2009 Rhode Island Code
Title 35 - Public Finance
CHAPTER 35-7 - Post Audit of Accounts
§ 35-7-3 - Audits performed by the bureau of audits.

SECTION 35-7-3

   § 35-7-3  Audits performed by the bureau of audits. – (a) The bureau of audits is authorized to conduct audits of any state department, state agency, or private entity that is a recipient of state funding or state grants. As deemed necessary or expedient by the bureau of audits, audits may be made relative to the financial affairs or the economy and efficiency of management of each department and agency. The bureau of audits shall determine which such audits shall be performed in accordance with a risk-based evaluation. Unless there is an issue of misappropriation, the provisions of this section shall not apply to non-profit organizations.

   (b) Within twenty (20) days following the date of the issuance of the final audit report, the head of the department, agency or private entity audited shall respond in writing to each recommendation made in the final audit report. This response shall address the department's, agency's or private entity's plan of implementation for each specific audit recommendation and, if applicable, the reasons for disagreement with any recommendation proposed in the audit report. Within one year following the date on which the audit report was issued, the bureau of audits may perform a follow-up audit for the purpose of determining whether the department, agency or private entity has implemented, in an efficient and effective manner, its plan of action for the recommendations proposed in the audit report.

   (c) The bureau of audits shall maintain a full record of each audit. In the event that information gathered as a result of an audit indicates that criminal activity may have occurred, the chief of the bureau of audits may provide such information to a state or federal law enforcement agency. For any such information that is otherwise exempt from public disclosure under the provisions of Rhode Island general law § 38-2-1 et seq., the provision of such information to a law enforcement agency shall not therefore require that this information be further disclosed.

   (d) Copies of each audit report, the written response to the audit report, and the results of each follow-up audit as described in subsection (b) above shall be submitted to the chairpersons of the house finance committee and the senate finance committee.