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HomeMy Public PortalAboutMauldin & Jenkins Proposal 8-28-13 City Tybe e .1 Z7a G Proposal to Provide Audit Services for Fiscal Years June 30, 2013 through 2015 August 2$ 2013 Maui in & Jenkins, CPAs, LILC Meredith Lipson, CPA, Partner 300 Mulberry Street, Suite 300 ALLJIIIJI1N Pepe Box I,877 Macon, Georgia 31202-i1877 ��� .L'J a�I:��IN Phone No: (8D) 277-0050 .TrciDaocC T Web: amnn;w olnn f e rm.ccm AULDIN & ENKINS Over 118 ' G�ovemmemtal Units Served Accounting ;TOP N100 FIRMS _V AULDIN City of Tybee Island,Georgia &J E N K I N S Proposal to Serve Table of©f Contents TransmittalLetter,,,,,,,, ,,,,,,e<e e><e e><><><e eee°a000000°oo eo ee ae>ee<e<>><>>e°ee°aoaooeeee>a°oe<o<e>e aee<ooe,avaoao d Profile of Mauldin & Sudrrcrrnary ®f Our Qualifications and Experience 00000 00000aooeova°ee°e°aeeevaoe°0000 e000eoaoe see 10 Specific Audit 16 Additional 26 Fees for Audit 27 �Glosic� sa°aso..... oo,esae°evoe,va e evav es ao aoo oo oo>os eev oo oee oe°ae,eveee°0000 00000a0000eo°e,evae„eeee,°avaoa 000e°a°aoe°e 28 Appendices: A ® Copy of Last Peer Review Report AULDIN City of Tybee Island,Georgia i ' ,�`ti:• & ENKINS Proposal to Serve Letter of Transmittal August 28, 2013 Personal &Confidential City of Tybee Island, Georgia Attn: Angela Hudson 403 Butler Avenue P.O. Box 2749 Tybee Island, GA 31328 Ladies and Gentlemen: We are pleased to submit a qualifications package including cost estimates to provide annual financial and compliance auditing services for the City of Tybee Island, Georgia(the "City"). It is our understanding that the contract for such audit services will be for the fiscal years ending June 30, 2013 through June 30,2015. We will conduct preliminary and final fieldwork and will issue all of the deliverables and reports prior to the required due dates. We hereby affirm that we meet the independence requirements of Government Auditing Standards, we are a properly licensed Certified Public Accountants as described by generally accepted government auditing standards, and that we do not have a record of substandard audit work. As professionals serving the public sector, Mauldin & Jenkins is qualified to serve the City. We believe that Mauldin & Jenkins is the leader in auditing state and local governments in the southeast. This leadership was attained not by us viewing all audits the same. Rather, this was achieved by recognizing that we are an important part of our client's success, with our objective being to ensure that accurate information is reported to the Mayor and Council, management, and its citizens. Given the complexities of the City's financial operations and the ongoing significant changes in accounting standards, we feel that it is extremely important that you select an accounting firm that is focused and extremely experienced in the government arena. We achieve these objectives and thus differentiate ourselves from our peers in the following ways: Experience with Governments. We believe that the knowledge and experience of Mauldin & Jenkins in serving state and local governments in the southeast and the strong working relationship we maintain with our clients cannot be matched by any other firm. Mauldin & Jenkins presently provides over 60,000 hours of service to approximately 185 governmental units in the Southeast on an annual basis. Such experience results in the utilization of over 65 full-time equivalent professionals. Consequently, our Mauldin & Jenkins professionals are thoroughly versed in the City's unique and complex functions, and we consistently provide the highest quality of service to our clients. Staffing. Our staff retention rates are considered to be among the best in the profession (and much better than national and other regional firms). This fact, coupled with our vast array of government clients, results in a staff pool highly experienced with governmental entities with the definite capacity to serve the City. We are able to not only provide consistency with the partner and manager on our engagement teams, but seniors as well. Mauldin&Jenkins CPA's,LLC I F G AULDIN City of Tybee island,Georgia ,,1- ENIONS Proposal to Serve Li Free Continuing Education to Clients. Presently, Mauldin & Jenkins clients have the opportunity to register and receive approximately thirty (30) hours of continuing education on an annual basis, free of charge. We take our experience in serving governments, and choose timely and relevant topics to