PowerPoint Presentation (Added on 3/3/22)

City of Glendale, Arizona
June 30, 2021
Audit Presentation
March 8, 2022

Financial Statement Audit 
Requirements
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•City of Glendale Code Article VI, Section 
16.
•Arizona Revised Statutes (ARS) 9-481
•Continuing disclosure requirements for 
bonds issued by the city.
•Code of Federal Registers (CFR) 200.501 
for non federal entities expending more 
than $750k of federal funds.

Steps for a Successful Audit
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1. Plan ahead.
2. Stay up-to-date on accounting 
standards.
3. Assess changes in activities.
4. Develop timeline and assign work 
to appropriate staff.
5. Communicate with city staff and 
departments.

Steps for a Successful Audit
4
6. Perform self review of 
information given to auditors.
7. Be available to auditors and staff 
to ensure timely responses to 
questions.
8. Evaluate results of audit for 
opportunities for improvement.

Financial Statement Audit
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•An audit is the process of 
designing and performing 
procedures to provide reasonable 
assurance on management’s 
assertions
•The objective is for the auditor to 
provide an opinion based on the 
procedures performed

Result of an Audit
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•An opinion
–Reasonable, but not absolute assurance
•Findings and recommendations

How do Auditors Determine 
What to Test?
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•Risk based approach
•Apply risk factors to account 
balances and programs
•Factors based on understanding of 
the government
–Gained through inquiry
–Gained through observation
–Gained through prior experience
–Gained through test work
–Gained through other factors

Audit Process
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Sign engagement letter
Audit planning by firm
Audit preparation by 
management

Audit Process
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Audit communication with 
governance and management
Audit Procedures
(Fieldwork)
Communication of results

The Reporting Package
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Communication to Governance
Opinion on the Annual Comprehensive Financial Report
The Single Audit Report (Including the Government Auditing Standards
Report and the Report on Major Federal Programs and the Schedule of 
Federal Expenditures) – process, to be issued shortly
Independent Accountants’ Report on the use of Highway User Revenue 
Funds

The Reporting Package
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The Annual Expenditure Limitation 
Report (to be issued)
Landfill Assurance Agreed-Upon 
Procedures
Management Letter

Comprehensive Annual 
Financial Report
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• Provide an opinion on the basic financial statements
• Provide an in-relation-to opinion on the combining 
and individual fund financial statements and 
schedules
• Provide an in-relation-to opinion on the federal data 
schedule
• Disclaim an opinion on the required supplementary 
information, introductory, and statistical sections
We rendered an Unmodified (Clean) Opinion
on the Financial Statements

Single Audit Report
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• Independent Auditors’ Report on Internal 
Control Over Financial Reporting and on 
Compliance and Other Matters Based on an 
Audit of Financial Statements Performed in 
Accordance with Government Auditing Standards
• Independent Auditors’ Report on Compliance 
For Each Major Federal Program, Report on 
Internal Control Over Compliance, and Report 
on the Schedule of Expenditures of Federal 
Awards Required by the Uniform Guidance

Single Audit
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• Government Auditing Standards Report
–We do not provide an opinion on internal controls, but 
we will report on any deficiencies in internal controls 
(significant deficiencies and/or material weaknesses) 
related to the financial statements
• Uniform Grant Guidance
–We provide an opinion on the City’s compliance with 
major federal programs
–We do not provide an opinion on internal controls over 
compliance; however, we will report on any deficiencies 
in internal controls (significant deficiencies and/or 
material weaknesses) over compliance

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Government Auditing Standards
Uniform Guidance Compliance
Total Coverage
• 1 material weakness in internal controls
• No significant deficiency
• Expect an Unmodified (“clean” opinion)
• Expect no matters of noncompliance
• Expect no material weaknesses or significant 
deficiencies in internal controls over compliance
• 57% of total federal awards tested
Single Audit Results at a 
Glance

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Major Programs Tested
• Community Development Block Grant (14.218)
–Total Federal Expenditures: $4,453,747
• Airport Improvement Grant (20.106)
–Total Federal Expenditures: $472,438
• Federal Transit Cluster (20.507)
–Total Federal Expenditures: $1,200,765
• Coronavirus Relief Funds (21.019)
–Total Federal Expenditures: $9,074,214
• Emergency Rental Assistance (21.023)
–Total Federal Expenditures: $3,251,533
• Low Income Energy Assistance (93.568)
–Total Federal Expenditures: $1,031,990
Single Audit Results at a 
Glance

Other Reports
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• Independent Accountants’ Report on the 
use of Highway User Revenue Funds
–Rendered a clean opinion as to the use of highway user 
revenue funds
• Landfill Assurance Agreed-Upon 
Procedures
–We do not render an opinion, we only report on those 
procedures agreed upon with the City and report on 
those matters. No findings noted.
• Independent Accountants’ Report on the 
Annual Expenditure Limitation Report
–To be issued

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Dennis J. Osuch, CPA
Principal
CliftonLarsonAllen
Yiann E. Fang, CPA
Director
CliftonLarsonAllen