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Brown Signs Law Expanding Controller’s Audit Power

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SACRAMENTO (AP) — Gov. Jerry Brown has signed a bill expanding the state controller’s oversight of local government auditing practices.

AB1345 was introduced by Bell Gardens Democratic Assemblyman Ricardo Lara in response to the Bell financial scandal. His district includes the small Los Angeles County city where local officials were exposed of fraud and misuse of public funds.

Brown announced he signed the bill Friday.

It requires all local governments to comply with federal auditing standards. The audits must be submitted to the controller within nine months of the end of the reporting period. If not, the bill gives the controller authority to appoint an accountant to complete the report.

A series of audits revealed that the city of Bell failed to comply with auditing standards and reported no mismanagement of city funds.

(© Copyright 2012 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.)

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