Assembly Bill A10590

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   10590
 
                           I N  A S S E M B L Y
 
                               June 20, 2024
                                ___________
 
 Introduced  by COMMITTEE ON RULES -- (at request of M. of A. Jackson) --
   read once and referred to the Committee on Alcoholism and Drug Abuse
 
 AN ACT to amend the mental hygiene law, in  relation  to  requiring  the
   state  comptroller and the attorney general to conduct an annual audit
   of the office of addiction services  and  supports  use  of  statewide
   opioid settlement funds

   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The mental hygiene law is amended by adding a  new  section
 25.19 to read as follows:
 § 25.19 INDEPENDENT AUDIT OF STATEWIDE OPIOID SETTLEMENTS.
   1. AT LEAST ONCE EVERY YEAR, THE COMPTROLLER, THE ATTORNEY GENERAL AND
 THE  INDEPENDENT  CERTIFIED PUBLIC ACCOUNTANTS SELECTED PURSUANT TO THIS
 SECTION SHALL CONDUCT AUDITS OF THE INTERNAL  CONTROLS  OF  THE  USE  OF
 STATEWIDE  OPIOID  SETTLEMENTS  BY  THE OFFICE OF ADDICTION SERVICES AND
 SUPPORTS. SUCH AUDITS SHALL BE PERFORMED IN  ACCORDANCE  WITH  GENERALLY
 ACCEPTED  GOVERNMENT  AUDITING  STANDARDS  AND SHALL INCLUDE A REPORT ON
 WHETHER THE OFFICE'S INTERNAL CONTROLS ARE ESTABLISHED  AND  FUNCTIONING
 IN A MANNER THAT PROVIDES REASONABLE ASSURANCE THAT THEY MEET THE OBJEC-
 TIVES  OF  INTERNAL  CONTROL AS DEFINED IN SECTION NINE HUNDRED FIFTY OF
 THE EXECUTIVE LAW. SUCH REPORT SHALL  IDENTIFY  INTERNAL  CONTROLS  BOTH
 EVALUATED  AND  NOT  EVALUATED AND SHALL IDENTIFY INTERNAL CONTROL WEAK-
 NESSES THAT HAVE NOT BEEN CORRECTED AND ACTIONS THAT ARE RECOMMENDED  TO
 CORRECT  SUCH  WEAKNESSES.  IF  ANY SUCH INTERNAL CONTROL WEAKNESSES ARE
 SIGNIFICANT OR MATERIAL WITH RESPECT TO SUCH DEPARTMENTS, THE  INDEPEND-
 ENT  AUDITORS  SHALL  SO STATE. THE COMPTROLLER AND THE ATTORNEY GENERAL
 SHALL MAKE AVAILABLE TO THE PUBLIC THE RESULTS OF SUCH AUDITS, INCLUDING
 ANY RELATED MANAGEMENT LETTERS. THE COMPTROLLER AND ATTORNEY GENERAL AND
 ANY OFFICER OR EMPLOYEE OF SUCH DEPARTMENTS SHALL  MAKE  AVAILABLE  UPON
 REQUESTS  TO SUCH INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS ALL BOOKS AND
 RECORDS RELEVANT TO SUCH INDEPENDENT AUDITS.
   2. THE COMPTROLLER AND THE ATTORNEY GENERAL  SHALL  REQUEST  PROPOSALS
 FROM INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS FOR AUDITS OF THE INTERNAL
 CONTROLS  OF  THEIR  RESPECTIVE  DEPARTMENTS. SUCH REQUEST FOR PROPOSALS
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD07571-01-3
 A. 10590                            2

