SB 2110                                          First Engrossed
       
       
       
       
       
       
       
       
       20112110e1
       
    1                        A bill to be entitled                      
    2         An act relating to the Auditor General; amending s.
    3         11.45, F.S.; redefining the term “financial audit” to
    4         conform with applicable auditing standards; defining
    5         the term “operational audit” to provide the objectives
    6         of such audits; clarifying the requirement for the
    7         Auditor General to conduct financial audits of the
    8         accounts and records of all district school boards in
    9         counties of a specified size once every 3 years;
   10         revising duties and responsibilities of the Auditor
   11         General; requiring that the Auditor General conduct
   12         operational audits at least every 3 years of certain
   13         additional state entities and district school boards
   14         and report on the activities of the ad valorem tax
   15         program of the Department of Revenue; amending ss.
   16         25.075 and 28.35, F.S.; revising the duties of the
   17         Auditor General with respect to responsibilities for
   18         auditing certain reports made to the State Supreme
   19         Court and the operations of the Florida Clerks of
   20         Court Operations Corporation, respectively; repealing
   21         s. 195.096(7), F.S., relating to the Auditor General’s
   22         responsibility for conducting a performance audit of
   23         the Department of Revenue’s administration of ad
   24         valorem tax laws; amending s. 218.31, F.S.; redefining
   25         the term “financial audit” to conform with applicable
   26         auditing standards; amending s. 273.05, F.S.; revising
   27         requirements to issue rules for surplus property;
   28         repealing ss. 365.173(3) and 943.25(3), F.S., relating
   29         to the Auditor General’s responsibilities for auditing
   30         the Emergency Communications Number E911 System Fund
   31         and criminal justice trust funds, respectively;
   32         amending s. 1002.36, F.S.; conforming provisions to
   33         changes made by the act; amending s. 1009.53, F.S.;
   34         requiring colleges and universities that receive
   35         Florida Bright Futures Scholarship Program moneys to
   36         submit to the Department of Education a financial
   37         audit prepared by an independent certified public
   38         accountant or the Auditor General if the college or
   39         university expended more than a specified amount of
   40         program money; requiring that the audit include an
   41         examination of the institute’s administration of the
   42         program; providing that the audit be submitted to the
   43         department within a certain time; requiring any
   44         institution that is not subject to the audit to
   45         attest, under penalty of perjury, that the moneys were
   46         used in compliance with the law; providing for the
   47         attestation be made annually in a form and format
   48         determined by the Department of Education; reenacting
   49         s. 11.40(3), F.S., relating to the Legislative
   50         Auditing Committee, to incorporate the amendments made
   51         to s. 11.45, F.S., in a reference thereto; amending
   52         ss. 938.01 and 943.17, F.S.; conforming cross
   53         references to changes made by the act; providing an
   54         effective date.
   55  
   56  Be It Enacted by the Legislature of the State of Florida:
   57  
   58         Section 1. Section 11.45, Florida Statutes, is amended to
   59  read:
   60         11.45 Definitions; duties; authorities; reports; rules.—
   61         (1) DEFINITIONS.—As used in ss. 11.40-11.513, the term:
   62         (a) “Audit” means a financial audit, operational audit, or
   63  performance audit.
   64         (b) “County agency” means a board of county commissioners
   65  or other legislative and governing body of a county, however
   66  styled, including that of a consolidated or metropolitan
   67  government, a clerk of the circuit court, a separate or ex
   68  officio clerk of the county court, a sheriff, a property
   69  appraiser, a tax collector, a supervisor of elections, or any
   70  other officer in whom any portion of the fiscal duties of the
   71  above are under law separately placed.
   72         (c) “Financial audit” means an examination of financial
   73  statements in order to express an opinion on the fairness with
   74  which they are presented in conformity with generally accepted
   75  accounting principles and an examination to determine whether
   76  operations are properly conducted in accordance with legal and
   77  regulatory requirements. Financial audits must be conducted in
   78  accordance with auditing standards generally accepted in the
   79  United States auditing standards and government auditing
   80  standards as adopted by the Board of Accountancy. When
   81  applicable, the scope of financial audits shall encompass the
   82  additional activities necessary to establish compliance with the
   83  Single Audit Act Amendments of 1996, 31 U.S.C. ss. 7501-7507 and
   84  other applicable federal law.
   85         (d) “Governmental entity” means a state agency, a county
   86  agency, or any other entity, however styled, that independently
   87  exercises any type of state or local governmental function.
   88         (e) “Local governmental entity” means a county agency,
   89  municipality, or special district as defined in s. 189.403, but
   90  does not include any housing authority established under chapter
   91  421.
   92         (f) “Management letter” means a statement of the auditor’s
   93  comments and recommendations.
