Laserfiche WebLink
<br />55 E 5th Street Suite 1400, St. Paul, MN, 55101 651.426.7000 www.redpathcpas.com <br />COMMUNICATION WITH THOSE CHARGED WITH GOVERNANCE <br /> <br /> <br /> <br />To the Honorable Mayor and <br />Members of the City Council <br />City of Lino Lakes, Minnesota <br /> <br /> <br />We have audited the financial statements of the governmental activities, the business-type <br />activities, each major fund and the aggregate remaining fund information of the City of Lino <br />Lakes, Minnesota (the City) for the year ended December 31, 2019. Professional standards <br />require that we provide you with information about our responsibilities under generally accepted <br />auditing standards and Government Auditing Standards, as well as certain information related to <br />the planned scope and timing of our audit. We have communicated such information in our <br />letter to you dated January 6, 2020. Professional standards also require that we communicate to <br />you the following information related to our audit. <br /> <br />Significant Audit Matters <br /> <br />Qualitative Aspects of Accounting Practices <br />Management is responsible for the selection and use of appropriate accounting policies. <br />The significant accounting policies used by the City are described in Note 1 to the financial <br />statements. For the year ended December 31, 2019, the City implemented two statements <br />recently issued by the Governmental Accounting Standards Board: <br /> <br />• GASB Statement No. 84, Fiduciary Activities – Deposits payable held by the City are <br />now reported on the statement of net position (Statement 1) and in the General Fund <br />(Statement 3). It was determined the City’s defined contribution plans are not fiduciary <br />component units, and therefore, are not included in the financial statements. <br /> <br />• GASB Statement No. 88, Certain Disclosures Related to Debt, including Direct <br />Borrowings and Direct Placements – additional disclosures were added to Note 6 – Long- <br />Term Debt as a result of this Statement. <br /> <br />We noted no transactions entered into by the City during the year for which there is a lack <br />of authoritative guidance or consensus. All significant transactions have been recognized in the <br />financial statements in the proper period. <br /> <br />Accounting estimates are an integral part of the financial statements prepared by <br />management and are based on management’s knowledge and experience about past and current