81R12137 JRD-D
 
  By: Harper-Brown H.B. No. 3396
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to requiring a state agency that is undergoing review by
  the Sunset Advisory Commission to undergo a financial audit and
  submit a zero-based budget in connection with the review.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 325.007, Government Code, is amended to
  read as follows:
         Sec. 325.007.  AGENCY REPORT TO COMMISSION. (a)  Before
  September 1 of the odd-numbered year before the year in which a
  state agency subject to this chapter is abolished, the agency shall
  report to the commission:
               (1)  information regarding the application to the
  agency of the criteria in Section 325.011;  and
               (2)  any other information that the agency considers
  appropriate or that is requested by the commission.
         (b)  Before November 1 of the odd-numbered year before the
  year in which a state agency subject to this chapter is abolished,
  the agency shall present to the commission a zero-based budget for
  the state fiscal year that begins on the date the agency is
  scheduled to be abolished that:
               (1)  justifies each activity performed by the agency
  with reference to the agency's legal authority to perform the
  activity;
               (2)  budgets the minimum amount for each activity that
  the agency considers necessary to adequately comply with the duties
  imposed by law on the agency; and
               (3)  includes any other information required by the
  commission.
         SECTION 2.  Chapter 325, Government Code, is amended by
  adding Section 325.0075 to read as follows:
         Sec. 325.0075.  FINANCIAL AUDIT.  The state auditor shall
  conduct a financial audit under Section 321.0131 of each state
  agency scheduled to be abolished on a date certain if not continued
  in accordance with this chapter. The state auditor shall conduct
  the audit at a time so that the completed audit may be sent to the
  commission on September 1 of the odd-numbered year before the year
  the agency is scheduled to be abolished.
         SECTION 3.  The changes in law made by this Act apply in
  relation to the review by the Sunset Advisory Commission of
  agencies scheduled to be abolished on or after September 1, 2013, if
  not continued in accordance with Chapter 325, Government Code, and
  in relation to any other agencies that by law are reviewed during
  those review periods by the Sunset Advisory Commission.
         SECTION 4.  This Act takes effect September 1, 2009.