HomeMy WebLinkAboutAlbrecht, Viggiano, Zureck & Co PC (2) RESOLUTION 2017-142
0a� ADOPTED DOC ID: 12726
THIS IS TO CERTIFY THAT THE FOLLOWING RESOLUTION NO. 2017-142 WAS
ADOPTED AT THE REGULAR MEETING OF THE SOUTHOLD TOWN BOARD ON
JANUARY 31, 2017:
RESOLVED that the Town Board of the Town of Southold hereby authorizes and directs
Supervisor Scott Russell to execute an engagement letter with Albrecht,Viggiano, Zureck
and Company, P.C. in connection with the Justice Court audit for the year ended December 31,
2016, at a fee not to exceed$7,500, that said fee shall be a legal charge to the General Fund
Whole Town Independent Auditing and Accounting budget(A.13 20.4.500.3 00), and that said
engagement letter is subject to review and approval by the Town Attorney.
Elizabeth A.Neville
Southold Town Clerk
RESULT: ADOPTED [UNANIMOUS]
MOVER: Louisa P. Evans, Justice
SECONDER:Robert Ghosio, Councilman
AYES: Dinizio Jr, Ruland, Doherty, Ghosio,Evans,Russell
f f A
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CERTIFIED PUBLIC ACCOUNTANTS
January 24,2017
Honorable Supervisor and Town Board
Town of Southold
Southold, NY 11971
We are pleased to confirm our understanding of the services we are to provide the Town of Southold's
Justice Court for the year ended December 31, 2016. We will audit the Statement of Cash Receipts and
Cash Disbursements(the"Statement')for the year ended December 31,2016.
Audit Objective
The objective of our audit is the expression of an opinion as to whether the Statement is fairly presented, in
all material respects, in conformity with generally accepted accounting principles. Our audit will be
conducted in accordance with auditing standards generally accepted in the United States of America and will
include tests of the accounting records and other procedures we consider necessary to enable us to express
such an opinion. We will issue a written report upon completion of our audit of the Town of Southold's
Justice Court Statement of Cash Receipts and Disbursements. Our report will be addressed to the Town
Board. We cannot provide assurance that an unmodified opinion will be expressed. Circumstances may
arise in which it is necessary for us to modify our opinion or add an emphasis-of-matter paragraph or other-
matter paragraph. If our opinion on the Statement is other than unmodified, we will fully discuss the reasons
with you in advance. If, for any reason, we are unable to complete the audit or are unable to form or have
not formed an opinion,we may decline to express an opinion or to withdraw from this engagement.
Audit Procedures-General
An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the
Statement; therefore, our audit will involve judgment about the number of transactions to be examined and
the areas to be tested. An audit also includes evaluating the appropriateness of accounting policies used
and the reasonableness of significant accounting estimates made by management. We will plan and
perform the audit to obtain reasonable rather than absolute assurance about whether the Statement is free
of material misstatement, whether from (1) errors, (2) fraudulent financial reporting, (3) misappropriation of
assets, or (4) violations of laws or governmental regulations that are attributable to the entity or to acts by
management or employees acting on behalf of the entity.
PERSONAL SERVICE.TRUSTED ADVICE. --Q—
ALBRECHT,VIGGIANO,ZURECK&COMPANY,P.C.
245 PARK AVENUE,39TH FLOOR 25 SUFFOLK COURT
NEW YORK,NY 10167 HAUPPAUGE, NY 11788-3715
T 212.792.4075 T.631.434.9500 F:631.434.9518
www.avz.com
INDEPENDENT MEMBER OF BKR INTERNATIONAL
J
-Honorable Supervisor and Town Board
Town of Southold
January 24,2017
Page 2
Audit Procedures-General (continued)
Because of the inherent limitations of an audit,combined with the inherent limitations of internal control,and
because we will not perform a detailed examination of all transactions, there is a risk that material
misstatements may exist and not be detected by us, even though the audit is properly planned and
performed in accordance with U.S. generally accepted auditing standards. In addition, an audit is not
designed to detect immaterial misstatements, or violations of laws or governmental regulations that do not
have a direct and material effect on the Statement, or violations of laws or governmental regulations that do
not have a direct and material effect on the Statement. However, we will inform you of any material errors
and any fraudulent financial reporting or misappropriation of assets that come to our attention. We will also
inform you of any violation of laws or governmental regulation that come to our attention, unless clearly
inconsequential. Our responsibility as auditors is limited to the period covered by our audit and does not
extend to any later periods for which we are not engaged as auditors.
