Avocado Commission Misused as Much as $2 Million,
Audit Finds. State auditors have
uncovered as much as $2 million in questionable spending by the California
Avocado Commission during just a three-year period.
During the brief
time examined by auditors, the 18 employees of the Irvine-based commission used
official credit cards to pay for more than $1.5 million in home remodeling,
sports tickets, health club memberships and delivery of restaurant meals. The
spending included $123,227 spent on season tickets to the Anaheim Ducks hockey
games and the Los Angeles Angels of Anaheim baseball games between 2005 and
2008 – an amount that equates to more than $41,000 a year for tickets that
often were used by the commission's employees. On commission ledgers, the
tickets were listed under "merchandising, retail performance
programs."
The employees
also ran up charges for $850-a-night hotel rooms at resorts, and bought clothes
from high-end retailers, characterizing the apparel as "uniforms" in
their expense reports.
Mark Affleck, who recently resigned from his $300,000-a-year
post after serving for 20 years as chief executive of the commission, used
commission money to make $17,000 worth of permanent improvements to his home,
reportedly so he could telecommute.
Commission board
members, family members, guests and employees received "massages, nail
service, facials and body treatments" during meetings at luxury resorts,
the auditors found. The items and services "may be considered gifts of
public funds," the auditors' report said.
Commission board
Chairman Rick Shade said most perks at the commission have been cut back and
officials are seeking reimbursement from employees for some expenditures.
He said the state audit resulted from findings reported by the board's own
internal audit.
The commission is funded by mandatory exactions collected
from the state's 6,000 avocado growers. Its activities are overseen by the
California Department of Food and Agriculture, which referred the spending
audit to California Attorney General Jerry Brown's office for further investigation. (Sources: The Sacramento Bee's State Worker blog, January 13; United Press
International, January 10.)
Cal-Taxletter, January 16, 2009
© 2009 California Taxpayers' Association. All Rights
Reserved.