The URL can be used to link to this page

Home My WebLink AboutBIL 262 Draft 02 2006-2008 +VV Of Ii4 COUNTY OF HAWAII STATE OF HAWAII ~iti•os w~'r~ BILL NO. z62 ORDINANCE NO. (DRAFT 2) AN ORDINANCE TO INITIATE AN AMENDMENT TO ARTICLE III, LEGISLATIVE BRANCH, COUNTY COUNCIL, OF THE HAWAII COUNTY CHARTER (2000), TO REORGANIZE THE OFFICE OF THE COUNTY CLERK AND COUNTY COUNCIL BY ESTABLISHING AN INDEPENDENT AUDIT FUNCTION WITHIN THE LEGISLATIVE BRANCH THROUGH THE OFFICE OF THE LEGISLATIVE AUDITOR. BE IT ORDAINED BY THE COUNCIL OF THE COUNTY OF HAWAII: SECTION 1. Purpose. The purpose of this ordinance is to reorganize the office of the county clerk and county council by establishing an independent audit function within the legislative branch through the office of the legislative auditor. This ordinance amends Hawaii County Charter (2000), article III, Legislative Branch, County Council, section 3-6, Organization of the Council; Officers; Employees, subsection 3-6(b)(4) by deleting provisions for the appointment of the legislative auditor by the county clerk, and subsection 3-6(b)(6) by deleting provisions for the appointment and supervision of staff within the office of the legislative auditor by the county clerk. Furthermore, this ordinance amends Hawaii County Charter (2000), article III, Legislative Branch, County Council, by adding a new section setting forth the independent audit function of the office of the legislative auditor. There is a growing demand for accountability in government by taxpayers, voters, and the public as a whole. This accountability requires an independent assessment of county agencies, executive agencies, and programs to determine the following information: (1) Whether county funds are handled and expended properly in compliance with applicable federal, state, and county laws and regulations; (2) Whether county agencies, executive agencies, and programs are achieving the purposes for which they were funded; (3) Whether county agencies, executive agencies, and programs are acquiring, operating, and maintaining public property, facilities, and equipment economically and efficiently; and (4) Whether county managers have established adequate operating and administrative procedures and practices and internal control systems to effectively utilize and protect public resources. An independent audit function within the legislative branch can provide objective information on the operations of county agencies, executive agencies, and programs; assist county managers in carrying out their responsibilities and services; and help ensure govemment accountability to the public. Furthermore, recognized government auditing standards can provide a framework for improved government decision-making, oversight, and accountability. Therefore, in an effort to better ensure that county agencies, executive agencies, and programs are held to the highest standard of public accountability, the county council proposes to reorganize the office of the county clerk and county council by establishing an independent audit function within the legislative branch through the office of the legislative auditor. SECTION 2. Section 3-6, Organization of the Council; Officers; Employees, of the Charter of the County of Hawaii (2000), is amended to read as follows: "Section 3-6. Organization of the Council; Officers; Employees. (a) The council shall elect from among its members a chairperson and a vice chairperson, each of whom shall serve at its pleasure. Until such time as the chairperson and presiding officer shall be elected, the mayor shall preside at such meeting, provided that the mayor shall not have a vote. The chairperson shall preside at council meetings. If at any meeting the chairperson is not present or unable to act, the vice chairperson shall then preside. In the absence of the chairperson and vice chairperson, the council shall elect from among its members a temporary presiding officer. (b) The council shall appoint the county clerk which position shall be exempt from civil service laws and classifications. The county clerk shall: (1) Be the clerk of the council. (2) Be custodian of the county seal. (3) Conduct all elections held within the county. (4) Appoint the deputy county clerk [°~a with the approval of the council, and such [pesibiet2s] osp plop shall be exempt from civil service laws and classifications. (5) Perform such other functions as the council may prescribe. (6) Appoint necessary staff for which appropriations have been made by the council, subject to civil service laws and classifications, and exercise the same power with respect to the personnel of the clerk's office as the department heads in the executive branch, with the exception of the office of the legislative auditor." 