1990-0982744L
ORDINANCE NO. ~-0~
AN ORDINANCE AUTHORIZING THE MAYOR TO ENTER INTO AN AGREEMENT BE-
TWEEN THE CITY OF DENTON AND DELOITTE & TOUCHE AS AUDITORS FOR THE
FISCAL YEAR ENDING SEPTEMBER 30, 1990, AND PROVIDING AN EFFECTIVE
DATE.
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION I. That the City Council of the City of Denton,
Texas desires to appoint Deloitte & Touche as the auditors for
the City of Denton, Texas for the fiscal year ending September
30, 1990.
SECTION II. That Deloitte & Touche is hereby designated as
the auditing firm for the City of Denton, Texas for the fiscal
year ending September 30, 1990 in accordance with the terms and
provisions of the commitment letter of Deloitte & Touche dated
May 9, 1990, and the conditions set forth in the Proposal to
Provide Professional Services, copies of which are attached
hereto and made a part hereof for all purposes.
SECTION III. That this ordinance shall become effective
immediately upon its passage and approval.
PASSED AND APPROVED this the /Q~ day of ~-~ ,
1990.
BOB CASTLEBERRY, MAY~ ~
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
APPROVED AS TO LEGAL FORM:
DEBRA ADAMI DRAYOVITCH, CITY ATTORNEY
Deloitte&
Touche
801 Cherry Street, Suite 2340 Metro' 654 2777
Fort Worth, Texas 76102-6801
Telephone: (817) 336-2531
May 9, 1990
Honorable Mayor and
City Council Members
City of Denton
215 E. McKinney Street
Denton, Texas 76201
Dear Mayor and Council Members:
This letter will confirm our understanding of the
arrangements covering our audit of the financial statements
of City of Denton ("City") for the year ending September 30,
1990.
We will audit the City's general purpose financial
statements for the year ending September 30, 1990. Our
audit will be made in accordance with generally accepted
auditing standards and the provisions of Government Auditing
Standards, promulgated by the U. S. Comptroller General, as
they pertain to financial audits. Accordingly, the audit
will include such tests of the accounting records and such
other auditing procedures as we consider necessary in the
circumstances. The objectives of our audit are to express
an opinion on the financial statements of the City, as well
as render a report on compliance of the City with the terms
and requirements of certain Federal laws.
Our procedures will include, among others, tests of
documentary evidence supporting the transactions recorded in
the accounts, tests of tax receipts and related assessment
rolls, and direct confirmation of receivables, grant
receipts and certain other assets and liabilities by
correspondence with selected taxpayers, creditors, legal
counsel and banks. At the conclusion of our examination, we
will request certain written representations from you about
the financial statements and matters related thereto.
Before commencing our audit, we would be pleased to meet
with you to review and discuss the scope of our audit
procedures in more detail.
Mr. Lloyd Harrell May 9, 1990 2
The fair presentation of financial position and results of
operations in conformity with generally accepted accounting
principles is management's responsibility. Management is
responsible for the development, implementation and
maintenance of an adequate system of internal accounting
control and for the accuracy of the financial statements.
Although we may advise you about appropriate accounting
principles and their applications, the selection and method
of application are responsibilities solely of management.
Our engagement is subject to the inherent risk that material
errors, irregularities or illegal acts, including fraud or
defalcations, if they exist, will not be detected. However,
we will inform you of any such matters that come to our
attention.
Fees for our services are based on per diem rates, plus
out-of-pocket expenses, all of which will be billed as our
work progresses. Our maximum fee for this engagement is
~37,500. Should an increase in the scope of our services be
required, we would provide you with a change in our fee
prior to commencing the work.
During the course of our engagement, we may observe
opportunities for economy in or improved controls over your
operations. We will bring such matters to the attention of
the appropriate level of management in writing.
If you intend to publish or otherwise reproduce the
financial statements and make reference to our Firm, you
agree to provide us with printers' proofs or masters for our
review and approval before printing. You also agree to
provide us with a copy of the final reproduced material for
our approval before it is distributed.
Please indicate your agreement to these arrangements by
signing the attached copy of this letter and returning it to
Mr. Lloyd Harrell May 9, 1990 3
We appreciate your confidence in your appointment of us as
your certified public accountants and look forward to
working with you and your staff.
Yours very truly,
DELOITTE & TOUCHE
George A. Scott
Partner
Date