Agenda - Council - 11/29/1988 - Laserfiche WebLink

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November 4, 1988 PANNELL KERR FORSTER Certified Public Accountants 410 Park National Bank Bldg. 5353 Wayzata Boulevard Minneapolis, MN 55416 Telephone (612) 545-0421 Mr. David R. Hartley City Administrator City of Ramsey 15153 Nowthen Boulevard Northwest Ramsey, MN 55303 Dear Mr. Hartley: This letter is to explain our understanding of the arrangements for the services we are to perform for the City of RamseY for the year ending December 31, 1988. We ask that you either confirm or amend that understanding. We will perform an examination of the City's financial statements. The purpose of our examination is to express an unqualified opinion on the fairness of the presentation of the City's financial statements for the year ending December 31, 1988, in conformity with generally accepted accounting principles applied on a consistent basis. If we discover that we cannot issue an unqualified opinion, we will discuss the reasons with you before submitting a different kind of report. As you know, management has the primary responsibility for properly recording transactions in the records, for safeguarding assets, and for preparing accurate financial statements. Our basic audit function is to add reliability to those financial statements. Our examination will be conducted in accordance with generally accepted auditing standards. It will include a review of the sYstem of internal accounting control, analytical reviews, and tests of the transactions and/or balances to the extent we believe necessary. It will not include a detailed audit of all transactions and is not designed to discover defalcations or other irregulari- ties, should any exist. If the City desires that we expand the scope of our services in this regard, this letter of understanding will require revision. As a result of our review of your system of internal accounting control, we will report to you any major observed weaknesses. In addition, we ~ill perform the required state legal compliance audit covering five main categories of compliance with Minnesota laws to be tested and prepare a report on our findings. Our testing procedures will comply with provisions of the Legal Compliance Audit Guide pursuant to Minnesota Statutes Section 6.65. We will also perform an audit of federal'financial assistance activity in accor- dance with the Single Audit Act requirements and provide the corresponding reports.