HOUSE BILL 155

48th legislature - STATE OF NEW MEXICO - first session, 2007

INTRODUCED BY

Patricia A. Lundstrom

AN ACT

RELATING TO AUDITS OF STATE AGENCIES; REDUCING AUDIT REQUIREMENTS FOR CERTAIN STATE AGENCIES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

     Section 1. Section 12-6-3 NMSA 1978 (being Laws 1969, Chapter 68, Section 3, as amended) is amended to read:

     "12-6-3. ANNUAL AND SPECIAL AUDITS.--

          A. The financial affairs of every agency shall be thoroughly examined and audited each year by the state auditor, personnel of [his] the state auditor's office designated by [him] the state auditor or [by] independent auditors approved by [him] the state auditor. The comprehensive annual financial report for the state shall be thoroughly examined and audited each year by the state auditor, personnel of [his] the state auditor's office designated by [him] the state auditor or [by] independent auditors approved by [him] the state auditor.  

          B. For individual state agencies with total annual budgets in excess of one million dollars ($1,000,000), the audits shall be conducted in accordance with generally accepted auditing standards and rules issued by the state auditor. For individual state agencies with total annual budgets of one million dollars ($1,000,000) or less, the audits may be reviews conducted in accordance with generally accepted auditing standards and rules issued by the state auditor.

          [B.] C. In addition to the annual audit, the state auditor may cause the financial affairs and transactions of an agency to be audited in whole or in part.

          [C.] D. Annual financial and compliance audits of agencies under the oversight of the financial control division of the department of finance and administration shall be completed and submitted by an agency and independent auditor to the state auditor no later than sixty days after the state auditor receives notification from the financial control division to the effect that an agency's books and records are ready and available for audit."

     Section 2. EFFECTIVE DATE.--The effective date of the provisions of this act is July 1, 2007.

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