Monday, January 27, 2025

The Food Fight Continues: Senate Bill Strips State Auditor of Some Powers

State Auditor Shad White issued the following statement.

A powerful committee chair appointed by Lt. Gov. Delbert Hosemann authored a bill last week to strip the Office of the State Auditor of much of its power.

“At a time when President Trump is cutting government fat, Mississippi’s swamp creatures and establishment politicians are trying to stop me from finding waste and theft of taxpayer funds. You may as well call this the Mississippi Corruption Act of 2025,” said State Auditor Shad White.

The new bill removes the ability of the Auditor’s office to:

Perform audits of some nonprofits and for-profit companies spending taxpayer money. The auditor’s office used its ability to audit for-profit companies receiving taxpayer money to investigate a large pharmacy benefit manager in 2020, which resulted in the largest civil recovery ($55 million) in the history of the Office of the State Auditor. The welfare scandal (the largest public fraud scheme in state history) was only stopped because the auditor’s office could audit these kinds of entities.

Audit for government waste. Auditor White just released an audit finding $335 million in waste in state government, and this bill would take away the office’s ability to perform these audits for waste. File suit to get back stolen or misspent taxpayer funds. Last year, Auditor White filed suit to get back some welfare money, and though Attorney General Lynn Fitch sued White to stop him, the court ruled White had this authority. The bill would remove White’s authority to file suits.

The bill, Senate Bill 2847, has been assigned by Hosemann to the Accountability, Efficiency, and Transparency Committee.

“This bill defies common sense,” said Auditor White “The real question here is why are these politicians doing this? What are they hiding? I encourage all Mississippians to call Lt. Gov. Hosemann’s office at (601) 359-3200 and say they are opposed to the Mississippi Corruption Act of 2025 (SB 2847).”

Kingfish note: The committee chairman in question is State Senator Dave Parker (R- School for the Blind).   Posted below are highlights of SB #2847): 

* No public official (Elected or appointed), Board, Commission agency can enter into a settlement more than $1 million without prior notice to the Governor and Legislature or if it would impact the administration of an election (Huh?).  

* The settlement could not take effect until 30 days after notice is provided unless the 30-day requirement is waived by the Governor, Lieutenant Governor, and Speaker.  Since the bill uses the word "and",  it appears the requirement must be waived by all three officials.  

* The bill places limits on what the State Auditor can investigate.  Section 7-7-11 of the Mississippi Code states the State Auditor has the power to 
  • (f) To postaudit and, when deemed necessary, preaudit and investigate the financial affairs of the levee boards; agencies created by the Legislature or by executive order of the Governor; profit or nonprofit business entities administering programs financed by funds flowing through the State Treasury or through any of the agencies of the state, or its subdivisions; and all other public bodies supported by funds derived in part or wholly from public funds, except municipalities which annually submit an audit prepared by a qualified certified public accountant using methods and procedures prescribed by the department;
 State Senator Parker's bill places restrictions on what the State Auditor can investigate: 

(f)  To postaudit and * * * preaudit and investigate the financial affairs of the levee boards; agencies created by the Legislature or by executive order of the Governor; profit or nonprofit business entities administering programs financed by funds in the amount of Ten Million Dollars ($10,000,000.00) or more flowing through the State Treasury or through any of the agencies of the state, or its subdivisions and may preaudit nonprofit business entities administering programs financed by funds in an amount less than Ten Million Dollars ($10,000,000.00) flowing through the State Treasury or through any of the agencies of the state, or its subdivisions;

The bill bars the State Auditor from investigating private companies, profit or non-profit, that receive less than $10 million in state funds.  This new language would not have prohibited the State Auditor from investigating Nancy New's company but it would have barred him from investigating anyone who received less than $10 million as a sub grantee from Nancy New.  Hmm.... who would that apply to? Quarterbacks? Running backs? Wrasslers? Anyone else? We do love our jocks in Mississippi.  The new protected class. 

* Section (K) of the bill changes what the State Auditor can audit. The current law states: 

(k) The State Auditor shall have the authority to contract with qualified public accounting firms to perform selected audits required in paragraphs (d), (e), (f) and (j) of this section, if funds are made available for such contracts by the Legislature, or if funds are available from the governmental entity covered by paragraphs (d), (e), (f) and (j). Such audits shall be made in accordance with generally accepted standards of auditing.

