Audit 04-26-06
City of Cupertino
Audit Committee
Special Meeting
April 26, 2006
1. CALL TO ORDER
At 4: 10 p.m., Carol Atwood called the meeting to order at Cupertino City Hall,
Conference Room E, 10300 Torre Avenue, Cupertino.
2. ROLL CALL
Community Members: Myoung Kang, Garrett Wade, Jim Weber
City Council: Dolly Sandoval, Kris Wang
City Staff: Carol Atwood, David Woo
3. APPROVAL OF MINUTES
Sandoval moved to approve the minutes of the special meeting of December 20, 2005.
Wade seconded and the motion passed unanimously.
4. ORAL COMMUNICATIONS
None
6. NEW BUSINESS
A. Audit Update
Woo reported that the interim audit would begin in May. He indicated that the
statistical section of the financial statements would be changing this year. He
stated that sales tax would be the city's key revenue source reported in the
financials. He also reported that GASB 45 would be going into effect which
changes how the City pays for retiree medical benefits. The City is currently in a
pay-as-you-go status and will now have to allocate funds each year. The City
currently has about three million allocated for retiree medical.
B. Budget Update.
Atwood updated the committee on the 2006-07 budget status. She indicated that
building fees were being reviewed for compliance under a new court ruling and
would be presented to City Council when the review is complete. She also
reported that the Fiscal Strategic Plan would be reviewed by Council on May 2.
C. Referendum and Reconsideration Hearing
The committee was updated on the referendums that have been filed regarding the
Toll Brothers and Vallco condo projects. The cost of holding an election in
November of 2006 would be approximately $200,000 versus $470,000 in
November of 2007.
April 26, 2006
Audit Committee
Page 2
D. Pentamation Update
Woo reported that the contract had been signed to update the accounting system,
building permits, business licensing, and human resources. He indicated that the
upgrade would have more on-line features and a code enforcement component.
E. Treasurer's Report
Woo reviewed the March 31 report.
6. ADJOURNMENT
The meeting was adjourned at 5:08 p.m.