Auditor General Update

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Auditor General Update
FGFOA School of Government Finance November 15,
2006
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Who is the Auditor General?

• Constitutional Officer
• Legislative Officer
• Certified Public Accountant

• William O. Monroe, CPA

Florida Auditor General
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What does the Auditor General do?
Florida Auditor General
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Auditor Generals Audit Responsibilities

• State-wide Financial and Federal Audits
• State Agency Operational Audits
• Educational Entity Audits
• Colleges
• Universities
• District School Boards
• Local Government Entity Audits
• Information Technology Audits

Florida Auditor General
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Local Government Audits by the Auditor General

• Authorized to audit any local government at any
  time (financial, financial-related, operational,
  performance)
• Requirements to audit local governments
• Petition of voters (municipalities only)
• Direction from Joint Legislative Audit Committee

Florida Auditor General
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Other Local Government-Related Auditor General
Responsibilities

• Repository for audit reports
• Review of audit reports
• Local Government Financial Reporting System
  Performance Audit
• Promulgation of Rules
• Technical Advice
• Financial Condition Data Source

Florida Auditor General
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Hurricane Impact

• Accounting for FEMA Reimbursements
• Exemptions from Government Auditing Standards
• FSAA Report Submission Deadlines

Florida Auditor General
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Accounting for FEMA Reimbursements

• Q A developed by the FICPA (available on FICPA
  web site at www1.ficpa.org/ficpa/Sections/slgov)
• Accrual of expenditures/liabilities
• Accrual of revenues/receivables
• GFOA Certificate of Achievement
• Accountability for FEMA reimbursements
• Audit considerations
• Florida Single Audit Act considerations
• Schedules of Expenditures of Federal Awards and
  State Financial Assistance
• Basis of accounting
• Consequences of over- or underestimating eligible
  hurricane-related expenditures

Florida Auditor General
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Government Auditing StandardsExemptions
Hurricanes Katrina and Rita

• Independence requirements related to performance
  of management functions
• Reconstruction of lost or destroyed records
• Peer review requirements
• Continuing professional education requirements
• Financial records, program records, or supporting
  documentation destroyed
• Audit documentation is lost or destroyed before
  issuance of audit report

Florida Auditor General
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Laws Update 2006 Session

• Florida Impact Fee Act
• Senate Bill 1194
• Impact fee ordinance requirements
• Audits of local governments or school boards
  submitted to the Auditor General must include an
  affidavit by the chief financial officer stating
  that the local government or school board has
  complied with Section 163.31801, Florida Statutes

Florida Auditor General
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Laws Update 2006 Session

• Per Diem Travel Expenses
• Senate Bill 428
• Increases rates for State agencies
• No fiscal impact on municipalities
• Counties, school boards, and special districts
  may set rates that vary from s. 112.061, FS, but
  not below statutory rates for 2005-06

Florida Auditor General
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Laws Update 2006 Session

• Financial Emergency Act - Charter Schools
• House Bill 7103
• Applies Financial Emergency Act to charter
  schools
• Auditor to report financial emergency condition
  to governing body within 7 days of finding
• Charter school to file Financial recovery Plan
  with sponsor within 10 days of audit
• Charter school sponsor to determine actions to
  resolve the financial emergency
• Department of Education to prescribe guidelines
  for Financial Recovery Plans

Florida Auditor General
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Laws Update 2006 SessionState Financial
MattersSenate Bill 2548

• Department of Financial Services to review CPA
  certified county court-related expenditure
  reports (s. 29.0085, FS) to determine if
  court-related expenditures have increased by 1.5
• Due date for CPA certified statement of
  court-related expenditures (s. 29.0085, FS)
  changed from 6 to 4 months after fiscal year end

Florida Auditor General
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Laws Update 2006 SessionState Financial
Matters (contd)Senate Bill 2548

• Tangible personal property rulemaking
  responsibility under s. 274.02, Florida Statutes,
  from the Auditor General to the Department of
  Financial Services
• Same for State agencies (s. 273.055, FS)

Florida Auditor General
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Rules of the Auditor General

