Editorial: State auditor’s office needs McCarthy at helm

Published 1:30 am Tuesday, October 4, 2016

By The Herald Editorial Board

Of all the state offices on the November ballot, the job ahead for the next state auditor may be the most challenging in terms of rebuilding the morale of agency employees and the public’s trust in the office.

Current State Auditor Troy Kelley’s term in office has been tumultuous, beginning with charges of tax evasion and money-laundering, his leave of absence from the office and his acquittal on one charge but the possibility of retrial after a jury deadlocked on 14 other charges. And when he returned to office this spring he promptly fired staffers who had worked to keep the office running during his absence and his trial.

Careful and experienced management will be vital for an office that ensures the public’s trust and the transparency of all state and local governments. The auditor’s office is responsible for financial audits of hundreds of city, county and other local governments, reporting directly on their stewardship of public funds. It also conducts performance audits, a provision of Initiative 900, which go further to evaluate the work of those state and local agencies. And it conducts special investigations of fraud and whistleblower cases.

Fortunately, the two candidates running in the general election have the experience and tools necessary to rebuild the agency and restore trust in the office.

Sen. Mark Miloscia, R-Federal Way, is making his second run at the office. He ran as a Democrat in 2012, but lost in the primary to Kelley.

Miloscia, who served seven terms in the House and was elected to the Senate in 2014, says his career has led him to this office. Most recently he’s served on or chaired House and Senate committees on accountability and reform. A former pilot for the Air Force, Miloscia audited military contracts, including those for Boeing’s B-1 program.

Pat “Patrice” McCarthy, running as a Democrat, is serving her second term as Pierce County executive, running a government of 3,000 employees with a budget of $900 million. Prior to that post she served as the county auditor and served 12 years on the Tacoma School Board.

Both candidates want to use the office’s auditing powers to hold governments accountable and assure responsible use of taxpayers’ resources, but a difference in management style sets them apart.

Miloscia, after years as a lawmaker, has developed an assertive posture and says he wouldn’t shy away from using the office’s “bully pulpit” to make necessary changes.

McCarthy with her years of administrative experience said she would rely on a more collaborative approach to resolve problems that are revealed in audits and persuade greater compliance and transparency.

Notably, McCarthy was Pierce County’s top election official during the 2004 election’s contentious recount of ballots in the gubernatorial election. Two recounts, and ballot problems in King County, led to voter mistrust. McCarthy led a group of county auditors to develop reforms of local election procedures.

The auditor’s office will have an immediate challenge after the first of the year: restoration of funding that the Legislature removed from the office’s performance audit account during Troy Kelley’s tenure.

Miloscia, as a senator, initially supported the $10 million takeaway, but later sought to have the funding restored and, with Kelley out of office, believes the money will be restored. McCarthy doesn’t believe it will be that easy as the state confronts other — much larger — funding needs, especially public education. Again, McCarthy’s collaborative approach may be more effective in achieving that task.

The morale of the auditor’s office also should be considered. Miloscia, no doubt, has the knowledge and experience that the post requires, but the agency’s employees deserve a break from Kelley’s drama. Miloscia could show himself to be a good manager but offers no explicit experience in that regard. McCarthy has run local government offices for 14 years.

Voters are fortunate to have two qualified candidates running for state auditor. McCarthy’s management experience and collaborative governance give her the edge.