Biennial appropriations. Itemized. [No. 70.] AN ACT providing appropriations for Executive Office for the fiscal years ending June thirty, nineteen hundred twenty, and June thirty, nineteen hundred twenty-one, for maintenance, operation and other specific purposes, and to repeal other acts or parts of acts making appropriations therefor, and to repeal all clauses or parts of other statutes fixing or providing for the salary or compensation of any officer or employe herein provided for. The People of the State of Michigan enact: SECTION 1. There are hereby appropriated from the general fund for the Executive Office for the fiscal years ending June thirty, nineteen hundred twenty, and June thirty, nineteen hundred twenty-one, the following amounts: For payment for services and expenses, maintenance and operation in the Executive Office of the State of Michigan, as follows: For the Fiscal Personal service (salaries and wages): Year 1919-20 For the Fiscal $5,000.00 1,800.00 How used. Proviso, surplus and deficiency. Each of said amounts shall be used solely for the specific purposes herein stated: Provided, That if the amounts appropriated in this act for any given schedule under a stated classification be insufficient to maintain said schedule, any surplus remaining in any other schedule, or schedules, under the same classification, may, by obtaining the consent of the Auditor General in writing, be transferred to the schedule or schedules, where such deficiency seems unavoidable. SEC. 2. The amounts hereby appropriated shall be paid How paid. out of the State treasury, and the disbursing officer of the Executive Office shall render his accounts therefor, at such times and in such manner as is or may be provided by law. SEC. 3. All fees or other moneys received by the Executive Fees, etc., Office shall be forwarded to the State Treasurer each month disposition of. and shall be by said treasurer deposited in the State treasury to be disbursed in such manner and for such purposes as may be provided by law. SEC. 4. The Auditor General shall incorporate in the Tax clause. State tax for the years nineteen hundred nineteen and nineteen hundred twenty, sufficient amounts to reimburse the general fund for the appropriations hereby made. SEC. 5. All acts and parts of acts making appropriations Acts repealed. for the Executive Office for the fiscal years ending June thirty, nineteen hundred twenty, and June thirty, nineteen hundred twenty-one, and all clauses or portions of other acts. fixing the salaries or compensation of any officer or employe herein provided for are hereby repealed. This act is ordered to take immediate effect. [No. 71.] AN ACT to provide for the formulation and establishment of a uniform system of accounting and reporting in the several departments, offices and institutions of the State government, and in all county offices; to provide for the examination of the books and accounts of each State department, office and institution, and of each county office; to provide for annual financial reports from all such departments, institutions and offices, and for the tabulation and publication of comparative financial statistics relating thereto; to provide that the Auditor General and Board of State Auditors shall administer the provisions of this act, prescribing their powers and duties in relation thereto; to provide penalties for violation, or failure to comply with the requirements of this act; to provide for meeting the expense authorized by this act, and to repeal act number one hundred eighty-three, Public Acts of nineteen hundred eleven and all other acts or parts of acts contravening the provisions of this act. System of The People of the State of Michigan enact: SECTION 1. It shall be the duty of the Auditor General to formulate, prescribe and install a system of accounting and reporting in conformity with the provisions of this act that reporting. accounting and What to embrace. Separate accounts. Annual reports. What to contain. Publication shall be uniform for every State department, office and institution, and for every county office and public account of the same class. The Auditor General is hereby required and directed to proceed to carry out the requirements of this section immediately following the date this act takes effect. SEC. 2. Said system shall embrace accounts showing all sources of income, the amounts due, collected and received from each source, the amount expended for each purpose, bills and accounts payable; the receipt, use and disposition of other public property and the income, if any, derived therefrom. Said system shall also embrace accounts which shall show for each industry conducted by any institution or department of the State government the unit cost of operation and shall be in such form as shall exhibit actual detailed financial results of each industrial activity. Said system shall embrace such other forms of accounts as the Auditor General may deem wise and essential to efficient financial administration of public affairs pertaining to the State and county governments. SEC. 3. A separate account shall be kept of each appropriation, or fund, made to or received by each department, institution and office of the State government, and by each county office, which shall show the date and manner of each payment therefrom, the name and address of the person or association of persons to whom paid, and for what purpose paid. SEC. 4. It shall be the duty of each department, institution and office of the State government, and each county office, to make an annual financial report in accordance with forms prescribed by the Auditor General which shall be uniform for all accounts of the same class. Said reports shall be made in duplicate, one copy of which shall, within thirty days after the close of each fiscal year, be filed in the office of the Auditor General and one copy with the Governor, and shall contain an accurate statement in summarized form showing, for each fiscal year ending June thirty, the amount of all collections and receipts from all sources, and their disposition, all accounts due the public treasury but not collected, the amount of expenditures for every purpose and by what authority authorized, the amount of indebtedness, the cost of operation of all industrial activities and financial results obtained therefrom, balance