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Thursday, April 21, 2005 - Last Updated: 8:23 AM 

Lawmakers seek legislative audit of Transportation

Independent audit idea was criticized

BY JESSICA VANEGEREN
Of The Post and Courier Staff

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Nine state representatives, including the son of state Highway Commissioner Bob Harrell, asked the Legislative Audit Council on Wednesday for a audit of the state Department of Transportation.

Bob Harrell said he approached his son, Rep. Bobby Harrell, R-Charleston, Tuesday and asked him to make the request. Last month, the commissioners proposed hiring an independent auditing firm, but critics alleged that would yield biased results, Bob Harrell said.

The legislative audit could take a year and cost up to $200,000. The Legislative Audit Council is the investigative arm of the General Assembly.

"With all the negative things being said about them right now, it just seemed like a good idea," said Rep. Harrell. "We don't need negative things being said about an agency with folks working so hard. I believe what we will find is that they are doing" as well as they can.

The commissioners' idea to independently audit their own Transportation Department came after commission Chairman Tee Hooper asked Elizabeth Mabry, executive director of the department, to step down. He accused her of running an agency with financial problems and poor morale.

Hooper alleged, in part, that top-level employees were being given vehicles for personal use, that the department hadn't claimed roughly $145 million in federal money and that the department had wasted money last year by sending 260 employees to a bike and pedestrian conference in Myrtle Beach.

In the Feb. 17 letter, Hooper told Mabry, "I don't have the authority to ask you to step down, but if I did, I would be asking you now."

The legislative audit would investigate each of Hooper's allegations, along with other matters, including a detailed explanation of expenditures for the past three fiscal years.

"There is no question that this is a very important audit request, and it will be given very careful consideration by the audit council," said George Schroeder, director of the Legislative Audit Council.

Hooper was attending a transportation workshop Wednesday and could not be reached for comment. He was appointed by the governor to serve as commission chairman nearly two years ago. He is the only governor-appointed member of the highway commission.

"The governor has always been about looking under the hood of any state agency. The DOT is no exception," said Will Folks, the governor's spokesman. "Obviously Chairman Hooper has spent a good deal of time looking under the hood. The audit is another indication that some things still need to be looked at."

A five-member audit board will meet at 11 a.m. April 27 to decide whether to conduct the audit. The council is comprised of five citizens elected by the General Assembly. Four legislators, including Rep. Rex Rice, R-Greenville, who was among the nine lawmakers who signed the audit request, act as ex-officio members. They advise the citizen members but don't vote.

"Our goal is to clear the air," said Commissioner Harrell. "If they don't find anything substantial, especially concerning those accusations being made by the chairman, it would seem fit for some people to change their minds (about alleged problems within the transportation department). Given the level the charges have risen to, this thing has to be resolved."

The Legislative Audit Council would examine:

-- Expenditures for the past three fiscal years for all sources of funding, including the use of state, federal or other funds.

-- Whether funds on hand are adequate, short or in excess of obligations on existing contracts.

-- Funds spent on primary and secondary roads and associated maintenance budgets, including schedules for such projects.

-- Whether there are opportunities for cost savings, that administrative costs are necessary and that funds are used in accordance with law and regulations.

-- Management controls, including the use of and assignment of vehicles, with state and non-state tags, and the reasons they are needed.

-- Methods for measuring the results of expenditures and the adequacy of those measures.

-- The department's accountability report and budget-related documents, to ensure valid and reliable data are obtained, maintained and disclosed accurately.

State representatives who requested the audit:

Daniel Cooper, R-Piedmont

Bobby Harrell Jr., R-Charleston

Shirley Hinson, R-Goose Creek

Herb Kirsh, D-Clover

James McGee III, R-Florence

Rex Rice, R-Greenville

J. Roland Smith, R-Langley

Lewis Vaughn, R-Greer

Annette Young, R-Summerville