representatives said they support youth protections but want bright-line, objective standards so compliant businesses can know what is allowed; they argued that most youth-targeted packaging is in the illicit market and that the legal market needs clearer rules rather than broader bans. No formal vote or committee action was taken during the hearing.

Transcript Highlights:

• To order this presentation by the legislative auditor.
• I'm the deputy legislative auditor L.
• >> Or I'm sorry, Auditor Randall. >> Or I'm sorry, Auditor Randall.
• um<01:22:12.719> uh think auditor the auditor Randall um uh think auditor the auditor
• we and the auditor landed. we and the auditor landed.

Keywords: 919, house, all

Summary: The committee heard a presentation from the legislative auditor on a performance audit of the governor’s office and lieutenant governor’s office covering July 1, 2022 through December 31, 2024. The audit reviewed receipts, inventory, payroll, and non-payroll expenditures and found 12 findings, concluding the office generally did not comply with the criteria tested because of internal control deficiencies. The auditor said four of five prior findings that remained relevant were not fully resolved, and that the problems were widespread across financial operations, creating opportunities for waste and fraud, though no evidence of wrongdoing or misuse of funds was found. The main findings involved weak segregation of duties, late vendor payments, inaccurate reimbursements and vendor payments, missing documentation, and poor receipt management. Auditors said one employee handled purchasing, receiving, payment processing, and inventory functions without adequate oversight; vendors were often paid late, resulting in more than $1,000 in late/reactivation fees; reimbursements and some state airplane payments contained errors; and many vendor payments, reimbursements, and purchasing card transactions lacked required support. The office also failed to collect about $12,000 for events at the governor’s residence, did not fully process several deposits, and lacked documentation for some billed or deposited amounts. Members reacted strongly to the repeated control failures and the lack of documentation, with several saying the issues were pervasive and concerning even if the dollar amounts were not large. Questions focused on whether the problems reflected different treatment of vendors versus employee expenses, whether restitution was being sought, and whether legislation was needed. The auditor responded that the state already has the necessary policies and procedures, and that the issue is implementation and oversight by the governor’s office, not new legislation. The auditor also said the governor’s office had been receptive and had begun taking steps to address the findings.

Transcript Highlights:

• The Commissioner's Court has approval of expenditures, the auditors, the treasurers; there are safeguards
• I assume that our auditor would need additional resources in order to do this.

Bills: SB32, SB464, SB996, SB1163, SB1173, SB1277, SB1452, SB1453, SB1548, SB1882, SB1883, SB2016, SB 32

Keywords: ad valorem taxation, tax exemption, franchise tax credit, income production, personal property, SB 464, school buffer zone, tobacco retailer, vape shop, e-cigarette, vaping, nicotine, tobacco products, retail permit, comptroller, Class A misdemeanor, school proximity, youth access, public school, private school

Transcript Highlights:

• I also want to thank our state auditor, Mr.
• As auditors, we want to see documentation.
• As auditors, we want to see documentation.
• In all honesty, it's difficult for me to answer that as an auditor.
• There is a two-page summary... by the state auditors.

Summary: The hearing focused on a state audit of Cal/OSHA titled “The Division of Occupational Safety and Health: Process Deficiencies and Staffing Shortages Limit Its Ability to Protect Workers.” Committee leaders and the audit team described serious workplace tragedies, argued that California’s worker protections are not being adequately enforced, and said the audit was prompted by concerns that Cal/OSHA was too often relying on letters instead of inspections, delaying investigations, and closing cases without enough documentation. Members repeatedly emphasized that the issue was not just staffing, but also outdated policies, weak oversight, and inconsistent enforcement. State Auditor Grant Parks said the audit found a 32% vacancy rate in 2023-24, heavy reliance on hard-copy files, outdated or unclear policies, and inconsistent decision-making in complaints, accidents, citations, and fine reductions. He said Cal/OSHA conducted on-site inspections in only about 20% of complaints, used letter investigations more than 80% of the time, often lacked evidence that hazards were corrected, and sometimes failed to inspect serious injury cases on time. The audit also found weak documentation for fine calculations and settlement reductions, with some penalties reduced substantially without clear explanations. Parks said the agency had accepted the findings and would provide progress updates later in the year. Committee members pressed the auditor on vacancy rates, the use of letter investigations, the low rate of criminal referrals, and whether fines were being reduced too often. Cal/OSHA and DIR officials responded that the vacancy rate had fallen to 12% partly because 66 vacant positions were eliminated in a statewide budget reduction and partly because of hiring; they said 126 people had been hired in the first half of the year. They also said they had hired a policy writer, were updating several policies, were planning periodic internal audits, and were developing a new data management system expected to go live in late 2026 or early 2027. On fines, officials said Title 8 sets base penalties and allows adjustments based on factors like employer size, history, and good faith, with appeals and informal conferences also affecting final amounts. No votes or formal actions were taken during the hearing.

