What are the audit requirements for fire relief associations?

Reporting forms for fire relief associations are annually required to be submitted to the Office of the State Auditor (OSA) by June 30. Relief associations with assets or liabilities of at least $750,000 must also submit audited financial statements annually to the OSA. Visit our Key Reporting Requirements Calendar to view relief association reporting requirements with the OSA.

The $750,000 statutory threshold is determined using prior year-end asset and liability amounts and is based on Special Fund amounts only. After a relief association exceeds the threshold in either assets or liabilities, according to the previous year’s financial report, an audit is required beginning the following year, even if the relief association’s assets and liabilities subsequently drop below the threshold.

Relief associations with assets and liabilities that are both less than $750,000 and have not exceeded the threshold in a prior year are permitted to have their annual financial reporting form attested to by a certified public accountant in accordance with agreed-upon procedures prescribed by the OSA instead of having an audit performed. These relief associations must also submit an Independent Accountant’s Report on Applying Agreed-Upon Procedures.

More information can be found in our Pension Topic titled Resources for Auditors.