Wisconsin Administrative Code › Department of Public Instruction › Chapter PI 14 - School Finance › Appendix - STANDARD SCHOOL DISTRICT AUDIT CONTRACT

Current through June 24, 2024
This agreement is entered into this day of , 20_, between
				(school board on behalf of named school district) hereafter referred to as the
				district, and (name of auditor), hereafter referred to as the auditor. The
				parties agree as follows:
AUDIT SCOPE
The auditor shall conduct an examination of the basic financial
				statements, including the respective financial position of the governmental
				activities, each major fund, and the aggregate remaining fund information of
				the school district as of, and for the year ended June 30, 20__.
The auditor's examination shall be made in accordance with the
				following:
(a) Generally accepted auditing standards. The procedures
				necessary to comply with the generally accepted auditing standards, for
				purposes of this contract, include the applicable procedures outlined by the
				American Institute of Certified Public Accountants including the Industry Audit
				Guide, AUDITS OF STATE AND LOCAL GOVERNMENTAL UNITS; and by the Department of
				Public Instruction in the WISCONSIN SCHOOL DISTRICT AUDIT MANUAL.
(b) The standards for financial and compliance audits contained
				in the STANDARDS FOR AUDITS OF GOVERNMENTAL ORGANIZATIONS, PROGRAMS,
				ACTIVITIES, AND FUNCTIONS, issued by the Comptroller General of the United
				States;
(c) Uniform grants guidance.
Financial statements presented in the auditor's report shall
				comply with generally accepted accounting principles and conform to the
				accounting system prescribed by the Department of Public Instruction.
The auditor shall express an opinion on the financial
				statements of all funds covered in the scope of this audit engagement. If the
				auditor is unable to express an unqualified opinion, the auditor shall state
				fully the reasons for qualification or disclaimer of opinion. The district
				recognizes it has the responsibility to correct any deficiency which results in
				a qualification or disclaimer of opinion.
INDEPENDENCE
Implicit in the auditor's expressions of an unqualified opinion
				on financial statements is the auditor's representation of independence with
				respect to those statements.
TIMING, LOCATION AND CONDUCT OF AUDIT WORK
The district recognizes that its appropriate officers have the
				responsibility for the proper recording of transactions in the books of
				account, for the safeguarding of assets and for the substantial accuracy of the
				financial statements. These district officers have the responsibility to close
				and balance all accounts and to have prepared the financial statements for all
				funds to be examined by the auditor.
The audit shall be conducted on district premises at a mutually
				agreeable time, and the district shall provide space deemed adequate by the
				auditor to conduct the examination officially.
The auditor shall observe on district premises the adequacy of
				the systems of internal control for all funds of the district, including those
				concerned with maintaining compliance with finance-related legal provisions. If
				material weaknesses are noted, appropriate recommendations shall be reviewed
				with the appropriate administrator and then included in a separate letter to
				the district's school board.
Audit workpapers and reports shall be retained for a minimum of
				three years from the date of the audit report, unless the auditor is notified
				in writing by the Department of Public Instruction or the United States
				Department of Education to extend the retention period. The district authorizes
				the auditor to respond directly to inquiries from the Department of Public
				Instruction or the United States Department of Education, including requests to
				review audit workpapers. The auditor shall notify the school board of any such
				inquiries or requests and of the auditor's reply thereto.
REPORTS
The auditor shall submit to the district's school board the
				following reports, with copies of each for transmittal to the Department of
				Public Instruction and other agencies as required:
(a) Auditor's report on the school district's financial
				statements prepared according to Generally Accepted Accounting Principles as
				promulgated by the Governmental Accounting Standards Board, as of, and for the
				year ended June 30, 20__, with supplemental information as required by the
				Department of Public Instruction or requested by the district.
(b) Financial audit statement for the year ended June 30, 20__,
				as required by the Department of Public Instruction.
(c) Management letter, commenting on material weaknesses in
				internal control and identifying possible noncompliance with finance-related
				legal provisions with appropriate recommendations.
(e) Federal program audit reports and schedules, as
				required.
(f) State program audit reports and schedules, as
				required.
(g) Membership agreed upon procedures report, prepared in
				accordance with standards for attestation engagements promulgated by the
				American Institute of Certified Public Accountants, as required by the
				Department of Public Instruction.
(h) Auditor's communication with those charged with governance,
				including any significant findings or issues from the audit.
(i) Other (specify):
(j) Other (specify):
COMPENSATION AND TERMS OF PAYMENT
Fees shall be based on the time required by the individuals
				assigned by the auditor plus direct expenses. Individual hourly rates vary
				according to the degree of responsibility involved and the skill required.
				(NOTE: Other payment terms may be agreed upon in the contract. This is provided
				as an example).
, certified public accountant, is the owner or partner in
				charge of all work performed and is responsible for all aspects of this
				engagement.
The auditor estimates the fee for this examination and
				above-listed reports will range from $_______ to $______. Should unforeseen
				difficulties be encountered during the examination which would require
				additional work by the auditor, an estimate of the cost of such additional work
				shall be brought to the board's attention prior to the performance of the
				additional work.
The auditor may submit bills as work progresses and as expenses
				are incurred.
(Typed Name and Title) Signature______________
Contracting District Officer
(Typed Name and Title) Signature______________
Audit Firm
(Typed Name and Title) Signature______________
Partner (Owner)