• 10.300 State-owned Tangible Personal Property
• 10.400 Local Government-Owned Tangible
  Personal Property
• 10.550 Local Governmental Entity Audits
• 10.650 State Single Audits Nonprofit and
  For- Profit Organizations
• 10.700 Audits of Direct Support Organizations
  and Citizen Support Organizations
• 10.800 District School Board Audits
• 10.850 Charter School Audits

Florida Auditor General
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Rules of the Auditor General

• 10.350 State-owned Surplus Tangible Personal
  Property
• 10.550 Local Governmental Entity Audits
• 10.650 State Single Audits Nonprofit and
  For- Profit Organizations
• 10.700 Audits of Direct Support Organizations
  and Citizen Support Organizations
• 10.800 District School Board Audits
• 10.850 Charter School Audits

Florida Auditor General
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Rules of the Auditor General2005
ChangesChapters 10.550

• Pre-GASB 34 references removed
• 2005 Florida Single Audit Changes
• Transfer of responsibilities from Governor to
  Department of Financial Services (DFS)
• DFS Website https//apps.fldfs.com/fsaa/

Florida Auditor General
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(No Transcript)
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Rules of the Auditor GeneralProposed 2006
ChangesChapters 10.550

• Impact Fee Affidavit
• Reporting of Florida Single Audit Act Major
  Program Threshold
• Updated References

Florida Auditor General
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Article V Compliance

• Auditors of Clerks required to report on
  compliance with Article V
• Budget Requirement
• Performance Measures
• Compliance Supplement
• Remittance of Excess Fees by January 1

Florida Auditor General
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Article V Review ResultsFiscal Year Ended 9/30/04

• Independent Audit Results
• Reports lacking Article V statement 2
• Reports indicating budget noncompliance 0
• Reports indicating performance measure
• noncompliance 2

Florida Auditor General
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Article V Review ResultsFiscal Year Ended 9/30/05

• Clerks of Court Operations Corporation
  Performance Results
• Timeliness Standards (20)
• 22 of 29 Clerks did not achieve at least 1
  performance standard
• Collection Rate Standards (9)
• 20 of 29 clerks did not achieve at least 1
  performance standard

Florida Auditor General
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Local Government Financial Reporting System
Performance Audit
Florida Auditor General
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Local Government Financial Reporting System
(LGFRS)
Authority Section 11.45(2)(h), Florida
Statutes Definition Any statute related to
financial reporting Purpose Timely, accurate,
uniform, and cost-effective accumulation and
other information for use by the Legislature
and other officials Goals

• Enhance citizen participation in local government
• Improve the financial condition of local
  governments
• Provide essential government services in an
  efficient and effective manner
• Improve decision-making by the Legislature, State
  agencies, and local
• government officials

Florida Auditor General
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LGFRS Performance Audit

• Scope and objectives
• Community Redevelopment Agencies compliance with
  various requirements of Chapter 163, Part III, FS
• Audit Follow-up of any audit findings included in
  our prior audit Report No. 2004-006 including
• Financial Reporting of Local Governments
• Annual Financial Reports
• Special District Bonds
• Local Government Retirement Systems

Florida Auditor General
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LGFRS Performance AuditCommunity Redevelopment
Agencies

• Overview Community Redevelopment Act
• Chapter 163, Part III authorizes the creation of
  a CRA for the purpose of redevelopment of slums
  and blighted areas
• Provides requirements to address the manner in
  which a CRA can be established, the powers of the
  Agency, funding of the CRA, expenditure
  restrictions and reporting and audit requirements

Florida Auditor General
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LGFRS Performance AuditCommunity Redevelopment
Agencies

• Objective
• Determine whether public funds distributed to
  CRAs are being used for efficient appropriate
  purposes, and adequacy of CRA audits per ss.
  163.387(8) 218.39

• Procedures
• Determining whether all CRAs complied with the
  audit requirements of s. 163.387(8), FS.
• For a sample of CRAs, determine whether (1)
  taxing authorities made required contributions of
  tax increment revenues to the CRA (2) the CRA
  adopted budgets in accordance with s. 189.418(3),
  FS and (3) CRA expenditures benefited CRA, and
  complied with CRA Plan and ss. 163.387(6)
  163.370(2), FS.

