ARTICLE 14 SUBSTITUTE A
Relating To Municipal Finances
SECTION
1. Chapter 45-10 of the General Laws entitled “Audit of Accounts” is hereby
amended by adding thereto the following section:
45-10-16. Advisory council on municipal finances. –
(a) In order to strengthen the fiscal accountability of cities, towns and
municipalities in Rhode Island an
advisory council on municipal finances is hereby formed. The council is
composed of five (5) members as follows:
(1) The auditor general of the state
of Rhode Island or his or her designee;
(2) The executive director of the
Rhode Island league of cities and towns or his or her designee;
(3) The executive director of the
Rhode Island league of cities and towns shall appoint a representative of the Government
Finance Officers Association;
(4) The director of the department
of revenue or his or her designee;
(5) The state controller or his or
her designee.
The auditor general or his or her
designee shall serve as chair of the council.
(b) The council shall develop
recommendations for a uniform system of accounting, including a chart of
accounts for all cities, towns and municipalities. These recommendations shall take into consideration the work of
the advisory council on school finances pursuant to the requirements of §
16-2-9.3. The council shall recommend changes in accounting procedures to be
adopted by cities, towns and municipalities. In addition, the council shall
apprise municipal business officials, city and town councils, and other municipal
leaders about sound fiscal practices and current state and federal rules and
regulations regarding municipal finance.
All recommendations of the council shall be advisory in nature.
(c) The council shall meet at least one time each year. The council shall report its activities and
recommendations to the chairs of the house and senate committees on finance,
the senate committee on housing and municipal government, the house committee
on municipal government, and the office of the governor. The council’s initial
recommendations shall be submitted by July 1, 2009.
SECTION
2. This article shall take effect upon
passage.