   94         (g) “Operational audit” means an a financial-related audit
   95  whose purpose is to evaluate management’s performance in
   96  establishing and maintaining internal controls, including
   97  controls designed to prevent and detect fraud, waste, and abuse,
   98  and in administering assigned responsibilities in accordance
   99  with applicable laws, administrative rules, contracts, grant
  100  agreements and other guidelines. Operational audits must be
  101  conducted in accordance with government auditing standards. Such
  102  audits examine and to determine the extent to which the internal
  103  controls that are control, as designed and placed in operation
  104  to promote, promotes and encourage encourages the achievement of
  105  management’s control objectives in the categories of compliance,
  106  economic and efficient operations, reliability of financial
  107  records and reports, and safeguarding of assets, and identify
  108  weaknesses in those internal controls.
  109         (h) “Performance audit” means an examination of a program,
  110  activity, or function of a governmental entity, conducted in
  111  accordance with applicable government auditing standards or
  112  auditing and evaluation standards of other appropriate
  113  authoritative bodies. The term includes an examination of issues
  114  related to:
  115         1. Economy, efficiency, or effectiveness of the program.
  116         2. Structure or design of the program to accomplish its
  117  goals and objectives.
  118         3. Adequacy of the program to meet the needs identified by
  119  the Legislature or governing body.
  120         4. Alternative methods of providing program services or
  121  products.
  122         5. Goals, objectives, and performance measures used by the
  123  agency to monitor and report program accomplishments.
  124         6. The accuracy or adequacy of public documents, reports,
  125  or requests prepared under the program by state agencies.
  126         7. Compliance of the program with appropriate policies,
  127  rules, or laws.
  128         8. Any other issues related to governmental entities as
  129  directed by the Legislative Auditing Committee.
  130         (i) “Political subdivision” means a separate agency or unit
  131  of local government created or established by law and includes,
  132  but is not limited to, the following and the officers thereof:
  133  authority, board, branch, bureau, city, commission, consolidated
  134  government, county, department, district, institution,
  135  metropolitan government, municipality, office, officer, public
  136  corporation, town, or village.
  137         (j) “State agency” means a separate agency or unit of state
  138  government created or established by law and includes, but is
  139  not limited to, the following and the officers thereof:
  140  authority, board, branch, bureau, commission, department,
  141  division, institution, office, officer, or public corporation,
  142  as the case may be, except any such agency or unit within the
  143  legislative branch of state government other than the Florida
  144  Public Service Commission.
  145         (2) DUTIES.—The Auditor General shall:
  146         (a) Conduct audits of records and perform related duties as
  147  prescribed by law, concurrent resolution of the Legislature, or
  148  as directed by the Legislative Auditing Committee.
  149         (b) Annually conduct a financial audit of state government.
  150         (c) Annually conduct financial audits of all state
  151  universities and state district boards of trustees of community
  152  colleges.
  153         (d) Annually conduct financial audits of the accounts and
  154  records of all district school boards in counties with
  155  populations of fewer than 150,000, according to the most recent
  156  federal decennial statewide census.
  157         (e) Once every 3 years, conduct financial audits of the
  158  accounts and records of all district school boards in counties
  159  that have populations of 150,000 or more, according to the most
  160  recent federal decennial statewide census. Through fiscal year
  161  2008-2009, annually conduct an audit of the Wireless Emergency
  162  Telephone System Fund as described in s. 365.173.
  163         (f) Annually conduct audits of the accounts and records of
  164  the Florida School for the Deaf and the Blind.
  165         (f)(g) At least every 3 2 years, conduct operational audits
  166  of the accounts and records of state agencies, state and
  167  universities, state colleges, district school boards, the
  168  Florida Clerks of Court Operations Corporation, water management
  169  districts, and the Florida School for the Deaf and the Blind. In
  170  connection with these audits, the Auditor General shall give
  171  appropriate consideration to reports issued by state agencies’
  172  inspectors general or universities’ inspectors general and the
  173  resolution of findings therein.
  174         (g)(h) At least every 3 2 years, conduct a performance
  175  audit of the local government financial reporting system, which,
  176  for the purpose of this chapter, means any statutory provision
  177  provisions related to local government financial reporting. The
  178  purpose of such an audit is to determine the accuracy,
  179  efficiency, and effectiveness of the reporting system in
  180  achieving its goals and to make recommendations to the local
  181  governments, the Governor, and the Legislature as to how the
  182  reporting system can be improved and how program costs can be
  183  reduced. The Auditor General shall determine the scope of the
  184  such audits. The local government financial reporting system
  185  should provide for the timely, accurate, uniform, and cost
  186  effective accumulation of financial and other information that
  187  can be used by the members of the Legislature and other
  188  appropriate officials to accomplish the following goals:
  189         1. Enhance citizen participation in local government;
  190         2. Improve the financial condition of local governments;
  191         3. Provide essential government services in an efficient
  192  and effective manner; and
  193         4. Improve decisionmaking on the part of the Legislature,
  194  state agencies, and local government officials on matters
  195  relating to local government.
