CITY COUNCIL AGENDA ITEM NO. 28
Meeting Date: May 24, 2005
Subject/Title: Review with the City’s auditing firm the scope of the annual
Prepared by: Gail Leech, Management Analyst
Submitted by: Pamela Ehler, Director of Finance and Information Systems
Review with the City’s auditing firm the scope of the annual audit.
Vavrinek, Trine, Day & Co., LLP are the City’s independent auditors. They
are engaged by the City to perform an annual financial audit which meets all
auditing standards applicable to cities and redevelopment agencies.
Vavrinek, Trine, Day & Co., LLP will present to Council the preliminary
planning process for the annual audit. They will explain their
responsibilities as the City’s independent auditors, and also the
responsibility of City management as it pertains to the audit process. In
addition, they will describe the scope of the audit, including the focus and
procedures involved in the interim and final audit process. A sample of the
items included in the scope of the work they perform including a review of
the budget, cash flow analysis, long-term debt financing agreements, and a
review of internal controls. This process is intended to ensure that the
audit will be conducted in an effective, efficient manner with as minor an
impact on city staff and operations as possible, while still meeting all
applicable audit standards.
Upon completion of the annual audit, Vavrinek, Trine, Day & Co., LLP, will
present to Council their findings and recommendations in the form of an
Audit Management Letter, making themselves available to answer questions and
address issues included in the letter.