Title
Consideration and Possible Approval of the FY2021 Annual Comprehensive Financial Report with Auditor's Opinions.
Recommended Action
I move that Council accept the Annual Comprehensive Financial Report for the fiscal year ended June 30, 2021.
County Manager's Recommendation
The County Manager recommends that Council approve the motion as requested.
Body
The Annual Comprehensive Financial Report (ACFR) documents the County's financial position at the end of the fiscal year, and the results of its operations for that full twelve-month period.
Throughout the fiscal year, many departments and employees help the County record the County's financial activity through the decentralized financial system. Ultimately, the ACFR results from this County-wide team effort. The ACFR document is produced by Finance. The County's ACFR for fiscal year 2021 was submitted to the Office of the State Auditor by the deadline on December 1, 2021. The ACFR was then reviewed and approved by the Office of the State Auditor. Notice of final approval was received on December 13, 2021 (see attachment A).
Morton Accounting Services, LLC, an independent accounting firm, performed the audit for the fiscal year. The exit conference with the Audit Committee was held on November 23, 2021. The Auditor's Opinion (pages 1-3 of the ACFR) and the schedule of findings and questioned costs (pages 236-238 of the ACFR) were discussed at that exit conference. The audit opinion is an unmodified "clean" opinion. There were no prior year audit findings but two findings regarding the timely deposit of a cash receipt and the restatement of net position in the Environmental Services Fund due to the timing of the recording of a long-term liability. Both findings were discovered and immediately corrected by internal County staff, thus no change in the auditor's opinion was merited. The County still received an unmodified and clean opinion.
The State Audit Rule 2.2.2.10 J. (3) (d) requires that the audit report shall be presented by the auditor to a quorum of the governing body at a meeting held in accordance with the Open Meetings Act.
Physical copies of the FY2021 Annual Comprehensive Financial Report have been distributed to Council mail boxes. Copies of the ACFR will be available for public viewing primarily on the County web site, and physical copies will be placed at the Customer Care Center, Finance Division, and both the White Rock and Los Alamos branches of the Los Alamos County Public Library.
Fiscal and Staff Impact/Planned Item
Cost of the audit work performed by Morton Accounting Services, LLC, which include special procedures to be performed on the electric resource pool, cost allocation plan, and lodger's tax is $85,423. Staff time is budgeted annually to accomplish this task.
Attachments
A - FY2021 State Auditor Authorization to Release Letter
B - Los Alamos County FY2021 Annual Comprehensive Financial Report
C - Los Alamos County ACFR Presentation with Morton Accounting Services, LLC Exit Presentation