SCMTD February 2004 Board of Directors Agendas - Santa Cruz ...

TECHNICAL AUDIT A.PPROACH
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Santa Cruz Metropolitan Transit District
We emphasize “hands-on” partner involvement and consistency of staff assignments in our
audits. We believe this emphasis benefits our clients in two ways:
1. A superior, quality audit is delivered on time; and
2. We reduce the cost of the audit - in audit fees, and in that unseen cost, the “training of an
auditor” unfamiliar with the District’s personnel and procedures.
The methods employed to formulate our auditors’ opinions consist of several phases. These
phases are: planning, study and evaluation of internal control compliance testing, final audit plan,
final field work, final review, and completion of the audit.
Planning
We will begin the planning of the examination upon notification of award of the contract. Tasks
to be accomplished during this phase include:
Kick-off meeting with the finance director and all key finance department personnel and
department heads of key offices or programs to discuss the scope of the examination,
availability (vacation schedules) of your staff, prior audit problems, the interim work to be
performed, the establishment of overall liaison for the audit, and arrangements for work
space and other needs of the auditor. This conference will occur on or before May 1,
2004.
Develop the program to study and evaluate internal control.
Conferences with all audit personnel involved in the engagement to discuss the scope and
timing of the engagement, and anticipated areas of audit emphasis.
Analytical review of the District’s year-to-date financial information, and the District’s
budget and related materials.
Develop and submit a Calendar of Activities for approval by the Finance Director.
BROWK ARMSTRONG
ACCOUNTANCY CORPORATION 9
Providing Accounting and Auditing Service
for more than 29 yea;