Numbered Letter 2001-07 (Revised)

Effective Date: March 29, 2001 (Revised Date December 19, 2024)

Effective Date of Required Annual Audit for Local Government Units With 4,000 Population or More

Section 5 of PA 2 of 1968, as amended, (MCL 141.425) requires a local unit having a population of 4,000 or more to obtain an annual audit of its financial records, accounts, and procedures.

Local government units that have an increase in population to 4,000 or more, as reported by the 2000 official census and every ten years thereafter are required to file annual audits for the fiscal years ending after January 1, 2002.

To illustrate, a local unit that has increased population, as reported by the 2000 official census, to 4,000 or more and filed an audit report for fiscal years ending during 2000 or 2001 must file an annual audit report for fiscal year ended 2002 and thereafter.

Units with population that decreased to an amount of less than 4,000 as reported in the 2000 official census, who filed an audit report for the fiscal year ended during the year of 2001 must file an audit report for the fiscal year ended 2003.

If you need further assistance please call (517) 335-7469 or write our office:  Michigan Department of Treasury, LAFD, P.O. Box 30728, Lansing, Michigan 48909-8228 or email our office at TreasLocalGov@michigan.gov.