HomeMy WebLinkAbout18, Audited Financials 2012Action Item # 18
Consideration of the Audited
Financial Reports for 2012
June 5, 2013
Background / History
• District is required to have its financial records audited each
year
— Two reports
• Primary government only
• Electric and water utility operations
• Consolidated
• Primary government and the community facilities districts
— Auditors give an
opinion
as to whether the
financial
statements
fairly
present
District's
financial
position
• The audit was conducted by Moss -Adams
2
New Information
• The 2012 audit is now complete and ready to be presented
to the Board of Directors
• Julie Desimone, partner at Moss -Adams will present the
results of the audit and the management letter which
includes recommendations
3
• Auditor's Responsibility under GARS
• Planned scope and timing - We performed the
audit according to the planned scope and
timing communicated during planning
o What is an audit? Financial Statements not Internal
Controls
• Significant Accounting Policies (Note 1)
o No new accounting policies that had an impact on
the financial statements
o No changes to existing policies
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• Accounting estimates - typical for industry
o Unbilled revenue
o Allowance for doubtful accounts
o Recovery periods for the cost of plant
o Other post -employment benefit obligations
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RESULTS OF AUDIT PROCESS
• Auditor's Report - Unmodified opinion on
financial statements - what you want!
• Adjustments - None
• Passed Adjustments -
o Reversing impact of prior year passed adjustment to
depreciation expense for work orders completed but
not closed at year end
o Adjustment to beginning net assets for overstated
contributed capital in 2007
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RESULTS OF AUDIT PROCESS
• No material weaknesses or significant control
deficiencies to report
• TDPUD staff - Accounting department was
prepared, helpful and knowledgeable
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• Disagreements with Management - None
• Consultation with Other Accountants - None
• Difficulties Encountered in Performing the
Audit - None
• Independence - No situations or conditions
that arose that would impair in appearance or
fact
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SAS 115 COMMUNICATIONS
• Other matters
o Adjustments to customer accounts
o Review of large commercial bills
o Inventory cycle counts
o Work order close & documentation
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QUESTIONS, C
COMMENTS?
Fiscal Impact
There is no direct fiscal impact associated with this item
12
Recommendation
Accept the Audited Financial Reports for 2012
13