Title: S.L. 1999-188
Category: Session Law

GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 1999

SESSION LAW 1999-188
SENATE BILL 885

AN ACT CLARIFYING THE AUTHORITY OF THE STATE AUDITOR TO EXAMINE STATE EMPLOYEE PERSONNEL RECORDS.

The General Assembly of North Carolina enacts:

Section 1.  G.S. 147-64.7(a) reads as rewritten:
"(a)	Access to Persons and Records. –
(1)	The Auditor and his authorized representatives shall have ready access to persons and may examine and copy all books, records, reports, vouchers, correspondence, files, personnel files, investments, and any other documentation of any State agency. The review of State tax returns shall be limited to matters of official business and the Auditor's report shall not violate the confidentiality provisions of tax laws.
(2)	The Auditor and his duly authorized representatives shall have such access to persons, records, papers, reports, vouchers, correspondence, books, and any other documentation which is in the possession of any individual, private corporation, institution, association, board, or other organization which pertain to:
a.	Amounts received pursuant to a grant or contract from the federal government, the State, or its political subdivisions.
b.	Amounts received, disbursed, or otherwise handled on behalf of the federal government or the State. In order to determine that payments to providers of social and medical services are legal and proper, the providers of such services will give the Auditor, or his authorized representatives, access to the records of recipients who  receive such services.
(3)	The Auditor shall, for the purpose of examination and audit authorized by this act, have the authority, and will be provided ready access, to examine and inspect all property, equipment, and facilities in the possession of any State agency or any individual, private corporation, institution, association, board, or other organization which were furnished or otherwise provided through grant, contract, or any other type of funding by the State of North Carolina, or  the federal government.
(4)	All contracts or grants entered into by State agencies or political subdivisions shall include, as a necessary part, a  clause providing access as intended by this section.
(5)	The Auditor and his authorized agents are authorized to examine all books and accounts of any individual, firm, or corporation only insofar as they relate to transactions with  any agency of the State."
Section 2.  G.S. 147-64.6(d) reads as rewritten:
"(d)	Reports and Work Papers. – The Auditor shall maintain for 10 years a complete file of all audit reports and reports of other examinations, investigations, surveys, and reviews issued under his authority. Audit work papers and other evidence and related supportive material directly pertaining to the work of his office shall be retained according to an agreement between the Auditor and State Archives. To promote intergovernmental cooperation and avoid unnecessary duplication of audit effort, and notwithstanding the provisions of G.S. 126-24, pertinent work papers and other supportive material related to issued audit reports may be, at the discretion of the Auditor and unless otherwise prohibited by law, made available for inspection by duly authorized representatives of the State and federal government who desire access to and inspection of such records in connection with some matter officially before them, including criminal investigations.
Except as provided above, or upon subpoena issued by a duly authorized court or court official, audit work papers shall be kept confidential."
Section 3.  This act is effective when it becomes law.
In the General Assembly read three times and ratified this the 8th day of June, 1999.

s/	Dennis A. Wicker
President of the Senate

s/	James B. Black
Speaker of the House of Representatives

s/	James B. Hunt, Jr.
Governor

Approved 10:03 p.m. this 18th day of June, 1999

Page 	S.L. 1999-188	Senate Bill 885

Senate Bill 885	S.L. 1999-188	Page