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HB29 Alabama 2018 Session

Updated Feb 26, 2026
Notable

Summary

Session
Regular Session 2018
Title
Public examiners, provisions governing operation of substantially revised, Chapter 5 of Title 41 repealed, Chapter 5A of Title 41 added
Summary

HB 29 would create a new Chapter 5A establishing the Department of Examiners of Public Accounts, overhaul the chief examiner role, add a recovery audit program, and repeal the old Chapter 5.

What This Bill Does

It would create the Department of Examiners of Public Accounts as Chapter 5A and place the chief examiner under oversight by a Legislative Committee on Public Accounts. The chief examiner would be a licensed CPA, serve a five-year term, require Senate confirmation, and be removable for cause. It would authorize auditing of all state and county offices, require a uniform county accounting system, and allow the chief examiner to appoint a chief legal counsel and staff. It would establish private recovery audits with a dedicated fund, cap auditor compensation, require public reports, impose penalties for false statements, and note an exemption from local expenditure voting requirements due to specified exceptions.

Who It Affects
  • Chief Examiner and department staff would gain a five-year term, new appointment process, oversight body, salary setting, and authority to appoint legal counsel and staff.
  • State and county offices, county boards of education, and other public entities would be subject to regular audits (at least every two years), required to follow uniform accounting and reporting rules, face potential penalties for false statements, and participate in the recovery-audit program with potential repayments to the state.
Key Provisions
  • Creates Chapter 5A and the Department of Examiners of Public Accounts; offices located in Montgomery with statewide audit capability.
  • Chief examiner: licensed CPA, five-year term, appointed by Legislative Committee on Public Accounts, Senate-confirmed, removable for cause; oath and $100,000 bond.
  • Chief examiner duties: supervise the department, prescribe rules for investigations and audits, manage staff, maintain records, issue annual reports, and oversee uniform accounting and reporting for state and county offices; may subpoena and enforce actions.
  • Recovery audits: permits contracts with private recovery auditors, sets compensation cap (15% of recovered amount), 90-day payment delay, and creates a special fund to handle recoveries and related costs.
  • Audits and penalties: audits required for all state and county offices; false statements in audits are Class C felonies; penalties for non-compliance with reporting requirements; reports public and available electronically.
  • Staff and legal counsel: chief examiner may appoint an assistant chief examiner; creates Chief Legal Counsel and up to two assistant legal counsels, all with appropriate qualifications and duties; legal services from Attorney General and district attorneys.
  • Legislative oversight: establishes a 12-member Legislative Committee on Public Accounts with House and Senate representation and rotating leadership; annual meetings and reporting to Legislature and Governor.
  • Funding and financials: moneys from audits go to a general fund or special fund as appropriate; federal funds tied to the department are placed in a special fund for department use; the act repeals Chapter 5 and updates cross-references in the code.
  • Local expenditures: acknowledges a potential increase in local funds but provides an exception that avoids requiring local approval or a 2/3 vote under Amendment 621.
AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.
Subjects
Examiners of Public Accounts Department

Bill Actions

H

Read for the first time and referred to the House of Representatives committee on Fiscal Responsibility

Bill Text

Documents

Source: Alabama Legislature