Register December 2013 No. 696
Chapter Tax 16
LOCAL FINANCIAL REPORTING
Tax 16.05 Audited financial report and schedules.
Tax 16.01
Tax 16.01 Purpose. The purpose of this chapter is to establish standards and procedures for the collection of financial information from towns, villages, cities and counties.
Tax 16.01 History
History: Cr.
Register, February, 1985, No. 350, eff. 3-1-85.
Tax 16.02
Tax 16.02 Scope. This chapter is applicable to all towns, villages, cities and counties with a population of 25,000 or more according to the latest population estimate made by the state department of administration pursuant to s.
16.96, Stats. Any town, village, city or county whose population declines below 25,000 after December 31, 1986 shall continue to be governed by this chapter.
Tax 16.02 History
History: Cr.
Register, February, 1985, No. 350, eff. 3-1-85.
Tax 16.03(1)
(1) “
General purpose financial statements"are those financial statements, including disclosure notes, necessary to fairly present financial position and operating results and changes in financial position of the proprietary fund types in conformity with generally accepted accounting principles. They are listed as follows:
Tax 16.03(1)(a)
(a) Combined balance sheet - all fund types and account groups.
Tax 16.03(1)(b)
(b) Combined statement of revenues, expenditures and changes in fund balances - all governmental fund types and similar trust funds.
Tax 16.03(1)(c)
(c) Combined statement of revenues, expenditures and changes in fund balances - budget and actual - general and special revenue fund types and similar governmental fund types for which annual budgets have been legally adopted.
Tax 16.03(1)(d)
(d) Combined statement of revenues, expenses and changes in retained earnings or equity - all proprietary fund types and similar trust funds.
Tax 16.03(1)(e)
(e) Combined statement of changes in financial position - all proprietary fund types and similar trust funds.
Tax 16.03(2)
(2) “Generally accepted accounting principles" means those governmental accounting and financial reporting principles promulgated by the governmental accounting standards board or its successor bodies.
Tax 16.03(3)
(3) “Generally accepted auditing standards" means those standards approved and adopted by the membership of the american institute of certified public accountants.
Tax 16.03(5)
(5) “Local government" means a town, village, city or county.
Tax 16.03(6)
(6) “Schedules" means a financial presentation used to provide detailed information supporting general purpose financial statements in conformity with the provisions of this chapter.
Tax 16.03 History
History: Cr.
Register, February, 1985, No. 350, eff. 3-1-85; correction in (2) made under s. 13.93 (2m) (b) 6., Stats.,
Register, March, 1989, No. 399.
Tax 16.04(1)
(1) The governing body of each local government subject to this chapter shall provide for and cause to be prepared the following schedules required by the department for administration of local aid programs and other reporting purposes.
Tax 16.04(1)(a)
(a) A schedule of revenues and expenditures - all governmental fund types and expendable trust funds.
Tax 16.04(1)(b)
(b) A schedule of revenues and expenses - all proprietary fund types and similar trust funds.
Tax 16.04(1)(c)
(c) A schedule of specified receipt, disbursement and other data.
Tax 16.04(2)
(2) The required schedules shall be prepared on the forms provided by the department and in accordance with instructions issued by the department.
Tax 16.04(3)
(3) The required schedules shall be filed with the department within the time specified under s.
86.303 (5) (c) or
(d), Stats. Information in the schedules shall be complete and accurate.
Tax 16.04(4)
(4) The expense of preparing the required schedules shall be the obligation of the local government for which the schedules were prepared.
Tax 16.04(5)
(5) Upon failure, refusal or neglect of any local government to file the required schedules in compliance with the provisions of this chapter, the department may prepare or cause to be prepared the required schedules at the expense of the local government. The department shall notify the local government of the daily charge for preparing the required schedules prior to the commencement of any work.
Tax 16.04(6)
(6) Receipt of an audited financial report and schedules submitted pursuant to
s. Tax 16.05 (4) (e) prior to the due date established by
sub. (3) will satisfy the requirements of this section.
Tax 16.05
Tax 16.05 Audited financial report and schedules. Tax 16.05(1)(1) The governing body of each local government subject to this chapter shall provide for and cause to be prepared an audited financial report of the financial status and activities of all funds of the local government and the schedules enumerated in
s. Tax 16.04 (1) accompanied by an auditor's report.
Tax 16.05(2)
(2) The audited financial report shall include the following:
Tax 16.05(2)(d)
(d) Combining statements by fund type for all fund types for which more than one fund is reported.
Tax 16.05(3)
(3) Schedules enumerated in
s. Tax 16.04 (1) shall be accompanied by an auditor's report on the supplemental information contained in those schedules. Certain amounts shown on the schedules enumerated in
s. Tax 16.04 (1) shall agree with or be reconciled to certain amounts reported in the general purpose financial statements,
sub. (2) (c) in accordance with instructions issued by the department.
Tax 16.05(4)(a)(a) The governing body of each local government subject to this chapter shall provide for and cause to be conducted an annual audit of all the funds and account groups of the local government.
Tax 16.05(4)(b)
(b) The annual audit shall be conducted in accordance with generally accepted auditing standards by either a certified public accountant licensed to practice in the state of Wisconsin; or by a licensed public accountant, licensed on or before December 31, 1970 by the Wisconsin accounting examining board.
Tax 16.05(4)(c)
(c) The auditor's report in the financial report required by
sub. (2) shall contain an unqualified opinion with respect to the combined financial statements taken as a whole, or if an unqualified opinion cannot be expressed, a qualified opinion, adverse opinion or a disclaimer of opinion together with an explanation of the reasons therefore. The auditor's report accompanying the schedules required by
sub. (3) shall contain an opinion as to whether the supplemental information submitted as schedules is fairly stated in all material respects in relation to the financial report's combined financial statements taken as a whole. The auditor's opinion, unqualified, qualified, adverse or a disclaimer, with respect to the supplemental information in the schedule shall be at least the equivalent of the auditor's opinion with respect to the combined financial statements in the financial report.
Tax 16.05(4)(d)
(d) The expense of audits required by
par. (a) shall be the obligation of the local government for which the audit is made.
Tax 16.05(4)(e)
(e) The local government shall submit together one copy of its audited financial report and schedules to the department within 30 days after its completion, but not later than July 31 of the year following the year for which the report and schedules were prepared.
