PRINTER'S NO. 2318
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
1850
Session of
2023
INTRODUCED BY SMITH-WADE-EL, FREEMAN, SAPPEY, JAMES AND MOUL,
NOVEMBER 15, 2023
REFERRED TO COMMITTEE ON LOCAL GOVERNMENT, NOVEMBER 15, 2023
AN ACT
Amending the act of May 1, 1933 (P.L.103, No.69), entitled "An
act concerning townships of the second class; and amending,
revising, consolidating and changing the law relating
thereto," in auditors and accountants, further providing for
appointment of accountant.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Section 917 of the act of May 1, 1933 (P.L.103,
No.69), known as The Second Class Township Code, is amended to
read:
Section 917. Appointment of Accountant.--(a) The board of
supervisors may contract with a certified or competent public
accountant or a firm of certified or competent public
accountants, either of which shall be registered in this
Commonwealth, to be appointed by the court of common pleas at
least thirty days before the close of the fiscal year to audit
the accounts of the township and the township officers if a
petition has been presented to the supervisors by at least
twenty-five taxpayers of the township asking for the
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appointment. The amount paid to the accountant or firm in any
year shall not exceed the maximum allowed by law to be paid to
the board of auditors in any year unless the payment of an
additional amount is approved by the court.
(b) (1) [Subject to the provisions of paragraph (2), at] At
its annual organization meeting, or anytime thereafter, the
board of supervisors may by resolution appoint a certified or
competent public accountant or a firm of certified or competent
public accountants, either of which shall be registered in this
Commonwealth, to make an examination of all the accounts of the
township for the fiscal year stated in the resolution. The board
of supervisors shall determine the compensation of the appointed
accountant.
(2) At least thirty days prior to [the organizational
meeting or thirty days prior to any] the initial vote to appoint
a certified or competent public accountant or a firm of
certified or competent public accountants to replace the elected
auditors, the board of supervisors shall advertise in a
newspaper of general circulation the intent to appoint a
certified or competent public accountant or a firm of certified
or competent public accountants to replace the elected auditors.
(3) At least thirty days prior to the replacement, by
resolution, of an appointed certified or competent public
accountant or a firm of certified or competent public
accountants with the elected auditors for purposes of the audit,
settlement and adjustment of the accounts audited by the
appointee, the board of supervisors shall advertise in a
newspaper of general circulation the intent to return all powers
and duties of the elected auditors.
(c) When an accountant or firm is appointed under subsection
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(a) or (b), the board of auditors shall not audit, settle or
adjust the accounts audited by [the] an appointee in any year
after an appointment under this section, but shall perform the
other duties of the office until auditing duties are returned to
the board in accordance with subsection (b)(3). The accountant
or firm has the powers given to the board of auditors under this
act, except the audit shall be made in accordance with generally
accepted auditing standards, and further provide that the
accountant or firm appointed under subsection (a) or (b) shall
not have the power to determine compensations, and they are
subject to the same penalties as the elected auditors under this
act. The report of the accountant or firm is subject to appeals
the same as reports of the board of auditors under this act.
(d) For the purposes of meeting Federal or State
requirements, the board of supervisors may contract with an
independent certified or competent public accountant to audit
the fiscal affairs of the township, independent of that
conducted by the elected or appointed auditors.
Section 2. This act shall take effect in 60 days.
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