HB 1693

relating to the financial audit of certain open-enrollment charter
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1.  Section 321.001(5), Government Code, is amended
(5)  "Risk assessment" means the process by which the
State Auditor analyzes risks to the state on the basis of, at a
(A)  the identification of problems that can occur
in operational or program areas of departments, including in
institutions of higher education and in open-enrollment charter
schools that annually receive more than $100 million in state
revenue, that are subject to audit by the State Auditor;
(B)  a determination of the potential adverse
(C)  a ranking of the risks associated with the
SECTION 2.  Section 321.013, Government Code, is amended by
amending Subsection (a) and adding Subsection (k-1) to read as
(a)  The State Auditor shall conduct audits of all
departments, including audits of institutions of higher education
and of open-enrollment charter schools that annually receive more
than $100 million in state revenue, as specified in the audit plan.
At the direction of the committee, the State Auditor shall conduct
an audit or investigation of any entity receiving funds from the
(k-1)  In devising the audit plan under Subsection (c), the
State Auditor shall consider the performance of audits on
open-enrollment charter schools that annually receive more than
$100 million in state revenue.  The State Auditor may collaborate
with the State Board of Education in performing an audit under this
subsection.  An audit described by this subsection may be limited in
scope to open-enrollment charter schools that the State Auditor
determines pose the highest financial risk to this state.
SECTION 3.  This Act takes effect September 1, 2025.