Regulatory and Economic Development
Department of Audit
The Department is in the compliance, regulating, and licensing businesses. The Department audits, regulates, and licenses to promote compliance with state revenue collections, state and local government accounting requirements, and the regulation of financial service providers.
Agency Background & Structure
The Department had 105 authorized positions as of June 30, 2019, increasing to 109 positions as of October 1, 2019 (due to blockchain-related legislation in the 2019 session that impacted the Division of Banking). The current appropriation for the 2019-2020 biennium is $25.2M of which $13.4M is general fund, $5.1M is federal funds, and $6.7 million other (fee) income.
Clients served by the Division of Banking (28 positions) are providers and users of financial services. The Public Funds Division (17 positions) serves the general public, and state and local government entities. The Mineral Audit Division (40 positions) serves the general public, the Federal government, the Department of Revenue, Office of State Land and Investments, mineral taxpayers, active state and federal lessees. The Excise Tax Division (20 positions) serves the general public, the Departments of Revenue and Transportation, International Registration Plan, Inc., International Fuel Tax Association, Inc., Wyoming vendors and consumers, U.S. States and Canadian provinces. The Administration Division (4 positions) serves the Department of Audit. The Department operates in three primary functional areas: financial, accounting, and revenue.
Financial (Division of Banking): Maintain the integrity of the state banking system and individual banks through the administration of Title 13 and federal banking regulations. The Division of Banking supervises all state-chartered financial institutions and is responsible for their safety and soundness examinations. The Division also licenses and examines various grantors of consumer credit to ensure compliance with consumer protection statutes. The Division of Banking is self-funded through the collection of supervisory and licensing fees.
Accounting (Public Funds Division): Responsible for the State’s single audit and its comprehensive annual financial report, which are performed through contract audits. Audits are performed of school districts and state agency performance measures to verify the accuracy of the reporting. Financial reports submitted by local government entities are monitored for accuracy and completeness and are compiled into the Cost of Government. This provides assurance that funds and assets are properly accounted for and information provided leadership is accurate. Without these audits, federal funds could be at risk. The use of technology has been increased and has allowed a significant amount of the work to be completed in the office.
Revenue (Mineral Audit Division and Excise Tax Division): Supports revenue collection by conducting audits to verify payments of the state’s self-reporting taxes, fees and royalties. Without audits, there would be no verification of monies paid to the state or additional collections. The Excise Tax Division and Mineral Audit Division monitor the taxes assessed through audits and compare the audited taxes to the amount of taxes paid to the administrative agencies by periodic tax returns. Risk-based audits are performed utilizing risk analysis, which identifies high-risk tax and royalty payers with low compliance percentages. By providing audit support for these state agencies, we help maintain an equal playing field for Wyoming businesses.