Bill Text: OR HB2783 | 2011 | Regular Session | Introduced
Bill Title: Relating to audits; declaring an emergency.
Sponsorship: Partisan Bill (Republican 1)
Status: (Failed) 2011-06-30 - In committee upon adjournment. [HB2783 Detail]
Download: Oregon-2011-HB2783-Introduced.html
76th OREGON LEGISLATIVE ASSEMBLY--2011 Regular Session
NOTE: Matter within { + braces and plus signs + } in an
amended section is new. Matter within { - braces and minus
signs - } is existing law to be omitted. New sections are within
{ + braces and plus signs + } .
LC 1335
House Bill 2783
Sponsored by Representative THATCHER (Presession filed.)
SUMMARY
The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.
Creates Director of Legislative Audit Office appointed by Joint
Legislative Audit Committee. Expands pool of members eligible to
serve on committee. Authorizes director to conduct performance
and management audits of state agencies and programs and other
state-funded programs. Requires director to maintain Government
Waste Hotline.
Repeals statutory authority of Secretary of State to conduct
performance and program audits.
Declares emergency, effective on passage.
A BILL FOR AN ACT
Relating to audits; creating new provisions; amending ORS
171.425, 171.580, 171.585, 182.568, 244.050, 291.100, 291.272,
297.030, 297.040, 297.210, 297.230 and 419C.001; repealing ORS
171.590, 177.170, 177.180, 297.065 and 297.070; and declaring
an emergency.
Be It Enacted by the People of the State of Oregon:
SECTION 1. { + As used in sections 1 to 7 of this 2011 Act, '
state agency' has the meaning given that term in ORS 291.272. + }
SECTION 2. { + (1) The Joint Legislative Audit Committee shall
select the Director of the Legislative Audit Office, who shall
serve at the pleasure of the committee and under its direction.
(2) Pursuant to the policies and directions of the committee,
the director shall:
(a) Conduct performance and management audits of state agencies
and programs and other state-funded programs; and
(b) Maintain the Government Waste Hotline established under
section 6 of this 2011 Act.
(3) Pursuant to the policies and directions of the committee,
the director may enter into contracts to carry out the functions
of the director. + }
SECTION 3. { + (1) In conducting an audit under section 2 of
this 2011 Act:
(a) The Director of the Legislative Audit Office may examine
and inspect all accounts, books, records, files, papers and
documents and all financial affairs of any public body as defined
in ORS 174.109.
(b) The director may cause a search to be made of and extracts
to be taken from any account, book, record, file, paper or
document in the custody of any public officer without paying any
fee for the search or extract. Any public officer having custody
of the account, book, record, file, paper or document shall make
any search requested by the director and furnish the extracts as
requested.
(c) The director may issue:
(A) Subpoenas compelling at a specified time and place the
appearance and sworn testimony of any person who the director
reasonably believes may be able to provide information relating
to any audit or other investigation being undertaken under this
section; and
(B) Subpoenas duces tecum compelling the production of any
account, book, record, file, paper, document or other evidence
that the director reasonably believes may relate to an audit or
other investigation being undertaken under this section.
(2) If a person fails to comply with any subpoena issued under
subsection (1) of this section, a judge of the circuit court of
any county, on application of the director, shall compel
obedience by proceedings for contempt as in the case of
disobedience of the requirements of a subpoena issued from the
circuit court. + }
SECTION 4. { + (1) Subject to the approval of the Joint
Legislative Audit Committee, the Director of the Legislative
Audit Office may employ and fix the compensation of such
professional assistants and clerical and other employees as the
director finds necessary for the effective conduct of the work
under the charge of the director.
(2) The committee shall fix the salary of the director.
(3) Subject to the limitations otherwise provided by law for
expenses of state officers, the director and employees of the
director shall be reimbursed for all actual and necessary
expenses incurred in performing their duties. + }
SECTION 5. { + (1) As used in this section, 'working papers '
means the notes, internal memoranda and records of work performed
by the Director of the Legislative Audit Office on audits and
other investigations undertaken under sections 1 to 7 of this
2011 Act, including any project evidence collected and developed
by the director.