The bill limits these audits to "financial statement audits."  It will bar the State Auditor from conducting any more "studies" on government waste.  

The bill brings to mind how the legislature stripped State Auditor Ray Mabus of some of his powers when he dared prosecute corruption in Rankin County and other areas in Mississippi.   

44 comments:

Anonymous said...

Oh no cry baby shad can't waste more money looking for "fraud" His wife is a partner at twain capital and the founder of twain capital is a consultant for boston consulting sounds like Shad had some shady business going on to me

Anonymous said...

while this bill doesnt make sense, Shad White grandstands on the political stage more often than not. He needs to simply do his job, and sit his ass down

Anonymous said...

Why does this remind me of those movies where there's a big ship floating around the ocean, with no living beings aboard, but evil ghosts are still intent upon doing harm to any live humans they can lure aboard?

In this movie, it seems to be Shad, who's fighting the evil ghosts.

Anonymous said...

Shadrack made himself a target by incessantly grand-standing and show-boating. He's a tiny man with tiny man syndrome.

Anonymous said...

This is why people hate Shad White:

“At a time when President Trump is cutting government fat, Mississippi’s swamp creatures and establishment politicians are trying to stop me from finding waste and theft of taxpayer funds. You may as well call this the Mississippi Corruption Act of 2025,”

I wish he would just do his own job. He's apparently really good at it. But I guess the big stage is too irresistible.

Anonymous said...

Whining and name calling, among other middle school behaviors, tends to have consequences.

Anonymous said...

Democrat Delbert Hosemann is all about protecting the status quo in Mississippi whatever the cost.

Anonymous said...

The bill ties the AG's hands?

Anonymous said...

What Project Momentum doing for you today?

Anonymous said...

This bill makes no sense at all, however Shad has no one to blame but himself. His posturing after catching the "small fish" while doing literally nothing when the "bigger fish" are involved is simply disgusting. Heaven only knows what this clown would do if elected governor - and one can only hope that he is not your typical Trump supporter.

Anonymous said...

Why would anyone be against auditing government money?

Anonymous said...

Shaddy sure does have some pretty pearly chopper store bought teeth.

Madison county said...

Thanks to our esteemed legislature, we are once again sure of retaining our ranking of the worst run state in the country.

Anonymous said...

How exactly did Shad think his rollout of Project Mopmentum was supposed to end?

Secretly spending $2 million taxpayer dollars to in essence call out his fellow Republicans to make a choice.

They could make the cuts his secret highly paid outside CONsultants suggested and watch Shad run for Governor crowing about how he saved the taxpayers $335 million a year - "Best State Auditor Ever (tm)".

They could not make the cuts his secret highly paid CONsultants suggested and watch Shad run for Governor crowing about how Mississippi Republicans waste $335 million a year because they don't jump to do just exactly what the "Best State Auditor Ever (tm)" told them to.

He picked this fight, there's little backing down likely from either side.

Anonymous said...

This is Biden level shit.

Anonymous said...

Bad week for Shad. His political career is toast. Everybody hates him lol

Anonymous said...

They are all the same, politicians! Their primary focus is on either getting re-elected or elected to higher office. If something they do benefits me or you it’s a coincidence. Shad is definitely selective in who he prosecutes, take ex Pearl police chief Dean Scott, who clearly received tens of thousands of dollars for a no show job in Rankin County, while still being chief of police. Shad completed the investigation and rather than making the arrest with a press release, he conspired with the Rankin County DA to hand the case over to the state attorney general in order to make it go away. Scott now has a six figure do nothing job with Capital Police.
But this is the way things work for all politicians. If you are a democrat, all republicans are horrible and republicans think the same of democrats.
They are all the same with one exception, none of them have the best interest of the people at heart.

Anonymous said...

Couldn't have said it better! His ego is out of control and so is his temper.

Anonymous said...

He points the spotlight on Hoseman every time. So any bills authored by a Hoseman appointed chairman is Hoseman's bill? Give it a rest Shad.

Anonymous said...

@330

Shad can't arrest anyone without a prosecutor's indictment. That case was sent to the do-nothing AG because the Rankin DA conflicted out (just like they did with the former tax collector). That's an entirely reasonable thing, too, by the way.