Florida Auditor General
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LGFRS Performance AuditCommunity Redevelopment
Agencies

• Requirement Audit Compliance
• Section 163.387(8), FS, requires CRAs to provide
  for annual audits of their redevelopment trust
  funds each fiscal year, including information on
  amount and sources of deposits and amount and
  purpose of withdrawals. Also, certain information
  on outstanding debt to which is pledged increment
  revenues.
• Finding
• CRAs are not obtaining the required financial
  audits.
• Recommendation
• CRA should provide for the required annual
  audit. If included in another entitys report,
  opinion on trust fund must be included.

Florida Auditor General
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LGFRS Performance AuditCommunity Redevelopment
Agencies
Requirement Tax Increment Funding Tax
authorities to remit annual tax increment by
January 1. Amounts not paid timely must include
additional 5 percent on the amount of the
increment and 1 percent interest per
month. Finding Taxing authorities did not
timely pay tax increment funds to CRAs, which did
not bill the taxing authorities for additional
monies and interest due. Recommendation
Taxing authorities should ensure timely payment
of TIFs. If not paid timely, CRA should assess
and collect any additional amounts imposed by the
law.
Florida Auditor General
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LGFRS Performance AuditCommunity Redevelopment
Agencies

• Requirement CRA Expenditures
• Sections 163.387(6), and 163.370(2), FS, require
  that moneys in the trust fund must be used for
  projects directly related to financing/refinancing
  in the CRA pursuant to an approved plan.
• Basic tenet of good accounting control to
  demonstrate that costs are commensurate with
  benefits derived.
• State Constitution, prohibits giving, lending or
  using taxing power to aid a corporation,
  association, partnership or person.

Florida Auditor General
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LGFRS Performance AuditCommunity Redevelopment
Agencies

• CRA Expenditures not Adequately Documented
• Lack of documentation for salary payments for
  employees splitting time between CRA city
  functions (1,593,577)
• Lack of approval for project payments (696,746)
• Overpayment on a cost-sharing agreement
  (300,000)
• Lack of control over contributions to nonprofits
  (105,000)
• No invoices - conference attendance/trash removal
  (85,622)
• Chair rental for a City event unrelated to CRA
  Plan (3,000)

Florida Auditor General
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LGFRS Performance AuditCommunity Redevelopment
Agencies

• Recommendations
• All expenditures should be properly authorized
  and documented.
• Actual time spent on CRA activities should be
  documented and salaries and benefits paid
  commensurate with the time spent.
• Contributions to private, nonprofits should be
  based on an agreement identifying a CRA purpose
  and CRAs should exercise control over the funds
  disbursed by the nonprofits.

Florida Auditor General
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LGFRS Performance AuditCommunity Redevelopment
Agencies

• Requirement Budgetary Compliance
• Section 189.418(3), FS, requires the governing
  body of each special district to adopt a budget
  by resolution each fiscal year and prohibits
  budget overexpenditures.
• Finding Budgetary Compliance
• 4 CRAS did not adopt budgets by resolution and 3
  overspent their budget.
• Recommendation
• Budgets should be adopted by resolution each
  fiscal year for all expenditures and budgets
  should not be overspent.

Florida Auditor General
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LGFRS Performance AuditCommunity Redevelopment
Agencies

• Requirement Report of Activities
• Section 163.356(3)(c), FS, requires CRAs to file
  report of activities with its governing body by
  March 31 following the fiscal year and to notice
  filing in a newspaper.
• Finding
• 11 and 12 of 20 CRAs did not prepare the report
  of activities for 2002-03 and 2003-04,
  respectively
• Recommendation
• CRA should provide the required report. The CRA
  should confer with its governing body regarding
  the non-financial information to be included.

Florida Auditor General
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LGFRS Performance AuditLocal Government
Financial Reporting

• Requirement Electronic Filing of Annual
  Financial Reports
• Section 218.32(1), FS, requires local
  governments to submit to Department of Financial
  Services an Annual Financial Report covering
  operations for the preceding fiscal year.
• Finding
• DFS should continue to enhance their local
  government database and electronic filing system
  to increase local government participation
• Recommendation
• At a minimum, survey all local governments that
  continue to file manually and determine what
  changes would be necessary for them to begin to
  use the system.

