Texas 2019 - 86th Regular

Texas House Bill HB2042 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	H.B. No. 2042
	1	+	By: Stucky (Senate Sponsor - Birdwell) H.B. No. 2042
	2	+	(In the Senate - Received from the House May 6, 2019;
	3	+	May 8, 2019, read first time and referred to Committee on Business &
	4	+	Commerce; May 19, 2019, reported favorably by the following vote:
	5	+	Yeas 7, Nays 0; May 19, 2019, sent to printer.)
	6	+	Click here to see the committee vote
2	7
3	8
	9	+	A BILL TO BE ENTITLED
4	10		AN ACT
5	11		relating to postpayment audits conducted by the comptroller and
6	12		annual financial reports submitted by state agencies.
7	13		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
8	14		SECTION 1. Section 403.071, Government Code, is amended by
9	15		amending Subsections (g) and (h) and adding Subsections (i) and (j)
10	16		to read as follows:
11	17		(g) Notwithstanding Subsection (a), the comptroller [and a
12	18		state agency] may [contract in writing for the comptroller to]
13	19		audit claims presented by the state agency after the comptroller
14	20		prepares warrants or uses the electronic funds transfer system to
15	21		pay the claims. [If the comptroller and a state agency execute a
16	22		contract, the comptroller may decide the types of claims that will
17	23		be audited after payment.]
18	24		(h) [This subsection applies if the comptroller and a state
19	25		agency have contracted in accordance with Subsection (g). The
20	26		comptroller shall audit claims after payment in the same way that
21	27		the comptroller audits claims before payment under Subsection (a).]
22	28		The comptroller may establish requirements and adopt rules
23	29		concerning the time that a state agency must retain documentation
24	30		in its files to enable a postpayment audit. If a postpayment audit
25	31		by the comptroller shows that a claim presented by a state agency
26	32		was invalid, the comptroller may:
27	33		(1) implement procedures to ensure that similar
28	34		invalid claims from the state agency are not paid in the future;
29	35		(2) report to the governor, the lieutenant governor,
30	36		the speaker of the house of representatives, the state auditor, and
31	37		the Legislative Budget Board the results of the audit;
32	38		(3) require the state agency to obtain a refund of the
33	39		monies from the payee; and
34	40		(4) [cancel the contract with the state agency; and
35	41		[(5)] reduce the state agency's remaining
36	42		appropriations by the amount of the claim.
37	43		(i) The comptroller may access the books, accounts,
38	44		confidential or nonconfidential reports, vouchers, electronic
39	45		data, or other records or information of a state agency subject to a
40	46		postpayment audit. If information may not be released under
41	47		federal law, the comptroller may not access the information without
42	48		approval of the appropriate federal agency.
43	49		(j) The comptroller shall use reasonable efforts to avoid
44	50		hindering the daily operations of a state agency subject to a
45	51		postpayment audit by coordinating requests for access to books,
46	52		accounts, reports, vouchers, electronic data, or other records or
47	53		information of the audited agency.
48	54		SECTION 2. Section 2101.011(c), Government Code, is amended
49	55		to read as follows:
50	56		(c) A state agency's annual financial report must include
51	57		information on [a detailed statement of] all assets, liabilities,
52	58		and fund balances, including:
53	59		(1) cash on hand and on deposit in banks and accounts
54	60		in the state treasury;
55	61		(2) [the value of consumable supplies and postage;
56	62		[(3)] the value of the agency's inventory of movable
57	63		equipment and other fixed assets;
58	64		(3) [(4) all other assets;
59	65		[(5)] an itemization of the investments, bonds, notes,
60	66		and other securities owned by any special funds under the agency's
61	67		jurisdiction, including the amount and value of the securities;
62	68		(4) [(6)] all money due the agency from any source;
63	69		(5) [(7)] all outstanding commitments of the agency,
64	70		including amounts due for services or goods received by the agency;
65	71		(6) [(8)] a summary by source of all revenue collected
66	72		or accruing through the agency;
67	73		(7) [(9)] a summary of all appropriations,
68	74		expenditures, bona fide encumbrances, and other disbursements by
69	75		the agency; and
70	76		(8) [(10)] any other financial information requested
71	77		by the comptroller.
72	78		SECTION 3. Section 2101.012(b), Government Code, is amended
73	79		to read as follows:
74	80		(b) The procedures must[:
75	81		[(1) comply with generally accepted accounting
76	82		principles as established by the Governmental Accounting Standards
77	83		Board and the American Institute of Certified Public Accountants or
78	84		their successors; and
79	85		[(2)] include the requirements for compliance with the
80	86		federal Single Audit Act of 1984 and Office of Management and Budget
81	87		Circular A-133 and any subsequent changes or amendments that will
82	88		fulfill the audit requirements for a statewide single audit.
83	89		SECTION 4. Sections 403.071(i) and (j), Government Code, as
84	90		added by this Act, apply to a postpayment audit initiated on or
85	91		after the effective date of this Act. A postpayment audit initiated
86	92		before the effective date of this Act is governed by the law in
87	93		effect on the date the audit is initiated, and the former law is
88	94		continued in effect for that purpose.
89	95		SECTION 5. This Act takes effect September 1, 2019.
90		-	______________________________ ______________________________
91		-	President of the Senate Speaker of the House
92		-	I certify that H.B. No. 2042 was passed by the House on May 3,
93		-	2019, by the following vote: Yeas 140, Nays 0, 2 present, not
94		-	voting.
95		-	______________________________
96		-	Chief Clerk of the House
97		-	I certify that H.B. No. 2042 was passed by the Senate on May
98		-	22, 2019, by the following vote: Yeas 31, Nays 0.
99		-	______________________________
100		-	Secretary of the Senate
101		-	APPROVED: _____________________
102		-	Date
103		-	_____________________
104		-	Governor
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