R2016-128 Professional Service Agreement CliftonLarsonAllen, LLP Auditing Services

Home Browse Search

October 19,2015 City of Decatur Page 3 • Reporting on internal control over compliance related to major programs and expressing an opinion (or disclaimer of opinion) on compliance with federal statutes, regulations, and the terms and conditions of federal awards that could have a direct and material effect on each major program in accordance with the Uniform Guidance. The Government Auditing Standards report on internal control over financial reporting and on compliance and other matters will include a paragraph that states(1)that the purpose of the report is solely to describe the scope of our testing of internal control and compliance and the result of that testing,and not to provide an opinion on the effectiveness of the entity's internal control or on compliance, and (2)that the report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity's internal control and compliance.The Uniform Guidance report on internal control over compliance will include a paragraph that states that the purpose of the report on internal control over compliance is solely to describe the scope of our testing of internal control over compliance and the result of that testing based on the requirements of the Uniform Guidance. Both reports will state that the report is not suitable for any other purpose. We will issue written reports upon completion of our audit of your financial statements and compliance with requirements applicable to major programs.We will make reference to May, Cocagne& King, P.C.'s audit of Civic Center Authority in our report on your financial statements. We cannot provide assurance that unmodified opinions will be expressed.Circumstances may arise in which it is necessary for us to modify our opinions, add an emphasis-of-matter or other-matter paragraph(s), or withdraw from the engagement. If our opinions on the financial statements or the single audit compliance opinion are other than unmodified, we will discuss the reasons with you in advance. If circumstances occur related to the condition of your records,the availability of sufficient, appropriate audit evidence,or the existence of a significant risk of material misstatement of the financial statements or material noncompliance caused by error,fraudulent financial reporting, or misappropriation of assets,which in our professional judgment prevent us from completing the audit or forming opinions on the financial statements or an opinion on compliance, we retain the right to take any course of action permitted by professional standards, including declining to express opinions or issue reports, or withdrawing from the engagement. We also will issue a written report on Illinois Municipal Code Subsection (q)Section 11.74.4-3 of Public Act 85- 1142 upon completion of our audit. Auditor responsibilities, procedures,and limitations We will conduct our audit in accordance with U.S. GAAS and the standards for financial audits contained in Government Auditing Standards.Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the basic financial statements as a whole are free from material misstatement,whether due to fraud or error.An audit involves performing procedures to obtain sufficient appropriate audit evidence about the amounts and disclosures in the basic financial statements.The procedures selected depend on the auditors'judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error.An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the basic financial statements.