Florida Auditor General
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LGFRS Performance AuditLocal Government
Financial Reporting

• Finding Reporting by Unaudited Local
  Governments
• Monitoring of timely submission of AFRs from
  unaudited local governments could be improved. No
  notification was made of failure to timely file
  the AFR.
• Requirement
• Section 218.32(1)(e), FS, requires local
  governments not required to have an audit to
  submit an AFR to DFS by April 30 for preceding
  fiscal year, includes balance sheet data. DFS is
  required to notify LAC of failure to provide the
  required info.
• Recommendation
• DFS should establish procedures for timely
  identification of LGs that do not file AFRs
  timely and provide timely notice to LAC

Florida Auditor General
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LGFRS Performance AuditLocal Government
Financial Reporting

• Requirement Significant Financial Trends
  Reporting
• Department of Financial Services is required by
  Section 218.32(1)(f) to provide us with timely
  and accurate information submitted by unaudited
  local governments.
• Finding
• Our examination of the records of unaudited
  local government records indicated significant
  misstatements in amounts reported, therefore we
  did not have sufficient reliable data upon which
  to identify financial trends .
• Recommendation
• DFS should consider providing technical advice
  to smaller entities, including educational
  training and more detailed instructions, and
  review the reasonableness of AFRs submitted.

Florida Auditor General
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LGFRS Performance AuditLocal Government
Financial Reporting

• Requirement Reporting of Noncompliant Special
  Districts
• Section 218.37(1)(g), FS, requires the Division
  of Bond Finance to provide Department of
  Community Affairs with a report of special
  districts that did not provide advance notice of
  impending bond sales and that did not file
  certain information with the DBF within 120 days
  after delivery of the bonds.
• Finding
• DBF report on special districts not in
  compliance with Section 218.38, FS, could be
  improved to better meet needs of DCA.
• Recommendation
• DBF should consider the needs of DCA and modify
  the report accordingly, including ensuring that
  all of the entities are correctly identified as
  in the Official List of Special Districts.

Florida Auditor General
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LGFRS Performance AuditLocal Government
Financial Reporting

• Requirement Review of Actuarial Reports/Impact
  Statements
• Section 112.63(4), FS, requires Division of
  Retirement to review all local government pension
  plan actuarial valuations and impact statements
  at least triennially.
• Finding
• The Division of Retirement had not adopted
  written procedures for its review of actuarial
  reports/impact statements. Status report of
  actuarial reviews received reviewed was
  inaccurate.
• Recommendation
• DMS should adopt written procedures for
  reviewing and documenting state acceptance of
  plans.

Florida Auditor General
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LGFRS Performance AuditLocal Government
Financial Reporting

• Requirement Actuarial Report Information
  Requests
• Section 112.63(4), FS, authorizes DMS to enforce
  compliance with DMS requests for additional
  information.
• Finding
• The Division of Retirement had not established
  procedures to implement notifications to plan
  administrators that did not timely respond to
  Division requests for more information and to
  withhold funds for noncompliance.
• Recommendation
• Establish procedures to implement this law.

Florida Auditor General
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Auditor Selection Guidelines

• Auditor General Performance Audits
• Auditor Selection Task Force
• Task Force Report

• Auditor Selection Law
• Chapter 2005-32,
• Laws of Florida
• Section 218.391,
• Florida Statutes

Florida Auditor General
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Auditor Selection Legal Requirements

• Application
• All local governments required by s. 218.39, FS,
  to have annual financial audits
• Counties
• Municipalities
• Special Districts
• District School Boards
• Charter Schools
• Charter Technical Centers
• Only to annual financial audit required by s.
  218.39, FS

Florida Auditor General
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Auditor Selection Legal Requirements

• Audit Committee
• Membership specified only for noncharter counties
• Required for auditor selection
• May be used for other purposes
• Auditor selection responsibilities
• Establish evaluation factors
• Publicly announce and provide requests for
  proposals
• Evaluate proposals
• Rank and recommend at least 3 firms in order of
  preference

Florida Auditor General
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Auditor Selection Legal Requirements

