S T A T E O F N E W Y O R K
________________________________________________________________________
2955
2019-2020 Regular Sessions
I N S E N A T E
January 31, 2019
___________
Introduced by Sens. RANZENHOFER, FUNKE, GALLIVAN, SEWARD -- read twice
and ordered printed, and when printed to be committed to the Committee
on Education
AN ACT to amend the education law, in relation to extending provisions
for internal audits by school districts from annually to every five
years
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Subdivisions 1 and 7 of section 2116-b of the education
law, as added by chapter 263 of the laws of 2005, are amended to read as
follows:
1. No later than July first, two thousand six, each school district
shall establish an internal audit function to be in operation no later
than the following December thirty-first. Such function shall include:
(a) development of a risk assessment of district operations, including
but not limited to, a review of financial policies and procedures and
the testing and evaluation of district internal controls; (b) [an annu-
al] A review and update of such risk assessment; and (c) preparation of
reports[, at least annually or more frequently as the trustees or board
of education may direct,] which analyze significant risk assessment
findings, recommend changes for strengthening controls and reducing
identified risks, and specify timeframes for implementation of such
recommendations. AUDITS PERFORMED PURSUANT TO THIS SECTION SHALL BE
COMPLETED EVERY FIVE YEARS.
7. Nothing in this section shall be construed as requiring a school
district in any city with a population of one hundred twenty-five thou-
sand or more to replace or modify an existing internal audit function
where such function already exists by special or local law, so long as
the superintendent of the district [annually] certifies to the commis-
sioner that the existing internal audit function meets or exceeds the
requirements of this section; PROVIDED, HOWEVER, NOTWITHSTANDING ANY
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD01613-01-9
S. 2955 2
SPECIAL OR LOCAL LAW TO THE CONTRARY, SCHOOL DISTRICTS SHALL PERFORM
SUCH INTERNAL AUDITS EVERY FIVE YEARS.
§ 2. This act shall take effect on the first of July next succeeding
the date on which it shall have become a law.