GOP state auditor candidate Wilson scolds Blaha for not doing job. If only he knew what it was.

In this morning's Daily Reformer email newsletter, Minnesota Society of Professional Journalists Journalist of the Year Deena Winter observes about her fun Potluck read, GOP state auditor candidate says he got into a car chase with an election judge in 2020. The police report tells a slightly different story, "It’s not a bombshell, but it does offer a little insight into an auditor’s race that hasn’t gotten much coverage."

The state auditor's office itself doesn't get much coverage.

Indeed, were Winter to conduct a Jay Walking-style poll of random people on the streets of Minneapolis and Nimrod about the position itself, Bluestem's willing to bet our last hunch that few Minnesotans know what responsibilities are of the Office of the State Auditor.

Since that link brings a reader to the Office of the State Auditor, we looked for the job's responsibilities. Here's what we found under the "What We Do" tab:

The Office of the State Auditor oversees local government financial activity in Minnesota by performing audits of local government financial statements and by reviewing documents, data, reports, and complaints reported to the Office. The financial information collected from local governments is analyzed and serves as the basis of statutory reports issued by the Office of the State Auditor.

The Audit Practice Division performs approximately 150 financial and compliance audits and reviews approximately 500 single audits per year. This division establishes uniform reporting standards and provides technical assistance and education to local units of government, which strengthens accounting practices and promotes good government at the local level. Click here to see the Audit Practice Division's Frequently Asked Questions. If you're interested in contacting the Audit Practice Division, click here.

The Constitutional Office oversees all the activities of the Office of the State Auditor and its divisions and supports the State Auditor serving on seven boards for the State. If you're interested in contacting the Constitutional Division, click here.

The Government Information Division collects and analyzes local government financial data, which is assembled in regular reports provided to the Legislature and the public. It also conducts a Best Practices Review of local government operations. The reports assist the Legislature with planning and policy-making decisions related to local governments. Click here to see the Government Information Division's Frequently Asked Questions. If you're interested in contacting the Government Information Division, click here.

The Legal/Special Investigations (SI) Division investigates allegations of theft or misuse of public funds. It also provides legal compliance information and training to local government officials and legal compliance expertise to staff within the Office of the State Auditor. Click here to see the Legal/Special Investigations Division's Frequently Asked Questions. If you're interested in contacting the Legal/Special Investigations Division, click here.

The Pension Division reviews investment, financial, and actuarial reporting for about 600 public pension plans. Its objective is to ensure compliance with state statutes governing the administration of plans covering approximately 20,000 members. Click here to see the Pension Division's Frequently Asked Questions. If you're interested in contacting the Pension Division, click here.

The Tax Increment Financing Division promotes legal compliance and accountability through examination and review of political subdivisions’ use of tax increment financing (TIF). The Division oversees approximately 1,700 Tax Increment Financing (TIF) districts administered by over 400 development authorities; collects and reviews approximately 1,700 annual TIF reports, 300 TIF plans, and 200 other filings annually; responds to questions regarding tax increment financing from citizens and government officials; and provides training on compliance with state TIF laws. Click here to see the TIF Division's Frequently Asked Questions. If you're interested in contacting the TIF Division, click here.

FAQs

What We Do Frequently Asked Questions

Yep, auditing local government financial activity. Municipal liquor stores. That sort of thing.

Judging from a video posted on June 4 on the Ryan Wilson for State Auditor Facebook page, it appears that Wilson has mistaken the Office of the State Auditor for that of the Legislative Auditor.

He chides incumbent DFLer Julie Blaha for not doing her job, though it doesn't appear from what we can discover that the things he wants to chase fall under the oversight of the elective office.

Instead, there's the non-elective Office of the Legislative Auditor. The profile of the  Office of the Legislative Auditor notes:

The Office of the Legislative Auditor (OLA) is the auditor of Minnesota state government. As a professional, nonpartisan office in the legislative branch of Minnesota state government, OLA is comparable to the Government Accountability Office (GAO) at the national level.

Throughout the year, OLA examines the financial operations of state agencies and the performance of state-funded or state-authorized programs. OLA conducts audits, evaluations, and investigations, and it reports the results to the Minnesota Legislature, as well as to the officials responsible for the programs and organizations examined. OLA reports are available to the public.

The tasks he thinks should have been done during her tenure? Auditing fraud in Minnesota's child-care subsidy program. Jeepers, Chris Serres reported in May 2018 that Minnesota's legislative auditor will investigate alleged fraud in child-care subsidy program. The superlative Legislative Auditor Jim Nobles had not yet retired but he was certainly doing his job. Serres reported:

The Minnesota legislative auditor is launching an investigation into allegations that some child care providers are defrauding the state’s publicly funded child-subsidy program with excess billings.

The auditor’s office, an independent, nonpartisan arm of the Legislature, will explore the scope of the alleged fraud and the internal controls in the Minnesota Department of Human Services (DHS), which oversees the child-subsidy program.

