Loading...
HomeMy WebLinkAboutResolution No. 1988-30 MICROFILMED JUNE 89 RESOLUTION NO. 88-30 A RESOLUTION APPROVING AGREEMENT FOR AUDITING SERVICES BETWEEN THE CITY OF CAPE CANAVERAL, FLORIDA, AND DOBSON, BJERNING & DUFFEY, P.A. ; PROVIDING AN EFFECTIVE DATE. BE IT RESOLVED by the City Council of the City of Cape Canaveral, Florida, as follows: SECTION 1 . The City of Cape Canaveral , Florida, hereby approves the agreement for auditing services between the City of Cape Canaveral , Florida , and Dobson , Bjerning & Duffey, P.A. ; a copy of said agreement being attached hereto and made a part hereof. SECTION 2 . The Mayor and City Clerk of the City of Cape Canaveral are hereby authorized to execute said agreement on behalf of the City. SECTION 3 . This Resolution shall become effective immediately upon its adoption. ADOPTED BY the City Council of the City of Cape Canaveral, Florida, this 19th day of July , 1988. 0 0 e /4, Ma or Pro Tem ;AT , k TEST: 4.- 0 iti b. 2/)(• CI y Olerk (Deputy) Approved as to Form: � 1 ("' . a Ci - Atto ney_ ga6ab3 DOBSON, BJERNING & DUFFEY CERTIFIED PUBLIC ACCOUNTANTS wow O,.bew..... • ".""n..n fi,", pm,mnm lb,C"n,ppG, • TYMRnfi,p nW,mx,s, City Council City of Cape Canaveral We are pleased to confirm our understanding of the services we are to provide for the City of Cape Canaveral for the year ended September 30, 1988. He will audit the general purpose financial statements and combining financial statements of individual funds for the year ended September 30, 1988. Our examination will be made in accordance with generally accepted auditing stand- ards and the standards for financial and compliance audits contained in the "Standards for Audit of Governmental Organizations, Programs, Activities, and Functions," issued by the U.S. General Accounting Office, and will include such tests of the accounting records and such other auditing procedures as we con- sider necessary in the circumstances. The objective of such an examination is the expression of our opinion on whether the financial statements are fairly presented in conformity with generally accepted accounting principles applied on a consistent basis. As part of our examination, we will make a study and evaluation of the City's system of internal accounting control to the extent we consider necessary to evaluate the system as required by generally accepted auditing standards. Under these standards, the purpose of such evaluation is to establish a basis for reliance on the system of internal accounting control in determining the nature, timing and extent of other auditing procedures that are necessary for expressing an opinion on the financial statements and to assist the auditor in planning and performing the examination of the financial statements. Such examinations include procedures designed to detect errors and irregularities that would have a material effect on the financial statements. However, as you are aware, there are inherent limitations in the auditing process; for example, such examinations are based on the concept of selective testing of the data being examined and are, therefore, subject to the inherent limitation that such matters, if they exist, may not be detected. Likewise, in making our examina- tion we will be aware of the possibility that illegal acts may have occurred. However, it should be recognized that such an examination cannot be expected to provide assurance that illegal acts will be detected. However, if, during the course of our examination, we become aware of such errors, irregularities or illegal acts, we will bring them to your attention. City Councili ' City of Cape Canaveral Page two The following funds will be included in our examination: General Fund Special Revenue Funds: Federal Revenue Sharing Fire Protection = r Beautification Police Education Debt Service Fund Capital Projects Funds Enterprise Fund - Sewer System Fiduciary Funds: - Pension Trust Fund - Library Trust Fund General Fixed Assets General Long-term Debt We understand that you will provide us with the basic "information required for our that ainformation.and We wou illare adviseoyou about for appropriate the accountand inglpripr I nciples and their applicationand will assist in the preparation of your financial statements, but the responsibility for the financial statements remains with you. This responsibility includes the maintenance of adequate records and ri theand tsafeguardinged � ofhassets.selLtlnnthis regard. you recognizetthatand alication of accouninpthecestableslish- ment and maintenance of a system of internal accounting control is an important responsibility of management. Appropriate supervisory review procedures are necessary procedures tareprovide adheredreasonable t assurance identify errorsdandeirted requlariolicies tand ies oreillegal acts. As part of our aforementioned review of the City s system of internal control, we will inform the