Regular Fire Board Meeting - July 10, 2024

Independent Auditor’s Report on Internal Control… June 30, 2020 Page 2

Ganado Fire Districts’ Response to Findings Government Auditing Standards requires the auditor to perform limited procedures on the Ganado Fire District’s ( the District) response to the findings identified in our audit and described in the accompanying schedule of findings and questioned costs. The District’s response was not subjected to the other auditing procedures applied in the audit of the financial statements and, accordingly, we express no opinion on the response. Report on Compliance with State of Arizona Regulatory Requirements In conjunction with our Audit, it came to our attention the Ganado Fire District incurred liabilities exceeding the unencumbered funds and monies collected for the year, resulting in continued unfunded liabilities. As described in Note 21; the District has not complied with ARS 48-805, 48-806 and 48-807 as required by relevant statutes. However, our Audit was not directed primarily toward obtaining knowledge of such non-compliance. This report is supplemental reporting as required by Arizona Revised Statutes intended solely for the information and use of management and to meet the requirements of A.R.S. 48-805. Accordingly, this report is not suitable for any other purpose and is not intended to be and should not be used by anyone other than the specified parties. Purpose of This Report The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the entity’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose. Saunders Company, Ltd. Glendale, Arizona April 12, 2024

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