Hawaii State Auditor

Hawaii State Auditor. The Hawaii State Auditor is an independent, non-partisan office established by the Hawaii State Legislature to conduct performance and financial audits of state agencies, departments, and programs. The office serves as a critical component of government accountability and public administration within the State of Hawaii, providing the Governor, the Legislature, and the public with objective analyses and recommendations for improving government operations and ensuring the efficient use of public funds. Its work is guided by standards set by the U.S. Government Accountability Office and the American Institute of Certified Public Accountants.

History and establishment

The office was formally established in 1965 under Act 73, Session Laws of Hawaii 1965, following a national trend of creating independent audit functions at the state level to enhance legislative oversight. Its creation was influenced by the principles of the Single Audit Act and the evolving practices of state governments across the United States. The position was designed to be insulated from the executive branch to ensure objective scrutiny of state operations, a model mirrored in other states like California and New York. Over the decades, its statutory authority has been refined through amendments to the Hawaii Revised Statutes, particularly within Chapter 23, to expand its mandate and reinforce its independence from the agencies it audits.

Duties and responsibilities

Primary duties include conducting performance audits, financial audits, and special studies of all branches, departments, agencies, and instrumentalities of the State of Hawaii. The office evaluates the efficiency, effectiveness, and compliance of state programs with applicable state laws and administrative rules. It is also responsible for conducting sunset evaluations of certain state entities as directed by the Legislature and for performing audits of federal financial assistance programs in accordance with the federal Single Audit Act. Reports are submitted to the Governor, the Senate President, and the House Speaker, and are made publicly available.

Organizational structure

The office is led by the State Auditor, who is appointed by the Legislature. The auditor oversees a professional staff typically organized into divisions such as Performance Audit, Financial Audit, and Administrative Services. Staff members often hold professional credentials including Certified Public Accountant (CPA), Certified Internal Auditor (CIA), and Certified Government Auditing Professional (CGAP) certifications. The office operates from its primary location in Honolulu and functions independently from the Department of Accounting and General Services and the Attorney General's office.

Notable audits and reports

The office has issued influential reports on a wide range of state operations, including examinations of the Department of Education's financial management, the Hawaii Health Connector's implementation of the Affordable Care Act, and the Honolulu Rail Transit Project. A landmark audit of the Hawaii Tourism Authority led to significant statutory reforms. Other notable studies have assessed procurement practices within the Department of Transportation, cybersecurity in state agencies, and the management of the Public Housing Authority. These reports frequently receive coverage from media outlets like the Honolulu Star-Advertiser and Civil Beat.

Appointment and tenure

The State Auditor is selected by a majority vote of both chambers of the Legislature from a list of candidates nominated by the Auditor Selection Commission, a body established by statute. The term of office is eight years, which is notably longer than the terms of the Governor or state legislators, to promote stability and independence. The auditor can be removed before the end of the term only for cause, such as neglect of duty or misconduct, by a two-thirds vote of the members of each legislative chamber. This appointment mechanism is distinct from the process used for the State Ombudsman.

Legal authority and jurisdiction

The office's powers and duties are codified in Hawaii Revised Statutes, primarily HRS Chapter 23. It has broad authority to access all records, documents, and properties of any state agency and to subpoena witnesses. Its jurisdiction extends to all departments of the executive branch, the University of Hawaii System, and other state-funded entities, though it does not typically audit the Judiciary or the Legislature itself. The office's findings and recommendations, while not legally binding, carry significant weight and often lead to legislative hearings, changes in administrative rules, or the introduction of bills in the State Capitol.