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PUC audit flags lease management problems, cites possible underpayments by Hanson/Hansen Aggregates

San Francisco Public Utilities Commission · November 23, 2010
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Summary

PUC staff reported Controller's Office audits finding inadequate lease administration for several properties, including a Mission Valley Quarry audit that identified up to $643,000 in questioned amounts and recommended review; staff said no fraud was found but pledged reorganizing real estate oversight.

San Francisco — The San Francisco Public Utilities Commission told commissioners Tuesday that recent Controller's Office audits found weaknesses in the agency's administration of real-estate leases and identified potential underpayments and record-keeping shortfalls.

The General Manager reported that two audits have been issued and a third is being released. The Mission Valley Quarry audit (Hansen/Hanson Aggregates Mid Pacific Inc.) covered 2004 through February 2008…

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