Designed for 16 hours CPE · 2019. 5. 31. · Shelly L. Hammond, CPA, CGFM Vice President of Finance & CFO, Greater Wichita YMCA, Wichita Melinda A. Hitz, CPA, CGMA Finance Director,

Designed for 16 hours CPE

BRONZE SPONSOR

GOLD SPONSOR

KSCPA Governmental Nonprofit Accounting & Auditing Conference Page 2

June 4-5, 2019 – Hyatt Regency Wichita

REDBUD BC REDBUD A

07:15-07:50

07:50-08:00

08:00-09:40 100 General David Cotton - Anatomy of a Fraud

09:40-09:50 10 Networking Break

09:50-11:30 100 General Frank Crawford - The Yellow Book Gets a New Shade: How Well Do

You Know GAS?

11:30-12:30 60 Lunch in Cypress A

12:30-01:20 50 Breakout Paulina Haro - GASB Update Melisa Galasso - FASB Update

01:25-02:15 50 Breakout Deana Thorps - AICPA Enhanced Audit Quality Update Melisa Galasso - FASB Leases Update

02:15-02:30 15 Cookie/Networking Break

02:30-03:20 50 Breakout Kristin Cargin - Data Analytics in the Audit Melisa Galasso - Revenue Recognition for Non-Profits

03:25-04:15 50 General David Cotton - Using Computer Assisted Audit Techniques to Detect

Fraud

REDBUD BC REDBUD A

07:15-07:50

07:50-08:00

08:00-09:40 100 General David Cotton - Professional Ethics -- NOT for Dummies

09:40-09:55 15 Networking Break

09:55-10:45 50 Breakout Scot Loyd - KMAAG Hide and SeekCynthia Darting - Non-Profit Financial Statement Preparation

Requirements

10:50-12:05 75 General David Cotton - Was it Fraud or Just Poor Audit Quality?

12:05-12:55 50 Lunch in Cypress A

12:55-01:45 50 General Geoff Jenista - Cybersecurity and the Auditors Role in Protecting

Clients

01:50-02:40 50 General Teresa Seymour - Single Audit Update

02:40-02:55 15 Cookie/Networking Break

02:55-04:10 75 General Chris Kuehl - Economic Update

Wednesday, June 5, 2019

Registration & Breakfast Snack

Welcome & Announcements

KSCPA GOVERNMENTAL & NONPROFIT ACCOUNTING & AUDITING CONFERENCE

SCHEDULE AT A GLANCE

Tuesday, June 4, 2019

Welcome & Announcements

Registration & Breakfast Snack



STEERING COMMITTEE Russell E. Shipley, CPA, CFE, CGFM, CGMA, Chair Partner, Sink, Gordon & Associates LLP, Manhattan

Shelly L. Hammond, CPA, CGFM Vice President of Finance & CFO, Greater Wichita YMCA, Wichita

Melinda A. Hitz, CPA, CGMA Finance Director, City of Garden City, Garden City

Danielle M. Hollingshead, CPA Senior Audit Manager, Adams Brown Beran & Ball, Chtd., Great Bend

D. Scot Loyd, CPA, CFE, CGMA, CGFM Partner, Swindoll Janzen Hawk & Loyd, LLC, Hutchinson

Emily R. Sheldon, CPA Audit Manager, Berberich Trahan & Co., P.A., Topeka

April Swartz, CPA, CGFM, CNAP Owner, Varney & Associates, CPAs, L.L.C., Manhattan

Staff Liaison

Danielle Hologram, KSCPA

The KSCPA Governmental Nonprofit Accounting & Auditing Conference is an annual event and the largest KSCPA conference that

includes national speakers and numerous sessions. In addition to individual members, several members from the same firm attend.

This conference is not only a premier educational experience, but also a chance to meet, network and socialize. Wichita has great

restaurants and shopping, and many participants bring their families. The ice and snow are gone, flowers are in bloom, busy season is

over, and this is the perfect time to learn and to connect with like-minded professionals.

Please note, these sessions may qualify for Yellow Book CPE credit. Determining which sessions qualify for the Yellow Book

24-hour requirement is made on an auditor specific basis depending on the auditor’s Yellow Book clients. Please visit

www.gao.gov/yellowbook for specific requirements.



