Senate Bill No. 65 Summary

• Redefines state auditor responsibilities to conduct financial and performance audits of state agencies and political subdivisions in accordance with federal comptroller general standards, with audit types and objectives determined by audit purposes rather than being mutually exclusive.

• Establishes new authority for the auditor to conduct audits without advance notice, investigate allegations of improper governmental activities through a hotline and electronic reporting system, and refer criminal or ethics violations to appropriate agencies.

• Expands auditor access to records, books, and accounts of state agencies, political subdivisions, and private entities receiving state or federal funds, including authority to subpoena witnesses and examine bank records.

• Changes retirement system audit requirements from state auditor oversight to independent certified public accountant audits for county employees, prosecuting attorneys, local government employees, teachers, state employees, and transportation department employees retirement systems.

• Creates penalties for willfully providing false reports to the auditor or failing to comply with auditor requests, classifying violations as Class A misdemeanors, with enforcement through prosecuting attorneys.