Municipalities - Legislative Audit - Exemption

SB 962 exempts small Maryland municipalities with annual revenues under $100,000 from annual financial audits, while allowing those with revenues between $100,000 and $250,000 to audit every four years instead of annually. It clarifies that this audit exemption does not remove the requirement for these municipalities to file annual financial reports with the state. The bill also grants the Joint Audit and Evaluation Committee authority to request a review or audit if financial reports reveal irregularities, even for exempt municipalities. This change directly affects small municipalities with limited revenue, reducing their audit burden while maintaining oversight mechanisms.