Washington State

House of Representatives

Office of Program Research

BILL

ANALYSIS

General Government & Information Technology Committee

SSB 5206

This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

Brief Description: Addressing state audit findings of noncompliance with state law.

Sponsors: Senate Committee on Ways & Means (originally sponsored by Senators Becker, Miloscia, Bailey, Braun, Padden, Hewitt, Hill, Dammeier, Honeyford and Parlette).

Brief Summary of Substitute Bill

  • Requires state agencies receiving a State Auditor's Office (SAO) post-audit with findings of noncompliance with state law to submit a remediation plan to numerous state entities.

  • Requires the SAO to notify numerous state entities if substantial progress in remediation is not made at the subsequent audit.

  • Allows specified legislative committees, upon SAO notification, to refer the findings of noncompliance to the Attorney General.

Hearing Date: 2/24/16

Staff: Lily Sobolik (786-7157).

Background:

The State Auditor Office's (SAO) annually audits certain statewide financial statements prepared by the Office of Financial Management (OFM) and conducts post-audits of state agencies. The SAO must send reports of its audits to the Governor, OFM, the state agency audited, the Joint Legislative Audit and Review Committee (JLARC), legislative fiscal committees, the Secretary of the Senate, and the Chief Clerk of the House. The SAO must send reports of audits with findings of noncompliance with state law to the Attorney General.

Summary of Bill:

Within 30 days of receiving an audit finding that it has not complied with state law, the audited agency must submit a remediation plan to the Governor, State Auditor, OFM, JLARC, and relevant House and Senate fiscal and policy committees. If, at the subsequent audit, the SAO determines that the audited agency has not made substantial progress in remediating its noncompliance, the SAO must notify the foregoing entities, and OFM. The Senate Committee on Facilities and Operations and the Executive Rules Committee of the House of Representatives may refer the finding of noncompliance to the Attorney General for appropriate legal action.

Appropriation: None.

Fiscal Note: Available.

Effective Date: The bill takes effect 90 days after adjournment of the session in which the bill is passed.