  196         (h)(i)At least Once every 3 years, conduct a performance
  197  audit audits of the Department of Revenue’s administration of
  198  the ad valorem tax laws as described in s. 195.096. The audit
  199  report shall report on the activities of the ad valorem tax
  200  program of the Department of Revenue related to the ad valorem
  201  tax rolls. The Auditor General shall include, for at least four
  202  counties reviewed, findings as to the accuracy of assessment
  203  procedures, projections, and computations made by the
  204  department, using the same generally accepted appraisal
  205  standards and procedures to which the department and the
  206  property appraisers are required to adhere. However, the report
  207  may not include any findings or statistics related to any ad
  208  valorem tax roll that is in litigation between the state and
  209  county officials at the time the report is issued.
  210         (j) Once every 3 years, conduct financial audits of the
  211  accounts and records of all district school boards in counties
  212  with populations of 125,000 or more, according to the most
  213  recent federal decennial statewide census.
  214         (i)(k) Once every 3 years, review a sample of each state
  215  agency’s internal audit reports at each state agency, as defined
  216  in s. 20.055(1), to determine compliance with current Standards
  217  for the Professional Practice of Internal Auditing or, if
  218  appropriate, government auditing standards.
  219         (j)(l) Conduct audits of local governmental entities when
  220  determined to be necessary by the Auditor General, when directed
  221  by the Legislative Auditing Committee, or when otherwise
  222  required by law. No later than 18 months after the release of
  223  the audit report, the Auditor General shall perform such
  224  appropriate followup procedures as he or she deems necessary to
  225  determine the audited entity’s progress in addressing the
  226  findings and recommendations contained within the Auditor
  227  General’s previous report. The Auditor General shall notify
  228  provide a copy of his or her determination to each member of the
  229  audited entity’s governing body and to the Legislative Auditing
  230  Committee of the results of his or her determination.
  231  
  232  The Auditor General shall perform his or her duties
  233  independently but under the general policies established by the
  234  Legislative Auditing Committee. This subsection does not limit
  235  the Auditor General’s discretionary authority to conduct other
  236  audits or engagements of governmental entities as authorized in
  237  subsection (3).
  238         (3) AUTHORITY FOR AUDITS AND OTHER ENGAGEMENTS.—The Auditor
  239  General may, pursuant to his or her own authority, or at the
  240  direction of the Legislative Auditing Committee, conduct audits
  241  or other engagements as determined appropriate by the Auditor
  242  General of:
  243         (a) The accounts and records of any governmental entity
  244  created or established by law.
  245         (b) The information technology programs, activities,
  246  functions, or systems of any governmental entity created or
  247  established by law.
  248         (c) The accounts and records of any charter school created
  249  or established by law.
  250         (d) The accounts and records of any direct-support
  251  organization or citizen support organization created or
  252  established by law. The Auditor General is authorized to require
  253  and receive any records from the direct-support organization or
  254  citizen support organization, or from its independent auditor.
  255         (e) The public records associated with any appropriation
  256  made by the Legislature to a nongovernmental agency,
  257  corporation, or person. All records of a nongovernmental agency,
  258  corporation, or person with respect to the receipt and
  259  expenditure of such an appropriation shall be public records and
  260  shall be treated in the same manner as other public records are
  261  under general law.
  262         (f) State financial assistance provided to any nonstate
  263  entity as defined by s. 215.97.
  264         (g) The Tobacco Settlement Financing Corporation created
  265  pursuant to s. 215.56005.
  266         (h) Any purchases of federal surplus lands for use as sites
  267  for correctional facilities as described in s. 253.037.
  268         (i) Enterprise Florida, Inc., including any of its boards,
  269  advisory committees, or similar groups created by Enterprise
  270  Florida, Inc., and programs. The audit report may not reveal the
  271  identity of any person who has anonymously made a donation to
  272  Enterprise Florida, Inc., pursuant to this paragraph. The
  273  identity of a donor or prospective donor to Enterprise Florida,
  274  Inc., who desires to remain anonymous and all information
  275  identifying such donor or prospective donor are confidential and
  276  exempt from the provisions of s. 119.07(1) and s. 24(a), Art. I
  277  of the State Constitution. Such anonymity shall be maintained in
  278  the auditor’s report.
