Senator Richard D. Roth to Introduce Legislation Holding State Officials Accountable For Accurate Financial Reporting

January 30, 2013

Following information about secret, inaccurate financial reporting by two state agencies, Senator Richard D. Roth (D-Riverside) is introducing legislation to hold state officials accountable to provide accurate financial reporting and statements. 

The Senator’s proposed legislation would require any person who knowingly misrepresents any financial or statistical reports to be held criminally and civilly liable.

Senator Roth said, “In the military we held people accountable for their official statements.  We owe California’s taxpayers the same duty. That is why my legislation will hold state officials accountable for the official statements they make regarding taxpayer monies.”

Last year it was discovered that the California State Parks and Recreation Department amassed a secret surplus of more than $20 million over 12 years. It was revealed last week that the California Department of Forestry and Fire Protection misreported $3.6 million. This money was hidden and misreported at a time when the economic recession forced severe budget cuts to state programs affecting families and Californians in need.

In both instances, required reporting documents were submitted to the state Department of Finance and money desperately needed for specific programs and the state’s general fund during the severe economic recession were misreported.  The Department of Finance has audited other departments and more than $200 million were hidden in one way or another to protect agencies facing state budget cuts.

Senator Roth said, “Public trust has been severely impacted by these two accounting scandals and we owe the taxpayers a commitment to ensure their money is being used appropriately.”

“Any person having the responsibility of managing money belonging to the people of California should fully be responsible for their work. The message to state officials is simple – if you lie about how much taxpayer money you have or where you have it, you face criminal and civil consequences,” said Senator Roth.