HomeMy WebLinkAbout10-00314 Submittal-Management LetterCITY OF MIAMI SOUTHEAST OVERTOWN PARK WEST
REDEVELOPMENT AGENCY, CITY OF MIAMI OMNI COMMUNITY
REDEVELOPMENT AGENCY, AND CITY OF MIAMI MIDTOWN
COMMUNITY REDEVELOPMENT AGENCY
(COMPONENT UNITS OF THE CITY OF MIAMI, FLORIDA)
Management Letter in Accordance With the
Rules of the Auditor General of the State of Florida
Year ended September 30, 2009
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Management Letter inAccordance with the
Rules of the Auditor General of the State of Florida
Tuthe Board ofDirectors mfthe
City ofMiami Southeast Overtown Park West
Redevelopment Agency, City ofMiami Omni
Community Redevelopment and City of
Miami Midtown Community Redevelopment Agency
5805 Blue Lagoon Prive
Suite 220
We have audited the financial statements of the City of Miami Southeast Owmdmwn Park West
Redevelopment Agency, City of Miami Omni Community Redevelopment Agency, and City of Miami
K8idbzmm Community Redevelopment Agency (collectively referred to as "the Agencies"), Component
Units of the City of YNiami. Florida, as of and for the fiscal year ended September 30. %OOQ and have
issued our reports thereon dated November 25.2OOQ�
VVeconducted our audits hv accordance with auditing standards generally accepted in the United States
of America and the standards applicable to financial audits contained in Government Auditing Standards,
issued by the Comptroller General of the United States. We have issued our Independent Auditors'
Reports on Internal Control over Financial Reporting and on Compliance and Other Matters. Oiodoaunaa
in those napoda, which are dated November25. 2009. should be considered in conjunction with this
management letter.
Additionally, our audits were conducted in accordance with the provisions of Chapter 10,550, Rules ofthe
Auditor General, which govern the conduct of local governmental entity audits performed in the State of
Florida and, unless otherwise required to be reported in the report on compliance and internal controls or
schedule offindings and questioned costs, this letter iarequired bzinclude the following information.
� Section 1Ci554(l)(i)1,Rules ofthe Auditor General, requires that wedetermine whether ornot
corrective eoUonu have been taken to address findings and recommendations made in the
preceding annual financial audit report not otherwise addressed in the auditor's report pursuant to
Section 10.557(3)(b)2,. Rules of the Auditor General. There were no significant findings and
recommendations made inthe preceding annual financial audit report.
� Section 10,554(1)(i)2, Rules of the Auditor General, requires our audit toinclude areview cfthe
provisions of Section 218,415, Florida Sbatuhms, regarding the investment of public funds. In
connection with our auddo, we determined that the Agnnohao complied with Section 218.415.
Florida Statutes.
= Section 1O554(1)(i)3.Rules ofthe Auditor General, requires that woaddress i the rt
letter any recommendations toimprove financial management. Current year recommendations
are included stAppendix Atothis letter.
Section 10i554(1)(i)4, Rules of the Auditor Gmnona, requires that we address violations of
contracts cxgrant agreements, orabuse that have aneffect onthe financial statement that is less
than material but more than inconsequential. In connection with our audits, we noted no such
violations
. Submitted into the public
record ioconnection with
items �*d on
� Priscilla A. Thompson
City Clerk
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� Section 10.554(1)(h5i. Rules ofthe Auditor General, rmqukaa, based on professional judgment,
the reporting of the following matters that have an inconsequential rothe determination effect on
the financial stsUamnnt, considering both quantitative and qualitative factors: (o) violations of
provisions of contracts or grant agremmentn, fraud, i||a0a| mds, or abuse; and (b) ounho|
deficiencies that are not significant deficiencies. In connection with our mudita, we did not have
any such findings,
M Section 10554(l)(08, Rules of the Auditor General, requires that the name or official title and
legal authority for the primary government and each component unit of the reporting entity be
disclosed in this management letter, unless disclosed in the notes tothe financial statements.
Such disclosures are made in note 1 to the Agencies' financial statements.
� Section 10.554(1)(i)7�� Rules of the Auditor General, requires statement be included auho
whether or not the local governmental entity has met one or more of the conditions described in
3eoUnn 218.603(1). Rohde Statutes, and identification of the specific condition(s) met. In
connection with our oudho, we determined that the Agencies did not meet any of the conditions
described in Smctkon218.5O3(1). Florida Statutes.
