-- and so, the first one was the oversight, and this has been fixed. the second and third and fourth, i will go through these one by one. the second is the retaining of the airport improvement grant programs. we have already corrected and implemented new policies and procedures, taking the corrective actions as recommended in december 2010. regarding this section -- and the guidelines -- we have noted the errors that we made in the first few quarters, and we took action in march 2010. for the last one, relating to

the payroll of march 2011, we have implemented a new policy and procedures, with the submission of the certified payroll. basically, we have taken all productive actions as recommended. >> and are there any questions? is the mass transit authority here? >> we have a couple of management comments, the internal procedures for the inventors have been updated. modified to address these issues. the procedures will be included

in the upcoming trading inventory. the second item -- we have reports to identify the retro- calculations, for fiscal year 2011. and we are poised to have this be correct and timely, starting in march. >> thank you very much. and is there anything else from the staff? >> i think that is everything, unless you wanted to speak with the mayor's office. >> please come forward.

>> good afternoon. thank you. the mayor's office of housing has grant programs and a couple of those were identified in the single audit. the bloc program received a finding other than the supervisors signature on several time sheets. the mayor's office of housing has restated their policy procedures to all of the employees and their supervisors, with an internal review of those policies and procedures, with additional measures to ensure that the oversight will happen in the future. on the smaller program, the housing control program, as you may see in the comments, housing and urban development did visit to our office, and raised those issues with the findings in their review.

since that time, the mayor's office of housing has implemented time and activity reports for the personnel, because this is a small grant. they did not give 100% to the grant. the costs are charged directly to the grant instead of a budget projection of the costs. this is the expectation when they return next year, they will be able to see the corrective actions. we received a cash advance with the stimulus grant for the program, a large volume of units. we were not able to draw down the $300,000 advance, and so -- we began gathering interest, with the computer oversight in

accounting in the system, the accounting staff did not realize we were accruing $100 of interest. we have returned this interest, and we have reviewed the cash advance procedures. this will not happen in the future. >> this is great, thank you for your work. >> mr. chairman, supervisor. overall, we are concerned about the appropriate qualified management personnel in the finance area and we continue to work with everyone in the department with their own financial statements, and those working with us across the city. we continue to do training and we are looking at this issue. we do have a couple of staff that are able to work individually with these departments when the time comes. as the standards continue to

change, we have to keep ourselves trained and well- versed on all of the regulations on behalf of the city. >> and on that note, i will briefly -- the staff you have working on this, they do amazing work. but there are also limitations in terms of how much a small number of people can do. and are there any thoughts of expanding all of this? >> carmen lafrac -- lafrac and her staff --la franc and staff have been working as we look to bring additional expertise. we have a couple of accounting positions, and these would be

funded from the other departments, to give assistance to the various departments, with the financial process in order to beef up this section. >> the reason that i say this is because, having to have these late-night meetings to talk about the audits, this was the only time the staff had available, in addition to doing their work. i do not know -- if this is necessarily fair to the employees, having to put in this balance. >> to some extent, in this environment, we have to take the reduction. >> the fact is that they do great work, but there is only so much that you can ask of an individual. >> we are well aware and trying to make this easier. and ultimately, to bring in the

steps that will be included. >> we will openness to public comment. any member of the public who wishes to speak? mr. decosta? >> i am francisco decosta. i have been coming here since 2001. what we have here is a very general report. i would suggest putting the name of the company, and how much money was paid. having said this, we have a group of people with the documentation and the freedom of information act, the privacy act, and the other means given to us. what we have seen over the years, this cost the city

millions of dollars. we had 100,000 -- going into the watershed. we have millions of dollars, nothing was mentioned. millions of dollars, wasted by the san francisco redevelopment agency, and we know all of the corruption. this is on treasure island development -- nothing is given in detail. the san francisco general hospital, which is over their budget, much of this is not set. you have other types of -- what happened in wall street and on the national level. you have the algorithms, so far

and so forth. we are very astute people. we have the board of supervisors -- we cannot afford to push under the rug certain things that the constituents of said francisco have yet to hear about. we have to do is stop attending meetings like this. we have the documentation, we have the documentation -- and thank you very much for hearing my comments. i want to thank those with the freedom of information act for doing a wonderful job. thank you. >> to the next speaker? >> good afternoon, supervisors.

i have lived here for 59 years. lately, speaker mentioned that they did have jurisdiction under laguna at the general hospital. in her later comments, i did not hear about any other organization being mentioned. i am a little confused about these organizations -- or the other possibilities that there was anything studied at either of those organizations. and if this can be clarified. and if this is the case that both of them were examined, recently, then i would urge that they be examined by the external auditors, in regard to the

everyday operations. the organizations used so much general funding, and the hospital -- they haven't received noticeable, negative publicity lately. this does justify having more study put into this. and because the doctor is no longer here in san francisco, it is only fair to all of the user's to clarify the exact status of the operation of the department of public health, especially the general hospital. as i have said earlier, every dollar is so important to the users, so that if one or both was well-run, we would have no problem saying that these were well-run. if they are not, we owe this to

everyone to examine this closely. and they will see, whether or not this is well-run. >> the next speaker? >> ♪ government anudit and oversight make the budget turn out right. tonight, tonight. i'd like the audiot oversight. and they'd turn out late and bring the budget out right bring it back today here comes the budget night and i want it brought back oversight. here comes the budget knight again ♪

>> thank you, mr. paulson. does anyone else wish to speak? public comment is closed. i want to thank the comptroller's office. i want to thank the outside auditors for their work, and i also want to thank the department's staff, who came to present to this committee, and you cannot have clean and open government without a robust oversight function. we take this very seriously. it is important for us to be very open about the areas where there is the need for improvement. it is important for us to hear back from the department, about the steps that they are taking to discuss these efficiencies. with this or any other report. hun-- we can file this item

without objection? i want to thank every member of the public for being here. is there any other business. >> no further business. >> meeting adjourned. thank you.