(2) The director and any employees of the director are not
required to disclose any working papers. + }
SECTION 6. { + (1) The Joint Legislative Audit Committee shall
establish a toll-free telephone line that is available to public
employees and members of the public for the purpose of reporting
waste, inefficiency or abuse by state agencies, state employees
or persons under contract with state agencies.
(2) The toll-free telephone line established under this section
shall be known as the Government Waste Hotline. The committee
shall prepare a written notice that explains the purpose of the
hotline. The notice shall prominently display the telephone
number for the hotline and shall be posted in all offices of
state agencies. If a state agency's office is open to members of
the public, the notice shall be posted in a place where the
public is likely to see the notice.
(3) The committee shall publicize the availability of the
hotline through print and electronic media. + }
SECTION 7. { + (1) The Joint Legislative Audit Committee shall
designate one employee of the Director of the Legislative Audit
Office to be responsible for reports of waste, inefficiency or
abuse received through the Government Waste Hotline. The employee
designated under this section shall log all reports received
through the hotline.
(2) Except as provided in subsections (3) and (4) of this
section, the committee, the director or an employee of the
director may not disclose:
(a) The identity of any person making a report through the
hotline;
(b) The contents of a report of waste, inefficiency or abuse
received through the hotline; or
(c) The contents and results of any investigation conducted
under this section.
(3)(a) The committee shall conduct an initial investigation of
each report of waste, inefficiency or abuse made by public
employees and members of the public through the hotline.
Following the initial investigation, the committee shall
determine whether a report should be investigated further and
shall assign any investigation to the director.
(b) If the committee or director determines during the
investigation that a violation of any provision of ORS chapter
244 may be occurring or may have occurred, the committee or
director shall notify the Oregon Government Ethics Commission.
(c) If the committee or director determines during the
investigation that fraud or other criminal activity may be
occurring or may have occurred, the committee or director shall
notify the appropriate law enforcement agency.
(4) Upon completion of an investigation under this section:
(a) The committee shall determine whether officers or employees
of a state agency are engaging in activities that constitute
waste, inefficiency or abuse.
(b) If the committee determines that waste, inefficiency or
abuse has occurred, the director shall prepare a written
determination and may include other information about the nature
of the investigation performed by the committee or director about
the committee's determination. Upon request, the director shall
send a copy of the written determination with any other
information included by the committee to the person who made the
report of waste, inefficiency or abuse.
(c) If the committee determines that officers or employees of a
state agency or public body are involved in activities that
constitute waste, inefficiency or abuse, the committee shall
notify the state agency or public body and deliver a copy of the
committee's written determination to the agency or body.
(d) If the committee determines that waste, inefficiency or
abuse has occurred and has issued a written determination or
provided notice to a state agency or public body under this
subsection, the committee or director shall disclose to the
public the contents of the report of waste, inefficiency or abuse
received through the Government Waste Hotline, the contents and
results of the investigation conducted under this section and a
copy of the written determination or notice.
(5) The committee shall prepare a biennial report and submit it
to each regular session of the Legislative Assembly. The report
shall describe the number, nature and resolution of reports made
through the Government Waste Hotline and shall identify savings
resulting from improved efficiencies or the elimination of waste
or abuse resulting from reports received under section 6 of this
2011 Act and investigations conducted under this section. + }
SECTION 8. ORS 297.030 is amended to read:
297.030. The audits { - , reviews or investigations - }
authorized to be made by the Secretary of State may be assigned
to the Division of Audits as a part of its functions and duties.
SECTION 9. ORS 297.040 is amended to read:
297.040. The costs and expenses of conducting audits authorized
by ORS 297.030 shall be paid from whatever funds are appropriated
by law for use in carrying out the provisions of the respective
laws relating thereto. The costs and expenses shall be charged
and billed to such funds or activities in the same manner as are
costs and expenses charged and billed for audits { - , reviews,
investigations - } and system installations to municipal
corporations and the various state departments, boards and
commissions.
SECTION 10. ORS 297.210 is amended to read:
297.210. (1)(a) The Secretary of State, as State Auditor, shall
have the { + financial + } accounts { - and financial
affairs - } of state departments, boards, commissions,
institutions and state-aided institutions and agencies of the
state { - reviewed or - } audited as the Secretary of State
considers advisable or necessary.
