Hector Balderas – A Record of Success

Profile PhotoAs State Auditor, Hector Balderas has worked hard to change the longstanding perception among state agencies that their expenditures would go unreviewed and that mistakes and misconduct would be allowed to slide. Despite a limited budget, a small staff, and widespread resistance from agencies uncomfortable with having their books scrutinized, Balderas fought to create a culture of accountability in New Mexico and to ensure that every penny of taxpayer’s money is well-spent.

Getting Tough on Fraud and Abuse

Soon after being sworn in as State Auditor, Balderas hired, for the first time, investigators dedicated solely to handling complaints of fraud in state and local government. He also took steps to quickly address the backlog of more than 300 complaints of waste, fraud, and abuse that he inherited when he assumed office.1 During his time as State Auditor, Balderas has expanded the fraud unit from one employee to eight and initiated hundreds of investigations into the potential misuse of taxpayer funds.2

For the first time in recent New Mexico history, Balderas used the subpoena power of Auditor’s Office to force reluctant officials and contractors to provide a full accounting of how they spent taxpayer funds.3 He worked to reduce the number of agencies that are late in reporting audit results, which could delay discovery of serious accounting problems or misuse of taxpayer funds.

Balderas also conducted numerous audits of suspected embezzlement and fraud by state and local employees.4 His investigations uncovered everything from double-billing for expenses by a Grant County Commissioner5 to $3.3 million in embezzlement by a former Jemez Mountain School District employee. 6

Enlisting Citizens in the Fight against Fraud

Most fraud is uncovered as a result of tips and complaints.  In 2008, Hector Balderas launched a toll free, statewide hotline that any person can use to report suspected fraud, waste or abuse of public resources.  The State Auditor’s Special Investigations Division determines an appropriate course of action for each Hotline report.

Standing Up for New Mexico Taxpayers

Since taking office, Balderas has been standing up for taxpayers against wasteful spending and holding government officials accountable when they misuse taxpayer money. For example, audits initiated by Balderas and his office helped put a stop to lavish travel spending by Angel Fire village officials9  and revealed $10 million in illegal overbilling by the city utility company in Las Vegas, New Mexico.10

Balderas and his auditors uncovered systemic abuse and mismanagement in New Mexico’s regional housing authorities, prompting a criminal investigation and calls for an overhaul of the entire system. They also revealed severe mismanagement of federal voter education funds by former Secretary of State, part of a wide-ranging investigation that ultimately resulted in the former Secretary’s indictment in an embezzlement and money-laundering scheme.11

Balderas was also instrumental in exposing Sandoval County’s multimillion dollar broadband boondoggle.12  Almost immediately after taking office, Balderas began an aggressive investigation into questionable spending on the project. His inquiry put a stop to the faulty accounting practices and lax accountability standards led to the waste of taxpayer funds.13

A Leader for New Mexico Families

In addition to his duties as State Auditor, Balderas has continued his extraordinary leadership for New Mexico families. In recognition of his status as a leader on issues affecting Latino families, Balderas was appointed to the board of the National Association of Latino Elected and Appointed Officials.14  He has also done extensive outreach work with underprivileged youth, sharing his story of overcoming adversity and working to inspire young people to achieve. Balderas is also a proud supporter of the Special Olympics and recently took part in the annual Special Olympics torch run with the Albuquerque Police and Fire Departments.

References

  1. “Auditor adds investigators to look into allegations.” Associated Press. March 30, 2007]
  2. “Auditor Invites Citizens to Report Fraud.” The Santa Fe New Mexican. August 9, 2008.]
  3. “Former Broadband CEO Subpoenaed ; Auditor Examining Project’s Finances.”  Albuquerque Journal. May 25, 2007
  4. “Police: State Employee Admits to Misusing $12,500 in Public Funds.” The Santa Fe New Mexican. February 5, 2008; “Former District Employee Investigated for Laptop Sales.” Santa Fe New Mexican. February 15, 2008.
  5. “Double-billing by commissioner referred to DA.” Associated Press. February 26, 2009.
  6. “State auditor says $3.3 million embezzled from NM school district.” Associated Press. August 15, 2009.
  7. “Auditor Invites Citizens to Report Fraud.” The Santa Fe New Mexican. August 9, 2008.
  8. “Auditor: Hot Line Is Working.” Albuquerque Journal. February 11, 2009
  9. “1st Class For Town Officials ; Audit shows excessive reimbursements by Angel Fire on dining bills, travel costs.” Albuquerque Journal. February 24, 2008
  10. “Auditor: Natural gas prices high in Las Vegas.”Associated Press. February 22, 2008.
  11. “Audit shows financial problems in former NM Secretary of State Rebecca Vigil-Giron’s office.” Associated Press. February 18, 2009; “Vigil-Giron accused of embezzlement, money laundering scheme.” The New Mexico Independent, August 19, 2009.
  12. “Wireless Project Audit Needed.” Albuquerque Journal. May 20, 2007
  13. “Auditor Faults Project ‘Waste’ ; Sandoval County broadband effort mismanaged, official says.” Albuquerque Journal. November 21, 2007
  14. “Balderas named to national Latino board” Associated Press. November 21, 2008.