BILL NUMBER: SB 581	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senator Wyland

                        FEBRUARY 22, 2013

   An act to amend Section 15286 of the Education Code, relating to
school bonds.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 581, as introduced, Wyland. School bonds: bond accountability.
   The California Constitution limits the maximum amount of any ad
valorem tax on real property to 1% of the full cash value of the
property except for ad valorem taxes or assessments that pay the
interest and redemption charges on bonded indebtedness incurred by a
school district, community college district, or county office of
education for the construction, rehabilitation, or replacement of
school facilities approved by 55% of the voters if the proposition
includes specified accountability requirements, including, but not
limited to, a requirement that the governing board of either the
school district or community college district or county office of
education conduct annual independent performance and financial
audits. Existing law requires, by March 31 of each year, the annual,
independent financial and performance audits for the preceding fiscal
year to be submitted to a citizens' oversight committee that is
required to be established if a proposition is approved by the
voters, as described above.
   This bill would require the annual, independent financial and
performance audits for the preceding fiscal year to be electronically
filed by the auditor with the State Allocation Board and submitted
to the citizens' oversight committee at the same time they are
submitted to the school district or community college district. The
bill would also require the annual, independent financial and
performance audits to be conducted by an auditor independent of the
auditor who conducts specified annual audits, except as regards a
school district or community college district with an average daily
attendance of 2,500 or less.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 15286 of the Education Code is amended to read:

   15286.   Consistent   (a)   
 Consistent  with the provisions contained in subparagraphs
(C) and (D) of paragraph (3) of subdivision (b) of Section 1 of
Article XIII A of the California Constitution, the required annual,
independent financial and performance audits for the preceding fiscal
year shall be submitted to the citizens' oversight committee
established pursuant to Section 15278 by March 31 of each year. These
audits shall be conducted in accordance with the Government Auditing
Standards issued by the Comptroller General of the United States for
financial and performance audits. 
   (b) A copy of the required annual, independent financial and
performance audits for the preceding fiscal year shall be
electronically filed by the auditor with the State Allocation Board.
 
   (c) A copy of the required annual, independent financial and
performance audits for the preceding fiscal year shall be submitted
to the citizens' oversight committee at the same time they are
submitted to the school district or community college district. 

   (d) (1) The auditor who conducts the required annual, independent
financial and performance audits shall be independent of the auditor
who conducts the annual audits for a school district, as required by
Section 41020, or a community college district, as required by
Section 84040.  
   (2) Paragraph (1) shall not apply to a school district or
community college district with an average daily attendance of 2,500
or less.