Governmental Auditing Topics

Governmental Accounting Topics

Oklahoma Municipal State Laws

 Oklahoma Municipal State Laws Update

Crawford and Associates is committed to keeping Oklahoma municipalities current in regards to state laws affecting municipal finance, budget and accounting. We are significantly involved in the development and amendment of these State Statutes. The following are recent additions, deletions or changes to Oklahoma State law affecting municipal finance officials.

 2007 Legislative Session
 
SB 160 - Amends the conflict of interest provisions of 11 O.S. Section 8-113. This bill changes the exemption from this statute for certain purchases by municipalities with a population of less than 2,500 from related party businesses to being the only business of that type within 5 miles of the municipality rather than the previous 10 miles. In addition, the related party business transactions annual limit has been modified to indicate that the $10,000 annual limit will not apply if the municipality purchases items from the business that are also sold to the regular public in the normal course of business and the price charged to the municipality does not exceed the price charged to the general public. Amendments are effective July 1, 2007.

SB 426 - Section 2 of the bill is new legislation dealing with the payroll treatment of certain individuals providing services to a municipality. The new law indicates that an attorney, engineer, or member of a profession who performs duties required or permitted by statute as an attorney, prosecutor, judge, engineer, or other professional for a state or local government pursuant to a retainer or service contract shall be presumed to be an independent contractor and not an employee for all purposes including IRS tax treatment. The new section of the law will be codified as 11 O.S. Section 8-115, and is effective November 1, 2007

 2006 Legislative Session

HB 2796: This legislation provides for an alternative budget approach for municipalities under the Municipal Budget Act. This bill provides for the option of a municipality to adopt a budget by purpose across funds rather than a fund-based budget as required by current law. The bill, initiated by firm Chairman Mike Crawford who also drafted the language, is effective July 1, 2006.
Click here for a copy of HB 2796.

2005 Legislative Session

HB 1670: This legislation provides for an alternative to a full-scope financial statement audit for small municipalities. The bill, the brain child of firm Chairman Mike Crawford who also drafted the language, provides for municipalities with a population less than 2,500 and their public trusts with no other legal or contractual requirement for a financial statement audit to annually engage an accountant to perform an agreed-upon procedures engagement under AICPA attestation standards. The minimum agreed-upon procedures are defined in the legislation. HB 1670 became effective July 1, 2005.
Click here for an OML Newsletter article on HB1670.
Click here for an example Agreed-Upon Procedures report format.
Click here for an example of accompanying schedules to the report.
 

2004 Legislative Session

No significant legislation affecting municipal finance.

 2003 Legislative Session:

HB 1118 Minor Change To Estimate of Needs Budget Law

Allows any city or town that has an annual financial statement audit to prepare its annual budget in a form other than completing the Estimate of Needs. Format of budget should be similar to Municipal Budget Act or Estimate of Needs formats. Effective for FY 03-04 budgets.

See a Crawford & Associates quick reference guide of State laws applicable to municipal finance and accounting by topical area.

  2002 Legislative Session:

HB 1435 Changes to Municipal Budget Laws

Changes to the Municipal Budget Act and Estimate of Needs budget laws. Effective November 1, 2002.

HB 2889 Changes to the Invoice Affidavit Requirement

Replaces the requirement in 62 O.S. for invoice affidavits on invoices over $1,000 with a contract affidavit for contracts of $25,000 or more. Effective July 1, 2002.

HB 2056 Public Trust Competitive Bidding Threshold

Increases from $12,500 to $25,000 the competitive bidding amount for Title 60 public trusts for any contract for construction, labor, equipment, materials or repairs.

Governmental Auditing Topics

Governmental Accounting Topics

Oklahoma Municipal State Laws