3.0.b. SWCSR 08-15-2019 - Laserfiche WebLink

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CliftonLarsonAllen LLP CLAconnect.com Board of Directors and Management Sherburne Wright County Cable Communications Commission Buffalo, Minnesota In planning and performing our audit of the financial statements of Sherburne Wright County Cable Communications Commission (the Commission) as of and for the year ended December 31, 2017, in accordance with auditing standards generally accepted in the United States of America, we considered the Commission's internal control over financial reporting (internal control) as a basis for designing audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the Commission's internal control. Accordingly, we do not express an opinion on the effectiveness of the Commission's internal control. Our consideration of internal control was for the limited purpose described in the preceding paragraph and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies and, therefore, material weaknesses or significant deficiencies may exist that were not identified. In addition, because of inherent limitations in internal control, including the possibility of management override of controls, misstatements due to fraud or error may occur and not be detected by such controls. However, as discussed below, we identified certain deficiencies in internal control that we consider to be material weaknesses. A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the Commission's financial statements will not be prevented, or detected and corrected, on a timely basis. Material weaknesses We consider the following deficiencies in the Commission's internal control to be material weaknesses. • CliftonLarsonAllen prepared the financial statements. Management is responsible for establishing and maintaining internal controls including monitoring, and for the fair presentation of the financial statements. The lack of ability and processes to prepare and review the financial statements could affect the ability to report the Commission's financial data consistently with the assertions of management in the financial statements. • There is limited segregation of duties. Generally, a system of internal control contemplates separation of duties so that no one individual should have responsibility to execute a transaction, have physical access to the related assets, and have responsibility or authority to record the transaction. The design of the internal controls over financial reporting could affect the ability of the Township to record, process, summarize, and report financial data consistently with the assertions of management in the financial statements. While we recognize that the Commission may not be large enough to allow for adequate segregation of duties, it is important that the Commission be aware of this condition. @A member of Nexia International