Our procedures will include tests of documentary evidence supporting the transactions recorded in the
accounts, and may include tests of the physical existence and direct confirmation of certain assets and
liabilities by correspondence with selected individuals, funding sources, creditors, and financial institutions.
We will request written representations from your attorneys as part of the engagement, and they may bill
you for responding to this inquiry. At the conclusion of our audit, we will also require certain written
representations from you about the Statement and related matters.
Audit Procedures-Internal Control
Our audit will include obtaining and understanding of the entity and its environment, including internal
control, sufficient to assess the risks of material misstatement of the Statement and to design the nature,
timing, and extent of further audit procedures. An audit is not designed to provide assurance on internal
control or to identify deficiencies in internal control. However, during the audit, we will communicate to
management and those charged with governance internal control related matters that are required to be
communicated under AICPA professional standards.
Audit Procedures-Compliance
As part of obtaining reasonable assurance about whether the Statement is free of material misstatement,we
will perform tests of the Town of Southold's Justice Court's compliance with applicable laws, regulations,
contracts and agreements. However, the objective of our audit will not be to provide an opinion on overall
compliance and we will not express such an opinion.
Other Services
As part of the audit, we will assist in the preparation of a draft of your Statement of Cash Receipts and Cash
Disbursements and related notes based on information provided by you.
In addition, we will test two months from the bail accounts for each judge to ensure all bail receipts are being
deposited into the appropriate bank accounts.
Management Responsibilities
Management is responsible for establishing and maintaining effective internal controls, including monitoring
ongoing activities;for the selection and application of accounting principles; and for the preparation and fair
presentation in the Statement.
�-Honorable Supervisor and Town Board
Town of Southold
January 24,2017
Page 3
Management Responsibilities (continued)
Management is responsible for making all financial records and related information available to us and for
the accuracy and completeness of that information. You are also responsible for providing us with (1)
access to all information of which you are aware that is relevant to the preparation and fair presentation of
the Statement, (2) additional information that we may request for the purpose of the audit, (3) unrestricted
access to persons within the entity from whom we determine it necessary to obtain audit evidence.
Your responsibilities include adjusting the Statement to correct material misstatements and confirming
to us in the management representation letter that the effects of any uncorrected misstatements
aggregated by us during the current engagement and pertaining to the latest period presented are
immaterial, both individually and in the aggregate, to the financial statements taken as a whole.
You are responsible for the design and implementation of programs and controls to prevent and detect
fraud, and for informing us about all known or suspected fraud or illegal acts affecting the government
involving (1) management, (2) employees who have significant roles in internal control,and(3)others where
the fraud or illegal acts could have a material effect on the Statement. Your responsibilities include informing
us of your knowledge of any allegations of fraud or suspected fraud affecting the government received in
communications from employees, former employees, regulators, or others. In addition, you are responsible
for identifying and ensuring that the entity complies with applicable laws and regulations, contracts,
agreements,and grants.
You agree to assume all management responsibilities for the statement preparation services and any other
nonattest services we provide; oversee the services by designating an individual, preferably from senior
management with suitable skill, knowledge, or experience; evaluate the adequacy and results of those
services; and accept responsibility for them.
Engagement Administration, Fees,and Other
We understand that your employees will provide us with the basic information required for our audit,
including locating documents selected by us for testing,various account analysis, and schedules needed to
prepare the Statement.You are responsible for the accuracy and completeness of all information provided.
We expect to begin our audit at a mutually agreeable date and to issue our report in a timely fashion after
receipt of all information needed to prepare the Statement. Robert S. Posner is the engagement partner and
is responsible for supervising the engagement and signing the report or authorizing another individual to
sign it.
