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January 18, 2007 • Vol. XXX • No. 21

Comptroller Bill Moves in Assembly

A proposal to create a governor-appointed state comptroller, who would conduct financial audits and performance reviews of state and local governments, including school districts, passed the Assembly on Jan. 8.

The concept is backed by Gov. Jon S. Corzine and was among the recommendations of the Legislature’s special session on property tax reform.

A-2 calls for bi-annual audits for all school districts with annual budgets of more than $100 million. It also allows the state to conduct performance reviews of certain school districts, at the request of the governor, senate president or assembly speaker.

All school districts are currently required to have annual independent audits of their operations.

Responsibilities Under the proposal, the Office of the State Comptroller would report to the governor. The comptroller would serve six years and no more than two successive terms, and the person must not have held political office or an office with a political party for at least two years prior to assuming the position.

The state comptroller also would be responsible for conducting routine, periodic and random audits of the executive branch of state government, public institutions of higher education, independent state authorities, local governments and boards of education.

Concern about Partisanship NJSBA has concerns about on the state comptroller proposal. Mike Vrancik, director of governmental relations, said the plan leaves room for subjective financial and performance reviews of school districts because the comptroller would be a political appointment. NJSBA would rather a state comptroller be elected.

A-2 was adopted without public testimony because it is considered one of the recommendations that resulted from the Legislature’s special session on property tax reform, when input was taken on concepts but not on actual bills.

The Senate version of the bill, S-2, was introduced Dec. 11 and is in position for a vote by the full Senate, which is scheduled to meet Jan. 22 and Jan. 25.