  279         (j) The Florida Development Finance Corporation or the
  280  capital development board or the programs or entities created by
  281  the board. The audit or report may not reveal the identity of
  282  any person who has anonymously made a donation to the board
  283  pursuant to this paragraph. The identity of a donor or
  284  prospective donor to the board who desires to remain anonymous
  285  and all information identifying such donor or prospective donor
  286  are confidential and exempt from the provisions of s. 119.07(1)
  287  and s. 24(a), Art. I of the State Constitution. Such anonymity
  288  shall be maintained in the auditor’s report.
  289         (k) The records pertaining to the use of funds from
  290  voluntary contributions on a motor vehicle registration
  291  application or on a driver’s license application authorized
  292  pursuant to ss. 320.023 and 322.081.
  293         (l) The records pertaining to the use of funds from the
  294  sale of specialty license plates described in chapter 320.
  295         (m) The transportation corporations under contract with the
  296  Department of Transportation that are acting on behalf of the
  297  state to secure and obtain rights-of-way for urgently needed
  298  transportation systems and to assist in the planning and design
  299  of such systems pursuant to ss. 339.401-339.421.
  300         (n) The acquisitions and divestitures related to the
  301  Florida Communities Trust Program created pursuant to chapter
  302  380.
  303         (o) The Florida Water Pollution Control Financing
  304  Corporation created pursuant to s. 403.1837.
  305         (p) The school readiness system, including the early
  306  learning coalitions, created under s. 411.01.
  307         (q) The Florida Special Disability Trust Fund Financing
  308  Corporation created pursuant to s. 440.49.
  309         (r) Workforce Florida, Inc., or the programs or entities
  310  created by Workforce Florida, Inc., created pursuant to s.
  311  445.004.
  312         (s) The corporation defined in s. 455.32 that is under
  313  contract with the Department of Business and Professional
  314  Regulation to provide administrative, investigative,
  315  examination, licensing, and prosecutorial support services in
  316  accordance with the provisions of s. 455.32 and the practice act
  317  of the relevant profession.
  318         (t) The Florida Engineers Management Corporation created
  319  pursuant to chapter 471.
  320         (u) The Investment Fraud Restoration Financing Corporation
  321  created pursuant to chapter 517.
  322         (u)(v) The books and records of any permitholder that
  323  conducts race meetings or jai alai exhibitions under chapter
  324  550.
  325         (v)(w) The corporation defined in part II of chapter 946,
  326  known as the Prison Rehabilitative Industries and Diversified
  327  Enterprises, Inc., or PRIDE Enterprises.
  328         (w)(x) The Florida Virtual School pursuant to s. 1002.37.
  329         (x) Virtual education providers receiving state funds or
  330  funds from local ad valorem taxes.
  331         (4) SCHEDULING AND STAFFING OF AUDITS.—
  332         (a) Each financial audit required or authorized by this
  333  section, when practicable, shall be made and completed within
  334  not more than 9 months following the end of each audited fiscal
  335  year of the state agency or political subdivision, or at such
  336  lesser time which may be provided by law or concurrent
  337  resolution or directed by the Legislative Auditing Committee.
  338  When the Auditor General determines that conducting any audit or
  339  engagement otherwise required by law would not be possible due
  340  to workload or would not be an efficient or effective use of his
  341  or her resources based on an assessment of risk, then, in his or
  342  her discretion, the Auditor General may temporarily or
  343  indefinitely postpone such audits or other engagements for such
  344  period or any portion thereof, unless otherwise directed by the
  345  committee.
  346         (b) The Auditor General may, when in his or her judgment it
  347  is necessary, designate and direct any auditor employed by the
  348  Auditor General to audit any accounts or records within the
  349  authority of the Auditor General to audit. The auditor shall
  350  report his or her findings for review by the Auditor General,
  351  who shall prepare the audit report.
  352         (c) The audit report when final shall be a public record.
  353  The audit workpapers and notes are not a public record; however,
  354  those workpapers necessary to support the computations in the
  355  final audit report may be made available by a majority vote of
  356  the Legislative Auditing Committee after a public hearing
  357  showing proper cause. The audit workpapers and notes shall be
  358  retained by the Auditor General until no longer useful in his or
  359  her proper functions, after which time they may be destroyed.
  360         (d) At the conclusion of the audit, the Auditor General or
  361  the Auditor General’s designated representative shall discuss
  362  the audit with the official whose office is subject to audit and
  363  submit to that official a list of the Auditor General’s findings
  364  which may be included in the audit report. If the official is
  365  not available for receipt of the list of audit findings, then
  366  delivery is presumed to be made when it is delivered to his or
  367  her office. The official shall submit to the Auditor General or
  368  the designated representative, within 30 days after the receipt
  369  of the list of findings, his or her written statement of
  370  explanation or rebuttal concerning all of the findings,
  371  including corrective action to be taken to preclude a recurrence
  372  of all findings.