(b) The Secretary of State, as State Auditor, may conduct
audits of the business practices of school districts and
education service districts pursuant to a contract with the
Department of Education authorized by ORS 326.133.
(c) The Secretary of State may subpoena witnesses, require the
production of books and papers and rendering of reports in such
manner and form as the Secretary of State requires and may do all
things necessary to secure a full and thorough investigation.
The Secretary of State shall report, in writing, to the Governor
{ + and the Joint Legislative Audit Committee + }. The report
shall include a copy of the report on each audit.
(2) The Secretary of State may audit { - or review - } any
institution or department of the state government at any time the
executive head of the institution or department, for any reason,
retires from the head's office or position. The secretary need
not conduct an audit { - or review - } under this subsection
if:
(a) The institution or department has been the subject of an
audit { - or review - } of financial controls within the six
months immediately preceding the retirement of the executive head
of the institution or department; or
(b) The secretary has not received a report within the 12
months immediately preceding the retirement of the executive head
of the institution or department indicating that the executive
head of the institution or department was unable or unwilling to
follow state law, rules, policies or procedures.
(3) The Secretary of State shall employ auditors upon such
terms and for such compensation as the Secretary of State
determines are advantageous and advisable.
(4) If a person fails to comply with any subpoena issued under
subsection (1) of this section, a judge of the circuit court of
any county, on application of the Secretary of State, shall
compel obedience by proceedings for contempt as in the case of
disobedience of the requirements of a subpoena issued from the
circuit court.
SECTION 11. ORS 297.230 is amended to read:
297.230. (1) The Division of Audits shall estimate in advance
the expenses that it will incur during the biennium in carrying
out the provisions of ORS 297.030, 297.120 and 297.210, and shall
charge officers, departments, boards and commissions of state
government and other public bodies for their share of such
expenses for periods within the biennium and in sufficient
amounts to provide reasonable cash operating requirements for the
Division of Audits within the biennial period. Each officer,
department, board or commission or other public body shall pay to
the credit of the Division of Audits Account such charge as an
administrative expense from funds or appropriations available to
it in the same manner as other claims against the state or public
body are paid.
(2) { - Payments authorized under this section shall be
consistent with ORS 171.580 and 171.585. - } The Division of
Audits shall report to the { - Joint Legislative Audit
Committee established under ORS 171.580 - } { + Emergency Board
created under ORS 291.324 or the Joint Committee on Ways and
Means created by ORS 171.555 + }when estimated expenses for an
audit authorized under subsection (1) of this section exceed the
estimated expenses for a biennium.
(3) All moneys received from the various state departments,
boards, commissions, institutions and state-aided institutions
and agencies of the state in the payment of the costs of audits
{ - and reviews - } under this section and ORS 297.210 shall be
credited to the Division of Audits Account.
SECTION 12. ORS 171.425 is amended to read:
171.425. The State Archivist shall allow the Legislative Fiscal
Officer, the Legislative Administrator, the Legislative Counsel,
{ + the Director of the Legislative Audit Office + } or the
Legislative Revenue Officer to borrow and temporarily have
possession of { - such - } { + any + } legislative records
{ - as such - } { + the administrator, counsel, director or
+ }officer requests.
SECTION 13. ORS 171.580 is amended to read:
171.580. (1) There is created a Joint Legislative Audit
Committee consisting of { - the cochairs of the Joint Committee
on Ways and Means, members of the House of Representatives
appointed by the Speaker and members of the Senate appointed by
the President. - } { + :
(a) Five members of the House of Representatives appointed by
the Speaker of the House of Representatives, one of whom must be
a member of the Joint Committee on Ways and Means or, if there is
no joint committee, a member of the committee in the House of
Representatives that has jurisdiction over appropriations; and
(b) Five members of the Senate appointed by the President of
the Senate, one of whom must be a member of the Joint Committee
on Ways and Means or, if there is no joint committee, a member of
the committee in the Senate that has jurisdiction over
appropriations. + }
(2) The { + Joint Legislative Audit + }Committee has a
continuing existence and { - may - } { + shall + } meet, act
and conduct { - its - } { + the committee's + } business
during sessions of the Legislative Assembly or any recess
{ - thereof - } { + in a session + } and in the interim
between sessions.
