Rialto City Council
May 9, 2023

Presentation to City of Rialto City Council
May 09, 2023
www.lslcpas.com
Audit Responsibilities and Process
• LSL has been engaged by the City to perform a financial audit and to assist in preparing your annual Audited Financial Statements (ACFR).
• Obtain understanding of internal controls and assess risk factors over financial reporting. Perform testing of information based on assessment.
• Internal controls are those policies and procedures in place to safeguard the assets of the City and to detect and correct any material errors arising in the accounting system of the City. www.lslcpas.com
Audit Process and Report
• Interim Audit
– Planning
– Inquiry and documentation
– Risk assessment
• Year-End Audit
– Account analysis
– Confirmations and Cut-off procedures
• Annual Comprehensive Financial Report
– Introductory Section (Transmittal Letter)
– Financial Section (Audit Report, MD&A, Statements and Footnotes) – Statistical Section
www.lslcpas.com
Audit Opinion
• This audit work was all performed in order to render an “opinion” on the financial statements.
– Management is responsible for the information in the statements – LSL’s opinion indicates the information is fairly stated in accordance with GAAP and is materially correct
• An “unmodified opinion” has been issued on your June 30 financial statements.
www.lslcpas.com
Internal Control/Compliance Letter
and Audit Communication Letter
• Internal Control/Compliance Letter:
– Communicating internal control over financial reporting and compliance related matters identified in an audit
• Identification of material weaknesses and significant deficiencies in Internal control
• Compliance and other matters
• Audit Communication Letter
• Other communication pertaining to the audit including other findings • Accounting standard changes
www.lslcpas.com
Summary
• LSL is engaged to perform a Financial Audit
• The Financial Audit resulted in an Audited Financial
Statement (ACFR) and an Unmodified Opinion was
rendered
• The Internal Control/Compliance Letter and Audit
Communication Letter were issued along with the
audited financial statements