Skip to main content Skip to office menu Skip to footer
Capital IconMinnesota Legislature

Office of the Revisor of Statutes

Key: (1) language to be deleted (2) new language

                             CHAPTER 27-H.F.No. 305 
                  An act relating to local government; clarifying 
                  provisions for financial audits in certain 
                  circumstances; amending Minnesota Statutes 1994, 
                  sections 367.36, subdivision 1; 412.02, subdivision 3; 
                  and 412.591, subdivision 2. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
           Section 1.  Minnesota Statutes 1994, section 367.36, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [INCUMBENT TREASURER; ANNUAL RANDOM AUDIT.] 
        In a town in which option D is adopted, the incumbent treasurer 
        shall continue in office until the expiration of the term.  
        Thereafter the duties of the treasurer prescribed by law shall 
        be performed by the clerk who shall be referred to as the 
        clerk-treasurer.  If the offices of clerk and treasurer are 
        combined and the town's annual revenue is more than $100,000, 
        the town board shall provide for an annual audit of the town's 
        financial affairs by the state auditor or a public accountant in 
        accordance with minimum audit procedures prescribed by the state 
        auditor.  If the offices of clerk and treasurer are combined and 
        the town's annual revenue is $100,000 or less, the town board 
        shall provide for an audit of the town's financial affairs by 
        the state auditor or a public accountant in accordance with 
        minimum audit procedures prescribed by the state auditor at 
        least once every five years, which audit shall be for a one-year 
        period to be determined at random by the person conducting the 
        audit.  Upon completion of an audit by a public accountant, the 
        public accountant shall forward a copy of the audit to the state 
        auditor.  For purposes of this subdivision, "public accountant" 
        means a certified public accountant, a certified public 
        accounting firm, or a licensed public accountant, all licensed 
        by the board of accountancy under sections 326.17 to 326.23. 
           Sec. 2.  Minnesota Statutes 1994, section 412.02, 
        subdivision 3, is amended to read: 
           Subd. 3.  In cities operating under the standard plan of 
        government the council may by ordinance adopted at least 60 days 
        before the next regular city election combine the offices of 
        clerk and treasurer in the office of clerk-treasurer, but such 
        an ordinance shall not be effective until the expiration of the 
        term of the incumbent treasurer or when an earlier vacancy 
        occurs.  After the effective date of the ordinance, the duties 
        of the treasurer and deputy treasurer as prescribed by this 
        chapter shall be performed by the clerk-treasurer or a duly 
        appointed deputy.  The offices of clerk and treasurer may be 
        reestablished by ordinance.  If the offices of clerk and 
        treasurer are combined as provided by this section and the 
        city's annual revenue for all governmental and enterprise funds 
        combined is more than $100,000, the council shall provide for an 
        annual audit of the city's financial affairs by the state 
        auditor or a public accountant in accordance with minimum 
        auditing procedures prescribed by the state auditor.  If the 
        offices of clerk and treasurer are combined and the city's 
        annual revenue for all governmental and enterprise funds 
        combined is $100,000 or less, the council shall provide for an 
        audit of the city's financial affairs by the state auditor or a 
        public accountant in accordance with minimum audit procedures 
        prescribed by the state auditor at least once every five years, 
        which audit shall be for a one-year period to be determined at 
        random by the person conducting the audit. 
           Sec. 3.  Minnesota Statutes 1994, section 412.591, 
        subdivision 2, is amended to read: 
           Subd. 2.  Cities operating under Optional Plan A may, by an 
        ordinance effective after the expiration of the term of the 
        incumbent treasurer at the date of adoption of Optional Plan A, 
        combine the offices of clerk and treasurer in the office of 
        clerk-treasurer and thereafter the duties of the treasurer as 
        prescribed by this chapter shall be performed by the 
        clerk-treasurer.  The offices of clerk and treasurer may be 
        reestablished by ordinance.  If the offices of clerk and 
        treasurer are combined as provided by this section, and the 
        city's annual revenue for all governmental and enterprise funds 
        combined is more than $100,000, the council shall provide for an 
        annual audit of the city's financial affairs by the state 
        auditor or a public accountant in accordance with minimum 
        procedures prescribed by the state auditor.  If the offices of 
        clerk and treasurer are combined and the city's annual revenue 
        for all governmental and enterprise funds combined is $100,000 
        or less, the council shall provide for an audit of the city's 
        financial affairs by the state auditor or a public accountant in 
        accordance with minimum audit procedures prescribed by the state 
        auditor at least once every five years, which audit shall be for 
        a one-year period to be determined at random by the person 
        conducting the audit. 
           Sec. 4. [EFFECTIVE DATE.] 
           This act is effective the day after final enactment. 
           Presented to the governor March 27, 1995 
           Signed by the governor March 29, 1995, 1:02 p.m.