BILL NUMBER: AB 2521 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY MAY 28, 2010
AMENDED IN ASSEMBLY APRIL 26, 2010
INTRODUCED BY Assembly Member Torrico
FEBRUARY 19, 2010
An act to amend Section 77206 of the Government Code, relating to
courts.
LEGISLATIVE COUNSEL'S DIGEST
AB 2521, as amended, Torrico. Courts: budget and fiscal
management.
Existing law authorizes the Judicial Council to regulate the
budget and fiscal management of the trial courts, and requires the
Judicial Council to adopt regulations for recordkeeping and
accounting by the courts ensuring that all revenues and expenditures
relating to court operations are known. At the request of the
Legislature, the Controller may perform and publish financial and
fiscal compliance audits of the reports of court revenues and
expenditures. The Controller is required to report the results of
these audits to the Legislature and the Judicial Council, and the
Judicial Council or its representative may perform audits and reviews
of all court financial records wherever they may be located.
This bill would, instead, authorize the Judicial Council or its
representatives to inspect, review, and perform comprehensive
oversight and analysis of court financial records wherever they may
be located, and to investigate allegations of financial impropriety
or mismanagement. The bill also would require the Controller, on or
before December 15, 2012, and annually thereafter, to
perform an audit of each trial court, including a review of all funds
and accounts under the jurisdiction and control of each trial court.
The bill would require the Controller to develop the report format
and an audit guide, as specified to establish a pilot
program to audit 6 trial courts, as specified, and, on or before
December 15, 2013, to commence an audit of the trial courts,
including a review of all funds within the trial court's control. The
bill would require the audit of each trial court at least once every
4 years . The bill would require the Controller to compile the
trial court audit findings and report the results of these audits to
the Legislature, the Judicial Council, and the Department
of Finance no later than April 1 of each year. The bill would
provide that the audit be paid for from funds of the local trial
court being audited.
This bill also would require the Controller, on or before
February 1, 2012, and annually December 15, 2013, and
biennially thereafter, to perform an audit of the
Administrative Office of the Courts, including a review of all funds
under the jurisdiction and control of the Administrative Office of
the Courts. The Controller would be required to report the
results of this audit provide a copy of the final
audit report to the Legislature, the Judicial
Council, and the Department of Finance no later than April 1
of each year upon issuance . The bill would
provide that the costs of the audit be reimbursed by the
Administrative Office of the Courts.
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 77206 of the Government Code is amended to
read:
77206. (a) Notwithstanding any other law, the Judicial Council
may regulate the budget and fiscal management of the trial courts.
The Judicial Council, in consultation with the Controller, shall
maintain appropriate regulations for recordkeeping and accounting by
the courts. The Judicial Council shall seek to ensure, by these
provisions, both of the following:
(1) The fiscal affairs of the trial courts are managed
efficiently, effectively, and responsibly.
(2) All moneys collected by the courts, including filing fees,
fines, forfeitures, and penalties, and all revenues and expenditures
relating to court operations are known.
The Judicial Council may delegate their authority under this
section, when appropriate, to the Administrative Director of the
Courts.
(b) Regulations, rules, and reporting requirements adopted
pursuant to this chapter shall be exempt from review and approval or
other processing by the Office of Administrative Law as provided for
in Chapter 3.5 (commencing with Section 11340) of Part 1 of Division
3 of Title 2.
(c) The Controller, at the request of the Legislature, may perform
and publish financial and fiscal compliance audits of the reports of
court revenues and expenditures. The Controller shall report the
results of these audits to the Legislature and the Judicial Council.
(d) The Judicial Council shall provide for the transmission of
summary information concerning court revenues and expenditures to the
Controller.
(e) The Judicial Council shall adopt rules to provide for
reasonable public access to budget allocation and expenditure
information at the state and local level
levels .
(f) The Judicial Council shall adopt rules ensuring that, upon
written request, the trial courts provide, in a timely manner,
information relating to the administration of the courts, including
financial information and other information that affects the wages,
hours, and working conditions of trial court employees.
(g) The Judicial Council or its representatives may do any of the
following:
(1) Inspect, review, and perform comprehensive oversight and
analysis of court financial records wherever they may be located.
(2) Investigate allegations of financial impropriety or
mismanagement.
The authority granted pursuant to this subdivision shall not
substitute for, or conflict with, the authority of the Controller to
conduct annual financial audits pursuant to
subdivision (h) subdivisions (h) and (i)
.
