TO: CITY COUNCIL
VIA: CITY ADMINISTRATOR
FROM: DIRECTOR OF FINANCE
DATE: JUNE 4, 2024
Placentia City Council
AGENDA REPORT
SUBJECT: ANNUAL COMPREHENSIVE FINANCIAL REPORT FOR THE PERIOD ENDING JUNE 30, 2023
FISCAL
IMPACT: NONE
SUMMARY:
The annual audit of the City's financial records has been completed by the City's audit firm, Clifton Allen Larson (CLA). Part of the audit contract includes working with Staff to complete the Annual Comprehensive Financial Report ("ACFR"). The ACFR was reviewed with the Financial Audit Oversight Committee ("FAOC") on May 29, 2024. The FAOC approved the report and recommended for the City Council to receive and file without any material modifications.
RECOMMENDATION:
It is recommended that the City Council take the following actions:
1. Receive and file the Annual Comprehensive Financial Report for the period ending June 30, 2023, as recommended by the Financial Audit Oversight Committee.
DISCUSSION:
Each year the City has an external audit performed by an independent auditing firm. At the conclusion of the audit process, the auditors and the City's Finance Department complete the ACFR. As required by the Government Accounting Standards Board (GASB), the report's format includes standardized reporting information such as the Management Discussion and Analysis, Required Supplementary Information, and Government -wide Financial Statements including the Statement of Net Position and Statement of Activities.
Also included in the report is the Independent Auditors' Report. In the opinion of the auditors (CLA), the financial statements are presented fairly in all material respects. The audit of the City's financial records was completed in accordance with generally accepted auditing standards applicable to financial audits contained in Government Audit Standards issued by the Government Accountability Office. The City received a "clean" or unmodified opinion for the audit this year in that there were no findings issued. Due to various actions taken by City management over the
3.b.
June 4, 2024
City Council Agenda
June 4, 2024
past several years, including establishing several additional internal controls, the City has not received any findings since the 2015-16 embezzlement. This marks eight (8) years of operations with the City receiving no findings.
The ACFR was presented to the Financial Audit Oversight Committee at its meeting on May 29, 2024, at which time the report was approved and recommended for the City Council to receive and file.
ALTERNATIVE OPTIONS:
There are no alternative actions recommended.
FISCAL IMPACT:
There is no fiscal impact to the recommended action.
Prepared by:
Reviewed and appvored:
erry riggs Jennifer Lampman
Ac unting Manager Director of Finance
eviewed and approved:
Damien R. Arrula�
City Administrator
Attachments:
1. Annual Comprehensive Financial Report for Year ended June 30, 2023
2. Presentation from CliftonAllenLarson