Specifications include, but are not limited to: A. General The City of Solvang desires the auditor to express an opinion on the fair presentation of its basic financial statements in conformity with generally accepted accounting principles for all City Funds. B. Auditing Standards To Be Followed To meet the requirements of this request for proposals, the audits shall be performed in accordance with auditing standards generally accepted in the United States and the standards applicable to financial audits contained in Government Auditing Standards, issues by the Comptroller General of the United States, the provisions of the Single Audit Act and the provisions of U.S. Office of Management and Budget (OMB) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Any revisions to these standards must be followed. C. Reports to be Issued a. The audit firm will perform an audit of all funds of the City of Solvang. The audit will be conducted in accordance with auditing standards generally accepted in the United States of America and Government Auditing Standards, issued by the Comptroller General of the United States, the provisions of the Single Audit Act and the provisions of U.S. Office of Management and Budget (OMB) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Any revisions to these standards must be followed. b. The City’s Annual Comprehensive Financial Report (ACFR) will be prepared and word processed by the audit firm. The ACFR will be in full compliance with all current GASB pronouncements. The audit firm will render their auditors’ report on the basic financial statements which will include both Government-Wide Financial Statements and Fund Financial Statements. The audit firm will also apply limited audit procedures to Management’s Discussion and Analysis (MD&A) and required supplementary information pertaining to the General Fund and each major fund of the City. c. The audit firm will perform an audit of all City funds and prepare any applicable State Controller’s Reports. d. The auditor shall prepare a Single Audit Report, if required. e. The auditor shall prepare a report on the review of the City’s Gann Limit computation. f. The auditor shall issue a management letter that indicates recommendations for improvements in internal controls considered non-reportable conditions. g. The audit firm will provide special assistance in order to meet requirements of GFOA program, including preparing answers to all GFOA comments, and GFOA checklist. h. The auditor shall assist the City’s personnel in applying GAAP and implementing new GASB pronouncements and provide support necessary to maintain sound financial management procedures. The auditor shall provide financial advice and counsel on significant matters occurring throughout the year that would affect the annual reports and sound accounting practices and complete the Governmental Disclosure Checklist. i. Auditor to prepare all confirmations.