Whereas, the Department of Audit currently has authority to conduct investigations into the accounting and auditing systems of a municipality; and

Whereas, this authority requires the municipality to provide information to the State Auditor at the expense of the municipality; and

Whereas, the expense is a hardship on many municipalities in these times of fiscal constraint; and

Whereas, in the judgment of the Legislature, these facts create an emergency within the meaning of the Constitution of Maine and require the following legislation as immediately necessary for the preservation of the public peace, health and safety; now, therefore,

Be it enacted by the People of the State of Maine as follows:

Sec. 1. 30-A MRSA §5822, as enacted by PL 1987, c. 737, Pt. A, §2 and Pt. C, §106 and amended by PL 1989, c. 6; c. 9, §2; and c. 104, Pt. C, §§8 and 10, is further amended to read:

§5822. Investigation of accounting and auditing system

The State Auditor may inquire into the accounting and auditing system of any municipality only if requested by the governing body of that municipality or into the accounting and auditing system of any quasi-municipal corporation not under the jurisdiction of the Public Utilities Commission. The officers of that municipality or quasi-municipal corporation shall furnish information pertaining to the system in the form prescribed by the State Auditor.

Emergency clause. In view of the emergency cited in the preamble, this Act takes effect when approved.

SUMMARY

This bill allows the State Auditor to investigate the accounting and auditing system of a municipality only if requested to do so by the governing body of that municipality.