PEER Report #6

A REPORT ON MISSISSIPPI STATE HIGHWAY DEPARTMENT PROJECT NO. 63-0910-00-025-10 (ACCESS ROAD TO LITTON INDUSTRIAL FACILITIES, JACKSON COUNTY), August 22, 1973, 10 pages

During an examination of the accounting procedures and financial control of the Mississippi State Highway Department, a departure from procedure was discovered in the construction project on the access road to Litton Industrial Facilities. This report detailed the project and terms of the contract.

As a result of the failure of Highway Department officials to establish guidelines for compensation of contractors, the L & A Contracting Company was overpaid by approximately $284,000. The contractor should have been notified immediately and restitution made. The Committee recommended that the Highway Commission authorize the Attorney General to file suit on behalf of the department to collect the overpayment, if necessary.

For a paper copy of this report, contact PEER by telephone at 601-359-1226 or by e-mail at reports@peer.ms.gov.