Bill Text: NY A08936 | 2019-2020 | General Assembly | Introduced

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Bill Title: Relates to comprehensive and regular management and operations audits.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Passed) 2020-12-23 - signed chap.358 [A08936 Detail]

Download: New_York-2019-A08936-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                          8936

                   IN ASSEMBLY

                                     January 2, 2020
                                       ___________

        Introduced by M. of A. THIELE -- read once and referred to the Committee
          on Corporations, Authorities and Commissions

        AN ACT to amend the public authorities law, in relation to comprehensive
          and regular management and operations audits

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:

     1    Section 1. Section 1020-s of the public authorities law, as amended by
     2  chapter 388 of the laws of 2011, is amended by adding a new  subdivision
     3  3 to read as follows:
     4    3.  In the event that a comprehensive and regular management and oper-
     5  ations audit, as provided by subdivision (bb) of  section  one  thousand
     6  twenty-f  of  this  article,  indicates  a  finding  of fraud, abuse, or
     7  mismanagement by a service provider of the authority, and upon a finding
     8  by the public service commission that reasonable cause  exists  for  the
     9  basis  of  such indication, the public service commission may order that
    10  any recommendations contained in the regular management  and  operations
    11  audit  be implemented. The public service commission may also provide in
    12  their order, the date in which any recommendation must be  fully  imple-
    13  mented.  Failure to comply with any such order can result in the imposi-
    14  tion of a civil penalty by the public  service  commission  against  the
    15  service  provider  or  revocation of the service provider's authority to
    16  operate within the state.
    17    § 2. Subdivision (bb) of section 1020-f of the public authorities law,
    18  as amended by section 7 of part A of chapter 173 of the laws of 2013, is
    19  amended by adding a new paragraph 5 to read as follows:
    20    5. Notwithstanding the foregoing, in the event  that  a  comprehensive
    21  and  regular  management and operations audit as conducted in accordance
    22  with this subdivision indicates a finding of fraud, abuse or  mismanage-
    23  ment  by  a service provider of the authority, and upon a finding by the
    24  public service commission that reasonable cause exists for the basis  of
    25  such indication, the public service commission may order that any recom-
    26  mendations  contained  in the regular management and operations audit be
    27  implemented. The public service commission may  also  provide  in  their
    28  order, the date in which the recommendations be fully implemented. Fail-

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD14227-02-9
        A. 8936                             2

     1  ure  to  comply  with  any  such order can result in the imposition of a
     2  civil penalty by the  public  service  commission  against  the  service
     3  provider.
     4    §  3.  This  act  shall take effect immediately and shall apply to all
     5  audits conducted on or after such effective date.