NEW MEXICO MAY HAVE TO RETURN MORE THAN 6-MILLION DOLLARS TO THE FEDERAL GOVERNMENT. AN AUDIT BY THE INSPECTOR GENERAL'S OFFICE CLAIMS THREE BUREAUS IN THE STATE ENVIRONMENT DEPARTMENT DID NOT COMPLY WITH REQUIREMENTS FOR CHARGING LABOR, FRINGE BENEFITS AND OTHER COSTS RELATED TO FEDERAL GRANTS.
THE BUREAUS NOW OWE THE FEDS A REFUND. THE AGENCIES ADMIT SOME WORK WASN'T SUFFICIENTLY DOCUMENTED, BUT SAY THE PROBLEM HAS BEEN CORRECTED. THEY SAY ALL ACTIVITIES REQUIRED BY THE GRANTS WERE COMPLETED AND NO FUNDS WERE MISUSED.