El Dorado County Grand Jury
• 2002-2003
Audit & Finance Committee Georgetown Divide Public Utility District Accounting Practices
⚠️ Aviso de traducción: Este contenido ha sido traducido automáticamente. El texto original en inglés es la versión oficial. La traducción puede contener errores.
⚠️ Este contenido ha sido traducido automáticamente. El texto original en inglés es la versión oficial. La traducción puede contener errores.
Findings 5 findings
F1
The Consultant performed audits for GDPUD from 1981 through 1995 in addition to certain accounting functions with GDPUD management knowledge and approval.
F2
Generally Accepted Accounting Principles (GAAP) and Generally Accepted Auditing Standards (GAAS) do not allow a self-audit. Government Auditing Standards (Yellow 5 Book) do allow self-audits under certain conditions. The Yellow Book was revised in January 2003 to disallow a self-audit and any appearance of same.
F3
It appears no Management Representation Letter was presented to the auditor for the fiscal year ending June 30, 2000.
F4
The General Manager signed a Management Representation Letter for the fiscal year ending June 30, 2002 covering a period of time prior to his employment.
F5
The Consultant did not have a written contract for accounting services until 2001. There were Letters of Engagement only for the auditing functions signed by the General Manager.
Recommendations 4
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R1An independent audit firm should conduct the annual audit.
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R2Proper letters of engagement and management representation should be prepared for the audit.
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R3Board Members and the General Manager should not allow a self-audit or the appearance of a self-audit.
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R4GDPUD should enter into contracting services with a clear statement and understanding by all parties of work to be done. Responses Required for Findings