CCR1991218COMMON COUNCIL - CITY OF MUSKEGO
RESOLUTION #218-91
APPROVAL OF AGREEMENT BETWEEN
THE CITY AND CONLEY, MCDONALD, SPRAGUE & COMPANY
FOR AUDIT SERVICE OF SEWER AND WATER UTILITY
FOR YEAR ENDING 12/31/91
WHEREAS, it is necessary for the City of Muskego to enter into
an agreement to cover procedures to be used in the auditing of
the City's Sewer and Water Utility, and
WHEREAS, the firm Conley, McDonald, Sprague & Company has
audited the City's books for over twenty years, and
WHEREAS, the Finance Committee has recommended approval of an
agreement between the City and the firm.
NOW, THEREFORE, BE IT RESOLVED that the Common Council of the
City of Muskego, upon the recommendation of the Finance
Committee, does hereby authorize the Mayor and Clerk to execute
an agreement between the City of Muskego and the firm of Conley,
McDonald, Sprague & Company to audit the City's Sewer and Water
utility for the year ending December 31, 1991.
BE IT FURTHER RESOLVED that said agreement is subject to the
approval of the City Attorney.
DATED THIS lOTH DAY OF SEPTEMBER , 1991.
SPONSORED BY:
FINANCE COMMITTEE
Ald. Daniel J. Hilt
Ald. Edwin P. Dumke
Ald. Harold L. Sanders
This is to certify that this is a true and accurate copy of
Resolution #218-91 which was adopted by the Common Council of
the City of Muskego.
8/91cac
Deferred 8/27/91
CONLEI: McDONALD, SPRAGUE & CO.
Certified Public Accounmrs &I Consultants
Frederick L LIWU. C.PA.
Nlchalar D. Qumaro, C.PA.
Victor N Wetler. C PA.
Wdlism B. Volkmann. C.PA,
Roben L Gundrum.C.PA.
David L. Damhue. C FA.
Donald N. Vilmc. C.PA.
Paul A Nowmrkl.C.PA.
I9601 W Bluemound Rand
PO. Box0975
Brookhcld. Wiscanm 51008.0975
(414)796-0701
FAX(414) 796-8422
Krnorha. Wircanrm jIl40
2106 6lrd Strccc
(414)657.6156
(414) 552-7909
FAX(+L4)657"lll.( August 20, 1991
Mr. Wayne G. Salentine, Mayor
City of Muskego Sewer and Water Utility
W180 S7732 Racine Avenue
Muskego, WI 53150
Dear Mr. Salentine:
We are pleased to serve as independent accountants for the City of Muskego Sewer and
Water Utility. This will confirm our understanding of the arrangemenrs for our audit of
the financial statements for the year ending December 31, 1991.
The purpose of our audit is to express an unqualified opinion on the fairness of
presentation of the Sewer Utility's and Water Utility's financial statements for the year
ending December 31, 1991, and their conformity with generally accepted accounting
principles. If our opinion will be other than unqualified, the reasons will be discussed with
you.
Our audit will be conducted in accordance with generally accepted auditing standards and
will include our examining, on a test basis, evidence supporting the amount and disclosures
in the financial statements, assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial statement presentation.
The objective of our engagement is the completion of the foregoing audit and, upon its
completion and subject to its findings, the rendering of our report. As you how, the
financial statements are the responsibility of the management and the Common Council of
the City of Muskego who are primarily responsible for the data and information set forth
therein, as well as for the maintenance of an appropriate internal control structure (which
includes adequate accounting records and procedures to safeguard the Utilities' assets).
Accordingly, as required by generally accepted auditing standards, our procedures will
include obtaining written confirmation from management concerning important represen-
tations which we will rely upon.
As also required by generally accepted auditing standards, we will plan and perform our
audit to obtain reasonable, but not absolute, assurance about whether the financial state-
ments are free of material misstatement. Accordingly any such audit is not a guarantee of
the accuracy of the financial statements and is subject to the inherent risk that errors,
irregularities (or illegal acts), if they exist, might not be detected. If we become aware of
any such matters during the course of our audit, we will bring them to your attention.
Should you then wish us to expand our normal auditing procedures, we would be pleased
to work with you to develop a separate engagement for that purpose.
City of Muskego Sewer and Water Utility
Page Two
August 20, 1991
Field work is tentatively scheduled to begin in September or October 1991. Final Geld
work is tentatively scheduled for March 1992. The audit reports will be submitted prior to
May 31, 1992. Assistance to be supplied by your personnel including the preparation of
schedules and analysis of accounts will be discussed and coordinated with the City Clerk.
Timely completion of this work will facilitate achieving the best audit performance with the
minimum of time.
We will prepare the financial portion of the Water Utility's Public Service Commission
Annual Report for 1990. We understand that this report is due April 1, 1992. This report
is a special report and therefore it is not to be considered as audited by US.
Our fees are based on the time required by individuals assigned to the engagement plus
direct expenses. Individual hourly rates vary according to the degree of responsibility
involved and the skill required.
I will be the partner in charge of all work we will perform for you. It will be my
responsibility to insure that the management receives good service. I will call upon other
partners in the firm for a second point of view or a specialized knowledge as necessary.
The audit this year will be supervised by Mr. Paul Batchelor, CPA, Audit Manager, assisted
by other members of the staff as necessary.
We look forward to our association with you and your staff and appreciate the opportunity
to serve the Cicy of Muskego Sewer Utility and Water Utility. Please call if you have any
questions about any aspect of our engagement. If this letter correctly expresses your
understanding of the agreement, please sign the enclosed copy where indicated and return
it to us.
Very truly yours,
CONLEY, McDONW,,SPRAGUE & CO.
Donald N. Vilione, CPA
Partner
DNV/klp:me
The foregoing letter fully describes the services required and is accepted by us.
CITY OF MUSKEG0
Date Wayne G. Salentine, Mayor