| 1 | A bill to be entitled |
| 2 | An act relating to inmate labor and correctional work |
| 3 | programs; amending s. 946.516, F.S.; requiring Prison |
| 4 | Rehabilitative Industries and Diversified Enterprises, |
| 5 | Inc., or PRIDE Enterprises, to prepare an annual report |
| 6 | detailing the effectiveness of its internal-control |
| 7 | mechanisms; requiring that the report be subject to an |
| 8 | attestation by an independent certified public accountant |
| 9 | retained by and paid from the funds of PRIDE; requiring |
| 10 | that the attestation report be prepared in addition to, |
| 11 | and not supplant, the annual financial audit required by |
| 12 | law; providing an effective date. |
| 13 |
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| 14 | Be It Enacted by the Legislature of the State of Florida: |
| 15 |
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| 16 | Section 1. Section 946.516, Florida Statutes, is amended |
| 17 | to read: |
| 18 | 946.516 Corporation status report; monitoring internal |
| 19 | controls; and annual financial audit report.-- |
| 20 | (1) The corporation shall submit to the Governor and the |
| 21 | Legislature, on or before July 1 of each year, a report on the |
| 22 | status of the correctional work programs, including, but not |
| 23 | limited to, the proposed use of the profits from such programs, |
| 24 | a breakdown of the amount of noninmate labor used, work |
| 25 | subcontracted to other vendors, use of consultants, finished |
| 26 | goods purchased for resale, and the number of inmates working in |
| 27 | the correctional work programs at the time of the such report. |
| 28 | In addition, the corporation shall submit to the department, the |
| 29 | Governor, the Legislature, and the Auditor General an annual |
| 30 | financial audit report and such other information as may be |
| 31 | requested by the Legislature, together with recommendations |
| 32 | relating to provisions for reasonable tax incentives to private |
| 33 | enterprises which employ inmates, parolees, or former inmates |
| 34 | who have participated in correctional work programs. |
| 35 | (2) The department shall include, as a portion of its |
| 36 | annual report, a report on postrelease job placement and the |
| 37 | rate of subsequent contact with the correctional system for |
| 38 | those inmates who have participated in the correctional work |
| 39 | programs operated by the corporation and by the department. |
| 40 | (3) In order to enhance the monitoring of its risk- |
| 41 | assessment procedures and the performance of its internal |
| 42 | controls, the corporation shall prepare an annual report |
| 43 | detailing the effectiveness of its internal-control mechanisms. |
| 44 | The report must be subject to an attestation by an independent |
| 45 | certified public accountant retained by the corporation and paid |
| 46 | from the funds of the corporation. The preparation of the |
| 47 | attestation of the corporation's management controls shall be in |
| 48 | addition to, and may not supplant, the annual financial audit |
| 49 | required in subsection (4). |
| 50 | (4)(3) The corporation shall have an annual financial |
| 51 | audit of its accounts and records by an independent certified |
| 52 | public accountant retained by it and paid from its funds. The |
| 53 | Auditor General or the director of the Office of Program Policy |
| 54 | Analysis and Government Accountability may, pursuant to his or |
| 55 | her own authority or at the direction of the Joint Legislative |
| 56 | Auditing Committee, conduct an audit of the corporation. |
| 57 | (5)(4) The corporation shall be governed by the generally |
| 58 | accepted accounting principles as established by the Financial |
| 59 | Accounting Standards Board (FASB) in order to carry out the |
| 60 | intent of s. 946.502(2) and (5). |
| 61 | Section 2. This act shall take effect July 1, 2007. |