Topeka ? The Kansas Department of Commerce provides millions of dollars each year to companies that promise to create jobs. But a recent state audit says many of those companies are failing to create as many jobs as promised and that the state agency isn’t making sure the job growth reports are accurate.

Commerce “could do more to spot check the numbers to ensure that amounts reported are accurate,” the report by the Legislative Division of Post Audit said.

In a response to the audit, Commerce Deputy Secretary Steve Kelly disputed some of the findings.

Commerce doles out about $11 million per year in job expansion funds under four major programs, according to the audit.

The audit stated that Commerce officials said they don’t have sufficient staff to verify the accuracy of job growth figures, so they often rely on the honesty of companies.

A sample of 24 companies that received state assistance from 1999-2001 found that about 3,800 jobs were created, but the companies had promised to create 6,700 jobs, the audit said.

But Kelly said the sample taken by the audit staff was “misleading.” In one program — called Investments in Major Projects and Comprehensive Training — Kelly said the success rate was 90 percent, and of those successful projects, more than the promised number of jobs were created.

But the audit further states that some of the companies receiving funds from the state weren’t submitting the required reports to show job progress.

“It’s important for reports to be submitted timely because this gives Department staff an opportunity to identify problems and take corrective action promptly,” the audit stated.

Kelly said that the agency pursued legal action “as a last resort” when businesses don’t file required reports.

“In our view, legal action should be initiated only after all other strategies to encourage compliance have been exhausted,” he said.

The audit can be accessed online at www.kslegislature.org/postaudit.