Exemption From Audit

As political subdivisions of the State, Conservation Districts are required by law (CRS 35-70-108(1)(l)) to file for an exemption from audit or have an audit completed each year. Exemption from Audit and Audits are due to the Office of the State Auditor. 

• Exemption from Audit due date: March 31st

OR if your District is conducting a full audit

• Audit due date: July 31st

The Application for Exemption from Audit is available at the State Auditor’s website and must be submitted to the Office of the State Auditor by March 31st.  Section 29-1-604, C.R.S. outlines the provisions for an exemption from audit. Generally, any local government where neither revenues nor expenditures exceed $750,000 in any calendar year qualifies for an exemption.  

• The Application for Exemption from Audit Short Form should be used if both revenues or expenditures are less than or equal to $100,000. 

•  If either revenues or expenditures are greater than $100,000 but both are less than or equal to $750,000, you must use the Long Form.  

• You can find information regarding audits, Short and Long Forms, and the e-filing portal by clicking on the following general information link:  https://apps.leg.co.gov/osa/lg

Further points of clarification from the State Auditor's Office:  

1. If both revenues and expenditures are less than or equal to $100,000, your Conservation District must complete the Short Form.

2. If either revenues or expenditures are $100,000 or greater, but both are less than or equal to $750,000 your Conservation District must use the Long Form.

3. In regards to the requirement that the form must be completed by a person skilled in governmental accounting, the State Auditor's Office has determined that since  Conservation Districts have experience in submitting the exemptions in the past and if under $100,000 revenue/expenses cap, a district manager or board member meets this skill requirement.  

4. If your Conservation District's revenue or expenditures are over $750,000, your Conservation District must have a full-blown audit conducted by a C.P.A. and submit the audit to the State Auditor by the July 31st deadline.  You can call the State Auditor’s office  (303-869-3000) if you need help locating a qualified C.P.A in your area or need more information.

5. Boards can review the exemption through email (just don't 'reply all', as that violates open meeting law).

6. All signature policies remain unchanged. If the board is unable to obtain digital signatures or a signed resolution that specifically states the governing body has reviewed and approved the exemption, then they will need to send the original signatures via mail. (CSCB recommends some sort of mail tracking for verification to OSA's office.) OSA will accept a separate signature page for each (majority) board member. If you choose to submit it with a resolution, OSA will accept scanned/copies of the resolution signatures.

7. The Auditor’s office strongly encourages electronic filing.

Contact information for the Office of the State Auditor:

Office of the State Auditor

Local Government Audit Division

State Services Building

1525 Sherman Street, 7th Floor

Denver, CO 80203-1700

Fax: 303-869-3061

Phone:  303-869-3000

Email: osa.lg@state.co.us