AN ACT TO AMEND CHAPTER 29, TITLE 29, DELAWARE CODE, RELATING TO THE DUTIES OF THE AUDITOR OF ACCOUNTS AND AUDITING EXPENSES RELATED THERETO.
WHEREAS, it has been determined that present statutes, and procedures promulgated thereunder, with respect to the responsibility of performing, or the contracting for the performance of, post-audits of the financial transactions of all State agencies, do not provide for appropriate division of responsibility, preclusion of conflicts of interest or essential cost control,
Be it enacted by the General Assembly of the State of Delaware:
Section 1. Section 2906, Chapter 29, Title 29, Delaware Code, is hereby repealed and the following new Section 2906 is enacted in lieu thereof:
§ 2906. Duties of Auditor of Accounts
(a) The Auditor of Accounts shall conduct post audits of all of the financial transactions of all State agencies. Insofar as possible such audits shall be made annually, and in any event annual audits shall be made with respect to the Office of the State Treasurer, the Office of the State Tax Commissioner and all agencies collecting State revenues of $500,000 or more each year or expending State funds of $500,000 or more each year.
(b) At least quarterly during each fiscal year, the Auditor of Accounts shall arrange for an audit to determine that the books and records maintained by the Office of the State Treasurer are kept in accordance with generally accepted accounting principles and are reconciled with the various bank accounts. In conjunction therewith, the Auditor of Accounts shall reconcile the records maintained by the office of the State Treasurer with the fund balances maintained and reported by the Budget Director.
(c) The Auditor of Accounts shall have sole responsibility for the arrangements under which such agency post-audits shall be conducted, or the selection of certified public accountants, who shall make such post-audits. No other state agency or member, official or employee thereof shall have any part in, or responsibility for, the choice or selection of certified public accountants, nor shall they make any arrangements, agreements or contracts for the employment of certified public accountants, for the purpose of making agency post-audits.
(d) The expenses incurred for the performance of such agency post-audits upon authorization of the Auditor of Accounts, shall be charged to the appropriate agency accounts, in accordance with the budgeted capital or general fund appropriations of the General Assembly. If there be any question as to the proper accounts to be charged, the question shall be resolved by agreement between the Auditor of Accounts and the Budget Director.
(e) No provisions of this Section 2906 shall serve to nullify the provisions of Section 5109, Title 14 which shall remain in full force and effect, however any other provision of the Delaware Code which stands in conflict with the provisions of this section shall be null and void.
Section 2. Section 2907, Chapter 29, Title 29, Delaware Code, is hereby repealed and the following new Section 2907 is enacted in lieu thereof:
§ 2907. Scope of Audits
(a) The audits shall be sufficiently comprehensive to provide, but not limited to, assurance that reasonable efforts have been made to collect all monies due the State; that all monies collected or received by any employee or official have been deposited to the credit of the State; and that all expenditures have been legal and proper and made only for the purposes contemplated in the funding acts or other pertinent regulations.
(b) The audits shall be made in conformity with generally accepted auditing principles and practices.
Approved April 30, 1969.