ACFR - FY2020 5-28-21 FINAL - Flipbook - Page 7
April 29, 2021
To the Honorable Mayor, City Commissioners, and Citizens of Eustis:
It is an honor to submit this Comprehensive Annual Financial Report (now known as the Annual
Financial Report) for the City of Eustis (City) for the fiscal year ended September 30, 2020. The
report fulfills the requirements set forth by City ordinance and State law, in accordance with the
City Charter Article V, Florida Statutes Chapters 11.45 and 218, and the Rules of the Auditor
General 10.550, which requires that all local governments publish each fiscal year a complete
set of financial statements presented in conformity with generally accepted accounting
principles (GAAP) and audited in accordance with auditing standards generally accepted in the
United States by a firm of licensed certified public accountants.
This Annual Financial Report consists of management’s representations concerning the
finances of the City. Consequently, management assumes full responsibility for the
completeness and reliability of all the information presented in this report. To provide a
reasonable basis for making these representations, management of the City has established a
comprehensive internal control framework that is designed both to protect the City’s assets from
loss, theft, or misuse and to compile sufficient reliable information for the preparation of the
City’s financial statements in conformity with GAAP. Because the cost of internal controls should
not outweigh their benefits, the City’s comprehensive framework of internal controls has been
designed to provide reasonable rather than absolute assurance that the financial statements will
be free from material misstatement. As management, we assert that, to the best of our
knowledge and belief, this financial report is complete and reliable in all material respects.
Florida Statutes, Chapters 11.45 and 10.550, require that an annual financial audit be
performed by independent certified public accountants. The audit was completed by Purvis Gray
and Company, LLP; a firm of licensed certified public accountants meeting the additional
requirements necessary to audit governmental units.
The goal of the independent audit was to provide reasonable assurance that the financial
statements of the City for the fiscal year ended September 30, 2020 are free of material
misstatement. The independent audit involved examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements; assessing the accounting principles
used and significant estimates made by management; and evaluating the overall financial
statement presentation. The auditors expressed an opinion that the City’s financial statements
for the fiscal year ended September 30, 2020 are fairly stated in conformity with accounting
principles in the United States. This is the most favorable conclusion and is commonly known
as an “unmodified” or clean opinion. The independent auditor’s report is presented as the first
component of the financial section of this report.
The City is required to undergo an annual “Single Audit” in conformity with the provisions of the
State of Florida and Federal Single Audit Act and Chapter 10.550 Rules of the Auditor
General, State of Florida. The Single Audit is designed to meet the special needs of federal
grantor agencies. The City did meet the threshold levels that require the Single Audit Report for
the current year.
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