ACFR - FY2020 5-28-21 FINAL - Flipbook - Page 169
PURVIS GRAY
MANAGEMENT LETTER COMMENTS
Honorable Mayor and City Commissioners
City of Eustis
Eustis, Florida
During the course of our audit, the following items came to our attention. These items involve primarily
operational matters, which if improved, will result in more efficient and effective operations:
Prior Year Comment, Carried Forward in Current Year
2019-1 Firefighter Pension Accounting and Administration
During our audit we noted that accounting and the administration of the fire fighters pension plan has
been outsourced and is no longer being completed by the City. The scope of the services being provided
for this plan does not allow for plan management to receive monthly or quarterly financial reports. It was
also difficult to obtain this information to complete the audit. We recommend that the Fire Fighter
Pension Board consider extending the scope of services provided for accounting to include monthly or
quarterly financial reporting and transaction level details and this information is under routine
management review.
Current Year Comment
2020-1 Period End Closing Routine
The City has experienced turnover in key positions within the Finance Department. As a result, a period
end closing routine is not functioning as it has in previous years. A functioning closing routine should
clearly identify tasks that are necessary for a timely period end close and preparation of period financial
information, as well as year-end financial schedules for audit.
To Improve the City's period-end closing routine and financial reporting process, we believe that specific
attention should be given to the following items:
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Creation of closing routines and timetables.
Review assignments responsibilities for accounting and closing.
Improve timeliness of balance sheet account reconciliations and general ledger review for accounts
receivable and revenue, capital assets and debt.
Monitoring of budget to actual financial information.
If a documented period-end closing routine is utilized, the period-end closing process will become for
efficient and effective, and will improve the quality and timeliness of financial reporting.
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May 26, 2021
Ocala, Florida
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