The state auditor of Minnesota is a constitutional officer in the

executive branch The executive branch is the part of government which executes or enforces the law. Function The scope of executive power varies greatly depending on the political context in which it emerges, and it can change over time in a given country. In ...

of the

U.S. state In the United States, a state is a constituent political entity, of which there are 50. Bound together in a political union, each state holds governmental jurisdiction over a separate and defined geographic territory where it shares its so ...

Minnesota Minnesota ( ) is a U.S. state, state in the Upper Midwestern region of the United States. It is bordered by the Canadian provinces of Manitoba and Ontario to the north and east and by the U.S. states of Wisconsin to the east, Iowa to the so ...

. Nineteen individuals have held the office of state auditor since statehood. The incumbent is Julie Blaha, a DFLer.

Election and term of office

The state auditor is elected by the people on Election Day in November, and takes office on the first Monday of the next January. There is no limit to the number of terms a state auditor may hold. To be elected state auditor, a person must be qualified voter, permanently resident in the state of Minnesota at least 30 days prior to the election, and at least 21 years of age. In the event of a vacancy in the office of the state auditor, the

governor A governor is an politician, administrative leader and head of a polity or Region#Political regions, political region, in some cases, such as governor-general, governors-general, as the head of a state's official representative. Depending on the ...

may appoint a successor to serve the balance of the term. The state auditor may also be recalled by the voters or removed from office through an

impeachment trial An impeachment trial is a trial that functions as a component of an impeachment. Several governments utilize impeachment trials as a part of their processes for impeachment. Differences exist between governments as to what stage trials take place ...

Powers and duties

In Minnesota, the state auditor is charged with supervising and auditing the finances of the state's approximately 3,600 local governments, which altogether tax and spend over $40 billion annually. Likewise, the state auditor performs under contract the annual

single audit In the United States, the Single Audit, Subpart F of the OMB Uniform Guidance, is a rigorous, organization-wide audit or examination of an entity that expends $750,000 or more of administration of federal assistance in the United States, federal ...

of federal programs administered by state agencies and their subrecipients (i.e., nonprofits and localities), which accounts for another $20 to $26 billion of public spending depending on the fiscal year. The state auditor's authority transcends jurisdictions and applies to all local governments, be they counties, cities, towns, school districts, local pension funds, metropolitan and regional agencies, or myriad special purpose districts, and to every state agency that receives federal financial assistance. Public expenditures overseen by the state auditor thus exceed what state agencies are authorized to spend annually. In keeping with this position of trust, the state auditor renders

opinions An opinion is a judgement, Point of view (philosophy), viewpoint, or Proposition, statement that is not conclusive, as opposed to facts, which are truth, true statements. Definition A given opinion may deal with subjectivity, subjective matters ...

on the presentation of governments'

financial statements Financial statements (or financial reports) are formal records of the financial activities and position of a business, person, or other entity. Relevant financial information is presented in a structured manner and in a form which is easy to un ...

and their overall fiscal health, examines compliance over financial management with

internal controls Internal control, as defined by accounting and auditing, is a process for assuring of an organization's objectives in operational effectiveness and efficiency, reliable financial reporting, and compliance with laws, regulations and policies. A broa ...

, conducts

best practice A best practice is a method or technique that has been generally accepted as superior to alternatives because it tends to produce superior results. Best practices are used to achieve quality as an alternative to mandatory standards. Best practice ...

s reviews of locally-delivered

public services A public service or service of general (economic) interest is any service (economics), service intended to address the needs of aggregate members of a community, whether provided directly by a public sector agency, via public financing availab ...

, reviews audit reports prepared by private accounting firms, and investigates complaints of

waste Waste are unwanted or unusable materials. Waste is any substance discarded after primary use, or is worthless, defective and of no use. A by-product, by contrast is a joint product of relatively minor Value (economics), economic value. A wast ...

fraud In law, fraud is intent (law), intentional deception to deprive a victim of a legal right or to gain from a victim unlawfully or unfairly. Fraud can violate Civil law (common law), civil law (e.g., a fraud victim may sue the fraud perpetrato ...