(3) The term of a member { - shall expire - }
{ + expires + } upon the convening of the Legislative Assembly
in regular session next following the commencement of the
member's term. When a vacancy occurs in the membership of the
committee in the interim between sessions, until { - such - }
{ + the + } vacancy is filled, the membership of the committee
{ - shall be considered not to - } { + does not + } include
the vacant position for the purpose of determining whether a
quorum is present and a quorum is a majority of the remaining
members.
(4) { + (a) + } Members of the committee shall receive an
amount equal to that authorized under ORS 171.072 from funds
appropriated to the Legislative Assembly for each day spent in
the performance of their duties as members of the committee or
any subcommittee
{ - thereof - } { + of the committee + } in lieu of
reimbursement for in-state travel expenses. { - However, - }
{ + (b) + } When engaged in out-of-state travel, members
shall { - be entitled to receive their actual and necessary
expenses therefor - } { + receive the expenses actually and
necessarily incurred + } in lieu of the amount authorized by
{ + paragraph (a) of + } this subsection. { +
(c) + } Payment { + under this subsection + } shall be made
from funds appropriated to the { - Legislative Assembly - }
{ + Director of the Legislative Audit Office + }.
{ - (5) - } { + (4) + } The committee may not transact
business unless a quorum is present. A quorum consists of a
majority of committee members from the House of Representatives
and a majority of committee members from the Senate.
{ - (6) - } { + (5) + } Action by the committee requires
the affirmative vote of a majority of committee members from the
House of Representatives and a majority of committee members from
the Senate.
{ - (7) - } { + (6) + } The { - Legislative Fiscal
Office - } { + director + } shall furnish to the committee
{ - such - } { + the + } services of personnel and
{ - such other facilities as - } { + the facilities that + }
are necessary to enable the committee to carry out its functions
as directed by law { - , with such assistance as the Division of
Audits and Oregon Department of Administrative Services can
provide - } .
SECTION 14. ORS 171.585 is amended to read:
171.585. The Joint Legislative Audit Committee shall:
(1) Review all audits and make recommendations for change or
remediation by the agency or other organization under review to
the Emergency Board, the Joint { + Committee on + } Ways and
Means
{ - Committee - } and other persons receiving the audit report
under ORS 192.245.
(2) Accept requests for performance and { - program - }
{ + management + } audits from individual legislators { - , - }
{ + and + } legislative committees { - , the Division of
Audits, the Budget and Management Division and the Legislative
Fiscal Office - } .
{ - (3) In conjunction with the Director of the Division of
Audits, set priorities on the basis of risk assessment for
performance and program audits and program evaluations. - }
{ - (4) - } { + (3) + } With the advice and assistance of
the { - Legislative Fiscal Officer, the Administrator of the
Budget and Management Division and the Director of the Division
of Audits - } { + Director of the Legislative Audit Office + },
determine the type of audit, evaluation or review utilizing
criteria to include but not be limited to the nature and scope of
the task, the time frame involved, necessary professional
guidelines, economy, efficiency, cost and cost responsibility.
{ - (5) - } { + (4) + } Not later than 12 months after the
issuance of an audit report, review the actions of an agency or
other government organization for compliance with the
recommendations of the audit report.
{ - (6) - } { + (5) + } Assign tasks to the
{ - Legislative Fiscal Office, the Budget and Management
Division, the Division of Audits or a special task force - }
{ + director + }.
{ - (7) - } { + (6) + } Review state agency performance
measures and make recommendations for change.
SECTION 15. ORS 244.050 is amended to read:
244.050. (1) On or before April 15 of each year the following
persons shall file with the Oregon Government Ethics Commission a
verified statement of economic interest as required under this
chapter:
(a) The Governor, Secretary of State, State Treasurer, Attorney
General, Commissioner of the Bureau of Labor and Industries,
Superintendent of Public Instruction, district attorneys and
members of the Legislative Assembly.
(b) Any judicial officer, including justices of the peace and
municipal judges, except any pro tem judicial officer who does
not otherwise serve as a judicial officer.
