A week after uncovering a hidden-funds scandal at the state parks department, finance officials are now trying to piece together why the balance sheets for similar "special funds" are off by $2.3 billion -- money that appeared to be right under their noses amid California's financial meltdown.
What many have long suspected about California government is now becoming confirmed as fact: where there is not corruption, there is incompetence. Where there is not incompetence, there is corruption. And, in all too many places, there's both.
An analysis by this newspaper of California's little-known 500-plus special funds -- like the ones that included $54 million in parks money shielded from the Department of Finance -- shows tens of millions of dollars in discrepancies in numerous accounts.
The fund that gives restitution to violent crime victims was off by $29 million. The one that provides kids low-cost health insurance was $30 million out of balance. The fund that rewards people for recycling bottles and cans was $113 million off.