HomeMy WebLinkAbout08.a. Accept audited Financial Statements for fiscal year ended June 30, 2012Central Contra Costa Sanitary District 3-a.
' BOARD OF DIRECTORS
POSITION PAPER
Board Meeting Date: October 18, 2012
Subject: ACCEPT THE AUDITED FINANCIAL STATEMENTS FOR THE FISCAL
YEAR ENDED JUNE 30, 2012
Submitted By: Initiating Dept. /Div.:
Thea Vassallo, CPA Administrative / Finance & Accounting
Finance Man ger
REVIEWED AN RECOMMENDED FOR BOARD ACTION:
Thea Vassallo K. Alm Ann I,
Finance Manager General Manager
ISSUE: The audited financial statements of the Central Contra Costa Sanitary District
for the Fiscal Year (FY) ended June 30, 2012, are being submitted to the Board of
Directors.
RECOMMENDATION: Accept the audited financial statements for the FY ended June
30, 2012.
FINANCIAL IMPACTS: None
ALTERNATIVES /CONSIDERATIONS: None
BACKGROUND: The firm of Cropper Accountancy Corporation, Certified Public
Accountants, has completed its examination of the District's financial statements for the
FY ended June 30, 2012, and has submitted the audited financial statements and
auditor's opinion thereon.
The objective of the audit is the expression of an opinion as to whether the basic
financial statements are fairly presented, in all material respects, in conformity with
United States generally accepted accounting principles and to report on the fairness of
the supplementary information in relation to the financial statements taken as a whole.
The audit is conducted in accordance with auditing standards generally accepted in the
United States of America and the standards for financial audits contained in
Government Auditing Standards, issued by the Comptroller General of the United
States, and includes tests of the accounting records of the District and other procedures
considered necessary to express such an opinion.
In the performance of their examination of the financial statements, the auditors
evaluate the District's internal accounting controls related to the financial statements
and compliance with laws, regulations, and the provisions of contracts or grant
agreements, noncompliance with which could have a material effect on the financial
statements as required by Government Auditing Standards. Based on their
observations during the course of the examination, the auditors advise District
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POSITION PAPER
Board Meeting Date: October 18, 2012
Subject ACCEPT THE AUDITED FINANCIAL STATEMENTS FOR THE FISCAL
YEAR ENDED JUNE 30, 2012
management of any significant deficiencies or material misstatements and any
recommendations to improve the system of internal accounting controls.
The audited financial statements will be reviewed in detail by John Cropper from
Cropper Accountancy Corporation at the Budget and Finance Committee meeting on
October 16, 2012. A copy of the audited financial statements has been received by the
Board under separate cover.
In accordance with Government Code Section 53891, information from the audit will be
used to prepare a report to the State Controller's office. The report will be sent
electronically by the annual deadline of October 18, 2012. The audited financial
statements are also sent to the County Auditor - Controller, Contra Costa County Board
of Supervisors, and the Bond Rating Agencies.
The original contract with Cropper Accountancy Corporation was for a four -year term.
Per staff recommendation an extension was approved for two additional years, for a
total of six years. This report from Cropper Accountancy Corporation is their sixth
consecutive audited financial statement report. Staff is considering getting proposals
from other firms for the FY 2012 -13 audit. This issue will be discussed with the Budget
and Finance Committee at a future meeting.
RECOMMENDED BOARD ACTION: Accept the audited financial statements for the
FY ended June 30, 2012.
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