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§ 1131.5. A Management Letter Is Required.


Barclays Official California Code of Regulations Currentness
Title 2. Administration
Division 2. Financial Operations
Chapter 2. State Controller
Subchapter 5. Minimum Audit Requirements and Reporting Guidelines for Special Districts
2 CCR § 1131.5
§ 1131.5. A Management Letter Is Required.
It is understood that management has the responsibility for establishing internal controls and checks. The auditor, however, shall prepare and forward to management, the governing body, and all required recipients of the audit report, a separate letter containing suggestions and recommendations relating to opportunities for improvement in the district's accounting and financial controls. Further, this management letter shall be used to comment on the action or lack of action taken regarding suggestions made in a prior year letter.
It is not intended that this management letter communicate only negative comments. The auditor shall state when proper internal controls are established and in operation. Further remarks concerning proper accounting and reporting practices may be included.
Note: Authority cited: Section 26909(b), Government Code. Reference: Sections 6505 and 26909(b), Government Code.
This database is current through 7/29/22 Register 2022, No. 30
2 CCR § 1131.5, 2 CA ADC § 1131.5
End of Document