provide ongoing education to our clients. Sessions are limited to clients only. We also prepare periodic newsletters and address issues that governmental entities must address, and we provide timely webcasts to our governmental clients on topics that are of importance to them. We believe education, training and communication to be key elements of serving our governmental clientele. Responsiveness. We pride ourselves in responding to the needs of our clients and meeting their deadlines. This responsiveness is not only the ability to meet specified audit deadlines, but also the ability to respond to other requests. These requests could be in the form of accounting advice throughout the year, assistance with bond offerings, or in providing other professional services. Our ability to be responsive is enhanced by the open communications and good working relationship we have with our clients. Organized to specifically meet your needs. Our profession's clients have indicated they want professionals who understood their business. The Governmental sector is a segment we have decided to focus on and the second largest practice in our firm. This means the partners, mangers, and even many seniors in the Governmental practice spend virtually 100% of their time serving governments. The Tybee Island, Georgia would be a very important client to Mauldin & Jenkins and a client we would be proud to serve. We offer you a team with significant experience working with state and local governments. Thank you very much for allowing us to present our proposal. This proposal represents a firm offer for 60 days from the date of the proposal. As a member of Mauldin & Jenkins, Meredith Lipson is authorized to bind, and make representations for the Firm and will be the ultimate party responsible for the quality of the report and working papers. Please contact us at (800) 277-0050, 300 Mulberry Street, Suite 300, P.O. Box 1877, Macon, GA 31202-1877 if you have any questions about this proposal or any related matters. Sincerely, MAULDIN &JENKINS, LLC i i at 4 Meredith Lipson, CPA Partner Mauldin&Jenkins CPA's,LLC 2 • & AULDIN City of Tybee Island,Georgia i ENKINS Proposal to Serve Profile of Mauldin & Jenkins Or.anization and Size Mauldin & Jenkins was formed in the State of Georgia in 1920 and has been actively engaged in governmental auditing since its inception. Mauldin & Jenkins is considered to be Georgia's largest locally owned provider of audit and accounting services, and one of the largest certified public accounting firms in the country. Mauldin & Jenkins services clients throughout the Southeastern United States. Mauldin & Jenkins, LLC is considered to be a large regional firm. We have offices in the following communities: Macon, GA **Albany, GA **Atlanta, GA ** Birmingham, AL ** Bradenton, FL �,* Chattanooga, TN As noted in our transmittal letter. Mauldin & Jenkins provides and supervises over 60,000 hours of service to governmental entities on an annual basis. The firm's governmental practice is the second largest niche in the firm and is approximately 27% of the firm's total practice. However, size and resources alone are not the most meaningful measure of success; in the end, our clients remain the best judges of Mauldin &Jenkins'value. Mauldin & Jenkins employs approximately 240 total individuals. Approximately 65 of those individuals have current governmental accounting and auditing experience. Servinz Governments For Over 90 Years Mauldin & Jenkins' commitment to government began when our firm was established in 1920. Since then, we have viewed service to governments as significant to the overall success of the firm. Today, the governmental sector is an industry that has been specifically identified for our continued growth in professional services. Accordingly, all professionals, from entry-level accountants to partners (who select the governmental sector as their focus)are trained to understand the issues and meet the needs of state and local governmental entities. As a foundation to providing the vast amount of annual hours of service to governmental entities, Mauldin & Jenkins employs over 65 full-time equivalent professionals dedicated to serving the governmental sector, and approximately 80 individuals with current governmental experience. This would include nine (9) partners and twelve (12) managers dedicated 100% to serving government clients whose background in serving this sector aggregately amounts to almost 300 years