Arkansas Code
Subchapter 4 - Arkansas Legislative Audit
§ 10-4-403. Authority of Legislative Auditor

(a) The Legislative Auditor has the authority to perform an audit of any entity of the state, political subdivision of the state, or transaction relating to public funds and to prepare a written report of the audit to the Legislative Joint Auditing Committee and to the entity being audited.
(b)
(1) In addition, the Legislative Auditor has the authority to investigate documents, books, and records regarding receipt, expenditure, or disbursement of other funds if the Legislative Auditor determines, subject to approval of the Legislative Joint Auditing Committee or its executive committee, that the investigation of the documents, books, and records is necessary to verify any audit of an entity of the state or a political subdivision of the state or to investigate misappropriation of other funds.
(2)
(A) This section does not authorize or permit the Legislative Auditor to release information:
(i) When otherwise prohibited by law; or
(ii) Not subject to public inspection under the Freedom of Information Act of 1967, § 25-19-101 et seq., or other applicable law.

(B) All records, documents, correspondence, or other data of a person, foundation, nonprofit corporation, or any other entity holding other funds that would infringe upon the rights, privacy, or confidentiality of donors of private funds to the person, foundation, nonprofit corporation, or other entity are exempt from public disclosure when in the possession of the Legislative Auditor.
(C) Any working papers or other data relating to the donor information examined by the Legislative Auditor under this chapter are confidential and exempt from public disclosure.

(c) The Legislative Auditor may conduct any audit or investigation that in his or her judgment is proper and necessary to carry out the purpose and intent of this subchapter or to assist the General Assembly in the proper discharge of its duties.
(d)
(1) In conducting audits of entities of the state or political subdivisions of the state, the Legislative Auditor shall have access at all times to and have the authority to examine any record or documentation relating to transactions with these entities, regardless of the nature, custodian, or location of those records.
(2) However, in the investigation of documents, books, and records regarding receipt, expenditure, or disbursement of other funds, the Legislative Auditor must determine, subject to approval of the Legislative Joint Auditing Committee or its executive committee, that the investigation of the documents, books, and records is necessary to verify any audit of an entity of the state or a political subdivision of the state or to investigate misappropriation of other funds.

(e) The Legislative Auditor has the authority to require the aid and assistance of all officials, auditors, accountants, and other employees of each entity of the state or political subdivision of the state at all times in the inspection, examination, and audit of any books, accounts, transactions, financial statements, or any other pertinent records.
(f) In conducting audits of entities of the state or political subdivisions of the state or verifying transactions with the entities of the state or political subdivision of the state, and in the investigation of other funds, the Legislative Auditor has the authority to summon and issue subpoenas for the appearance of individuals or the production of documents or other records.
(g)
(1) The Legislative Auditor may make specific recommendations to the Legislative Joint Auditing Committee and the General Assembly for the amendment of existing laws or the passage of new laws designed to improve the functioning of entities of the state and political subdivisions of the state to the end that more efficient service may be rendered and the cost of government reduced.
(2) The Legislative Auditor shall not include in his or her recommendations to the General Assembly any recommendations as to the sources from which taxes shall be raised to meet the governmental expense.