Agenda Packets - 1989/08/28 - Laserfiche WebLink

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IP VOTO, TAUTGES, REDPATH & CO., LTD. vtt';44W CERTIFIED PU611C ACCOUNI kNTs Birch Lake Professional Building • 1310 E. Hwy. 96 • White Bear Lake, MN 55110 • Phone 426.3263 WBERT I.",W CPA ROBERT(; TALTLIS CPA 1Af(ISS RIOPAIH CPA Ht PA July 19, 1489 n REfA , I1\"% fill ll'1 Don Brager, Finance Director City of Mounds View 2401 Northeast Highway 10 Mounds View, Dlinnesota 55112 Dear Don: Pursuant to your request, this letter outlines the proposed terms of an engagement to review the water and sewer rates for the City of Mounds View. We further understand that you are requesting that we review the rate structure to determine if alternate means may be more advantageous and/or equitable. The nature of our water and sewer rate study is such that we will prepare five years of historical financial statements and five years of projected financial statements based on alternative rate levels and rate structures. In addition to preparation of historical and projected financial statements, we will prepare a section of interpretation and recommendations which will discuss various aspects which directly affect the city's water and sewer enterprise operations. We will discuss such areas as connection charges, CC revenue debt, and othlacement of core ertareas wfhichtof directly impact the level of cuurrren and fof the uttre user to ce charges. Our report will reference official actions of the City over the past several years which have affected the operating results of the water and sewer enterprise fund (prior rate adjustments, policies regarding maintenance and repairs, and other official actions). Because our study would include projected financial information, we will include an accountant's compilation report which describes the assumptions and limitations on financial projections. Included in our report will be the following regarding limitations on the use of projections: Financial projections are estimates of possible future financial results based on one or more sets of assumptions. These assumptions may not necessarily reflect the most likely set of conditions and courses of actions which may transpire in the future. Projections are based on assumptions about circumstances and events that have not yet taken place and are subject to variations and there is no assurance that projected results will be obtained. The historical data illustrates trends and operating revenue and expenses and net income (loss) from operations of the City's sewer and water utility operations. v.E�19Ei OI .�IER:CA� I�`ILwE OFia SOC EDTv OFPILBIC CERTIFIED OCERTIFIED PLEB C ACCOL%UNTS rA` �� ;,w•. •.ti`,T EIS A^•CE OFHCERS ASSOCI� TION • mIMNUON A550CUTI0� OF SCHOOL aL 51MEi IiFFC: Atli