BILL ANALYSIS

Senate Research Center	S.B. 1571
	By: Campbell
	Finance
	5/27/2019
	Enrolled

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

Chapter 2115 of the Government Code requires the comptroller of public accounts of the State of Texas (comptroller) to contract with one or more consultants to conduct recovery audits of payments made by state agencies to vendors. The comptroller is required to audit state agencies whose total vendor expenditures exceed $100 million per biennium and report those audits to the governor, the Texas State Auditor's Office, and the Legislative Budget Board.

The bill would lower the vendor expenditure level to $50 million, update reporting requirements, and provide greater flexibility to the comptroller to determine the frequency of audits based on the state's best interest. (Original Author's/Sponsor's Statement of Intent)

S.B. 1571 amends current law relating to recovery audits of payments made by state agencies to vendors.

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 Sections 2115.002(a) and (b), Government Code, as follows:

(a) Authorizes, rather than requires, the comptroller of public accounts of the State of Texas (comptroller) to contract with one or more consultants to conduct recovery audits of payments made by state agencies to vendors.

(b) Makes nonsubstantive changes to this subsection.

SECTION 2. Amends Section 2115.003, Government Code, by amending Subsection (a) and adding Subsection (a-1), as follows:

(a) Authorizes the comptroller to require recovery audits on the payments to vendors made by each state agency that has total expenditures during a state fiscal biennium in an amount that exceeds $50 million, rather than requiring the comptroller to require that recovery audits be performed on the payments to vendors made by each state agency that has total expenditures during a state fiscal biennium in an amount that exceeds $100 million. Makes nonsubstantive changes.

(a-1) Authorizes the comptroller to determine the frequency of recovery audits authorized by this section.

SECTION 3. Amends Sections 2115.005(b) and (c), Government Code, as follows:

(b) Requires the comptroller to provide the copies required by Subsection (a) (relating to requiring the comptroller to provide copies of certain reports to certain persons and entities) not later than the 15th day, rather than the seventh day, after the date the comptroller receives the consultant's report.

(c) Requires the comptroller, not later than February 1 of each odd‑numbered year, rather than January 1 of each odd‑numbered year, to issue a report to the legislature summarizing the activities conducted, rather than the contents of all reports received, under this chapter (Recovery of Certain State Agency Overpayments) during the state fiscal biennium ending August 31 of the previous year.

SECTION 4.� Effective date: September 1, 2019.