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HomeMy WebLinkAboutCOM 0235.001 2014-2016Dru Mamo Kanuha Chair & Presiding Officer Council District 7 4OJNSY•oF Hq�4 qTE OF•H P� &U* ofx�`t Bonnie S. Nims, CGAP Legislative Auditor Business Address 1266 Kamehameha Avenue Suite A-8 Hilo, Hawaii 96720 OFFICE OF THE LEGISLATIVE AUDITOR 25 Aupuni Street Hilo, Hawai'i 96720 * (808) 961-8386 * Fax (808) 961-8905 website: http://hawaiicoiinrv.gov e-mail. publiclaoaco.hawaii.hi.us ca Date: April 7, 2015 I To: Karen Eoff, Chairperson 00 And Members of the Finance Committee From: Bonnie S. Nims4P .ez Legislative Auditor Subject: External Auditor, N&K CPAs' Presentation of the CAFR and Single Audit Reports Attached is the printed copy of the Power Point presentation from external auditors, N&K CPAs Inc. for the CAFR and Single Audit Reports for the Finance Committee Meeting on April 14, 2015. Comm. No. a 315. 1 Ref. To: `ELE Itef. Lore PR 1 4 2215 Hawaii County is an Equal Opportunity Provider and Employer County of Hawaii .11" Audit Results For the Fiscal Year Ended June 30, 2014 Hawaii County Council Presentation April 14, 2015 � N&K CPAs, Inc. ACCOUNTANTS I CONSULTANTS AGENDA Summary of Auditor's Results Comprehensive Annual Financial Report Single Audit Report Identification of Major Federal Programs Required Communication with Those Charged with Governance Questions and Comments SUMMARY OF AUDITOR'S RESULTS Type of opinion Internal controls over financial reporting: Material weaknesses identified Significant deficiencies identified Noncompliance material to the financial statements noted Unmodified ,L•� 3 identified None ik SUMMARY OF AUDITOR'S RESULTS (CONTINUED) Type of opinion on compliance for major federal programs Internal controls over major federal programs: Material weaknesses identified Significant deficiencies identified Any audit findings disclosed that are required to be reported in accordance with OMB Circular A-133 Unmodified None None reported None SUMMARY OF AUDITOR'S RESULTS (CONTINUED) CFDA Number 14.228 14.239 Name of Major Federal Program am Community Development Block Grants HOME Investment Partnerships Program 14.871 Section 8 Housing Choice Vouchers 20.205 Highway Planning and Construction 66.458 Capitalization Grants for Clean Water State Revolving Funds 66.468 Capitalization Grants for Drinking Water State Revolving Funds W� REQUIRED COMMUNICATION WITH THOSE CHARGED WITH GOVERNANCE Significant Accounting Adoption of the provisions of GASB No.65, Policies: Items Previously Reported as Assets and Liabilities Significant Accounting Significant estimates affecting the financial Estimates: statements include: • Liability for postretirement benefits other than pensions • Loss reserves for worker's compensation • Landfill closure and postclosure costs • Contingent liability related to on-going legal proceedings REQUIRED COMMUNICATION WITH THOSE CHARGED WITH GOVERNANCE (CONTINUED) Corrected and Uncorrected County of Hawaii: There were no Misstatements: misstatements detected that were considered material, individually or in the aggregate, to the financial statements DWS: The following material misstatements were corrected by management: • Reverse entry to dispose of electric pumping equipment • Accrue additional ERS pension costs • Reverse recognition of revenue related to the Waiakea Office Plaza renovations '� REQUIRED COMMUNICATION WITH THOSE CHARGED WITH GOVERNANCE (CONTINUED) Difficulties Encountered in We encountered no significant difficulties in Performing the Audit: dealing with management, including any disagreements, in performing and completing our audit Management Consultation with To our knowledge, there were no such Other Accountants: consultations with other accountants �V Questions &Comments