1/9/2024
1 2023 Financial Audit
Presented by:
Bryan Gruber, CPA, Managing Partner
January 10, 2024
Your LSL Team
Ryan Domino, CPA
Partner
Frank North, CPA
Sr. Manager
Bryan Gruber, CPA
Managing Partner
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2 Scope of Engagement
•LSL has been engaged by the City to perform the following procedures:
• Financial statement audits for the year ended June 30, 2023, in accordance with generally accepted auditing standards and Government Auditing Standards over City, RPU, Successor Agency, and PFA.
• Single audit over the federal award programs for the year ended June 30, 2023, in accordance with the federal Uniform Guidance.
• Agreed‐upon procedures over the City’s Gann Limit calculation for June 30, 2023.
• Compliance audit over Air Quality Improvement fund (AB 2766) •Interim Fieldwork
• May 22 – June 1, 2023
• Examined internal controls
• Provided feedback to
management
• Performed our audit risk
assessment
• Planned year‐end audit
procedures to respond to risk
•Year‐End Fieldwork
• Sept. 5 –S e p t . 29, 2023
• Detailed testing of account
balances and transactions
• Compliance testing with laws,
regulations, grant agreements,
contracts
• Single Audit testing
• Other procedures necessary to
obtain sufficient, appropriate
audit evidence
Scope of Engagement
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3 Results of Audit
•We issued an unmodified auditor’s opinion on the financial statements.
• Financial statements are accurate and reliable as of June 30, 2023. •We issued the Report on Internal Control and Compliance • No significant deficiencies in internal control noted. • No material weaknesses in internal control noted.
• No material noncompliance with laws, regulations, grants, etc. noted.
Results of Audit
•We issued an unmodified auditor’s opinion on the City’s compliance with the requirements of major federal award programs.
• City is in compliance with the terms and conditions of major federal award programs at June 30, 2023.
•We identified no going concern doubts as of June 30, 2023. •We identified no fraud, waste, or abuse during the fiscal year ended June 30, 2023.
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4 Results of Audit
•We had no disagreements with management about application of accounting principles.
•We had no difficulties conducting our audits.
•We determined that all estimates used by management in preparing the financial statements were reasonable.
Changes from Prior Year
•During the fiscal year ended June 30, 2023, the City of Riverside changed accounting principles related to the accounting for subscription‐based information technology arrangements (GASB 96). •GASB 96 requires that a subscription asset and subscription liability be recognized. This resulted in:
• A net subscription asset in the amount of $2.0M, at June 30, 2023. • A subscription liability in the amount of $2.0M, at June 30, 2023. 7 8
1/9/2024
5 Questions
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CALIFORNIA: Brea | Santa Ana | Laguna Hills | Sacramento TEXAS: The Woodlands
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