State Auditor's E-Update - 5/27/2022

1. Message from Auditor Blaha

2. Relief Associations: Legislative Update

3. TIF: Documenting Pay-As-You-Go Expenditures

4. Avoiding Pitfall: Fraud Prevention – The Perception of Detection

1. Message from Auditor Blaha

As I reflect on Memorial Day and what it symbolizes for our country, this quote from Elie Wiesel, a Holocaust survivor, human rights activist, and Nobel Peace Prize winner, sticks out to me:

"Without memory, there is no culture. Without memory, there would be no civilization, no society, no future."

This year on Memorial Day, let's all take a moment to remember those who have made the ultimate sacrifice for our county.

2. Relief Associations: Legislative Update

The 2022 Pension and Retirement Bill, which includes the State Auditor’s Volunteer Fire Relief Association Working Group legislation, was signed into law by Governor Walz.

The Office of the State Auditor will issue a legislative update this summer with an in-depth explanation of the law changes affecting relief associations.

The relief association changes may be found in Article 4 of Laws 2022, Chapter 65.

3. TIF: Documenting Pay-As-You-Go Expenditures

Many TIF districts have pay-as-you-go (PAYG) obligations in which the developer pays up-front costs and is reimbursed with tax increments. Those costs must be substantiated as TIF-eligible costs and documented. For more information, see the full TIF Topic: Documenting Pay-As-You-Go Expenditures.

If you have any questions, please contact us at TIF@osa.state.mn.us.

4. Avoiding Pitfall: Fraud Prevention – The Perception of Detection

Preventing fraud is generally less costly than trying to recover losses. One inexpensive, yet effective, fraud prevention measure is to increase the perception of detection. For example, internal controls are most effective at preventing fraud when they are known by those who may be tempted to steal from a public entity. This means being open about the fact that the entity is taking steps to prevent and detect fraud.

This Avoiding Pitfall is available on our website.