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Audit 01-17-07 City of Cupertino Audit Committee Regular Meeting January 17, 2007 1. CALL TO ORDER At 4: 17 p.m., Carol Atwood called the meeting to order at Cupertino City Hall, Conference Room A, 10300 Torre Avenue, Cupertino. 2. ROLL CALL Community Members: Myoung Kang, Jim Weber City Council: Orrin Mahoney City Staff: Carol Atwood, David Woo Absent: Dolly Sandoval, Garrett Wade 3. APPROVAL OF MINUTES Continued to next meeting. 4. ORAL COMMUNICATIONS None 5. NEW BUSINESS A. CAFR Presentation Mark Wong, Maze and Associates, updated the committee on the audit results. He reported that there were no findings and therefore would not be issuing a management letter. He indicated that the City is already preparing for GASB 45 - Retiree Medical and has funded about three years worth. Mark was glad to report again this year that staff was very helpful and the audit went very smoothly. Mark also reported that there was one finding during the RDA audit with respect to time allocation versus time spent. He indicated that this finding has been corrected. B. Investment Policy Revisions Woo discussed three revisions being proposed for the Investment Policy. Kang requested that the City receive a quote from the auditors regarding the additional cost for the auditors to audit the Investment Policy compliance. A special meeting will be held in March to review the proposed quote. C. Investment Report Woo reviewed the current investment report. January 17, 2007 Audit Committee Minutes Page 2 D. Other Committee Updates/Reports It was noted that a fee study was underway to review building fees and the budget process is also now underway. Atwood also noted that negotiations with the two unions began earlier this year in order to incorporate funding into the budget during the budget process. 6. OLD BUSINESS A. Pentamation Upgrade Project Woo reported that the upgrade process for Finance, HR and Building Departments was complete. 7. ADJOURNMENT The meeting was adjourned at 5:20 p.m.