Title
Recommendation to Accept the Fiscal Year 2018-19 Audited Financial Statements and Compliance Reports. [City Council/SACIC] (Finance 2410)
Body
To: Honorable Mayor and Members of the City Council
EXECUTIVE SUMMARY
Annually, the City of Alameda (City) is subject to financial and compliance audits to be performed by licensed certified public accountants. Staff is presenting for acceptance seven reports for Fiscal Year (FY) 2018-19 issued by the independent auditors.
BACKGROUND
The City Charter Article IV, Section 4-2, various financing covenants, and rules associated with restricted funding sources require the City to publish financial statements presented in conformance with Generally Accepted Accounting Principles (GAAP) and to be audited by a firm of licensed certified public accountants. The financial reports noted in the exhibit section of this report below include financial statements and supplemental data that summarize the results and operations of all funds and give the financial position of the City and Successor Agency to the former Community Improvement Commission (CIC) for FY 2018-19.
The audited financial statements are a comprehensive document reflecting the financial position of the City. The audited financial statements and the other reports and financial statements are attached as Exhibits 1-7.
DISCUSSION
The City's external independent audit firm, Maze and Associates (Maze), completed its audit of the annual Financial Statements for the Fiscal Year ended June 30, 2019 in April 2020, and has validated the fair presentation of the City's financial position as of June 30, 2019. Note that the validity of an external audit does not reflect a judgment on the City's financial position, although the City's General Fund reserves are healthy. This will be important as the City considers strategies and options to weather the economic impact of the current recession caused by the coronavirus. The audited financial statements contain the...
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