Auditor Rotation Policies and Perceived Auditor Attributes in Texas School Districts

Abstract

We surveyed Texas school districts in an attempt to ascertain their perceptions on auditor rotation, auditor changes and satisfaction with their current auditors. We find the overwhelming majority of district representatives report no audit firm rotation policy, satisfaction with their current auditor’s performance, retaining the same auditor for at least five years, and no audit committee. Additionally, representatives report that the district was not likely to change auditors, found the current auditors technically competent, and believed the audit benefits outweigh costs. Relevant to the decision-making process of many school districts, it appears that auditor rotation is not favored.