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A02917
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
1582
Session of
2019
INTRODUCED BY GREINER, RYAN, FEE, GAYDOS, ZIMMERMAN, LAWRENCE,
KAUFFMAN, MENTZER, KEEFER, HICKERNELL AND MIZGORSKI,
JUNE 5, 2019
REFERRED TO COMMITTEE ON LOCAL GOVERNMENT, JUNE 5, 2019
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 and providing for appointment of
independent auditor and abolishment of office of elected
auditor.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Section 917(b)(2) 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.--* * *
(b) * * *
(2) (i) At least thirty days prior to the organizational
meeting or thirty days prior to any 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
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competent public accountant or a firm of certified or competent
public accountants to replace the elected auditors.
(ii) Except after abolishing the office of auditor under
section 918, the board of supervisors at the organizational
meeting shall pass a resolution reaffirming the appointment
under this section.
* * *
Section 2. The act is amended by adding a section to read:
Section 918. Appointment of Independent Auditor; Abolishment
of Office of Elected Auditor.
(a) The board of supervisors may provide, by ordinance
passed by a two-thirds vote of the entire board of supervisors,
for the appointment of an independent auditor who must be a
certified public accountant registered in this Commonwealth, a
firm of certified public accountants registered in this
Commonwealth or a competent public accountant or a competent
firm of public accountants.
(b) When an ordinance has been adopted under subsection (a),
an independent auditor shall be appointed annually, by
resolution before the close of the fiscal year. The independent
auditor shall make an independent examination of the accounting
records of the borough for the fiscal year and perform the other
duties and exercise the powers as conferred upon the independent
auditor under section 917. The board of supervisors shall enter
into a contract for each appointment. The independent auditor
shall examine, audit and settle the accounting records of the
township for the fiscal year. The independent auditor shall have
the same powers and duties, except for setting compensation of
supervisors employed by the township, and be subject to the same
penalties as the elected auditors under this article. The
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compensation for independent auditors shall be set by the board
of supervisors. The responsibility to publish the concise
financial statement as provided by section 904 shall be
completed by the township secretary upon receipt of the
statement from the independent auditor within the required time
frame.
(c) When an independent auditor is appointed under this
section, the office of elected township auditor shall be
abolished by ordinance as provide d under subsection (a) , but the
township elected auditors then in office shall continue to hold
office during the term for which they were elected, and the
township auditor elected auditors shall not audit, settle or
adjust the accounts audited by the independent auditor but shall
perform the other duties of office. No adjustments to the
compensation of supervisors employed by the township may be made
by the elected auditors.
(d) (1) If any township has provided by ordinance for the
audit of its accounts by an appointed independent auditor, the
township may at any time repeal the ordinance under subsection
(a) , and the contract under section 917 subsection (b) shall be
canceled as of the date set in the ordinance.
(2) The township may, at the next municipal election
following the repeal of the ordinance, elect three auditors, one
for a term of two years, one for a term of four years and one
for a term of six years, on the first Monday in January
following the election. The elected auditors shall succeed the
appointed auditor and shall have and possess all the powers and
perform all the duties provided in this part for elected
auditors.
(3) If, at any time after the effective date of an ordinance
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abolishing the office of appointed auditor, there shall be a
vacancy in the office of elected auditor, the board of
supervisors shall fill the vacancy in the manner prescribed in
section 407.
(e) (1) The duties of the elected auditor under section 606
relating to setting compensation for supervisors that hold other
employee positions shall be performed by the supervisors.
(2) The board of supervisors shall establish a series of
salary schedules that apply to any supervisor that may hold an
employee position with the township.
(3) The salary schedules shall be established through an
ordinance that cannot take effect until after the next municipal
election and may not be adjusted for six years. The ordinance
may be passed by the board of supervisors prior to the effective
date of the abolishment of the board of auditors.
Section 3. This act shall take effect in 60 days.
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