9-481. Audits of cities and towns
A. The governing body of each incorporated city or town shall cause an audit to be
made by a certified public accountant or public accountant who is currently licensed by
the Arizona state board of accountancy and who is not an employee of the city or town.
Audits shall be made for each fiscal year for all incorporated cities. Audits shall be
made at least once for every two fiscal years for all incorporated towns, and the audit
shall include financial transactions during both fiscal years.
B. The audit and the audit report shall include all of the accounts and funds of
the city or town, including operating, special, utility, debt, trust, pension, and all
other money or property for which the city or town, or any department or officer of the
city or town, is responsible either directly or indirectly. The audits shall be made in
accordance with generally accepted auditing standards. The consequent audit report shall
contain financial statements that are in conformity with generally accepted municipal
accounting principles and shall set forth the financial position and results of the
operations for each fund and account of the city or town. The audit report shall also
include the following:
1. The professional opinion of the accountant or accountants with respect to the
financial statements or, if an opinion cannot be expressed, a declaration of the reasons
an opinion cannot be expressed.
2. Beginning with fiscal year 2003-2004, a determination as to whether highway user
revenue fund monies received by the city or town pursuant to title 28, chapter 18,
article 2 and any other dedicated state transportation revenues received by the city or
town are being used solely for the authorized transportation purposes.
C. The audit shall begin as soon as possible after the close of the fiscal year
although interim auditing may be performed during the year or years under audit. The
audit shall be completed and the final audit report shall be submitted within six months
after the close of the fiscal year or years audited.
D. Not less than three copies of the audit report shall be signed by the auditor
and filed with the city or town. The city or town shall immediately make one copy of the
report a public record which shall be open to the public for inspection and one copy
shall be deposited with the Arizona state library, archives and public records.
|