Our fees for services are based on the number of hours required to complete our engagement and our
standard hourly rates in effect at the time the services are rendered. Our standard hourly-rates vary
according to the degree of responsibility involved and the experience level of the personnel assigned to your
audit.
The fee for the audit of the Town of Southold's Justice Court's Statement of Cash Receipts and Cash
Disbursements will be$7,500 for the year ended December 31, 2016.
These fee estimates are based on anticipated cooperation from your personnel and the assumption that
unexpected circumstances will not be encountered during the audit. If significant additional time is
necessary,we will discuss it with you and arrive at a new fee estimate before we incur the additional costs.
,,Honorable Supervisor and Town Board
Town of Southold
January 24,2017
Page 4
Engagement Administration, Fees,and Other(continued)
Our invoices for these fees will be rendered each month as work progresses and are payable on
presentation. In accordance with our firm policies, work may be suspended if your account becomes 30
days or more overdue and may not be resumed until your account is paid in full. If we elect to terminate our
services for nonpayment, our engagement will be deemed to have been completed upon written notification
of termination, even if we have not completed our report.You will be obligated to compensate us for all time
expended and to reimburse us for all out-of-pocket costs through the date of termination.
Should additional time be incurred or additional assistance be requested, we will invoice you separately
based upon the amount of time expended at the regular hourly rates in effect at the time the services are
rendered.
Government Auditing Standards require that we provide you with a copy of our most recent quality control
review report. Our 2014 peer review report accompanies this letter.
We appreciate the opportunity to be of service to the Town of Southold's Justice Court and believe this letter
accurately summarizes the significant terms of our engagement. If you have any questions, please let us
know. If you agree with the terms of our engagement as described in this letter, please sign the enclosed
copy and return it to us.
Very truly yours,
ALBRECHT,VIGGIANO,ZURECK AND COMPANY,P.C.
RESPONSE:
This letter correctly sets forth the understanding of the
TOW OF SOUTHOLD
By:
Title:
Date: �,_1 n
KraftCPAs
PLLC
SYSTEM REVIEW REPORT
November 5,2014
To the Shareholders of Albrecht,Viggiano,Zureck&Company,P.C.
and the National Peer Review Committee
We have reviewed the system of quality control for the accounting and auditing practice of Albrecht,
Viggiano, Zureck & Company, P.C: (the firm) applicable to engagements not subject to PCAOB
permanent inspection in effect for the year ended May 31, 2014. Our peer review was conducted in
accordance with the Standards for Performing and Reporting on Peer Reviews established by the
Peer Review Board of the American Institute of Certified Public Accountants. As a part of our peer
review, we considered reviews by regulatory entities, if applicable, in determining the nature and
extent of our procedures. The firm is responsible for designing a system of quality control and
complying with it to provide the firm with reasonable assurance of performing and reporting in
conformity with applicable professional standards in all material respects. Our responsibility is to
express an opinion on the design of the system of quality control and the firm's compliance
therewith based on our review. The nature, objectives, scope, limitations of, and the procedures
performed in a System Review are described in the standards at www.aicpa.org/prsummary.
As required by the standards, engagements selected for review included engagements performed
under GnvernmentAuditing Standards and audits of employee benefit plans.
In our opinion, the system of quality control for the accounting and auditing practice of Albrecht,
Viggiano, Zureck & Company, P.C. applicable to engagements not subject to PCAOB permanent
inspection for the year ended May 31, 2014, has been suitably designed and complied with to
provide the firm with reasonable assurance of performing and reporting in conformity with
applicable professional standards in all material respects. Firms can receive a rating of pass,pass with
deficiency fts) or fail. Albrecht, Viggiano, Zureck & Company, P.C. has received a peer review rating
of pass.
Cr C'
KraffCPAs PLLC-Certified Public Accountants and Consultants
555 Great Circle Road • Nashville,TN 37228 • Phone 615-242-7351 • Fax 615-782-4271 •www.kraffcpas.com