994

LAWS OF MARYLAND

Ch. 11

(1)  (I) THE CHIEF ACCOUNTANT OF A UNIT OF THE STATE
GOVERNMENT OR OF THE PRINCIPAL DEPARTMENT TO WHICH THE UNIT IS
ASSIGNED MAY EXAMINE THE FINANCIAL RECORDS OF AN INDIVIDUAL OR A
HEALTH OR SOCIAL WELFARE ORGANIZATION THAT RECEIVES A GRANT FROM
THE UNIT.

(II) THE ACCOUNTANT SHALL GIVE 30 DAYS' PRIOR
NOTICE OF AN EXAMINATION UNDER THIS PARAGRAPH.

(2)  (I) SUBJECT TO SUBPARAGRAPHS (II) AND (III) OF
THIS PARAGRAPH, THE CHIEF ACCOUNTANT OF A UNIT OR OF THE
PRINCIPAL DEPARTMENT TO WHICH THE UNIT IS ASSIGNED SHALL EXAMINE
ANY FINANCIAL RECORDS REQUIRED TO BE KEPT UNDER SUBSECTION (C) OF
THIS SECTION.

(II)  FOR THE FINANCIAL RECORDS REQUIRED TO BE
KEPT UNDER SUBSECTION (C)(2) OF THIS SECTION, THE ACCOUNTANT
SHALL GIVE 30 DAYS' PRIOR NOTICE OF THE EXAMINATION UNDER THIS
PARAGRAPH.

(III)  FOR ANY FINANCIAL RECORDS REQUIRED TO BE
KEPT UNDER SUBSECTION (C)(3) OF THIS SECTION, THE ACCOUNTANT
SHALL EXAMINE THE FINANCIAL RECORDS WHEN AN EXAMINATION IS
AUTHORIZED BY:

1.  THE SECRETARY OF THE PRINCIPAL
DEPARTMENT TO WHICH THE UNIT IS ASSIGNED; OR

2.  IF THE UNIT IS NOT ASSIGNED TO A
PRINCIPAL DEPARTMENT, THE HEAD OF THE UNIT.

(G) FAILURE TO COMPLY.

A UNIT OF THE STATE GOVERNMENT MAY NOT:

(1)  MAKE A GRANT TO AN ORGANIZATION THAT FAILS TO
KEEP FINANCIAL RECORDS IN ACCORDANCE WITH UNIFORM ACCOUNTING
STANDARDS; OR

(2)  MAKE A CONTRACT WITH AN ORGANIZATION OR
INDIVIDUAL WHO FAILS TO KEEP FINANCIAL RECORDS AS REQUIRED UNDER
THIS SECTION.

REVISOR'S NOTE: Subsections (a) through (e), (f)(1) through
(2)(iii)l., and (g) of this section are new language
derived without substantive change from former Art.
19, § 28A(b) through (e) and (a)(1), (3), (4), and the
first clause of the first sentence and the first
clause of the second sentence of (2).

Subsection (f)(2)(iii)2. of this section is new
language added to account for units that are not
assigned to a principal department.