74-8774. Audits; selection of firm. (a) (1) Beginning in calendar year 2019, and at least once every three years thereafter, there shall be conducted a security audit of the Kansas lottery. Any security audit conducted pursuant to this section shall include a comprehensive study and evaluation of all aspects of security in the operation of such state agency. The firm to conduct a security audit shall be selected and shall perform such audit work as provided in K.S.A. 74-8776 through 74-8779, and amendments thereto. The firm selected to perform a security audit shall be experienced in security procedures, including, but not limited to, computer systems and security. A contract to conduct such a security audit required by this subsection shall not be awarded until a background investigation is conducted by the executive director of the Kansas lottery on the person or firm selected to perform the audit. Such background investigation shall include: (A) The vendor to whom the contract is to be awarded; (B) all persons who own a controlling interest in such vendor; and (C) all applicable staff having involvement with the audit.
(2) For the purpose of conducting a security audit under this subsection, a person or a firm selected to perform the security audit shall not be limited to a legal entity permitted by law to engage in practice as a certified public accountant.
(b) Beginning in calendar year 2019, a financial-compliance audit shall be conducted annually on the accounts and transactions of the Kansas lottery and the Kansas lottery commission. The first financial-compliance audit shall examine the accounts and transactions for fiscal year 2019. The firm to conduct this audit work shall be selected as provided in K.S.A. 74-8776 and 74-8777, and amendments thereto. The audits required pursuant to this subsection shall be conducted in accordance with generally accepted governmental auditing standards, and shall be conducted as soon after the close of the fiscal year as practicable, but shall be completed no later than the deadlines as set forth in K.S.A. 74-8779, and amendments thereto.
History: L. 2018, ch. 89, ยง 1; May 24.
Structure Kansas Statutes
Chapter 74 - State Boards, Commissions And Authorities
74-8704 Executive director, powers.
74-8706 Executive director, duties.
74-8712 Lottery prize payment fund.
74-8713 Loans to lottery from state general fund.
74-8714 Law enforcement powers, certain employees.
74-8715 Assistant attorney general.
74-8716 Conflicts of interests; penalties.
74-8717 Forgery of lottery ticket; penalty.
74-8718 Unlawful sale of lottery ticket; penalty.
74-8719 Unlawful purchase of lottery ticket; penalty.
74-8721 Ticket sales exempt from sales tax.
74-8722 Lottery advertisements and promotions, minors.
74-8724 Veterans benefit lottery game; disposition of net profits.
74-8725 Use of minors to determine compliance with law, limitations.
74-8731 Multistate lottery; agreement; enactment.
74-8732 Same; state's representative.
74-8737 Lottery gaming facility; county election required; waiver.
74-8738 Certification of county election.
74-8739 Sale or service of alcohol permitted.
74-8740 Contracts to place electronic gaming machines at parimutuel licensee locations.
74-8745 Information and data disclosure procedures; certain information confidential.
74-8747 Net electronic gaming machine income; distribution.
74-8748 Kansas lottery commission; rules and regulations.
74-8752 Inspection; investigation; approval of advertising; annual audits; open records exception.
74-8753 Certain financing, tax abatement prohibited.
74-8754 Claims; state and state officials held harmless; insurance provisions.
74-8756 Wager, loan and credit restrictions; criminal penalties.
74-8757 Lottery gaming facilities; age restrictions.
74-8758 Racetrack gaming facility, lottery gaming facility wagering restrictions; penalties.
74-8759 Manipulating electronic gaming machine game or lottery facility game, penalty.
74-8760 Unlawful wagering; penalties.
74-8761 Gray machines prohibited; penalties.
74-8762 Restrictions on state and local officials and affiliated persons; penalties.
74-8763 Criminal history records check.
74-8764 Problem gambling; posting information signs; failure to post, penalty.
74-8765 Major procurement contract restrictions inapplicable.
74-8766 Expanded lottery receipts fund established; separate accounts for each facility.
74-8767 Live horse racing purse and live greyhound racing purse supplemental fund; authorized uses.
74-8768 Expanded lottery act revenues fund; authorized uses.
74-8770 Local government taxes prohibited.
74-8771 Transportation of gaming devices, exemption from federal act.
74-8772 Kansas racing and gaming commission; rules and regulations.
74-8773 Employment of officers and employees; unclassified service.
74-8774 Audits; selection of firm.
74-8775 Kansas lottery audit contract committee; membership.
74-8776 Audits; procurement of firm or firms to perform audit work.
74-8777 Same; selection of firm or firms; considerations.
74-8778 Same; contracts for audit work; requirements; responsibilities of selected firm.
74-8779 Same; performance of firm; written audit reports; duty of confidentiality.
74-8780 Sections part of and supplemental to the Kansas lottery act.