of experience just amongst that group of professionals. We also have numerous additional professionals with current experience in providing services to governmental entities — many of whom spend their time exclusively on government clients. Mauldin & Jenkins' dedicated professionals can bring a comprehensive understanding of the issues that face government entities as well as "bench strength" at all levels, allowing us to respond swiftly and effectively to your evolving needs. The goal of our government practice is to help governments improve their financial processes and strategies so that they can in turn achieve their goal of improving the lives of their citizens. This shared commitment to the goals of our clients has resulted in a significant government clientele. As noted in our transmittal letter, we currently audit approximately 185 governments in the Southeast. We know of no other firm that can match our experience. Mauldin&Jenkins CPA's, LLC 3 r ' AUIL11-IN City of Tybee Island, Georgia ENIKINS Proposal to Serve Location of the C ce from which the Work is to be Performed The Macon office will act as the lead in providing services to the City, with additional staff roles coming from our other offices as needed. The Macon office acts as the Firm's lead office on many governmental engagements across the Southeast. The individuals mentioned in this proposal, Mrs. Meredith Lipson and Mr. Miller Edwards, are known across the Southeast for their involvement with governmental entities. They have significant experience in governmental audit and accounting, and will play significant roles in providing ongoing services to the City. The Macon office currently employs 19 professionals with current experience in providing services to governmental entities and who will meet the continuing professional education requirements set forth in the U.S. General Accounting Office Government Auditing Standards. A further profile of the Macon office and the firm's professional staff as a whole is as follows: Macon Firm-wide Members(partners) 8 40 Managers 8 40 Supervisors and Seniors 12 55 Other Professional Staff&Consultants 14 75 42 210 Those We Serve and Services Provided Perhaps the greatest indicator of our reliability as a professional service provider to state and local governments is our list of governmental clients. Mauldin&Jenkins CPA's,LLC 4 'N AULDIN City of Tybee Island,Georgia I 7,6 1 z ENKINS Proposal to Serve • Cities. Cities in the Southeast we have audited or are in the process of serving within the past two (2) years are: 1) Alachua 21) Duluth 41) North Port 2) Albany 22) Dunwoody 42) Palmetto 3) Alpharetta 23) Ellijay 43) Peachtree City 4) Americus 24) Fairburn 44) Phenix City 5) Anniston 25) Fayetteville 45) Powder Springs 6) Austell 26) Forest Park 46) Quitman 7) Ball Ground 27) Forsyth 47) Riverdale 8) Beaufort 28) Grantville 48) Rome 9) Bradenton 29) Griffin 49) Roswell 10) Bremen 30) Jasper 50) Sandy Springs 11) Canton 31) Jefferson 51) Sharpsburg 12) Chamblee 32) Johns Creek 52) Social Circle 13) Chattahoochee Hills 33) Kennesaw 53) St. Marys 14) Clarkston 34) Lilburn 54) Suwanee 15) College Park 35) Macon 55) Union City 16) Conyers 36) Milledgeville 56) Valdosta 17) Cordele 37) Milton 57) Venice 18) Covington 38) Monroe 58) Whitesburg 19) Decatur 39) Morrow 20) Douglasville 40) Naples Counties. Counties in the Southeast we have audited or are in the process of serving within the past two (2)years are: 1) Athens-Clarke 12) Floyd 22) Monroe 2) Augusta-Richmond 13) Forsyth 23) Peach 3) Barrow 14) Gwinnett 24) Pickens 4) Bibb 15) Henry 25) Rockdale 5) Cherokee 16) Jones 26) Spalding 6) Clayton 17) Liberty 27) Stephens 7) Columbia 18) Lincoln 28) Sumter 8) Crawford 19) Lumpkin 29) Taylor 9) Crisp 20) McIntosh 30) Tift 10) DeKalb 21) Mitchell 31) Toombs 11) Dougherty 32) Walton Mauldin &Jenkins CPA's,LLC 5 /off ti G. MAULDLN City of Tybee Island,Georgia ( '?