  373         (e) The Auditor General shall provide the successor
  374  independent certified public accountant of a district school
  375  board with access to the prior year’s working papers in
  376  accordance with the Statements on Auditing Standards, including
  377  documentation of planning, internal control, audit results, and
  378  other matters of continuing accounting and auditing
  379  significance, such as the working paper analysis of balance
  380  sheet accounts and those relating to contingencies.
  381         (5) PETITION FOR AN AUDIT BY THE AUDITOR GENERAL.—
  382         (a) The Legislative Auditing Committee shall direct the
  383  Auditor General to make an audit of any municipality whenever
  384  petitioned to do so by at least 20 percent of the registered
  385  electors in the last general election of that municipality
  386  pursuant to this subsection. The supervisor of elections of the
  387  county in which the municipality is located shall certify
  388  whether or not the petition contains the signatures of at least
  389  20 percent of the registered electors of the municipality. After
  390  the completion of the audit, the Auditor General shall determine
  391  whether the municipality has the fiscal resources necessary to
  392  pay the cost of the audit. The municipality shall pay the cost
  393  of the audit within 90 days after the Auditor General’s
  394  determination that the municipality has the available resources.
  395  If the municipality fails to pay the cost of the audit, the
  396  Department of Revenue shall, upon certification of the Auditor
  397  General, withhold from that portion of the distribution pursuant
  398  to s. 212.20(6)(d)5. which is distributable to such
  399  municipality, a sum sufficient to pay the cost of the audit and
  400  shall deposit that sum into the General Revenue Fund of the
  401  state.
  402         (b) At least one registered elector in the most recent
  403  general election must file a letter of intent with the municipal
  404  clerk prior to any petition of the electors of that municipality
  405  for the purpose of an audit. Each petition must be submitted to
  406  the supervisor of elections and contain, at a minimum:
  407         1. The elector’s printed name;
  408         2. The signature of the elector;
  409         3. The elector’s residence address;
  410         4. The elector’s date of birth; and
  411         5. The date signed.
  412  
  413  All petitions must be submitted for verification within 1
  414  calendar year after the audit petition origination by the
  415  municipal electors.
  416         (6) REQUEST BY A LOCAL GOVERNMENTAL ENTITY FOR AN AUDIT BY
  417  THE AUDITOR GENERAL.—Whenever a local governmental entity
  418  requests the Auditor General to conduct an audit of all or part
  419  of its operations and the Auditor General conducts the audit
  420  under his or her own authority or at the direction of the
  421  Legislative Auditing Committee, the expenses of the audit shall
  422  be paid by the local governmental entity. The Auditor General
  423  shall estimate the cost of the audit. Fifty percent of the cost
  424  estimate shall be paid by the local governmental entity before
  425  the initiation of the audit and deposited into the General
  426  Revenue Fund of the state. After the completion of the audit,
  427  the Auditor General shall notify the local governmental entity
  428  of the actual cost of the audit. The local governmental entity
  429  shall remit the remainder of the cost of the audit to the
  430  Auditor General for deposit into the General Revenue Fund of the
  431  state. If the local governmental entity fails to comply with
  432  paying the remaining cost of the audit, the Auditor General
  433  shall notify the Legislative Auditing Committee. The committee
  434  shall proceed in accordance with s. 11.40(5).
  435         (7) AUDITOR GENERAL REPORTING REQUIREMENTS.—
  436         (a) The Auditor General shall notify the Legislative
  437  Auditing Committee of any local governmental entity, district
  438  school board, charter school, or charter technical career center
  439  that does not comply with the reporting requirements of s.
  440  218.39. The committee shall proceed in accordance with s.
  441  11.40(5).
  442         (b) The Auditor General, in consultation with the Board of
  443  Accountancy, shall review all audit reports submitted pursuant
  444  to s. 218.39. The Auditor General shall request any significant
  445  items that were omitted in violation of a rule adopted by the
  446  Auditor General. The items must be provided within 45 days after
  447  the date of the request. If the governmental entity does not
  448  comply with the Auditor General’s request, the Auditor General
  449  shall notify the Legislative Auditing Committee. The committee
  450  shall proceed in accordance with s. 11.40(5).
  451         (c) The Auditor General shall provide annually a list of
  452  those special districts which are not in compliance with s.
  453  218.39 to the Special District Information Program of the
  454  Department of Community Affairs.
  455         (d) During the Auditor General’s review of audit reports,
  456  he or she shall contact those units of local government, as
  457  defined in s. 218.403, that are not in compliance with s.
