22 U.S.C. § 3723 — Audits

Page 1401 TITLE 22—FOREIGN RELATIONS AND INTERCOURSE § 3723 1990—Pub. L. 101–510, § 3507(1), struck out ‘‘Upon the termination of the Panama Canal Commission:’’ before subsec. (a). Subsec. (a). Pub. L. 101–510, § 3507(2), substituted ‘‘Upon the termination of the Panama Canal Commis- sion, the Secretary of Labor’’ for ‘‘The Secretary of Labor’’ and struck out at end ‘‘The Secretary of the Treasury shall, in accordance with such final deter- mination, transfer from the Fund to the Employee Compensation Fund amounts sufficient to meet ex- penditures for workers compensation benefits and other payments described in section 3715a(a) of this title.’’ Subsec. (b). Pub. L. 101–510, § 3507(3), inserted ‘‘under subsection (a)’’ after ‘‘Secretary of Labor’’ and struck out ‘‘Employees Compensation’’ before ‘‘Fund to make up’’. Subsec. (c). Pub. L. 101–510, § 3507(4), added subsec. (c). Statutory Notes and Related Subsidiaries EFFECTIVE DATE Section effective Oct. 1, 1988, see section 10 of Pub. L. 100–705, set out as an Effective Date of 1988 Amendment note under section 3612 of this title. § 3715d. Continuation of benefits The provisions of chapter 81 of title 5 shall, on or after October 1, 1988, continue to be the exclu- sive remedy, in accordance with section 8116 of such title, for the disability or death of any em- ployee of the Panama Canal Commission, or any of its predecessor agencies, who is covered under such chapter, resulting from injuries sustained while in the performance of the employee’s duty. The rights of any such employee for work- ers’ compensation benefits shall be based only on the provisions of that chapter. (Pub. L. 100–705, § 6, Nov. 19, 1988, 102 Stat. 4686.) Editorial Notes CODIFICATION Section was enacted as part of the Panama Canal Commission Compensation Fund Act of 1988, and not as part of the Panama Canal Act of 1979 which comprises this chapter. Statutory Notes and Related Subsidiaries EFFECTIVE DATE Section effective Oct. 1, 1988, see section 10 of Pub. L. 100–705, set out as an Effective Date of 1988 Amendment note under section 3612 of this title. SUBPART II—ACCOUNTING POLICIES AND AUDITS § 3721. Accounting policies (a) Establishment and maintenance of accounts; specifications The Commission shall establish and maintain its accounts pursuant to chapter 91 of title 31 and the provisions of this part. Such accounts shall specify all revenues received by the Com- mission, including tolls for the use of the Pan- ama Canal, expenditures for capital replace- ment, expansion, and improvement, and all costs of maintenance and operation of the Pan- ama Canal and of its complementary works, in- stallations, and equipment, including deprecia- tion, payments to the Republic of Panama under the Panama Canal Treaty of 1977, and interest on the investment of the United States cal- culated in accordance with section 3793 of this title. (b) Regulations establishing the basis of account- ing for assets The Commission may issue regulations estab- lishing the basis of accounting for the assets which are made available for the use of the Com- mission. Such regulations may provide for de- preciation of the net replacement value of the assets which will ultimately require replace- ment to maintain the service capacity of the Panama Canal. Such regulations may also pro- vide that depreciation of such assets be recorded ratably over their service lives. (Pub. L. 96–70, title I, § 1311, Sept. 27, 1979, 93 Stat. 479; Pub. L. 104–201, div. C, title XXXV, § 3541(a), Sept. 23, 1996, 110 Stat. 2866.) Editorial Notes AMENDMENTS 1996—Subsec. (a). Pub. L. 104–201 substituted ‘‘chapter 91 of title 31’’ for ‘‘the Accounting and Auditing Act of 1950 (31 U.S.C. 65 et seq.)’’