Bill > HB22

This bill modifies the existing law regarding financial audits for Class IV municipalities (which are typically smaller cities) by removing previous restrictions on hiring accountants for municipal audits. Specifically, the bill eliminates the prior requirement that the same certified public accountant cannot conduct an audit for more than three consecutive fiscal years, thereby giving municipalities more flexibility in selecting and retaining auditors. The bill maintains the existing requirement that at the end of each fiscal year, the city council must have the city's books and accounts audited by a reputable, disinterested certified public accountant, and that a summary of the annual audit report must be published in a local newspaper. The mayor remains responsible for preparing detailed statements of city receipts and expenses and submitting the audit report to the city council at its first meeting after the report's completion. The changes will take effect on October 1, 2026, providing municipalities with ample time to prepare for the new guidelines.

Government Affairs

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