  458  218.415 and request evidence of corrective action. The unit of
  459  local government shall provide the Auditor General with evidence
  460  of corrective action within 45 days after the date it is
  461  requested by the Auditor General. If the unit of local
  462  government fails to comply with the Auditor General’s request,
  463  the Auditor General shall notify the Legislative Auditing
  464  Committee. The committee shall proceed in accordance with s.
  465  11.40(5).
  466         (e) The Auditor General shall notify the Governor or the
  467  Commissioner of Education, as appropriate, and the Legislative
  468  Auditing Committee of any audit report reviewed by the Auditor
  469  General pursuant to paragraph (b) which contains a statement
  470  that a local governmental entity, charter school, charter
  471  technical career center, or district school board has met one or
  472  more of the conditions specified in s. 218.503. If the Auditor
  473  General requests a clarification regarding information included
  474  in an audit report to determine whether a local governmental
  475  entity, charter school, charter technical career center, or
  476  district school board has met one or more of the conditions
  477  specified in s. 218.503, the requested clarification must be
  478  provided within 45 days after the date of the request. If the
  479  local governmental entity, charter school, charter technical
  480  career center, or district school board does not comply with the
  481  Auditor General’s request, the Auditor General shall notify the
  482  Legislative Auditing Committee. If, after obtaining the
  483  requested clarification, the Auditor General determines that the
  484  local governmental entity, charter school, charter technical
  485  career center, or district school board has met one or more of
  486  the conditions specified in s. 218.503, he or she shall notify
  487  the Governor or the Commissioner of Education, as appropriate,
  488  and the Legislative Auditing Committee.
  489         (f) The Auditor General shall annually compile and transmit
  490  to the President of the Senate, the Speaker of the House of
  491  Representatives, and the Legislative Auditing Committee a
  492  summary of significant findings and financial trends identified
  493  in audit reports reviewed in paragraph (b) or otherwise
  494  identified by the Auditor General’s review of such audit reports
  495  and financial information, and identified in audits of district
  496  school boards conducted by the Auditor General. The Auditor
  497  General shall include financial information provided pursuant to
  498  s. 218.32(1)(e) for entities with fiscal years ending on or
  499  after June 30, 2003, within his or her reports submitted
  500  pursuant to this paragraph.
  501         (g) If the Auditor General discovers significant errors,
  502  improper practices, or other significant discrepancies in
  503  connection with his or her audits of a state agency or state
  504  officer, the Auditor General shall notify the President of the
  505  Senate, the Speaker of the House of Representatives, and the
  506  Legislative Auditing Committee. The President of the Senate and
  507  the Speaker of the House of Representatives shall promptly
  508  forward a copy of the notification to the chairs of the
  509  respective legislative committees, which in the judgment of the
  510  President of the Senate and the Speaker of the House of
  511  Representatives are substantially concerned with the functions
  512  of the state agency or state officer involved. Thereafter, and
  513  in no event later than the 10th day of the next succeeding
  514  legislative session, the person in charge of the state agency
  515  involved, or the state officer involved, as the case may be,
  516  shall explain in writing to the President of the Senate, the
  517  Speaker of the House of Representatives, and to the Legislative
  518  Auditing Committee the reasons or justifications for such
  519  errors, improper practices, or other significant discrepancies
  520  and the corrective measures, if any, taken by the agency.
  521         (h) The Auditor General shall annually compile and transmit
  522  to the President of the Senate, the Speaker of the House of
  523  Representatives, and the Legislative Auditing Committee by
  524  December 1 of each year a report that includes a projected 2
  525  year work plan identifying the audit and other accountability
  526  activities to be undertaken and a list of statutory and fiscal
  527  changes recommended by the Auditor General. The Auditor General
  528  may also transmit recommendations at other times of the year
  529  when the information would be timely and useful for the
  530  Legislature.
  531         (8) RULES OF THE AUDITOR GENERAL.—The Auditor General, in
  532  consultation with the Board of Accountancy, shall adopt rules
  533  for the form and conduct of all financial audits performed by
  534  independent certified public accountants pursuant to ss.
  535  215.981, 218.39, 1001.453, 1004.28, and 1004.70. The rules for
  536  audits of local governmental entities, charter schools, charter
  537  technical career centers, and district school boards must
  538  include, but are not limited to, requirements for the reporting
  539  of information necessary to carry out the purposes of the Local
  540  Governmental Entity, Charter School, Charter Technical Career
  541  Center, and District School Board Financial Emergencies Act as
  542  stated in s. 218.501.
