BILL ANALYSIS                                                                                                                                                                                                    

                                                                  SB 801
                                                                  Page  1

          Date of Hearing:   August 14, 2013

                                  Mike Gatto, Chair

                     SB 801 (Roth) - As Amended:  June 26, 2013 

          Policy Committee:                              
          AccountabilityVote:10 - 0 

          Urgency:     No                   State Mandated Local Program:  
          Yes    Reimbursable:              No


          This bill directs the Department of Finance (DOF) to annually  
          require each department head, or designee, responsible for  
          auditing the accounts of a state entity, as specified, to  
          certify under penalty of perjury that the budgeting and  
          accounting information provided to the DOF reconciles to the  
          year-end finance reports submitted to the State Controller's  
          Office (SCO).  This bill also subjects an individual who  
          willfully makes and subscribes a certification that he or she  
          knows to be false to the penalties for perjury established in  
          the Penal Code.

           FISCAL EFFECT  

          Any costs associated with this legislation should be minor and  
          absorbable within existing resources. 


           Purpose  . According to the author, this bill is intended to  
          improve accountability with regard to state agencies' finances.   
          The author states that the recent underreporting of funds by the  
          Department of Parks and Recreation and the Department of  
          Forestry and Fire Protection underscores the need to ensure that  
          state agencies have appropriate controls in place to provide  
          accurate financial information to the DOF and the SCO.

          Current DOF protocols require department heads or designees to  
          certify under penalty of perjury that past and prior year  
          budgeting and accounting information provided to DOF reconciles  
          to year-end financial reports submitted to the SCO.  The SCO  


                                                                  SB 801
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          also requires year-end financial reports to be certified under  
          penalty of perjury.  While Government Code section 1094 requires  
          certification under penalty of perjury for specified government  
          accounting audits, this bill would explicitly clarify that DOF  
          has the statutory authority to require these certifications.

           Analysis Prepared by  :    Julie Salley-Gray / APPR. / (916)