Chapter 326 Oregon Laws 2003

AN ACT

SB 457

Relating to municipal audits; creating new provisions; amending ORS 297.445; and declaring an emergency.

Be It Enacted by the People of the State of Oregon:

SECTION 1. ORS 297.445 is amended to read:

297.445. (1) ORS 297.435 [shall] does not apply to a municipal corporation for any calendar or fiscal year if a petition requesting an audit, signed by [10] residents of the municipal corporation who are subject to taxes, fees, assessments or other charges levied by the municipal corporation, is filed with the Secretary of State within six months of the end of the fiscal year for which the audit is requested. In a municipal corporation with a population of 150 or less, the petition must be signed by at least 10 residents. In a municipal corporation with a population of more than 150, the petition must be signed by at least 30 residents.

(2) The Secretary of State shall give notice of the petition to the governing body of the municipal corporation within 10 days of its receipt. Upon receipt of notice of the petition from the Secretary of State, the governing body or managing or executive officer of the municipal corporation shall immediately comply with the provisions of ORS 297.425. If a copy of a signed contract between the governing body or managing or executive officer and an accountant, or a duly authorized ordinance or resolution requesting an audit by the Secretary of State, is not received within 30 days of the dispatch of notice of petition, the Secretary of State shall cause an audit and review to be made of the accounts and fiscal affairs of the municipal corporation designated in the petition.

[(2)] (3) The costs incurred by the Secretary of State in making the audit and review shall be borne by the municipal corporation, and shall be paid to the Secretary of State in the same manner as other claims against the municipal corporation.

SECTION 2. The amendments to ORS 297.445 by section 1 of this 2003 Act apply to petitions received on or after the effective date of this 2003 Act.

SECTION 3. This 2003 Act being necessary for the immediate preservation of the public peace, health and safety, an emergency is declared to exist, and this 2003 Act takes effect on its passage.

Approved by the Governor June 12, 2003

Filed in the office of Secretary of State June 12, 2003

Effective date June 12, 2003

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