  543         (9) TECHNICAL ADVICE PROVIDED BY THE AUDITOR GENERAL.—The
  544  Auditor General may provide technical advice to:
  545         (a) The Department of Education in the development of a
  546  compliance supplement for the financial audit of a district
  547  school board conducted by an independent certified public
  548  accountant.
  549         (b) Governmental entities on their financial and accounting
  550  systems, procedures, and related matters.
  551         (c) Governmental entities on promoting the building of
  552  competent and efficient accounting and internal audit
  553  organizations in their offices.
  554         Section 2. Section 25.075, Florida Statutes, is amended to
  555  read:
  556         25.075 Uniform case reporting system.—
  557         (1) The Supreme Court shall develop a uniform case
  558  reporting system, including a uniform means of reporting
  559  categories of cases, time required in the disposition of cases,
  560  and manner of disposition of cases.
  561         (2) If any clerk shall willfully fails fail to report to
  562  the Supreme Court as directed by the court, the clerk shall be
  563  guilty of misfeasance in office.
  564         (3) The Auditor General shall audit the reports made to the
  565  Supreme Court in accordance with the uniform system established
  566  by the Supreme Court.
  567         Section 3. Subsection (5) of section 28.35, Florida
  568  Statutes, is amended to read:
  569         28.35 Florida Clerks of Court Operations Corporation.—
  570         (5)(a) The corporation shall submit an annual audited
  571  financial statement to the Auditor General in a form and manner
  572  prescribed by the Auditor General. The Auditor General shall
  573  conduct an annual audit of the operations of the corporation,
  574  including the use of funds and compliance with the provisions of
  575  this section and ss. 28.36 and 28.37.
  576         (b) Certified public accountants conducting audits of
  577  counties pursuant to s. 218.39 shall report, as part of the
  578  audit, whether or not the clerks of the courts have complied
  579  with the requirements of this section and s. 28.36. In addition,
  580  each clerk of court shall forward a copy of the portion of the
  581  financial audit relating to the court-related duties of the
  582  clerk of court to the Supreme Court. The Auditor General shall
  583  develop a compliance supplement for the audit of compliance with
  584  the budgets and applicable performance standards certified by
  585  the corporation.
  586         Section 4. Subsection (7) of section 195.096, Florida
  587  Statutes, is repealed.
  588         Section 5. Subsection (17) of section 218.31, Florida
  589  Statutes, is amended to read:
  590         218.31 Definitions.—As used in this part, except where the
  591  context clearly indicates a different meaning:
  592         (17) “Financial audit” means an examination of financial
  593  statements in order to express an opinion on the fairness with
  594  which they are presented in conformity with generally accepted
  595  accounting principles and an examination to determine whether
  596  operations are properly conducted in accordance with legal and
  597  regulatory requirements. Financial audits must be conducted in
  598  accordance with auditing standards generally accepted in the
  599  United States auditing standards and government auditing
  600  standards as adopted by the Board of Accountancy and as
  601  prescribed by rules promulgated by the Auditor General. When
  602  applicable, the scope of financial audits shall encompass the
  603  additional activities necessary to establish compliance with the
  604  Single Audit Act Amendments of 1996, 31 U.S.C. ss. 7501-7507 and
  605  other applicable federal law.
  606         Section 6. Subsection (5) of section 273.05, Florida
  607  Statutes, is amended to read:
  608         273.05 Surplus property.—
  609         (5) The custodian shall maintain records of property that
  610  is certified as surplus with information indicating the value
  611  and condition of the property. Agency records for property
  612  certified as surplus shall comply with rules issued by the Chief
  613  Financial Officer Auditor General.
  614         Section 7. Subsection (3) of section 365.173, Florida
  615  Statutes, is repealed.
  616         Section 8. Subsection (3) of section 943.25, Florida
  617  Statutes, is repealed.
  618         Section 9. Subsection (3) of section 1002.36, Florida
  619  Statutes, is amended to read:
  620         1002.36 Florida School for the Deaf and the Blind.—
  621         (3) AUDITS.—The Auditor General shall conduct annual audits
  622  of the accounts and records of the Florida School for the Deaf
  623  and the Blind as provided in s. 11.45. The Department of
  624  Education’s Inspector General is authorized to conduct
  625  investigations at the school as provided in s. 1001.20(4)(e).
  626         Section 10. Subsection (5) of section 1009.53, Florida
  627  Statutes, is amended to read:
  628         1009.53 Florida Bright Futures Scholarship Program.—
  629         (5) The department shall issue awards from the scholarship
  630  program annually. Annual awards may be for up to 45 semester
  631  credit hours or the equivalent. Before the registration period
  632  each semester, the department shall transmit payment for each
  633  award to the president or director of the postsecondary
  634  education institution, or his or her representative, except that
  635  the department may withhold payment if the receiving institution
  636  fails to report or to make refunds to the department as required
  637  in this section.
