General Provisions — Statutory Authority of the Comptroller
Audit of Claims

For the Comptroller’s office to prepare a warrant, the agency submitting the claim must properly audit the claim and verify its correctness.

A claim may not be paid from an appropriation unless the claim is presented to the Comptroller’s office for payment not later than two years after the end of the fiscal year for which the appropriation was made.

However, if the appropriation relates to the following categories, then a claim must be presented to the Comptroller’s office for payment not later than four years after the end of the fiscal year in which its appropriation was made:

• New construction contracts
• Grants awarded under Health and Safety Code, Chapter 391
• Repair and remodeling projects exceeding the amount of $20,000, including furniture and other equipment, architect and engineering fees, and other costs related to the contracts or projects

If the appropriation is related to grants awarded under Health and Safety Code, Chapter 102, a claim must be presented to the Comptroller’s office for payment not later than seven years after the end of the fiscal year in which its appropriation was made.

The Comptroller’s office conducts post-payment audits of agencies’ expenditures to ensure compliance with laws, rules and policies. The Comptroller’s office may establish requirements and rules on the time period during which the agency must retain documentation in its files to enable the audit.

The Fiscal Management Division compiles post-payment audit reports for view by state agencies and institutions of higher education.

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