1-3 2. The department consists of a director and the following divisions:

1-4 (a) Budget division.

1-5 (b) Risk management division.

1-6 (c) Hearings division, which consists of hearing officers, compensation

1-7 officers and appeals officers.

1-8 (d) Buildings and grounds division.

1-9 (e) Purchasing division.

1-10 (f) State printing division.

1-11 (g) Administrative services division.

1-12 (h) Division of internal audits.

1-13 3. The director may establish a motor pool division or may assign the

1-14 functions of the state motor pool to one of the other divisions of the

2-3 1. Shall appoint a chief of the:

2-4 (a) Risk management division;

2-5 (b) Buildings and grounds division;

2-6 (c) Purchasing division;

2-7 (d) State printing division;

2-8 (e) Administrative services division; [and]

2-9 (f) Division of internal audits; and

2-10 (g) Motor pool division , if separately established.

2-11 2. Shall appoint a chief of the budget division, or may serve in this

2-12 position if he has the qualifications required by NRS 353.175.

2-13 3. Shall serve as chief of the hearings division and shall appoint the

2-14 hearing officers and compensation officers. The director may designate one

2-15 of the appeals officers in the division to supervise the administrative,

2-16 technical and procedural activities of the division.

2-17 4. Shall serve as chairman of the state public works board.

2-18 5. Is responsible for the administration, through the divisions of the

2-19 department, of the provisions of chapters 331, 333, 336 and 344 of NRS,

2-20 NRS 353.150 to 353.246, inclusive, sections 7 to 15, inclusive, of this act,

2-21 and all other provisions of law relating to the functions of the divisions of

2-22 the department.

2-23 6. Is responsible for the administration of the laws of this state relating

2-24 to the negotiation and procurement of medical services and other benefits

2-25 for state agencies.

2-29 (a) The buildings and grounds division;

2-30 (b) The purchasing division;

2-31 (c) The state printing division;

2-32 (d) The administrative services division; [and]

2-33 (e) The division of internal audits; and

2-34 (f) If separately established, the motor pool division,

2-35 of the department serves at the pleasure of the director, but, except as

2-36 otherwise provided in subsection 2, for all purposes except removal is in

2-37 the classified service of the state.

2-38 2. The chief of the motor pool division , if separately established [is] ,

2-39 and the chief of the division of internal audits are in the unclassified

3-3 of the:

3-4 1. Budget division;

3-5 2. Buildings and grounds division;

3-6 3. Purchasing division;

3-7 4. State printing division; [and]

3-8 5. Division of internal audits; and

3-9 6. Motor pool division , if separately established,

3-10 may appoint a deputy and a chief assistant in the unclassified service of the

3-11 state, who shall not engage in any other gainful employment or occupation

3-15 administrative services is hereby created as an internal service fund.

3-16 2. The operating budget of each of the following entities must include

3-17 an amount representing that entity’s share of the operating costs of the

3-18 central accounting function of the department:

3-19 (a) State public works board;

3-20 (b) Budget division;

3-21 (c) Buildings and grounds division;

3-22 (d) Purchasing division;

3-23 (e) State printing division;

3-24 (f) Hearings division;

3-25 (g) Risk management division;

3-26 (h) [Office of financial management, training and controls;] Division of

3-27 internal audits; and

3-28 (i) If separately established, the motor pool division.

3-29 3. All money received for the central accounting services of the

3-30 department must be deposited in the state treasury for credit to the

3-31 operating fund.

3-32 4. All expenses of the central accounting function of the department

3-33 must be paid from the fund as other claims against the state are paid.

4-40 request of the chief or his authorized representative, all officers and

4-41 employees of each executive branch agency shall make available to the

5-30 of copies of all reports of audits, examinations, investigations and all

5-31 other reports or releases issued by him.

5-32 2. All working papers from an audit are confidential and may be

5-33 destroyed by the chief 5 years after the report is issued, except that the

5-34 chief:

5-35 (a) Shall release such working papers when subpoenaed by a court of

5-36 competent jurisdiction;

5-37 (b) Shall make such working papers available to the legislative auditor

5-38 upon his request; and

5-39 (c) May make such working papers available for inspection by an

5-40 authorized representative of any other governmental entity for a matter

6-3 requires:

6-4 1. "Agency" means every agency, department, division, board,

6-5 commission or similar body, or elected officer, of the executive branch of

6-6 the state . [, except:

6-7 (a) A board or commission created by the provisions of chapters 623 to

6-8 625, inclusive, 628 to 644, inclusive, 654 and 656 of NRS.

6-9 (b) The University and Community College System of Nevada.

6-10 (c) The public employees’ retirement system.

6-11 (d) The state industrial insurance system.

6-12 (e) The housing division of the department of business and industry.

6-13 (f) The Colorado River commission.]

6-14 2. "Committee" means the executive branch audit committee created

6-15 pursuant to section 11 of this act.

6-16 3. "Director" means the director of the department of administration.

