Tuesday, April 2, 1996 | 11:59 a.m.
CARSON CITY -- The state Division of Children and Family Services is $10 million in the red.
The state Division of Forestry had to be bailed out with an emergency appropriation of more than $100,000 after it exceeded its budget.
The state Parks Division didn't collect close to a projected $500,000 in fees from those who used the park facilities.
These are just a few of the financial problems that confront state agencies.
The state Budget Division has now drafted regulations to ensure those who handle the state's money are better trained. A public hearing has been set for April 24 on the regulations by the state Board of Examiners.
"We're going to try to improve the quality of financial management," said Budget Director Perry Comeaux. "It's a good idea if people who safeguard the state's money are trained."
The state has a general fund budget of about $1.3 billion a year.
Financial examinations by legislative auditors have found multiple problems in the collecting and spending of money by state agencies.
The regulations would require training for those handling the financial administration of each agency. And refresher courses would be mandatory every five years.
"This will help prevent incidents of mismanagement or lack of management," Comeaux said. "Our problem is where there is competence today, it's not there tomorrow because of changes."
One agency may be complying with the laws and the safeguarding of money. But when a key employee leaves for a promotion or another job, there's a void.
In 1993, the Legislature created an Office of Internal Audit in the Budget Division. It was supposed to help agencies and to investigate problems in the mishandling of money.
The 1995 Legislature wasn't satisfied with the performance and instead changed the direction of the office to one of helping agencies with financial management.
"Some lawmakers thought they put the cart before the horse," Comeaux said.
At the last meeting of the Legislative Commission, members were highly critical of state agencies that failed to correct deficiencies pointed out by audits.
Lawmakers zeroed in on the state Office of Nuclear Projects, which was sharply criticized by auditors for paying $125 an hour for clerical help in a contract to a private firm, failing to put some of its work out to bid and failure to monitor whether contractors did their jobs correctly.
Legislators suggested agencies that can't comply with good budgeting and financial practices may find themselves fighting harder for appropriations in the future.
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