 SHALL INCLUDE A REFERENCE  TO  THE  REQUIREMENTS  FOR  AUDITS  CONDUCTED
 PURSUANT  TO SUBDIVISION ONE OF THIS SECTION. THE COMPTROLLER AND ATTOR-
 NEY GENERAL SHALL SELECT SUCH INDEPENDENT AUDITORS IN ACCORDANCE WITH  A
 COMPETITIVE  PROCEDURE  INCLUDING  AN  EVALUATION,  BASED ON QUALITY AND
 PRICE FACTORS, OR ANY PROPOSALS RECEIVED IN RESPONSE  TO  SUCH  REQUESTS
 FOR PROPOSALS.
   3. WHENEVER THE COMPTROLLER OR THE COMPTROLLER'S APPOINTEE IS A MEMBER
 OF  ANY  BOARD,  COMMISSION,  COMMITTEE,  COUNCIL, OR CORPORATION, WHICH
 CONSTITUTES A STATE AGENCY, THE GOVERNING BODY OF  SUCH  BOARD,  COMMIS-
 SION,  COMMITTEE,  COUNCIL,  OR  CORPORATION SHALL SELECT AN INDEPENDENT
 AUDITOR FOR THE PURPOSE OF CONDUCTING AUDITS  OF  INTERNAL  CONTROLS  IN
 ACCORDANCE WITH THIS SECTION.
   §  2.  Subdivision  (c) of section 19.09 of the mental hygiene law, as
 added by chapter 223 of the laws of 1992, is amended to read as follows:
   (c) (1) In conducting  any  investigation,  audit,  financial  review,
 inspection,  or hearing, the commissioner may subpoena witnesses, compel
 their attendance, administer oaths to witnesses, examine witnesses under
 oath, and require the production of any books or papers deemed  relevant
 to  the investigation, inspection, or hearing. Subpoenas issued shall be
 regulated by the civil practice law and rules.  The  confidentiality  of
 information obtained by the commissioner from patients' records shall be
 maintained in accordance with state and federal law.
   (2)  THE  COMMISSIONER  SHALL MAKE AVAILABLE UPON REQUEST TO THE STATE
 COMPTROLLER, THE ATTORNEY GENERAL, AND THE INDEPENDENT CERTIFIED  PUBLIC
 ACCOUNTANTS  COMPLETING ANNUAL AUDITS, PURSUANT TO SECTION 25.19 OF THIS
 TITLE, ALL BOOKS AND RECORDS RELEVANT TO SUCH INDEPENDENT AUDITS.
   § 3. Paragraph a of subdivision 2-b of section 8 of the state  finance
 law,  as added by chapter 510 of the laws of 1999, is amended to read as
 follows:
   a. Either as part of one or more  audits,  or  separately,  conducting
 periodic  audits  of  internal controls and operations of state agencies
 (other than those state agencies for which an audit is required pursuant
 to sections nine hundred fifty-three and nine hundred fifty-four of  the
 executive  law)  and of covered authorities.  AUDITS OF STATEWIDE OPIOID
 SETTLEMENTS SHALL BE CONDUCTED ANNUALLY PURSUANT TO SECTION 25.19 OF THE
 MENTAL HYGIENE LAW. All such audits shall  be  performed  in  accordance
 with  generally  accepted  government auditing standards. Nothing in the
 New York state governmental accountability, audit and  internal  control
 act  shall  be  deemed  to diminish or impair the comptroller's power to
 audit and authority to supervise accounts under articles V and X of  the
 state  constitution and this chapter. The audits shall identify internal
 control weaknesses that have not been corrected  and  actions  that  are
 recommended  to  correct  these weaknesses. If any such internal control
 weaknesses are significant or material with respect to the operations of
 the agency that is the subject of the audit, the  comptroller  shall  so
 state. The comptroller shall make available to the public the results of
 any such audits.
   § 4. Section 63 of the executive law is amended by adding a new subdi-
 vision 17 to read as follows:
   17.  CONDUCT  AN ANNUAL AUDIT OF STATEWIDE OPIOID SETTLEMENTS PURSUANT
 TO THE PROVISIONS OF SECTION 25.19 OF THE MENTAL HYGIENE LAW.
   § 5. This act shall take effect immediately.