6-17 [3.] 4. "Internal accounting and administrative control" means a

6-18 method through which agencies can safeguard assets, check the accuracy

6-19 and reliability of their accounting information, promote efficient operations

6-23 committee and legislative auditor, shall adopt a uniform system of internal

6-24 accounting and administrative control for agencies. The elements of the

6-25 system must include, without limitation:

6-26 (a) A plan of organization which provides for a segregation of duties

6-27 appropriate to safeguard the assets of the agency;

6-28 (b) A plan which limits access to assets of the agency to persons who

6-29 need the assets to perform their assigned duties;

6-30 (c) Procedures for authorizations and recordkeeping which effectively

6-31 control accounting of assets, liabilities, revenues and expenses;

6-32 (d) A system of practices to be followed in the performance of the duties

6-33 and functions of each agency; and

6-34 (e) An effective system of internal review.

6-35 2. The director, in consultation with the [state controller] committee

6-36 and legislative auditor, may modify the system whenever he considers it

6-37 necessary.

6-38 3. Each agency shall develop written procedures to carry out the

6-39 system of internal accounting and administrative control adopted pursuant

6-40 to this section.

6-41 4. For the purposes of this section, "agency" does not include:

6-42 (a) A board or commission created by the provisions of chapters 623

7-8 agency’s system of internal accounting and administrative control to

7-9 determine whether it is in compliance with the uniform system of internal

7-10 accounting and administrative control for agencies adopted pursuant to

7-11 subsection 1 of NRS 353A.020.

7-12 2. On or before July 1 of each even-numbered year, the head of each

7-13 agency shall report to the director whether the agency’s system of internal

7-14 accounting and administrative control is in compliance with the uniform

7-15 system adopted pursuant to subsection 1 of NRS 353A.020. The reports

7-16 must be made available for inspection by the members of the legislature.

7-17 3. For the purposes of this section, "agency" does not include:

7-18 (a) A board or commission created by the provisions of chapters 623

7-19 to 625, inclusive, 628 to 644, inclusive, 654 and 656 of NRS.

7-20 (b) The University and Community College System of Nevada.

7-21 (c) The public employees’ retirement system.

7-22 (d) The state industrial insurance system.

7-23 (e) The housing division of the department of business and industry.

7-27 and controls] division shall:

7-28 1. Report to the director.

7-29 2. Develop long-term and annual work plans to be based on the results

7-30 of periodic documented risk assessments. The annual work plan must:

7-31 (a) List the agencies to which the [office] division will provide training

7-32 and assistance;

7-33 [(b) Ensure that the internal accounting, administrative controls and

7-34 financial management of those agencies are to be reviewed periodically;

7-35 and

7-36 (c)] and

7-37 (b) Be submitted to the director for approval.

7-38 3. Provide a copy of the approved annual work plan to the legislative

7-39 auditor.

7-40 4. In consultation with the director, prepare a plan for auditing

7-41 executive branch agencies for each fiscal year and present the plan to the

8-28 controls] division shall:

8-29 (a) Determine the adequacy of the system of internal accounting,

8-30 administrative control and financial management of each agency to which

8-31 the [office] division provides training and assistance.

8-32 (b) [Develop regulations for adoption by the state board of examiners]

8-33 Adopt regulations, approved by the committee, requiring the provision of

8-34 training to any employee of an agency who is responsible for administering

8-35 budgetary accounts. The training must address:

8-36 (1) The laws and regulations of this state and the Federal Government

8-37 applicable to the operations of the agency.

8-38 (2) Internal accounting, administrative controls and financial

8-39 management.

8-40 (3) Techniques to address the adequacy of controls of the agency.

9-17 chief [of the office of financial management, training and controls shall

9-18 issue] shall submit an annual report to the committee for its approval

9-19 which:

9-20 (a) Lists the agencies to which the [office provided training, evaluated

9-21 controls and carried out systems of internal accounting, administrative

9-22 controls and financial management;] division provided training and

9-23 assistance;

9-24 (b) Separately lists any other [related] activities undertaken by the

9-25 [chief] division that are related to the provision of training and assistance

9-26 and the status of those activities; [and]

9-27 (c) Contains a list of the final reports that have been submitted

9-28 pursuant to section 13 of this act;

9-29 (d) Contains a separate list of any other activities undertaken by the

9-30 division that are related to the final reports submitted pursuant to section

9-31 13 of this act and the status of those activities; and

9-32 (e) Describes the accomplishments of the office.

9-33 2. The chief shall provide a copy of the annual report to the:

9-34 (a) [Governor;] Committee;

9-35 (b) Director;

9-36 (c) Interim finance committee; and

11-12 restrictions on other employment of chief; employment of staff.

11-13 1. The office of financial management, training and controls is hereby

11-14 created within the department of administration.

11-15 2. The director shall appoint a chief of the office. The chief is in the

11-16 unclassified service of the state and, except as otherwise provided in NRS

11-17 284.143, shall not engage in any other gainful employment or occupation.

11-18 3. The chief must:

11-19 (a) Be a certified public accountant licensed by this state or a public

11-20 accountant qualified pursuant to chapter 628 of NRS to practice public

11-21 accounting in this state; and

11-22 (b) Have at least 5 years of progressively responsible professional

11-23 auditing experience performing internal audits or postaudits. The auditing

11-24 experience must consist of audits of governmental entities or of private

11-25 business organizations, whether or not organized for profit.

11-26 4. The chief may employ, within the limits of legislative

11-27 appropriations, such staff as is necessary to the performance of his duties.

11-28 The chief shall not limit his own work assignments to administrative duties.