“This is very serious,” Legislative Auditor James Nobles said in an interview Friday. “The allegation is that the fraud is much bigger than previously thought, and that money … derived from the fraud is being used for international terrorism, which gets people’s attention.”

Nobles is responding to a television news report suggesting widespread fraud in the Child Care Assistance Program, or CCAP, which subsidizes the child-care expenses of nearly 30,000 low-income children per month.

The Fox 9 report alleged that Minnesota refugee families are taking suitcases full of cash on flights from the Minneapolis-St. Paul International Airport to Somalia and Middle Eastern nations where terrorist groups are active.

Nobles said his investigation will focus on the day-care fraud allegations — not whether public money wound up in the hands of terrorist groups, which he said falls within the jurisdiction of federal authorities.

Since the TV report appeared Sunday, Nobles said, several legislators contacted his office and asked him to investigate. He said the investigation could begin as early as next month and could take several months. . . . 

Another scandal Wilson thinks the State Auditor should examine? The siphoning of federal dollars meant for feeding people by the nonprofit Feeding Our Future. Who you gonna call when that needs auditing? According to the Minnesota Senate Republican Caucus February 1 press release Senators Call For Audit To Get To Bottom Of Nearly $200 Million Fraud Scheme:

Today, Senators Roger Chamberlain, Mark Koran, Mary Kiffmeyer, and Michelle Benson sent letters requesting audits of the Feeding Our Future grants that have since led to a federal investigation into the charity’s leaders.   

“It’s simply outrageous that nearly $200 million of money provided to feed children in need was abused in this way,” Chamberlain said. “With resources precious, it’s imperative government agencies ensure every dollar is going to programs with robust track records so we can know not a single dime is wasted.” 

The first letter was to the Office of the Legislative Auditor to examine the state’s administration of key federal food aid programs. The Senators requested the Office of the Legislative Auditor review the Minnesota Department of Education’s management of the federal funds in the U.S. Department of Agriculture’s Children and Adult Care Food program as well as the Summer Food Service Program. 

“This request to the OLA is crucial to support the Department efforts to unwind and detail the immense amount of federal money that flowed through the state and whether procedures were in place to protect taxpayers from fraud,” Koran said. 

The second letter asks the Department of Management and Budget to provide a detailed accounting of funding provided by the federal government that may be used to audit COVID-19 expenditures. It also requests MMB identify any federal funds that may be used by the legislature to conduct additional audits. The state received billions of dollars in federal aid and much of it was given to non-profit entities to meet the needs of those struggling with the impact of the pandemic. 

“Sadly, this instance of fraudulent grant use is unlikely to be the last case we uncover as we look back at the billions of dollars the state distributed for COVID relief. We need a full accounting of all dollars. Identifying the means and resources available for this audit is an important step to both preventing fraudulent spending and   recovering misspent funds,” Kiffmeyer said.

“There was a true need out there in the last year to help people. It’s simply unconscionable – individuals and groups stole money meant to feed hungry children to buy luxury sports cars and pay for vacations. I am determined to see justice for those who have been wronged and demand accountability for taxpayers whose money was stolen and abused,” Benson said.  

Maybe Chamberlain, Koran, Kiffmeyer and Benson were simply wrong and Wilson knows better.

But as we look to his third complaint in the anti-Blaha blame game--cost overruns in commuter light rail--we find another example of Wilson simply being clueless about the difference between the job of the state auditor and the legislative auditor.

On March 28, the Legislative Audit Commission selected Southwest Light Rail Transit as a topic for an audit.

One would think person would know what the job entails.

Perhaps he's thinking about an earlier configuration for audits. The Minnesota Legislative Reference Library page on the Legislator Auditor notes this history:

The Office of the Legislative Auditor was created in 1973 following the recommendation of a private-sector study group called the Loaned Executive Action Program (LEAP). Between 1878 and 1973, state agencies and local governments were audited by the Public Examiner, an appointee of the Governor. LEAP argued that this arrangement did not provide for a true independent, or "arms-length", examination of the executive branch. LEAP recommended creation of an office in the legislative branch comparable to the Government Accountability Office (GAO), a non-partisan Congressional watchdog at the national level.

Initially, Minnesota's Office of the Legislative Auditor conducted only financial audits of state agencies. In 1975, its duties were expanded when a Program Evaluation Division was created within the office to examine the management and impact of state-funded programs (Laws 1975 c204 s90). In 1994, the Program Evaluation Division was directed by law to also conduct best practice reviews of local government functions. This responsibility was shifted to the State Auditor in 2004. The State Auditor is also responsible for auditing local governments.

Long-serving Legislative Auditor Jim Nobles retired October 6, 2021. Joel Alter served as Interim Legislative Auditor until the Legislative Audit Commission selected a new Legislative Auditor. Deputy Legislative Auditor Judy Randall  was appointed to head the Office of Legislative Auditor in November 2021. 

I'll be a blue-nosed gopher. How can such a successful businessman and lawyer get so confused? We'll look for more information about Wilson, if Deena Winter doesn't find it first.

Photo: Ryan Wilson, by Deena Winter/ Minnesota Reformer.

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