07:15-07:50 Registration, Breakfast Snacks & Networking REDBUD BC FOYER

07:50-08:00 Welcome and Announcements: Russell Shipley, CPA, Chair, Sink, Gordon & Associates, LLP REDBUD BC

08:00-09:40 Anatomy of a Fraud

REDBUD BC David Cotton, CPA, CFE, CGFM, Chairman, Cotton & Company LLP

Auditing This session explores—using audience volunteer participants to play key roles in the case—a case study that

demonstrates the importance of having sound systems of internal control over the grant award and grantee

monitoring processes. It quickly becomes obvious that internal control procedures were either missing or broke

down in several important areas. But, were more sinister forces at play? Who had motive, access, opportunity? Did

someone misappropriate funds? Did someone funnel funds to cronies? If so, who did it? Participants will have the

opportunity to cross-examine the key suspects in the case in order to arrive at The Truth.

09:40-09:50 Networking Break

09:50-11:30 The Yellow Book Gets a New Shade: How Well Do You Know GAS?

REDBUD BC Frank Crawford, CPA, President, Crawford & Associates, P.C., Certified Public Accountants

Auditing This session will take a quick look at the newly issued Yellow Book (Government Auditing Standards), focusing

specifically on the changes made to the standards from the previous edition. We will look especially close at new

auditor independence issues that the GAO considers to be significant risks to the auditor. Clarifications and

streamlining efforts have been made to the CPE requirements, and we will discuss those also. Lastly, we will take a

closer look at requirements related to the definitions of fraud, waste and abuse.

11:30-12:30 Lunch CYPRESS A

12:30-01:20 GASB Update

REDBUDBC Paulina Haro, Supervising Project Manager, Governmental Accounting Standards Board

Auditing This session will give an overview of the GASB pronouncements that become effective in the coming fiscal

years. The session also will explain some of the projects on GASB’s current technical agenda and research agenda.

12:30-01:20 FASB Update

REDBUD A Melisa Galasso, CPA, Founder, Galasso Learning Solutions LLC

Accounting Not-For-Profit entities are challenged with many unique accounting issues. This session will provide an overview of

the ASUs that may impact nonprofit entities in the near future. We’ll address CECL, collections, restricted cash and a

variety of ASUs to be on the lookout for.



01:25-02:15 Where Are We Now? AICPA Update on Audit Quality

REDBUD BC Deana Thorps, CPA, Manager, Audit Quality Initiatives, AICPA

Auditing In 2015, the AICPA issued its Six-Point Plan illustrating plans to drive higher audit performance as part of its

Enhancing Audit Quality (EAQ) Initiative. During this session you will learn how the plan has evolved and what the

AICPA has in store for 2019.

01:25-02:15 FASB Leases Update


Accounting This session offers an executive overview of the new leases standard, which requires organizations to recognize lease

assets and liabilities on the balance sheet. We will cover recognition, measurement, as well as presentation and

disclosure requirements as well as focus on a key area of change which is proper identification of a lease using a

principles-based approach. We will also discuss implementation requirements from both the lessee and lessor

accounting models.


02:30-03:20 Data Analytics in the Audit

REDBUD BC Kristin Cargin, Audit Managing Director, Deloitte & Touche LLP

Auditing The session will cover the use of technology-based audit data analytics by internal and external auditors and will

discuss how using data analytics techniques can transform the audit process and enhance audit quality.

02:30-03:20 Revenue Recognition for Non-Profits


Accounting This session will take a deeper dive into revenue recognition for grants. We’ll look at the impact of ASU 2018-08 on

the determination of whether a contract is an exchange or nonexchange transaction and the impact of that

determination on recognition and measurement. ASU 2014-09 will be addressed at a high level.

03:25-04:15 Using Computer Assisted Audit Techniques to Detect Fraud


Auditing This session explores recent developments in Computer Assisted Audit Techniques (CAATs) and how CAATs can be

used to find potentially fraudulent transactions. Data mining, data analysis, and expert systems software programs

are explained. Examples are used to show how these programs have been used to find contract and purchasing

fraud. Case studies show how data mining software has been used to solve violent crimes and insurance fraud; how

data analysis software has been used to identify false claims; and how Benford’s Law (digital analysis) software has

been used to uncover schemes designed to circumvent competition requirements.



