STATE FINANCIAL REPORT                                               H.B. 5611 (H-2): FLOOR ANALYSIS

 

 

 

 

 

 

 

 

 

 

 

House Bill 5611 (Substitute H-2 as reported without amendment) Sponsor: Representative Alvin H. Kukuk

House Committee: Local Government

Senate Committee: Local, Urban and State Affairs

 

CONTENT

 

The bill would amend the uniform system of accounting Act to require that a report of an examination, among other things, disclose any fiscal irregularities, including but not limited to any violations of the requirements of Section 4 (which concerns annual financial reports), malfeasance, misfeasance, nonfeasance, or gross neglect of duty by an officer or employee of a State department, institution, or office.

 

The Act requires the Auditor General to examine the accounts of State departments, institutions, and offices, and of county offices, and to make reports of examinations. If an examination discloses any malfeasance, misfeasance, nonfeasance, or gross neglect of duty, for which a criminal penalty is provided by law, a copy of the report must be filed with the Attorney General, who is required to institute criminal proceedings or direct criminal proceedings to be instituted by a county prosecutor. Under the bill, these provisions also would apply if an examination disclosed any fiscal irregularity.

 

The bill would delete references to county offices from provisions of the Act concerning a uniform system of accounting; examination and reporting by the Auditor General; the use of books, forms, records, and systems prescribed by the Auditor General; and the removal from office of an officer who refuses to keep accounts as prescribed by the Auditor General.

 

MCL 21.41 et al.                                                                            Legislative Analyst: S. Margules

 

FISCAL IMPACT

 

Auditing of county offices would be covered in House Bill 5187 (H-6).

 

Date Completed: 6-21-96                                                                   Fiscal Analyst: B. Bowerman

 

 

 

 

 

 

 

 

 

 

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This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.