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Legislative Audit Committee Hearing

Wednesday, March 11, 2026·▶ Watch / Listen

State auditors told the Legislative Audit Committee that the Department of Labor and Employment made $10.6 billion in accounting adjustments and initially overstated unemployment insurance receivables by $1.4 billion, while a smaller finding faulted the National Guard tuition program for missing records. The committee also moved to reappoint State Auditor Kerri L. Hunter.

Key Actions

·CDLE FY2025 financial audit — UI findings 2025-14 and 2025-15Action

+ 6 more actions

Notable Quotes

First, we found that the department overstated its UI accounts receivable and revenue balances by $1.4 billion. This is because staff incorrectly calculated these as 1.5 billion instead of the correct amount of $86 million.

Ferminia Hebert (audit manager, Office of State Auditor) · witnessThe central finding: a $1.4 billion overstatement stemming from a miscalculated unemployment insurance receivable in the statewide financial audit.

+ 4 more quotes

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TranscriptPreview
Good morning. The Legislative Audit Committee will come to order. Ms. Watson, please call the roll. Senators and Representatives Bacon. Excused. Brooks. Excused. Johnson. Lynsett. Present. Pelton. Here. Wilford. Excused. Mr. Vice Chair. Good morning, Madam Chair. Present. Madam Chair, you have a quorum. Thank you very much. Ms. Edwards, we're going to go ahead and jump on in. Would you please introduce yourself and your staff this morning? Yes. Thank you, Madam Chair. And good morning, members of the committee. I'm Marissa Edwards, Deputy State Auditor. Over our financial audits this morning, we are continuing our presentation to you of the fiscal year 2025 statewide financial and compliance AUD, which is the large report that you received at the beginning of February. We typically have two hearings to present this large report to you, and this is the second hearing. This morning we're presenting three findings related to the Department of Labor and Employment and the Department of Military and Veterans affairs, which you received excerpts of these sections within your packets. And we do have a few additional copies of the full report if you do need that. Before we get started, I'll start with introductions for our
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