Audit Requirements: What’s New and What’s Not

PTA requires that audits be done twice a year — a mid-year audit that covers the first six months of your fiscal year, and an end-of-year audit that covers the last half of your fiscal year. As you begin to think about doing your mid-year audit, there are a few things you need to keep in mind:

  1. The auditor needs to be appointed by or elected to the Executive Board per your bylaws.
  2. The auditor cannot be related to any of the check signers by blood, marriage or live in the same household.
  3. The audit must be presented to the Executive Board as well as the General Association for adoption.
  4. The audit must be reviewed by an audit review committee,unless the audit is conducted by a qualified accountant.

This final step is one that is new to many of you. California State PTA has resources to answer your audit questions about this new process.  Please read our Q&A sheet, review the Toolkit, and send any additional questions you have to leadership@capta.org.  

We do understand that the Audit Form in the Toolkit currently doesn’t have a line for the audit committee to sign, but you can add their signatures at the bottom of the form.  

If you are wondering where the audit review committee came from, our insurance guide lists the requirements to stay in compliance on page 27:

Audit requirements

We know you want to stay in compliance, so make sure you have an audit review committee for your mid-year audit.