An Act To Authorize the Department of Audit To Perform Other Audits and Reviews
Maine Legislature, Session 121, LD 1429
Committee: State and Local Government
Sponsors: McLAUGHLIN
Amends: 5 MRSA §243, 5 MRSA §243-A, 5 MRSA §244

Legislative Document 
No. 1429 
H.P.I048 
House of Representatives, March 25, 2003 
An Act To Authorize the Department of Audit To Perform Other 
Audits and Reviews 
Submitted by the Department of Audit pursuant to Joint Rule 204. 
Reference to the Committee on State and Local Government suggested and ordered printed. 
IJ/~ 
/J7.17l~ 
MILLICENT M. MacFARLAND 
Clerk 
Presented by Representative McLAUGHLIN of Cape Elizabeth. 
Printed 00 ""'ycled poper 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1. 5 MRSA §243, sub-§2, as amended by PL 1999, c. 208, 
§1, is further amended to read: 
2. 
Counties. To perform annual audits of all accounts and 
other 
financial 
records 
of 
the 
several 
counties 
or 
any 
departments or agencies thereof, the expenses of such audits to 
be paid by the counties. 
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Sec. 2. 5 MRSA §243-A, as enacted by PL 2001, c. 104, §l, is 
amended to read: 
§243-A. Random audits and inspections of state programs 
In addition to the powers and duties specified in section 
243, 
the 
Department 
of 
Audit 
shall 
conduct 
random 
audits~ 
inguiries, management analyses or inspections of operations of 
state programs or other research to sample the accuracy of the 
financial 
records 
and 
operations 
of 
those 
departments 
and 
agencies that administer or oversee the programs and report to 
the 
joint 
standing 
committees 
of 
the 
Legislature 
having 
jurisdiction 
over 
state 
and 
local 
government 
matters 
and 
appropriations and financial affairs no later than January 15, 
2002 and no later than January 15th of each year thereafter on 
the random auditing of state programs. 
The report must include 
at a minimum the number of random audits inguiries, management 
analyses or inspections conducted, the programs audi ted and an 
assessment of findings and recommendations resulting from the 
additional audits. 
Sec. 3. 5 MRSA §244, as amended by PL 1999, c. 208, §2, is 
further amended to read: 
§244. Records and reports; findinqs of improper practices 
The State Auditor 
lIeeps--no--aeeeHBts--:i,.n...-tRe-~~-t-ment--e€ 
AHsit may not perform the accounting functions for the State, but 
shall audit the accounts, books, records and other 4:!vidences of 
financial transactions kept in the Department of Financial and 
Administrative Services or in the other departments and agencies 
of State Government. 
The State Auditor shall prepare and publish 
a report for each fiscal year, setting forth the essential facts 
of such audits in summary form, within the following fiscal year 
after the books of the State Controller have been officially 
closed. 
If the State Auditor finds in the course of an audit 
evidences of mateFia:l-weallBessesr-FepeFta&:le-eeBsitieBsr improper 
Page l-LR1991{l) 
transactions, 
or 
of 
iBeempe~eBee 
unacceptable 
practices 
in 
keeping accounts or handling funds 
or of any other improper 
practice of financial administration, 
the State Auditor shall 
report the same to the Governor and the Legislature immediately. 
After reporting evidence of material weaknesses or reportable 
conditions, the State Auditor shall provide for subsequent review 
to ensure that those conditions are addressed in a timely manner 
and report to the Governor and the Legislature to confirm the 
status of the correction of those conditions. 
If the State 
Auditor 
finds 
evidences 
of 
illegal 
transactions, 
the 
State 
Auditor shall immediately report those transactions both to the 
Governor and to the Attorney General. 
All such evidences must be 
included in the annual reports of the State Auditor and the State 
Auditor may, at the State Auditor's discretion, make them public 
at any time during the fiscal year. 
SUMMARY 
This bill: 
l. 
estimates; 
2. 
requiring 
analysis, 
research; 
3. 
Eliminates 
outdated 
language 
referring 
to 
county 
Changes 
the 
duties 
of 
the 
Department 
of 
Audit 
by 
the 
department 
to 
conduct 
inquiries, 
management 
inspections of operations of state programs or other 
and 
Clarifies 
that 
the 
State 
Auditor 
functions 
for the State and the 
actions that must be reported to 
by the State Auditor. 
accounting 
accounting 
Legislature 
does 
type 
the 
not 
perform 
of improper 
Governor and