Transcript Highlights:

• Don’t we already have a watchdog department, the Auditor General?
• So will the functions of such an auditor be transferred to the COGE?
• So will the functions of such an auditor be transferred to the COGE?
• I know there were some questions earlier about the Auditor General.
• When would the lieutenant governor and the auditor positions be removed?

Summary: The committee heard and approved several measures. HB 735 expanded Florida’s boating improvement program to fund parking for boat trailers at public ramps and offered a 10% sovereign submerged land lease discount for manufacturers using environmental best management practices; it passed unanimously. HB 4021 expanded the North River Ranch Improvement Stewardship District in Manatee County by 640 acres and was reported favorably. CS for HB 371, which promotes nature-based methods and green/gray infrastructure for coastal resilience, also passed unanimously after supportive testimony from resilience and environmental groups and committee members. The committee then took up HJR 1325, a proposed constitutional amendment to create an elected Commissioner of Government Efficiency (COGE) with authority to audit, investigate, and report on waste, fraud, and abuse in state and local government. The proposal would eliminate the lieutenant governor position, the Government Efficiency Task Force, and the legislature’s current auditor appointment, with many implementation details deferred to a future bill. Members debated the scope of the new office, its relationship to the Auditor General and inspectors general, whether it should cover the legislative and judicial branches, staffing, and the comparison to federal DOGE efforts. An amendment making a minor wording change was adopted, and the resolution passed 23-? with a favorable report after a split vote. The committee also approved two Gulf of America bills. HB 575 redesignated the Gulf of Mexico as the Gulf of America, and CS for HB 549 required Florida’s academic standards and newly adopted instructional materials to reflect the federal designation for materials acquired on or after July 1, 2025. Both measures drew criticism from members who argued the renaming was politically motivated, historically insensitive, and potentially confusing for students, while supporters said Florida should align with federal action. HB 575 passed and CS for HB 549 passed 18-7. Finally, HB 4071, a local bill adjusting the boundary between Coral Springs and Parkland in Broward County by about 8.7 acres, was amended and reported favorably with support from both cities and the Broward delegation.

Transcript Highlights:

• Auditors and government uh at internal Auditors and internal<00:54:41.799> control<00:54:42.160
• <01:05:18.119> mentioned as um the legislative auditor mentioned as um the legislative auditor
• <01:07:52.880> and brings together internal Auditors and brings together internal Auditors
• <01:09:38.600> was to what the legislative auditor was to what the legislative auditor was
• <01:23:59.159> defined the the uh legislative Auditors defined the the uh legislative Auditors

Keywords: 1187, senate, all

Summary: The Senate Finance Committee met on January 9, 2025, to focus on internal controls, fraud prevention, and legislative oversight of state agencies. Legislative Auditor Judy Randall explained Minnesota’s internal control framework, based on the GAO Green Book, and described five core controls: assigning responsibility, separating duties, restricting access, maintaining policies and procedures, and keeping records. She tied each control to examples from recent audits, including DHS’s Medicaid provider debt recovery, the Minnesota State Academies’ travel reimbursement issue, privileged access at the Minnesota State Lottery, missing mileage-verification procedures at the Board of Firefighter Training and Education, and weak documentation in the Board on Aging’s senior nutrition program. Deputy Legislative Auditor Jod Mson Rodriguez then presented a new follow-up report on implementation of prior recommendations from 2022 through 2024, including special reviews. She said the office gathers agency documentation, evaluates progress, and categorizes recommendations from implemented to not applicable, while noting that some items require more work to verify and that this reflects OLA capacity rather than agency performance. Examples included the Department of Commerce, where some policy changes were verified but further work would be needed to confirm consistent investigator compliance, and the Metropolitan Council, where more data analysis would be needed to determine whether bonus payments were properly earned. She also noted that a legislature-directed recommendation to require grant manager training had not been implemented. Overall, OLA reported that state agencies had implemented or partially implemented close to 70% of its recommendations, while the legislature had implemented or partially implemented about 40% of recommendations from the last three years. Members generally praised the office’s work and discussed how agencies respond after reports are issued. Senator Westrom raised concerns about a recent media report on alleged fraud in CCAP, and Randall said OLA was aware of the issue but could not discuss details. Senator Draheim asked about post-report agency engagement, and Randall and Rodriguez said follow-up varies, with some agencies seeking private meetings and others engaging less, but that the follow-up process often prompts further discussion and improvement.

Transcript Highlights:

• <00:02:20.520> Leisen Legislative Auditor. And as Ms. Leisen Legislative Auditor.
• Auditor. Auditor.
• Auditor<01:31:57.600> Randall. Auditor Randall. Auditor Randall.
• Auditor<01:33:29.160> Randall. Auditor Randall. Auditor Randall.
• Auditor Randall. Uh, thank you, Mr. Auditor Randall. Uh, thank you, Mr.

