January 30, 1998
The meeting of the Legislative Audit Commission was called to order by Senator Deanna Wiener on Friday, January 30, 1998 at 2:15 p.m. in Room 112 State Capitol.
Members present:
| Representative Edwina Garcia | Senator William Belanger, Jr. |
| Representative Mindy Greiling | Senator Sheila Kiscaden |
| Representative Philip Krinkie | Senator David Knutson |
| Representative Dan McElroy | Senator Deanna Wiener |
| Representative Mary Jo McGuire | |
| Representative Ann H. Rest | |
Members not present:
| Representative Lynda Boudreau | Senator Keith Langseth |
| Representative Kris Hasskamp | Senator James Metzen |
| Representative Mark Holsten | Senator Thomas Neuville |
| Representative Bill Macklin | Senator Pat Pariseau |
| Senator Ember Reichgott Junge | |
| Senator Allan Spear |
Senator Wiener indicated the purpose of the meeting was to review recent audits completed by the Financial Audit Division. Senator Wiener recognized Claudia Gudvangen, Deputy Legislative Auditor for Financial Audits. Ms. Gudvangen reviewed the different types of audits conducted by the division and their purpose.
Ms. Gudvangen introduced Jeanine Leifeld, Audit Manager for the audit of the State Agricultural Society. Ms. Leifeld reviewed the audit scope and findings and answered questions from members. Senator Wiener recognized Gerald Hammer, Executive Vice President of the State Agricultural Society. Mr. Hammer reviewed steps his office is taking to address the findings contained in the audit report and answered questions from members.
Ms. Gudvangen reviewed the schedule for auditing the constitutional officers, including the Governor’s Office, Lieutenant Governor’s Office, Secretary of State’s Office and State Auditor’s Office. She indicated that all had received “clean” audits. Ms. Gudvangen reported on the findings contained in the audit report of the State Treasurer’s Office and how this office was different from other constitutional offices.
Senator Wiener recognized Tom Donahue, Audit Manager for the audits of the Attorney General’s Office. Mr. Donahue reviewed the audit scope and findings and answered questions from members. Senator Wiener recognized Terence Pohlkamp, Fiscal Services Manager for the Attorney General’s Office. Mr. Pohlkamp indicated that the office is in the process of addressing the findings contained in the audit report. He explained how the Attorney General’s Office sets rates and answered questions from members.
Mr. Donahue reviewed the audit report on the State Board of Electricity. He explained the Board’s responsibilities and outlined the audit scope and findings. Senator Wiener recognized John Schultz, Executive Secretary for the State Board of Electricity. Mr. Schultz explained the circumstances leading to several of the findings, reviewed steps being taken to correct the problems, and answered questions from members.
Ms. Gudvangen explained the risk model that the division uses in determining which agencies should be audited and introduced Margeret Jenniges Director of Financial Reporting for the Department of Finance. Ms. Jenniges indicated that the Department of Finance follows up with agencies concerning findings on behalf of the Governor, asking them to report progress in correcting problems. She stated that the department plans to work more directly with agencies in the future to help them with their accounting practices and procedures.
The meeting adjourned at 4:00 p.m.
Senator Deanna Wiener, Chair
Jean Barnhill, Recording Secretary
