Oklahoma County board records state auditor warning about local CPA firm peer review

The Oklahoma County board on a voice vote received a state auditor's notice reporting that a local CPA peer review for the year ending June 30, 2022, contained deficiencies and did not show a full pass. The notice, entered into the record, prompted board members to request a follow-up report once the firm's corrective steps are complete.

Board members were told the peer-review process runs on roughly a three-year cycle. An unidentified board speaker said they had discussed the results with a person named Linda, who disputed some findings, and that the firm would have an opportunity to take curative steps. A board member with local CPA experience urged the board not to ignore a failed peer review and said firms that repeatedly fail can face suspension from performing audits in the state if deficiencies persist across cycles; the speaker also acknowledged uncertainty about the precise statutory suspension process.

Members discussed timing and procedure for follow-up. A board member said the county should expect the next report by December or January and asked staff to place the follow-up audit documentation on a future agenda so the board can review whether the firm achieved a full pass. Another member emphasized delaying any replacement of the firm until the firm has had the opportunity to correct the deficiencies and demonstrate compliance.

The board moved to receive the state auditor's letter into the record; the motion was seconded and approved by voice vote. The transcript records the year-end date referenced in the notice as 06/30/2022 and that staff expect a related peer-review report to be available at the board's December/January meeting. The board did not take further formal action at the meeting pending receipt of the follow-up report.

What happens next: staff will place the peer-review follow-up on a future agenda once the firm's corrective actions and the next peer-review results are available. The transcript does not record a staff timeline beyond the expectation of a December/January report.