Keywords: 1183, house

Transcript Highlights:

• ONCE THE AUDITOR GENERALS OFFICE WAS INVOLVED?
• I THINK MY QUESTION I ASKED THE AUDITOR ABOUT THE TURNOVER.
• THE AUDITOR GENERAL WOULD HAVE SENT OUT LETTERS TO THOSE WHO NEEDED AN AUDIT.
• COMMITTEE DIRECTED THE AUDITOR GENERAL TO PERFORM THE WORK SINCE 2003.
• THE AUDITOR GENERAL MAY USE HER DISCRETION TO INCLUDE OPERATIONAL TOPICS.

Keywords: 999, senate, all

Transcript Highlights:

• Auditor, please waive the eight-year auditor rotation rule.
• Auditor.
• Auditor.
• Auditor. Is that your name, Mr. Auditor? I don't know. Anyhow.
• Auditor.

Transcript Highlights:

• Our first item is a presentation of the Auditor General's audit of the city of Mexico Beach.
• I think my question I asked the auditor about the turnovers.
• The Auditor General would have sent out letters to those that definitely needed to The Auditor General
• The committee has directed the Auditor General and Opaga to perform the work since 2003.
• The Auditor General may also use her discretion to include operational topics.

Summary: The Joint Legislative Auditing Committee heard the Auditor General’s operational audit of the City of Mexico Beach, which identified nine findings. The audit cited significant turnover in key management positions, late filing of required annual financial reports, weaknesses in competitive procurement and purchase approval controls, a duplicate payment on stormwater repairs that was later largely refunded, issues with the city accountant’s contract and IRS classification, IT access control problems, and the lack of fraud-reporting policies. Committee members asked about corrective action, and the Auditor General said a follow-up audit is required by statute within 18 months, with no enforcement authority beyond reporting progress back to the committee. Mayor Rich Wolf and city staff responded that the city had experienced major turnover and was rebuilding its finance and administrative team. He said the city had hired a city administrator, financial director, city clerk, and accounting firm, and was working to create policies, procedures, forms, and review processes to address the findings. Members discussed whether the turnover and hurricane-related workload contributed to the problems, and city officials said some of the larger purchases were storm-related and tied to FEMA or emergency work. The committee then received a staff update on enforcement for local governments that have not filed required financial reports. Staff said 400 entities had been notified, and as of the meeting two counties, 33 municipalities, and 48 special districts still owed reports or audits. The committee adopted a motion to proceed under section 11.42, Florida Statutes, including possible withholding of state funds for municipalities and enforcement actions for special districts, with authority for the chair and vice chair to delay action if new information warranted it. Finally, the committee unanimously directed the Auditor General and OPPAGA to conduct the required 2024-2025 audit of the Department of the Lottery, with the Auditor General handling financial, internal control, and compliance issues and OPPAGA developing operational recommendations. Members also briefly discussed whether the committee had reviewed transportation surtaxes and expressed interest in improving the timeliness and transparency of the audit and enforcement process before adjourning.

Transcript Highlights:

• It was administratively attached for the auditors because the auditors were worried that maybe this would
• They work as an auditor.
• They work as an auditor.
• They work as an auditor.
• there was talk about how the auditor there was talk about how the auditor always<00:26:38.039>

Keywords: 00:11 Call to Order/Roll Call 01:02 Discussion of 25RS SB 26 07:48 Roll Call Vote on 25RS SB 26 08:43 Discussion of 25RS SB 85 28:04 Roll Call Vote on 25RS SB 85 29:37 Discussion of 25RS HB 805 40:30 Roll Call Vote on 25RS HB 805 41:32 Adjournment, 958, all

Summary: The committee first took up Senate Bill 26, presented by Senator Brandon Storm, Family Court Judge Marcus Vanover, and Crystal Adams on behalf of the Kentucky Judicial Commission on Mental Health. The bill would ensure Kentucky complies with the ADA by prohibiting disability alone from being used to terminate adoption petitions, parental rights, or child-placement petitions. Testimony cited Kentucky Supreme Court and Court of Appeals cases involving parents with intellectual or developmental disabilities and national data showing high removal rates for parents with psychiatric, intellectual, or physical disabilities. The committee approved the bill 15-0 with favorable expression. The committee then heard Senate Bill 85 from Senator Steve Meredith and State Auditor Allison Ball, which continues the transition of the Office of the Ombudsman from the Cabinet for Health and Family Services to the Auditor’s office. Testimony focused on completing the transfer by clarifying access to the ITWIST database, ensuring complaints go directly to the Ombudsman, adding whistleblower protections, and making the office a separate office within the Auditor’s office for efficiency. Members asked about the prior conflict of interest when the Ombudsman was housed within CHFS, the database access dispute and lawsuit, and whether the office still remained independent. The bill passed with favorable expression after some members voted pass. Finally, the committee considered House Bill 805, with Representative Nick Wilson and Representative Sarah Stalker explaining a committee substitute and amendment. The bill would set timelines for the Cabinet to physically locate children reported at immediate safety risk and require annual kinship-care reporting to be automatically provided to the legislature and posted publicly. Wilson said the bill also cleans up language from last year’s House Bill 271, including changing “threats” to “risks” in the safety-plan definition and other terminology fixes. The committee adopted the substitute and amendment and advanced the bill with favorable expression.