Assembly Majority Leader Bonnie Watson Coleman & Assemblyman John J. Burzichelli

WATSON COLEMAN/BURZICHELLI COMPTROLLER BILL SIGNED INTO LAW

Measure Establishes Cabinet-Level State Fiscal Watchdog

(TRENTON) - Governor Jon S. Corzine today signed into law legislation Assembly Majority Leader Bonnie Watson Coleman and Assemblyman John Burzichelli sponsored to strengthen the state's oversight and accountability capabilities, enhance the state's ability to control the spending of taxpayer dollars, and combat fraud, waste, abuse or mismanagement in government through an independent Office of State Comptroller.

The comptroller legislation has been a priority for the governor and is one of the major recommendations advanced from last year's special session on property tax reform.

"An independent comptroller will be a formidable check against corruption, favoritism, and fraud," said Watson Coleman (D-Mercer).  "A state comptroller ensures that tax dollars are prudently and efficiently spent from the local level all the way to the Governor's office."

Under the  new law (A-2), the comptroller will be appointed by the governor, with advice and consent of the Senate, to a six-year term.  The new comptroller position will be a cabinet-level position.

"A state comptroller will bring together under one roof the state's fragmented fiscal oversight and auditing capabilities," said Burzichelli (D-Gloucester).  "At a time when every taxpayer dollar must be safeguarded, a comptroller becomes an invaluable check against wasteful spending."

The comptroller will have the powered to perform regular fiscal audits of all state government agencies, independent state authorities, and local governments.  In addition, the comptroller will be authorized to audit and monitor the awarding and execution of public contracts and to develop and oversee corrective action plans for inefficient government agencies.

Under the law, the state's Inspector General becomes an arm of the new comptroller's operation with continuing responsibility for investigations of allegations concerning fraud, waste, abuse and mismanagement of state funds.  The Inspector General, however, will remain an independent officer reporting directly to the Governor.

The bill organizes the state comptroller's operations into at least three separate sections:

• Bureau of Financial Audits to conduct routine, periodic, and random audits of state government agencies, independent authorities and local government;

• Bureau of Performance Review to assess the performance and management of government entities;

• Bureau of Inspector General to investigate alleged instances of waste, fraud and abuse involving state funds.

The legislators noted the comptroller's office - an executive branch agency accountable to the Governor - will not interfere with the functions of the State Auditor, which is an arm of the Legislature.  The State Auditor will continue to conduct performance reviews and work in conjunction with the comptroller in performing forensic audits of school districts.

"Much like different levels of law enforcement working together to catch criminals, the state auditor and comptroller will similarly partner to eliminate government waste and abuse," said Burzichelli.

"New Jersey has needed a better system for reviewing governmental financial activities on a regular basis," Watson Coleman said.  "The comptroller is an invaluable new weapon to ensure that not one taxpayer dollar falls between the cracks."

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