Welcome Brochure

government, citizens are more aware of everything done using their tax dollars.

questions that our office can help with, please don’t hesitate to give me a call at 701-328-2241. We are here to help and would welcome the opportunity to connect with you online or in person.

NDsao.link/YouTube

you an overview of things our office focuses on. If you have any

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BEST PLACES TO WORK 2020

ND.gov/Auditor

JOSHUA C. GALLION NORTH DAKOTA STATE AUDITOR

Facebook.com/NDStateAuditor

Looking forward to working with you,

Office of the State Auditor NORTH DAKOTA STATE AUDITOR JOSHUA C. GALLION

AUDITOR’S

OFFICE

By opening the window into our

S TAT E

We hope the information in this booklet is helpful in providing

of North Dakota.

D A K O TA

communities across our legendary state.

are committed to serving the citizens

NORTH

and we know the work you do makes an impact on people in

audits to improve government and we

THE

Your service to the citizens in our state is greatly appreciated

Our mission is to produce informative

FROM

Auditor’s Office, we want to extend a warm welcome to you.

WELCOME!

701-328-2241 NDSAO@nd.gov

On behalf of everyone on our team at the North Dakota State

Linkedin.com/company/NDStateAuditor

Welcome to the 68th Legislative Assembly!

Office of the State Auditor

TYPES OF AUDITS

WHO WE AUDIT Our office audits every level of government in North Dakota. Our staff of 61

Financial Audit

Performance Audit

in Bismarck and Fargo work to provide accurate and reliable information for

Audit

Only one objective.

Objectives vary, can include multiple

state agencies, universities, and local government. With nearly 200 audits

Objective

Checks if financial statements are

objectives related to operations

materially accurate.

of the agency.

Financial

Includes audited financial statements to verify

Does not include audited

Statements

compliance with audit standards and N.D.C.C.

financial statements.

Audits

Areas of high risk of material

Significant and high risk programs

Based on

inaccuracies in the financial statements.

and functions of each agency.

Information

Legislators, lending institutions,

Legislators, agency

Helpful for

and the public.

management, and the public.

Examples

Local governments, commodity groups,

Department of Transportation,

Include

State Lottery, Annual Comprehensive

Department of Public Instruction,

Financial Report.

and Universities.

produced each year, billions of dollars are audited by our team. Our office is also responsible for auditing oil and gas leases on federal land and provides an audit of the State’s Annual Comprehensive Financial Report.

We follow the industry’s strongest auditing standards, issued by the Comptroller General of the United States and the American Institute of Certified Public Accountants. Our office is audited every three years by the National State Auditors Association and continually receives the highest possible rating.

OUR TEAM 61

10

Full-time employees

Interns as of Jan. 2023

17

5

Total interns this biennium

WHERE WE AUDIT

Vacancies projected to be filled with interns

North Dakota is experiencing a shortage of audit firms that have the ability to conduct government audits. Because of a lack of staff, our office is not able to conduct audits in many counties across the state. Audits are vital to ensure accountability and transparency to the citizens of North Dakota.

AGENCY AUDITS

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AUDITS

Examine the financial reporting of specific government groups for inconsistencies and errors.

Check that public funds are accounted for and that government agencies are effective and ethical.

HIGHER EDUCATION AUDITS

12

AUDITS

34

Audits all 11 public colleges and universities, and the ND University System office.

Examine the financial reporting of local government for inconsistencies and errors.

Only reported if a public employee or official defaults or creates a liability against the state bonding fund.

MINERAL ROYALTY AUDITS & CONTRACT REVIEWS

4 118 CR’S

Verifies that the federal government and state are receiving money from oil, gas, and coal companies.

The National State Auditors Association (NSAA) gave our office the highest possible rating in peer review, referencing our adherence to government auditing standards.

•

When audits cannot happen because of staffing shortages, the chances for fraud increase.

•

Our office attempts to dedicate time to education, however because of our current staff levels and the high demand for our services, our ability to do that is limited.

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AUDITS

INVESTIGATIONS

Reviews federal funds to check if they are being spent according to federal regulations.

Map of where our office provides audit services, as of December 2022.

AUDITS

21

AUDITS

LOCAL GOVERNMENT AUDITS

FEDERAL SINGLE AUDIT PROGRAMS

AUDITS

WHY AUDITORS ARE NEEDED

FINANCIAL STATEMENT AUDITS

7

INVESTIGATIONS

• Understaffed audit teams and below-market compensation

create a retention problem — resulting in private-sector recruitment from our talent pool.

• There is potential for greater taxes to the public when

budget decisions are made on old or unaudited information.