Bill > HB3666

This bill updates the state of Texas's internal auditing program by modifying several key aspects of government code. The bill revises the purpose of internal auditing to emphasize strengthening organizational value through independent, risk-based assurance and insight, and introduces a new definition for "advisory services" which includes consulting activities designed to improve organizational operations. The legislation requires state agencies to develop annual audit plans using risk assessment techniques and expands the scope of audits to include financial, operational, administrative, and information technology systems and controls. The bill also updates the responsibilities of internal auditors, requiring them to report directly to governing boards, develop annual audit plans, conduct various types of audits, prepare and communicate reports, and participate in quality assurance reviews. Additionally, the bill aligns internal audit standards with the Global Internal Audit Standards from the Institute of Internal Auditors, removing references to previous standard frameworks. The changes aim to modernize and improve the effectiveness of internal auditing processes within state agencies, providing more comprehensive and valuable oversight of government operations.

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https://capitol.texas.gov/BillLookup/History.aspx?LegSess=89R&Bill=HB3666