ITEM:

CONSENT CALENDAR

 

5.

REVIEW AND ACCEPT INDEPENDENT AUDIT REPORT FOR FISCAL YEAR 2008-09

 

Meeting Date:

January 28, 2010

Budgeted:

N/A

 

From:

Darby Fuerst,

Program/

N/A

 

General Manager

Line Item No.:

 

Prepared By:

Rick Dickhaut

Cost Estimate:

N/A

 

General Counsel Review:N/A

Committee Recommendation: The Administrative Committee reviewed this item on January 20, 2010 and recommended≠≠≠≠≠≠≠≠≠≠ approval.

CEQA Compliance:N/A

 

SUMMARY:Drafts of the Financial Statements and Independent Auditorsí Report (Report) and Board Disclosure Letter for the fiscal year ending June 30, 2009 have been received from the Districtís external auditors, Hayashi & Wayland.The documents have been distributed under separate cover to the Board and are available for public review at the District office.The Report will also be posted on the Districtís website after it has been approved by the Board.This was the last year of a three-year agreement with Hayashi & Wayland to audit the Districtís financial records.

The auditors have issued a clean opinion on the financial statements.The statements show that revenues for the year totaled $5,528,604 and expenditures were $5,811,547, resulting in a deficit (use of reserves) of $282,943.This actual use of reserves compared to the budgeted deficit of $1,074,300.The Districtís net assets increased by approximately $316,700 during the year, largely due to capitalized expenditures for the work completed on the Districtís second well for its Aquifer Storage and Recovery (ASR) Project. The Administrative Committee met with representatives from Hayashi and Wayland and reviewed the Auditorsí Report and the Board Disclosure Letter at its January 20, 2010 meeting.

 

A Management Letter may be issued in conjunction with the Report to offer constructive suggestions for improvements on matters that came to the auditorsí attention in connection with the audit.A Management Letter was not deemed necessary by Hayashi & Wayland in connection with the audit for this fiscal year.

 

RECOMMENDATION:District staff recommends that the Board review and accept the Financial Statements and Independent Auditorsí Report for the year ending June 30, 2009.The Administrative Committee reviewed draft report January 20, 2010 and voted _ to _ to recommend approval of the staff recommendation.

 

EXHIBITS

None

 

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