HomeMy WebLinkAboutSubmittal-Commissioner Carollo-Auditor's Letter(ttp of 3J*ltamt
THEODORE P. GUBA, CPA, CIA, CFE
INDEPENDENT AUDITOR GENERAL
Date: August 17, 2022
To Esther M. Alonso-Luft, Manager
Virginia Key Outdoor Center, LLC
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E-Mail: tguba@miamigov.com •— ++ 0
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From: Theodore Guba, CPA, CIA, CFE, Independent Auditor General
Office of the Independent Auditor General (OIAG)
Subject: Audit of Lease Agreement between the City of Miami and Virginia Key Outdoor
Center, LLC
Dear Ms. Esther M. Alonso-Luft:
In accordance with the provisions of Section 48 of the City of Miami's Charter, and Article IV of
the Lease Agreement (Agreement), between the City of Miami and Virginia Key Outdoor Center,
LLC (VKOC), the Office of the Independent Auditor General (OIAG) will perform an audit of
VKOC to verify the propriety/correctness of the rental payments remitted to the City. The audit
will cover the period 2015 through 2022 and selected transactions prior and subsequent to this
period.
The primary objectives of the audit will be as follows:
• To determine whether the City and/or the VKOC complied with the terms of the
Agreement.
• To determine whether the appropriate rent and fees were remitted to the City.
• To determine whether payments were remitted to the City in a timely manner.
• To determine whether any other amounts are owed to the City.
• To determine whether insurance coverage was adequate and in compliance with the
terms of the Agreement.
• To determine whether adequate internal controls were maintained.
• To determine whether rental remittances and other related transactions were recorded in
the City's accounting system and deposited into the City's treasury; and
• Other audit procedures as deemed necessary.
Our audit will be conducted in accordance with Government Auditing Standards, issued by the
Comptroller General of the United States. During the course of fieldwork, we will need access to
all applicable records, written policies and procedures, Trial Balance, General Ledger, Sales
Journal, Subsidiary Ledger, Bank Statements and Deposit receipts, Cash Receipt Journal,
Certificates of Insurance, Sales Tax Returns, Federal Tax Returns and copies of all
leases/sublease agreements.
OFFICE OF THE INDEPENDENT AUDITOR GENERAL
444 SW 2' Avenue, 7" Floor Miami, Fbr,da 33128/305.416.2040rFAX 305.496-2046
Mailing Address: P.O. Box 330708 Miami, Florida 33233-0708
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Raymond Ishmael, Audit Supervisor and Mara Khilnani, Audit Supervisor have been assigned to
this audit engagement and will contact you shortly to conduct an entrance conference. Please
feel free to contact me at (786) 348-3910 and/or Mala Khilnani can be contacted at (702) 556-
53681mkhilnani@miamigov.com if you have any questions. We look forward to working with you
and your staff.
CC: Jacqueline Lorenzo, Interim Director, Department of Real Estate Asset Management
Gabriel Brito, Senior Staff Analyst, Department of Real Estate Asset Management
Arthur Noriega V, City Manager
Larry M. Spring, Jr., CPA, CFO, Assistant City Manager
Victoria Mendez, City Attorney
Raymond Ishmael, CPA, CFE, Audit Supervisor, Office of the Independent Auditor
General
Mala Khilnani, CPA, CISA, Audit Supervisor, Office of the Independent Auditor General
OFFICE OF THE INDEPENDENT AUDITOR GENERAL
444 SW 2'`I Avenue, 7" Floor M'ami, Flonda 33128/305.416.2040/FAX 305.416.2046
Mailing Address: P.O. Box 330708 Miami, Florida 33233.0708