GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION LAW 2001-160
AN ACT to transfer from the state auditor to the local government commission THE RESPONSIBILITY FOR APPROVING COMPLIANCE SUPPLEMENTS FOR AUDITS OF LOCAL GOVERNMENTS.
The General Assembly of North Carolina enacts:
SECTION 1. G.S. 159-34(c) reads as rewritten:
"(c) Notwithstanding any
other provision of law, except for Article 5A of Chapter 147 of the General
Statutes pertaining to the State Auditor, all State departments and agencies
shall rely upon the single audit accepted by the secretary as the basis for
compliance with applicable federal and State regulations. All State departments
and agencies which provide funds to local governments and public authorities
shall provide the Commission with documents approved by the State Auditor in
a that the Commission finds are in the prescribed format describing
standards of compliance and suggested audit procedures sufficient to give
adequate direction to independent auditors retained by local governments and
public authorities to conduct a single audit as required by this section. The
secretary shall be responsible for the annual distribution of all such
standards of compliance and suggested audit procedures proposed by State
departments and agencies and any amendments thereto. Further, the Commission
with the cooperation of all affected State departments and agencies shall be
responsible for the following:
(1) Procedures for the
timely distribution of compliance standards developed by State departments and
agencies, reviewed and approved by the State Auditor Commission
to auditors retained by local governments and public authorities.
(2) Procedures for the distribution of single audits for local governments and public authorities such that they are available to all State departments and agencies which provide funds to local units.
(3) The acceptance of single audits on behalf of all State departments and agencies; provided that, the secretary may subsequently revoke such acceptance for cause, whereupon affected State departments and agencies shall no longer rely upon such audit as the basis for compliance with applicable federal and State regulations."
SECTION 2. This act is effective when it becomes law.
In the General Assembly read three times and ratified this the 21st day of May, 2001.
s/ Marc Basnight
President Pro Tempore of the Senate
s/ James B. Black
Speaker of the House of Representatives
s/ Michael F. Easley
Governor
Approved 11:27 a.m. this 31st day of May, 2001