\? & ENKINS L wz Proposal to Serve School Systems. Boards of Education in the Southeast we have served within the past two(2)years are: 1) Atlanta Public Schools 16) Glynn County Board of Education 2) Bartow County Board of Education 17) Gwinnett County Board of Education 3) Bibb County Board of Education 18) Henry County Board of Education 4) Carroll County Board of Education 19) Laurens County Board of Education 5) Carrollton City Schools 20) Marietta City Schools 6) Cartersville City Board of Education 21) Marion County Board of Education 7) City of Dalton Board of Education 22) McDuffie County Board of Education 8) City Schools of Decatur 23) Oconee County Board of Education 9) Clayton County Board of Education 24) Polk County Board of Education 10) Cobb County Board of Education 25) Putnam County Board of Education 1 1) DeKalb County Board of Education 26) School District of Manatee County 12) Douglas County Board of Education 27) Rome Board of Education 13) Fayette County Board of Education 28) Thomas County Board of Education 14) Forsyth County Schools 29) Twiggs County Board of Education 15) Fulton County Board of Education 30) Walton County Board of Education State Governmental Entities The State of Georgia has several agencies, departments and component units that are audited by an independent public accounting firm. We currently audit the majority of the State of Georgia's component units, and we audit approximately $12 billion (or 30%1 of the State of Georgia's General Fund. Additionally,we audit several entities that are part of the State of Alabama's financial reporting entity. Please see the following for a listing of State governmental entities we audit: 1) Alabama Prepaid Affordable College 10) Ga. State Financing& investment Commission Tuition Program(PACT) 1 1) Ga. Student Finance Authority 2) Alabama Higher Education Loan Corporation 12) Kennesaw State University Athletic Dept. 3) Ga. Building Authority 13) Ga. State Properties Commission 4) Ga. Department of Community Health 14) Ga. State Road&Tollway Authority 5) Ga. DHR's Community Service Boards(8) 15) Stone Mountain Memorial Association 6) Ga. Education Authority 16) Ga. Lottery Corporation(Lotto) 7) Ga. Environmental Finance Auth. (GEFA) 17) Ga. Higher Education Facilities Authority 8) Ga. Higher Education Assistance Corp. 18) Ga. Superior Court Clerk's Cooperative Auth. 9) Ga. Ports Authority Mauldin &Jenkins CPA's,LLC 6 04.1j�Y� AULDIN '�` City of Tybee Island,Georgia 1 Syr, & ENKINS Proposal to Serve 1 Other Governments Other special purpose local governmental entities in the Southeast we audit include general authorities, etc. Other governmental entities we have audited within the past two (2)years are: 1) Albany Dougherty Inner City Authority 25) Douglasville-Douglas Co. W&S Auth. 2) Americus/Sumter Co. Parks/Rec.Auth. 26) Dunwoody Convention&Visitors Bureau 3) Atlanta-Fulton County Water Res.Com. 27) Forsyth County Public Library 4) Atlanta Development Authority 28) Glynn County Airport Commission 5) Austell Natural Gas System 29) Gwinnet County Development Authority 6) Barrow County W&S Auth. 30) Gwinnett County Library System 7) Bartram Trail Regional Library System 31) Gwinnett County Water&Sewer Authority 8) Brunswick-Glynn Joint W&S Corn. 32) Henry County Water&Sewerage Authority 9) Carroll County Water Authority 33) Houston County Library System 10) Central Midlands Regional Transit Authority 34) Lumpkin County Dev.Auth. 11) Central Savannah River Area Regional Comm. 35) Lumpkin County W&S Auth. 12) Chatsworth Water Works Commission 36) Macon Water Authority 13) Cherokee Airport Authority 37) Macon-Bibb County Landbank Auth. 14) City of Albany Water,Gas&Light Corn. 38) MARTA/ATU Local 732'Ee's Ret.Plan 15) City of Albany's Chehaw Park Authority 39) Milledgeville-Baldwin Co.Chamber 16) Classic Center Authority of Clarke County 40) Newton County Water&Sewerage Authority 17) Clayton County Housing Authority 41) Ocmulgee Regional Library System 18) Clayton County Water&Sewer Authority 42) Peachtree City Tourism Association 19) Cobb-Marietta Water Authority 43) Peachtree City Water&Sewer Auth. 20) Columbia County Board of Health 44) Pike County Public Library 21) Crisp County Power Commission(etal) 45) Springbrook Golf Course 22) CSB-Albany 46) Toccoa-Stephens County Public Library 23) Development Authority of Walton County 47) Uncle Remus Library System 24) Dodge County-Eastman Dev.Auth. 48) Walton County Water&Sewer Auth. Certificate of Achievement. Our experience in serving governments is greater than any other firm. Mauldin & Jenkins has served 185 governments in the past year, and assisted sixty-five (65) governmental units in obtaining the GFOA's Certificate of Achievement for Excellence in Financial Reporting, and, or the ASBO's Certificate of Excellence in Financial Reporting. Please see on the following page a chart listing each of our current Certificate clients. Mauldin &Jenkins CPA's,LLC 7 �1V/ AULDIN City of Tybee Island,Georgia &J ENKINS Proposal to Serve 4Y