REFERENCE TITLE: charter schools; audit requirements

 

 

 

State of Arizona

Senate

Fifty-fourth Legislature

First Regular Session

2019

 

 

SB 1409

 

Introduced by

Senators Quezada: Dalessandro, Mendez, Peshlakai, Rios; Representative Andrade

 

 

AN ACT

 

amending Title 15, chapter 1, article 8, Arizona Revised Statutes, by adding section 15-189.06; relating to charter schools.

 

 

 

(TEXT OF BILL BEGINS ON NEXT PAGE)

 


Be it enacted by the Legislature of the State of Arizona:

Section 1.  Title 15, chapter 1, article 8, Arizona Revised Statutes, is amended by adding section 15-189.06, to read:

START_STATUTE15-189.06.  Charter school audits; requirements

An audit of a charter school that is conducted pursuant to this title shall:

1.  follow a standard format that requires detailed and supporting information on assets and liabilities, revenues and expenditures and related party expenses.

2.  be conducted by an auditor who is located in this state and who has demonstrated expertise in the laws of this state.

3.  be conducted by an auditor who is on a list of acceptable auditors established and maintained by the state board for charter schools that uses data extracted from audits to determine which auditors are currently providing acceptable levels of information.  The state board for charter schools shall update this list annually.

4.  be completed individually for each charter entity.  a Consolidated Audit may be prepared collating data required pursuant to this paragraph.

5.  Be completed INDIVIDUALLY for each charter school separate from any larger entity that includes that charter school.  a Consolidated Audit may be prepared collating data required pursuant to this paragraph.

6.  include Audit reports that are numerically identical to what is provided in internal revenue service form 990 and associated annual financial reports.  Any inconsistency must be explained in the audit with specific plans on how the subject of the audit intends to remedy the inconsistency in the future.  END_STATUTE