2 SECTION 3. Article III, Legislative Branch, County Council, of the Charter of the County of Hawaii (2000), is amended by adding a new section to be appropriately designated and to read as follows: "Section 3- Office of the Legislative Auditor. (a) There is established within the legislative branch an independent office of the legislative auditor to be headed by a legislative auditor who shall be appointed by the county council and shall serve for a period of six years, and thereafter until a successor is appointed. The council, by atwo-thirds vote of its membership, may remove the legislative auditor from office at any time for cause. (b) The legislative auditor shall possess adequate professional proficiency for the office demonstrated by relevant certification, such as certification as a certified internal auditor or certified public accountant or an advanced decree in a relevant field, and at least three years of general auditine experience which shall include a minimum of one year's experience in the field of government auditing. A certified internal auditor or certified public accountant shall be preferred. All financial audits shall be conducted by a certified public accountant. (c) The legislative auditor shall submit an annual budeet to the county council. The legislative auditor on behalf of the county council shall hire the necessary staff for which appropriations have been made by the county council. (d) The legislative auditor shall conduct or cause to be conducted: (1) The annual financial audit of the county, as required in article X, Financial Procedures, section 10-13, Post-audit. (2) Performance and/or financial audits of the funds, programs, services and operations of any county agency, executive agency, or program, as set forth b~gislative auditor in an annual audit plan that shall be transmitted to the county council and the mayor and filed with the county clerk as a public record. (3) Follow-up audits and monitorin og f responses to audit recommendations by audited entities. ~ For pumoses of this section, "county agency" or "executive agency" includes any office, department, boazd, commission, agency, semi- autonomous agency, or other governmental unit of the county in the executive or legislative branch that is supported, in whole or in part, by county funds. 3 (~f For purposes of carryin og ut any audit, the legislative auditor shall have: (11 Full, free, and unrestricted access to any county officer or employee. Full, free, and unrestricted access to and authority to examine and inspect any record of any county agency, executive agency, or program except for any record protected from disclosure by law, rule or privilege. (3) Full, free, and unrestricted access to and authority to examine and inspect anyproperty, facility. or equipment of any county agency, executive agency, or program pertinent to the audit or to a contract. (4) Full, free, and unrestricted access to and authority to administer oaths and subpoena witnesses and compel the production of records pertinent thereto. If any person subpoenaed as a witness or compelled to produce records shall fail or refuse to respond thereto, the proper court, upon request of the auditor, shall have the power to compel obedience to any process of the auditor and to punish, as a contempt of the court, any refusal to comply therewith without good cause. The auditor may retain special counsel, in the manner authorized by the council, to represent the auditor in implementin tg hese powers. ~ The legislative auditor shall conduct or cause to be conducted all audits in accordance with government auditing standards, and shall set forth final audit findings and recommendations in written reports, copies of which shall be transmitted to the county council and the mayor and filed with the county clerk as public records." SECTION 4. Charter material to be repealed is bracketed and stricken. New charter material is underscored. When revising, compiling, or printing these charter provisions for inclusion in the Charter of the County of Hawaii (2000), the reviser need not include the brackets, bracketed material, or underscoring. SECTION 5. If any provision of this ordinance or the application thereof to any person or circumstance, is held invalid, such invalidity shall not affect other provisions or applications of this ordinance which can be given effect without the invalid provision or application, and to this end, the provisions of this ordinance are declared to be severable. SECTION 6. Upon adoption of this ordinance, this council, by appropriate resolution, shall provide that this charter amendment be submitted to the electorate of Hawaii County for approval at the 2008 general election. 4 SECTION 7. The charter amendment proposed in this ordinance shall take effect upon approval by a majority of voters in the 2008 general election. INTRODUCED BY: R ( W~knes;cd hV,; i~~-U~,~,.~,` Cl I `Grp--~ 1-~~i~~ COUNCIL MEMBE ,COUNTY OF HAWAII Hawaii Date of Introduction: Date of ls~ Reading: Date of 2"d Reading: Date of 3rd Reading: Effective Date: RcFtiZEitiCE; Comm: 1067.7 5