Facebook
Fark
Digg
Reddit
StumbleState audit shows ‘double dipping’; AG to look for criminal violations
Wednesday, Dec. 8, 2010 | 2:30 p.m.
CARSON CITY – Some state workers are double dipping and the state Attorney General’s Office has been called to determine if criminal violations have taken place.
A legislative audit released Wednesday detailed a number of abuses involving existing state workers who were hired as a consultant by another agency and also cases where former state employees were put on a contract at excessive pay.
The audit shows 250 current or former state employees were hired as consultants by state agencies and were paid $11.6 million during fiscal 2008-2009. Of the total, 63 were existing state workers who gained those contracts.
Assemblywoman and Sen.-elect Sheila Leslie of Reno said there might be “criminal activity” and the attorney general should be called in to investigate. Her audit subcommittee agreed and voted to send the findings to the attorney general’s office.
Assemblyman Joseph Hogan, D-Las Vegas, said “Some of these things are a bit shocking.”
Legislative Auditor Eugene Allara said 23 contracts were examined and the examination “found eight employees either performed contractor activities during their regular state work hours or did not provide adequate documentation to verify contractor activities were performed on their own time.”
One example found an existing state worker, on contract with another agency, was paid for 25 hours in one day. Another used eight hours of family sick leave on a day and was paid for consulting services at a rate of $250 per hour for the same day at another agency.
The hourly rate paid was excessive in some cases, according to the audit.
One agency contracted with a former worker at a rate of $350 per hour versus the $65 per hour cost to the state as an employee. Another worker had a contract rate of $150 per hour compared to a $71 per hour cost to the state as an employee.
The audit said one current employee was paid $62,590 for psychological services in addition to her state salary for two years.
One individual under contract was paid $121 an hour compared to $60 an hour cost to the state as an employee. This person retired and returned to the same agency on contract and received $117,500 during a two-year period. He also was paid $25,150 by another agency during the same period.
“The state does not have adequate controls to prevent current employees from performing contractor activities during their state work hours,” Allara said.
There is a one-year cooling off period for former state employees before they can go back to work for the state.
State Administration Director Andrew Clinger agreed, saying consultant contracts “were out of hand.” He said he is naming a task force to tighten controls.
The 2009 Legislature approved a bill requiring that such contracts be approved by the Interim Finance Committee, but the audit found the finance committee received little information.
Mike Willden, director of the state Department of Health and Human Services, told the audit committee his office reviews every contract and he doesn’t think there is fraud. He said psychiatrists or psychologists are hired full-time for the state, but then contract for weekend work at another agency.
The state receives federal grants for a specific period of time. Willden said it was more effective “to hire contract workers than to employ a full-time state worker.”
Leslie, D-Reno, said the audit showed what many believed were abuses in the hiring of consultants. She said a bill is being prepared for the 2011 Legislature by Assemblywoman Debbie Smith, D-Sparks, to tighten the control over these contracts.
Clinger is to report back by March 8 on changes that have been made.
Discussion: 3 comments so far…
Comments are moderated by Las Vegas Sun editors. Our goal is not to limit the discussion, but rather to elevate it. Comments should be relevant and contain no abusive language. Comments that are off-topic, vulgar, profane or include personal attacks will be removed. Full comments policy. Additionally, we now display comments from trusted commenters by default. Those wishing to become a trusted commenter need to verify their identity or sign in with Facebook Connect to tie their Facebook account to their Las Vegas Sun account. For more on this change, read our story about how it works and why we did it.
Only trusted comments are displayed on this page. Untrusted comments have expired from this story.
Post a comment
Most Popular
- Viewed
- Discussed
- E-mailed
- Three dreams come true for Flamingo headliner Marie Osmond
- MGM results improve on Las Vegas Strip spending, China growth
- Federal agents join probe into fire at site of future Islamic funeral home
- Strip Scribbles: Shania Twain in town planning Caesars Palace residency
- Judge tosses out suit challenging motorcycle helmet law enforcement
- 15-month-old toddler tests positive for hallucinogenic drug
- Construction project — possibly for a mosque — damaged by fire
- Henderson man pleads guilty to kidnapping 7-year-old girl
- Mother left 3-year-old twins, 5-year-old alone prior to fire, Metro Police charge
- Highs to hit low 70s in Las Vegas
Blogs
The Kats Report
Post it: House of Blues tuning up for a Santana residency
In pursuing a tribute to Frank Sinatra, Robert Davi is no bad actor
High School Sports Scene
High School Basketball State Championship Picks
The Kats Report
Oscar Goodman goes Shecky as Mob Museum opening prompts a mob scene (2 Comments)
Elsewhere
MGM Resorts, Ameristar form marketing alliance to draw visitors
High School Sports Scene
High School Hoops Picks: Updated with Friday's regional finals (3 Comments)
The Kats Report
What a Whitney Houston residency in Las Vegas might have looked like (5 Comments)
The Sun
Locally owned and independent for more than 50 years.
So these people were making $120,000 to $140,000 a year and that wasn't good enough for them? First they need to force these people to reimburse the state, then they need to publish the names of these people.
Here we go again...this will further fuel the attack on public employees. I hope they go after these people tooth and nail, but don't lable the other 15,500 some state employees as criminals, they're not.
AmericanMan is right, the state should be reimbursed by these double dippers, then publish names.
Audit and enforcement will go a long way toward helping the State of Nevada reduce budget deficits. Please keep digging and make sure the names of these cheats are published.
Jail time, loss of job and all benefits including their taxpayers funded pensions! And they wonder why we don't trust the government anymore.
lol, they have been doing this for years and now they want to look at it. Try county next they are the biggest abusers of all. Especially University Medical Center. They retire and get hired back as a consultant.
AmericanMan and ramona have it backwards. Publish the names first, the sue for total reimbursement. But would that upset the 'good old boy network'?
If a private business billed double (double dipped) it is called fraud!
This is a crime and needs to be treated as the fraud that it is!
Nice. Fully audit and investigate this please and punish the guilty accordingly. In a time of a budget crisis this is the last thing the state, the taxpayers, and the good state employees who are sucking it up and taking the mandated hits to their salaries need.
And to think there are some here that will try to defend the State employees because they don't have enough unions to get them even more pay.
Facts are fact, government workers in the state of Nevada are paid well over the private sector and more then what they could make in other states.
Nevada taxpayers can no longer afford this nonsense. The budget is a few billion dollars over spent and it is not hard to see what really needs to be done.
Question is, will our new governor have what it takes to stand up to the rank and file and get their wages in line with the real world?
The state employees stick to the tax payer again! What a scam! Time to just start firing these state employees.
Name Names. Why don't you name names?
Does anyone seriously think Catherine Cortez-Masto will investigate this? She is as much use as a melted candle.
The AG's Office is populated with DA rejects in large part.
We are doomed.
I never again want to hear there is nowhere to cut expenses!
While the employees are certainly guilty of greed (and in some cases fraud) - WHO was approving the contracts and payments? Those individuals should be held reponsible too.