§ 35-7-3 - Audits performed by the bureau of audits.
SECTION 35-7-3
§ 35-7-3 Audits performed by the bureau ofaudits. – (a) The bureau of audits is authorized to conduct audits of any statedepartment, state agency, or private entity that is a recipient of statefunding or state grants. As deemed necessary or expedient by the bureau ofaudits, audits may be made relative to the financial affairs or the economy andefficiency of management of each department and agency. The bureau of auditsshall determine which such audits shall be performed in accordance with arisk-based evaluation. Unless there is an issue of misappropriation, theprovisions of this section shall not apply to non-profit organizations.
(b) Within twenty (20) days following the date of theissuance of the final audit report, the head of the department, agency orprivate entity audited shall respond in writing to each recommendation made inthe final audit report. This response shall address the department's, agency'sor private entity's plan of implementation for each specific auditrecommendation and, if applicable, the reasons for disagreement with anyrecommendation proposed in the audit report. Within one year following the dateon which the audit report was issued, the bureau of audits may perform afollow-up audit for the purpose of determining whether the department, agencyor private entity has implemented, in an efficient and effective manner, itsplan of action for the recommendations proposed in the audit report.
(c) The bureau of audits shall maintain a full record of eachaudit. In the event that information gathered as a result of an audit indicatesthat criminal activity may have occurred, the chief of the bureau of audits mayprovide such information to a state or federal law enforcement agency. For anysuch information that is otherwise exempt from public disclosure under theprovisions of Rhode Island general law § 38-2-1 et seq., the provision ofsuch information to a law enforcement agency shall not therefore require thatthis information be further disclosed.
(d) Copies of each audit report, the written response to theaudit report, and the results of each follow-up audit as described insubsection (b) above shall be submitted to the chairpersons of the housefinance committee and the senate finance committee.