01/21/2020-CC-Minutes-Work SessionCITY OF SANGER, TEXAS
MINUTES: WORK SESSION CITY COUNCIL MEETING
Tuesday, January 21, 2020 6:00 PM
502 Elm Street, Sanger, Texas
COUNCIL MEMBERS PRESENT:
Mayor Thomas Muir; Mayor Pro Tem Bilyeu; Councilmember Marissa Barrett; Councilmember
Dennis Dillon; Councilmember David Clark; Councilmember Allen Chick.
COUNCIL MEMBERS ABSENT:
None.
STAFF MEMBERS PRESENT:
City Manager Alina Ciocan; Finance Director Clayton Gray; City Secretary Cheryl Price.
1.Call Meeting to Order
There being a full quorum present at the January 21, 2020 Work Session, the meeting was called to
order by Mayor Muir at 6:02 p.m.
2.Presentation from Auditors
Overview of the Annual Financial Report and Related Audit by Brooks Watson & Co. for the Fiscal
Year Ending September 30, 2019.
Clayton Gray was recognized and provided a brief introduction. He noted that under the Texas
Local Government Code and City Charter the City must have an audit of it's financial statements
each year. This audit was performed by Brooks Watson & Company. The annual audit was
conducted in accordance with governmental accounting standards and fulfills the requirements set in
State law. The audit resulted in an unmodified ("clean") opinion, which is the best rating a City can
receive and what we want to see, indicating that the financial statements are presented fairly, in all
material aspects, in accordance with generally accepted financial principals. He noted that the
Contract is expiring and staff will be going out for bid for these services next year.
Jon Watson, Brooks Watson & Company was recognized and presented a power point
presentation providing a detailed summary of the audit for the Fiscal year ending September 30,
2019. He provided an overview of the Audit Process and provided a summary of the various
components of the annual financial report. There were several questions brought up during the
presentation regarding the Texas Municipal Retirement System (TMRS) which is the employee
retirement fund. He also summarized the two standard audit letters which were included in the Audit
packet. The first letter summarized their responsibility and noted that if any fraud was identified it
would be in the letter. They did not identify any fraud, and there was nothing of concern like that
identified. He stated that if there was anything, it would be noted in this letter. He noted that there
were under ten audit adjustments. The second letter summarized internal controls, and a few material
weaknesses, and deficiencies.
There was a brief discussion and question period.
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CITY OF SANGER, TEXASMINUTES: WORK SESSION CITY COUNCIL MEETINGTuesday, January 21, 2020 6:00 PM502 Elm Street, Sanger, TexasCOUNCIL MEMBERS PRESENT:Mayor Thomas Muir; Mayor Pro Tem Bilyeu; Councilmember Marissa Barrett; CouncilmemberDennis Dillon; Councilmember David Clark; Councilmember Allen Chick. COUNCIL MEMBERS ABSENT:None.STAFF MEMBERS PRESENT:City Manager Alina Ciocan; Finance Director Clayton Gray; City Secretary Cheryl Price.1.Call Meeting to OrderThere being a full quorum present at the January 21, 2020 Work Session, the meeting was called toorder by Mayor Muir at 6:02 p.m. 2.Presentation from AuditorsOverview of the Annual Financial Report and Related Audit by Brooks Watson & Co. for the FiscalYear Ending September 30, 2019.Clayton Gray was recognized and provided a brief introduction. He noted that under the TexasLocal Government Code and City Charter the City must have an audit of it's financial statementseach year. This audit was performed by Brooks Watson & Company. The annual audit wasconducted in accordance with governmental accounting standards and fulfills the requirements set inState law. The audit resulted in an unmodified ("clean") opinion, which is the best rating a City canreceive and what we want to see, indicating that the financial statements are presented fairly, in allmaterial aspects, in accordance with generally accepted financial principals. He noted that theContract is expiring and staff will be going out for bid for these services next year. Jon Watson, Brooks Watson & Company was recognized and presented a power pointpresentation providing a detailed summary of the audit for the Fiscal year ending September 30,2019. He provided an overview of the Audit Process and provided a summary of the variouscomponents of the annual financial report. There were several questions brought up during thepresentation regarding the Texas Municipal Retirement System (TMRS) which is the employeeretirement fund. He also summarized the two standard audit letters which were included in the Auditpacket. The first letter summarized their responsibility and noted that if any fraud was identified itwould be in the letter. They did not identify any fraud, and there was nothing of concern like thatidentified. He stated that if there was anything, it would be noted in this letter. He noted that therewere under ten audit adjustments. The second letter summarized internal controls, and a few materialweaknesses, and deficiencies.
There was a brief discussion and question period.
Again, it was discussed that the City did receive an unmodified opinion, which is the best opinion
which the City could receive in an audit. In conclusion, he noted that the City is doing well with its
financials, and noted that all of the staff was very open and quick to provide any of the information
they requested during the audit process.
3.Overview of Items on the Regular Agenda
There was no overview of items on the agenda.
4.Adjourn
There being no further discussion, Mayor Muir adjourned the meeting at 6:55 p.m.
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