A REPORTTO THEARIZONA LEGISLATUREFinancial Audit DivisionSingle AuditMaricopa County Year Ended June 30, 2003Debra K. DavenportAuditor GeneralThe Auditor General is appointed by the Joint Legislative Audit Committee, a bipartisan committee composed of fivesenators and five representatives. Her mission is to provide independent and impartial information and specificrecommendations to improve the operations of state and local government entities. To this end, she provides financialaudits and accounting services to the State and political subdivisions, investigates possible misuse of public monies, andconducts performance audits of school districts, state agencies, and the programs they administer.Copies of the Auditor General’s reports are free.You may request them by contacting us at:Office of the Auditor General2910 N. 44th Street, Suite 410 • Phoenix, AZ 85018 • (602) 553-0333Additionally, many of our reports can be found in electronic format at:www.auditorgen.state.az.usMaricopa County Single Audit Reporting Package Year Ended June 30, 2003 Table of Contents Page Comprehensive Annual Financial Report Issued separately Single Audit Section Report on Compliance and on Internal Control over Financial Reporting Based on an Audit of Basic Financial Statements Performed in Accordance with Government Auditing Standards 1 Report on Compliance with Requirements Applicable to Each Major Program and on Internal Control over ...
Copies of the Auditor General’s reports are free. You may request them by contacting us at: Office of the Auditor General 2910 N. 44th Street, Suite 410 • Phoenix, AZ 85018 • (602) 553-0333 Additionally, many of our reports can be found in electronic format at: www.auditorgen.state.az.us
MaricopaCountySingle Audit Reporting Package Year EndedJune 30, 2003 Table of Contents Comprehensive Annual Financial Report Issued separately Single Audit Section Report on Compliance and on Internal Control over Financial Reporting Based on an Audit oBfasicFinancialStatementsPerformed in Accordance wit G h o vernment Auditing Standards Report on Compliance with Requirements Applicable to Each Major Program and on Internal Control over Compliance in Accordance with OMB CirculaAr-133 Schedule of Expenditures of Federal Awards Schedule of Findings and Questioned Costs Summary of Auditors’ Results Federal Award Findings and Questioned Costs CountyResponse s Corrective Action P lan SummarySchedeulofPriorAuditFindings
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STATE OF ARIZONA OFFICE OF THE DEBRA K. DAVENPORT, CPA WILLIAM THOMSON AUDITOR GENERAL AUDITOR GENERAL DEPUTY AUDITOR GENERAL Independent Auditors’ Report on Compliance and on Internal Control over FinancialReportingBasedonanAudBiatsoicfFinancialStatements Performed in Accordance w G i o th v ernment Auditing Stan dards Members of the ArizaoSntate Legislature The Board of Supervisors of MaricopaCounty, Arizona Wehaveauditedthefinancialstatemetnhtes ogfovernmentalactivities,bus-tinypesesactivities,eachmajorfund,andaggregateremainingfundinformaMtairoincoopf aCounty as foandfor the year ended June 30, 200,3which collectively comprise the County’s basic financial st a tnedmheanvtse, issued our reportthereondateDdecember19,20,03whichwasmodifiedforacorrectionofamistakeintheapplicationofanaccountinigncpirpleaffectinglo-tnegrmliabilities,achangeintheapplicationofanaccountingprincipleaffectingcapitalassets,andduetoourrelianceonthereportof.oWtheerauditor conducted our audit in accordance with U.S. generally accepted a nu d iatirndgs satndthestandardsapplicable to financial audits containe G d o i v n e rnment Auditing Stan , d a is r s d u s ed by the Comptroller General of the United States. Compliance AspartofobtainingreasonableassuranceaboutwhetherthebCasoiucnfitnya’sncialtsatementsarefreeof material misstatement, we performed tests of its compliance with certain provisions of laws, regul contracts, and grants, noncompliance with which could have a direct and material effect on determinationobfasicfinancialstatementamounts.However,providinganopiniononcompliancewith thoseprovisionswasnotanobjectiveofourauditand,accordingly,wedonotexpresss.uchanopi Thereslutsofourtestsandtherepoforttheotherauditorsdisclosednoinstaofncneosncompliancethatare required to be reported un G d o e v r e rnment Auditing Stand . a H r o d w s ever, we noted certain immaterial instances of noncompliance that we will report to the County’s management in a separate letter. InternalControloverFinanciaplorRtieng In planning and performing our audit, we considered the County’s internal control over financial rep inordertodetermineourauditingproceduresforthepurposeofexpressinsg o nurthoepifniinoa n cial statements and not to provider a snscueoninternalcontroloverfinancialre.pOourtrincgonsiderationofinternalcontroloverfinancialreportingwouldnotnecessarilydiscloseinalilntmeartntaelrscontrtohlatmightbematerialweakne.ssAesmaterialweaknessisaconditionin twhheicdhesignoroperationofoneor more of the internal control components does not reduce to a relatively low level the risk misstatementsinamountsthatwouldbematerialinrelabtiaosnictfointahnecialstatementsbeaiundgitedmayoccurandnobtedetectedwithinatimelyperiodbyemployeesinthenormalpecrofuorrsmeionfg 2 9 1 0 N O R T H 4 4 th S T R E E T • S U I T E 4 1 0 • P H O E N I X , A R I Z O N A 8 5 0 1 8 • ( 6 0 2 ) 5 5 3 - 0 3 3 3 • F A X ( 6 0 2 ) 5 5 3 - 0 0 5 1
theirassignedfuncti.onWseandthereporotftheotherauditorsnotednomattersinvolvinginternalcontr overfinancialreportinganditsoperationthatweatnhderthaeudoitorsconsidertobematerialweaknesse.sHowever, we noted other matters involving internal control over financial reporting that report to the County’s management in a separate letter. ThisreportisintendedsolelyfortheinformnadtiuosneaofthemembersoftheArizonaStateLegislature,theBoardofSupervisors,federalawardingagencies,a-tnhdropuagshsentitiesandisnotintendedtobeandshouldnotbeusedbyanyoneotherthanthesespecifi.eHdopwaertvi e rs,thisreportisma tter of publicrecor,danditsdistributionisnotli.mited Dennis L. Mattheisen, CPA Financial Audit Director December 19, 2003 2