If your beef is that Shad didn't arrest Dean Scott, you should be hopping mad that Delbert wants to strip authority from Shad. You should instead be asking for Shad's office to have more authority--not less.

Anonymous said...

Can't spell SHADY without SHAD. All that's left is the Y. Why? Power.

Anonymous said...

Kingfish, you will regularly censor comments that mock the appearance of others. However, you never seem to apply such censorship when a White Man is mocked. Why is that?

Anonymous said...

Mississippi Republicans behaving just like the Democrats in Congress.

Anonymous said...

Shad should do some more pushups on twitter and chill out.

Anonymous said...

He's one of Feel's boys, you know.

Anonymous said...

@4:10 pm, you are wrong! Mississippi code 7-7-211 gives agents with the auditors office the authority to make arrest, which they most always do when the accused is some low level clerk. In the case involving Dean Scott, former Richland mayor and Rankin County tax collector, Shad chose NOT to make the arrest of these three, with the accompanying mug shots because they are part of the Rankin County republicans who Shad is afraid of. And if the Rankin County DA can’t prosecute officials charged with crimes he proves that he is as gutless as Shad, and no different than any other politician.

Anonymous said...

Whether Shad is right or wrong is irrelevant.
It seems he doesn't understand how to play the game of thrones.

Anonymous said...

Folks, Shad just happens to be the current auditor. But what about the next one? The reason this bill stinks is because we all know there's a cabal behind it that supports a certain candidate for governor, and the auditor is their opposition. So they want to weaken the auditor's ability to look good in the public eye as far as busting up corruption and embezzlement. So no matter what you may think of Shad, this bill weakens a vital function that helps keep public officials in check. Somebody is placing their political ambitions above fighting waste, abuse and corruption...so whoever is auditor won't be as effective in doing that.

Anonymous said...

Phil's the whistleblower!

Anonymous said...

All you sheep who think Shad is a shining white knight anointed from above to fight corruption need to wake up. Until he pissed in his cheerios the last 6-12 months, he’s been protected and covered for. Just like Phil. Not opinion…..facts. Sealed facts.

Anonymous said...

Can someone please be a grown-up right now? I voted for both these clowns. Our state has issues and they're wasting the people's limited resources on this BS. Now get back to actual work.

Anonymous said...

Paul and Daisy Soros.


Anonymous said...

After the Senate bill goes through, Shad can cut another $1 mil and hold another per rally, I mean press conference.

Anonymous said...

While I 100% believe that the state looking into the mishandling of funds and tax payer dollars and, of course, we want to know if we are being duped by our government, has anyone stopped and thought about why he reacted the way he did with Senator Polk? I decided to just look and see what I could find and well, let me just say this. An economic interest statement shows Laundry South Services, a commercial laundry service, has numerous contracts with varying state agencies. Is this ethical?🤔😕🤷‍♀️

Anonymous said...

Shad blew it when it had the solid opportunity to gut Phil Bryant, but this effort by the good ole' boys/girls smells like rotting armadillo.

Anonymous said...

If Fitch isn't squawking it is because the bill isn't going anywhere.

Polk and other Senators knew damn TANF was getting spent down at USM.

Anonymous said...

@647

you must go through a lot of tin foil.

All those clerks are presented before a grand jury and indicted. We don't have the Gestapo in MS arresting people whenever they feel like it.

Anonymous said...

This bill is stupid and we don't need to restrict the auditor from auditing things that are paid with state taxpayer money. Hopefully this bill dies. However we do need a bill that will prevent the auditor from spending $2M taxpayer dollars on a outside consulting group for a study that is done by free from the Mississippi Legislative Budget Office.

Anonymous said...

about protecting flag boy's shot at the governorship

Anonymous said...

I really have to wonder why holding elected officials accountable is such a thorn for some of you. You hated Mabus for finding corruption in government and you are hating one of your own for the same good job.
I can only assume you are benefitting from unchecked corruption or are corrupt yourselves.

Anonymous said...

It probabably depends on what what the meaning of is really is.

Anonymous said...

Having somebody to root out corruption is well and good, sounds like the Leg is saying, But just don’t be making a big show about it or we’ll look into a bit of wing clipping.

Anonymous said...

Threatening to whip out your lawyers is not always the power move amateurs think it is.

Anonymous said...

Shad’s always quick to threaten a lawsuit. It’s easy if the in-laws pay the legal fees.



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