Honorable Mayor and Borough Council
Borough of Milford
June 7, 2012
In our opinion, because of the Borough of Milford's policy to prepare its financial statements on the basis
of accounting discussed in the preceding paragraph, the financial statements referred to above do not present
fairly, in conformity with accounting principles generally accepted in the United States of America, the
financial position of the Borough of Milford, New Jersey as of December 31, 2011 and 2010 or the results
of its operation for the years then ended.
However, in our opinion, the fmancial statements referred to above present fairly, in all material respects,
the financial position - regulatory basis of the various funds and account group of the Borough of Milford,
New Jersey at December 31, 2011 and 2010, and the results of its operations and the changes in fund
balance - regulatory basis of such funds for the years then ended and the statement of revenues - regulatory
basis, and statement of expenditures - regulatory basis for the year ended December 31, 2011, on the basis
of accounting described in Note 1.
In accordance with the Government Auditing Standards, we have also issued a report dated June 7, 2012 on
our consideration of the Borough of Milford, New Jersey internal control over financial reporting and our
tests of its compliance with certain provisions of laws, regulations, contracts and grant agreements and other
matters. The purpose of that report is to describe the scope of our testing of internal control over financial
reporting and compliance and the results of that testing, and not to provide an opinion on the internal control
over financial reporting or on compliance. That report is an integral part of an audit performed in
accordance with Government Auditing Standards and should be considered in assessing the results of our
Our audit was conducted for the purpose of forming an opinion on the financial statements of the Borough
of Milford, State of New Jersey, taken as a whole. The accompanying supplementary information,
schedules and exhibits listed in the table of contents are presented for purposes of additional analysis as
required by the U.S. Office of Management and Budget Circular A-133, "Audits of States, Local
Governments and Non-Profit Organizations"; and State Circular OMB 04-04, Single Audit Policy for
Recipients of Federal Grants, State Grants and State Aid and are not a required part of the financial
statements of the Borough of Milford, State of New Jersey. Such information has been subject to auditing
procedures applied in the audit of the financial statements and, in our opinion, is fairly presented in all
material respects, in relation to the financial statements taken as a whole, on the basis of accounting
described in Note 1.
homas M. Ferry, C.P.A.
Registered Municipal Accountant
FERRAIOLI, WIELKOTZ, CERULLO & CUVA, P.A.
Certified Public Accountants