appropriate levels of management and the City Council of weaknesses that we believe should be corrected and our recommenda- tions in this respect. As of the State ofuFlorida�forLtheeCitylfor theryeareendedrSeptembert30,C1988,oller City Council City of Cape Canaveral Page three Our fee for this examination will be based on our standard rates and will be billed to you monthly as the work progresses, not to exceed $15,200. The estimated fee for our engagement anticipates the level of client assistance described in Appendix A in preparation of audit workpapers; should client personnel be unable to provide the anticipated assistance in a timely manner, the procedures will be assigned to a member of our audit staff at the appropriate level, as available, and billed to you accordingly at our standard rates. We will be available to management and financial staff of the City to research and answer questions on matters of financial management, Florida statutory compliance, financing, budgeting, taxation and other such issues as may require professiom us. We will servicesonal on theice basisrof actual time requiredlandfor presentsitemizedibi lingso n a monthly basis at our normal billing rates. We appreciate the opportunity to be of service to you. if you have any ques- tions, please let us know. If you agree with the terms of our engagement as described in this letter, please sign below and return it to us. A copy is enclosed for your files. k NIM +f O DOBSON, B NTNG UFFEII July 11, 1988 Merritt Island, Florida The foregoing letter fully describes the services required and is accepted by US. APPROVED: Q7� By:i Title: Mayor Pro Tem Date: July 19, 1988 r ` r �m K APPENDIX A General 1. Trial balances by fund at September 30, 1988, and analytical analysis of changes greater than the specified scope by fund from 1987 balances. 2. • Copy of 1988 final budgets for all funds. 3. Copy of 1989 budgets, DR -420 Forms, and related budget adoption process advertisements. 4. • Copy of current pension plan. 5. . Schedule by fund of pension plan contributions and forfeitures to date. 6. Listing of current and proposed assessment projects. Cash and Cash Items 7. Copies of bank reconciliations as of September 30, 1988. 8. • List of all bank accounts and authorized signatures for each account. 9. Bank accounts transfer schedule for the period September 15 through Octo- ber 15. Investments 10. Summary schedule of investments by fund showing type, maturity date, amount, interest rate, and collateralization. 11. Any other investment types made during the year but not held at September 30, 1988 with same information as listed in No. 10. Accounts Receivable 12. Reconciliation of the total of the accounts receivable subsidiary records by fund at September 30, 1988, with the general ledger control accounts (includes assessments). 13. An aged listing of the accounts receivable balances. 14. Schedule of miscellaneous accounts receivables with balances over $5,000 at September 30, 1988. 15. Your analysis of the provisions for doubtful accounts at September 30, 1988. Due To/From Other Funds 16. Reconciliation schedule of the balances at September 30, 1988, of the due to and from other funds accounts. 17. • Schedule of budget and actual operating transfers to and from other funds to date. 18. ` Schedule of miscellaneous transactions between funds, i.e., interest paid by one fund to another on loans. APPENDIX A (Continued) Prepaid Assets 19. Schedule of prepaid assets and deferred charges by fund at year end. Property, Plant, and Equipment 20. Schedule of investment in General Fixed Assets by Fund Type, to include additions and disposals. 21. Schedules of additions and disposals during the year by asset category for the governmental funds. 22. Schedules of additions and disposals during the year for the Enterprise Fund. 23. * Summary schedule of all expenses for construction in progress projects to date. Payables and Accrued Liabilities 24. Schedules of accounts payable and accrued expenses at September 30, 1988, with supporting documentation. 25. Schedule showing accruals of vested vacation and sick leave balances at September 30, 1988, by fund. Long- and Short -Term Debt 26. * Schedule of debt activity by fund and account group for the year to date. Income and Expense 27. Analysis of professional fees and legal expenses. 28. Schedule of repair and maintenance expense. 29. Schedule of interest income by fund and source. 30. Schedule of interest expense by fund and purpose. -31. Copies of all grants received; schedules of revenue and expenditures. 32. Schedule of travel expense. 33. Schedule of professional services requiring bid process per Section 287.055, Florida Statutes. 34. Schedule of public works projects in accordance with Section 180.24, Florida Statutes. 35. Copies of 941s for the period October 1, 1987 through September 30, 1988. * • Preliminary - prior to September 30, 1988.