Minnesota Session Laws - 2004, Regular Session

                            CHAPTER 161-S.F.No. 2903 
                  An act relating to local government; increasing the 
                  threshold amount for towns required to have annual 
                  audits; amending Minnesota Statutes 2002, section 
                  471.697, subdivision 1. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
           Section 1.  Minnesota Statutes 2002, section 471.697, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [ALL OPERATIONS EXCEPT SOME HOSPITALS, 
        NURSING HOMES.] In any city with a population of more than 2,500 
        according to the latest federal census, or town with a 
        population of more than 2,500 according to the latest federal 
        census with an annual revenue of $500,000 (1) $670,500 or more 
        in 2004, or (2) $670,500 adjusted for inflation using the annual 
        implicit price deflator for state and local expenditures as 
        published by the United States Department of Commerce in 2005 
        and after, the city clerk, chief financial officer, town clerk, 
        or town clerk-treasurer shall: 
           (a) Prepare a financial report covering the city's or 
        town's operations including operations of municipal hospitals 
        and nursing homes, liquor stores, and public utility commissions 
        during the preceding fiscal year after the close of the fiscal 
        year.  Cities shall publish the report or a summary of the 
        report, in a form as prescribed by the state auditor, in a 
        qualified newspaper of general circulation in the city or, if 
        there is none, post copies in three of the most public places in 
        the city, no later than 30 days after the report is due in the 
        office of the state auditor.  The report shall contain financial 
        statements and disclosures which present the city's or town's 
        financial position and the results of city or town operations in 
        conformity with generally accepted accounting principles.  The 
        report shall include such information and be in such form as may 
        be prescribed by the state auditor; 
           (b) File the financial report in the clerk's or financial 
        officer's office for public inspection and present it to the 
        city council or town board after the close of the fiscal year.  
        One copy of the financial report shall be furnished to the state 
        auditor after the close of the fiscal year; and 
           (c) Submit to the state auditor audited financial 
        statements which have been attested to by a certified public 
        accountant, public accountant, or the state auditor within 180 
        days after the close of the fiscal year, except that the state 
        auditor may upon request of a city or town and a showing of 
        inability to conform, extend the deadline.  The state auditor 
        may accept this report in lieu of the report required in clause 
        (b).  A copy of the audited financial statement along with any 
        management letter or other written findings or comments by the 
        auditor must be provided to each city council member and the 
        mayor, or to each town board member, no later than 30 days after 
        the report is required to be submitted to the state auditor and 
        presented at a scheduled meeting of the city council or town 
        board prior to October 31 of the year in which the report is 
        submitted to the state auditor. 
           A municipal hospital or nursing home established before 
        June 6, 1979, whose fiscal year is not a calendar year on August 
        1, 1980, is not subject to this subdivision but shall submit to 
        the state auditor a detailed statement of its financial affairs 
        audited by a certified public accountant, a public accountant or 
        the state auditor no later than 120 days after the close of its 
        fiscal year.  It may also submit a summary financial report for 
        the calendar year. 
           Presented to the governor April 20, 2004 
           Signed by the governor April 22, 2004, 5:30 p.m.