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ARIZONA STATE LEGISLATURE

Fifty-first Legislature – Second Regular Session

 

SENATE FINANCE AND HOUSE OF REPRESENTATIVES WAYS AND MEANS COMMITTEE OF REFERENCE FOR THE PERFORMANCE AUDIT OF

THE GILA COUNTY TRANSPORTATION EXCISE TAX

 

Minutes of Interim Meeting

Tuesday, October 7, 2014

House Hearing Room 5 -- 10:15 a.m.

 

 

Co-Chairman Lesko called the meeting to order at 10:23 a.m. and attendance was noted by the secretary.

 

Members Present

 

Senator Steve Yarbrough, Co-Chair                           Representative Debbie Lesko, Co-Chair

Senator Michele Reagan                                             Representative Mark Cardenas

Senator Bob Worsley                                                  Representative Adam Kwasman

                                                                                   

Members Absent

 

Senator Olivia Cajero Bedford                                   Representative Justin Olson

Senator Robert Meza

 

PRESENTATION BY THE OFFICE OF THE AUDITOR GENERAL

 

Jay Zsorey, Financial Audit Director, Office of the Auditor General, gave a slide presentation on the performance audit report of the Gila County Transportation Excise Tax (Attachment 1).  He advised that in 1994, Gila County voters approved a 20-year, half-cent sales tax to pay for highway and street improvements and transportation projects.  To ensure accountability, the Legislature requires the Office of the Auditor General to conduct a performance audit of both the impact of the tax and whether the money is spent for required road projects. 

 

The performance audit dated June 2014 is the third audit performed by the Office of the Auditor General since the half-cent sales tax was approved by the voters in 1994 and covers calendar years 2009 to 2013 (Attachment 2).  The current excise tax will expire on December 31, 2014.  The Gila County Board of Supervisors adopted a resolution requesting that voters approve a new excise tax in the upcoming November election.  If approved by the Gila County voters, the excise tax will be in effect for 20 years.  He related that during the performance audit, it was noted that the County has spent excise tax monies in accordance with applicable Arizona Revised Statutes and has substantially implemented prior audit recommendations. 

 

Representative Wheeler asked how Highway User Revenue Fund (HURF) monies will be used.  Mr. Zsorey answered that the HURF funds will be used for future projects.  It is up to the Legislature to determine how the monies will be allocated.

 

RESPONSE BY GILA COUNTY

 

Steve Stratton, Public Works Director, Gila County, thanked the Auditor General's Office for the performance audit as well as his staff for their hard work.  Shortcomings brought up in past Committees have been eliminated and corrected.  He expressed hope that the voters will approve the continuation of the excise tax in the November election.

 

Without objection, the meeting adjourned at 10:32 a.m.

 

  

 

                                                                                    ______________________________

                                                                                    Joanne Bell, Committee Secretary

                                                                                    October 16, 2014

 

(Original minutes, attachments and audio on file in the Chief Clerk’s Office; video archives available at http://www.azleg.gov)

 

 

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                        COR - SENATE FINANCE AND HOUSE WM

2

                        October 7, 2014

 

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