te = Cities: Counties: 1) Albany 18) John's Creek 34) Athens-Clarke County 2) Alpharetta 19) Kennesaw 35) Bibb County 3) Americus 20) Milledgeville 36) Cherokee County 4) Austell 21) Milton 37)Clayton County 5) Ball Ground 22) Monroe 38) Columbia County 6) Bradenton 23) Morrow 39) Floyd County 7) Canton 24) Naples 40) Forsyth County 8) College Park 25) Palmetto 41) Gwinnett County 9) Conyers 26) Riverdale 42) Henry County 10) Cordele 27) Rome 43) Liberty County 11) Decatur 28) Roswell 44) Lumpkin County 12) Douglasville 29) Sandy Springs 45) Paulding County 13) Dunwoody 30) Suwanee 46) Rockdale County 14) Fayetteville 31) Union City 47) Spalding County 15) Fairburn 32) Valdosta 16) Forest Park 33) Venice 17) Griffin Boards of Education: Other Governmental Entities: 48) Atlanta Public Schools 59)Central Savannah River Area Regional Comm. 49) Bibb County Board of Education 60) Clayton County Water Authority 50) Cartersville City Schools 61) Douglasville-Douglas County Water Authority 51)Clayton County Schools 62) Henry County Water&Sewerage Authority 52) Cobb County Schools 63) Lumpkin County Water&Sewerage Authority 53) Fayette County Board of Education 64) Macon Water Authority 54) Fulton County Schools 65)Metro.Atlanta Rapid Transit Auth.(MARTA) 55) Gwinnett County Board of Education 56) School District of Manatee County State Governmental Entities: 57) Ga. Environmental Finance Auth.(GEFA) 58)Ga. Ports Authority Other Non-Attestation Services Other services beyond the above attestation types which Mauldin & Jenkins currently provide to our clients include: 1) Federal and State income tax planning/return preparation; 2) Payroll tax issues; 3) Multi-state income tax issues; 4) State sales tax matters; 5) Information technology(IT) systems consulting; 6) Cost accounting issues; 7) Profitability consulting; 8) Advanced cost management; 9) Human resources(HR)predictive index services and interviewing and hiring 10) Business, strategic and succession planning. 11) Information technology engagements. Mauldin&Jenkins CPA's,LLC 8 AULDIN City of Tybee Island,Georgia 8z,j ENKINS Proposal to Serve t- Ouality Control Process Internal Review Process All audit and other attest engagements performed at Mauldin & Jenkins receive a high level of quality control reviews. On an engagement such as the City, a partner or client executive would be in the field performing the engagement for a great amount of time. We believe this allows our firm to provide a high level of expertise and efficiency during the conduct of audit fieldwork which is a vital part to any audit engagement. We believe this aids our being able to get the engagement done quickly without creating additional headaches to our clients. A manager reviews all the audit work performed, which is followed by a partner review. Once these reviews are conducted and completed, an independent partner to the engagement will review the audit working papers and the respective financial reports. We believe this multi-review process is important in providing a high-level product. External Ouality Control Review The accounting profession, through the American Institute of Certified Public Accountants, formed the Division for CPA firms to provide a new level of self-regulatory control. The division consists of two sections; the SEC Practice Section and the Private Companies Practice Section. Membership is voluntary in either or both sections. There are requirements for membership in each section, which include mandatory professional liability insurance at specified levels, mandatory continuing education for each member of the professional staff and a tri-annual independent review of a firm's quality control system in its practice of public accounting. Mauldin & Jenkins, LLC has been a member of both sections from the inception of the Division for Firms. We are proud to announce that Mauldin & Jenkins, LLC has met all of the membership requirements, including the review process. In their tri-annual report dated October 21, 2011, our reviewing firm gave a "clean" opinion on our system of quality control for our accounting and audit practice. A copy of the report on our most recent external quality control review is provided in Appendix A. The quality control review included a review of specific government engagements. No letter of comment was received as a result of this review. We are quite proud to be one of the few Georgia-based firms to have undergone this review and to have