HB 1261 Summary

• Requires agreements funded with state or federal financial assistance to include provisions for scope of work, quantifiable deliverables, financial consequences for nonperformance, allowable costs, and refund procedures.

• Authorizes the Chief Financial Officer to audit and approve agreements before execution within 21 calendar days; establishes dollar thresholds and criteria for determining which agreements will be audited.

• Requires each state agency to designate a grants manager for agreements who must complete certification training for contracts exceeding the Category Two threshold and reconcile all funds received against expenditures.

• Establishes a state contract tracking system requiring state agencies to post contract information within 30 days of execution, with electronic copies redacted to conceal exempt or confidential information, and authorizes public access through a secure website.

• Requires the Chief Financial Officer to perform audits of executed contracts and grant agreements, discuss findings with agency officials, and requires agency heads to respond with written explanation or corrective action within 30 days; takes effect July 1, 2013.