(c) Any candidate for a public office designated in paragraph
(a) or (b) of this subsection.
(d) The Deputy Attorney General.
(e) The Legislative Administrator, the Legislative Counsel, the
Legislative Fiscal Officer, { + the Director of the Legislative
Audit Office, + } the Secretary of the Senate and the Chief Clerk
of the House of Representatives.
(f) The Chancellor and Vice Chancellors of the Oregon
University System and the president and vice presidents, or their
administrative equivalents, in each institution under the
jurisdiction of the State Board of Higher Education.
(g) The following state officers:
(A) Adjutant General.
(B) Director of Agriculture.
(C) Manager of State Accident Insurance Fund Corporation.
(D) Water Resources Director.
(E) Director of Department of Environmental Quality.
(F) Director of Oregon Department of Administrative Services.
(G) State Fish and Wildlife Director.
(H) State Forester.
(I) State Geologist.
(J) Director of Human Services.
(K) Director of the Department of Consumer and Business
Services.
(L) Director of the Department of State Lands.
(M) State Librarian.
(N) Administrator of Oregon Liquor Control Commission.
(O) Superintendent of State Police.
(P) Director of the Public Employees Retirement System.
(Q) Director of Department of Revenue.
(R) Director of Transportation.
(S) Public Utility Commissioner.
(T) Director of Veterans' Affairs.
(U) Executive director of Oregon Government Ethics Commission.
(V) Director of the State Department of Energy.
(W) Director and each assistant director of the Oregon State
Lottery.
(X) Director of the Department of Corrections.
(Y) Director of the Oregon Department of Aviation.
(Z) Executive director of the Oregon Criminal Justice
Commission.
(AA) Director of the Oregon Business Development Department.
(BB) Director of the Office of Emergency Management.
(CC) Director of the Employment Department.
(DD) Chief of staff for the Governor.
(EE) Administrator of the Office for Oregon Health Policy and
Research.
(FF) Director of the Housing and Community Services Department.
(GG) State Court Administrator.
(HH) Director of the Department of Land Conservation and
Development.
(II) Board chairperson of the Land Use Board of Appeals.
(JJ) State Marine Director.
(KK) Executive director of the Oregon Racing Commission.
(LL) State Parks and Recreation Director.
(MM) Public defense services executive director.
(NN) Chairperson of the Public Employees' Benefit Board.
(OO) Director of the Department of Public Safety Standards and
Training.
(PP) Chairperson of the Oregon Student Assistance Commission.
(QQ) Executive director of the Oregon Watershed Enhancement
Board.
(RR) Director of the Oregon Youth Authority.
(SS) Director of the Oregon Health Authority.
(h) Any assistant in the Governor's office other than personal
secretaries and clerical personnel.
(i) Every elected city or county official.
(j) Every member of a city or county planning, zoning or
development commission.
(k) The chief executive officer of a city or county who
performs the duties of manager or principal administrator of the
city or county.
(L) Members of local government boundary commissions formed
under ORS 199.410 to 199.519.
(m) Every member of a governing body of a metropolitan service
district and the executive officer thereof.
(n) Each member of the board of directors of the State Accident
Insurance Fund Corporation.
(o) The chief administrative officer and the financial officer
of each common and union high school district, education service
district and community college district.
(p) Every member of the following state boards and commissions:
(A) Board of Geologic and Mineral Industries.
(B) Oregon Business Development Commission.
(C) State Board of Education.
(D) Environmental Quality Commission.
(E) Fish and Wildlife Commission of the State of Oregon.
(F) State Board of Forestry.
(G) Oregon Government Ethics Commission.
(H) Oregon Health Policy Board.
(I) State Board of Higher Education.
(J) Oregon Investment Council.
(K) Land Conservation and Development Commission.
(L) Oregon Liquor Control Commission.
(M) Oregon Short Term Fund Board.
(N) State Marine Board.
(O) Mass transit district boards.
(P) Energy Facility Siting Council.
(Q) Board of Commissioners of the Port of Portland.
(R) Employment Relations Board.
(S) Public Employees Retirement Board.
(T) Oregon Racing Commission.
(U) Oregon Transportation Commission.
(V) Wage and Hour Commission.
(W) Water Resources Commission.
