Governmental Resources - Oregon Society of CPAs

The following governmental resources are brought to you by the OSCPA Governmental Accounting and Auditing Strategic Committee.

Municipal Corporations: Minimum Standards for Agreed Upon Procedures (AUPs)

The Oregon Secretary of State, Audits Division publishes and periodically updates the Minimum Standards for Agreed-Upon Procedures of Oregon Municipal Corporations. Municipal Auditors in Oregon are required to comply with the requirements set forth in these Minimum Standards. It should also be noted that it is the responsibility of the users to determine if the publication is current and the procedures included are accurate and complete.

The Governmental Accounting & Auditing Strategic Committee of the Oregon Society of CPAs is providing the following resources. The committee makes no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, or suitability of the resources herein. The objective is to provide accountants with guidance, and a starting point, but should not be considered a replacement for professional judgment.

Professional standards require an engagement letter, or other suitable form of written agreement, and written representations be requested from management. See requirements for agreed-upon procedures related to compliance or internal control over compliance within AT-C Section 215 and AT-C Section 315.

The following are available for download:

For additional Agreed Upon Procedures guidance and FAQs, please visit: https://sos.oregon.gov/audits/Documents/AUP-guidance-Q-A.pdf

Admittance Process for the Municipal Roster

Looking to get on the Oregon Board of Accountancy’s Municipal Roster?

As part of the admittance process for the Municipal Roster, CPE is required and is in six key areas:

Audits of state and local government units - Courses eligible for credit will focus on auditing standards generally accepted in the United States of America (GAAS) in a governmental environment with consideration to planning; risk assessment; methods to audit unique governmental activities, transactions and balances; and related independent auditor reports. Courses eligible for credit in this category will focus on audits of financial statements rather than on federal programs. (Note: fraud topics do not generally qualify)
Governmental accounting and financial reporting standards - Courses eligible for credit will focus on accounting principles generally accepted in the United States of America (GAAP) and financial statements as allowed/required under standards promulgated by the GASB for governmental entities. Courses will focus on accounting in a government environment, including preparation of governmental financial statements and ACFRs.
GAGAS - Courses eligible for credit will cover audits conducted in accordance with Generally Accepted Governmental Auditing Standards (GAGAS). These standards are also referred to as the “Yellow Book”. Courses in this area will focus on application of, and compliance with general, fieldwork (including documentation), and reporting standards as contained in GAGAS, as well as attestation, performance audit and other standards therein.
Audits of federal programs including OMB Uniform Guidance and other authoritative sources - Courses eligible for credit will focus on how to perform an audit of Federal programs under current, authoritative guidance. Topics may include planning, risk assessment, understanding applicable compliance requirements, internal controls over compliance, and compliance auditing and reporting as they relate to the audits of Federal programs.
- Courses that are specific to a particular type of compliance audit such as HUD or hospitals may not be eligible for credit; applicants must demonstrate that the course provides a basic or intermediate understanding of Federal program requirements.
Oregon Local Budget Law - Applicants must complete the OSCPA sponsored course on Oregon Revised Statutes and Administrative Rules governing the requirements of audits of Oregon Municipal Corporations and Local Budget Law.
Minimum standards of audits and reviews of Oregon municipal corporations - Applicants must complete the OSCPA sponsored course on Oregon Revised Statutes and Administrative Rules governing the requirements of audits of Oregon Municipal Corporations and Local Budget Law.

Courses for admission must be classified as Basic (level 1) or Intermediate (level 2) or Introductory. This is to be used as a guideline for determining training to meet Oregon Board of Accountancy Municipal Roster admission requirements. The Oregon Board of Accountancy does not pre-approve courses.

You will need to list the courses you attended in the two year period immediately preceding your application showing you have completed 40 hours of Basic (Level 1) and/or Intermediate (Level 2) continuing education in the above subjects with at least four (4) hours in each subject.

Note: The program titles are provided only as a guide for consideration in fulfilling the municipal roster application requirements. It is not intended to be an inclusive list of eligible courses, nor is it intended to identify the number of qualifying hours by subject. The applicant will need to determine the number of hours from each CPE course that fulfill the objectives of the six subjects included in the application. The hours allocation will need to be supported by the course objectives, outline, or course materials. It is up to the applicant to demonstrate that the minimum required number of hours of CPE has been obtained in each subject matter.