, or

abuse Abuse is the act of improper usage or treatment of a person or thing, often to unfairly or improperly gain benefit. Abuse can come in many forms, such as: physical or verbal maltreatment, injury, assault, violation, rape, unjust practices, ...

of public funds and resources. In addition, the state auditor prescribes uniform systems of

accounting Accounting, also known as accountancy, is the process of recording and processing information about economic entity, economic entities, such as businesses and corporations. Accounting measures the results of an organization's economic activit ...

and

budgeting A budget is a calculation plan, usually but not always financial plan, financial, for a defined accounting period, period, often one year or a month. A budget may include anticipated sales volumes and revenues, resource quantities including tim ...

applicable to all local governments, collects and

analyses Analysis (: analyses) is the process of breaking a complex topic or substance into smaller parts in order to gain a better understanding of it. The technique has been applied in the study of mathematics and logic since before Aristotle (38 ...

local government financial data, and provides training opportunities to local government officials and employees on matters of

public administration Public administration, or public policy and administration refers to "the management of public programs", or the "translation of politics into the reality that citizens see every day",Kettl, Donald and James Fessler. 2009. ''The Politics of the ...

and financial management. The state auditor also issues annual statutory reports on matters of

asset forfeiture Asset forfeiture or asset seizure is a form of confiscation of assets by the authorities. In the United States, it is a type of criminal-justice financial obligation. It typically applies to the alleged proceeds or instruments of crime. This ap ...

, municipal

lobbying Lobbying is a form of advocacy, which lawfully attempts to directly influence legislators or government officials, such as regulatory agency, regulatory agencies or judiciary. Lobbying involves direct, face-to-face contact and is carried out by va ...

, and the condition of local public finances. These reports inform the budgetary and fiscal policies of the

and

Legislature A legislature (, ) is a deliberative assembly with the legal authority to make laws for a political entity such as a country, nation or city on behalf of the people therein. They are often contrasted with the executive and judicial power ...

. Aside from his or her functional responsibilities, the state auditor is by virtue of office a member of the following public bodies: *Board of Trustees of the Public Employees Retirement Association: Administers Minnesota's public

pension A pension (; ) is a fund into which amounts are paid regularly during an individual's working career, and from which periodic payments are made to support the person's retirement from work. A pension may be either a " defined benefit plan", wh ...

system for local government employees. * Executive Council: Advises the management and budget commissioner on the issuance of

state debt State most commonly refers to: * State (polity), a centralized political organization that regulates law and society within a territory **Sovereign state, a sovereign polity in international law, commonly referred to as a country **Nation state, a ...

, selects

depository institution Colloquially, a depository institution is a financial institution in the United States (such as a savings bank, commercial bank, savings and loan associations, or credit unions) that is legally allowed to accept monetary deposits from consumer ...

s for the safekeeping of state funds, coordinates

emergency management Emergency management (also Disaster management) is a science and a system charged with creating the framework within which communities reduce vulnerability to hazards and cope with disasters. Emergency management, despite its name, does not actu ...

statewide, approves timber harvests from state forests, rents and sells state lands, and acts as leasing agent for the state with regard to dams, harbors, and mineral deposits. *Housing Finance Agency Board: Finances

housing Housing refers to a property containing one or more Shelter (building), shelter as a living space. Housing spaces are inhabited either by individuals or a collective group of people. Housing is also referred to as a human need and right to ...

for low- and moderate-income households and offers programs for buying, refinancing, or making improvements to one's home. *Land Exchange Board: Approves the

exchange Exchange or exchanged may refer to: Arts, entertainment and media Film and television * Exchange (film), or ''Deep Trap'', 2015 South Korean psychological thriller * Exchanged (film), 2019 Peruvian fantasy comedy * Exchange (TV program), 2021 Sou ...

of state lands with federal, local, or privately-owned lands. *Records Disposition Panel: Regulates the retention and destruction of

public records Public records are documents or pieces of information that are not considered confidential and generally pertain to the conduct of government. Depending on jurisdiction, examples of public records includes information pertaining to births, deat ...

across state and local government. *Rural Finance Authority Board: Partners with local lenders to issue agricultural loans to Minnesota farmers. *State Board of Investment: Directs and administers the

investment Investment is traditionally defined as the "commitment of resources into something expected to gain value over time". If an investment involves money, then it can be defined as a "commitment of money to receive more money later". From a broade ...

of the state of Minnesota's $146 billion investment

portfolio Portfolio may refer to: Objects * Portfolio (briefcase), a type of briefcase Collections * Portfolio (finance), a collection of assets held by an institution or a private individual * Artist's portfolio, a sample of an artist's work or a ...

, including its general fund cash balances,

college A college (Latin: ''collegium'') may be a tertiary educational institution (sometimes awarding degrees), part of a collegiate university, an institution offering vocational education, a further education institution, or a secondary sc ...

and ABLE savings plans, Permanent School Fund, and three public pension systems.

History

The state auditor's office has its origins in the

Minnesota Territory The Territory of Minnesota was an organized incorporated territory of the United States that existed from March 3, 1849, until May 11, 1858, when the eastern portion of the territory was admitted to the Union as the state of Minnesota and the w ...

