2.4.411    INCORPORATION BY REFERENCE OF VARIOUS STANDARDS, ACCOUNTING POLICIES, AND FEDERAL LAWS AND REGULATIONS

(1) The department adopts and incorporates by reference the Codification of Governmental Accounting and Financial Reporting Standards, updated through June 30, 2019, adopted by the Governmental Accounting Standards Board as the required standards for counties, cities, and towns, as provided by ARM 2.4.401.

(a) The standards incorporated by reference in (1) contain the generally accepted accounting principles to be followed by state and local governments and the financial reporting requirements to be utilized by those governments.

(b) The Codification of Governmental Accounting and Financial Reporting Standards adopted by reference in (1) may be obtained from the Governmental Accounting Standards Board, P.O. Box 5116, Norwalk, CT 06856-5116.

(2) The department adopts and incorporates by reference the Government Auditing Standards, 2011 and 2018 revisions, established by the Comptroller General of the United States, as provided by ARM 2.4.406.

(a) Government Auditing Standards incorporated by reference in (2) contain standards to be followed by an independent auditor in conducting financial audits of local government entities, including general standards, field work standards, and reporting standards.

(3) The department adopts and incorporates by reference the Federal Single Audit Act of 1984 as amended by the Single Audit Act Amendments of 1996 (P.L. 104-156) and Title 2 CFR Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), as published in the Federal Register, Volume 78, No. 248, as provided by ARM 2.4.405.

(a) The Federal Single Audit Act of 1984, as amended by the Single Audit Act Amendments of 1996 and the Title 2 CFR Part 200 (Uniform Guidance), provide audit requirements for ensuring that federal funds are expended properly and are used in compliance with federal requirements.

(b) The Federal Single Audit Act of 1984 as amended by the Single Audit Act Amendments of 1996 is codified as Chapter 75 of Title 31 of the United States Code. The code can be accessed at http://uscode.house.gov/.

(c) Title 2 CFR Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) can be accessed at https://www.gpo.gov/.

(4) The department adopts and incorporates by reference the standards established by the American Institute of Certified Public Accountants for agreed-upon procedures engagements, updated through June 30, 2019, as provided by ARM 2.4.410, available at https://www.aicpa.org/.

(a) These standards contain:

(i) conditions for engagement performance;

(ii) the subject matter and related assertions;

(iii) the nature, timing, and extent of procedures;

(iv) the presentation of the results of applying agreed-upon procedures to specific subject matter in the form of findings;

(v) reporting requirements; and

(vi) written representations.

 

History: 2-7-503, 2-7-504, 2-7-505, 2-7-506, MCA; IMP, 2-7-503, 2-7-504, 2-7-505, 2-7-506, MCA; NEW, 1992 MAR p. 1354, Eff. 7/1/92; AMD, 1994 MAR p. 2430, Eff. 8/26/94; AMD, 1997 MAR p. 1027, Eff. 6/24/97; TRANS, from Commerce & AMD, 2002 MAR p. 2649, Eff. 9/27/02; AMD, 2007 MAR p. 964, Eff. 7/6/07; AMD, 2011 MAR p. 2019, Eff. 9/23/11; AMD, 2019 MAR p. 2217, Eff. 12/7/19.