• Selection Options
• If compensation is not an evaluation factor
• Negotiate with firms in ranked order
• No simultaneous negotiation, but may reopen
  negotiations with any one of the three firms
• Alternative negotiation method
• If Compensation is an evaluation factor
• Select the highest ranked firm or document the
  reason for selecting another firm
• Cost cannot be the sole or predominant factor

Florida Auditor General
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Auditor Selection Legal Requirements

• Written Contract
• Services to provided
• Fees or other compensation
• Detailed invoices
• Contract period, including any renewals
• Conditions for termination or renewal

Florida Auditor General
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Auditor Selection Guidelines

• Topics
• Use of Audit Committees
• Composition of Audit Committees
• Use and Elements of an RFP
• Use and Elements of Audit Services Contracts

Florida Auditor General
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Auditor Selection GuidelinesUse of Audit
Committees

• Establishment of the Audit Committee
• Audit Committee Responsibilities
• Auditor Selection
• Monitoring the audit
• Review of financial statements
• Review of Audit Results
• Evaluation of corrective action plans
• Monitoring corrective actions
• Evaluating auditor performance

Florida Auditor General
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Auditor Selection GuidelinesAudit Committee
Composition/Size

• Goals
• Provide technical expertise for informed
  decisions
• Independence from management
• Recommended Practices
• Possession of expertise and experience
• Non-management members
• Large enough to possess needed skills but small
  enough to operate efficiently (5 to 7 members)

Florida Auditor General
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Auditor Selection GuidelinesAudit Proposal
Evaluation Factors

• Audit firm qualifications
• Independence
• Licensing
• Continuing professional education
• Quality control review
• History of performing quality audits
• Technical Qualifications
• Experience and expertise
• Audit approach

Florida Auditor General
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Auditor Selection GuidelinesRequest for Proposal

• Public announcement
• Elements Proposal Evaluation Process
• Evaluation factors
• Proposal procedures
• Right to reject proposals, require additional
  information
• Elements - Government information
• Description of government
• Known weaknesses in internal control
• Anticipated implementation problems (GASB)
• Principal contacts

Florida Auditor General
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Auditor Selection GuidelinesRequest for Proposal

• Elements Scope of Work
• Level of assurance required
• Auditing standards required
• Auditors specific reporting responsibilities
• Required timetable and deliverables
• Additional services required
• Elements Audit Conditions
• Assistance available from the government
• Auditor workspace, access to communications

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Auditor Selection GuidelinesRequest for Proposal

• Elements Auditor Firm Evaluation
• Professional skills and experience of auditors
• Independence statement
• References from other government clients
• Results of peer reviews
• Status of disciplinary actions
• Anticipated audit approach

Florida Auditor General
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Auditor Selection GuidelinesRequest for Proposal

• Elements Other
• Working papers and cooperation with other
  auditors
• Joint proposals or subcontracting
• Additional language to meet requirements of laws,
  regulations, ordinances, policies

Florida Auditor General
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Auditor Selection GuidelinesAudit Services
Contract

• Use of engagement letter
• Required contract elements
• Services to be provided and fees or other
  compensation
• Invoices in sufficient detail to demonstrate
  compliance
• Contract period, renewals, and termination
• Suggested Contract Elements
• National Intergovernmental Audit Forum
• Government Finance Officers Handbook

Florida Auditor General
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• AUDITOR GENERAL
• Local Government
• Audit Report Reviews

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How many local governments are there?

• Local governments subject to audit - FY 2004
• Counties (388 county agencies) 66
• Consolidated City/County (Jacksonville) 1
• Municipalities 407
• Special Districts (excludes housing authorities)
  1196
• Total 1670

Florida Auditor General
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Local Government Audit Report Reviews

• Filing of Audit Report
• Requirement
• All counties, municipalities, and special
  districts meeting the audit threshold must
  provide for an annual financial audit

• What we found for FY 2004 (as of June 1, 2006)
• 1008 filed audits
• LGs were sent a letter of inquiry
• 19 required to have audits didnt file
• 40 possibly required to have audits didnt file
• 286 (28) didnt file reports within allowed time
  (22 prior year)
• 233 not filed by 9/30/05 (171 not delivered until
  Sept. or later)
• 53 not filed within 45 days after delivery