, when the territorial governor appointed an auditor to ensure that both territorial and county finances were in good order and handled properly. This function continued with an elected state auditor upon Minnesota's entry into the Union on May 11, 1858, and lasted until a 1973 reorganization of state government. During the intervening years, the state auditor acted as the

comptroller A comptroller (pronounced either the same as ''controller'' or as ) is a management-level position responsible for supervising the quality of accountancy, accounting and financial reporting of an organization. A financial comptroller is a senior- ...

for the whole of state government. In that capacity, the state auditor prescribed and maintained the statewide accounting system, preaudited claims by and against the state, issued

warrants Warrant may refer to: * Warrant (law), a form of specific authorization ** Arrest warrant, authorizing the arrest and detention of an individual ** Search warrant, a court order issued that authorizes law enforcement to conduct a search for eviden ...

on the state treasury in payment of claims approved, monitored county finances, and managed the state's land records. Following reorganization, the responsibilities of the state auditor's office were transferred to a state agency known today as the Department of Management and Budget. The Office of the State Auditor then shifted to its present role, which was previously handled by the public examiner, a Cabinet official appointed by the

that audited local governments and state agencies alike. Following elimination of the Department of the Public Examiner, the elected state auditor took on the duty of supervising and auditing local government finances. At the same time, audits and evaluations of state agency financial management and performance were reassigned to a newly created office of legislative auditor, which is appointed by and reports to the Legislative Audit Commission. Aside from the statewide single audit, which was transferred from the legislative auditor to the state auditor beginning in 2021, this division of auditing responsibility has remained constant since 1973.

Territorial auditors

State auditors

The state auditor's term of office was originally three years. In 1883, voters approved a constitutional amendment changing it to four years.

Notes on Minnesota political party names

Minnesota Democratic–Farmer–Labor Party The Minnesota Democratic–Farmer–Labor Party (DFL) is a political party in the U.S. state of Minnesota affiliated with the national Democratic Party. The party was formed by a merger between the Minnesota Democratic Party and the Minneso ...

: On April 15, 1944, the state Democratic Party and the

Minnesota Farmer-Labor Party Minnesota ( ) is a state in the Upper Midwestern region of the United States. It is bordered by the Canadian provinces of Manitoba and Ontario to the north and east and by the U.S. states of Wisconsin to the east, Iowa to the south, and Nor ...

merged and created the

(DFL). It is affiliated with the national Democratic Party. *

Republican Party of Minnesota The Republican Party of Minnesota is the state affiliate of the Republican Party (United States), Republican Party in Minnesota and the oldest active political party in the state. Founded in 1855, the party is headquartered in Edina, Minnesota, E ...

: From November 15, 1975, to September 23, 1995, the name of the state Republican party was the Independent-Republican party (I-R). The party has always been affiliated with the national Republican Party.

Attempts at higher office

The position of state auditor has become a stepping stone in Minnesota for individuals that hold aspirations of higher office, more so in fact than any other constitutional office. In the past 50 years, two incumbent auditors - Arne Carlson and

Mark Dayton Mark Brandt Dayton (born January 26, 1947) is an American politician who served as the List of governors of Minnesota, 40th governor of Minnesota from 2011 to 2019. He served as a United States Senate, United States Senator representing Minneso ...

- have won competitive gubernatorial races. Conversely, no incumbent or former secretary of state has ever won an election for

U.S. senator The United States Senate is a chamber of the bicameral United States Congress; it is the upper house, with the U.S. House of Representatives being the lower house. Together, the Senate and House have the authority under Article One of the ...

in that timeframe; the same goes for any incumbent or former

attorney general In most common law jurisdictions, the attorney general (: attorneys general) or attorney-general (AG or Atty.-Gen) is the main legal advisor to the government. In some jurisdictions, attorneys general also have executive responsibility for law enf ...

. Likewise,

Rudy Perpich Rudolph George Perpich Sr. (born Rudolph George Prpić; June 27, 1928 September 21, 1995) was an American politician who served as the governor of Minnesota from 1976 to 1979 and again from 1983 to 1991. A member of the Democratic-Farmer-Labor ...

and

Tina Smith Christine Elizabeth Smith (née Flint, born March 4, 1958) is an American politician, retired Democratic political consultant, and former businesswoman serving as the Seniority in the United States Senate, junior United States Senate, United Sta ...

are the only

lieutenant governors A lieutenant governor, lieutenant-governor, or vice governor is a high officer of state, whose precise role and rank vary by jurisdiction. Often a lieutenant governor is the deputy, or lieutenant, to or ranked under a governor — a "second-in-comm ...

since 1972 to ever be elected a governor or a U.S. senator.

External links

Office of the State Auditor of MinnesotaExecutive Council of MinnesotaMinnesota Housing Finance AgencyPublic Employees Retirement Association of MinnesotaMinnesota Records Disposition PanelRural Finance Authority of MinnesotaMinnesota State Board of Investment

Footnotes

References

{{U.S. State Auditors *