HomeMy WebLinkAboutTR-44-96 THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON
REPORT
GENERAL PURPOSE AND ADMINISTRATION COMMITTEE
Meeting: File#
Date: June 17, 1996 Res. #L`D `I _4>
Report#:_ TR,— ,44_-q File#: By-Law#
Subject: 1995 AUDIT REPORT AND MANAGEMENT LETTER
Recommendations:
It is respectfully recommended that the General Purpose and Administration Committee
recommend to Council the following:
1. THAT Report TR-44-96 be received;
2. THAT the Financial Statements for the year ended December 31, 1995 (under
separate cover) be adopted;
3. THAT recommendations contained in the management letter be reviewed by staff
and addressed appropriately and report back on any necessary changes;
4. THAT the attached By-Law (Schedule "A") be approved to retain the firm of
Deloitte and Touche as the Municipality's auditors for the five year period 1997 to
2001 subject to an annual review and appointment; and
5. THAT the firm of Deloitte and Touche be appointed as the Municipality's Auditors
for the 1996 year end audit.
Background and Comment:
1.0 The 1995 year end has now been completed and a representative of Deloitte & Touche is
in attendance to present this Report. Any queries with respect to the Audit and the
Management Letter should be directed to his attention at this time.
2.0 Staff are continuing in their efforts to increase and improve internal controls and the
auditor's comments reflect this. The areas identified as requiring fine tuning are areas
that previously were not able to be focused on from an audit perspective because other
areas lacked the level of expertise that now has been achieved.
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PAPERD
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RLC 6 PREMED W RECYCIED PAPER
TR-44-96 Page - 2 -
3.0 In 1992, Report TR-6-92 recommended that the firm of Deloitte & Touche be retained for
a five (5) year period. Council passed the applicable By-Law which also directed that the
appointment be reviewed on an annual basis. As this By-law expires with the 1996 fiscal
year end, it is recommended that the attached By-Law be approved to retain Deloitte and
Touche for a further five (5) year period (1997 to 2001). Again, this appointment will be
reviewed on an annual basis.
3.1 The knowledge and expertise of Deloitte & Touche with respect to the records and
operations of the Corporation adds to the efficiency of the audit and it allows valuable
staff time to be available to devote to other priorities. If staff days available for work are
reduced, the ever increasing work load will be completed over less time. Maximization of
any available efficiencies will therefore be of considerable benefit to the Municipality.
Their extensive knowledge of the Municipality's operations also allows a greater
opportunity for Deloitte and Touche to provide valuable advice and assistance in other
areas.
3.2 In addition, Deloitte & Touche have agreed to keep their fees at the same rate as the
municipal mill rate in each of the years identified. This contribution is in recognition of
the Municipality's focus on the budgetary restrictions during the current economic
climate.
3.3 As indicated in Report TR-36-96, the auditors concur that the Municipality reflects a
secure financial position as indicated in the financial statements.
Respectfully submitted, Reviewed by,
A. Marano, H.BSc., A.M.C.T., W.H. Stockwell,
Treasurer. Chief Administrative Officer.
MAM/NT/hjl
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Attachment
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SCHEDULE "A"
THE CORPORATION OF THE MUNICIPALITY OF CL.ARINGTON
BY-LAW NUMBER 96-
Being a by-law to appoint an Auditor for the
Corporation of the Municipality of Clarington
WHEREAS Section 86(1) of the Municipal Act R.S.O. 1990, C.M. 45 gives Council the authority to
appoint "for a term of five years or less one or more auditors who are licensed under the Public
Accountancy Act";
AND WHEREAS it is necessary to appoint an auditor for the Corporation of the Municipality of
Clarington;
NOW THEREFORE the Council of the Corporation of the Municipality of Clarington enacts as
follows:
1. That Deloitte and Touche is hereby appointed auditor for the Municipality of
Clarington for a term or five (5) years, conditional on an annual review by Council, for
the fiscal years ending December 31, 1997 to December 31, 2001, inclusive.
By-Law read a first and second time this day of 1996.
By-Law read a third time and finally passed this day of 1996.
Mayor
Clerk
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