HomeMy WebLinkAboutHLB Tautges Redpath External Peer Review Report Tautges Redpath, Ltd.
Certified Public Accountants and Consultants
April 28, 2005
MAY ' 2
Judy Holst
City of Oak Park Heights
14168 Oak Park Blvd
Oak Park Heights, MN 55082
Dear Judy:
Every three years, the system of quality control for the accounting and audit practice of HLB
Tautges Redpath is reviewed in accordance with standards established by the Peer Review
Board of the American Institute of Certified Public Accountants ( AICPA). We are pleased to
report the HLB Tautges Redpath quality control system, in effect for the year ended
September 30, 2004, meets the requirements of the quality control standards and provides the
firm with reasonable assurance of conforming with professional standards. HLB Tautges
Redpath has continually received a positive peer review report. The firm also
consistently conducts an annual internal inspection to meet AICPA Peer Review Program
requirements.
The enclosed external peer review report for HLB Tautges Redpath is being provided to you
in accordance with Government Auditing Standards.
Sincerely,
HLB TAUTGES REDPATH, LTD.
David J. Mol, CPA
DJM/caw
4810 White Bear Parkway White Bear Lake, Minnesota 55110 651 426 7000 651 426 5004 Fax www.hlbtr.com
1303 South Frontage Road Suite 13 Hastings, Minnesota 55033 651 4804990 651 426 5004 Fax
HLB Tautges Redpath, Ltd. is a member of ® International, a world -wide organization of accounting firms and business advisors.
Member. Member:
A rizona � `� Henry A. Hem Privat Companies Practice
Public Section. Division of Rmts.
American Institute of
Certified Public Accountants P.C.
To the Shareholders
HLB Tautges, Redpath, Ltd.
We have reviewed the system of quality control for the accounting and audit practice of
HLB Tautges, Redpath, Ltd. (the firm) in effect for the year ended September 30, 2004.
A system of quality control encompasses the firm's organizational structure, the policies
adopted and procedures established to provide it with reasonable assurance of
conforming with professional standards. The elements of quality control are described in
the Statements on Quality Control Standards issued by the American Institute of CPAs
(AICPA). The firm is responsible for designing a system of quality control and
complying with it to provide the firm reasonable assurance of conforming with
professional standards in all material respects. Our responsibility is to express an opinion
on the design of the system of quality control and the firm's compliance with its system
of quality control based on our review.
Our review was conducted in accordance with standards established by the Peer Review
Board of the AICPA. During our review, we read required representations from the firm,
interviewed firm personnel and obtained an understanding of the nature of the firm's
accounting and auditing practice, and the design of the firm's system of quality control
sufficient to assess the risks implicit in its practice. Based on our assessments, we
selected engagements and administrative files to test for conformity with professional
standards and compliance with the firm's system of quality control. The engagements
selected represented a reasonable cross - section of the firm's accounting and auditing
practice with emphasis on higher -risk engagements. The engagements selected included
among others, audits of Employee Benefit Plans and engagements performed under
Government Auditing Standards. Prior to concluding the review, we reassessed the
adequacy of the scope of the peer review procedures and met with firm management to
discuss the results of our review. We believe that the procedures we performed provide a
reasonable basis for our opinion.
In performing our review, we obtained an understanding of the system of quality control
for the firm's accounting and auditing practice. In addition, we tested compliance with
the firm's quality control policies and procedures to the extent we considered appropriate.
These tests covered the application of the firm's policies and procedures on selected
engagements. Our review was based on selected tests therefore it would not necessarily
detect all weaknesses in the system of quality control or all instances of noncompliance
with it. There are inherent limitations in the effectiveness of any system of quality
control and therefore noncompliance with the system of quality control may occur and
not be detected. Projection of any evaluation of a system of quality control to future
Certified Public Accountants
4455 East Camelback Road
Suite E290
Phoenix, Arizona 85018
Telephone (602) 667 -6040
Fax (602) 667 -6039
HLB Tautges, Redpath, Ltd.
Page Two
periods is subject to the risk that the system of quality control may become inadequate
because of changes in conditions, or because the degree of compliance with the policies
or procedures may deteriorate.
In our opinion, the system of quality control for the accounting and audit practice of HLB
Tautges, Redpath, Ltd. in effect for the year ended September 30, 2004, has been
designed to meet the requirements of the quality control standards for an accounting and
auditing practice established by the AICPA and was compiled with during the year then
ended to provide the firm with reasonable assurance of conforming with professional
standards.
Phoenix, Arizona
January 21, 2005