|Public Release Date: July 15, 1999||No. 99-35|
The Governor's Residence Council was created in 1980 to develop and implement an overall restoration plan for the Governor's residence and surrounding grounds. The primary functions of the council are to approve alterations and additions to the existing structure and grounds, to maintain and improve the quality of furnishings, and to solicit contributions. The council operates under the provisions of Minn. Stat. Section 16B.27 and consists of 19 members. Current members include the director of the Minnesota Historical Society, the executive director of the Minnesota State Arts Board, as well as the first family and the residence donor family. Dr. Sam W. Grabarski is the elected chair of the council.
The Governor's residence is located at 1006 Summit Avenue in St. Paul and serves as the living quarters for the Governor. Governor Arne Carlson and First Lady Susan Carlson lived at the residence for the past two gubernatorial terms, which ended December 31, 1998.
Our audit of the Governor's Residence Council focused on gift revenues, expenditures, and residence assets for the period July 1, 1995, to December 31, 1998.
We concluded that the council designed controls to provide assurance that gifts were accurately reported in the accounting records and in compliance with applicable legal provisions and management's authorization. However, a receipts log of council gifts was not maintained at the residence to control the timeliness and accuracy of deposits into the state treasury.
We found that the Governor's Residence Council designed and implemented internal controls to provide reasonable assurance that donated and purchased assets were adequately safeguarded. The council controls also provided reasonable assurance that expenditures were properly used for designated purposes when specified by the donor and accurately recorded in the accounting records. For the items tested, the council purchases complied with applicable legal provisions and management's authorization.
The Governor's Residence Council agreed with the audit report finding and will require residence staff to maintain a gift receipts log. The log will be forwarded periodically to the Department of Administration for comparison to deposits ensuring all funds were transmitted.