For more information about the Oregon Municipal Auditors program, click here or contact the Oregon Board of Accountancy at 503-378-2262.

Municipal Audit and Local Government Resources

Oregon Secretary of State's Municipal Audit and Local Government Resources. This site helps promote transparency and accountability, resources, and guidance related to Municipal Audit Law. Oregon law requires local governments to file annual financial reports and other items to the Secretary of State Audits Division. Audits of local governments in Oregon are required to be completed by an Oregon Municipal Auditor who is included on the Oregon Board of Accountancy's Municipal Auditor Roster.

The Municipal Audit and Local Government Resource page can be found here.
Information about the Oregon Municipal Auditors program can be found here.

Subscribe to email news related to Municipal Audit Law and view past municipal alerts by submitting your email address in the submission form at Oregon Municipal Audit Division Alerts.

You can also sign up to receive email notices when the Audits Division releases an audit report.

Municipal Alerts are typically infrequent and occur on an as needed basis, rather than a particular schedule. The messages pertain to municipal audit law reminders, pertinent information, changes in law, notice of new forms, or changes in process

Subscribe to Oregon Department of Revenue Listserv for Oregon Local Budget Law Information

Join Oregon's Local Budget Law listserv

http://listsmart.osl.state.or.us/mailman/listinfo/localbudget – This list contains training announcements, special notices to taxing districts, summaries of changes in statute and other material related to Oregon's Local Budget Law. The intended audience includes budget officers, budget committee members, and members of the governing bodies of municipal corporations who must comply with Local Budget Law.

OPERS GASB 68 Disclosure Information

Useful Resources for All Years

Ninth Year Resources (2023)

Ninth Year (2023) City of Independence documents used to create adjustments, RSI and notes:

Eighth Year Resources (2022)

Eighth Year (2022) City of Cascade Locks documents used to create adjustments, RSI and notes:

Seventh Year Resources (2021)

Seventh Year (2021) City of Cascade Locks documents used to create adjustments, RSI and notes:

Sixth Year Resources (2020)

Sixth Year (2020) City of Cascade Locks documents used to create adjustments, RSI and notes:

Fifth Year Resources (2019)

Fifth Year (2019) City of Cascade Locks documents used to create adjustments, RSI and notes:

Fourth Year Resources (2018)

Fourth Year (2018) City of Cascade Locks documents used to create adjustments, RSI and notes:

Third Year Resources (2017)

Third Year (2017) City of Cascade Locks documents used to create adjustments, RSI and notes:

3rd Year (2017) Cascade Locks GASB 68 Example Note Disclosure with Source Documents
3rd Year (2017) Cascade Locks GASB 68 Example Note Disclosure
3rd Year (2017) GASB 68 PERS Journal Entries & Schedule Template

Second Year Resources (2016)

Second Year (2016) City of Hermiston documents used to create adjustments, RSI and notes:

2nd Year (2016) Hermiston GASB 68 Example Note Disclosure with Source Documents
2nd Year (2016) Hermiston GASB 68 Example Note Disclosure
2nd Year (2016) GASB 68 PERS Journal Entries & Schedule Template
2nd Year (2016) GASB 68 Instructions for City of Hermiston example
2nd Year (2016) Hermiston GASB 68 Employer Schedule

First Year Resources (2015)

First Year (2015) City of Hermiston documents used to create adjustments, RSI and notes:

1st Year (2015) Hermiston GASB 68 Example Note Disclosure with Source Documents
1st Year (2015) Hermiston GASB 68 Example Note Disclosure
1st Year (2015) GASB 68 PERS Journal Entries & Schedule Template
1st Year (2015) GASB 68 Instructions for City of Hermiston example
1st Year (2015) Hermiston GASB 68 Employer Schedule

First Year Implementation Resources (2015)

TriMet Report of Independent Auditors and Financial Statements with Supplementary Information June 30, 2015 and 2014

These examples are for informational purposes only and is not legal or accounting advice. Although these materials may have been prepared by professionals, they should not be used a substitute for professional services. If legal, accounting, or other professional advice is required, the services of a professional should be sought.

