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STATEMENT
Chair Robbins statement on Hearing with MMB/Dept. of Administration
ST. PAUL – The House Fraud Prevention and State Oversight Policy Committee on Wednesday held a hearing with the commissioners from the Department of Administration and Minnesota Management and Budget Office (MMB) to discuss how the executive branch has failed to detect and prevent fraud in state programs.
Chair Rep. Kristin Robbins (R-Maple Grove) issued the following statement after the panel met Wednesday:
“It was important for the committee to begin holding budget officials accountable for their responsibilities under statute. State law requires MMB to safeguard public funds and minimize the incidences of waste, fraud and abuse in Minnesota. The Department of Administration is required to oversee grants are properly administration. With at least $9 billion lost to fraud, it’s clear this isn’t happening.
MMB says it doesn’t have the authority to stop fraud, and that it can only provide support to agencies who identify it. They rely on an annual self-assessment each agency submits to evaluate their own internal control systems. This is yet another example of the fox guarding the henhouse. Relying on agencies to attest to the effectiveness of their own internal controls defies common sense. Minnesotans expect and deserve independent oversight of their tax dollars, yet that is not what the system is even intended to do.
This shocking revelation exposes the fundamental problem in Minnesota – the agency responsible for ensuring public funds are protected acknowledged that they don’t have any tools for holding other agencies accountable and that they view their role as providing support so agencies can succeed. They don’t view their job as one of providing accountability.
Minnesotans deserve a transparent, accountable state payment system. If the MMB is not able to hold agencies accountable for basic internal controls, the Governor needs to hold his agencies accountable. Taxpayers and our vulnerable citizens deserve to know their hard-earned money is being spent effectively so they get the services they need."
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