AUDITS OF LOCAL GOVERNMENTAL ENTITIES – Amends existing law to revise provisions regarding the minimum requirements for an audit.

H 142 amends Idaho Code to update minimum audit requirements for local governments, directly affecting cities, counties, and other local entities based on their annual spending. The bill raises spending thresholds: entities with annual expenditures over $300,000 must conduct annual audits (up from $250,000), those between $200,000-$300,000 may choose biennial audits (up from $150,000-$250,000), and entities under $200,000 have no minimum requirement (up from $150,000). Federal audit rules still override these requirements when federal funds are involved. The changes take effect July 1, 2025, after being signed by the Governor in March 2025.