Audit of Major Program Compliance
Our audit of the City’s June 30, 2016 and 2017 major federal award program(s)
compliance will be made in accordance with the requirements of the Single Audit Act, as
amended; and the provisions of U.S. Office of Management and Budget Circular A-133,
Audits of States, Local Governments, and Non-Profit Organizations; and will include
tests of accounting records, a determination of major programs in accordance with
Circular A-133, and other procedures we consider necessary to enable us to express
such an opinion on major federal award program compliance and to render the required
reports. We cannot provide assurance that an unmodified opinion on compliance will be
expressed. Circumstances may arise in which it is necessary for us to modify our
opinion or withdraw from the engagement.
OMB Circular A-133 requires that we also plan and perform the audit to obtain reason-
able assurance about whether the City has complied with applicable laws and regula-
tions and the provisions of contracts and grant agreements applicable to major federal
award programs. Our procedures will consist of determining major federal programs and
performing the applicable procedures described in the U.S. Office of Management and
Budget Circular A-133 Compliance Supplement for the types of compliance requirements
that could have a direct and material effect on each of the City’s major programs. The
purpose of those procedures will be to express an opinion on the City’s compliance with
requirements applicable to each of its major programs in our report on compliance
issued pursuant to Circular A-133.
Also, as required by Circular A-133, we will perform tests of controls to evaluate the
effectiveness of the design and operation of controls that we consider relevant to pre-
venting or detecting material noncompliance with compliance requirements applicable
to each of the City’s major federal award programs. However, our tests will be fess in
scope than would be necessary to render an opinion on these controls and, accordingly,
no opinion will be expressed in our report.
We will issue a report on compliance that will include an opinion or disclaimer of opinion
regarding the City’s major federal award programs, and a report on internal controls
over compliance that will report any significant deficiencies and material weaknesses
identified; however, such report will not express an opinion on internal control.
Management’s Responsibilities
Our audit will be conducted on the basis that management and, when appropriate, those
charged with governance acknowledge and understand that they have responsibility:
1. For the preparation and fair presentation of the financial statements in accordance
with accounting principles generally accepted in the United States of America;
2. For the design, implementation, and maintenance of effective internal control
relevant to the preparation and fair presentation of financial statements that are
free from material misstatement, whether due to error fraudulent financial
