HB540 Summary

• Creates the Department of Examiners of Public Accounts under new Chapter 5A, Title 41, Code of Alabama 1975, repealing the existing Chapter 5.

• Chief examiner must be a certified public accountant licensed in Alabama, appointed by the Legislative Committee on Public Accounts for a five-year term, subject to Senate confirmation, and removable only by joint resolution.

• Chief examiner is prohibited from holding state, county, or municipal office or serving on political party committees, with automatic removal for violations; appointment and salary procedures revised.

• Chief examiner must appoint a chief legal counsel under Section 36-15-5.1(b) and may appoint up to two assistant legal counsels; assistant chief examiner must be a certified public accountant exempt from the Merit System.

• Legislative Committee on Public Accounts composition changes effective January 1, 2019, with the President Pro Tempore of the Senate replacing the President of the Senate as chair; establishes recovery audit program for state agencies with compensation to auditors capped at 15% of recovered amounts.