Special Meeting Minutes 7-17-2023
MINUTES OF SPECIAL MEETING OF BOARD OF TRUSTEES
HOLIDAY SHORES SANITARY DISTRICT
Monday July 17, 2023 At 7:30 AM
The Board of Trustees of the Holiday Shores Sanitary District met on the above date in special session pursuant to laws and rules of said Board of Trustees and in accordance with the terms of the notice of a special meeting.
Richard Hayes, President and Trustee called the meeting to order. Trustees Brennan Murphy and Jeffrey Hebenstreit were present. Carla Lankster, District Clerk was also present.
FINANCIAL
This special meeting was called, due to receiving a time-sensitive document being received after the regular monthly meeting took place. The document is the Audit Engagement Letter, which is normally received on June 30, but due to a scheduling change, it was not received until July 11, 2023.
Mr. Hebenstreit had several questions that were answered by Scheffel Boyle auditor, Julie Billeter. On page one of the Audit Engagement Letter, it stated that “Management has elected to omit the Management’s Discussion and Analysis.” Ms. Billeter responded that this was something that became a requirement in governmental financial statements several years ago. It was discussed at the time and the District decided not to include it. It is common in small governments to omit this, due to not having a CPA on staff, and would be too burdensome to prepare.
The other question was a statement on page three that “We have identified the following significant risk(s) of material misstatement as part of our audit planning:
- Management override of controls
- Improper revenue recognition.”
Ms. Billeter responded “Those risks are not specific to Holiday Shores Sanitary District. At a minimum we are required to list both of those as a risk on all audits. Therefore, those risks go in the engagement letters for all of our clients.”
A complete copy of the email with the answers from Ms. Billeter is attached.
Mr. Murphy made a motion to approve the Scheffel Boyle Audit Engagement letter. Mr. Hebenstreit seconded the motion, and all Trustees Voted “Aye”. The Audit Engagement letter was signed by President, Mr. Richard D. Hayes.
ADJOURN SPECIAL SESSION
Mr. Murphy made a motion to adjourn the special meeting. Mr. Hebenstreit seconded the motion, and all Trustees voted “Aye”.
Respectfully submitted, Carla Lankster, District Clerk