07:15-07:50 Registration, Breakfast Snacks & Networking REDBUD BC FOYER

07:50-08:00 Welcome and Announcements: Russell Shipley, CPA, Chair, Sink, Gordon & Associates, LLP REDBUD BC

08:00-09:40 Professional Ethics – NOT for Dummies


Ethics By now, we should all understand the ethical obligations we have as CPAs. So, theoretically, if we just all agree to

remain ethical, we should not have CPA ethical violations. But of course, our professional ethics committees still

have plenty of cases to investigate. This session will examine several recent high-profile--but non-CPA--ethics cases

and evaluate why they happened, how they could have been prevented, and whether a typical CPA would have

committed the same transgression. We will also examine one of the most tragic CPA ethics cases in recent history.

By examining the ethical flaws in other professionals, we should gain a better understanding of our own ethical

compasses.


09:55-10:45 KMAAG Hide and Seek

REDBUD BC Scot Loyd, CPA, CGFM, CFE, CGMA, Partner, Swindoll, Janzen, Hawk & Loyd, LLC

Auditing It’s a game of KMAAG hide and seek! Scot has developed questions from front to back of a KMAAG Financial

Statement, Notes and Schedules package to see if the attendees can find the information. This session has been

designed for attendees that are newer to KMAAG and want to have a better understanding of where to find the

KMAAG financial information in case the client would ask specific financial questions about their KMAAG

presentation.

09:55-10:45 Non-Profit Financial Statement Preparation Requirements

REDBUD A Cynthia Darting, CPA, Audit Director, Berberich Trahan & Co., P.A.

Accounting We’ve been implementing this standard for a few months now… how has it gone so far? This session is meant to give

you a refresher on the changes required by the standard as well as talk about some implementation examples,

obstacles and successes.



10:50-12:05 Was it Fraud or Just Poor Audit Quality?


Auditing This session describes a state agency's quality review of a not-for-profit organization's A-133 audit. The case study

describes the organization audited, its Federally- and state-funded programs, and the CPA firm retained to do the

audit. Various anomalies in the financial statements alerted State officials to potential problems, and a detailed

quality review followed. Find out how the entity turned hundreds of thousands of dollars in bank overdrafts into

hundreds of thousands of dollars of cash on its balance sheet. Explore other “creative” ways to deal with fixed assets,

accounts receivable, and related-party transactions. Were the auditors just sloppy, ignorant, negligent? Or were

they active participants in producing fraudulent financial statements? You be the judge.

12:05-12:55 Lunch CYPRESS A

12:55-01:45 Cybersecurity and the Auditor’s Role in Protecting Clients

REDBUD BC Geoffrey Jenista, CISSP, Cyber Security Advisor, Region VII, for the Office of Stakeholder Engagement and

Auditing Cyber Infrastructure Resilience, Cybersecurity Division, Cybersecurity and Infrastructure Security Agency

U.S. Department of Homeland Security

What is the auditor’s role in protecting clients from cyber threats? This session will address cybersecurity

from the audit and IT perspective. Learn tips to protect clients from cyber threats.

01:50-02:40 Single Audit Update

REDBUD BC Teresa Seymour, Senior Manager, BKD, LLP

Auditing Single audits are complex engagements with a number of unusual audit requirements. To ensure your audit

runs smoothly, you must understand the new requirements as well as responsibilities placed on the

auditees. This session will review the new requirements and provide tips for preparing for the single audit.


02:55-04:10 Economic Update

REDBUD BC Chris Kuehl, Ph.D., Managing Director, Armada Corporate Intelligence, Kansas City

Specialized It has been a tumultuous year thus far and there is no reason to expect it to be any calmer from here on. We have had

Knowledge & tax cuts that might have been too late, threats of trade wars, very low unemployment and solid growth according to

Applications most measures. Something for everyone. Now we look ahead and try to figure out inflation threats, future of trade

and the latest crisis du jour.



Kristin Cargin

Audit Managing Director, Deloitte & Touche LLP Kristin Cargin is an audit managing director with more than seventeen years of experience in the public

accounting profession. During her career, she has focused her efforts in the energy and resources industry,

serving both SEC registrant and private company clients. She has extensive experience in understanding and

addressing industry technical matters associated with energy and resource clients as well as Securities and

Exchange Commission reporting requirements.

