The Legislative Audit and Fiscal Review Committee heard on Aug. 14 that the North Dakota Ethics Commission could not fully answer three financial questions about the Burlington Drive lease and renovation project and has asked the committee to review them.

The commission, represented by Executive Director Rebecca Binstock and special assistant attorney general Patricia Munson, presented its May 27, 2025 report and said it had exhausted investigatory avenues available to it in the ethics review and that the committee and other state bodies were better positioned to complete the financial accounting.

Why it matters: the commission found inconsistent documentation, a large “overage” in project cost estimates and invoices and a separate un-itemized invoice of about $1.3 million that was paid before the end of the 2019–2021 biennium. The commission said those facts left open questions about appropriation authority, the timing and completeness of any reconciliation between the Office of the Attorney General and the property owner, and whether a performance audit is required.

Key points from the commission’s presentation: the commission documented that the office of the attorney general received an invoice described as “overages per lease at build out and addition” for roughly $1.3 million and that, after other recoveries, a roughly $400,000 balance remained. The commission reported it could not determine when or whether that balance was ultimately reconciled in a manner visible to third parties, and cited a formerly produced check of $224,854.93 that Stealth (the property owner) provided to the AG’s accounting staff in late 2022.

Patricia Munson told the committee that the commission’s investigation relied on documents and recorded interviews and that it contained 581 footnotes supporting its findings. “The commission believes this committee is in the best position to provide public and transparent answers to these questions,” Munson told the committee.

Reaction and next steps: the committee asked the attorney general’s office to provide a concise reconciliation of the Burlington project financials and supporting documents to the committee in advance of the committee’s December meeting. The committee’s chair said members want a written reconciliation of how the $525,000 figure the AG’s office reports as recovered was calculated, and the AG’s finance staff agreed to provide the reconciliation and supporting materials for committee review.

The Ethics Commission made no allegation that the AG’s office acted illegally; it reported open questions that prevented it from completing a separate financial answer and recommended the committee consider whether a further performance audit is necessary.

The committee will review the AG office reconciliation and related records at its December meeting; members may request a follow-up audit depending on the documentation supplied.