18-10 Contract

McENERNEY, BRADY & COMPANY, LLC Certified Public Accountants * A Limited Liability Company John L. Ezyske, CPA, RMA Francis M. McEnerney, CPA, RMA John F. Lauria, RMA Report on Compliance with Requirements Applicable to Each Major Program and on Internal Control over Compliance in Accordance With OMB Circular A-133 and New Jersey OMB Circular 04-04 To The Honorable Mayor and Members of the Township Committee Township of West Orange West Orange, New Jersey Compliance We have audited the compliance of the Township of West Orange, New Jersey with the types of compliance requirements described in the U.S. Office of Management and Budget (OMB) Circular A-133 Compliance Supplement and the New Jersey Office of Management and Budget (New Jersey OMB) State Grant Conipliance Supplement that are applicable to each of its major federal and state programs for the year ended December 31, 2008. The Township of West Orange’s major federal and state programs are identified in the summary of auditors’ results section of the accompanying schedule of firidings and questioned costs. Compliance with the requirements of laws, regulations, contracts, and grants, applicable to each of its major federal and state programs is the responsibility of the Township of West Orange’s management. Our responsibility is to express an opinion on the Township of West Orange’s compliance based on our audit. We conducted our audit of compliance in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; the provisions of Office of Management and Budget (OMB) Circular A-133, Audits of States, Local Governments and Non-Profit Organizations and the State of New Jersey’s Office of Management arid Budget Circular 04-04, “Single Audit Policy for Recipients of Federal Grants, State Grants and State Aid”. Those standards and OMB Circular A-133 and NJ OMB Circular 04-04 require that we plan and perform the audit to obtain reasonable assurance about whether noncompliance with the types of compliance requirements referred to above that could have a direct and material effect on a major federal and state programs occurred. An audit includes examining, on a test basis, evidence about the Township of West Orange’s compliance with

that could have a direct and material effect on a major federal and state programs occurred. An audit includes examining, on a test basis, evidence about the Township of West Orange’s compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion. Our audit does not provide a legal determination on the Township of West Orange’s compliance with those requirements. In our opinion, the Township of West Orange complied, in all material respects, with the requirements referred to above that are applicable to each of its major federal and state programs for the year ended December 31, 2008. -25-