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HomeMy WebLinkAboutResolution No. 1989-28RESOLUTION NO. 89 -28 A RESOLUTION OF THE CITY OF CAPE CANAVERAL, FLORIDA APPROVING AGREE- MENT 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, Brevard County, 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 take effect immediately upon its adoption. ADOPTED BY the City Council of the City of Cape Canaveral, Florida, this 20th day of June , 1989. " iv�C. - C1 r All (A''�y geed as ;to,,,E re —,�a o ',g r" yor NAME YES NO HOOD X KIDD X MILLER X RANDELS X SALAMONE I X �J I DOBSON, 13JERNING & DUFFEY CERTIFIED PUBLIC ACCOUNTANTS 600 East Strawbridge Avenue • Melbourne, FL 32901 245 Magnolia Avenue Merritt Island, FL 32952 754 Country Club Drive Titusville, FL 32780 (407)725 -1720 (407)453 -1420 (407)269 -2955 City Council City of Cape Canaveral We are pleased to confirm our understanding of th.e s- ervices we are to provide for the City of Cape Canaveral for the year ended September 30, 1989. We will audit the general purpose financial statements and combining financial statements of individual funds for the year ended September 30, 1989. Our audit, will be made in accordance with generally accepted auditing standards and the standards for financial and compliance audits contained in the Government Auditing Standards issued by the U.S. General Accounting Office, and will ircluoe such tests of the accounting records and such other auditing procedures as we consider necessary in the circumstances. The obJective of such an audit -5 the expression ct our opinion on whether the firancial statements are fairly presented in conforrr;ity with generally accepted accounting principles. As part ;,f our audit, we will make a study and evaluation of the City's system o� interral accounting control to the extent we consider necessary to evaluate tr:e 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 sys±em'of internal accounting control• in determining -the nature, timing and extent_ of other auditing procedures that are necessary for expressing an o0 nion on the financial statements and to assist the auditor in planning and performing the audit of the financial statements: Such audits 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 exampi•e, such audits are based on. the concept of selective testing of the data being examined and are, nerel are sub—i t t T I 1 i •� ' 65.. r�.�i ytn i Y.' t e} C. VU 'E "In If111C. C 11. 1 :Ill l,aLibl� Y 1{fY Jv.. ma (.v.l , %•hej ..�� �, may not be detected. Likewise, in making our audit we will be aware of the ?ossibility that illegal acts may have occurred. However, it shou10 be recognized that such an audit cannot he expected to provide assurance that illegal acts yr41.1 be detected. However, if, during the course of our audit, we become aware of such errors, irregularities or illegal acts, we will.bring then.( t,) your attention. ATTACHMENT TO RESOLUTION NO. 89 -28 PAGE 1 OF 5 City Council City of Cape Canaveral Page Two The following funds will be included in our audit: General Fund Special Revenue Funds: - Fire Protection - Beautification Projects - Police Education Debt Service Fund Enterprise Fund - Sewer System Fiduciary Funds: - Special Law Enforcement Trust Fund - Library Trust Fund - Pension Trust Fund General Fixed Assets General Long -term Debt We understand that you will provide us with the basic information required for our audit and that you are responsible for the accuracy and completeness of that information. We will advise you about appropriate accounting principles and their application and 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 related controls, the selection and application of accounting principles, and the safeguarding of assets. In this regard, you recognize that the establishment and maintenance of a system of internal accounting control is an important responsibility of management. Appropriate supervisory review procedures are. necessary to provide reasonable assurance that adopted pclicies and prescribed procedures are adhered to and to identify errors and irregularities or illegal 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 recommendations in this respect. As part of our engagement, we will also prepare the report to the Comptroller of the State of Florida for the City for the year ended September 30, 1989. ATTACHMENT TO RESOLUTION NO. 89 -28 PAGE 2 OF 5 City Council City of Cape Canaveral Page Three Our fee for this audit will be based on our standard rates and will be billed to you monthly as the work progresses, not to exceed $16,200. 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 professional advice from us. We will bill for these recurring advisory services on the basis of actual time required and present itemized billings on a monthly basis at our normal billing rates. We appreciate the opportunity to be of service to you. If you have any questions, 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. ©tU1/� kBNI�NG R DOBSON, D UFtY June 8, 1989 Merritt Island, Florida The foregoing letter fully describes the services required and is accepted by US. APPROVED: By Title: ayor Date: June 20, 1989 ATTACHMENT TO RESOLUTION NO. 89 -28 PAGE 3 OF 5 ennrunty n General 1. Trial balances by fund at September 30, 1989, and analytical analysis of changes greater than the specified scope by fund from 1988 balances. 2. * Copy of 1989 final budgets for all funds. 3. Copy of 1990 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, 1989. 8. * List of all bank accounts and authorized signatures for each account. 9. Bank accounts transfer schedule for the period September 15 through October 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, 1989 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, 1989, 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, 1989. 15. Your analysis of the provisions for doubtful accounts at September 30, 1989. Due To /From Other Funds 16. Reconciliation schedule of the balances at September 30, 1989, 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. ATTACHMENT TO RESOLUTION T 5NO. 89 -28 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. Payables and Accrued Liabilities 23. Schedules of accounts payable and accrued expenses at September 30, 1989, with supporting documentation. 24. Schedule showing accruals of vested vacation and sick leave balances at September 30, 1989, by fund. Long- and Short -Term Debt 25. * Schedule of debt activity by fund and account group for the year to date. Income and Expense 26. Analysis of professional fees and legal expenses. 27. Schedule-of repair and maintenance expense. 28. Schedule of interest income by fund and source. 29. Schedule of interest expense by fund and purpose. 30. Copies of all grants received; schedules of revenue and expenditures. 31. Schedule of travel expense. 32. Schedule of professional services requiring bid process per Section 287.055, Florida Statutes. 33. Schedule of public works projects in accordance with Section 180.24, Florida Statutes. 34. Copies of 941s for the period October 1, 1988 through September 30, 1989. * = Preliminary - prior to September 30, 1989. ATTACHMENT TO RESOLUTION NO. 89 -28 PAGE 5 OF .5