(h) (1) On or before December 15, 2012, and annually thereafter,
the Controller shall perform an audit of each trial court. The audit
shall include a review of all funds and accounts under the
jurisdiction and control of each trial court, including, but not
limited to, the Trial Court Trust Fund, the Judicial Administration
Efficiency and Modernization Fund, the Trial Court Improvement Fund,
the Court Interpreters' Fund, the Family Law Trust Fund, and the
Mental Health Services Fund, as well as any federal funds and grants,
and any other funds within the trial court's control. The audit
required by this paragraph shall be in addition to any audit
regularly conducted by the Controller, including all of the
following:
(A) The Controller's audit of state funds in the possession and
control of the trial courts.
(B) Audits of the fines, forfeitures, assessments, fees,
restitutions, and parking surcharges and penalties collected and
distributed by the trial courts.
(C) Audits requested pursuant to subdivision (c).
(2) All trial court audits for each fiscal year shall be developed
and reported using a format established by the Controller after
consultation with the Judicial Council and the trial courts.
(3) The Controller, in consultation with the Judicial Council and
the trial courts, shall develop an audit guide to carry out the
purposes of this subdivision. A supplement to the audit guide may be
adopted in the audit year to address issues resulting from new
legislation in that year that may impact the funds under the
jurisdiction and control of a trial court. The audit guide prepared
by the Controller shall be used in the performance of the audit
required by this subdivision.
(h) (1) On or before December 15, 2012, the Controller shall
establish a pilot program to audit six trial courts. The Controller
shall select the trial courts using the following criteria:
(A) Two trial courts selected from counties with a population of
200,000 or less.
(B) Two trial courts selected from counties with a population
greater than 200,000 and less than 750,000.
(C) Two trial courts selected from counties with a population of
750,000 or greater.
The audits shall be performed in accordance with generally
accepted government auditing standards and shall include a review of
the revenues, expenditures, and fund balances of the Trial Court
Trust Fund, the Judicial Administration Efficiency and Modernization
Fund, the Trial Court Improvement Fund, the Court Interpreters' Fund,
the Family Law Trust Fund, and the Mental Health Services Fund, as
well as any federal funds and grants, and any other funds within the
trial court's control. The audits required by this section shall be
in addition to any audit regularly conducted by the Controller.
(2) Notwithstanding paragraph (1), the Controller shall, on or
before December 15, 2013, commence an audit of the trial courts in
the manner as he or she deems appropriate, so long as every trial
court is audited in the manner prescribed by this section at least
once every four years. The audits shall be performed in accordance
with generally accepted government auditing standards and shall
include a review of the revenues, expenditures, and fund balances of
the Trial Court Trust Fund, the Judicial Administration Efficiency
and Modernization Fund, the Trial Court Improvement Fund, the Court
Interpreters' Fund, the Family Law Trust Fund, and the Mental Health
Services Fund, as well as any federal funds and grants, and any other
funds within the trial court's control. The audits required by this
paragraph shall be in addition to any audit regularly conducted by
the Controller.
(4)
(3) Notwithstanding Section 10231.5, the Controller
shall compile the trial court audit findings and report the results
of these audits to the Legislature, the Judicial Council,
and the Department of Finance no later than April 1 of each year.
(5)
(4) The cost of the audit conducted pursuant to this
subdivision shall be paid from funds of the local trial court being
audited.
(i) (1) On or before February 1, 2012, and annually
December 15, 2013, and biennially thereafter,
the Controller shall perform an audit of the Administrative Office of
the Courts in accordance with generally accepted government
auditing standards . The audit shall include a review of all
funds under the jurisdiction and control of the Administrative Office
of the Courts, including, but not limited to, the Motor Vehicle
Account in the State Transportation Fund, the Trial Court Trust Fund,
the Judicial Administration Efficiency and Modernization Fund, the
Trial Court Improvement Fund, the Court Interpreters' Fund, the
Federal Trust Fund, the Family Law Trust Fund, the State Court
Facilities Construction Fund, the Appellate Court Trust Fund, the
Court Facilities Trust Fund, the Mental Health Services Fund, the
Immediate and Critical Needs Account of the State Court Facilities
Construction Fund, and the Judicial Branch Workers' Compensation
Fund, as well as grants, and any other funds within the control of
the Judicial Council and the Administrative Office of the Courts.
(2) Notwithstanding Section 10231.5, the Controller shall
report the results of this audit provide a copy of
the final audit report of the Administrative Office of the Courts
to the Legislature, the Judicial Council, and the
Department of Finance no later than April 1 of each year
upon issuance .
(3) Any costs incurred by the Controller pursuant to this
subdivision shall be reimbursed by the Administrative Office of the
Courts.
(j) A report submitted pursuant to subdivision (h) or (i) shall be
submitted in compliance with Section 9795.