Kristin received her Bachelor of Science in Accounting from the University of Northern Iowa. Kristin is a licensed CPA in Iowa and Missouri and is a

member of the American Institute of Certified Public Accountants, Iowa Society of Certified Public Accountants, Missouri Society of Certified Public

Accountants, and Kansas Society of Certified Public Accountants. Kristin is a member of the Susan G. Komen Kansas and Western Missouri Board of

Directors and currently serves as the President for the Board of Directors.

David Cotton, CPA, CFE, CGFM

Chairman, Cotton & Company LLP

Dave Cotton is chairman of Cotton & Company LLP, Certified Public Accountants, headquartered in Alexandria, Virginia.

Dave received a BS in mechanical engineering (1971) and an MBA in management science and labor relations (1972) from

Lehigh University in Bethlehem, PA. Dave chaired the Fraud Risk Management Task Force, sponsored by COSO and ACFE

and is a principal author of the COSO-ACFE Fraud Risk Management Guide. Dave has testified as an expert in governmental

accounting, auditing, and fraud issues before the United States Court of Federal Claims and other administrative and judicial

bodies. Dave was the recipient of the ACFE 2018 Certified Fraud Examiner of the Year Award (“presented to a CFE who has

demonstrated outstanding achievement in the field of fraud examination … based on their contributions to the ACFE, to the

profession, and to the community”).

Frank Crawford, CPA

President, Crawford & Associates, P.C., Certified Public Accountants Frank Crawford is President of Crawford & Associates, P.C., Certified Public Accountants, an accounting firm located in

Oklahoma City, OK. The firm specializes in providing auditing, consulting and accounting services solely to governmental

entities and is a member of the American Institute of Certified Public Accountants (AICPA), the AICPA Government Audit

Quality Center, and former Chair of the AICPA Government Expert Panel. Over the last 33 years, Frank, as President of

Crawford & Associates, has provided a variety of audit and accounting services to all sizes and types of governmental

entities, including financial statement audits and attestation services, non-attestation services such as financial statement

preparation services, general accounting and advisory services, fraud investigations, internal control analysis, accounting

policy and procedure development, outsourced internal auditing and internal monitoring, the development of management anti-fraud programs and

controls, quality assurance reviews, training, and expert witness testimonies.



Cynthia Darting, CPA

Audit Director, Berberich Trahan & Co., P.A. Cynthia is an audit director at BT&Co. in Topeka, Kansas. Cynthia grew up in Seneca, Kansas and is a graduate of Creighton

University. She is a certified public accountant who has over 19 years of experience with auditing nonprofit and governmental

organizations, with an emphasis in single audits. She leads the internal staff training at BT&Co. She is a member of the

American Institute of Certified Public Accountants and the Kansas Society of Certified Public Accountants. Cynthia is actively

involved in the community and has served as board officer positions for the Board of the Northeast Chapter of the Kansas

Society of Certified Public Accountants. She has also served on other nonprofit organizations’ board of directors over the

course of her career.

Melisa Galasso, CPA

Founder, Galasso Learning Solutions LLC Melisa F. Galasso, CPA is the founder of Galasso Learning Solutions LLC, where she designs and facilitates courses in

advanced technical accounting and auditing topics. She closely monitors regulatory bodies for changes in auditing and

accounting guidance and serves as a subject matter expert in implementing the updated guidance. She also supports

essential professional development, public speaking, and business skills. She is fortunate to work with clients motivated

to invest in high-quality custom training for their staff.

Melisa earned the Association for Talent Development Master Trainer™ designation and is in the process of completing the rigorous requirements to

become a Certified Professional in Learning & Performance (CPLP). Melisa’s passion for instructional design is one of the differentiators that sets her

apart from other CPE providers. She is a member of the American Institute of CPA’s Technical Issues Committee, serves on the Board of Directors for

the Virginia Society of CPAs, and has held several leadership positions in North Carolina.

Melisa received the 2013 Women to Watch Emerging Leader Award from the NCACPA and AICPA and is a graduate of the AICPA’s Leadership

Academy. She was honored as one of the 50 Most Influential Women by the Mecklenburg Times and has earned several awards for public speaking

and technical training.

Prior to establishing Galasso Learning Solutions, Melisa worked in public accounting, industry, internal audit, and academia. She received a Bachelor

of Science in Business Administration with a concentration in Accounting and International Business from Georgetown University.

