Breaking News Stories

Pima County to implement new financial precautions in response to Santa Cruz County treasurer scandal | News

TUCSON, Ariz. (KVOA) – Santa Cruz County's ongoing former treasurer scandal is impacting Pima County government's plans to protect taxpayer funds.

On Monday, Pima County Administrator Jan Lescher sent a memo to the Board of Supervisors informing them of efforts to better protect taxpayer money.

Lesher said he has consulted with the county finance director and elected Treasurer Chris Ackerley to find the best way to strengthen the county's oversight measures.

Lesher spoke exclusively with News 4 Tucson's chief investigative reporter Corus Nylander about the memo and future plans.

She explained how she contacted Santa Cruz County following news of the alleged embezzlement of approximately $40 million in taxpayer funds.

“At first, I contacted them and said, 'Please tell me that can't happen here, okay?' The answer is that it is actually possible and that it gets your attention. “It was,” she said. “How can we guarantee that something like this will never happen in Pima County?”

Lesher's memo states that the Treasurer made two recommendations:

1. Enhanced audit procedures:

• Regular independent audits of treasurer's systems: Financial systems that go beyond current annual audits to strengthen compliance Accuracy. These audits should include reviews and adjustments to internal controls. Compliance with processes and accounting standards.

• Allow the Auditor General to receive reports directly from the finance department. institution.

2. Increased transparency:

• Regular reporting to the Supervisory Board: establishing a regular agenda for the Board of Directors. Finance personnel manage financial activities, coordination, Audit results will be reported to the Audit Committee.

“So there is an action by the board that we have received and confirmed and acknowledged that this is the status of the funds by the treasurer,” Lesher explained.

News 4 Tucson spoke with County Supervisors Matt Heintz and Adelita Grijalva, who both think this recommendation makes sense and welcome further protection for taxpayer funds. said.

“I think any additional safeguards that our community can point to that this is what we're doing makes perfect sense, and I'm very comfortable moving forward with those proposals. ” Grijalva said.

“It's important to us that we take these safety measures. It makes a lot of sense and we know to trust it, we know to verify it, but it's required by the Constitution to protect county residents. Let's make sure we protect our finances and are stewards of our finances,” Heinz said.

Lescher said he expects the new recommendations to be implemented by the end of the year.

Former Santa Cruz County Treasurer Elizabeth Gutfahr is being sued by the county in Pima County Superior Court for allegedly embezzling more than $39 million. She has not been charged criminally.

The FBI is still investigating this incident.

If you have a story you'd like us to investigate, email Investigators@kvoa.com or call our tip line at 520-955-4444.