A. Council Report Audit 2008

Mmacomber

Description

KIRKSVILLE CITY COUNCIL REPORT Council Meeting Date: August 3, 2009 Agenda Item: A Report Prepared by: Laura Guy, Finance Director Recommended Motion: Information presentation only. Background: Williams-Keepers LLC of Columbia, Missouri, an independent auditing firm, conducted the audit of the City’s financial accounting and reporting practices for the fiscal year ended December 31, 2008. An unqualified opinion was given, which is the most desirable type of opinion that can be attained meaning that the financial statements are fairly presented in all material aspects and that the statements conform to generally accepted accounting principles. This provides assurance of the integrity of the City’s financial management and that financial reporting is in compliance with governmental accounting standards. The Comprehensive Annual Financial Report (CAFR), Management Letter and Communication of Audit Related Matters will be presented to the City Council by Ms. Heidi Check, CPA of Williams-Keepers LLC. The CAFR is designed to report on the financial condition of the City and demonstrates the City’s financial accountability to its citizenry. Included in the CAFR is the Independent Auditors’ Report, otherwise known as the auditor’s opinion. The financial statements are in conformance with the GASB 34 model, which made drastic changes in the reporting by a governmental entity. The basic financial statements are presented ...

Informations

• Publié par: Shiem
• Nombre de lectures: 27
• Langue: English

Extrait

KIRKSVILLE CITY COUNCIL REPORT Council Meeting Date3, 2009: AugustAgenda Item: A Report Prepared by: LauraGuy, Finance Director Recommended Motionpresentation only.: Information Background: WilliamsKeepersLLC of Columbia, Missouri, an independent auditing firm, conducted the audit of the City’s financial accounting and reporting practices for the fiscal year ended December 31, 2008.An unqualified opinion was given, which is the most desirable type of opinion that can be attained meaning that the financial statements are fairly presented in all material aspects and that the statements conform to generally accepted accounting principles.This provides assurance of the integrity of the City’s financial management and that financial reporting is in compliance with governmental accounting standards. TheComprehensive Annual Financial Report (CAFR),Management Letter and Communication of Audit Related Mattersbe presented to the City Council by Ms. will Heidi Check, CPA of WilliamsKeepers LLC. TheCAFRis designed to report on the financial condition of the City and demonstrates the City’s financial accountability to its citizenry.Included in the CAFR is the Independent Auditors’ Report, otherwise known as theauditor’s opinionfinancial. The statements are in conformance with the GASB 34 model, which made drastic changes in the reporting by a governmental entity.The basic financial statements are presented through two views:governmentwide statements, which focus on the City as a whole entity and on major individual funds, through the presentation of fund financial statements. Anadditional requirement is the extensive management discussion and analysis of the financial statements.The Single Audit Reports are also encompassed in this document which is comprised of the following: The “Independent Auditors’ Report on Compliance and on Internal Control Over Financial Reporting Based on an Audit of Financial Statements Performed in Accordance withGovernment Auditing Standards” reports on the City’s compliance with such standards and its internal controls over financial reporting. The “Independent Auditors’ Report on Compliance with Requirements Applicable to Each Major Program and Internal Control Over Compliance in Accordance with OMB Circular A133” summarizes the type of and dollar amount of federal funds awarded and expended during the fiscal year.A single audit has been required for the past eleven years due to the amount of federal funds expended by the City.The City was found to be in compliance with internal control and reporting requirements as applicable to federal programs.

An additional report will also be presented to the City Council regarding findings by the audit team.Included in this report are: 1. TheCommunication of Audit Related Matters, which outlines the responsibilities of the auditors, significant accounting policies, management judgments and accounting estimates, audit adjustments and discussions with management regarding the audit. The transition to the GASB 34 reporting module required the City to value and report on other postemployment benefits effective with fiscal year 2008.The City contracted for an independent actuarial valuation to be performed in order to be encompassed in the financial statements. 2. TheManagement Letter, which is a communication device used to make recommendations to management in regards to internal controls and operating efficiency. Forthe fiscal year ended December 31, 2008, the current year recommendation concerns the reporting capability of the fixed asset software module and updates on previous recommendations. Another document compiled by the auditors, but not presented, is the Independent Auditors’ Report and Schedule of Payroll Reportable to Missouri Intergovernmental Risk Management Association.This report summarizes payroll information as was reported to MIRMA for the calendar year ended December 31, 2008 and is a required submission to MIRMA. Fiscal Impact: Auditpreparation plus generating the financial statements and reports takes many hours of City staff time and auditor evaluation but this is outweighed by the value of financial disclosure and accountability through producing such a comprehensive report.Auditing services cost the City $31,200 for 2008 and actuarial valuation services cost $2,900. Respectfully submitted,

Mari E. Macomber City Manager