RES 181 Draft 02 1996-1998 - Laserfiche WebLink

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. 'I . . 5. Non-reoortable conditions discovered by the Contract Auditor shall be reported in a separate letter to management, which shall be referred to in the report on internal controls. 6. Reoortable conditions encountered by the Contract Auditor during the course of the audit examinations shall be reported in a separate letter to the County Legislative Auditor. Such conditions would include disagreement with management or difficulties encountered in performing the audit. III. CONSULTATION ON REPORT FINDINGS AND RECOMMENDATION Subsequent to the completion of the work required, the Contract Auditor shall, as part of the audit contract, be available for attendance at Council and Committee hearings as may be necessary to testify on or discuss the findings and recommendations contained in the audit report. IV. BUDGET LIMITATIONS AND TIME REQUIREMENTS A. Budget Limitations 1 . The total sum to be allocated for conducting the audit shall be limited to the extent of funds appropriated for this purpose and the continued availability of such funds during the course of the project. 2. The method of payment for services provided by the Contract Auditor, whether in lump sum or in increments, shall be agreed to mutually by the Contract Auditor and the County Council. Should progress or incremental payments be agreed upon as the method of payment, the following conditions shall apply: a. The amount of each progress payment shall be subject to agreement. b. Each request for progress payment shall be accompanied by a certified statement of the costs actually incurred for staff and other technical services, including the fee rates and amounts of staff classification. c. In no event shall the annual final payment be made except upon the delivery of the final report acceptable to the County Council and upon compliance by the Contract Auditor with the requirements of Section 103-53, Hawaii Revised Statutes, relating to tax clearance. -13-