Chapter 195
2015 -- S 0708
Enacted 07/09/2015

A N   A C T

Introduced By: Senators Sheehan, Cote, Lombardi, Conley, and Jabour
Date Introduced: March 18, 2015

It is enacted by the General Assembly as follows:
     SECTION 1. Section 42-155-7 of the General Laws in Chapter 42-155 entitled "Quasi-
Public Corporations Accountability and Transparency Act" is hereby amended to read as follows:
     42-155-7. Audit of quasi-public corporations. [Effective January 1, 2015.] -- (a)
Commencing January 1, 2015, and every five (5) years thereafter, each quasi-public corporation
shall be subject to a performance audit, conducted in compliance with the generally acceptable
governmental auditing standards or the standards for the professional practice of internal auditing,
by the chief of the bureau of audits. The chief, in collaboration with the quasi-public corporation,
shall determine the scope of the audit. To assist in the performance of an audit, the chief, in
collaboration with the quasi-public corporation, may procure the services of a certified public
accounting firm, which shall be a subcontractor of the bureau of audits, and shall be under the
direct supervision of the bureau of audits. The chief of the bureau of audits shall establish a
rotating schedule identifying the year in which each quasi-public corporation shall be audited.
The schedule shall be posted on the website of the bureau of audits.
      (b) The audit shall be conducted in conformance with chapter 7 of title 35 ("Post Audit
of Accounting").
      (c) Each quasi-public corporation shall be responsible for costs associated with its own
audit. The chief and each quasi-public corporation shall agree upon reasonable costs for the audit,
not to exceed seventy-five thousand dollars ($75,000), that shall be remitted to the bureau of
audit. audits.
      (d) The results of the audit shall be made public upon completion and posted on the
websites of the bureau of audits and the quasi-public corporation.
      (e) For purposes of this section, a performance audit shall mean an independent
examination of a program, function, operation, or the management systems and procedures of a
governmental or nonprofit entity to assess whether the entity is achieving economy, efficiency,
and effectiveness in the employment of an all available resources.
     SECTION 2. This act shall take effect upon passage.