Janet Napolitano Could Be In Big Trouble

Audit shows Napolitano's office hiding funds from the legislature

The University of California hid a stash of $175 million in secret funds while its leaders requested more money from the state, an audit released on Tuesday said.

The San Francisco Chronicle reported that the audit found that the secret fund ballooned due to UC Office of the President overestimating how much is needed to run the school system that includes 10 campuses in the state. Janet Napolitano, the former Department of Homeland Security chief, is in charge of the school system.

Napolitano denied the audit’s claim. She reportedly said the money was held for any unexpected expenses. Her office also denied the amount in the fund.

Pretty much the entire management team of California Sate Parks got fired for doing almost the exact same thing, with the exact same excuses

California state parks Director Ruth Coleman resigned and her second-in-command was fired Friday after officials discovered the department has been sitting on "hidden assets" totalling [sic] nearly $54 million.

The money accumulated over 12 years in two special funds the department uses to collect revenue and pay for operations: $20.4 million in the Parks and Recreation Fund, and $33.5 million in the Off Highway Vehicle Trust Fund.

The money accumulated, state officials said, because the parks department had a pattern of under-reporting the actual size of the funds in its regular dealings with the state Department of Finance.

Ms. Coleman (who I worked with a few times and liked) was frankly an easier "kill" because, while long tenured in the state parks job, she really did not have a lot of political muscle.  Napolitano does.  Relying on consistent standards would say Napolitano should go, but government has never been about applying consistent standards, only power.  So we shall see.

  • kidmugsy

    I suspect I'd rather they accumulated their little nest egg rather than fritter it away on wasteful expenditure every financial year. On the other hand once you've caught her lying she's gotta go.

  • sean2829

    The state parks department has less than a $400 million budget and a slush fund of $54 million. That's 12% of their budget and the state was closing parks at the height of the recession. The UC system has a $28.5 billion budget and a slush fund of $175 million or about 0.6%. Given the types of contingencies the UC has to plan for in a very large system, and the amount is 20x less as a percentage of the budget, it's not as big an issue.

  • mlhouse

    Except they lied about its existence......

  • I think Janet Napolitano is clearly Inner Party qualified. I would be surprised (but pleased) if she was even indicted. If indicted she will not be convicted.

  • If convicted, it will be overturned on appeal to the US Supreme Court.