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Minnesota Legislature

Office of the Revisor of Statutes

Key: (1) language to be deleted (2) new language


  

                         Laws of Minnesota 1983 

                        CHAPTER 317--H.F.No. 253
           An act relating to the operation of state government; 
          clarifying certain provisions regarding the term and 
          duties of the legislative auditor; amending Minnesota 
          Statutes 1982, sections 3.97, subdivision 4; 3.972; 
          and 462A.22, subdivision 10. 
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
    Section 1.  Minnesota Statutes 1982, section 3.97, 
subdivision 4, is amended to read: 
    Subd. 4.  Until the expiration of his term the incumbent 
public examiner upon the effective date of this section shall 
continue in the legislative branch but as the legislative 
auditor.  Thereafter, the commission shall appoint a legislative 
auditor.  The legislative auditor is the executive secretary of 
the commission.  After the expiration of the term of the 
incumbent public examiner the legislative auditor shall serve at 
the pleasure of the commission until May 1, 1977.  Thereafter, 
The legislative auditor shall be appointed by the commission for 
a six year term.  He shall serve in the unclassified service.  
He shall not at any time while in office hold any other public 
office.  The legislative auditor appointed on May 2, 1977, shall 
not be removed from his office before the expiration of his term 
of service except for cause after public hearing.  
    Sec. 2.  Minnesota Statutes 1982, section 3.972, is amended 
to read: 
    3.972 [DUTIES AS TO STATE AGENCIES AND SEMI-STATE AGENCIES; 
AUDITS; DEFINITIONS.] 
    Subdivision 1.  [PUBLIC ACCOUNTANT.] For the purposes of 
this section, "public accountant" means a certified public 
accountant, certified public accounting firm, or a licensed 
public accountant licensed by the board of accountancy pursuant 
to sections 326.17 to 326.23.  
    Subd. 2.  [AUDITS OF STATE AND SEMI-STATE AGENCIES.] The 
legislative auditor shall make a constant audit of all financial 
affairs of all departments and agencies of the state, and of the 
financial records and transactions of public boards, 
associations, and societies supported, wholly or in part, by 
state funds.  Once in each year, if funds and personnel permit, 
without previous notice, he shall visit each of such state 
departments and agencies, associations or societies and, so far 
as practicable, inspect such agencies, thoroughly examine the 
books and accounts thereof, verifying the funds, securities and 
other assets, check the items of receipts and disbursements with 
the voucher records thereof, ascertain the character of the 
official bonds for the officers thereof and the financial 
ability of the bondsmen, inspect the sources of revenue thereof, 
the use and disposition of state appropriations and property, 
investigate the methods of purchase and sale, the character of 
contracts on public account, ascertain proper custody and 
depository for the funds and securities thereof, verify the 
inventory of public property and other assets held in trust, and 
ascertain that all financial transactions and operations 
involving the public funds and property of the state comply with 
the spirit and purpose of the law, are sound by modern standards 
of financial management and are for the best protection of the 
public interest.  
    Subd. 3.  [AUDIT CONTRACTS.] Notwithstanding any other law 
to the contrary, a state department, board, commission, or other 
state agency shall not negotiate a contract with a public 
accountant for an audit, except a contract negotiated by the 
state auditor for an audit of a local government, unless the 
contract has been reviewed by the legislative auditor.  The 
legislative auditor shall not participate in the selection of 
the public accountant, but shall review and submit written 
comments on the proposed contract within seven days of its 
receipt.  Upon completion of the audit, the legislative auditor 
shall be given a copy of the final report.  
    Sec. 3.  Minnesota Statutes 1982, section 462A.22, 
subdivision 10, is amended to read: 
    Subd. 10.  All of the official books and records of the 
agency shall be subject to audit by the legislative auditor in 
the manner prescribed for other agencies of state government.  
The agency is authorized also to employ and to contract in its 
resolutions and indentures for the employment of independent 
public accountants for the audit of books and records pertaining 
to any fund or funds.  The legislative auditor shall review 
contracts with public accountants as provided in section 2.  
    Sec. 4.  [EFFECTIVE DATE.] 
    Sections 1 to 3 are effective the day following final 
enactment. 
    Approved June 14, 1983