AUDIT_2019_10_17_MINUTESThe City of Lake Forest
AUDIT COMMITTEE
Proceedings of the October 17, 2019 Meeting
5:15 p.m. – City Hall, 220 E. Deerpath
City Hall Conference Room
Minutes
I. Call to Order and Roll Call
Chairman Sparrow called the meeting to order at 5:18 p.m. Audit Committee Members present:
Chairman Sparrow, Mr. Magnuson, Mr. Smith and Mr. Stieber. Absent: Mr. McFadden, Finance
Chairman Morris and Mayor Pandaleon. Quorum present.
City staff present: Jason Wicha, City Manager; Elizabeth Holleb, Finance Director and Diane Hall,
Assistant Finance Director
Others present: Joe Lightcap of Baker Tilly
II. Consent Agenda
Approval of minutes from Audit Committee held on July 18, 2019
Mr. Stieber made a motion to approve the July 18, 2019 minutes. The motion was seconded by Mr.
Magnuson. The motion carried unanimously by voice vote.
III. Review Draft of Comprehensive Annual Financial Report for the Fiscal Year Ended April 30, 2019
Ms. Diane Hall, Assistant Finance Director reviewed a summary of highlighted areas in the
Comprehensive Annual Finance Report (CAFR). She reviewed significant changes as compared to
FY2018. She reviewed the implementation of GASB 75 in FY2019 to record Other Postemployment
Employee Benefits. She reviewed two additional opinions on the audit required by new state grant
guidelines.
The Committee discussed the Governor’s Task Force report regarding Illinois pension consolidation
feasibility and Tier II plan issues identified in the report.
The Committee discussed efficiencies realized with the new financial system.
IV. Review Draft of Report to the Audit Committee as Prepared by Baker Tilly Virchow Krause, LLP
Mr. Joe Lightcap of Baker Tilly stated the Management Discussion and Analysis provides a good
narrative of the City’s financial report. He stated no deficiencies were identified and a clean opinion
was presented. He discussed the implementation of GASB 75 and future GASB statements that may
affect the City.
He discussed the additional opinions required by new grant guidelines.
The impact of GASB 75 and grant guidelines were discussed as changes to the Management
Representation Letter.
V. Executive Session
Committee members entered into executive session with Mr. Lightcap at 5:48.
Committee members adjourned the executive session at 5:52.
VI. Other Business
Changes were provided to Mr. Lightcap to finalize the CAFR.
Foundation Summary – No changes
Foundation Financial Review – Ms. Elizabeth Holleb, Finance Director stated new letters have been
generated to send to each Foundation for calendar year 2020.
VII. Opportunity for Public to Address the Audit Committee – No one in attendance
VIII. Adjournment
There being no further business, a motion was made by Mr. Stieber to adjourn the meeting. The
motion was seconded by Mr. Magnuson. The motion was approved unanimously by voice vote. The
meeting was adjourned at 5:58 pm.
Respectfully submitted,
Diane Hall
Assistant Finance Director