72nd OREGON LEGISLATIVE ASSEMBLY--2003 Regular Session
 
NOTE:  Matter within  { +  braces and plus signs + } in an
amended section is new. Matter within  { -  braces and minus
signs - } is existing law to be omitted. New sections are within
 { +  braces and plus signs + } .
 
LC 3800
 
                           A-Engrossed
 
                         Senate Bill 947
                 Ordered by the Senate August 22
           Including Senate Amendments dated August 22
 
Sponsored by Senators SCHRADER, MORSE
 
 
                             SUMMARY
 
The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure.
 
    { - Directs - }   { + Allows + } Joint Legislative Audit
Committee to retain consultants to make recommendations on
decreasing costs and increasing quality of services provided by
 { - state and local agencies - }  { +  public bodies that
receive state funds + }.
  Establishes Continuous Improvement Fund.
   { +  Appropriates moneys from General Fund to Legislative
Fiscal Officer for Continuous Improvement Fund. + }
  Declares emergency, effective on passage.
 
                        A BILL FOR AN ACT
Relating to state finance; creating new provisions; amending ORS
  171.585; appropriating money; and declaring an emergency.
Be It Enacted by the People of the State of Oregon:
  SECTION 1. ORS 171.585 is amended to read:
  171.585. The Joint Legislative Audit Committee   { - shall - }
 { +  may + }:
  (1) Review all audits and make recommendations for change or
remediation by the agency or other organization under review to
the Emergency Board, the Joint Ways and Means Committee and other
persons receiving the audit report under ORS 192.245.
  (2) Accept requests for performance and program audits from
individual legislators, legislative committees, the Division of
Audits, the Budget and Management Division and the Legislative
Fiscal Office.
   { +  (3) Retain consultants to make recommendations to
restructure and reform processes, procedures and organizational
structures of public bodies, as defined in ORS 174.109, that
receive state funds for the purpose of decreasing costs and
increasing the quality of services provided by public bodies to
the public. The consultants shall have proven experience in
transforming organizations and shall be paid based on cost
savings achieved. + }
    { - (3) - }  { +  (4) + } In conjunction with the Director of
the Division of Audits, set priorities on the basis of risk
assessment for performance and program audits and program
evaluations.
 
    { - (4) - }  { +  (5) + } With the advice and assistance of
the Legislative Fiscal Officer, the Administrator of the Budget
and Management Division and the Director of the Division of
Audits, determine the type of audit, evaluation or review
utilizing criteria to include but not be limited to the nature
and scope of the task, the time frame involved, necessary
professional guidelines, economy, efficiency, cost and cost
responsibility.
    { - (5) - }  { +  (6) + }   { - Not later than 12 months
after the issuance of an audit report, - }  Review the actions of
an agency or other government organization for compliance with
the recommendations of the audit report.
    { - (6) - }  { +  (7) + } Assign tasks to the Legislative
Fiscal Office, the Budget and Management Division, the Division
of Audits or a special task force.
  SECTION 2.  { + (1) The Joint Legislative Audit Committee shall
require consultants retained by the committee under ORS 171.585
(3) to report to the Legislative Assembly their findings and
recommendations in the manner provided by ORS 192.245 no later
than February 1 of each odd-numbered year.
  (2) Each public body, as defined in ORS 174.109, that is
evaluated by consultants shall retain a percentage of the cost
savings identified by the consultants.
  (3) Each state government body that is evaluated shall report
to the Legislative Assembly on how the state government body
plans to expend any cost savings that the consultants identify
for the state government body. In the case of a local government
body that is evaluated, any state government body that
distributes moneys to the local government body shall report to
the Legislative Assembly on how the local government body may
expend any cost savings that the consultants identify for the
local government body.
  (4) The percentage to be retained by a public body under
subsection (2) of this section shall be established by the
Legislative Assembly and shall be based on the reports described
in subsection (3) of this section. + }
  SECTION 3.  { + (1) The Continuous Improvement Fund is
established in the State Treasury separate and distinct from the
General Fund.  Interest earned by the Continuous Improvement Fund
shall be credited to the Continuous Improvement Fund.
  (2) Moneys in the Continuous Improvement Fund are continuously
appropriated to the Legislative Fiscal Officer for the purpose of
enabling the Joint Legislative Audit Committee to carry out its
function of retaining consultants as described in ORS 171.585
(3).
  (3) The Continuous Improvement Fund shall consist of:
  (a) Moneys appropriated to the Continuous Improvement Fund by
the Legislative Assembly from cost savings achieved by public
bodies, as defined in ORS 174.109, based on recommendations made
by consultants retained under ORS 171.585 (3); and
  (b) Other moneys appropriated to the Continuous Improvement
Fund by the Legislative Assembly. + }
  SECTION 4.  { + In addition to and not in lieu of any other
appropriation, there is appropriated to the Legislative Fiscal
Officer, out of the General Fund, for the biennium beginning July
1, 2003, the amount of $500,000 for the Continuous Improvement
Fund. + }
  SECTION 5.  { + 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. + }
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