AGENDA MEMORANDUM

 

 

Meeting Date:           June 14, 2010

 

From:                          Jerry Boop, Finance Director

 

Subject:                      Resolution authorizing execution of a professional services agreement for annual financial auditing services

 

 

Staff Recommendation:

Staff recommends execution of the agreement with Moore, Stephens and Lovelace, P.A. to provide annual financial audit services not to exceed $87,500.00 annually.  This amount includes $2,500.00 for a DEP report related to landfill long term care and closing costs.

 

Analysis:

The City is required by City Charter, Florida Statutes and the Rules of the Auditor General of the State of Florida to prepare a Comprehensive Annual Financial Report (CAFR).  This report must also be audited by an independent auditing firm or professional.  Preparation and publication of an audited CAFR continues the City’s commitment to full financial disclosure.

 

Pursuant to Florida Statutes, Chapter 11.45 and Chapter 10.550 of the Rules of the Auditor General of the State of Florida, an audit of the annual financial statements, or CAFR by an independent certified public accountant or firm must be completed.  The City has used the firm of Purvis Gray and Company, LLP on several occasions with the most recent being the past five years.

 

The purpose of this RFP is to contract with an interested and qualified firm to serve as the City’s independent financial auditor.  The term of the new contract is three years with the option of three additional one-year extensions. On February 1, 2010 the City issued Request for Proposal (RFP) 100032.  On February 25, 2010, six  responses were received.  The Evaluation Committee, consisting of four city employees and one private citizen (a local CPA) met and the summary of the evaluation results are listed here.  A detailed tabulation of scoring is attached for your further review.


 

Firm Name / Location

Total Score*

Proposed Annual Fee

Moore, Stephens and Lovelace, P.A.

Orlando, FL

438.3

$87,500

Cherry Bekaert & Holland

Orlando, FL

408.9

$106,000

Larson Allen, LLP

Fort Myers, FL

407.1

$87,500

Purvis Gray and Company, LLP

Gainesville, FL

376.8

$95,500

Carr Riggs & Ingram

Gainesville, FL

365.7

$93,500

Blake & Associates

Hollywood, FL

293.8

$98,600

* Score includes points for proposed annual fee.

 

Following the final ranking by the evaluation committee, the Purchasing Division conducted performance surveys for the Moore, Stephens and Lovelace, P.A.  All surveys were returned as favorable with no negative comments by those agencies surveyed.

 

If the Commission approves execution of the agreement, work with the new firm will begin before mid-July 2010.

 

Options:

  1. Approve execution of the agreement with Moore, Stephens and Lovelace, P.A.; or
  2. Such alternative action as the Commission may deem appropriate

 

Fiscal Impact

The direct fiscal impact will be a decrease in fees paid for the annual financial audit.  The City paid $94,000 for the most recent audit (2009 Fiscal Year).  The annual savings in fees paid will be $7,500.00.  There will however be a negative impact in ‘soft costs’ related to more staff time as a result of changing audit firms.  Changing an audit firm requires City staff to become familiar with how the new firm operates, what information is required and in what format.  There will be a learning curve for both City staff and the audit firm.  This learning curve will add additional costs in the form of staff time.

 

Submission Date and Time:    6/9/2010 2:07 PM____

 

Department: _Finance Department____

Prepared by:  _Mike Thornton__________                     

Attachments:         Yes__X_   No ______

Advertised:  Yes__Not Required ______                     

Dates:  January 31, 2010______________                     

Attorney Review :       Yes___  No ____

                                                

_________________________________           

Revised 6/10/04

 

Reviewed by: Dept. Head ________

 

Finance  Dept. __________________                                     

                              

Deputy C.M. ___________________                                                                         

Submitted by:

City Manager ___________________

 

Account No. _001-1331-513.32-10__

 

Project No. ___________________

 

WF No. ______________________

 

Budget  ______________________

 

Available _____________________


 

RESOLUTION NO._______________

 

A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE A PROFESSIONAL SERVICES AGREEMENT WITH  MOORE, STEPHENS AND LOVELACE, P.A. FOR FINANCIAL AUDIT SERVICES; AND PROVIDING AN EFFECTIVE DATE.

 

BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA:

 

            THAT the Mayor and City Clerk are hereby authorized to execute an agreement with MOORE, STEPHENS AND LOVLACE, P.A. whose address is 1201 s. Orlando Ave., Suite 400, Winter Park, Florida 32789 for annual financial audit services pursuant to RFP 100032.

 

             THAT this resolution shall become effective immediately.

 

PASSED AND ADOPTED by the City Commission of the City of Leesburg, Florida, at a regular meeting held the __14th___ day of ___June___ 2010.

 

 

 

                                                                            __________________________

                                                                             Mayor

 

ATTEST:

 

 

__________________________

City Clerk