Assigned to ED                                                                                                                   AS PASSED BY THE SENATE

 

 

 

ARIZONA STATE SENATE

Phoenix, Arizona

 

REVISED

FACT SHEET FOR S.B. 1016

 

auditor general; school audits

 

Purpose

 

Removes the random audit requirement and requires the Auditor General to determine, subject to review and approval, the school districts and charter schools being special audited each year.  Removes the requirement that every school district be audited at least once every five years by the Auditor General’s school-wide audit team.

 

Background

 

In 2000, the Legislature established a requirement that the Auditor General’s office establish a school-wide audit (SWAT) team to conduct performance audits and monitor the percentage of dollars spent by school districts for classroom purposes (Laws 2000, Fifth Special Session, Chapter 1).  The SWAT team is to be established by the Auditor General’s office by July 1, 2001.  The new requirement specifies that SWAT team audits be conducted at least once every five years for each school district in the state. 

 

The Auditor General’s office estimates the fiscal impact for the SWAT team to audit every school district once every five years is approximately $7.5 million to hire approximately 98 new employees in order to complete 46 school district audits a year.  The legislation that created the SWAT team did not include an appropriation for the purpose of implementing the audits. 

 

Provisions

 

1.      Removes the requirement that every school district be audited at least once every five years by the Auditor General’s school-wide audit team.

 

2.      Requires the SWAT team in the Auditor General’s office to conduct “special” audits of school districts rather than performance audits.

 

3.      Removes the requirement of the SWAT team to randomly audit each school district.

 

4.      Requires the Auditor General to determine the school districts and charter schools that are audited each year, subject to committee review and approval.

 

5.      Requires the Auditor General to monitor charter schools to determine their compliance with state mandates, charter, and financial requirements.

 

6.      Provides for a general effective date.

Amendments Adopted by Committee

 

1.      Requires the SWAT team in the Auditor General’s office to conduct “special” audits of school districts rather than performance audits.

 

2.      Removes the requirement of the SWAT team to randomly audit each school district.

 

3.      Requires the Auditor General to determine the school districts that are audited each year, subject to committee review and approval.

 

Amendments Adopted by Committee of the Whole

 

1.      Requires the Auditor General to monitor charter schools to determine their compliance with state mandates, charter, and financial requirements.

 

2.      Requires the Auditor General to determine the charter schools that are audited each year, subject  to committee review and approval.

 

Senate Action

 

ED                   1/18/01            DPA    6-1-1-0

3RD Read          2/12/01                        23-7-0

 

 

Prepared by Senate Staff

February 12, 2001