Section 2-1217 – Office of Legislative Audits Established

    There is an Office of Legislative Audits in the Department.

Section 2-1218 – Legislative Auditor

    (a)    The head of the Office of Legislative Audits is the director of the Office of Legislative Audits, who shall serve as the Legislative Auditor.     (b)    The Legislative Auditor must:         (1)    be licensed as a certified public accountant in the State;         (2)    at the time of appointment, have at least 3 years’ auditing experience; and         (3)    while in office, be […]

Section 2-1219 – Additional Staff

    (a)    With the approval of the Executive Director, the Legislative Auditor shall appoint a Deputy Legislative Auditor and other professional staff and may contract with consultants as authorized representatives.     (b)    (1)    The Deputy Legislative Auditor must be licensed as a certified public accountant in the State.         (2)    The Deputy Legislative Auditor:             (i)    has the duties delegated by the Legislative Auditor; […]

Section 2-1219.1 – “Examination” Defined

    In this subtitle, “examination” includes all authorized work and required audits under § 2-1220 of this subtitle.

Section 2-1220 – Required and Authorized Audits

    (a)    (1)    In this subsection, “unit” includes each State department, agency, unit, and program, including each clerk of court and each register of wills.         (2)    (i)    The Office of Legislative Audits shall conduct a fiscal/compliance audit of each unit of the State government, except for units in the Legislative Branch.             (ii)    The audit of each unit shall be conducted at […]

Section 2-1221 – Scope of Audit

    (a)    A fiscal/compliance audit conducted by the Office of Legislative Audits shall include:         (1)    examining financial transactions and records and internal controls;         (2)    evaluating compliance with applicable laws and regulations;         (3)    examining electronic data processing operations; and         (4)    evaluating compliance with applicable laws and regulations relating to the acquisition of goods and services from Maryland Correctional Enterprises.     (b)    A performance audit […]

Section 2-1222 – Place of Audits

    (a)    An examination conducted by the Office of Legislative Audits shall generally be made at the offices of the State unit, county officer or unit, corporation, association, or local school system that is subject to examination.     (b)    (1)    If considered appropriate and after consultation with the unit or body being examined, the Legislative Auditor may authorize all or […]

Section 2-1223 – Audit Procedures

    (a)    (1)    Except as prohibited by the federal Internal Revenue Code, the employees or authorized representatives of the Office of Legislative Audits shall have access to and may inspect the records, including those that are confidential by law, of any unit of the State government or of a person or other body receiving State funds, with respect […]

Section 2-1223.1 – Communicating Preliminary Findings of Examination

    On the preliminary completion of an examination of a public senior higher education institution by the Office of Legislative Audits, the Legislative Auditor shall send a copy of the discussion notes of the examination relating to any preliminary findings of substantial fiscal impropriety to the following individuals and governing boards of the respective institutions that […]

Section 2-1224 – Audit Reports

    (a)    In this section, “unit” includes:         (1)    the Board of Liquor License Commissioners for Baltimore City;         (2)    the board of license commissioners for a county or for the City of Annapolis subject to an audit under § 2–1220(f)(2) of this subtitle; and         (3)    the Board of License Commissioners for Prince George’s County.     (b)    Except with the written approval of the […]

Section 2-1225 – Reports on Violations and Defaults

    (a)    (1)    In addition to the reports under § 2–1224 of this subtitle, the Legislative Auditor shall report an apparent violation of any law on use of State funds by the unit of the State government or other body that is examined.         (2)    A report under this subsection shall be submitted to:             (i)    the Joint Audit and Evaluation Committee; […]

Section 2-1226 – Confidentiality

    (a)    Except as provided in § 2–1225 of this subtitle and subsection (b) of this section, information that an employee or authorized representative of the Office of Legislative Audits obtains during an examination or in relation to an act or allegation of fraud, waste, or abuse:         (1)    is confidential; and         (2)    may not be disclosed except to another […]

Section 2-1227 – Penalties

    A person is guilty of a misdemeanor and on conviction is subject to a fine not exceeding $1,000 if the person:         (1)    fails to comply promptly with process that the Legislative Auditor issues under this Part IV of this subtitle; or         (2)    violates any provision of § 2–1224(b) or § 2–1226 of this subtitle.

Section 2-1228 – Allegations of Fraud, Waste, and Abuse of State Resources — Report and Investigation

    (a)    (1)    The Office of Legislative Audits shall maintain a fraud hotline for the reporting of allegations of fraud, waste, and abuse in the obligation, expenditure, receipt, or use of State resources.         (2)    The Office of Legislative Audits may investigate an allegation received under paragraph (1) of this subsection within the scope of its authority or refer the […]