Senate committee advances legislation to restrict power of Auditor’s Office

• The bill’s author said it would improve cooperation between the office of the State Auditor, Secretary of State, and Attorney General. State Auditor Shad White strongly disagrees.

A Senate bill limiting the State Auditor’s powers passed the Accountability, Efficiency, and Transparency Committee Thursday morning by unanimous voice vote.

The bill’s author and Committee Chairman David Parker (R) said it would improve cooperation between the office of the State Auditor, Secretary of State, and Attorney General.

State Auditor Shad White (R) strongly disagrees.

“This bill defies common sense,” White wrote on X (formerly Twitter) about SB 2847, adding that it strips his office of key powers. “We are on the precipice of going back to being the most corrupt state in the country.”

The bill prevents the Auditor’s Office from filing lawsuits to recoup money on behalf of the state without prior approval from the Governor or Legislature. It also removes from the Auditor the ability to hire consulting firms for what the Legislature has called “managerial studies.”

Both of these issues have been at the forefront of public disputes between Lt. Governor Delbert Hosemann (R), Auditor White, and Attorney General Lynn Fitch (R) in recent months.

White and Fitch sparred last year over whether White could pursue a claim against NFL Hall of Famer Brett Favre to recover money White says Favre still owes from misspent TANF funds. Auditor White then found himself crossways with both Fitch and Hosemann over a $2 million contract White entered into with Boston Consulting Group for the putative purpose of identifying government waste.

The Lt. Governor and Attorney General both argued that White lacked the legal authority to conduct the study, while other lawmakers have questioned whether it infringes on the legislative branch’s role in appropriating tax revenue. White says the study is an audit within his purview.

Auditor White argued that Lt. Governor Hosemann, not Parker, is behind the bill, and referred to Parker as a “lapdog.” He claims the legislation is politically motivated as both statewide officials are eyeing a gubernatorial run in 2027.

Parker rejected the idea that the bill was politically motivated. He complimented the Auditor’s work at one point, and said the bill was intended to improve on the office’s ability to hold government entities and officials accountable for their use of state funds.

Senator Parker said the bill enhances the duties of the Auditor by allowing for pre- and post-audit of for profit and nonprofit entities administering programs financed by state funds in an amount less than $10 million. Current law, Miss. Code Ann. 7-7-211(f), allows the Auditor to conduct pre- and post-audits of these entities without a cap on the amount.

Senator Parker denied White’s accusations during Thursday’s committee meeting, saying, “I want to be clear, this is my bill … It was drafted well before last week’s meeting with the Auditor.”

Parker was referring to a heated exchange between White and Senator John Polk (R) during an appropriations hearing on the Auditor’s budget. The Pine Belt state Senator questioned White on his calculation of the amount owed by Favre, who Polk identified as a constituent. He also raised concerns over whether the Boston Consulting Group contract had gone through a bidding process, and on whether White or his family members had any connection with the firm.

White retorted that Polk was a “liar” for saying the contract had not been put out for competitive bid and then threatened to sue him on the implication that members of White’s family had a business relationship with Boston Consulting Group.

After the hearing, Magnolia Tribune requested and was supplied with a copy of the RFP issued by the Auditor’s Office for bids.

READ MORE: Verbal fisticuffs: Auditor White calls Senate Chairman a liar, threatens with lawsuit

Senator Parker said his motivation for the bill came, instead, after Auditor White held a press conference on the arrest of a Desoto County alderman, who is alleged to have committed fraud in filing for unemployment benefits during COVID. According to Parker, the alderman filed for unemployment after being laid off but failed to include in his claim his salary as an alderman. Parker said the alderman, Charles Roberts (R), had recognized his mistake and paid the money back before White went on television.

Roberts was indicted by DeSoto County District Attorney Matthew Barton (R) for fraud last September. Attorneys for Roberts argued that the prosecution was unnecessary since his wages had been garnished and he was forced to sell his house to pay the state $16,948 to settle the claim.

White said Thursday that he would continue to fight the bill.

“At this point, I’m accustomed to establishment politicians fighting me at every turn, suing me to stop me from getting taxpayer money back, and protecting their most powerful friends, so I wasn’t surprised the bill went through committee,” White said in a statement to Magnolia Tribune. “We will continue to fight the bill and tell the public about how Hosemann’s key chairmen want to gut the auditor’s office.”

You can watch the full Senate committee meeting below.