HomeMy WebLinkAboutCOM 0151.024 2008-2010O~tV OF Hqw
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Colleen M. Schrandt
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Leglslullve Auditor
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Mailing Address: Business Address:
(Former County Building) ry.~ ~ 333 KFlauea Avenue, Second Floor
2J Aupuni Sireet (1~iI~~¢~ (Y~ 7[~,~~]~T ~ Ben Franklin Building
Hilo. Hawaii 96720 C'~ Hilo. /lawai'i 96720
OFFICE OF THE LEGISLATIVE AUDITOR
Telephone: (808J 96/-3386 Facsimile: (808) 961-8905
May 20, 2009
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The Honorable J Yoshimoto ~ ^ ~ -,
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Chairman, Hawaii County Council ~ ~-- -
Ben Franklin Building -{ ~:~ rv
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333 Kilauea Avenue, 2"~ Floor ~'.
I-IiIo.I-II 96720 ~~`~ ~
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Re: Communication 151.18. -
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Dear Chairman Yoshimoto and Council Members,
I would like to address Communication 15L18, which proposes amending the PY 2009-2010
operating budget by transferring $125,000 from the Legislative Auditor's miscellaneous contract
services account to Mass Transit's miscellaneous contract services account. The communication
indicates that these monies will be used to provide transportation services to disadvantaged and
disabled persons throughout the County. Writing this letter is one of the more difficult tasks that
1 have faced during my tenure as the Legislative Auditor. It is difficult because on the surface it
may appear that I am making aself-serving argument that these funds need to be left in the LAO
budget rather than be transferred to a program that epitomizes one of government's main reasons
for existence, that is, providing access to services for all citizens. Let me assure you that I do not
in any way intend to minimize the need to provide such services. It is, in fact, because I believe
so strongly in the need to provide services like these that I am compelled to write this letter.
Let me reiterate here the mission of the Legislative Auditor's Office: Pursuant to a Hawaii
County Charter amendment approved by voters in November 2008, the Office of the County
Clerk and Council was reorganized to establish an independent audit function within the
Legislative Branch through the Office of the Legislative Auditor. As such, it is our mission to
serve as a catalyst for improving County government, and our work is intended to help to hold
County government accountable for its management of public resources and expenditure of
public funds. I believe absolutely that if we carry out our mission, and if we are diligent and
honest in our efforts, we will identify many areas for improvement that if properly addressed
would make available more funding for public programs and services.
As you know, in addition to establishing the independence of the Legislative Auditor's Office,
voters also authorized the Legislative Auditor to submit an annual budget necessary to carry out
the duties of our office. By adequately funding the Legislative Auditor's Office, this Council will
send a message to the citizens of this County that it is committed to evaluating and establishing
transparency, accountability, effectiveness, and efficiency in County government operations.
Comm. Ka 4 s ~'
Ret. To: Mrs :``- W~CI ~
Serving the !nleres[s oJthe People afOur Island
Hawaii County is nn Equal Opportunity Provider and Employer Ref. ~C~e ~A~nO
Chairman Yoshimoto and Council Members
May 19, 2009
Yage Two
While I am certain it is not Councilman Ikeda's intent, the consequences of this budget
amendment would be to cripple the ability of the Legislative Auditor's Office to effectively cant'
out our duties and to hire "expert" consultants when necessary (which is standard practice even
for our State Auditor Marion Higa). In past years, I have not objected to the transfer of funds
allocated in this account since it had not been in my annual plan to hire outside consultants. For
the FY 2009-2010 fiscal year, given economic constraints facing all County departments, 1 have
already agreed to reduce the Legislative Auditor's miscellaneous contract services account by
50% from $300,000 to $150,000. As a result, I have postponed several projects for the upcoming
fiscal year, but have several projects in process that will require use of the remaining $150,000
during FY 2009-2010. Our office will be contracting for aCounty-wide Internal Controls and
Waste-and-Abuse Risk Assessment, as well as implementing a confidential Fraud-Waste-and
Abuse Hotline for use by the general public. Therefore, I respectfully request that funding for
miscellaneous contract services remain in the LAO 2009-2010 budget and that the Council look
elsewhere in its 2009-2010 proposed budget for additional funding of the transportation program.
Please contact me at 961-8490 to further discuss this matter or if you have any questions.
Very truly yours,
C
Colleen Schrandt,
Legislative Auditor