2009-019 Finance - McGladrey & Pullen

Browse Search

Audit Approach Our audit approach includes obtaining an understanding of: The County's operations. This understanding allows us to concentrate audit efforts on those aspects of the County that are significant to the financial statements and major federal and State programs. Internal control and its component elements. We have made a preliminary assessment of control risk and plan to assess control risk below the maximum for the following transaction cycles: Tax revenue and receivables, Payroll and Expenditures other than Payroll and Capital Assets as well as the applicable requirements of major federal and State programs. Changes to the County's significant information systems during the last year. Fraud risk factors within the County which may be indicative of either fraudulent financial reporting, noncompliance or misappropriation of assets. The cumulative audit knowledge we have gained from previous years' audits. New technical accounting and financial reporting requirements that will impact recognition, measurement or disclosure in the June 30, 2009 financial statements. Internal Control and Compliance Our review and understanding of the County's system of internal control is not undertaken for the purpose of expressing an opinion on the effectiveness of its internal control. Rather, it is to assess the impact of internal control on determining the nature, timing and extent of auditing procedures. Recommendations for improving internal control that come to our attention will be summarized for discussion with management and the audit committee. We will issue report(s) on internal control related to the financial statements and major programs. These report(s) describe the scope of testing of internal control and the results of our tests of internal controls. Our reports on internal control will include any significant deficiencies and material weaknesses in the system of which we become aware as a result of obtaining an understanding of internal control and performing tests of internal control consistent with the requirements of the standards and circular identified above. We will issue report(s) on compliance with laws, regulations, and the provisions of contracts or grant agreements. We will report on any noncompliance which could have a material effect on the financial statements and any noncompliance which could have a direct and material effect on each major program. Our report(s) on compliance will address material errors, fraud, abuse, violations of compliance requirements and other responsibilities imposed by state and Federal statutes and regulations and assumed contracts; and any state or Federal grant, entitlement or loan program questioned costs of which we become aware, consistent with the requirements of the standards and circular identified above. Timing of Procedures We have scheduled preliminary audit fieldwork for May 26 to June 5 and single audit work for the week of June 22 with final fieldwork commencing the week of September 8. Management's adherence to its closing schedule and timely completion of information used by us in performance of the audit is essential to meeting this schedule and completing our audit on a timely basis. 3