State Overspends Federal Money

Years of accounting errors has lead to Nebraska‘s Department of Labor overspending its allocations for the 20-some federal grant programs it administers. The errors were discovered in an audit…. that according to State Auditor Mike Foley. Foley says the Dept. of Labor has overspent to the tune of almost 7-million dollars.  The next step is for state officials to meet with the Feds to determine how to set the books right.  Foley doesn’t believe it is a case of fraud.  He says it was probably a lack of competence with the key accounting staff with the Dept. of Labor.  There is a possibility that the Feds could write off the deficit.