CCR1987187COMMON COUNCIL - CITY OF MUSKEG0
RESOLUTION #187-87
APPROVAL OF AGREEMENT BETWEEN THE CITY AND
CONLEY, McDONALD, SPRAGUE AND COMPANY
FOR AUDIT SERVICE (GENERAL FUND)
(Year Ending 12/31 /87)
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 General Fund, and
WHEREAS, the firm of Conley, McDonald, Sprague h 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 of Conley, McDonald,
Sprague h Company.
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 General Fund for
the year ending December 31, 1987.
BE IT FURTHER RESOLVED that said agreement is subject to the
approval of the City Attorney.
0
DATED THIS ?)-f& DAY OF ,-A 1987.
FINANCE COMMITTEE
OANlEL A. SCHULZ. C PA
NICHOLAS 0. OUARTARO. C.PA
FREDERICK L LICAU. C.P.A.
VICTOR N WElLER~ C PA
WlLLlAM 0. VOLKMANN. C.PA
ROBERT L GUNORUM. C.P.A
~- ~ ~~~~~
OAVlO L. DONIHUE. C.P.A.
PAUL A. NOWINSKI. C.PA.
OONALO N. VILIONE. C.PA.
~~ ~
RICHARD J. HAMMEL. C.P.A.
ROBERT J HAMMEL. C.P.A.
THOMAS J. SCHOENECKER. CPA
CONLEY McOONALO. SPRAGUE 6 CO.
CERTIFIED PUBLIC ACCOUNTANTS
MILWAUKEE. WISCONSIN 53222.4478
2825 NORTH MAYFAIR ROAO
AREA COOE ai4 771-1820
KENOSHA. WISCONSIN 53140
AREA COOE 414 ~82-7~0s
2108 83RO STREET
AREA COOE 414 857-6158
501 1 S. PACKARO AVE.
CUOAHY, WI 531 10
AREA COOE 414 481.3520
August 18, 1987
Mr. Wayne G. Salentine, Mayor
W180 57732 Racine Avenue
City of Muskego
Muskego, WI 53150
Dear Mr. Salentine:
We are pleased to serve as independent accountants for the City of Muskego.
This will confirm our understanding of the arrangements for our examination of
the combined financial statements for the year ended December 31, 1987.
Our basic engagement is to examine and report on the combined financial
statements of the following funds and account groups:
Governmental Fund Types:
General Fund
Debt Service Fund
Special Revenue Fund
Capital Projects Fund
Proprietary Funds:
Special Assessment Fund
Water Utility
Sewer Utility
Fiduciary Funds - Trust and Agency
Account Groups:
General Long-Term Debt
General Fixed Assets
The purpose of our examination is to express an unqualified opinion on the
December 31, 1987, and their conformity with generally accepted accounting
fairness of presentation of the City's financial statements for the year ended
principles applied on a basis consistent with that of the preceding year. If
our opinion will be other than unqualified, the reasons will be discussed with
you.
MEMBERS OF. 4MERICAN INSTiTUTE OF CEATiFlEO PUBLIC ACCOUNTANTS * WISCONSIN INSTITUTE OF CERTlFiEO PUBLIC ACCOUNTANTS. NATIONAL CPA GROUP
City of Muskego
Page Two
The examination will be in accordance with generally accepted auditing stan-
dards and will include such auditing procedures as we consider necessary in
the circumstances. These procedures will include a review of the system of
the accounts and other tests of assets, liabilities, fund balances, revenues
internal control, a test of documentary evidence of transactions recorded in
mation by correspondence with entities outside the City. Accordingly, the
and expenditures through analysis, physical observation and/or direct confir-
examination will not include an audit of transactions to the extent required
discovery may result.
if intended to disclose defalcations or similar irregularities, although their
We direct your attention to the fact that management has the responsibility
guarding of assets and for substantial accuracy of the financial statements.
for proper recording of transactions in the books of account, for the safe-
Such statements are representations of management.
Preliminary field work is tentatively scheduled for October, 1987. Final
will be submitted prior to May 31, 1988. Assistance to be supplied by your
field work is tentatively scheduled to begin in March, 1987. The audit report
will be discussed and coordinated with the City Clerk. Timely completion of
personnel, including the preparation of schedules and analysis of accounts
this work will facilitate achieving the best audit performance with the
minimum time.
We will assist in the preparation of the Financial Report Form for Wisconsin
Cities and Villages to be filed with the Wisconsin Department of Revenue.
This report is considered a special report and therefore. is not to be consi-
dered as audited by us. The report will be completed prior to the due date of
May 1, 1988. This report requires many allocations of expenses beyond which
is recorded on the City's records. It will be necessary that these alloca-
tions be reviewed annually by the City. Determination of these allocations by
the City will facilitate the report preparation in minimum time.
The City is required by Wisconsin statutes to make available to the public
updated annual reports describing the status of each existing tax increment
Tax Increment District Funds for the year ended December 31, 1987, and issue a
financing district. We will compile the financial statements of the City's
separate report thereon before December 31, 1988.
Our fees are based on the time required by the 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
will call upon other partners in the firm for a second point of view or a
be my responsibility to insure that your management receives good services. I
specialized knowledge as necessary.
Manager, assisted by other members of the staff as necessary.
The audit this year will be supervised by Mr. Charles 0. Miller, CPA, Audit
We look forward to our association with you and your staff and appreciate the
opportunity to serve the City of Muskego. Please call if you have any ques-
tions about any aspect of our engagement.
.
0 Page Three
City of Muskego
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, McDONALD, SPRAGUE h CO.
Donald N. Vilione, CPA
Partner
DNV/ tms :me
Approved:
e Name :
Title:
Date: