06/09/2003 Council Minutes - Laserfiche WebLink

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COUNCIL MINUTES JUNE 9, 2003 APPROVED 49 Mr. Viker explained that the Council received the audit report last week, as well as compliance and • 50 control letters. He advised that during the work session they reviewed the report in detail, so today he 51 will just highlight a few things. He explained that his company is hired to audit the City, who 52 received an unqualified (clean) opinion. He stated the City had a good year, noting the fund balance 53 history for the past 10 or 11 years. He indicated the General Fund balance did especially well, which 54 they would expect in a growing city such as Lino Lakes. He stated that expenditures have also 55 grown, and in their review they like to see a half-year reserve in the General Fund balance. 56 57 Mr. Viker stated that Lino Lakes had a nice increase, which is good to see. He indicated many cities 58 have been hit hard with the State reductions, but Lino Lakes has positioned themselves with their 59 fund balances to cushion the impact before it becomes a problem, giving them time to get 60 expenditures and revenue in line. He stated if the City needs to complete any transfers to any fund, 61 they should do so right away so they do not overstate the General Fund balance. He indicated he has 62 not seen any deterioration, and would recommend the City continue as they have been. He advised 63 there are a number of internal control reports, noting the City had no reportable conditions or material 64 weaknesses; however his company has not been hired to audit for that. He indicated if in the course 65 of their audit they were to find a reportable condition or material weakness they would report it, but 66 they are not specifically auditing for them. 67 68 Mr. Viker advised there was one minor finding dealing with bid law compliance. He stated it is not 69 their opinion that the City is not going through the proper process, but they need more documentation 70 to support that the process is complete. He indicated the City is taking action to maintain that 71 documentation. He stated they will need this year to implement new accounting and auditing 72 practices to comply with Gasby 34, and he will work with City Staff to make the changes, but he • 73 noted this will place demands on the Finance Department. He indicated he met with Al Rolek last 74 year for preliminary discussions on this change and will be meeting with him again. 75 76 Councilmember Carlson moved to accept the audit report as presented. Councilmember Dahl 77 seconded the motion. 78 79 Motion carried unanimously. Councilmembers O'Donnell and Reinert were absent. 80 81 ADMINISTRATION DEPARTMENT REPORT, DAN TESCH 82 83 A. SuperTarget Fireworks Permit Application, Ann Blair 84 85 (Councilmembers O'Donnell and Reinert arrived at 7:55 p.m.) 86 87 City Clerk Blair summarized the staff report, indicating it is staff's recommendation to approve the 88 application. 89 90 Councilmember Carlson noted the staff report says the permit fee will be $100, with an insurance 91 requirement of $300,000. She asked how they will determine the fee amount for other companies, 92 and if there would be a new scale. 93 94 City Clerk Blair stated that under the new law, this is the amount they are allowed to charge. She 95 indicated the amount is dependent on whether it is an individual or corporation. • 96 2