. § 3722. Repealed. Pub. L. 104–66, title II, § 2201(a), Dec. 21, 1995, 109 Stat. 732 Section, Pub. L. 96–70, title I, § 1312, Sept. 27, 1979, 93 Stat. 479, related to annual reports to President and Congress. § 3723. Audits (a) Financial transactions of Commission; access to books, accounts, etc. Notwithstanding any other provision of law, and subject to subsection (c), financial trans- actions of the Commission shall be audited by the Comptroller General of the United States (hereinafter in this chapter referred to as the ‘‘Comptroller General’’). In conducting any such audit, the appropriate representatives of the Comptroller General shall have access to all books, accounts, financial records, reports, files, and other papers, items, or property in use by the Commission and necessary to facilitate such audit, and such representatives shall be afforded full facilities for verifying transactions with the balances or securities held by depositories, fiscal agents, and custodians. Any such audit shall first be conducted with respect to the fiscal year in which this chapter becomes effective. An audit performed under this section is subject to the requirements of paragraphs (2), (3), and (5) of section 9105(a) of title 31. (b) Omitted (c) Independent auditors At the discretion of the Board provided for in section 3612 of this title, the Commission may hire independent auditors to perform, in lieu of the Comptroller General, the audit and report- ing functions prescribed in subsections (a) and (b). (d) Examination and report on Commission’s fi- nancial forecast In addition to auditing the financial state- ments of the Commission, the Comptroller Gen- eral (or the independent auditor if one is em- ployed pursuant to subsection (c)) shall, in ac- cordance with standards for an examination of a financial forecast established by the American Page 1402 TITLE 22—FOREIGN RELATIONS AND INTERCOURSE § 3731 Institute of Certified Public Accountants, exam- ine and report on the Commission’s financial forecast that it will be in a position to meet its financial liabilities on December 31, 1999. (Pub. L. 96–70, title I, § 1313, Sept. 27, 1979, 93 Stat. 479; Pub. L. 104–106, div. C, title XXXV, § 3526(a), Feb. 10, 1996, 110 Stat. 640; Pub. L. 104–201, div. C, title XXXV, §§ 3541(b), 3546(a)(9), (b), Sept. 23, 1996, 110 Stat. 2867, 2868; Pub. L. 105–261, div. C, title XXXV, § 3512(a)(3), Oct. 17, 1998, 112 Stat. 2271.) Editorial Notes REFERENCES IN TEXT This chapter, referred to in subsec. (a), was in the original ‘‘this Act’’, meaning Pub. L. 96–70, Sept. 27, 1979, 93 Stat. 452, known as the Panama Canal Act of 1979, which is classified principally to this chapter. For complete classification of this Act to the Code, see Short Title note set out under section 3601 of this title and Tables. CODIFICATION Subsec. (b) of this section, which required the Comp- troller General, not later than six months after the end of each fiscal year, to submit to Congress a report of the audit conducted pursuant to subsec. (a) of this sec- tion, terminated, effective May 15, 2000, pursuant to section 3003 of Pub. L. 104–66, as amended, set out as a note under section 1113 of Title 31, Money and Finance. See, also, page 4 of House Document No. 103–7. AMENDMENTS 1998—Subsecs. (a), (b), (d). Pub. L. 105–261 substituted ‘‘subsection (c)’’ for ‘‘subsection (d)’’. 1996—Pub. L. 104–106, § 3526(a)(1), substituted ‘‘Audits’’ for ‘‘Audit by the Comptroller General of the United States’’ as section catchline. Subsec. (a). Pub. L. 104–201, § 3541(b), which directed substitution of ‘‘chapter 91 of title 31’’ for ‘‘the Ac- counting and Auditing Act of 1950 (31 U.S.C. 65 et seq.)’’, could not be executed because that phrase did not appear subsequent to amendment by Pub. L. 104–106, § 3526(a)(2)(B). See below. Pub. L. 104–106, § 3526(a)(2), substituted ‘‘Notwith- standing any other provision of law, and subject to sub- section (d), financial transactions’’ for ‘‘Financial transactions’’, struck out ‘‘pursuant to the Accounting and Auditing Act of 1950 (31 U.S.C. 65 et seq.)’’ after ‘‘as the ‘Comptroller General’)’’, substituted ‘‘conducting any such audit’’ for ‘‘conducting any audit pursuant to such Act’’ and ‘‘Any such audit shall first’’ for ‘‘An audit pursuant to such Act shall first’’, and inserted at end ‘‘An audit performed under this section is subject to the requirements of paragraphs (2), (3), and (5) of sec- tion 9105(a) of title 31.’’ Subsec. (b). Pub. L. 104–106, § 3526(a)(3), substituted ‘‘Subject to subsection (d) of this section, the Comp- troller General’’ for ‘‘The Comptroller General’’ in in- troductory provisions. Subsec. (c). Pub. L. 104–201, § 3546(b), redesignated sub- sec. (d) as (c). Pub. L. 104–201, § 3546(a)(9), struck out subsec. (c) which read as follows: ‘‘In conducting the audits and preparing the reports provided for in this section and in carrying out his other responsibilities pursuant to law, the Comptroller General shall, with respect to fiscal year 1980, take into account the problems inherent in converting the existing accounting system of the Pan- ama Canal Company to conform to the requirements established in section 3721 of this title. Accordingly, the Comptroller General shall take no adverse action with respect to the Commission, nor shall any violation of sections 1341, 1342, and 1349–1351 and subchapter II of chapter 15 of title 31 be considered to have taken place, so long as the Commission is in substantial compliance with the requirements of this chapter. The Comptroller General shall make such recommendations to the Com- mission and to the Congress as he may consider appro- priate to insure that full compliance with the financial controls provided for in chapter 91 of title 31 is achieved promptly.’’ Pub. L. 104–201, § 3541(b), substituted ‘‘chapter 91 of title 31’’ for ‘‘the Accounting and Auditing Act of 1950 (31 U.S.C. 65 et seq.)’’. Subsec. (d). Pub. L. 104–201, § 3546(b), redesignated subsec. (e) as (d). Former subsec. (d) redesignated (c). Pub. L. 104–106, § 3526(a)(4), added subsec. (d). Subsec. (e). Pub. L. 104–201, § 3546(b), redesignated sub- sec. (e) as (d). Pub. L. 104–106, § 3526(a)(4), added subsec. (e). SUBPART III—INTERAGENCY ACCOUNTS § 3731. Reimbursements (a) Reimbursement of the Employees’ Compensa- tion Fund, Bureau of Employees’ Compensa- tion, Department of Labor, and other Gov- ernment departments and agencies by Com- mission The Commission shall reimburse the Employ- ees’ Compensation Fund, Bureau of Employee’s Compensation, Department of Labor, for the benefit payments to the Commission’s employ- ees, and shall also reimburse other Government departments and agencies for payments of a similar nature made on its behalf. (b) Reimbursement of Commission by Depart- ment of Defense The Department of Defense shall reimburse the Commission for amounts expended by the Commission in maintaining defense facilities in standby condition for the Department of De- fense. (c) Designation of funds of Department of De- fense or any other department or agency of United States to carry out purposes of this subsection Notwithstanding any other provision of law, funds appropriated (for any fiscal year beginning after September 30, 1979) to or for the use of the Department of Defense, or to any other depart- ment or agency of the United States as may be designated by the President to carry out the purposes of this subsection, shall be available for— (1) conducting the educational and health care activities, including kindergartens and college, carried out by the Canal Zone Govern- ment and the Panama Canal Company before October 1, 1979, and (2) providing the services related thereto to the categories of persons to which such serv- ices were provided before October 1, 1979. Notwithstanding any other provision of law, the Department of Defense, or any department or agency designated by the President to provide health care services to those categories of per- sons referred to in this subsection, shall provide such services to such categories of persons on a basis no less favorable than that applied to its own employees and their dependents. (d) Reimbursement to departments or agencies furnishing services Amounts expended for furnishing services re- ferred to in subsection (c) of this section to per-