It is important that local governments across Colorado use available financial data and information to monitor, evaluate, and maintain their fiscal health.
Each year, the OSA's Local Government Audit Division conducts an analysis and reports on a set of financial ratios that can be used by the Colorado Department of Education, school districts, policy makers, and citizens, to evaluate the financial health of Colorado’s school districts. When tracked over time, these ratios can warn of financial stress in a particular school district that may require examination and remedial action.
In 2013, the Local Government Audit Division developed a similar set of financial ratios that can be used to assess the fiscal health for Colorado's counties and municipalities. These financial ratios provide information to assist the county or municipality in identifying areas to focus for further examination and action. The OSA's October 2013 report and underlying template used to calculate the financial ratios are available for use by counties and municipalities to conduct their own fiscal health analysis.