Pubdate: Thu, 28 Mar 2013
Source: Denver Post (CO)
Copyright: 2013 The Denver Post Corp
Contact:  http://www.denverpost.com/
Details: http://www.mapinc.org/media/122
Author: Eric Gorski
Page: 4A

AGENCY'S "SHOPPING SPREE" CRITICIZED

Legislators Question Spending by the Medical Marijuana Enforcement
Division on Patio Furniture and a Vehicle Fleet.

State legislators Wednesday sharply criticized the state agency
overseeing Colorado's medical-marijuana industry for spending on patio
furniture, $1,000 office chairs and a vehicle fleet it didn't need,
all at a time it was struggling to fulfill its enforcement duties.

Officials with the Department of Revenue and its Medical Marijuana
Enforcement Division acknowledged errors and cited steps it has taken,
including stricter oversight and new leadership.

At a hearing Wednesday, the state Legislative Audit Committee
completed its review of a state audit of the division by zeroing in on
expenses auditors found to be unreasonable and inappropriate.

"I am speechless," said Rep. Angela Williams, D-Denver, the committee
chairwoman. "It appears there was a shopping spree."

"Apparently," said Sen. Steve King, R-Grand Junction, "we haven't
learned anything from $400 federal hammers."

The audit portrayed the division as adrift and ineffective-failing to
track medical-marijuana inventory, license businesses in a timely
manner or keep potentially unqualified people out of the business.

Auditors questioned the division for spending about $250,000 on
furniture in fiscal year 2011, including $28,000 for seven desk
extenders, $16,000 for three cubicles and $4,200 for four office chairs.

The division bought the furniture without a competitive bidding
process from Colorado Correctional Industries, a division of the
Department of Corrections that puts criminal offenders towork through
60 programs-including manufacturing furniture.

Revenue officials cited a state statute requiring agencies to purchase
some items from the corrections division. But auditors found more
affordable furniture available online, and pointed out agencies can
get waivers to put purchases out to bid.

Sen. Louis Tochtrop, D-Thornton, said she was surprised Colorado
Correctional Industries charged $1,000 for office chairs.

"I just find that pretty unreasonable," she said. "I am
appalled."

The director of Colorado Correctional Industries did not respond to a
request for comment.

Laura Harris, director of the enforcement division, said $1,800 worth
of patio furniture bought for a break room was "pretty
unreasonable."

Auditors also criticized the division for leasing 33 vehicles-
including 21 sport utility vehicles - it couldn't justify. The fleet
was downsized.

Then-division director Dan Hartman was reassigned to another division
of the Department of Revenue in November 2011 and replaced by Harris,
who had been director of tobacco and liquor enforcement.

Barbara Brohl, the executive director of the revenue department since
July 2011, said Wednesday she wanted "new eyes." She said the division
reviewed all operations and curbed spending after the change.
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MAP posted-by: Matt