1. (a) The following persons are subject to an audit of books, accounts, or records:

   1. (1) before the expiration of the period of retention under subsection (c) of this section, a person who submits cost and price information under § 13-220 of this article, if the books, accounts, or records being audited are reasonably connected with the cost and price information;
   2. (2) a contractor or subcontractor under a procurement contract if, from an audit of a cost-type contract, the unit has reason to believe that costs have been inappropriately assigned to the cost-type contract from a fixed-price contract; and

   3. (3) a contractor or subcontractor under a procurement contract that:

      1. (i) was awarded by a method other than competitive sealed bids; and
      2. (ii) is not a firm fixed-price procurement contract.

2. (b) An audit under this section may be conducted by:

   1. (1) the Department of Legislative Services;
   2. (2) a unit engaged in procurement; or
   3. (3) as authorized by law, any other unit.

3. (c) A person subject to an audit under subsection (a) of this section shall keep books, accounts, and records for:

   1. (1) at least 3 years after the day on which the person receives final payment under a procurement contract or a subcontract; or
   2. (2) if longer, the period required under the procurement contract.

Added by Acts 1988, c. 48, § 2, eff. Oct. 1, 1988. Amended by Acts 1988, c. 399, § 2, eff. Oct. 1, 1988; Acts 1997, c. 635, § 9, eff. July 1, 1997; Acts 1997, c. 636, § 9, eff. July 1, 1997.