Bill Text: NY A10590 | 2023-2024 | General Assembly | Introduced

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Bill Title: Requires annual audits of the use of statewide opioid settlement funds by the office of alcoholism and substance abuse.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2024-06-20 - referred to alcoholism and drug abuse [A10590 Detail]

Download: New_York-2023-A10590-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                          10590

                   IN ASSEMBLY

                                      June 20, 2024
                                       ___________

        Introduced  by COMMITTEE ON RULES -- (at request of M. of A. Jackson) --
          read once and referred to the Committee on Alcoholism and Drug Abuse

        AN ACT to amend the mental hygiene law, in  relation  to  requiring  the
          state  comptroller and the attorney general to conduct an annual audit
          of the office of addiction services  and  supports  use  of  statewide
          opioid settlement funds

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

     1    Section 1. The mental hygiene law is amended by adding a  new  section
     2  25.19 to read as follows:
     3  § 25.19 Independent audit of statewide opioid settlements.
     4    1. At least once every year, the comptroller, the attorney general and
     5  the  independent  certified public accountants selected pursuant to this
     6  section shall conduct audits of the internal  controls  of  the  use  of
     7  statewide  opioid  settlements  by  the office of addiction services and
     8  supports. Such audits shall be performed in  accordance  with  generally
     9  accepted  government  auditing  standards  and shall include a report on
    10  whether the office's internal controls are established  and  functioning
    11  in a manner that provides reasonable assurance that they meet the objec-
    12  tives  of  internal  control as defined in section nine hundred fifty of
    13  the executive law. Such report shall  identify  internal  controls  both
    14  evaluated  and  not  evaluated and shall identify internal control weak-
    15  nesses that have not been corrected and actions that are recommended  to
    16  correct  such  weaknesses.  If  any such internal control weaknesses are
    17  significant or material with respect to such departments, the  independ-
    18  ent  auditors  shall  so state. The comptroller and the attorney general
    19  shall make available to the public the results of such audits, including
    20  any related management letters. The comptroller and attorney general and
    21  any officer or employee of such departments shall  make  available  upon
    22  requests  to such independent certified public accountants all books and
    23  records relevant to such independent audits.
    24    2. The comptroller and the attorney general  shall  request  proposals
    25  from independent certified public accountants for audits of the internal
    26  controls  of  their  respective  departments. Such request for proposals

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD07571-01-3
        A. 10590                            2

     1  shall include a reference  to  the  requirements  for  audits  conducted
     2  pursuant  to subdivision one of this section. The comptroller and attor-
     3  ney general shall select such independent auditors in accordance with  a
     4  competitive  procedure  including  an  evaluation,  based on quality and
     5  price factors, or any proposals received in response  to  such  requests
     6  for proposals.
     7    3. Whenever the comptroller or the comptroller's appointee is a member
     8  of  any  board,  commission,  committee,  council, or corporation, which
     9  constitutes a state agency, the governing body of  such  board,  commis-
    10  sion,  committee,  council,  or  corporation shall select an independent
    11  auditor for the purpose of conducting audits  of  internal  controls  in
    12  accordance with this section.
    13    §  2.  Subdivision  (c) of section 19.09 of the mental hygiene law, as
    14  added by chapter 223 of the laws of 1992, is amended to read as follows:
    15    (c) (1) In conducting  any  investigation,  audit,  financial  review,
    16  inspection,  or hearing, the commissioner may subpoena witnesses, compel
    17  their attendance, administer oaths to witnesses, examine witnesses under
    18  oath, and require the production of any books or papers deemed  relevant
    19  to  the investigation, inspection, or hearing. Subpoenas issued shall be
    20  regulated by the civil practice law and rules.  The  confidentiality  of
    21  information obtained by the commissioner from patients' records shall be
    22  maintained in accordance with state and federal law.
    23    (2)  The  commissioner  shall make available upon request to the state
    24  comptroller, the attorney general, and the independent certified  public
    25  accountants  completing annual audits, pursuant to section 25.19 of this
    26  title, all books and records relevant to such independent audits.
    27    § 3. Paragraph a of subdivision 2-b of section 8 of the state  finance
    28  law,  as added by chapter 510 of the laws of 1999, is amended to read as
    29  follows:
    30    a. Either as part of one or more  audits,  or  separately,  conducting
    31  periodic  audits  of  internal controls and operations of state agencies
    32  (other than those state agencies for which an audit is required pursuant
    33  to sections nine hundred fifty-three and nine hundred fifty-four of  the
    34  executive  law)  and of covered authorities.  Audits of statewide opioid
    35  settlements shall be conducted annually pursuant to section 25.19 of the
    36  mental hygiene law. All such audits shall  be  performed  in  accordance
    37  with  generally  accepted  government auditing standards. Nothing in the
    38  New York state governmental accountability, audit and  internal  control
    39  act  shall  be  deemed  to diminish or impair the comptroller's power to
    40  audit and authority to supervise accounts under articles V and X of  the
    41  state  constitution and this chapter. The audits shall identify internal
    42  control weaknesses that have not been corrected  and  actions  that  are
    43  recommended  to  correct  these weaknesses. If any such internal control
    44  weaknesses are significant or material with respect to the operations of
    45  the agency that is the subject of the audit, the  comptroller  shall  so
    46  state. The comptroller shall make available to the public the results of
    47  any such audits.
    48    § 4. Section 63 of the executive law is amended by adding a new subdi-
    49  vision 17 to read as follows:
    50    17.  Conduct  an annual audit of statewide opioid settlements pursuant
    51  to the provisions of section 25.19 of the mental hygiene law.
    52    § 5. This act shall take effect immediately.