First DAVE Report From The Office Of State Auditor Identifies Potential Cuts
The North Carolina Office of State Auditor (OSA) released a comprehensive, data-driven performance audit, highlighting long-term vacancies across state agencies and significant impact of lapse salary generates when the positions remain unfilled.
“Long-term vacancies muddy the waters of government expenditures. In some agencies, you have tax dollars meant to go to a person serving a valuable state need, but instead that spot sits empty for years and the money goes elsewhere,” said State Auditor Dave Boliek. “This first government efficiency report provides lawmakers and the public with needed transparency, and valuable data to make strategic, fiscally responsible decisions for North Carolina’s future. It includes several different options to improve government efficiency, from cuts to job vacancies, to increases in areas where additional resources may be necessary.”
According to the information submitted to the OSA’s Division of Accountability, Value, and Efficiency (DAVE), along with data accessed by the OSA team, there are 8,846 long-term vacancies across 46 of North Carolina’s state agencies. These vacant positions generated $1.04 billion in lapsed salary.
Lapsed salary is defined by the Office of State Budget and Management, part of the Governor's administration, as the amount not expended for salary during the entire period in which the position was vacant. The long-term vacant positions are funded by state appropriations, specific agency-generated receipts, and federal funding and grants. While state agencies do expend generated lapsed salary, the total $1.04 billion generated does not necessarily represent actual dollars that were available and/or used by state agencies for other purposes, or total funds available in the future if long-term vacancies were eliminated.
he state agencies with the highest number of long-term vacancies, defined as six months or longer, were:
The Department of Health and Human Services with 3,074 vacancies generating $375 million in lapsed salary;
The Department of Adult Corrections with 2,817 vacancies generating $228.6 million in lapsed salary.
The Department of Transportation with 838 vacancies generating $78.6 million in lapsed salary;
The Department of Commerce with 684 vacancies, generating $226.1 million in lapsed salary.
The audit outlines several cost-saving measures that can be taken. For example, elimination of positions vacant for five years or more that do not include federally funded or unfunded placeholder positions would cut 140 job vacancies, and result in an estimated $1.9 million in direct state appropriations savings and allow for the potential reallocation of $4.5 million in receipts. In another scenario, eliminating positions vacant for one year or more would cut 4,514 job vacancies, and create an estimated $138 million in state appropriations savings and allow for the potential reallocation of $79 million in receipts.
Additionally, the report notes uncompetitive pay for correctional officers, nursing assistants, registered nurses, licensed practical nurses, and youth counselors. It was also found that the State Highway Patrol keeps positions vacant so they can make fuel purchases and respond to other vehicle needs.
