ND HB1491

The state auditor shall establish a federal program and governmental entity review division to review federal programs and governmental entities.

Reviews may be conducted at the direction of the state auditor, the legislative audit and fiscal review committee, other legislative management committees, or the legislative assembly.

Federal program reviews must assess whether entities conduct authorized activities consistent with legal objectives and use funds in a faithful, efficient, economical, and effective manner, including the extent of federal conditional requirements.

Governmental entity reviews must consider efficiency, effectiveness, consumer protection, resource sufficiency, accomplishment of legislative objectives, and other areas determined by the state auditor, with each review including a fiscal impact statement.

Follow-up reviews may be conducted upon request to determine if prior deficiencies were corrected and legislative recommendations were implemented, and these reviews do not replace standard two-year audits under chapter 54-10.