II
107TH CONGRESS
2D SESSION
H. R. 4685
IN THE SENATE OF THE UNITED STATES
OCTOBER 8, 2002
Received
AN ACT
To amend title 31, United States Code, to expand the types
of Federal agencies that are required to prepare audited
financial statements.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
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SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Accountability of Tax
Dollars Act of 2002’’.
SEC. 2. AMENDMENTS RELATING TO AUDITING REQUIRE-
MENT FOR FEDERAL AGENCY FINANCIAL
STATEMENTS.
(a) IN GENERAL.—Section 3515 of title 31, United
States Code, is amended—
(1) in subsection (a)—
(A) by striking ‘‘Not later’’ and inserting
‘‘(1) Except as provided in subsection (e), not
later’’;
(B) by striking ‘‘each executive agency
identified in section 901(b) of this title’’ and in-
serting ‘‘each covered executive agency’’; and
(C) by striking ‘‘1997’’ and inserting
‘‘2003’’;
(2) in subsection (b) by striking ‘‘an executive
agency’’ and inserting ‘‘a covered executive agency’’;
(3) in subsection (c) and (d) by striking ‘‘execu-
tive agencies’’ each place it appears and inserting
‘‘covered executive agencies’’; and
(4) by adding at the end the following:
‘‘(e)(1) The Director of the Office of Management
and Budget may exempt a covered executive agency, ex-
HR 4685 RDS
cept an agency described in section 901(b), from the re-
quirements of this section with respect to a fiscal year if—
‘‘(A) the total amount of budget authority
available to the agency for the fiscal year does not
exceed $25,000,000; and
‘‘(B) the Director determines that requiring an
annual audited financial statement for the agency
with respect to the fiscal year is not warranted due
to the absence of risks associated with the agency’s
operations, the agency’s demonstrated performance,
or other factors that the Director considers relevant.
‘‘(2) The Director shall annually notify the Com-
mittee on Government Reform of the House of Represent-
atives and the Committee on Governmental Affairs of the
Senate of each agency the Director has exempted under
this subsection and the reasons for each exemption.
‘‘(f) The term ‘covered executive agency’—
‘‘(1) means an executive agency that is not re-
quired by another provision of Federal law to pre-
pare and submit to the Congress and the Director
of the Office of Management and Budget an audited
financial statement for each fiscal year, covering all
accounts and associated activities of each office, bu-
reau, and activity of the agency; and
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‘‘(2) does not include a corporation, agency, or
instrumentality subject to chapter 91 of this title.’’.
(b) WAIVER AUTHORITY.—
(1) IN GENERAL.—The Director of the Office of
Management and Budget may waive the application
of all or part of section 3515(a) of title 31, United
States Code, as amended by this section, for finan-
cial statements required for the first 2 fiscal years
beginning after the date of the enactment of this Act
for an agency described in paragraph (2) of this
subsection.
(2) AGENCIES DESCRIBED.—An agency referred
to in paragraph (1) is any covered executive agency
(as that term is defined by section 3515(f) of title
31, United States Code, as amended by subsection
(a) of this section) that is not an executive agency
identified in section 901(b) of title 31, United States
Code.
Passed the House of Representatives October 7,
2002.
Attest:
JEFF TRANDAHL,
Clerk.