While all attempts are made to keep the information up to date and correct, the OSCPA Governmental Accounting & Auditing Strategic Committee makes no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, suitability or availability with respect to the information. Any reliance you place on such information is therefore strictly at the reader's own risk.

If you have questions or find errors, please contact us at profdev@orcpa.org or 503-641-7200 / 800-255-1470, ext. 3.

Municipal Corporations: Suggested Audit Guidance and Disclosures for Minimum Standards for Audits

Updated September 2018: The Oregon Secretary of State, Division of Audits publishes and periodically updates the Minimum Standards for Audits of Oregon Municipal Corporations. Municipal Auditors in Oregon are required to comply with the requirements set forth in these Minimum Standards. It should also be noted that it is the responsibility of the users to determine if the publication is current.

The Governmental Accounting and Auditing Strategic Interest Committee of the Oregon Society of CPAs is providing the following suggested audit guidance and disclosures for each requirement of the Minimum Standards. The committee makes no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, or suitability of the program and procedures herein. The objective is to provide auditors with guidance, and a starting point, but should not be considered a replacement for professional judgment. Representatives of the Oregon Secretary of State, Audits Division have reviewed this document and provided input, however, the document should not be considered authoritative or all-inclusive.

Download the suggested audit guidance and disclosures for:

If you have questions or find errors, please contact the Professional Development team at 503-641-7200 / 800-255-1470, ext. 3.

Municipal Corporations: Suggested Guidance Report for Minimum Standards for Audits of Oregon Municipal Corporations

The Governmental Accounting and Auditing Strategic Committee is providing this suggested report (Word document) for the requirements of the Minimum Standards.

Independent Auditor's Report
Required by Oregon State Regulations

We have audited the basic financial statements of the [name of entity] as of and for the year ended June 30, 20xx, and have issued our report thereon dated December 31, 20xx. We conducted our audit in accordance with auditing standards generally accepted in the United States of America.[1]

Compliance

As part of obtaining reasonable assurance about whether the [name of entity's] financial statements are free of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grants, including the provisions of Oregon Revised Statutes as specified in Oregon Administrative Rules 162-10-000 through 162-10-320 of the Minimum Standards for Audits of Oregon Municipal Corporations, noncompliance with which could have a direct and material effect on the determination of financial statements amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion.

We performed procedures to the extent we considered necessary to address the required comments and disclosures which included, but were not limited to the following: [2]

Deposit of public funds with financial institutions (ORS Chapter 295).
Indebtedness limitations, restrictions and repayment.
Budgets legally required (ORS Chapter 294).
Insurance and fidelity bonds in force or required by law.
Programs funded from outside sources.
Highway revenues used for public highways, roads, and streets.
Authorized investment of surplus funds (ORS Chapter 294).
Public contracts and purchasing (ORS Chapters 279A, 279B, 279C).
State school fund factors and calculation.

In connection with our testing nothing came to our attention that caused us to believe the [entity] was not in substantial compliance with certain provisions of laws, regulations, contracts, and grants, including the provisions of Oregon Revised Statutes as specified in Oregon Administrative Rules 162-10-000 through 162-10-320 of the Minimum Standards for Audits of Oregon Municipal Corporations [except as follows]: [3]

OAR 162-10-0230 Internal Control

In planning and performing our audit, we considered the [entity's] internal control over financial reporting as a basis for designing our auditing procedures for the purpose of expressing our opinion on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the [entity's] internal control over financial reporting. Accordingly, we do not express an opinion on the effectiveness of the [entity] internal control over financial reporting.[4][5]

This report is intended solely for the information and use of the board of directors/council members/commissioners and management of [name of entity] and the Oregon Secretary of State and is not intended to be and should not be used by anyone other than these parties.

[firm signature]

[date]

___________________________________________________________________________________________________

[1] If applicable, include Government Auditing Standards

[2] List should be tailored to reflect actual procedures

[3] If performing the audit under GAS the auditor may reference the reader to a schedule of findings and responses

[4] From this point forward we recommend using illustrative language by the AICPA for GAS (Yellow Book) reports.

[5] This section of the report is where the auditor may reference to a separately issued management letter.