Florida Auditor General
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Local Government Audit Report Reviews

• Licensing of Auditors
• Requirement
• Auditors must be licensed by the State Board of
  Accountancy (s. 218.39(1) and Ch. 473, FS)

• What we found
• 7 audits were performed by 3 unlicensed auditors
  (compared to 8 audits and 5 unlicensed auditors
  for prior fiscal year)

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Local Government Audit Report Reviews

• Items Missing from Audit Report
• Requirement
• AG by law must request items omitted contrary to
  AG Rules. Items must be provided within 45 days
  of request.
• If the LG does not comply with the AG's request,
  the AG must notify the Legislative Auditing
  Committee.

• What we found for FY 2004 (as of June 1, 2006)
• 153 LGs sent a letter requesting missing items
• 31 of these LGs did not provide requested items
• JLAC will be notified of the LGs
• May be subject to same penalty as not filing
  audit report

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Local Government Audit Report Reviews

• What did the review of FY 2004
• audit reports disclose?

See report No. 2006-???
Florida Auditor General
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LG Audit Report Review Results

• Completeness reviews
• Most deficiencies related to preparation of
  auditors reports and F/S note disclosures (see
  Appendix A Report No. 2006-190)

• Examples of deficiencies noted
• For 36 of the audit reports that reported
  material budget overexpenditures, notes to F/S
  did not disclose legal level of budgetary control
  or whether reported overexpenditures were
  contrary to law (prior year 33)
• For 63 of audit reports for which the notes
  disclosed budget overexpenditures that were
  contrary to law, were not reported in the
  auditors report on compliance and internal
  control or the management letter (prior year 51)

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LG Audit Report Review Results

• Other Completeness Deficiency Examples

• Departures from standard report on financial
  statements not included in report on compliance
  and internal control (39, 52)
• Policy as to whether to first apply restricted or
  unrestricted resources when an expense is
  incurred (both restricted and unrestricted assets
  are available) not disclosed (28, 46)
• Policy for defining operating and non-operating
  revenues of proprietary funds not disclosed (11,
  12)
• Methods for handling risk of loss not disclosed
  (16, 21)
• Report on compliance and internal control did not
  reference management letter for findings not
  considered to be material non-compliance or
  reportable conditions (15, 16)

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LG Audit Report Review Results

• Comprehensive reviews random samples
• Financial Statements and Notes (GASB 34)
• Pension Plan Note Disclosures (GASB 25 27)
• Federal Single Audit Act (OMB A-133)
• Florida Single Audit Act (Section 215.97, FS)

• Most deficiencies related to managements
  discussion and analysis, F/S presentation and
  note disclosures required by GASB 34. Also,
  several deficiencies noted for pension plan note
  disclosures, and presentation of schedules of
  expenditures, and findings questioned costs,
  for Federal awards and State financial assistance
  (see Appendix B)

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LG Audit Report Review Results

• Comprehensive Review Deficiencies

• MDA condensed financial information for the
  government-wide financial statements comparing
  current and prior year did not present
• General revenues, by major source (26)
• Program revenues, by major source (23)
• Program expenses, by function (9)
• Transfers (27)
• Change in Net Assets (16)
• Ending Net Assets (12)

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LG Audit Report Review Results

• Comprehensive Review Deficiencies

• Financial Statement Presentation
• Ending fund balances or net assets shown on the
  prior year statements did not agree with
  beginning fund balances or net assets with no
  explanation for differences (12)
• Account balances such as inter-fund
  receivables/payables, transfers and fund balances
  did not agree among F/S (9)
• Statement of Activities was not reported in the
  government-wide financial statements per GASB
  Cod. 2200.139 (8)
• Amounts reported as cash and cash equivalents on
  the statement of cash flows did not agree with
  similar account on the balance sheet and
  difference was not explained (8)

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LG Audit Report Review Results

