RFP audit services

implied obligation for the County of Cheboygan to reimburse responding firms for any expenses incurred in preparing proposals in response to this request. The County of Cheboygan desires the auditor to express an opinion on the fair presentation of its basic financial statements in conformity with generally accepted accounting principles. The County of Cheboygan desires the auditor to express an opinion on the fair presentation of its governmental activities, its business-type activities, its aggregate discretely presented component units, each of its major funds, and its aggregate remaining fund information with generally accepted accounting principles. The County of Cheboygan also desires the auditor to express an opinion on the fair presentation of its combining and individual fund financial statements and the schedules in conformity with generally accepted accounting principles. The auditor is not required to audit the supporting schedules contained in the comprehensive annual

financial report. However, the auditor is to provide an “in-relation-to” opinion on the supporting schedules based on the auditing procedures applied during the audit of the basic financial statements and the combining and individual fund financial statements and schedules. The auditor is not required to audit the introductory section of the report or the statistical section of the report. 4 The auditor is not required to audit the schedule of federal financial assistance. However, the auditor is to provide an "in-relation-to" report on that schedule based on the auditing procedures applied during the audit of the financial statements. The Data Collection Form for Reporting on Audits of States, Local Governments and Non-Profit Organizations-Form SF-SAC, are to be considered within the scope of the project. State of Michigan required forms F-65, Annual Local Unit Fiscal Report; Form 5572, Retirement System Annual Report, and Form 5047, Qualifying Statement are to be considered within the scope of the project. A separate audit of Cheboygan County’s Straits Regional Ride (SRR), an Enterprise Fund with a September 30 year end is to be considered within the scope of the project. 1.3 Reports to be Issued Following the completion of the audit of the fiscal year's financial statements, the auditor shall issue: 1. A report on the fair presentation of the financial statements in conformity with generally accepted accounting principles, including an opinion on the fair presentation of the supplementary schedule of expenditures of federal awards in relation the audited financial statements. 2. A report on compliance and internal control over financial reporting based on an audit of the financial statements. 3. A report on compliance and internal control over compliance applicable to each major federal award. In the required reports on compliance and internal controls, the auditor shall communicate any significant deficiency or material weakness found during the audit. A significant deficiency shall be defined as a control deficiency, or combination of control deficiencies, that adversely affects the entity’s ability to initiate, authorize, record, process, or report financial data reliably in accordance with generally accepted accounting principles such that there is more than a remote likelihood that a misstatement of the entity’s financial statements that is more than inconsequential will not be prevented or detected. A material weakness shall be defined as a significant deficiency, or combination of significant deficiencies, that results in more than a remote likelihood that a material misstatement of the financial statements will not be prevented or detected. Significant deficiencies that are also material weaknesses shall be identified as such in the report. Control deficiencies discovered by the auditors that are neither significant deficiencies nor material weaknesses sh