TY - JOUR TI - The impact of municipal governance on cities’ audit performance and audit report timeliness and the subsequent economic consequences DO - https://doi.org/doi:10.7282/T35D8Q3V PY - 2014 AB - This dissertation is comprised of two studies: the effect of municipal governance on cities’ audit performance and audit report timeliness; and economic consequences of audit performance and report timeliness. In the first study, municipal governance institutions, specifically governance structure, City Council election policies, use of an audit committee, use of an internal audit function, and Finance Department leadership, are evaluated to determine which factors influence audit performance and report timeliness. Six regression models are presented – five to estimate audit performance and one to estimate audit report timeliness. Results indicate that various governance institutions impact both the quality and timeliness of municipal reporting. All of the institutions evaluated, except internal audit, are significant in at least one model of audit performance presented here, with use of a city manager (i.e., government structure) being significant in all six models. In the second study, two relationships are evaluated: impact of both audit performance and report timeliness on municipal debt costs; and effect of audit performance on a city’s future Federal revenue. Conflicting results are found in regards to the first relationship, and evidence is found to support the second. Poor audit performance is found to have a significant, negative impact on a city’s future Federal funding, which in turn reduces the funds available to provide programs and services to constituents. Ultimately, the level and quality of services provided by a local government are impacted by the amount of Federal funding received; therefore, audit performance may impact the public programs, goods and services a city offers its citizens. KW - Management KW - Municipal government--Records and correspondence KW - Auditing LA - eng ER -