STATE OF NEW YORK
________________________________________________________________________
6936
2021-2022 Regular Sessions
IN SENATE
May 20, 2021
___________
Introduced by Sen. RATH -- read twice and ordered printed, and when
printed to be committed to the Committee on Education
AN ACT to amend the education law, in relation to extending provisions
for internal audits by school districts from annually to every five
years
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Subdivisions 1 and 7 of section 2116-b of the education
2 law, as added by chapter 263 of the laws of 2005, are amended to read as
3 follows:
4 1. No later than July first, two thousand six, each school district
5 shall establish an internal audit function to be in operation no later
6 than the following December thirty-first. Such function shall include:
7 (a) development of a risk assessment of district operations, including
8 but not limited to, a review of financial policies and procedures and
9 the testing and evaluation of district internal controls; (b) [an annu-
10 al] a review and update of such risk assessment; and (c) preparation of
11 reports[, at least annually or more frequently as the trustees or board
12 of education may direct,] which analyze significant risk assessment
13 findings, recommend changes for strengthening controls and reducing
14 identified risks, and specify timeframes for implementation of such
15 recommendations. Audits performed pursuant to this section shall be
16 completed every five years.
17 7. Nothing in this section shall be construed as requiring a school
18 district in any city with a population of one hundred twenty-five thou-
19 sand or more to replace or modify an existing internal audit function
20 where such function already exists by special or local law, so long as
21 the superintendent of the district [annually] certifies to the commis-
22 sioner that the existing internal audit function meets or exceeds the
23 requirements of this section; provided, however, notwithstanding any
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD11636-01-1
S. 6936 2
1 special or local law to the contrary, school districts shall perform
2 such internal audits every five years.
3 § 2. This act shall take effect on the first of July next succeeding
4 the date on which it shall have become a law.