• Section 10.654(1)(i)7b. Rules of the Auditor Gmnena|, requires that we determine whether the
annual financial reports for the Agencies for the fiscal year ended September 30, 2009, filed with
the Florida Department o/Financial Services pursuant to Section 218.32(1)(e), Florida 3tatutes,
is in agreement with the annual financial audit report for the fiamd year ended September 30.
2009. The Agencies do not file a separate report with the State of Florida Department of Financial
Services. The financial operations of the Agencies are included in the basic financial statements
ofthe city oYmiami.Florida for the year ended September 3O.2OOQ�
° Sections 10.554(1)(i)7.c. and 10.556(7). Rules of the Auditor Genera|, require that we apply
financial condition assessment procedures. In connection with our audits, we applied financial
condition assessment procedures. It is management's responsibility to monitor the entity's
financial conditinn, and our financial condition assessment was based in part on representations
made by management and the review of financial information provided by same.
This management letter is intended solely for the information and use of the board of directono,
management ofthe Agencies, and the State of Florida Office of the Auditor General, and isnot intended
to be and should not be used by anyone other than these specified parties,
V.
Submitted into the public
record in connection with
Priscilla A. Thompson
City Clerk
Appendix A
CITY 0fMbAMI SOUTHEAST OVERTO0#NPARK WEST
REDEVELOPMENT AGENCY, CITY WF0NIA@8I0K8N|COMMUNITY
REDEVELOPMENT AGENCY, AND CITY OFMXA|08|MIDTOWN
COMMUNITY REDEVELOPMENT AGENCY
ICOK8PONENTUNITS @FTHE CITY OFK0|AM0y,FLORIDA)
Management Letter in Accordance With the
Rules of the Auditor General of the State of Florida
Year ended September 30, 2009
Current Year's Recommendations
20091 GASBStatement No. S4
CriterialSpecific Requirements
In February 2009. theGA8B issued Statement No. 54, Fund Balance Reporting and Governmental Fund
Type Definitions. The GASB developed Statement No. 5410address the diversity of practice and the
resulting lack ofconsistency that had evolved in fund balance reporting. To reduce confusion, the new
standard establishes hierarchy uffund balance classifications booed primarily on the extent towhich a
government is bound to observe spending constraints imposed upon how resources reported in
governmental funds may beused.
Statement No. 54 distinguishes fund balance between amounts that are considered nonapendab|o and
other amounts that are classified based on the relative strength of the constraints that oonUn| the
purposes for which specific amounts can be spent. Beginning with the most binding conotnain1e, fund
balance amounts will boreported inthe following classifications:
° Restricted — amounts constrained by external parties, constitutional provision, or enabling legislation.
° Committed — amounts constrained by a government using its highest level of decision -making authority.
° Assigned — amounts agovernment intends touse for mparticular purpose.
° Unmnoignod—unoonatnainedamountnwiUbemportedinthogenena|fbnd.
The new standard also clarifies the definitions of individual governmental fund types.kinterprets certain
terms within the definition of special revenue fund typea, while further clarifying the debt service and
capital projects fund type definitions.
GASB Statement No. 54 is effective for the Agencies' financial statement period ending September 30.
2011. with earlier implementation encouraged. Howmver, as the Agencies are component units of the
City of N1iami. Florida, if the City makes the decision to early implement GASB Statement No. 54. the
Agencies will barequired toearly implement aowell.
Condition Found
Not applicable.
Perspective
Not applicable.
Effect
Not applicable.
Submitted into the public
record in connection with
items *�Lmo-,�-'
Priscilla A. Thompson
Appendix A
CITY OF MIAMI SOUTHEAST OVERTOWN PARK WEST
REDEVELOPMENT AGENCY, CITY OF MIAMI OMNI COMMUNITY
REDEVELOPMENT AGENCY, AND CITY OF MAIN MIDTOWN
COMMUNITY REDEVELOPMENT AGENCY
(COMPONENT UNITS OF THE CITY OF MIAMI, FLORIDA)
Management Letter in Accordance With the
Rules of the Auditor General of the State of Florida
Year ended September 30, 2009
Current Year's Recommendations
Recommendation
We recommend that management become familiar with GASB Statement No. 54, and be prepared to
implement this pronouncement for the fiscal year ending September 30, 2011. However, if the City
decides to implement GASB Statement No. 54 earlier than fiscal year ending September 30, 2011, the
Agencies will be required to early implement as well.
Management's Response
Management acknowledges the recommendation made. We will discuss this with the City and be
prepared to implement GASB Statement No. 54 when the City does.
Submitted into the public
record in connection with
items ft-, on
Priscilla A. Thompson
City Clerk