Melisa enjoys traveling, watching her daughter ride her horse, and spending quality time with family. She finds balance through yoga, is an avid

reader, and frequents local performing arts shows. Melisa actively supports several causes that empower women.

Paulina Haro

Supervising Project Manager, Governmental Accounting Standards Board Paulina Haro is a supervising project manager with the Governmental Accounting Standards Board in Norwalk,

Connecticut. Her current project assignments include Revenue and Expense Recognition, Electronic Financial Reporting,

and information technology projects. She contributed to the development of Statements on Fair Value Measurement

(72), Blending Requirements (80) and Irrevocable Split Interest Agreements (81).

Before joining the GASB staff in 2014, Paulina worked as Financial Analyst, Cash Manager and subsequently as Treasurer

for the City of Fayetteville, North Carolina, and CIP Fiscal Manager for the City of Raleigh.

Paulina received a Bachelor Degree in Business Administration–Accounting with Summa Cum Laude honors from Campbell University. She also holds

a Masters in Business Administration from the University of North Carolina, Chapel Hill, and is licensed as a Certified Public Accountant in the State of

North Carolina.



Geoffrey Jenista, CISSP

Cyber Security Advisor, Region VII, for the Office of Stakeholder Engagement and Cyber Infrastructure Resilience, Cybersecurity

Division, Cybersecurity and Infrastructure Security Agency, U.S. Department of Homeland Security

Mr. Jenista serves as Cyber Security Advisor, Region VII, for the Office of Stakeholder Engagement and Cyber Infrastructure Resilience, Cybersecurity

Division, Cybersecurity and Infrastructure Security Agency (CISA). He supports the Department of Homeland Security's (DHS) mission of

strengthening the security and resilience of the nation's critical infrastructure.

His program coordinates cyber preparedness, risk mitigation, incident coordination, and cyber security policy promotion & situational awareness

resources, including assessments, to the nation’s sixteen critical infrastructure sectors and state, local, tribal, and territorial government entities.

Prior to joining the Department of Homeland Security, he worked for the U.S. Army as an Army Enterprise Systems Branch Chief and Information

Systems Security Manager. Prior to joining the U.S. Army, he served in the U.S. Navy as a Senior Chief Petty Officer, holding duties as an Executive

Officer, Weapons Officer and AEGIS Maintenance Supervisor from 1983 to 2005.

Mr. Jenista holds a MBA and a MA in Information Technology Management from Webster University. He has a BS in Computer Information Systems from Park University and he holds the Certified Information System Security Professional (CISSP) certification.

Christopher Kuehl, Ph.D.

Managing Director, Armada Corporate Intelligence

Chris Kuehl is the co-founder and Managing Director of Armada Corporate Intelligence, a company created in 1999 to provide

strategy foundation, competitive intelligence, business analysis and economic forecasting for corporate clients. Armada’s

clients include YRC Worldwide, TranSystems, Spencer Fane Britt and Browne, KPMG, Hallmark International, Weitz Industrial

among others.

Chris is the Chief Economist for Fabricators and Manufacturers Association. This includes writing Fabrinomics and serving as a

keynote speaker for their conferences and meetings through the year. Other speaking opportunities have included Business Information Industry

Association, Finance, Credit & International Business, Riemer Reporting Service, and a wide variety of business and finance organizations. He has

spoken at over 300 organizations domestically and internationally over 25 years.

Chris is the editor and primary writer for several publications and a frequent commentator for the media – locally and nationally. He is a regular

economic / business analyst for regional television and radio stations and has been extensively quoted in national newspapers, magazines and trade

publications. Chris holds a Master’s Degree in Soviet and East European Studies, a Masters in East Asian Studies, and a Ph.D. in Political Economics

from the University of Kansas. He has been on the faculty of universities in the US, Hungary, Estonia, Russia, Singapore and Taiwan.



