Bill Text: CA AB1287 | 2011-2012 | Regular Session | Introduced

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Bill Title: Local government: audits.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2012-02-01 - Died pursuant to Art. IV, Sec. 10(c) of the Constitution. From committee: Filed with the Chief Clerk pursuant to Joint Rule 56. [AB1287 Detail]

Download: California-2011-AB1287-Introduced.html

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BILL NUMBER: AB 1287	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Buchanan

                        FEBRUARY 18, 2011

   An act to add Section 53087.7 to the Government Code, relating to
local government.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1287, as introduced, Buchanan. Local government: audits.
   Existing law requires school districts to comply with General
Accounting Office standards for financial and compliance audits, as
specified, and prohibits an independent auditor from engaging in
financial compliance audits unless, within 3 years of commencing the
first of the audits, and every 3 years thereafter, the auditor
completes a quality control review in accordance with General
Accounting Office standards.
   This bill would require local agencies, defined to include cities,
counties, a city and county, special districts, authorities, or
public agencies, to comply with General Accounting Office standards
for financial and compliance audits and would prohibit an independent
auditor from engaging in financial compliance audits unless, within
3 years of commencing the first of the audits, and every 3 years
thereafter, the auditor completes a quality control review in
accordance with General Accounting Office standards.
   Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 53087.7 is added to the Government Code, to
read:
   53087.7.  (a) Financial and compliance audits of local agencies
shall be performed in accordance with General Accounting Office
standards for financial and compliance audits.
   (b) An independent auditor shall not engage in financial or
compliance audits unless, within three years of commencing the first
of the audits, and every successive three years thereafter, the
auditor completes a quality control review in accordance with General
Accounting Office standards. The time period between commencement of
the first audit, or completion of a quality control review, and
completion of a subsequent quality control review shall be calculated
from the first day of the month following commencement of the audit
or completion of the quality control review.
   (c) For purposes of this section, "local agency" means a city,
county, city and county, special district, authority, or public
agency.