S T A T E   O F   N E W   Y O R K
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                                  5374

                       2013-2014 Regular Sessions

                          I N  A S S E M B L Y

                            February 25, 2013
                               ___________

Introduced  by  M.  of A. BRENNAN, DINOWITZ, ROSENTHAL, CLARK, COLTON --
  Multi-Sponsored by -- M. of A. JACOBS, LAVINE, MARKEY, MILLMAN -- read
  once and referred to the Committee on Cities

AN ACT to amend the New York city charter,  in  relation  to  the  audit
  powers and duties of the New York city comptroller

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Subdivision c of section 93 of the New York  city  charter,
as  added by a vote of the people of the city of New York at the general
election held in November of 1989, is amended to read as follows:
  c. 1. The comptroller shall have  power  to  audit  all  agencies,  as
defined  in  subdivision  two  of  section eleven hundred fifty, and all
agencies, the majority of whose members are appointed by city officials.
The comptroller shall be entitled to obtain  access  to  agency  records
required  by  law  to be kept confidential, other than records which are
protected by the privileges for attorney-client communications, attorney
work products, or material prepared for  litigation,  upon  a  represen-
tation  by  the comptroller that necessary and appropriate steps will be
taken to protect the confidentiality of such  records.  The  comptroller
shall  establish  a regular auditing cycle to ensure that one or more of
the programs or activities of each city agency, or one or  more  aspects
of  each agency's operations, is audited at least once every four years.
The audits conducted by the  comptroller  shall  comply  with  generally
accepted  government  auditing standards. In accordance with such stand-
ards, and before any draft or final audit or audit  report,  or  portion
thereof,  may  be  made public, the comptroller shall send a copy of the
draft audit or audit report to  the  head  of  the  audited  agency  and
provide  the  agency,  in  writing,  with  a reasonable deadline for its
review and response. The comptroller shall include copies  of  any  such
agency  response in any draft or final audit or audit report, or portion
thereof, which is made public. The comptroller shall send copies of  all

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD09064-01-3
              

A. 5374                             2

final  audits and audit reports to the council, the mayor, and the audit
committee. IF THE FINAL  REPORT  MAKES  RECOMMENDATIONS  FOR  CORRECTIVE
ACTION,  THE  HEAD OF THE ENTITY AUDITED SHALL REPORT WITHIN NINETY DAYS
AFTER  RECEIPT THEREOF TO THE COUNCIL, THE MAYOR AND THE AUDIT COMMITTEE
WHAT STEPS WERE TAKEN TO  IMPLEMENT  SUCH  RECOMMENDATIONS,  AND,  WHERE
RECOMMENDATIONS  WERE  NOT  IMPLEMENTED,  THE REASON THEREFOR, INCLUDING
WHETHER ALTERNATE ACTIONS HAVE BEEN  TAKEN  THAT  ESSENTIALLY  MEET  THE
AUDITOR'S  INTENT  OR CIRCUMSTANCES HAVE CHANGED AND THE RECOMMENDATIONS
ARE NO LONGER VALID. SUCH REPORTS BY THE AGENCY AUDITED  SHALL  CONTINUE
TO  BE  MADE  AS  PROVIDED  IN  THIS SECTION EVERY NINETY DAYS UNTIL ALL
RECOMMENDATIONS TO WHICH THE AUDITED AGENCY  CONCURS  ARE  FULLY  IMPLE-
MENTED  OR  UNTIL CIRCUMSTANCES HAVE CHANGED AND THE RECOMMENDATIONS ARE
NO LONGER APPLICABLE.
  2. THE COMPTROLLER MAY CONDUCT FOLLOW-UP REVIEWS TO EXAMINE THE IMPLE-
MENTATION STATUS OF RECOMMENDATIONS OF PREVIOUSLY  CONDUCTED  AUDITS  OF
ANY  AGENCY.  WHEN  CONDUCTING A FOLLOW-UP REVIEW, THE COMPTROLLER SHALL
DETERMINE WHETHER SUCH RECOMMENDATIONS WERE FULLY IMPLEMENTED, PARTIALLY
IMPLEMENTED, NOT IMPLEMENTED AT ALL OR WERE NO  LONGER  APPLICABLE.  THE
COMPTROLLER  SHALL  THEREAFTER SUBMIT THE FOLLOW-UP REVIEW TO THE AGENCY
AUDITED. IF THE FOLLOW-UP REVIEW INCLUDES UNIMPLEMENTED  RECOMMENDATIONS
FOR  CORRECTIVE ACTION AND THE AGENCY CONCURS WITH SUCH RECOMMENDATIONS,
THE HEAD OF THE AUDITED AGENCY SHALL, WITHIN NINETY DAYS AFTER RECEIVING
THE FOLLOW-UP REVIEW, REPORT TO THE COMPTROLLER, THE COUNCIL, THE  MAYOR
AND THE AUDIT COMMITTEE WHAT STEPS WERE TAKEN TO IMPLEMENT THE RECOMMEN-
DATIONS  AND  WHERE THE RECOMMENDATIONS WERE NOT IMPLEMENTED, THE REASON
THEREFOR, INCLUDING WHETHER  ALTERNATE  ACTIONS  HAVE  BEEN  TAKEN  THAT
ESSENTIALLY  MEET THE AUDITORS' INTENT OR CIRCUMSTANCES HAVE CHANGED AND
THE RECOMMENDATIONS ARE NO LONGER VALID.  SUCH  REPORTS  BY  THE  AGENCY
AUDITED  SHALL  CONTINUE  TO  BE  MADE AS PROVIDED IN THIS SECTION EVERY
NINETY DAYS UNTIL ALL RECOMMENDATIONS ARE  FULLY  IMPLEMENTED  OR  UNTIL
CIRCUMSTANCES  HAVE CHANGED AND THE RECOMMENDATIONS ARE NO LONGER APPLI-
CABLE.
  S 2. This act shall take effect on the ninetieth day  after  it  shall
have become a law.