Aug 21, 2014 7:23 PM by News Staff
SACRAMENTO, Calif. (AP) - Gov. Jerry Brown has signed legislation to keep track of taxpayer dollars managed outside the state treasury.
Brown's office announced Thursday he had signed AB1583 after CalFIRE was discovered handling money in an outside account without permission.
The bill was carried by Republican Assemblyman Travis Allen of Huntington Beach to implement recommendations of a 2013 state audit.
That review found $9 billion in state funds were kept outside the treasury system. It said that while the state Department of Finance can allow the practice, the money poses a greater risk for mismanagement.
It singled out CalFIRE for using its outside account to skirt budget and equipment-buying rules.
AB1583 requires the state controller to prepare an annual report listing all outside bank accounts and their balances.
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