NAC387.775. Annual audits.

     1. The governing body of a charter school or university school for profoundly gifted pupils shall cause the charter school or university school for profoundly gifted pupils to be audited on an annual basis.

     2. All audits must be performed by:

     (a) A public accountant certified or registered; or

     (b) A partnership or professional corporation registered,

Ê pursuant to the provisions of chapter 628 of NRS.

     3. Each annual audit must:

     (a) Cover the business of the charter school or university school for profoundly gifted pupils during the full fiscal year;

     (b) Be a financial audit conducted in accordance with generally accepted auditing standards in the United States; and

     (c) Include:

          (1) An analysis of and findings on compliance with applicable statutes and regulations;

          (2) A management letter outlining any recommendations for improvement;

          (3) An expression of opinion on the financial statements; and

          (4) Any other comments deemed pertinent by the auditor.

Ê The form of the financial statements must be prescribed by the Department, and the chart of accounts must be, as nearly as possible, the same as that used in the preparation and publication of the annual budget.

     4. The annual audit of the charter school or university school for profoundly gifted pupils must be concluded and the report submitted to the governing body not later than 4 months after the close of the fiscal year for which the audit is conducted.

     5. The opinion and findings of the auditor contained in the report of the audit must be presented at a meeting of the governing body held not more than 30 days after the report is submitted to it.

     6. Immediately thereafter, the entire report, together with the management letter required by generally accepted auditing standards in the United States, must be filed as a public record with:

     (a) The Department;

     (b) The Legislative Counsel Bureau; and

     (c) For a charter school that is not sponsored by the State Board, the sponsor of the charter school.

     7. After the report of the audit is filed by the charter school or university school for profoundly gifted pupils, the report of the audit, including, without limitation, the opinion and findings of the auditor contained in the report of the audit, may be disseminated by or on behalf of the charter school or university school for profoundly gifted pupils for which the report was prepared by inclusion, without limitation, in or on:

     (a) A filing made pursuant to the laws or regulations of this State;

     (b) A filing made pursuant to a rule or regulation of the Securities and Exchange Commission of the United States; or

     (c) A website maintained by a charter school or university school for profoundly gifted pupils on the Internet or its successor,

Ê without the consent of the auditor who prepared the report of the audit. A provision of a contract entered into between an auditor and a charter school or university school for profoundly gifted pupils that is contrary to the provisions of this subsection is against the public policy of this State and is void and unenforceable.

     8. If an auditor finds evidence of fraud or dishonesty in the financial statements of a charter school or university school for profoundly gifted pupils, the auditor shall report such evidence to the appropriate level of management in the charter school or university school for profoundly gifted pupils, or to the governing body or sponsor of the charter school or university school for profoundly gifted pupils if the evidence of fraud or dishonesty involved the highest levels of management or the governing body.

     9. The governing body shall act upon the recommendations of the report of the audit within 3 months after receipt of the report, unless prompter action is required concerning violations of law or regulation, by setting forth in its minutes its intention to adopt the recommendations, to adopt them with modifications or to reject them for reasons shown in the minutes.

     (Added to NAC by Bd. of Education by R026-09, eff. 10-27-2009)