The Nevada Supreme Court recently approved and ordered the Minimum Accounting Standards, Version 3.1 and the Minimum Accounting Standards Guide for External Audits, Version 1.1 on January 19, 2018.
The Minimum Accounting Standards and associated changes are applicable to the entire judiciary. Courts are expected to update their written procedures to comply with Minimum Accounting Standards, Version 3.1 as soon as possible.
Additionally, courts assigned to group 1 in the Minimum Accounting Standards will be the first courts to utilize the Minimum Accounting Standards Guide for External Audits, Version 1.1 with their audits required to be performed in calendar year 2018.
All independent auditors performing the required Minimum Accounting Standards audits will be required to attend a web-based training provided by the Administrative Office of the Courts before beginning the independent audits. Web-based training is anticipated to be available by late April-early May 2018. All auditors participating on a court's audit must complete this training and provide evidence of completion.
The following is a limited list of the changes made to the standards and the guide for external audits:
- The submission deadline for courts written procedures and four-year independent audits is now March 1, biennially based on the court's assigned submission group. Court submission groups can be located in the Instructions section of the Minimum Accounting Standards, Version 3.1, under Reporting Requirements.
- The 11th Judicial District Courts were consolidated into one submission group (group 1).
- All independent auditors are required to attend training before the commencement of any four-year independent audit. Evidence of completion must be provided to the court under audit.
- Alternative procedures used to comply with the standards are now allowed by the courts as long as they are meeting the intent of the standards and appropriate internal controls are in practice.
- The acknowledgement form submission requirement was eliminated. The form no longer needs to be completed and remitted with any required submission.
- Correction and modifications were made to standards and the external audit guide steps to ensure both the courts and the independent auditors understand the intent and application of the standards and applicable audit steps.
- The word "processed" was evaluated throughout the document to ensure appropriate usage.
- A definition for the word "recorded" was added.
- Duplicate standards were evaluated and if necessary removed from the document.
- MAS Section 4A - Justice and Municipal Court Ordered Fines and Fees was removed. All standards in this section were subsequently added to MAS Optional Section 11 due to the U.S. Department of Justice's recommendations concerning the collection of court fines/fees.
- The guide for external audits was reviewed and technical changes were made to ensure uniformity with the verbiage contained in the standards.
- A standard audit report format and requirements for summarizing audit findings is contained in Appendix A of the guide for external audits.
Please contact Staci Anderson, Audit Manager at (702) 486-9330 or Brandi Jinkerson, (702) 486-9331 if you have any questions or concerns regarding the new requirements.