The Permanent Audit Committee was established pursuant to Article 16 of the Town’s By-Laws. The Committee is charged with assisting the Selectmen in the selection of an independent auditor to perform an audit of the Town’s accounts, to monitor the work of the audit and to participate in a review and discussion of the audit’s findings. Robert A. Keefe was newly appointed to the committee.
Town By-Laws require that an audit be carried out not less than triennially. The Town, however, undertakes an annual audit to comply with federal regulations, which call for an annual audit for recipients of certain federal funds. Additionally it is essential that audits be completed in a timely fashion in order to ensure the maintenance of the Town’s Aaa credit rating, which is the highest rating category of Moody’s Investors Service. The Town’s exemplary credit rating has resulted in very favorable rates and extremely low borrowing cost. The Aaa rating was last updated upheld on August 15, 2002.
The Town’s general accounts for the fiscal year ending June 30, 2002 and the accounts of the Belmont Contributory Retirement System for the year ending December 31, 2001 were audited by KPMG LLP. The Municipal Light Department’s accounts for the year ending December 31, 2001 were audited by Goulet, Salvidio & Associates, PC.
The results of the Town’s fiscal 2002 audit and the auditor’s recommendation have been reviewed by the Committee with representatives of KPMG LLP. The format for the report complies with the requirements of the Federal Single Audit Act of 1984. The report indicates that the Town remains in excellent financial condition and that its financial control systems are generally sound. The Town’s audited financial statements for fiscal year 2002 follow this report.
The Committee continues to monitor the Town’s progress toward full compliance with the reporting requirements of the new GASB34 regulations. The Town plans to conduct comprehensive inventories of all fixed assets in the coming year to enable accurate GASB34 reporting.
The FY02 audit is the third in a five-year contract with KPMG LLP, which has completed 12 years of service to the Town. The committee expresses its sincere appreciation to Brock Romano, Michael Maschio, Jeremy Brown and their associates at KPMG LLP for their efforts on behalf of Belmont.
Respectfully submitted,
John A. Foppiano, Chair
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