Nature/Scope of Procedures
CHERRY
BEKAERf&.
HOLLAND
Cherry, Bekaert & Holland, L.L.P.
The Firm of Choice.
www.cbb.com
800 North Magnolia Avenue - Suite 1300
Orlando, Florida 32803
phone 407.423.7911
fax 407,841 .4887
October 15, 2004
The Honorable Danny L. Kolhage
Monroe County, Florida
500 Whitehead Street
Key West, Florida
This letter provides communications required by Government Auditing Standards and sets
forth the nature and scope of the procedures that Cherry, Sekaert & Holland, L.L.P. will
perform relative to compliance with laws and regulations and internal control over financial
reporting in connection with our audit of the financial statements of Monroe County, Florida
as of and for the year ended September 30, 2004,
The objective of our audit is the expression of opinions about whether your financial
statements are fairly presented, in all material respects, in conformity with accounting
principles generally accepted in the United States of America. The objective also includes
reporting on Monroe County, Florida's:
1, Internal control related to the financial statements and compliance with laws,
regulations, and the provisions of contracts or grant agreements, noncompliance with
which could have a material effect on the financial statements in accordance with
Government Auditing Standards,
2, Internal control related to major programs and an opinion on whether Monroe
County, Florida complied with laws, regulations, and the provisions of contracts or
grant agreements that could have a direct and material effect on each major program
in accordance with the Florida Single Audit Act, Single Audit Act Amendments of
1996 and OMS Circular A-133, "Audits of States, Local Governments, and Non-Profit
Organizations."
The reports on internal control and compliance will each include a statement that the
report is intended for the information of the audit committee, management, specific
legislative or regulatory bodies, federal awarding agencies, and if applicable,
pass-through entities,
Our audit will be conducted in accordance with auditing standards generally accepted in
the United States of America; the standards for financial audits contained in Government
Auditing Standards, issued by the Comptroller General of the United States; the Single
Audit Act Amendments of 1996; and the provisions of OMS Circular A-133, and will
include tests of your accounting records, a determination of major programs in
accordance with OMS Circular A-133, and other procedures we consider necessary to
enable us to express such an opinion and to render the required reports.
OMS Circular A-133 requires that we also plan and perform the audit to obtain reasonable
assurance about whether the audited has complied with applicable laws and regulations and
~an;OdependenlmemberOf
BAKER TIllY
INTERNATIONAL
the provisions of contracts and agreements applicable to major programs, Our procedures
will consist of the applicable procedures described in the OMS's compliance supplement.
The purpose of these procedures will be to express an opinion on Monroe County, Florida's
compliance with requirements applicable to major programs in our report on compliance
issued pursuant to OMS Circular A-133. Additionally, as required by OMS Circular A-133, it
is management's responsibility to follow up and take corrective action on reported audit
findings and to prepare a summary schedule of prior audit findings and a corrective action
plan.
At the conclusion of the engagement, it is management's responsibility to submit the
reporting package (including financial statements, schedule of expenditures of federal
awards, summary schedule of prior audit findings, auditor's reports, and corrective action
plan) along with the Data collection Form to the designated federal clearinghouse and, if
appropriate, to pass-through entities. The Data Collection Form and the reporting package
must be submitted within the earlier of 30 days after receipt of the auditor's reports or 9
months after the end of the audit period, unless a longer period is agreed to in advance by
the cognizant or oversight agency for audit.
Our procedures relative to compliance with laws and regulations and internal control over
financial reporting are limited to those discussed herein. We would be happy to discuss our
procedures with you further at your request.
Very truly yours,
CHERRY, BEKAERT & HOLLAND, L.L.P.
jl..-v/r( A. ~
Ronald A. Conrad
Partner
CHERRY
BEKAERT&.
HOLLAND
Cherry, Bekaert & Holland, L.L.P.
The FIrm of Choice.
www.cbb.com
800 North Magnolia Avenue - Suite 1300
Orlando, Florida 32803
phone 407.423.7911
fax 407.841,4887
October 20, 2004
Mr, Danny Kolhage
Clerk of the Circuit Court
Monroe County" Florida
500 Whitehead Street, Ste 101
Key West, Florida 33040
Dear Mr. Kolhage:
Cherry, Bekaert & Holland, L.L.P. has a firm policy to receive an annual acknowledgement of
engagement in situations wherein we have entered into multi-year contracts. In conjunction with
this policy, we would appreciate your acknowledgement below that the Agreement Between
Monroe County, Florida and Cherry, Bekaert & Holland, L.L.P. For Independent Auditing
Services, dated November 19,2003, as amended, remains in effect for the fiscal 2004 audit.
A self-addressed envelope is enclosed for your reply.
Very truly yours,
CHERRY, BEKAERT & HOLLAND, L.L.P.
~a.~
Ronald A. Conrad
Partner
Enclosure
~ U m<l,p'nde~t member of
BAKER TILLY
INTERNATIONAL
Monroe County, Florida
October 20, 2004
Page 2
Acknowledgement:
Monroe County, Florida affirms that the Agreement for Auditing Services with Cherry, Bekaert &
Holland, L.L.P., described above, remains in effect for the fisca12004 audit.
BY.~?~
----------
Title: Cl~d~ of C'\(C\A ,+ Q.QLL\-t
Date: I 0 - .;;;l (L) - 0 '--{