Audit Advisory Committee

City of Marco Island Florida 51 Bald Eagle Drive Marco Island, Florida cityofmarcoisland.com Meeting Minutes - Final Wednesday, February 24, 2021 9:00 AM Community Room Audit Advisory Committee Chair: Jim Miller Vice-Chair: William Rogers Committee Members: Dick Adams, Michael Carr, Michael Cory, Mike Hogan, Robert Hughes City Staff: Guillermo Polanco, Lori Rizzo Audit Advisory Committee Meeting Minutes - Final February 24, 2021 (1) CALL TO ORDER Chair Miller called meeting to order at 9:00 AM (2) ROLL CALL Present: 5- Vice-Chair Rogers, Member Hughes, Member Cory, Chair Miller and Member Carr Not Present: 2- Member Adams and Member Hogan (3) APPROVAL OF THE AGENDA MOTION BY Member Hughes, Seconded by Rogers that the Agenda be approved, MOTION APPROVED BY THE FOLLOWING VOTE: Yes: 5- Vice-Chair Rogers, Member Hughes, Member Cory, Chair Miller and Member Carr (4) APPROVAL OF THE MINUTES MOTION BY Member Rogers, Seconded by Member Hughes that the Minutes of November 13, 2020 be approved. MOTION APPROVED BY THE FOLLOWING VOTE: Yes: 5- Vice-Chair Rogers, Member Hughes, Member Cory, Chair Miller and Member Carr ID 21-1383 Approval of the Audit Advisory Committee Meeting Minutes of November 13, 2020 (5) NEW BUSINESS (a) Audit Advisory Committee Members Introduction to New Committee Member Carr (b) Audit Status - Daniel Anderson from Mauldin & Jenkins Daniel Anderson, a Director with Mauldin & Jenkins reviewed the status of the Audit with the Audit Advisory Committee. Mauldin & Jenkins have completed the detailed field work and are presently in the internal wrap up phase. The internal quality controls procedures are completed. Per Mr. Anderson there have been no auditing adjustment entries. Mr. Anderson said Director Polanco and his team did an excellent job getting everything ready for the Audit. Mauldin & Jenkins have completed 2 Single Audits; one State and one Federal grant. The State was a Florida DEP grant that the City received and had some expenditures on. The Federal was a FEMA grant for obligations during the year. There were no issues found with the State or Federal Audit. Director Polanco has provided Mauldin & Jenkins with the initial CAFR and it is being reviewed by the Auditors now. A full PDF will be sent to Mr. Anderson by March 1. The estimated completion for the CAFR will be mid-March. Daniel Anderson will present the final report. Mr. Anderson said Mauldin & Jenkins will issue an Auditor's discussion and analysis report which will bring the City of Marco up to date on things going on not necessarily financial. Mr. Anderson mentioned an event that happened 2 weeks ago in Pinellas County, a hacker tried to pollute the water system. Although we do not have an issue on Marco Island, the City should make sure controls are setup to prevent any cyber attacks. Finance Director Polanco told Mr. Anderson, our IT Dept has tight controls on our system City of Marco Island Florida Page 1 Audit Advisory Committee Meeting Minutes - Final February 24, 2021 and is also hiring additional IT staff. (c) Timetable for Completion and Report Issuance - Finance Director Polanco Per Director Polanco, the plan is to provide the final PDF to Daniel and the Audit Advisory Committee on Monday, March 1. The Committee can make recommended changes to Mr. Polanco for review. The Committee will meet again March 24 and Mr. Anderson will present the final report. Chair Miller asked the status of the 2 Actuarial Reports for the Police and Fire pension plans, Gil said they were received the end of January. Vice Chair Rogers asked how much did Covid impact the budget. Because of the large number of visitors from other Florida cities and all over the country to Marco, the affect of Covid on the year to date (YTD) budget was none. The YTD budget was above budget and the individual departments had a reduction in expenditures. (6) PATH FORWARD (a) Next AAC Meeting Next Audit Advisory Committee Meeting will be March 24, 2021 at 9:00 AM. (7) PUBLIC COMMENT None (8) ADJOURNMENT There being no further business before the Committee, the meeting adjourned at 9:30 AM. ____________________________________________ Lori Rizzo, Water & Sewer Administrative Assistant City of Marco Island Florida Page 2