26RS SB 192

Senate Bill 192

Actions

Last Action	02/12/26: to Committee on Committees (S)
Title	AN ACT relating to municipal financial reporting.
Bill Documents	Introduced
Fiscal Impact Statement	Local Mandate
Bill Request Number	1964
Sponsors	A. Mays Bledsoe, S. Madon
Summary of Original Version	Amend KRS 91A.020 to allow cities bringing in or expending less than $15 million to conform to cash, modified accrual, or budgetary basis of accounting rather than generally accepted governmental accounting principles; amend KRS 91A.040 to allow cities bringing in or expending less than $500,000 to perform an agreed-upon procedures engagement for the fifth fiscal year in which the city remains in that fiscal category, and require cities conducting an audit to contract with an auditor to examine the basic financial statements that include financial statements prepared under the basis of accounting used by the city; require each city to publish an advertisement containing a budget-to-actual comparison schedule for the general fund and remove the publication requirement for copies be available at no cost; require the city to make a copy of the audit report available to the Auditor of Public Accounts; amend KRS 424.220 to make conforming amendments and require a city to publish a financial statement within 30, rather than 90 days after submission to the Department for Local Government; exempt from the publication requirements officers of cities that have completed an audit under KRS 91A.040 and cities that have completed an agreed-upon procedures engagement; create a new section of KRS Chapter 91A to allow cities to complete an agreed-upon procedures engagement with the Auditor of Public Accounts or a certified public accountant rather than an audit if the city meets certain requirements; establish standards for the agreed-upon procedures engagement process; establish reporting, advertising and access requirements; direct that the Department for Local Government may permit a city to use this process under certain circumstances when the city has not completed and reported an audit for 2 or more fiscal years.
Index Headings of Original Version	Accountants - Cities, fiscal accounting and audits, preparation Accountants - Agreed-upon procedures engagement process, option, cities Advertising - Cities, fiscal accounting and audits, requirements Auditor Of Public Accounts - Cities, fiscal accounting and audits, preparation and reporting Audits And Auditors - Fiscal accounting, cities, available options Audits And Auditors - Auditor of Public Accounts, agreed-upon procedures engagement process, option Audits And Auditors - Agreed-upon procedures engagement process, option, cities Cities - Cities, fiscal accounting and audits, requirements Cities - Agreed-upon procedures engagement process, option, cities Financial Responsibility - Cities, fiscal accounting and audits, requirements Local Government - Cities, fiscal accounting and audits, requirements Local Government - Agreed-upon procedures engagement process, option, cities Public Records And Reports - Cities, fiscal accounting and audits, requirements Publications - Fiscal accounting and audits, cities, reporting, access Reports Mandated - Fiscal accounting and audits, cities, reporting, access Local Mandate - Cities, fiscal accounting and audits, requirements