RELATING TO GENERAL ASSEMBLY -- GOVERNMENT PERFORMANCE AUDIT AND, ACCOUNTABILITY ACT
Summary
H7982 would create a new performance audit division within Rhode Island’s Office of the Auditor General. The division would be charged with conducting performance audits of state agencies and, where authorized, contractors or other entities receiving state or federal funds. Unlike traditional financial and compliance audits, these reviews would focus on whether programs and operations are efficient, effective, economical, and aligned with legislative intent. The bill also requires the division to prepare an annual audit plan, follow generally accepted government auditing standards, and issue public reports on its findings and recommendations.
The bill sets a minimum staffing level of five full-time equivalent positions for the new division, including a chief performance auditor, and allows the auditor general to use outside consultants for specialized work. It also requires audited entities to submit corrective action plans within 60 days of receiving a report, and directs the auditor general to monitor implementation and report on compliance to legislative committees. If an entity fails to make reasonable progress or if an audit reveals possible legal violations or material financial harm, the auditor general may refer the matter to the attorney general. The act would take effect immediately upon passage.
Impact
The bill would amend Title 22 of the Rhode Island General Laws by adding a new chapter establishing the Government Audit and Accountability Act. It would expand the statutory role of the Office of the Auditor General by creating a dedicated performance audit function, increasing access to records and personnel for audit purposes, and requiring state agencies and certain funded entities to respond formally to audit findings through corrective action plans. It would also create a new ongoing general revenue obligation to fund staffing, training, equipment, contractor support, and office space for the division.
Sentiment
The bill appears generally favorable in concept based on its findings and framing, which emphasize fiscal oversight, waste reduction, and improved government accountability. The text presents the proposal as a response to under-resourcing in the auditor general’s office and highlights examples where performance auditing allegedly identified significant savings. No committee transcript or vote record is available, so there is no recorded opposition or support beyond the bill’s own stated rationale.
Contention
The main points of potential contention are likely to be cost, scope, and administrative burden. The bill requires at least five dedicated FTEs and additional resources, which could raise budget concerns. It also expands audit authority over agencies and contractors receiving state or federal funds, which may prompt concerns about overlap with existing internal controls, program integrity functions, or agency autonomy. Another possible issue is the corrective action and referral process, since agencies would be required to respond within 60 days and the auditor general could refer matters to the attorney general if progress is insufficient or legal violations are suspected.