HomeMy WebLinkAboutContracts & Agreements_25-1974_CCv0001.pdf E A 0 1 E A N O Fo A Y N E
WILLIAM H,E^vE.c,"msn CcmT/r|Eo PUBLIC ACCOUNTANTS
JuouK.~^.Ne,cr�msn a3oNORTH ~o^ STREET
THOMAS" MOSS,cr"
JOSEPH aLAc*~ms=.c�^ s°m aspm^Ro/mo, CALIFORNIA ma4o1
JOHN^o`^m'C,~A.MILTON COATE.^,P A. November 8, I974 po. eo" ..=
Guap,e"°=S,c,�^ AREA n14/ 88e-0071
o.A.°sw=°o,ce°,
KENNETH mPATTERSo C.P.A.
J_FRANKLIN~snes, cr^
JOHN E,Gw^*°M.caA.
Redevelopment Agency of
the City of Redlands
P. U. Box 280 '
Redlands, California 92373
Attn. : Mr, R. P. Merritt, Jr.
City Manager and Acting
Executive Director of
Redevelopment
Deer Mr, Merritt:
This is to confirm the engagement of Eadie and Payne, CPAs, to
examine the financial statements of the Redevelopment Agency of the City
of Redlands for the period ended September 30` 1974~ Our examination
will be made in accordance with generally accepted auditing standards,
and will include such tests of the accounting records and such other
auditing procedures as we consider necessary to enable us to render
an opinion on the fairness of your financial statements.
These procedures will include tests (6y statistical sampling,
if feasible) of documentary evidence supporting the transactions re-
corded in the accounts, tests of the physical existence of inventories,
(if applicable), and direct confirmation of receivables and certain other
assets and liabilities by correspondence with selected creditors, legal
counsel . and 6anks.
Although defalcations and similar irregularities may occasion-
ally be disclosed by this type of examination, it is not designed for
this purpose and should not be relied on to disclose fraud, should any
exyst. We will , of course` report to you anything that appears to us
during our examination to be unusual or a6normal .
Since this is the first audit of the Agency we will also per-
form the following services:
1. Establish the necessary accounting system^ prior to audit, to
meet all requirements of the bond indenture and financial
reporting purposes;
2~ Review and recommend changes, as needed, in the internal con-
trol system;
Redevelopment Agency of
the City of Redlands -2- November 8, 19-74
3. Review the bond indenture for all areas pertaining to the
financial operation of the Agency-.
4. Review the data flows necessary to obtain all required costs
for the project.
It is our intention that the establishment of the accounting system
should begin immediately. The examination of the financial statements will
begin as soon as the accounting system is operational and all information is
recorded -- probably next month.
Our fee for this engagement will be on the basis of standard rates,
and we expect the total will be approximately $2,000. It should be understood
that circumstances may arise that will require our services to be extended.
If it appears the estimated fee will be exceeded, we will bring this to your
attention. Our invoices will be due and payable on presentation.
The Finance Department staff of the City is to furnish the necessary
and customary clerical assistance, including making available all necessary
documents to complete the audit.
U
6 If these arrangements meet with your approval , please sign the en-
K
closed copy where indicated and return it to us.
We thank you for the opportunity to be of continuing service and
appreciate the long association we have enjoyed with the City of Redlands.
Yours very truly,
-AND PAYNE
EAD�l E,
JEG:sz John E. Graham
ACCEPTIEM:
By
ecut�ive Director
A4i qn
Title Redlands Redevelopnent Agency
Date November 12 , 1974