Fire Relief Association Audit Requirements – Part I
State law permits volunteer fire relief associations with assets and liabilities of less than $500,000, according to the previous year’s financial report, to submit certified, rather than audited, financial statements to the OSA. The certification must be signed by a certified public accountant or the state auditor in accordance with agreed-upon procedures and forms prescribed by the OSA. The certified public accountant must have at least five years of public accounting, auditing, or similar experience, and must not be an active, inactive, or retired member of the relief association or the fire department.
The certified financial statements must be countersigned by the appropriate municipal clerk or clerk-treasurer and presented to the municipal governing board for certification. The financial reporting form, which serves as the relief association’s detailed financial statements, must also be submitted to the OSA with a copy of the accountant’s report on applying the agreed-upon procedures.
The relevant statute is Minn. Stat. Section 424A.014.
Date this Avoiding Pitfall was most recently published: 6/3/2022