(X) Workers' Compensation Board.
(Y) Oregon Facilities Authority.
(Z) Oregon State Lottery Commission.
(AA) Pacific Northwest Electric Power and Conservation Planning
Council.
(BB) Columbia River Gorge Commission.
(CC) Oregon Health and Science University Board of Directors.
(DD) Capitol Planning Commission.
(q) The following officers of the State Treasurer:
(A) Chief Deputy State Treasurer.
(B) Chief of staff for the office of the State Treasurer.
(C) Director of the Investment Division.
(r) Every member of the board of commissioners of a port
governed by ORS 777.005 to 777.725 or 777.915 to 777.953.
(s) Every member of the board of directors of an authority
created under ORS 441.525 to 441.595.
(2) By April 15 next after the date an appointment takes
effect, every appointed public official on a board or commission
listed in subsection (1) of this section shall file with the
Oregon Government Ethics Commission a statement of economic
interest as required under ORS 244.060, 244.070 and 244.090.
(3) By April 15 next after the filing deadline for the primary
election, each candidate described in subsection (1) of this
section shall file with the commission a statement of economic
interest as required under ORS 244.060, 244.070 and 244.090.
(4) Within 30 days after the filing deadline for the general
election, each candidate described in subsection (1) of this
section who was not a candidate in the preceding primary
election, or who was nominated for public office described in
subsection (1) of this section at the preceding primary election
by write-in votes, shall file with the commission a statement of
economic interest as required under ORS 244.060, 244.070 and
244.090.
(5) Subsections (1) to (4) of this section apply only to
persons who are incumbent, elected or appointed public officials
as of April 15 and to persons who are candidates on April 15.
Subsections (1) to (4) of this section also apply to persons who
do not become candidates until 30 days after the filing deadline
for the statewide general election.
(6) If a statement required to be filed under this section has
not been received by the commission within five days after the
date the statement is due, the commission shall notify the public
official or candidate and give the public official or candidate
not less than 15 days to comply with the requirements of this
section. If the public official or candidate fails to comply by
the date set by the commission, the commission may impose a civil
penalty as provided in ORS 244.350.
SECTION 16. ORS 291.100 is amended to read:
291.100. (1) It is the intent of the Legislative Assembly, in
funding the development and implementation of a new statewide
financial management system, that statewide financial management
systems and policies support program-driven budget planning and
execution, based on timely and accurate statewide managerial cost
accounting information and that such systems support legislative
program evaluation and performance { + and management + }
auditing of statewide programs and services.
(2) The Oregon Department of Administrative Services shall
devise and supervise statewide financial management systems for
all state agencies by preparing policies and procedures for
implementing and operating financial management systems for all
agencies in state government and measuring implementation. In
order to assure that the state's investment in a modern and
complete statewide financial management system is fully
implemented, every agency and unit of state government shall:
(a) Cooperate and comply fully with policies and procedures and
deadlines prepared by the Oregon Department of Administrative
Services for establishing a database for the financial management
system.
(b) Comply fully with policies and procedures prepared by the
Oregon Department of Administrative Services for operation of the
financial management system.
(3) The Oregon Department of Administrative Services shall
report to the Legislative Assembly no later than December 1 of
even-numbered years:
(a) Progress in implementing the financial management system as
to preparation of financial statements, nonfinancial management
information and the ability of the system to support legislative
program evaluation and performance { + and management + }
auditing.
(b) Compliance by each agency and unit of state government with
policies and procedures of the Oregon Department of
Administrative Services for implementation of the financial
management system.
(4) After a review of the Oregon Department of Administrative
Services report by the Legislative Fiscal Officer, the Joint
Legislative Audit Committee may schedule a hearing for any agency
or unit of state government to review compliance with this
section and policies and procedures of the Oregon Department of
Administrative Services, prior to any appropriation approval by
the Legislative Assembly, as provided in ORS 171.585 (1).
SECTION 17. ORS 291.272 is amended to read:
291.272. As used in ORS 291.272 to 291.278, unless the context
requires otherwise:
(1) 'Administrative expenses' has the meaning defined by ORS
291.305.
(2) 'Department' means the Oregon Department of Administrative
Services.