  638         (a) Within 30 days after the end of regular registration
  639  each semester, the educational institution shall certify to the
  640  department the eligibility status of each student who receives
  641  an award. After the end of the drop and add period, an
  642  institution is not required to reevaluate or revise a student’s
  643  eligibility status; however, an institution must make a refund
  644  to the department within 30 days after the end of the semester
  645  of any funds received for courses dropped by a student or
  646  courses from which a student has withdrawn after the end of the
  647  drop and add period, unless the student has been granted an
  648  exception by the department pursuant to subsection (11).
  649         (b) An institution that receives funds from the program
  650  shall certify to the department the amount of funds disbursed to
  651  each student and shall remit to the department any undisbursed
  652  advances within 60 days after the end of regular registration.
  653         (c) Each institution that receives moneys through this
  654  program shall provide for a prepare an annual report that
  655  includes an annual financial audit, as defined in s. 11.45,
  656  conducted by an independent certified public accountant or the
  657  Auditor General for each fiscal year in which the institution
  658  expends program moneys in excess of $100,000. At least every 2
  659  years, the audit report shall include an examination audit of
  660  the institution’s administration of the program and the
  661  institution’s a complete accounting of the moneys for the
  662  program since the last examination of the institution’s
  663  administration of the program. The This report on the audit must
  664  be submitted to the department within 9 months after the end of
  665  the fiscal year annually by March 1. The department may conduct
  666  its own annual audit of an institution’s administration of the
  667  program. The department may request a refund of any moneys
  668  overpaid to the institution for the program. The department may
  669  suspend or revoke an institution’s eligibility to receive future
  670  moneys for the program if the department finds that an
  671  institution has not complied with this section. The institution
  672  must remit within 60 days any refund requested in accordance
  673  with this subsection.
  674         (d) Any institution that is not subject to an audit
  675  pursuant to this subsection shall attest, under penalty of
  676  perjury, that the moneys were used in compliance with law. The
  677  attestation shall be made annually in a form and format
  678  determined by the department.
  679         Section 11. For the purpose of incorporating the amendment
  680  made by this act to section 11.45, Florida Statutes, in a
  681  reference thereto, subsection (3) of section 11.40, Florida
  682  Statutes, is reenacted to read:
  683         11.40 Legislative Auditing Committee.—
  684         (3) The Legislative Auditing Committee may direct the
  685  Auditor General or the Office of Program Policy Analysis and
  686  Government Accountability to conduct an audit, review, or
  687  examination of any entity or record described in s. 11.45(2) or
  688  (3).
  689         Section 12. Paragraph (b) of subsection (1) of section
  690  938.01, Florida Statutes, is amended to read:
  691         938.01 Additional Court Cost Clearing Trust Fund.—
  692         (1) All courts created by Art. V of the State Constitution
  693  shall, in addition to any fine or other penalty, require every
  694  person convicted for violation of a state penal or criminal
  695  statute or convicted for violation of a municipal or county
  696  ordinance to pay $3 as a court cost. Any person whose
  697  adjudication is withheld pursuant to the provisions of s.
  698  318.14(9) or (10) shall also be liable for payment of such cost.
  699  In addition, $3 from every bond estreature or forfeited bail
  700  bond related to such penal statutes or penal ordinances shall be
  701  remitted to the Department of Revenue as described in this
  702  subsection. However, no such assessment may be made against any
  703  person convicted for violation of any state statute, municipal
  704  ordinance, or county ordinance relating to the parking of
  705  vehicles.
  706         (b) All funds in the Department of Law Enforcement Criminal
  707  Justice Standards and Training Trust Fund shall be disbursed
  708  only in compliance with s. 943.25(8)(9).
  709         Section 13. Paragraph (c) of subsection (1) of section
  710  943.17, Florida Statutes, is amended to read:
  711         943.17 Basic recruit, advanced, and career development
  712  training programs; participation; cost; evaluation.—The
  713  commission shall, by rule, design, implement, maintain,
  714  evaluate, and revise entry requirements and job-related
  715  curricula and performance standards for basic recruit, advanced,
  716  and career development training programs and courses. The rules
  717  shall include, but are not limited to, a methodology to assess
  718  relevance of the subject matter to the job, student performance,
  719  and instructor competency.
  720         (1) The commission shall:
  721         (c) Design, implement, maintain, evaluate, revise, or adopt
  722  a career development training program which is limited to those
  723  courses related to promotion to a higher rank or position.
  724  Career development courses will not be eligible for funding as
  725  provided in s. 943.25(8)(9).
  726         Section 14. This act shall take effect July 1, 2011.