1-1                                   AN ACT
 1-2     relating to the review of financial audits of regional planning
 1-3     commissions.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Subsection (e), Section 391.0095, Local
 1-6     Government Code, is amended to read as follows:
 1-7           (e)  A commission shall [also] send to the state auditor, the
 1-8     comptroller, and the Legislative Budget Board a copy of each [a]
 1-9     report and [or an] audit required under this section or under
1-10     Section 391.009.  The state auditor shall review each audit and
1-11     report and must be given access to working papers and other
1-12     supporting documentation that the state auditor determines is
1-13     necessary to perform the review.  If the state auditor finds
1-14     significant issues involving the administration or operation of a
1-15     commission or its programs, the state auditor shall report its
1-16     findings and related recommendations to the legislative audit
1-17     committee, the governor, and the commission.  The governor and the
1-18     legislative audit committee may direct the commission to prepare a
1-19     corrective action plan or other response to the state auditor's
1-20     findings or recommendations.  The legislative audit committee may
1-21     direct the state auditor to perform any additional audit or
1-22     investigative work that the committee determines is necessary.  [If
1-23     the governor determines that there is a question about the
1-24     appropriateness of an expenditure or other action of a commission,
1-25     the governor shall report the expenditure or other action to the
 2-1     state auditor for review.]
 2-2           SECTION 2.  This Act takes effect September 1, 2001, and
 2-3     applies only to an audit or report sent to the state auditor under
 2-4     Subsection (e), Section 391.0095, Local Government Code, as amended
 2-5     by this Act, on or after the effective date of this Act.  An audit
 2-6     or report sent to the state auditor under Subsection (e), Section
 2-7     391.0095, Local Government Code, before the effective date of this
 2-8     Act is governed by the law in effect before the effective date of
 2-9     this Act, and that law is continued in effect for that purpose.
         _______________________________     _______________________________
             President of the Senate              Speaker of the House
               I hereby certify that S.B. No. 1016 passed the Senate on
         April 24, 2001, by a viva-voce vote.
                                             _______________________________
                                                 Secretary of the Senate
               I hereby certify that S.B. No. 1016 passed the House on
         May 23, 2001, by a non-record vote.
                                             _______________________________
                                                Chief Clerk of the House
         Approved:
         _______________________________
                      Date
         _______________________________
                    Governor