---
title: HB 754. Catoosa County; Board of Education; require an internal audit function and establish position of internal auditor
collection: bills
id: 2025-2026/hb754
cite_as: HB 754, 2025-2026 Regular Session (Ga.)
canonical_url: https://georgiacommons.org/bills/2025-2026/hb754
md_url: https://georgiacommons.org/bills/2025-2026/hb754.md
text_url: https://georgiacommons.org/bills/2025-2026/hb754/text
source_url: https://www.legis.ga.gov/legislation/71286
date: 2025-05-14
status: passed
corpus_version: bills-2026-08-28
license: Public record of the Georgia General Assembly, via LegiScan; see about.md
publisher: Georgia Commons, an independent project of Georgia Civic Data. Not the State of Georgia. Not legal advice.
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previous: https://georgiacommons.org/bills/2025-2026/hb753.md
next: https://georgiacommons.org/bills/2025-2026/hb755.md
index: https://georgiacommons.org/bills/index.md
omitted: votes and history
omitted_chars: 885
omitted_url: https://georgiacommons.org/bills/2025-2026/hb754.md?full=1
bill_number: HB 754
session: 2025-2026 Regular Session
session_slug: 2025-2026
chamber: House
bill_type: bill
status_date: 2025-05-14
last_action: Effective Date 2025-05-14
sponsors:
  - Mitchell Horner
text_version: Enrolled
has_text: true
legiscan_url: https://legiscan.com/GA/bill/HB754/2025
upstream_id: 1996855
summaries_model: claude-sonnet-5
topic_tags:
  - Catoosa County schools
  - school district audits
  - local government accountability
  - education finance
  - Georgia school boards
---

# HB 754. Catoosa County; Board of Education; require an internal audit function and establish position of internal auditor

## Text

25 LC 47 3576/AP
House Bill 754 (AS PASSED HOUSE AND SENATE)
By: Representative Horner of the 3rd
A BILL TO BE ENTITLED
AN ACT
To amend an Act to reconstitute the Board of Education of Catoo sa County, Georgia,1
approved March 30, 1993 (Ga. L. 1993, p. 4258), as amended, so as to require an internal2
audit function of the board and to establish the position of internal auditor; to provide for the3
selection, powers, and duties of the internal auditor; to provide for internal cooperation; to4
provide a sunset date on the provisions governing such internal auditor; to provide for related5
matters; to repeal conflicting laws; and for other purposes.6
BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:7
SECTION 1.8
An Act to reconstitute the Board of Education of Catoosa County , Georgia, approved9
March 30, 1993 (Ga. L. 1993, p. 4258), as amended, is amended by adding a new section to10
read as follows:11
"SECTION 7.1.12
(a) There shall be an internal audit function of the board that falls under the supervision13
of an internal auditor. The internal auditor may be either an individual employed by the14
board or the account manager of a firm hired as provided for in this section. The internal15
H. B. 754
- 1 -
25 LC 47 3576/AP
auditor shall be appointed by the board from a list of nominations provided by the members16
o f t h e G e n e r a l A s s e m b l y t h a t r e p r e s e n t a l l o r a p a r t o f t h e s c hool district. All costs17
associated with the internal auditor shall be paid from the local funds of the board.18
(b) The internal auditor shall be a certified internal auditor or a certified public accountant,19
demonstrating at least five years' experience.20
(c) The internal auditor need not be a resident of the school district at the time of his or her21
appointment or during the period of service as the internal auditor.22
(d) The internal auditor shall not be involved in partisan political activities or the political23
affairs of the school system.24
(e) Within the budget approval process and established personn el policies for all25
departments, the internal auditor shall, with board approval, h ave the power to appoint,26
employ, and remove such assistants, employees, and personnel as he or she may deem27
necessary for the efficient and effective administration of the office.28
(f) The internal auditor shall be charged with, but not be limited to, the following duties29
and responsibilities:30
(1) To conduct one- and five-year performance and financial audits of the school system31
and its departments, offices, and activities in order to independently determine whether:32
(A) Implemented activities and programs have been authorized b y the board, the33
superintendent, state law, or applicable federal law or regulations and that the activities34
and programs are being conducted and funds expended in compliance with applicable35
laws;36
(B) The department, office, or agency is acquiring, managing, protecting, and utilizing37
its personnel, property, equipment, space, and other resources, including public funds,38
economically, efficiently, and effectively and in a manner consistent with the objectives39
of the authorizing entity or enabling legislation;40
(C) The organizations, programs, activities, functions, or pol icies are effective,41
including the identification of any causes of inefficiencies or uneconomical practices,42
H. B. 754
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25 LC 47 3576/AP
such as inadequacies in management information systems, internal and administrative43
procedures, organization structure, use of resources, allocation of personnel, purchasing44
policies, and equipment;45
(D) The desired results or benefits are being achieved;46
(E) Financial and other reports are being provided that fairly , accurately, and fully47
disclose all information that is required by law, necessary to ascertain the nature and48
scope of programs and activities, and necessary to establish a proper basis for49
evaluating the results of programs and activities, including the collection of, accounting50
for, and depositing of revenues and other resources;51
(F) Management has established adequate operating and administrative procedures and52
practices, systems, or internal control accounting systems and internal management53
controls; and54
(G) Indications of fraud or abuse or illegal acts are present;55
(2) To submit an annual report to the board and each member of the General Assembly56
representing all or a part of the school district, indicating a udits completed, major57
findings, corrective actions taken by administrative managers, and significant findings58
which have not been fully addressed by management; and59
(3) To perform such other duties and responsibilities as provi ded for by this Act or60
directed by the board.61
(g) All officers and employees shall allow the internal auditor immediate access to any and62
all books, records, documents, and other requested information, including automated data,63
pertaining to the business of the school system and within their custody regarding powers,64
duties, activities, organization, property, financial transactions, contracts, and methods of65
business required to conduct an audit or other official duties. In addition, such officers and66
employees shall provide access for the auditor to inspect all p roperty, equipment, and67
facilities within their custody. Further, all contracts with o utside contractors and68
subcontractors shall provide for the auditor's access to all financial and performance related69
H. B. 754
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25 LC 47 3576/AP
records, property, and equipment purchased in whole or in part with system funds and70
facilities.71
(h)(1) The internal auditor shall present any confidential information to the board during72
regularly scheduled closed executive sessions.73
(2) The internal auditor shall have the opportunity to address the board at any meeting74
of the board following the superintendent giving any reports to the board at such meeting.75
(i) The internal auditor shall not publicly disclose any information received during an audit76
that is confidential in accordance with any local, state, or federal law or regulation.77
(j) Any reports issued by the internal auditor shall be made available for public inspection78
or copying at a reasonable cost.79
(k) The provisions of this subsection shall stand repealed on July 1, 2030."80
SECTION 2.81
All laws and parts of laws in conflict with this Act are repealed.82
H. B. 754
- 4 -

