January 26, 2021

Michigan Committee on Governmental Accounting and Auditing Statements

January 26, 2021

Meeting Agenda

1. Call to Order
   1. Cary Vaughn called the meeting to order at 10:03 a.m.
2. Roll Call
   1. Members Present:
      1. Cary Vaughn – DeWitt, MI, Clinton County
      2. Rod Taylor – DeWitt, MI, Clinton County
      3. Rana Emmons – Livonia, MI, Wayne County
      4. Bill Tucker – East Lansing, MI, Clinton County
      5. Stephen Blann – Grand Rapids Twp., MI, Kent County
      6. Cindy Catanach – Canton Twp., MI, Wayne County
      7. Eric Van Dop – Tallmadge Charter Twp., MI, Ottawa County
      8. Michael Slater – Livonia, MI, Wayne County
      9. Michelle Watterworth – Orion Twp., MI, Oakland County
      10. Pauline Bennett – Addison, MI, Lenawee County
3. Review of Prior Meeting Minutes
   1. The Committee did not have a chance to review the October 29, 2020, draft minutes, therefore, the minutes will be approved at the next scheduled meeting on April 29, 2021.
4. New Business
   1. Cares Act Guidance
      1. Single Audit
      2. Treasury is going to email local units with guidance. The MGFOA has procedures, however, they are under their pay wall and will need to seek the Boards approval to see if Treasury will be allowed to post on the web to guide local units. Stephen Blann is going to talk to the MGFOA Board for approval.
   2. Sale of Federal Aid for Road Commissions
      1. Stephen Blann suggested saying 20% discount for Federal Aid Purchase Price and take out the percentage for Local Participation in the table. Michelle Watterworth suggested that the Non-roads Project Expense be a pre-paid instead of a receivable as well as eliminate entry #3 and the second part of #4.
   3. Revision of Statement No. 4 (and other MCGAA statements)
      1. Stephen Blann is taking the lead to review and will report back to Cary with any edits/revisions that he has.
5. Old Business
   1. Numbered Letter 2020-6 Draft
      1. Cary Vaughn reviewed the changes that were made with the Committee. Michelle Watterworth suggested a change in the first paragraph when it refers to paragraph 6 and paragraph 12, it should say paragraph 6 of statement no. 84 and paragraph 12 of statement no. 84.
   2. Uniform Chart of Accounts
      1. Exposure draft – released November 24, 2020
      2. Cary Vaughn reported that the exposure draft has been well received and that it has been said that no major revisions will be made prior to the implementation. However, there may be some minor revisions.
   3. Road Commission Account Manual
      1. Cary Vaughn reported that this is in the final stages and will be forthcoming soon for Committee review.
   4. Budget Manual (revised August 2001)
      1. Michelle Watterworth worked on it with MGFOA and Cary Vaugh is set to review it.
   5. Other Manuals
      1. Audit Guide for Transportation Authorities (revised June 2007)
         1. Being re-written by MDOT
      2. Treasury gave comments and advised to MDOT and MDOT is rewriting. Michelle Watterworth wants to make sure the MCGAA Committee will be able to review before it is finalized once it is received back from MDOT,
6. Upcoming Meetings
   1. April 29, 2021
   2. July 15, 2021
   3. October 14, 2021
7. Suggested Topics for Next Meeting
   1. Implementation Guidance Update – 2021 Exposure Draft
   2. Statement No. 4 revision
8. Adjournment
   1. The Michigan Committee on Governmental Auditing and Accounting meeting adjourned at 11:07 a.m.