Title
Consider/Discuss/Act on Acceptance of the Comprehensive Annual Financial Report (CAFR) , Federal Single Audit Report, and Management Letter
Summary
MEETING DATE: March 6, 2012
DEPARTMENT: Finance
CONTACT: Rodney Rhoades, Finance Director
RECOMMENDED CITY COUNCIL ACTION:
• Acceptance of the Comprehensive Annual Financial Report, Federal Single Audit Report, and Management Letter.
ITEM SUMMARY:
• The audited Comprehensive Annual Financial Report (CAFR) for the City of McKinney is presented for the Council’s review and approval. The reporting period is for fiscal year ending September 30, 2011.
• The report includes the combined financial statements of all funds and component units.
• Our CAFR received an unqualified or “clean” opinion that is the financial statements present fairly, in all material respects, the financial position of the City.
• The Federal Single Audit Report presents the activity and compliance of all applicable federal awards.
• The Management Letter, issued by the independent audit firm Weaver & Tidwell, reviews the City’s internal controls in accordance with auditing standards.
BACKGROUND INFORMATION:
• An annual independent audit of the City’s funds and account groups is required by Section 24 of the City of McKinney Charter.
• On February 21, 2012 the Audit Committee met with the independent auditors, Weaver & Tidwell, at the Audit Review Committee Meeting.
• Audit committee members include: Council members Travis Ussery, and Geralyn Kever; staff members Jason Gray, Joe Williams, Rodney Rhoades, Aretha Harvey, Jason Cooley, Kelvin Bryant, Karen Watkins and Alexandra Casey; and representative from Weaver & Tidwell, John DeBurro.
• Staff is pleased to provide this quality document to the council and citizens.
• Overall positive results for Fiscal Year 2010-11include an increase in fund balance for the General Fund and the Water & Wastewater Fund. This was a result of both higher than anticipated revenues and careful monitoring of expenditures.
FINANCIAL SUMMARY:
• Cost of the annual audit is $105,000
BOARD OR COMMISSION RECOMMENDATION: N/A