DOVER, Del. – State Auditor Kathy McGuiness announced today the release of an examination of the Appoquinimink School District’s compliance with authorized positions as established in Delaware Code, Delaware Law, and the Budget and Accounting Policy Manual (BAM).

“Today’s release is the first of 19 reports that will come out over the following weeks,” said McGuiness. “My office examined the number of authorized positions versus the number of actual positions a district has employed as part of our regular annual audit review for all public school districts.”

In accordance with 14 Del. C. §1504, the Auditor’s Office is directed to examine all public school districts for compliance with authorized positions requirements for all public school districts that commence on or after July 1, 1991. The Authorized Position reports reviewed each of the state’s 19 public school districts and examined staffing data for Fiscal Year 2019.

“Many people may not know that public school district personnel costs make up nearly a quarter of the state’s budget,” McGuiness said. “That’s why this annual review is so important; exceeding the number of authorized positions could have a big impact on the state’s resources.”

“I am proud to announce that each of the state’s 19 public school districts complied in all material respects with established criteria for Authorized Positions,” said Auditor McGuiness. We found school districts are doing a great job with the resources they have available, and the few immaterial issues we identified were ultimately due to systems issues that are outside of school district’s control.”

The new special report, “Appoquinimink School District Authorized Positions Examination for 2018 thru 2019” can be found here.

Learn about the Delaware Auditor’s Office at https://auditor.delaware.gov.

###

Contact: Alaina Sewell, Chief of Staff 302-857-3931 Alaina.Sewell@delaware.gov

FOR IMMEDIATE RELEASE
Feb. 10, 2022

McGuiness Office Granted Permission to Obtain Outside Counsel in Subpoena Case with DHSS over Requested Medicaid Records
Gov. Carney acknowledges DOJ’s conflict of interest in the case

DOVER, Del. – State Auditor Kathy McGuiness said today the State Auditor’s Office was granted permission by Gov. John Carney to hire outside counsel in its ongoing subpoena case with the Department of Health and Social Services (DHSS) over access to Medicaid eligibility records for an audit.

“Thank you to Governor Carney for understanding that having the Department of Justice represent both my office and DHSS in this case was an inherent conflict of interest,” McGuiness said. “Since August, I have had to represent myself and my office in New Castle County Superior Court because the DOJ refused to recognize the subpoena power granted to me in Delaware Code.”

McGuiness and her audit staff have been trying since May to obtain the necessary documents to complete a performance audit of DHSS’ Medicaid eligibility programs for three years. When DHSS refused to comply with the data requests, McGuiness exercised the subpoena power granted to her under Delaware Code Title 29 Chapter 29 Section 2910 to attempt to obtain the records and access her team needs.

McGuiness highlighted the need for outside counsel earlier in the week during the office’s fiscal year 2023 budget hearing before the Joint Finance Committee.

“Delaware Code says specifically that the Auditor ‘shall conduct postaudits of all the financial transactions of all state agencies,’” McGuiness said. “Medicaid spends about $2 billion per year in federal and state tax money – and we want to ensure that DHSS is adequately determining who is eligible to receive those benefits.”

McGuiness pointed out that the annual statewide Single Audit has had repeat findings related to Medicaid eligibility for at least three years. The Single Audit looks at a small sample of Medicaid beneficiaries but is an accurate way to determine if larger, systemic problems could exist.

“Based on the repeated Single Audit findings, as well as other risk-assessment factors, I know that a performance audit of Medicaid eligibility will be beneficial for DHSS,”

McGuiness said. “But instead of complying with my data and access requests, DHSS has chosen to fight over this in court.”

Under Title 29 Chapter 25 Section 2507, state agencies that are represented by the DOJ can request permission to obtain outside counsel from the DOJ and the governor, which is what McGuiness did. The DOJ told McGuiness last month that it would agree with the governor’s office’s decision.

“This is a great day for Delawareans,” McGuiness said. “I fight every day for the state’s taxpayers, and this is an example of a wrong that has been righted. I am grateful to Gov. John Carney and his team for their insight and wisdom in this case.”

###
Contact:
Alaina Sewell, Chief of Staff
302-857-3931
Alaina.Sewell@delaware.gov

DOVER, DEL. – State Auditor Kathy McGuiness estimates the state’s volunteer fire service saved Delaware taxpayers nearly $255.7 million in fiscal year 2021.

“Delaware’s fire service is, and always has been, a tremendous asset to Delawareans,” McGuiness said. “As my team does every year, they performed a detailed cost analysis and identified what it would cost taxpayers to have an entirely state-employed fire service instead of having mostly volunteers.”

While the state has no plans to transform Delaware’s combination system into an entirely state-employed one, McGuiness’ office performs these calculations annually to show the fiscal value of having dedicated volunteer firefighters and EMTs.

