08-15-11 Fiscal Affairs Committee Meeting

Browse Search

Mayor and members of City Council City* of La Porte, Texas Page 6 At the conclusion of the engagement, we will complete the appropriate sections of the Data Collection Form that summarizes our audit findings. It is management's responsibility* to submit the reporting package (including financial statements, schedule of expenditures of federal awards, summaiv schedule of prior audit findings, auditors' reports, and corrective action plan) along with the Data Collection Form to the federal audit clearinghouse. We will coordinate with you the electronic submission and certification. If applicable, we will provide copies of our report for you to include with the reporting package you will submit to pass - through entities. The Data Collection Form and the reporting package must be submitted within the earlier of 30 days after receipt of the auditors' reports or nine months after the end of the audit period, unless a longer period is agreed to in advance by the cognizant or oversight agency* for audits. The audit documentation for this engagement is the property* of Null Lairson, P.C. and constitutes confidential information. However, pursuant to authority* given by law or regulation, we may be requested to make certain audit documentation available to federal agency* providing direct or indirect funding, or the U.S. Government Accountability* Office for purposes of a quality* review of the audit, to resolve audit findings, or to cans out oversight responsibilities. We will notifi- you of any such request. If requested, access to such audit documentation will be provided under the supervision of Null Lairson, P.C. personnel. Furthermore, upon request, we may provide copies of selected audit documentation to the aforementioned parties. These parties may* intend, or decide, to distribute the copies or information contained therein to others, including other governmental agencies. The audit documentation for this engagement will be retained for a minimum of five years after the report release or for any* additional period requested by the funding agencies. If we are aware that a federal awarding agency*, pass - through entity*, or auditee is contesting an audit finding, we will contact the party-(ies) contesting the audit finding for guidance prior to destroying the audit documentation. We expect to begin our audit on approximately* September 8, 2011 and to issue our reports no later than March 31, 2012. Tom Pedersen is the engagement partner and is responsible for supervising the engagement and signing the reports or authorizing another individual to sign them. Our fee for these services will be at our standard hourly* rates plus out -of- pocket costs (such as report reproduction, word processing, postage, travel, copies, telephone, etc.) except that we agree that our gross fee, including expenses, will not exceed $59,750. Our standard hourly* rates vaiy according to the degree of responsibility* involved and the experience level of the personnel assigned to your audit. Our invoices for these fees will be rendered each month as work progresses and are payable on presentation. In accordance with our firm policies, work may be suspended if your account becomes 60 days or more overdue and may* not be resumed until your account is paid in full. If we elect to terminate our services for nonpayment, our engagement will be deemed to have been completed upon written notification of termination, even if we have not completed our report(s). You will be obligated to compensate us for all time expended and to reimburse us for all out -of- pocket costs through the date of termination. The above fee is based on anticipated cooperation from your personnel and the assumption that unexpected circumstances will not be encountered during the audit. If significant additional time is necessaiv, we will discuss it with you and arrive at a new fee estimate before we incur the additional costs. Government Auditing ,Standards require that we provide you with a copy* of our most recent external peer review report and any letter of comment, and any subsequent peer review reports and letters of comment received during the period of the contract. Our 2007 peer review report accompanies this letter.