1. (a) In assessing whether a state agency or the responsible state agencies for a statewide issue have taken adequate corrective actions to prevent a risk of waste, fraud, abuse, or mismanagement or impaired economy, efficiency, or effectiveness from presenting a substantial risk of serious detriment to the State or its residents, the State Auditor shall consider whether the state agency or responsible state agencies have:

   1. (1) Demonstrated a strong commitment to controlling or eliminating the risk;
   2. (2) Adopted an appropriate action plan for controlling or eliminating the risk;
   3. (3) Made significant progress, through actions already taken, to control or eliminate the risk; and
   4. (4) Demonstrated convincingly, through the corrective actions already taken, that the remaining planned actions will be completed promptly.
2. (b) An assessment by the State Auditor that a state agency or the responsible state agencies for a statewide issue have not satisfied adequately all four of the criteria listed in subdivision (a) of this section shall be sufficient grounds for a determination that the state agency or responsible state agencies have not taken adequate corrective actions to prevent the state agency or statewide issue from presenting a substantial risk of serious detriment to the State or its residents and thus avoid identification as high risk.

Note: Authority cited: Section 8546, Government Code. Reference: Section 8546.5, Government Code.

History

1. New section filed 2-22-2016; operative 4-1-2016. Submitted to OAL for printing only and not subject to OAL review pursuant to Government Code section 8546(g) (Register 2016, No. 9).