State agencies (existing): generally; plans to correct audit recommendations; require notification to the legislature if the executive branch fails to prepare. Amends secs. 462 & 487 of 1984 PA 431 (MCL 18.1462 & 18.1487).

SB 754 requires Michigan state agencies to submit written plans within 60 days after completing an audit to address audit recommendations. It also mandates that agency heads report serious problems (like fraud or major deficiencies) to department heads within 60 days, who must then submit correction plans to the state budget director. If agencies fail to submit these plans, the state budget director must notify relevant legislative committees, oversight bodies, and the auditor general. The bill directly affects all state agencies and their leadership by creating clear timelines and accountability mechanisms for addressing audit findings and serious operational issues.