Common use of Financial Requirements Clause in Contracts

Financial Requirements. A. The Charter Holder shall comply with the same financial and electronic data submission requirements as a school district, including the Uniform System of Financial Records for Charter Schools (USFRCS) as prescribed in A.R.S. Title 15, chapter 2, article 4, procurement rules as prescribed in A.R.S. §15-213 and audit requirements as prescribed in A.R.S. §15-914 unless specifically excepted by the Arizona State Board for Charter Schools. If the Charter Holder has received an exception to the USFRCS and/or procurement rules, the Charter Holder shall, at a minimum, follow accounting policies and procedures that comply with Generally Accepted Accounting Principles (GAAP). This includes using an accounting system that provides for the proper recording and reporting of financial data and following standard internal control procedures. In addition, the Charter Holder shall contract for at least an annual financial statement audit that meets the following conditions:  It is conducted by an independent certified public accountant; and  It complies with policies adopted by the Arizona State Board for Charter Schools. B. The Charter Holder shall pay debts as they fall due or in the usual course of business. C. The Charter Holder shall not commit or engage in gross incompetence or systematic and egregious mismanagement of the school’s finances or financial records.

Financial Requirements. A. The Charter Holder shall comply with the same financial and electronic data submission requirements as a school district, including the Uniform System of Financial Records for Charter Schools (USFRCS) as prescribed in A.R.S. Title 15, chapter 2, article 4, procurement rules as prescribed in A.R.S. §15-213 and audit requirements as prescribed in A.R.S. §15-914 unless specifically excepted by the Arizona State Board for Charter Schools. If the Charter Holder has received an exception to the USFRCS and/or procurement rules, the Charter Holder shall, at a minimum, follow accounting policies and procedures that comply with Generally Accepted Accounting Principles (GAAP). This includes using an accounting system that provides for the proper recording and reporting of financial data and following standard internal control procedures. In addition, the Charter Holder shall contract for at least an annual financial statement audit that meets the following conditions:  • It is conducted by an independent certified public accountant; and  • It complies with policies adopted by the Arizona State Board for Charter Schools. B. The Charter Holder shall pay debts as they fall due or in the usual course of business. C. The Charter Holder shall not commit or engage in gross incompetence or systematic and egregious mismanagement of the school’s finances or financial records.