What's happening
This bill allows the Public Service Commission to enforce recommendations and impose penalties or revoke authority if management audits find fraud, abuse, or mismanagement by public authority service providers.
Why it matters
Strengthens accountability for service providers. By empowering the Public Service Commission (PSC) to enforce audit recommendations and impose penalties, the bill aims to reduce instances of fraud, abuse, or mismanagement among public authority contractors, which could translate to more responsible use of public funds and improved service reliability for consumers.
Creates real consequences for non-compliance. The possibility of civil penalties or even revocation of a service provider’s authority to operate increases the stakes for providers, incentivizing them to address problems identified in management audits promptly and thoroughly.
Potential for faster corrective action. The PSC is given authority to set deadlines for the implementation of audit recommendations, meaning issues uncovered could be fixed more quickly, reducing the risk of ongoing harm to the public or further misuse of resources.
Applies to future audits. The law will impact all audits conducted after its enactment, signaling an ongoing commitment to oversight and potentially leading to lasting improvements in the culture of compliance and transparency among public authority service providers.
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Who cares
Headline styles
Crack Down on Fraudulent Providers
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Signed chap.358
- Delivered to governor
- Returned to assembly
- Passed senateVote 60–0
- 3rd reading cal.807
- Substituted for S6868
- Referred to rules
- Returned to senate
- Passed assembly
- Ordered to third reading rules cal.247
- Rules report cal.247
- Reported
Show 4 earlier actions
- Reported referred to rules
- Reported referred to codes
- Referred to corporations, authorities and commissions
- Referred to corporations, authorities and commissions
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Enforce Audit Recommendations Law
Senate Floor Calendar · Sponsor Jim Gaughran
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
8936
IN ASSEMBLY
January 2, 2020
Introduced by M. of A. THIELE -- read once and referred to the Committee on Corporations, Authorities and Commissions
AN ACT to amend the public authorities law, in relation to comprehensive and regular management and operations audits
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Section 1020-s of the public authorities law, as amended by chapter 388 of the laws of 2011, is amended by adding a new subdivision 3 to read as follows:
3. In the event that a comprehensive and regular management and operations audit, as provided by subdivision (bb) of section one thousand twenty-f of this article, indicates a finding of fraud, abuse, or mismanagement by a service provider of the authority, and upon a finding by the public service commission that reasonable cause exists for the basis of such indication, the public service commission may order that any recommendations contained in the regular management and operations audit be implemented. The public service commission may also provide in their order, the date in which any recommendation must be fully implemented. Failure to comply with any such order can result in the imposition of a civil penalty by the public service commission against the service provider or revocation of the service provider's authority to operate within the state.
§ 2. Subdivision (bb) of section 1020-f of the public authorities law, as amended by section 7 of part A of chapter 173 of the laws of 2013, is amended by adding a new paragraph 5 to read as follows:
5. Notwithstanding the foregoing, in the event that a comprehensive and regular management and operations audit as conducted in accordance with this subdivision indicates a finding of fraud, abuse or mismanagement by a service provider of the authority, and upon a finding by the public service commission that reasonable cause exists for the basis of such indication, the public service commission may order that any recommendations contained in the regular management and operations audit be implemented. The public service commission may also provide in their order, the date in which the recommendations be fully implemented. Fail-
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD14227-02-9
A. 8936 2
ure to comply with any such order can result in the imposition of a civil penalty by the public service commission against the service provider.
§ 3. This act shall take effect immediately and shall apply to all audits conducted on or after such effective date.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.