Legislation Introduced for Stricter State Government Accountability for Financial Disclosures

Senator Richard D. Roth (D-Riverside) introduced Senate Bill 801 today that would hold state officials and employees civilly and criminally liable if they knowingly misrepresent the balance of an account containing state funds to the California Department of Finance.

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

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.”

“I recognize the administration has taken initial steps to recognize and resolve problems with financial reporting by agencies to the Department of Finance. While these are good first steps, I don’t believe they go far enough. SB 801 places into law penalties that could include imprisonment in a county jail for up to six months and/or a fine of up to $5,000,” said Senator Roth.

The proposed new law includes the requirement that any officer or employee of the state who knowingly reports the incorrect balance of an account containing state funds to the Department of Finance will be held civilly and criminally accountable regardless of whether the balance is overreported or underreported.

Senator Roth said, “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.”