021-4 Wyo. Code R. § 4-4

Current through April 27, 2019

Section 4-4 - Definitions, as used in these rules:

(a) "AICPA" means the American Institute of Certified Public Accountants.

(b) "Annual Report Summary" means the checklist on the Department of Audit, Public Funds website which requires certification by two authorized representatives of the entity. The checklist shall contain a certification statement. The authorized representatives shall verify under oath the information contained in the report is a true, accurate, and complete presentation of the financial activities of the reporting entity.

(c) "Bank reconciliation" means a specified procedure to determine if all cash assets shown on the financial records reconcile and agree to the amounts reported by the financial institutions.

(d) "CPA" means a certified public accountant licensed or authorized to practice in the State of Wyoming.

(e) "Department" means the state Department of Audit.

(f) "Director" means the director of the state Department of Audit.

(g) "Electronic Budget Form" means the form and instructions used to complete reporting as required by W.S. 9-1-507(a)(viii). The electronic budget form can be found on the Department of Audit, Public Funds website.

(h) "Entity" means any entity as listed in W.S.W.S. 16-12-202(a).

(i) "Fiscal year" means the period beginning July 1, and ending June 30.

(j) "Government Auditing Standards" means the standards published by the Comptroller General, United States Government Accountability Office, Current Revision.

(k) "Independent auditor" means a certified public accountant who follows the Government Auditing Standards.

(l) "Independent party" means a person having a basic understanding of the purpose of the reporting entity and the nature of its business, with sufficient knowledge of bookkeeping or accounting to understand the financial transactions of the entity. The independent party cannot be a person or an immediate family member of a person who has management authority over the reporting entity or is a signor of the entity's checks. Examples of individuals who fit the definition of an independent party include, but are not limited to clerks of other special districts, hired bookkeepers or accountants who do no other work for the district, and board members who do not have access or signing authority to the district's bank accounts.

(m) "Internal control evaluation", as it relates to the audit and review procedures, means and includes:

• (i) A documented analysis of the procedures established by the reporting entity to assure that financial transactions are properly recorded (see guidance on Department of Audit, Public Funds website regarding special districts).

• (ii) Tests of the system sufficient to determine whether the system, and compliance with its procedures, provides reasonable assurance that the entity's assets are safeguarded and that liabilities are accounted for; to test that public funds are used in accordance with laws, regulations, and policies; that resources are safeguarded against waste, loss, or misuse; and in internal controls that reliable data are obtained, maintained, and fairly disclosed in reports.

• (iii) A written summary of deficiencies in internal control significant in context to the audit objectives discovered and corrective measures, which should be implemented.

• (iv) For the internal control self-evaluation of those entities not required to have an independent accountant (CPA) audit or review, the Internal Control Evaluation Worksheet as provided by the Department and updated on an annual basis, may be used in fulfillment of this procedure.

(n) "Officer" or "official" means the chairman of the official board, whether appointed or elected, the treasurer of the special district or other local government entity, or if no position is specified, any member of the Official Board.

(o) "Oversight" means and includes the reports, procedures and processes established by rules and regulations of the Department to ensure that the Director may comply with the statutory requirement to supervise the financial accounting of the special district entities in this state.

(p) "Proof of Cash" means a procedure much like a bank reconciliation, except more extensive and detailed. It is used to verify the "books of the entity" are in agreement with the cash transactions which have been recorded by the bank. The form is available on the Department of Audit, Public Funds website. This procedure shall be performed by an independent party.

(q) "Revenue" for the purpose of reporting, means and includes all revenues from all outside sources, as well as, all debt proceeds and grants received during the reporting fiscal year. If the entity normally reports on a cash basis, the report shall conform to cash revenues received. If the entity normally reports on an accrual or modified accrual basis, the report shall be consistent with whichever accounting basis is normally used.

(r) "Review level engagement" means a procedure which complies with the AICPA profes- sional standards. Footnotes to financial statements shall disclose all known commitments as of the date of the financial statements that are material to the financial statements, including construction commitments.

(s) "Self audit" means an analysis conducted internally by any official not involved in the daily transactions of the entity or by an independent party, with the assistance of the entity, and certified by an officer, to verify the correctness of transaction recording and to provide management with reasonable assurance that assets are adequately safeguarded. Guidance is available on the Department of Audit, Public Funds website.

(t) "Special District" means any entity as listed in W.S. 16-12-202(a).

(u) "Specified procedures" means a procedure which complies with the AICPA professional standards.

021-4 Wyo. Code R. § 4-4

Amended, Eff. 3/20/2018.