(3) 'Governmental service expenses' means the expenses of state
government that are attributable to the operation, maintenance,
administration and support of state government generally, and
includes the following:
(a) Administrative expenses of the Oregon Department of
Administrative Services supported out of the General Fund.
(b) Sixty percent of the expenditures of the Legislative
Assembly out of moneys appropriated from the General Fund, and
all of the expenditures incurred in the administration of the
duties of the Emergency Board.
(c) Sixty percent of the expenditures incurred in the
administration of the duties of the Joint Committee on Ways and
Means and the Emergency Board.
(d) Sixty percent of the expenditures incurred out of moneys
appropriated from the General Fund in the administration of the
duties of the Legislative Counsel Committee.
{ + (e) Sixty percent of the expenditures incurred out of
moneys appropriated from the General Fund in the administration
of the duties of the Joint Legislative Audit Committee. + }
{ - (e) - } { + (f) + } Expenditures of the Secretary of
State in the administration of the office of the State Archivist,
of historic properties programs, and of the administrative rules
publication program.
{ - (f) - } { + (g) + } Seventy-five percent of the
administrative expenses of the Office of the Governor incurred
out of moneys appropriated from the General Fund.
(4) 'State agency' means every state officer, board,
commission, department, institution, branch or agency of the
state government, whose costs are paid wholly or in part from
funds held in the State Treasury, and includes the Legislative
Assembly, the courts and their officers and committees.
SECTION 18. ORS 419C.001 is amended to read:
419C.001. (1) The Legislative Assembly declares that in
delinquency cases, the purposes of the Oregon juvenile justice
system from apprehension forward are to protect the public and
reduce juvenile delinquency and to provide fair and impartial
procedures for the initiation, adjudication and disposition of
allegations of delinquent conduct. The system is founded on the
principles of personal responsibility, accountability and
reformation within the context of public safety and restitution
to the victims and to the community. The system shall provide a
continuum of services that emphasize prevention of further
criminal activity by the use of early and certain sanctions,
reformation and rehabilitation programs and swift and decisive
intervention in delinquent behavior. The system shall be open and
accountable to the people of Oregon and their elected
representatives.
(2)(a) Programs, policies and services shall be regularly and
independently audited. { - Audits performed under this
subsection must include program audits and performance audits, as
defined in ORS 297.070. - } { + The Joint Legislative Audit
Committee shall select and oversee the program and management
audits conducted under this subsection. + } Programs, policies
and services that were established before, on or after June 30,
1995, are subject to audit under this subsection.
(b) The programs, policies and services of county juvenile
departments shall be subject to regular review pursuant to this
subsection.
(c) The { - Secretary of State - } { + director + } shall
perform an audit that includes the performance of county juvenile
departments.
{ - (d) ORS 297.405 to 297.555 do not apply to an audit
conducted pursuant to this subsection. - }
{ - (e) - } { + (d) + } Notwithstanding ORS 297.040, the
costs and expenses of audits conducted under this subsection may
not be charged to the county juvenile departments. The
{ - Secretary of State - } { + director + } shall pay the
costs and expenses of audits conducted under this subsection from
funds available to the { - Secretary of State - } { +
director + }.
(3) To facilitate an audit under subsection (2) of this
section:
(a) The { - Secretary of State - } { + Director of the
Legislative Audit Office + } may subpoena witnesses, require the
production of books and papers and the rendering of reports in
such manner and form as the { - Secretary of State - }
{ + director + } requires and may do all things necessary to
secure a full and thorough investigation.
(b) The custodian of information that the { - Secretary of
State deems - } { + director considers + } necessary to conduct
the audit shall provide the { - Secretary of State or the
auditor selected by the Secretary of State - } { + director + }
access to the information notwithstanding the fact that the
information may be made confidential or access to the information
restricted by ORS 419A.255 or another law. Information obtained
by the { - Secretary of State or the auditor pursuant to - }
{ + director under + } this paragraph and made confidential by
ORS 419A.255 or another law may be used by the { - Secretary of
State, the officers and employees of the Secretary of State or
the auditor - } { + director, employees of the director or the
committee + } solely for the purpose of performing the audit
required by subsection (2) of this section and may not be used or
disclosed for any other purpose.
