Bill Text: OR HB3415 | 2011 | Regular Session | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Relating to audits of public contracts; appropriating money; declaring an emergency.

Sponsorship: Committee Bill

Status: (Failed) 2011-06-30 - In committee upon adjournment. [HB3415 Detail]

Download: Oregon-2011-HB3415-Introduced.html

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     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 3245

                         House Bill 3415

Sponsored by COMMITTEE ON GENERAL GOVERNMENT AND CONSUMER
  PROTECTION

                             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.

  Requires contracting agency to pay fee to Secretary of State in
amount of one-tenth of one percent of contract price for public
improvement contract. Requires Secretary of State to use proceeds
of fee to conduct random financial, performance and compliance
audits of public contracts in accordance with certain standards.
  Establishes Public Contracting Audit Account in General Fund of
State Treasury. Continuously appropriates moneys in account to
Secretary of State for purpose of conducting audits of public
contracts.
  Declares emergency, effective on passage.

                        A BILL FOR AN ACT
Relating to audits of public contracts; appropriating money; and
  declaring an emergency.
Be It Enacted by the People of the State of Oregon:
  SECTION 1.  { + Section 2 of this 2011 Act is added to and made
a part of ORS chapter 279C. + }
  SECTION 2.  { + (1) A contracting agency that conducts a
procurement subject to this chapter, in addition to and not in
lieu of the charges specified in ORS 297.230, shall pay a fee
equivalent to one-tenth of one percent of the contract price for
the procurement to the office of the Secretary of State at the
time the contracting agency executes the contract. The Secretary
of State shall pay the moneys received under this subsection to
the State Treasurer for deposit in the Public Contracting Audit
Account created under section 4 of this 2011 Act.
  (2)(a) The secretary shall use the moneys available in the
account to conduct financial, compliance and performance audits
of public contracts that contracting agencies award under the
provisions of this chapter. The secretary shall conduct each
audit according to standards adopted under ORS 297.070 and,
except as provided in paragraph (b) of this subsection, shall
choose the subject of each audit randomly and without advance
notice to the contracting agency or other parties to the public
contract.
  (b) If the secretary finds during an audit or receives reliable
information at any time concerning fraud, waste, misconduct or
abuse for a particular public contract, the secretary may conduct
a special investigation of the contracting agency or other

parties to the public contract and may use moneys from the
account to conduct the special investigation.
  (c) The secretary, in accordance with policies and priorities
that the secretary establishes, each year shall allocate the
amount of moneys available or projected to be available in the
account during the year toward conducting a regular course of
audits under this section.
  (3) In addition to complying with the requirements of ORS
297.050, the secretary shall publish the report for every audit
conducted under this section on the secretary's website and on
the Oregon transparency website described in ORS 184.483. + }
  SECTION 3.  { + Section 4 of this 2011 Act is added to and made
a part of ORS chapter 297. + }
  SECTION 4.  { + The Public Contracting Audit Account is
established in the General Fund of the State Treasury. All moneys
in the account are continuously appropriated to the Secretary of
State for the purposes set forth in section 2 of this 2011
Act. + }
  SECTION 5.  { + 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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