SRC-VRA H.B. 3024 78(R) BILL ANALYSIS Senate Research CenterH.B. 3024 By: Casteel (Armbrister) Government Organization 5/12/2003 Engrossed DIGEST AND PURPOSE Local governments, especially those with multiple state funding sources, must comply with many state reporting and auditing requirements. Over time, these requirements have become duplicative and lack a coherent underlying scheme to ensure that only necessary information is required to be reported. H.B. 3024 develops a more uniform and logical reporting structure for local governments. RULEMAKING AUTHORITY This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Chapter 783, Government Code, by adding Section 783.010, as follows: Sec. 783.010. STATE AGENCY REPORTING AND AUDITING COORDINATION. (a) Requires a state agency that requires reports of local governments to, during the second year of each state biennium, conduct a zero-based review of reporting requirements imposed on local governments and to simplify the reporting requirements and determine and eliminate unnecessary, duplicative, or overly burdensome reporting requirements. (b) Requires a state agency, based on the results of these reviews, to recommend to the legislature statutory changes to minimize cost, duplication, and paperwork and to maximize the efficient and effective use of public funds. (c) Prohibits a state agency from requiring local governments to submit reports on items not required by law, rule, or performance measures. (d) Requires a state agency, to achieve greater efficiency in the use of governmental funds expended on governmental audits, except as shown necessary to further protect public funds, to perform certain tasks. (e) Requires nothing in this section to be construed to limit the authority of a state agency to monitor or audit a local government's expenditure of state or federal funds received via contract or grant. (f) Authorizes the state auditor to audit for compliance with these provisions. SECTION 2. Effective date: upon passage or September 1, 2003.