The model proposed in this research aimed to analyze the factors affect disclosure level of local government financial statements, namely audit opinion. The characteristics of local government in this research were the size of regional government, the size of legislature, the age of regional government, and intergovernmental revenue. This research is an empirical study using data from local government financial report (LKPD) of Central Java in the period 2016-2017. The data analysis comprised multiple linear regression with SPSS 16.0 program. The results showed that the size of regional government and legislative have a significant positive effect on the level of LKPD disclosure. While the age of regional governments, intergovernmental revenue, and BPK (audit board) audit opinion have no effect on the level of LKPD disclosure.

Keywords : Local Government Characteristics, Audit Opinion, Disclosure level of Financial Statements