• Comprehensive Review Deficiencies

• Notes to the Financial Statements
• Did not disclose the policy for eliminating
  internal activity on the Statement of Activities
  (28)
• Inter-fund balances not properly disclosed as
  amounts due from other funds by individual major
  fund and in the aggregate for non-major funds
  (27)
• Did not disclose principal and interest
  requirements to maturity for all long-term debt
  for each of five subsequent years and in five
  year increments after (18)
• Did not disclose types of transactions included
  in program revenue (12)

Florida Auditor General
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LG Audit Report Review Results

• Comprehensive Review Deficiencies

• Notes to the Financial Statements
• Property tax calendar did not state the correct
  assessment (lien) date of Jan. 1 and due date of
  Nov. 1 ( 83)
• Totals on supporting schedules in the notes did
  not agree with corresponding account totals on
  the F/S (12)
• Required Supplementary Information that
  reconciles budgetary information with GAAP
  presentation was not presented (26)

Florida Auditor General
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LG Audit Report Review Results

• Comprehensive Review Deficiencies

• Examples of other Deficiencies (Pensions Plans)
  
• Notes did not disclose (1) authority for plan
  benefit provisions (35) or for employer
  obligations (29) and (2) required contributions
  in dollars and as of payroll (19).
• Also, no disclosure of (1) actuarial assumed
  inflation rate (12) (2) actuarial assumptions
  for the amortization period (17) and the (3)
  actuarial method used to determine value of plan
  assets (16).

Florida Auditor General
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LG Audit Report Review Results

• Comprehensive Review Deficiencies

• Examples of other Deficiencies (Single Audit)
• Schedule of Expenditures of Federal Awards/State
  Financial Assistance did not provide the total
  amount expended for each Federal program (45)
  and State project (35)
• Schedule of Expenditures of Federal Awards/State
  Financial Assistance did not include notes
  describing the significant accounting policies
  used in preparing the Schedule (13 and 8,
  respectively)
• For 19 of audit reports with FSAA audit, the
  dollar threshold identified in the Schedule of
  Findings and Questioned Costs to distinguish Type
  A and Type B State projects was not calculated
  accurately.

Florida Auditor General
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LG Audit Report Review Results

• Significant Financial Trends 2004 Fiscal Year

• Financial Emergencies
• Audits reported that 46 local government met one
  or more financial emergency conditions (15 met a
  condition for 2003 fiscal year)
• Our review of local governments not required to
  file audit reports disclose 5 more local
  governments that met one or more conditions
• Audits reported that for 7 of the 46 local
  governments that met a financial emergency
  condition, the condition resulted from
  deteriorating financial conditions

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LG Audit Report Review Results

• Significant Financial Trends 2004 Fiscal Year

• Deteriorating Financial Conditions

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LG Audit Report Review Results

• Significant Financial Trends 2004 Fiscal Year

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LG Audit Report Review Results

• Audit Findings 2004 Fiscal Year

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LG Audit Report Review Results

• Audit Findings 2004 Fiscal Year

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Florida Auditor General

• Contact Information
• 850-487-9031 (Suncom 277-9031)
• Audit Manager Jim Dwyer
  jimdwyer_at_aud.state.fl.us
• Audit Supervisor Marilyn Rosetti
  marilynrosetti_at_aud.state.fl.us

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Florida Auditor General Contacts

• Local Government Audits
• Jim Dwyer 850-487-9031 jimdwyer
  _at_aud.state.fl.us
• Marilyn Rosetti 850-487-9031 marilynrosett
  i_at_aud.state.fl.us
• District School Board
• David Martin 850-487-9039 davidmartin_at_
  aud.state.fl.us
• Charter Schools
• Cheryl Pueschel 850-488-7435 cherylpueschel_at_
  aud.state.fl.us
• Florida Single Audit Act
• Dan Owens 850-487-9031 danowens_at_aud.s
  tate.fl.us
• Clerks of Circuit Court Article V
• Hardee Ratliff 850-487-9031 hardeeratlif
  f_at_aud.state.fl.us

Florida Auditor General
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Florida Auditor General

• Web site www.state.fl.us/audgen
• E-mail flaudgen_localgovt_at_aud.state.
  fl.us
• Headquarters 111 West Madison Street
• Room 401Pepper Building
• Tallahassee, FL
  32399-1450
• Phone [phone]
• Fax [phone]