## Summaries written by Georgia Commons

The following was written by claude-sonnet-5 from the text above and is not part of the bill. Quote the text, not the summary.

House Bill 754 would require the Catoosa County Board of Education to create an internal audit function and hire an internal auditor to review the school system's finances and operations, with the provisions set to expire in 2030.

### Plain-language summary

This bill amends the 1993 Act that reconstituted the Catoosa County Board of Education. It adds a new section requiring the board to maintain an internal audit function overseen by an internal auditor, who could be a board employee or the account manager of a hired firm chosen from nominations submitted by local members of the General Assembly.
The auditor must be a certified internal auditor or certified public accountant with at least five years of experience, need not live in the district, and cannot engage in partisan political activity. The auditor would conduct one and five year performance and financial audits, report annually to the board and legislative delegation, and have access to all district records, property, and contractor documents needed to do the job. Confidential findings go to the board in closed sessions, and public reports must be available for inspection. The internal auditor provisions are set to repeal automatically on July 1, 2030.

### What it does

- Adds a new section to the 1993 Act governing the Catoosa County Board of Education requiring an internal audit function overseen by an internal auditor.
- Sets qualifications for the auditor: certified internal auditor or certified public accountant status with at least five years of experience, and no residency requirement in the district.
- Directs the auditor to conduct one and five year performance and financial audits of the school system and report annually to the board and area legislators.
- Grants the auditor access to all school system records, property, contracts, and data needed to complete audits, including from outside contractors.
- Requires confidential findings to be presented to the board in closed sessions while public reports must be available for inspection at reasonable cost.
- Automatically repeals the internal auditor provisions on July 1, 2030 unless renewed.

### Who it affects

The Catoosa County Board of Education, the school superintendent, district employees and officers who must grant the auditor access to records, outside contractors doing business with the district, and members of the General Assembly representing the county, who nominate auditor candidates and receive annual reports.

### Why it matters

Catoosa County residents would gain a dedicated, independent check on how the school system spends money and manages resources, with findings reported publicly and to lawmakers. The 2030 sunset date means the audit requirement would end unless the legislature acts again to extend it.

### Key provisions

- Section 1 adds new Section 7.1 to the 1993 Act creating the internal audit function and defining who may serve as internal auditor, either a district employee or a hired firm's account manager.
- Subsection (b) requires the auditor to be a certified internal auditor or CPA with at least five years of experience.
- Subsection (f) lists the auditor's duties, including one and five year performance and financial audits checking legal compliance, efficiency, effectiveness, and signs of fraud or abuse.
- Subsection (f)(2) requires an annual report to the board and to General Assembly members representing the district covering audits completed and unresolved findings.
- Subsection (g) requires school officers, employees, and outside contractors to give the auditor access to records, property, equipment, and facilities needed for audits.
- Subsection (h) requires confidential findings to be presented to the board in closed executive sessions, while subsection (j) requires public reports to be available for inspection or copying.
- Subsection (k) sets a repeal date of July 1, 2030 for the internal auditor provisions.
- Section 2 repeals all conflicting laws.

## Status

- Status: Passed (2025-05-14)
- Last action: Effective Date 2025-05-14 (2025-05-14)
- Sponsors: Mitchell Horner
- Official page: https://www.legis.ga.gov/legislation/71286

> The history, votes, and amendments (885 characters) are at https://georgiacommons.org/bills/2025-2026/hb754.md?full=1