Scot Loyd, CPA, CGFM, CFE, CGMA

Partner, Swindoll, Janzen, Hawk & Loyd, LLC

Scot has been a partner with the firm Swindoll, Janzen, Hawk & Loyd, LLC of McPherson, Kansas since January 1, 1990. He

was involved as a manager and staff accountant in this firm and the firm Yerkes and Michels in Independence, Kansas, prior to

becoming a partner in 1990. Mr. Loyd has a B.A. in Accounting (1983) from Tabor College, Hillsboro, Kansas. He has the

following certifications: Certified Public Accountant (CPA), Certified Government Financial Manager (CGFM), Certified Fraud

Examiner (CFE) and a Certified Global Management Accountant (CGMA). His professional responsibilities have included

and/or currently include:

Scot is the Audit Quality Control partner and the partner in charge of a diversified governmental practice relating to states, counties, cities, schools

and other miscellaneous government entities, including audits financial institutions. He has had extensive involvement in the AICPA’s Ethics Division

regulatory process as a Professional Ethics Executive Committee (PEEC) member, Technical Standards government subgroup Ad-Hoc committee

member and an Ad-Hoc government ethics case reviewer.

He has also been a member or Chair of several of the American Institute of Certified Public Accountants’ (AICPA) Task Forces and Committees and

the Mid-America Intergovernmental Audit Forum Committees such as the Associate Member Representative to the National Intergovernmental

Audit Forum (NIAF) Executive Committee by the Comptroller General of the United States on March 6, 2014, Kansas Municipal Accounting and

Auditing Guide (KMAAG) Editorial Board (Past Chair & member three times); American Institute of Certified Public Accountants, Government

Performance Accountability Committee (Past Member), Professional Ethics Executive Committee (PEEC) (Past Member); GAO Strategic Planning

Task Force for the National Intergovernmental Audit Forum (Past Member); Executive Committee for the Mid-America Intergovernmental Audit

forum (Current Member & Chairman); the AICPA Auditing Standards Board Non-Financial Information Task Force (Past Member); AICPA Partnering

for CPA Practice Success (PCPS) Technical Issues Committee (Past Member); AICPA Partnering for CPA Practice Success (PCPS) Technical Issues

Committee (TIC) [Past Government A & A Zone Chairman]; AICPA Government Accounting and Auditing Committee State and Local Audit Guide

Overhaul Task Force (Past TIC liaison to the activities of this task force); AICPA Governmental Accounting and Auditing Committee (GAAC) October

1, 1995 to September 30, 1998 (Past Member) and Kansas Society of CPA’s Governmental Accounting and Auditing Committee Chairman 1992 to

1995.

Scot has also co-authored numerous books and publications with Michael A.Crawford.

Scot is a native of Sedan, Kansas, very active in church, member of the Kansas Board of Directors for the Fellowship of Christian Athletes (FCA) & acting as Co-chair of the State FCA conference held at Rock Springs Ranch twice a year, and is an FCA huddle leader for the Canton/Galva high school. He still enjoys playing sports, landscaping and traveling…and of course his job! He has been married almost 34 years to his wife Jenny. They have one son, Ethan, and live in Galva, Kansas.

Teresa Seymour, CPA

Manager, BKD, LLP

Teresa Seymour is a member of the BKD National Public Sector Group providing more than 12 years of experience

specializing in performing audits and providing consulting services to clients in industries including unified school

districts, airports and governmental municipalities. Teresa also performs audits in accordance with Uniform Guidance

and Government Auditing Standards (Single Audit) and Kansas Regulatory Basis.

Teresa is a member of the American Institute of Certified Public Accountants (AICPA) and Kansas Society of Certified

Public Accountants (KSCPA) and a graduate of the KSCPA 20 up to 40 leadership program. Teresa is a member of the Kansas Government Finance

Officers Association (KSGFOA) and an active member of the KSGFOA Programming and Resource Committee. In addition, she is a member of

Women in Public Finance Chapter.

Teresa is a graduate of Wichita State University, Kansas, with a B.A. in accounting.



Deana Thorps, CPA

Manager, Audit Quality Initiatives, AICPA

Deana N. Thorps is a manager on the Public Accounting team at the AICPA. She manages the Enhancing Audit Quality

Initiative project. She is a licensed CPA in the state of North Carolina. Prior to working at the AICPA, Deana served in

various auditing roles in the public and private sectors. Most recently, she has led audit quality efforts with the North

Carolina Department of Transportation’s Office of Inspector General.

Documents

Designed for 16 hours CPE · 2019. 5. 31. · Shelly L. Hammond, CPA, CGFM Vice President of Finance & CFO, Greater Wichita YMCA, Wichita Melinda A. Hitz, CPA, CGMA Finance Director,