X REMOVAL PROCEEDINGS AND INVESTIGATIONS Communication from District Attorney of Onondaga County, Alleging Mismanagement of the Affairs of the State Fair Commission In the Matter of the Investigation of the State Fair Commission OFFICE OF THE DISTRICT ATTORNEY OF ONONDAGA. COUNTY SYRACUSE, N. Y., March 20, 1919. Hon. ALFRED E. SMITH, Governor of the State of New York, Executive Chamber, Albany, N. Y.: DEAR SIR-In making investigation in the performance of my duties as district attorney of Onondaga county, it has come to my attention that irregularities, amounting to crimes in many instances, have existed in the management of the affairs of the New York State Fair Commission. Several of these lines of inquiry I am pursuing but my facilities for the handling of such matters, under the appropriations available, are very limited. There are cases apparently of forging of pay rolls; of payments of alleged employees for services not rendered; of letting of contracts under specifications which were sufficiently unfair to preclude competitive bidding on the part of contractors, not conversant with the ultimate action of the commission, and other matters which I have in hand and can in detail disclose to yourself or your representative. I feel that in view of this discovery, it is my duty to call your attention to the situation, in order that, if you deem it advisable, you may appoint a commissioner under the provisions of section 8 of the Executive Law to examine and investigate the management and affairs of this commission. It seems to me the duty of the State, in view of this situation which has developed, to have this matter thoroughly examined in order that remedies may be applied to prevent the recurrence of improprieties and irregularities. li in the course of the investigation evidence is adduced showing further criminal acts, I will in the performance of my duties, immediately present the same to the grand jury of this county. (Signed) Very truly yours, JOHN H. WALRATH. APPOINTMENT OF COMMISSIONER In the Matter of the Investigation of the State Fair Commission STATE OF NEW YORK EXECUTIVE CHAMBER To All to Whom These Presents Shall Come, GREETING: KNOW YE, That pursuant to section 8 of the Executive Law, I have appointed and by these presents do appoint CHARLES E. NORRIS, of Carthage, to examine and investigate the management and affairs of the New York State Fair Commission. IN WITNESS WHEREOF, I have subscribed my name to these presents and caused the Privy Seal of the State to be [L.S.] affixed hereto, at the Capitol in the city of Albany, this twenty-eighth day of March in the year of our Lord one thousand nine hundred and nineteen. By the Governor : (Signed) ALFRED E. SMITH. GEORGE R. VAN NAMEE, Secretary to the Governor. REPORT OF COMMISSIONER In the Matter of the Investigation of the State Fair Commission To Honorable ALFRED E. SMITH, Governor of the State of New York, Albany, New York: SIR. Pursuant to your commission of March 28, 1919, by which I was designated to examine into and investigate the management of the affairs of the New York State Fair Commission, I beg to submit herewith the report of such investigation. At the outset I was furnished with a copy of the charges presented to you by the District Attorney of Onondaga county, containing a request for the appointment under section 8 of the Executive Law of a Commissioner to probe the affairs of the State Fair Commission. Several conferences were had with the District Attorney of Onondaga county and from him was secured a statement of such alleged irregularities as had been brought to his attention, together with the results of his investigation. Expert accountants were employed and a thorough examination of all books, vouchers, payrolls and transactions of the Commission was made. Complete analyses of all contracts and contract work, as well as all purchases of materials, were prepared. A study of these analyses with the aid of a competent engineer revealed no corruption on the part of the Commission, or the various contractors. An exhaustive inquiry into all claimed irregularities in the conduct of the business of the Commission discloses nothing which would reasonably warrant censure, or justify the expense of public hearings. Notwithstanding the foregoing, certain matters of practice which have heretofore obtained should be corrected. Under the statute creating the State Fair Commission, provision was made for the adoption of Rules and Regulations for the conduct of its affairs. No such Rules and Regulations have ever been adopted. Such a code is contemplated by the statute should be adopted to serve as a guide for the officers and employees of the Commission in the performance of their duties and the conduct of its routine affairs. It appears to have been the practice of the Superintendent of the State Fair grounds to order such supplies and materials as he deemed necessary, and the bills therefor were paid by the treasurer of the Commission upon the mere O. K. of the superintendent of grounds. There should be some limitation placed upon the superintendent's power of purchase without the express authorization of the Commission. There should also be put into effect a system of requisition for the purchase of supplies and materials and a further scheme for checking the receipts of the same before payment there for by the_treasurer. The minutes of the proceedings of the State Fair Commission show that only a part of the bills incurred for supplies and materials ever come before it for official approval. As to all expenditures of every nature, these minutes should show the authorization for the same by the Commission. The records of the Commission indicate that in many cases contracts for work and the purchase of materials amounting to thousands of dollars have |