HBA-BSM H.B. 609 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 609
By: Hochberg
State Affairs
7/19/2001
Enrolled



BACKGROUND AND PURPOSE 

Prior to the 77th Legislature, a state agency that had an annual operating
budget that exceeded $10 million, that had a staff of more than 300
employees, or that received and processed cash items in excess of $10
million was required to annually appoint an internal auditor.  This
excluded smaller agencies that may have been able to improve performance by
identifying problems through an internal audit.  House Bill 609 extends the
internal audit requirement to all state agencies that receive an
appropriation.  

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

ANALYSIS

House Bill 609 amends the Government Code to make the Texas Internal
Auditing Act applicable to each state agency that receives an
appropriation.  The bill requires all state agencies that become subject to
the Texas Internal Auditing Act to appoint an internal auditor by January
1, 2002, and to begin submitting an annual report by October 31, 2002.  The
bill requires a state agency to file with the Sunset Advisory Commission a
copy of each report submitted by the agency's internal auditor to the
agency's governing board or administrator. 

EFFECTIVE DATE

September 1, 2001.