State Auditor's E-Update - 1/20/2023

1. Message from Auditor Blaha

2. Meeting: Fire Relief Association Working Group

3. Reminder: TIF Districts Decertification Requirements

4. Released: 2021 Town Finances Report

5. Due: 2022 Lobbying Costs Reporting by January 31, 2023

6. Due: 2022 Law Enforcement Agency Asset Forfeiture Reporting by January 31, 2023

7. Due: 2023 Summary City and County Budget Form by January 31, 2023

8. Released: CTAS 2023 Now Available through SAFES

9. Avoiding Pitfall: Documentation of Accounting Policies and Procedures

1. Message from Auditor Blaha

The Office of the State Auditor (OSA) is looking for a new Deputy State Auditor to join our team. If you are interested or know someone we should reach out to, please contact us at State.Auditor@osa.state.mn.us.

Interested applicants can find the full position description and application instructions on the OSA website.

2. Meeting: Fire Relief Association Working Group

The 2022-2023 Working Group held its last meeting on January 19. The Working Group finalized its legislative proposals for 2023, which include raising the asset threshold at which an annual audit is required, defining types of firefighters and updating firefighter references, and clarifying municipal ratification requirements for relief association benefit level changes.

Links to watch recordings of Working Group meetings and copies of meeting materials are posted on the Fire Relief Association Working Group page of the OSA website.

3. Reminder: TIF Districts Decertification Requirements

Many TIF districts reached their duration limit as of December 31, 2022, or may have been decertified in 2022 for other reasons. If you have such a district and haven't already done so, please complete the Confirmation of Decertified TIF District Form. This must be completed and submitted to the OSA within 90 days of the decertification. If you have any questions, please contact us at TIF@osa.state.mn.us.

To learn more, please review the Decertified TIF District Form Reminder TIF topic.

4. Released: 2021 Town Finances Report

The annual Town Finances Report, a comprehensive report on revenues, expenditures, and debt for Minnesota towns, has been released. This report analyzes town financial operations for the calendar year ended December 31, 2021. The 2021 Minnesota Town Finances report shows revenues, and debt service increased while expenditures decreased from 2020.

You can view the complete report, which includes an Executive Summary, graphs, and tables, on the OSA website.

The 2021 Minnesota town revenues and expenditures have been updated in the Comparison Tool. The Comparison Tool allows you to compare information for the same town for two different years, or to compare one town to another town.

5. Due: 2022 Lobbying Costs Reporting by January 31, 2023

The 2022 lobbying costs reporting forms are available for both local governments and local government associations. The forms may be found in the State Auditor’s Form Entry System (SAFES).

Instructions for the Lobbying Expenditure Reporting Form for Local Governments may be found on the OSA website.

Instructions for the Lobbying Expenditure Reporting Form for Local Government Associations may be found on the OSA website.

If you have questions or need assistance completing the form, please contact Mr. John Jernberg at (651) 297-3678 or e-mail John.Jernberg@osa.state.mn.us.

6. Due: 2022 Law Enforcement Agency Asset Forfeiture Reporting by January 31, 2023

Please remember to report all forfeitures with a 2022 final disposition to the Office of the State Auditor by January 31, 2023. Final disposition is when an action has been taken on the property (i.e., vehicle is sold, cash is distributed, property is returned to owner, etc.).

Reporting must be done using the online reporting tool available in SAFES.

Instructions for the Forfeiture Incident Reporting form may be found on the OSA website.

If your agency had no forfeitures with a 2022 final disposition, you will still need to login to SAFES, select the Forms tab, then the 2022 tab, and select the button labeled "I have not disposed or forfeited any property in 2022” by January 31, 2023. Entities with forfeitures to report for the year 2022 should NOT check this box.

If you have not used SAFES in the past and need a username and password, please e-mail your contact information including name, title, entity mailing address, and phone number to SAFES@osa.state.mn.us.

If you have questions or need assistance completing the form, please contact Ms. Christy John at (651) 297-3681 or e-mail Christy.John@osa.state.mn.us.

7. Due: 2023 Summary City and County Budget Form by January 31, 2023

The 2023 Summary City and County Budget Form is now available through SAFES.

The form is due by January 31, 2023. You will need a SAFES User ID and Password to access the Form. If you need a SAFES User ID and Password, please send an email to SAFES@osa.state.mn.us with your name, title, entity, public mailing address, email, and phone number.

Instructions on completing the form are located on the OSA website.

8. Released: CTAS 2023 Now Available through SAFES

We are pleased to announce that CTAS 2023 is now available through our State Auditor Form Entry System (SAFES).

If your entity purchased CTAS Version 8 or higher, there is no additional cost to download and use CTAS 2023.

CTAS 2023 includes some behind the scenes components that make CTAS run. The database (SQL) and report components (Crystal Reports) have been updated to the newest versions. CTAS 2023 also includes the ability to print 2022 1099-NEC and 1099-MISC forms, which have a slight format change from the previous year. Please see the Review Procedures for 2022 1099 forms using CTAS. The 2023 Federal and State Withholding Tax Tables are also included.

Additional details on the fixes and features may be found on the OSA Website.

Questions should be emailed to ctas@osa.state.mn.us.

All local units of government should document their accounting policies and procedures. This documentation is traditionally maintained in a written policy statement or manual (in paper or electronic form) which spells out the accounting policies and procedures that make up the entity’s internal control system. The detail and complexity of the documentation will depend on the size of the entity and its activities.

The full Avoiding Pitfall is available on the OSA website.