of funds on hand at the close of each fiscal period, together with such other information as may be required by the Auditor General. The substance of these reports shall be arranged by the Auditor General and published at the expense of the State in an annual volume of comparative statistics, and shall be in such supervision examination. Chief auditor, and assistant form as shall show the comparative receipts from the various sources of revenue and the comparative costs of the several branches of the State and county governments. A sufficient Distribution. number of copies of said volume shall be published to furnish a copy to each member of the legislature, a copy to each State department, institution and office, a copy to each county office, and two hundred copies for general distribution. SEC. 5. The Auditor General shall hereafter be the super- Accounts. visor of the accounts of all State departments, institutions of. and offices, and of all county offices. He shall have the power, and he is hereby directed, to examine, or cause to be examined, the books, accounts and financial affairs of each department, institution and office of the State government, and of each county office. Such examination shall be made Yearly at least once in each year, or as often as in the judgment of the Auditor General it shall be for the public good. The Auditor General is hereby authorized to employ a chief auditor, and not to exceed nine additional assistant examiners, if necessary to properly and efficiently administer the provisions of this act; the compensation of the chief auditor Compensashall be three thousand dollars per annum; the compensation of the additional examiners shall be two thousand dollars per annum. In addition to such compensation, they shall be Expenses. paid their necessary traveling expenses, which compensation and expenses, when audited and approved by the Auditor General, shall be paid by the State Treasurer out of the fund appropriated for that purpose, upon warrant of the proper officer. The Auditor General and the deputy Auditor General shall receive their actual traveling expenses incurred while engaged in administering the provisions of this act, which shall be paid by the State Treasurer out of the funds appropriated for that purpose, upon warrant of the Auditor General. examiners. tion. SEC. 6. Upon demand of the Auditor General, deputy Examination Auditor General, or any person duly appointed by the Auditor of accounts. General, to make the examinations herein provided, it shall be the duty of any and all officers of the State and county governments to produce, for examination, the books of account and papers of their respective departments, institutions and offices, and to truthfully answer all questions relating thereto. In connection with such examinations, the Subpoenas. Auditor General, deputy Auditor General, or any person designated to make such examinations, may issue subpoenas, direct the service thereof by any police officer, and compel the attendance and testimony of witnesses, may administer oaths and examine such persons as may be necessary, and may compel the the production of books and papers. The Enforcement orders and subpoenas issued by the Auditor General, deputy of. Auditor General, or by any person charged with the duty of Report of examination. Additional required. Criminal making the examinations herein provided, in pursuance of the authority in them vested by provisions of this section, may be enforced upon their application to any circuit court by proceedings in contempt therein, as provided by law. SEC. 7. A report shall be made, in duplicate, of each examination made in accordance with the provisions of this act. Said duplicate report shall be signed and verified by the officer making the examination, one copy of which shall be filed in the office of the Auditor General and one copy with the executive officer of the department, institution or office examined. If any such examination discloses malfeasance, report, when misfeasance, nonfeasance or gross neglect of duty on the part of any officer or employe of any department, institution, or office of the State government, or on the part of any officer or employe of any county office, for which a criminal penalty is provided by law, an additional copy of such report shall be made and filed with the Attorney General, whose duty it shall be, within sixty days after receipt of such report, to institute criminal proceedings against such officer or employe, or direct that such criminal proceedings be instituted by the prosecuting attorney of the county in which the offense was Civil actions. committed. It shall also be the duty of the Attorney General, or the prosecuting attorney, as the case may be, to institute civil action in any court of competent jurisdiction for the recovery of any public moneys, disclosed by any such examinations to have been illegally expended, or collected and not accounted for; also for the recovery of any public property disclosed to have been converted and misappropriated. Refusal or neglect to comply with the requirements of this section on the part of the Attorney General, or on the part of the prosecuting attorney of any county in the State, shall be sufficient cause for his removal from office by the Governor. proceedings. Noncompliance. Executive SEC. 8. It is hereby made the duty of the executive officers officers, duty. of each State department, institution and office, and the executive officer of each county office, to adopt and use the books, forms, records and systems of accounting and reporting, prescribed by the Auditor General and to promptly purchase such books, forms and records as may be necessary thereto, in the manner now provided by law for the purchase of such articles. Refusal or neglect on the part of any officer of any branch of the State government, or any county officer, to provide such books, forms or records, or to use them, or to make the reports required by this act, or keep the accounts of his office as directed by the Auditor General, shall be sufficient cause for his removal from office by the Governor. Failure to comply. Removal from office. SEC. 9. The Governor shall have the power, and he is hereby directed upon a finding of guilt, to remove from office the officer of any branch of the State government, or county |