Comprehensive Annual Financial Report

MANAGEMENT REPORT ON RESPONSIBILITY
FOR FINANCIAL REPORTING
The management of the City of Richmond has the responsibility for preparing the accompanying financial statements
with integrity and objectivity. The School Board of the City of Richmond, Richmond Ambulance Authority, Port of Richmond
Commission, Richmond Behavioral Health Authority, and Richmond Redevelopment and Housing Authority are under the direct
control of their respective governing boards and management. The financial statements were prepared in accordance with
accounting principles generally accepted in the United States of America, and to the best of our knowledge are not materially
misstated. The financial statements include amounts that are, in some instances, based on management’s best estimates and
judgments. Management also prepared the statistical information in this annual report and is responsible for its accuracy and
consistency with the financial statements.
The City’s financial statements have been audited by Cherry, Bekaert & Holland, L.L.P. (CB&H), independent certified
public accountants, selected by the City Council. Management has made available to CB&H all of the City’s financial records
and related data as well as the minutes of the City Council meetings. Furthermore, management believes that all
representations made to CB&H during its audit were valid and appropriate.
Management of the City is responsible for establishing and maintaining a system of internal controls that provides
reasonable assurance as to the integrity and reliability of the financial statements, the protection of assets from unauthorized use
or disposition, and the prevention and detection of fraudulent financial reporting. The system of internal controls should provide
for appropriate division of responsibility that is communicated to employees with significant roles in the financial reporting
process and updated as necessary. Management continually monitors the system of internal controls for compliance.
The City maintains an internal auditing program through the City Auditor. The City Auditor independently assesses the
effectiveness of internal controls and recommends possible improvements thereto. Management has considered the City
Auditor’s and CB&H’s recommendations concerning the City’s system of internal control and has taken actions that we believe
are cost-effective in the circumstances to respond appropriately to these recommendations.
Management also recognizes its responsibility for fostering a strong ethical climate so that the City’s affairs are
conducted according to the highest standards of personal and City conduct. Management communicates ethical standards to
employees through personnel rules, administrative regulations, and city law.
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