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May 24, 1985 <br />Page 3 <br />foresee any problems in these areas. However, the section on conflicts of interest is <br />presently being reviewed by both the Clerk -Administrator and the City Attorney to <br />insure that the City will be in compliance with those procedures. These steps are <br />being taken to fully understand the law in regard to conflicts of interest and <br />subsequently to enable us to review City operations in light of these new <br />regulations. We will be reporting further to Council on this matter. The Auditors <br />also commented upon the fact that the City is taking steps to automate many City <br />operations through possible installation of in house computer system. They <br />recommended several areas for review. I believe that prior to the purchase of any <br />type of computer system the Auditors should be consulted and requested to review any <br />systems for purposes of internal control and other financial management <br />considerations. <br />Should you have any questions on these matters please do not hesitate to contact core. <br />Ili/ds <br />Enclosure <br />11 <br />j <br />