SECTION 19. ORS 182.568 is amended to read:
182.568. (1) Each state agency that is audited by the Secretary
of State under ORS { - 297.070 or - } 297.210 { + or by the
Director of the Legislative Audit Office under section 2 of this
2011 Act + } shall review the audit report issued by the
secretary { + or the director + } and identify any audit
recommendations that present an opportunity for continuous
improvement for the agency.
(2) Not later than three months after the date the secretary
{ + or the director + } issues the audit report, the state
agency shall report in writing to the Committee on Performance
Excellence. The report shall describe the opportunities for
continuous improvement identified by the agency.
(3) Not later than six months after the date the secretary
{ + or the director + } issues the audit report, the state
agency shall report in writing to the committee. The report shall
describe a plan for addressing the opportunities for continuous
improvement identified by the agency under subsection (2) of this
section.
SECTION 20. { + ORS 171.590, 177.170, 177.180, 297.065 and
297.070 are repealed. + }
SECTION 21. { + Pursuant to sections 6 and 7 of this 2011 Act
and the repeal of ORS 177.170 and 177.180 by section 20 of this
2011 Act, the duties, functions and powers of the Secretary of
State relating to the Government Waste Hotline are imposed upon,
transferred to and vested in the Joint Legislative Audit
Committee. + }
SECTION 22. { + (1) The Secretary of State shall deliver to
the Joint Legislative Audit Committee all records and property
within the jurisdiction of the secretary that relate to the
duties, functions and powers transferred by section 21 of this
2011 Act.
(2) The committee shall take possession of the records and
property and employ them in the exercise of the duties, functions
and powers transferred by section 21 of this 2011 Act. + }
SECTION 23. { + (1) The unexpended balances of amounts
authorized to be expended by the Secretary of State for the
biennium beginning July 1, 2011, from revenues dedicated,
continuously appropriated, appropriated or otherwise made
available for the purpose of administering and enforcing the
duties, functions and powers transferred by section 21 of this
2011 Act are appropriated and transferred to and are available
for expenditure by the Joint Legislative Audit Committee for the
biennium beginning July 1, 2011, for the purpose of administering
and enforcing the duties, functions and powers transferred by
section 21 of this 2011 Act.
(2) The expenditure classifications, if any, established by
Acts authorizing or limiting expenditures by the Secretary of
State related to the duties, functions and powers transferred by
section 21 of this 2011 Act remain applicable to expenditures by
the Joint Legislative Audit Committee under this section. + }
SECTION 24. { + The transfer of duties, functions and powers
to the Joint Legislative Audit Committee by section 21 of this
2011 Act does not affect any action, proceeding or prosecution
involving or with respect to such duties, functions and powers
begun before and pending at the time of the transfer. + }
SECTION 25. { + Sections 1 to 7 and 21 to 24 of this 2011 Act,
the amendments to ORS 171.425, 171.580, 171.585, 182.568,
244.050, 291.100, 291.272, 297.030, 297.040, 297.210, 297.230 and
419C.001 by sections 8 to 19 of this 2011 Act and the repeal of
ORS 171.590, 177.170, 177.180, 297.065 and 297.070 by section 20
of this 2011 Act become operative on January 1, 2012. + }
SECTION 26. { + The Secretary of State and the Joint
Legislative Audit Committee may take any action before the
operative date specified in section 25 of this 2011 Act that is
necessary to enable the secretary and the committee to exercise,
on and after the operative date specified in section 25 of this
2011 Act, all the duties, functions and powers conferred upon the
secretary and the committee by sections 1 to 7 and 21 to 24 of
this 2011 Act, the amendments to ORS 171.425, 171.580, 171.585,
182.568, 244.050, 291.100, 291.272, 297.030, 297.040, 297.210,
297.230 and 419C.001 by sections 8 to 19 of this 2011 Act and the
repeal of ORS 171.590, 177.170, 177.180, 297.065 and 297.070 by
section 20 of this 2011 Act. + }
SECTION 27. { + This 2011 Act being necessary for the
immediate preservation of the public peace, health and safety, an
emergency is declared to exist, and this 2011 Act takes effect on
its passage. + }
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