36-12-15 - Office of Legislative Auditor General established -- Qualifications -- Powers, functions, and duties.

36-12-15. Office of Legislative Auditor General established -- Qualifications --Powers, functions, and duties.
(1) There is created an Office of Legislative Auditor General as a permanent staff officefor the Legislature.
(2) The legislative auditor general shall be a licensed certified public accountant orcertified internal auditor with at least five years experience in the auditing or public accountingprofession, or the equivalent, prior to appointment.
(3) The legislative auditor general shall appoint and develop a professional staff withinbudget limitations.
(4) (a) The Office of the Legislative Auditor General shall exercise the constitutionalauthority provided in Article VI, Sec. 33, Utah Constitution.
(b) Under the direction of the legislative auditor general, the office shall:
(i) conduct comprehensive and special purpose audits, examinations, and reviews of anyentity that receives public funds;
(ii) prepare and submit a written report on each audit, examination, or review to theLegislative Management Committee, the audit subcommittee, and to all members of theLegislature within 75 days after the audit or examination is completed; and
(iii) as provided in Section 36-24-101:
(A) monitor all new programs and agencies created during each Annual General Sessionor Special Session of the Legislature;
(B) provide each new program and agency created with a list of best practices in settingup their program or agency, including:
(I) policies;
(II) performance measures; and
(III) data collection;
(C) send each new program and agency:
(I) within one year after its creation, a survey instrument requesting a self evaluation thatincludes policies, performance measures, and data collection; and
(II) within two years after its creation, a survey instrument requesting a self evaluationthat includes policies, performance measures, and data collection; and
(D) (I) using the new program or agency's response to the self evaluation surveyinstruments, recommend to the legislative audit subcommittee that the office conduct an audit ofthose new programs and agencies created on which questions have arisen as a result of theresponse to the survey instrument and provide a limited scope audit report on those newprograms or agencies on which it receives direction to audit to the legislative interim committeeand to the legislative appropriations subcommittee with oversight responsibility for that programor agency on or before the November interim meeting; and
(II) include within this limited scope audit report a recommendation as to whether theprogram or agency is fulfilling its statutory guidelines and directives.
(5) The audit, examination, or review of any entity that receives public funds mayinclude a determination of any or all of the following:
(a) the honesty and integrity of all its fiscal affairs;
(b) the accuracy and reliability of its financial statements and reports;
(c) whether or not its financial controls are adequate and effective to properly record andsafeguard its acquisition, custody, use, and accounting of public funds;


(d) whether or not its administrators have faithfully adhered to legislative intent;
(e) whether or not its operations have been conducted in an efficient, effective, and costefficient manner;
(f) whether or not its programs have been effective in accomplishing intended objectives;and
(g) whether or not its management control and information systems are adequate andeffective.
(6) The Office of Legislative Auditor General may:
(a) (i) notwithstanding any other provision of law, obtain access to all records,documents, and reports of any entity that receives public funds that are necessary to the scope ofits duties; and
(ii) if necessary, issue a subpoena to obtain access as provided in Subsection (6)(a)(i)using the procedures contained in Title 36, Chapter 14, Legislative Subpoena Powers;
(b) establish policies, procedures, methods, and standards of audit work for the officeand staff;
(c) prepare and submit each audit report without interference from any source relative tothe content of the report, the conclusions reached in the report, or the manner of disclosing theresults of the legislative auditor general's findings; and
(d) prepare and submit the annual budget request for the office.
(7) To preserve the professional integrity and independence of the office:
(a) no legislator or public official may urge the appointment of any person to the office;and
(b) the legislative auditor general may not be appointed to serve on any board, authority,commission, or other agency of the state during the legislative auditor general's term aslegislative auditor general.
(8) The following records in the custody or control of the legislative auditor general shallbe protected records under Title 63G, Chapter 2, Government Records Access and ManagementAct:
(a) Records that would disclose information relating to allegations of personalmisconduct, gross mismanagement, or illegal activity of a past or present governmental employeeif the information or allegation cannot be corroborated by the legislative auditor general throughother documents or evidence, and the records relating to the allegation are not relied upon by thelegislative auditor general in preparing a final audit report.
(b) Records and audit workpapers to the extent they would disclose the identity of aperson who during the course of a legislative audit, communicated the existence of any waste ofpublic funds, property, or manpower, or a violation or suspected violation of a law, rule, orregulation adopted under the laws of this state, a political subdivision of the state, or anyrecognized entity of the United States, if the information was disclosed on the condition that theidentity of the person be protected.
(c) Prior to the time that an audit is completed and the final audit report is released,records or drafts circulated to a person who is not an employee or head of a governmental entityfor their response or information.
(d) Records that would disclose an outline or part of any audit survey plans or auditprogram.
(e) Requests for audits, if disclosure would risk circumvention of an audit.


(f) The provisions of Subsections (8)(a), (b), and (c) do not prohibit the disclosure ofrecords or information that relate to a violation of the law by a governmental entity or employeeto a government prosecutor or peace officer.
(g) The provisions of this section do not limit the authority otherwise given to thelegislative auditor general to classify a document as public, private, controlled, or protected underTitle 63G, Chapter 2, Government Records Access and Management Act.
(9) The legislative auditor general shall:
(a) be available to the Legislature and to its committees for consultation on mattersrelevant to areas of the legislative auditor general's professional competence;
(b) conduct special audits as requested by the Legislative Management Committee;
(c) report immediately in writing to the Legislative Management Committee through itsaudit subcommittee any apparent violation of penal statutes disclosed by the audit of a stateagency and furnish to the Legislative Management Committee all information relative to theapparent violation;
(d) report immediately in writing to the Legislative Management Committee through itsaudit subcommittee any apparent instances of malfeasance or nonfeasance by a state officer oremployee disclosed by the audit of a state agency; and
(e) make any recommendations to the Legislative Management Committee through itsaudit subcommittee with respect to the alteration or improvement of the accounting system usedby any entity that receives public funds.
(10) (a) Prior to each annual general session, the legislative auditor general shall preparea summary of the audits conducted and of actions taken based upon them during the precedingyear.
(b) This report shall also set forth any items and recommendations that are important forconsideration in the forthcoming session, together with a brief statement or rationale for eachitem or recommendation.
(c) The legislative auditor general shall deliver the report to the Legislature and to theappropriate committees of the Legislature.
(11) (a) No person or entity may:
(i) interfere with a legislative audit, examination, or review of any entity conducted bythe office; or
(ii) interfere with the office relative to the content of the report, the conclusions reachedin the report, or the manner of disclosing the results and findings of the office.
(b) Any person or entity that violates the provisions of this Subsection (11) is guilty of aclass B misdemeanor.

Amended by Chapter 142, 2008 General Session
Amended by Chapter 382, 2008 General Session