“If the state were to have a fully state-employed fire service, it would cost Delawareans an exorbitant amount in property taxes,” McGuiness said. “For every $1,000 of a home’s assessed value, those residents would pay an additional $10.51. That means for a home assessed at $100,000, it would cost those residents an additional $1,051 in property taxes each year – just to support a fully state-employed fire service.”

McGuiness again recommends in this year’s report that the General Assembly consider creating a fund independent of Grant-In-Aid in the state budget to help pay for fire services.

“It takes adequate training, funding and resources to protect the public,” McGuiness continued. “To keep pace with call volume, career and volunteer fire service members need our support in ensuring proper funding to continue the long-standing and proud tradition the fire service has in Delaware.”

Read the Delaware Volunteer Fire Service Report by clicking here. Learn more about the Delaware Auditor’s Office at https://auditor.delaware.gov.

###

Contact:        

Anna Nuzzolese, Executive Assistant

Anna.nuzzolese@delaware.gov

302-857-3907

DOVER, DEL. – The Delaware State Auditor’s Office has been ranked No. 2 on the list of Top 6 Agencies with Reports on Oversight.gov.

“My office works diligently, with a fixed determination, to provide independent, objective oversight of the state government’s use of taxpayer dollars,” Auditor Kathy McGuiness said. “It is a proud moment when you see the difference your efforts have made. I’m excited to keep with this momentum and continue serving the great State of Delaware.”

Alongside the Delaware Auditor’s Office, the top six agencies are Oregon’s Secretary of State (Audits Division), Indiana Office of the Inspector General, Chicago Office of the Inspector General, Arlington County Auditor, and Florida’s Office of the Chief Inspector General. Collectively, a total of 381 reports have been submitted, with Delaware’s Auditor’s Office accounting for 115 of those reports.

“Since the inception of the Oversight.gov State/Local page, the Delaware State Auditor has been one of our most active participants,” said spokesperson Shiji Thomas of the National Science Foundation Office of the Inspector General, who oversees the project. “Kathy McGuiness and her team provided critical support right from the start. Through the development and pilot phases, McGuiness’ team worked closely with the Oversight.gov team to make the page a reality.

“We are grateful for the contributions the Delaware State Auditor has made for the Oversight community.”

Oversight.gov is a website that contains publicly accessible reports, investigations and recommendations from state and local inspection offices. The site is managed by the Council of the Inspectors General on Integrity and Efficiency and is frequently updated by the Inspector Generals.

You can discover local and state offices’ recent data, trending reports and summaries at oversight.gov.

Learn more about the Delaware Auditor’s Office at https://auditor.delaware.gov.

###

Contact:        

Anna Nuzzolese, Executive Assistant

Anna.nuzzolese@delaware.gov

302-857-3907

NEWARK-   State Auditor Kathy McGuiness was honored as “Delaware’s Pharmacist of the Year” by the Delaware Pharmacist Society (DPS) at their annual conference in Newark. Founded in 1886 as a non-profit, professional association for pharmacists in the State of Delaware, DPS advocates on behalf of its members and promotes public health through the practice of pharmacy.

“It is an honor to be presented with the Pharmacist of the Year Award,” said McGuiness. “This past year has truly highlighted the role pharmacists play as a resource to a community’s health and I am proud to work alongside so many talented, caring individuals.”

McGuiness, a licensed immunizing pharmacist and the highest state-elected pharmacist in the country, has released three special reports so far on the impact that PBMs are having in Delaware. These reports – titled “Lack of Transparency & Accountability in Drug Pricing Could be Costing Taxpayers Millions”, “Millions in Pharmaceutical Savings are Achievable Within Delaware’s Correctional Facilities Without Compromising Service”, and “Predatory Practices: Survey Says Middlemen Destroying Delaware’s Independent Pharmacies” – have garnered national attention and helped to shine a light on how PBMs have overcharged Delaware taxpayers by millions of dollars.

“As a pharmacist, I have seen firsthand the impact high drug prices have on families,” McGuiness said. “People are regularly forced to choose between putting food on the table and affording their life-saving medications.”

McGuiness, a 1997 Bowl of Hygeia recipient, was honored in October among other award recipients, including: Tom Kolowski (Harry C. Zeisig Award), Megan Wiley (Bowl of Hygeia Award), Wendy Bailey (Friend of Pharmacy Award), Brandy Willey (Young Pharmacist Award), Chai Gadde (Excellence in Innovation Award) and Rachel Philipp (Pharmacy Technician of the Year).

“Pharmacists have the unique ability of being analytical and having a scientific mind while also being compassionate and having empathy,” McGuiness said. “If the last year and a half has proven anything, it is that even when many do not trust their governments, they trust their pharmacists. We are the first line of defense.”

For more information about the Delaware State Auditor’s Office, visit: https://auditor.delaware.gov/.

For more information about the Delaware Pharmacists Society, visit: http://www.dpsrx.org/~dpsrxorg/

###

Contact:

Anna Nuzzolese, Executive Assistant

302-857-3907

Anna.Nuzzolese@delaware.gov