Office of the Legislative Auditor

The Office of the Legislative Auditor (OLA) is a nonpartisan audit and evaluation office within the Legislative Branch of Minnesota state government. OLA performs the same function for the Minnesota Legislature that the Government Accountability Office (GAO) performs for the United States Congress. The principal goal of OLA is to provide the Legislature, agencies, and the public with audit, evaluation, and special review reports that are accurate, objective, timely, and useful. Through its reports, the office seeks to strengthen accountability, legislative oversight, and compliance with state laws. OLA focuses primarily on state agencies and programs but also selectively evaluates programs administered at all levels of government in Minnesota.

The Legislature created the Office of the Legislative Auditor in 1973, following the recommendation of a private-sector study group called the Loan Executive Action Program (LEAP). Prior to OLA, all state agencies and local governments were audited by the Public Examiner, an appointee of the Governor. In the 1973 legislation, the Legislative Auditor was assigned responsibility to audit state governments, and the State Auditor was assigned responsibility to audit local governments.

Independence from inappropriate influences is key to the credibility of any audit office. OLA’s independence is enhanced by the fact that the Legislative Auditor serves a six-year term. All reports issued by OLA are based solely on the work of its professional, nonpartisan staff. Reports are released publicly without prior review by any legislator, including members of the Legislative Audit Commission.

Judy Randall was appointed Legislative Auditor in November 2021 by the Legislative Audit Commission and is serving her first six-year term. Ms. Randall previously served as Deputy Legislative Auditor for OLA’s Program Evaluation Division.

Financial Audit Division
The division annually audits the state’s financial statements to determine whether they are presented consistent with generally accepted accounting principles. In addition, the division selects several state organizations and programs to audit in depth, with a focus on internal controls and compliance with applicable legal requirements. Many of the division staff are certified public accountants (CPAs), certified fraud examiners (CFEs), or certified information systems auditors (CISAs). Lori Leysen, CPA, is Deputy Legislative Auditor for the Financial Audit Division.

Program Evaluation Division
The division conducts several evaluations each year on topics selected by the Legislative Audit Commission. OLA accepts evaluation suggestions from legislators and the public, and typically receives more than 100 suggestions annually. The commission selects evaluation topics using several criteria, including the amount of state resources involved, level of state control, timeliness, and potential impact of an evaluation. Evaluation reports present findings and recommendations to state agencies and the Legislature. The division staff have advanced degrees in fields such as economics, public policy, political science, and sociology. Jodi Munson Rodriguez is Deputy Legislative Auditor for the Program Evaluation Division.

Special Reviews
Throughout the year, OLA receives complaints and allegations about programs and organizations within its jurisdiction. They come from legislators, whistleblowers, members of the public, and media reports. OLA assesses each complaint and allegation to determine what action should be taken. In some cases, a response can wait for a future audit or evaluation; sometimes, OLA decides that a more immediate response is needed, and then conducts a “special review.” When OLA finds evidence of impropriety by a state employee, OLA is required by law to refer the evidence to the Attorney General and the appropriate county attorney to determine whether criminal and/or civil action should be brought against the individuals involved. Katherine Theisen is the Director of Special Reviews

The Office of the Legislative Auditor has broad jurisdiction to conduct its work. Categorized by type of examination or review, the following is an outline of OLA’s current jurisdiction:

Financial Audits
OLA’s jurisdiction to conduct financial audits is extensive. It includes (1) all agencies, boards, commissions, and other organizations in the Executive Branch; (2) courts and other organizations in the Judicial Branch; (3) Minnesota State Colleges and Universities; (4) University of Minnesota; (5) “semi-state” agencies, such as the Minnesota Historical Society and State Fair; (6) Metropolitan Airports Commission; (7) Minnesota Sports Facilities Authority; and (8) Metropolitan Council. In addition, OLA may audit the use of state money provided under a grant or contract to any organization or individual.

Program Evaluations
OLA’s jurisdiction to conduct program evaluations is equally extensive and includes any programs or activities created or funded by state government. OLA’s evaluation jurisdiction extends to state-funded programs or activities administered by local governments or private organizations.

Special Reviews
OLA’s jurisdiction to conduct special reviews includes the alleged misuse of state money or resources, as well as violations of the state code of conduct for employees in the Executive Branch of state government.

State law provides OLA with strong legal authority. For example, in addition to auditing and evaluating agencies, OLA has authority to investigate the use of public money by private organizations. State law also gives OLA authority to access all data and documents related to use of public money, even documents classified as “not public,” and requires organizations and individuals to cooperate with OLA. If cooperation is not forthcoming, the Legislative Auditor has legal authority to compel cooperation through subpoenas. See Minnesota Statutes, 3.978.