2016 Annual Report

2016 The Federal Gas Tax Fund Annual Report – Part II Table of Contents Compliance and Financial Audit Statements, Federal Gas Tax Fund ............. A 1-9 Audit Based Attestation .................................................................................................... B 1 Municipal Compliance Audit Reports ........................................................................... C 1-44 2016 to 2018 Federal Gas Tax Fund Allocations ....................................................... D 1-11 2016 Federal Gas Tax Fund Projects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eptember 6, 2017 Grant Thornton LLP Chris VanDooren 11th Floor 200 King Street West, Box 11 Manager – Gas Tax Implementation Toronto, ON Association of Municipalities of Ontario M5H 3T4 200 University Ave. Suite 801 T +1 416 366 0100 F +1 416 360 4949 Toronto, ON www.GrantThornton.ca M5H 3C6 Dear Mr. VanDooren: We are pleased to report that we have now completed the specified procedures for the year ended December 31, 2016 that the Association of Municipalities of Ontario (“AMO”) requested us to perform with respect to the Municipal Funding Agreement for the Transfer of Federal Gas Tax Funds between AMO and the municipalities of Ontario (excluding City of Toronto) (“Funding Agreement”) as of April 1, 2014. AMO requested us to perform these procedures in order to comply with the terms and conditions of the Administrative Agreement on the Federal Gas Tax Fund dated March 4, 2014 between AMO and the Province of Ontario and the Government of Canada (“Administrative Agreement”). The summary of work done is as follows: Sample size We selected a sample of 44 municipalities, listed in Appendix A-1, based on the selection criteria provided by AMO (Appendix A-2) from a population of 443 municipalities of Ontario (excluding City of Toronto). As Grant Thornton LLP is the auditor for 3 of the selected municipalities, AMO concluded that the compliance work for these municipalities should be performed by a different firm of public accountants. Although the independence standards of Chartered Professional Accountants of Ontario do not prohibit Grant Thornton LLP from performing the compliance reviews, AMO decided that to avoid any perceived independence issue, that the compliance work should be performed by a different firm. For the remaining 41 selected municipalities, we have performed procedures to review compliance for the 2016 calendar year. The appropriateness of the selection methodology and the adequacy the sample size is the responsibility of AMO. Audit • Tax • Advisory C-1 Grant Thornton LLP. A Canadian Member of Grant Thornton International Ltd Procedures performed We performed the procedures described in Appendix D. These procedures were determined by AMO. Findings We have issued our reports for each of the 41 selected municipalities. These reports have been sent independently of this document. Our reports indicate the procedures performed and whether or not there were any exceptions noted as a result of applying the procedures described in Appendix D. In Appendix B we have summarized the exceptions found. In Appendix C we have identified the municipalities where exceptions were noted. 2016 Risk Management Questionnaire AMO had asked each municipality to complete the “2016 Risk Management Questionnaire”, included in Appendix E-2, which listed 12 questions on financial policies and standard operating procedures (SOP) and required the municipalities to answer “yes” only if they had the policy or SOP in writing. AMO requested that we verify that a written policy or SOP existed for each question which had been answered “yes”. While we have assessed existence of a policy for each question, we have not assessed the adequacy or sufficiency of those policies. The assessment and implementation of the SOP is the responsibility of the municipalities. Our findings are listed in Appendix E-1. 2016 Asset Management Outcomes Questionnaire AMO had asked each municipality to complete the “2016 Asset Management Outcomes Questionnaire”, included in Appendix F, which listed 16 questions to measure the municipal sector’s progress on Asset Management under the Federal Gas Tax Agreement. AMO requested that we verify that the Recipient had answered the Asset Management Outcomes Questionnaire and that the answers were consistent with the municipality’s asset management plan. In one instance we noted that the municipality did not have an asset management plan. Recommendations Our recommendations, based on our procedures are listed in Appendix G. It should be noted that the purpose of our engagement was not to identify recommendations, and accordingly, management cannot rely on our findings to discharge their responsibilities in this area. C-2 Conclusion We would like to express our appreciation for the cooperation and assistance received from you and your team during the course of our work. If you have any particular comments or concerns, please do not hesitate to raise them at our scheduled meeting. Yours sincerely, Grant Thornton LLP R. Dale Varney, CPA, CA R. Dale Varney CA Professional Corporation Partner C-3 C-4 Findings We have issued our reports for each of the 3 selected municipalities. These reports have been sent independently of this document. Our reports indicate the procedures performed and whether or not there were any exceptions noted as a result of applying the procedures described in Appendix D. In Appendix H we have summarized our results by municipality. 2016 Risk Management Questionnaire AMO had asked each municipality to complete the "2016 Risk Management Questionnaire", included in Appendix E-2, which listed 12 questions on financial policies and standard operating procedures (SOP) and required the municipalities to answer "yes" only if they had the policy or the SOP in writing. AMO requested that we verify that a written SOP existed for each question which had been answered "yes". The assessment and implementation of the SOP is the responsibility of the municipalities. Our findings are listed in Appendix H. 2016 Asset Management Outcomes Questionnaire AMO had asked each municipality to complete the "2016 Asset Management Outcomes Questionnaire", included in Appendix F, which listed 16 questions to measure the municipal sector's progress on Asset Management under the Federal Gas Tax Agreement. AMO requested that we verify that the comprehensiveness of the municipality's plan is in accordance with the information provided in the Asset Management Outcomes Questionnaire. Conclusion We would like to express our appreciation for the cooperation and assistance received from you and your team during the course of our work. If you have any particular comments or concerns, please do not hesitate to raise them at our scheduled meeting. Yours sincerely, C�8arrowKaw�llP Joanna Park, CPA, CA Partner ::-�. COLLINS �,BARROWC-5 Report - Compliance Audit of Municipalities Appendix A-1 Municipalities selected for testing Sample iMIS Id Company Sort Geographic Audited by GT 1 10470 West Perth, Municipality Of South Western 2 10339 Zorra, Township Of South Western 3 10516 Oil Springs, Village Of South Western 4 19395 Plympton-Wyoming, Town Of South Western 5 10619 Enniskillen, Township Of South Western 6 10750 The Blue Mountains, Town Of South Western 7 10040 Amherstburg, Town Of South Western 8 10123 Brant, County Of South Western 9 10384 Lasalle, Town Of South Western 10 19411 Adelaide Metcalfe, Township Of South Western 11 19407 Strathroy-Caradoc, Municipality Of South Western 1 10336 Ignace, Township Of North Western 2 10671 Schreiber, Township Of North Western 3 10425 Marathon, Town Of North Western

Load more