HomeMy WebLinkAboutVan Lant & Fankhanel, LLP 2015-05-12; Amendment 06 2019-08-29VIF
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Fankhanel, LLP
--ti Certified Public Accountants H --
August 29, 2019
Daniel Buffalo
Finance Director
300 Seminary Ave.
Ukiah, CA 95482
COU 1415197-A6
We are pleased to confirm our understanding of the nature and limitations of the services we are
to provide for the City of Ukiah (City):
We will apply the attached agreed-upon procedures which the City of Ukiah has specified, for the
period ended June 30, 2018. The engagement is solely to assist the City in determining the data
and information included on the letter provided to the California Integrated Waste Management
Board dated August 27, 2019 (the "Letter") agrees with or was derived directly from the audited
financial statements for the fiscal year ended June 30, 2018. Our engagement to apply agreed-
upon procedures will be conducted in accordance with attestation standards established by the
American Institute of Certified Public Accountants. The sufficiency of the procedures is solely the
responsibility of those parties specified in the report. Consequently, we make no representation
regarding the sufficiency of the procedures described in the attachment either for the purpose for
which this report has been requested or for any other purpose.
Because the agreed-upon procedures do not constitute an examination, we will not express an
opinion on the City's Letter or financial statements, or any elements, accounts, or items thereof.
In addition, we have no obligation to perform any procedures beyond those listed in the
attachment.
We plan to begin our procedures on September 3, 2019, and unless unforeseeable problems are
encountered, the engagement should be completed by September 20, 2019.
We will issue a written report upon completion of our engagement that lists the procedures
performed and our findings. Our report will be addressed to the City of Ukiah. If for any reason
we are unable to complete any of the procedures, we will describe in our report any restrictions
on the performance of the procedures, or not issue a report and withdraw from this engagement.
You understand that the report is intended solely for the use of the City Council members of the
City of Ukiah and management of the City of Ukiah, and should not be used by anyone other than
these specified parties. Our report will contain a paragraph indicating that had we performed
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additional procedures, other matters might have come to our attention that would have been
reported to you.
An agreed-upon procedures engagement is not designed to detect instances of fraud or
noncompliance with laws or regulations; however, we will communicate to you any known and
suspected fraud and noncompliance with laws or regulations affecting the Letter that come to our
attention. In addition, if, in connection with this engagement, matters come to our attention that
contradict the Letter, we will disclose those matters in our report.
You are responsible for the presentation of the Letter and that it is in accordance with the
information required by the California Integrated Waste Management Board; and for selecting the
criteria and determining that such criteria are appropriate for your purposes. You are also
responsible for, and agree to provide us with a written assertion about the information in the Letter.
In addition, you are responsible for providing us with (1) access to all information of which you are
aware that is relevant to the performance of the agreed-upon procedures on the subject matter,
(2) additional information that we may request for the purpose of performing the agreed-upon
procedures, and (3) unrestricted access to persons within the entity from whom we determine it
necessary to obtain evidence relating to performing those procedures.
At the conclusion of our engagement, we will require certain written representations in the form
of a representation letter from management that, among other things, will confirm management's
responsibility for the information presented in the Letter in accordance with the requirements of
the California Integrated Waste Management Board.
Brett Van Lant is the engagement partner and is responsible for supervising the engagement and
signing the report.
Our fees for these services will be $1,750. The fee estimate is based on anticipated cooperation
from your personnel and the assumption that unexpected circumstances will not be encountered
during the engagement. If significant additional time is necessary, we will discuss it with you and
arrive at a new fee estimate before we incur additional costs. Our invoices for these fees will be
rendered each month as work progresses and are payable upon presentation. In accordance
with our firm policies, work may be suspended if your account becomes 30 days or more overdue
and will 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. You will be obligated to compensate us
for all time expended.
We appreciate the opportunity to assist you and believe this letter accurately summarizes the
significant terms of our engagement. If you have any questions, please let us know. If you agree
with the terms of our engagement as described in this letter, pleases sign a copy and return it to
us. If the need for additional services arises, our agreement with you will need to be revised.
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Very truly yours,
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Van Lant & Fankhanel, LLP
Brett Van Lant, CPA
RESPONSE:
This letter correctly sets forth the understanding of the City of Ukiah.
By:
Title: CA- J
Date: - `t - l `�
Schedule of Agreed-upon Procedures
Concerning the statements and information provided on items 1 through 5 as listed on the Letter:
1. Determine the amount presented in item (1) of the Letter for the Corrective Action Costs
agrees with the report provided by Rau and Associates Inc., dated January 9, 2014
regarding the Cost Estimate for Corrective Action Plan for Non -Water Release for the City
of Ukiah Landfill, 3100 Vichy Springs Road, Ukiah CA.
2. Determine if the City reported outstanding general obligation debt in the financial
statements for the fiscal year ended June 30, 2018.
3. Determine if the City operated at a deficit equal to five percent or more of total annual
revenue in each of the past two fiscal years. The total annual revenues for each of the
past two fiscal years will consist of the total revenues from the Statement of Revenues,
Expenditures, and Changes in Fund Balances for the Governmental Funds and the total
revenues from the Statement of Revenues, Expenses, and Changes in Net Position for
the Proprietary Funds, excluding internal service funds. The deficit, or surplus, for each
of the past two fiscal years will consist of the "Net Change in Fund Balances" on the
Statement of Revenues, Expenditures and Changes in Fund Balance for the
Governmental Funds and the "Change in Net Position" on the Statement of Revenues
Expenses and Changes in Net Position for the Proprietary Funds, excluding the internal
service funds.
4. Determine if the City received an adverse opinion, disclaimer of opinion, or other qualified
opinion from the independent certified public accountant auditing its financial statements
for the year ended June 30, 2018.
Concerning the statements and information provided on items 7 through 12 as listed on the Letter:
5. Determine the amounts presented in the Letter for items 7 through 12 were derived directly
from the audited financial statements for the fiscal year ended June 30, 2018.
Concerning the statements and information provided on items 13 through 15 as listed on the
Letter:
6. Determine, by recalculating each ratio for items 13 through 15, if the responses are
appropriate.
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