received an unqualified opinion from a large reputable national firm. Desk Reviews or Field Reviews Only one desk reviews or field reviews have been performed on Mauldin & Jenkins in many years. In January 2008, as part of the Federal Department of Education's random testing of the audits of local boards of education, a review was performed by the Federal Office of Inspector General (OIG) regarding a Single Audit engagement of a local board of education. We are quite pleased to note the examiner provided Mauldin &Jenkins a letter of high marks for the performance of the respective Single Audit and this comes at a time when Federal regulators are condemning the profession for poor performance of such Single Audits. Unofficially and orally provided,the examiner noted this Single Audit engagement to be the best such en2a6ement reviewed in his experience. Mrurldin&Jenkins CPA's,LLC 9 1\1ALILDIN City of Tybee island,Georgia ! 81-1'.ENKINS Proposal to Serve (\2` / No Disciplinary Actions Mauldin & Jenkins has not had any disciplinary actions taken (nor are any pending) against the firm during the past three(3)years with State or Federal regulatory bodies or professional organizations. Summary of Our Ouaiifications and Experience Proposed Staffing. In order to provide the highest quality service in the most cost efficient manner, Mauldin & Jenkins has formed a client service team which will finlction as a cohesive unit, and would represent a superb assortment of talent and experience for the audit of the City. The unit would be assembled as follows: 1. Wade Salisbury Lead Partner& Ultimate Partner Responsible 2. Meredith Lipson or Miller Edwards Concurring Quality Control Review Partner 3. David Irwin Manager with day-to-day responsibility of overall audit The above team dedicated to audit the City will include (at a minimum): two (2) partners, one (1) manager, and at least one (1) staff professionals. The managers and staff professionals will be substantially on-site full time throughout the conduct of their role in the audit. Other governmental audit professionals will be available to assist throughout the fieldwork and the preparation of the financial reports. The audit partner in-charge of fieldwork will correspond with the City management on financial reporting, audit, and related issues on an ongoing basis, and this individual will also be dedicated to serve the City throughout fieldwork, reporting and conclusion in all respective fiscal years. Mauldin & Jenkins has the depth of resources which allows us to provide you with significant resources of knowledgeable professionals to meet your deadlines. We realize that, regardless of our Firm's qualifications, the quality of service the City receives will correlate directly to the skill level, dedication, and resourcefulness of your audit engagement team. The individuals listed below have been selected to serve the City based on their years of hands-on experience working with government entities, and for their commitment to exceeding client expectations. Your team members are dedicated and resourceful, and among the most talented in their field. We encourage you to contact us whenever you have questions and to view us not just as auditors, but as true advisors. Please see the following for information on several key individuals who are available to serve the City during the audit process. Mauldin&Jenkins CPA's,LLC I0 AULDIN City of Tybee Island,Georgia 1 & ENKINS Proposal to Serve \ Meredith Lipson, CPA Lead Partner & Ultimate Partner Responsible Meredith Lipson is a member (i.e. partner) and a certified public accountant with Mauldin & Jenkins. Her experience covers a variety of clients in state and local governments and non-profit organizations. She is registered and licensed to practice in the State of Georgia and the State of Florida, and has been with the firm for twenty-two (22) years. Meredith is a partner who works exclusively in the governmental sector of the Firm's audit practice. Years of Professional Experience and Years with Firm Meredith has twenty two years of experience with the Firm. She has served on the Firm's Partner Advisory Board. Meredith serves both large and small governmental units, and is involved in serving over sixty (60) such governmental entities. Meredith obtained her CPA certificate in 1993. The following is a summary of governmental clients served by Meredith in the capacity of engagement partner in-charge or concurring review partner. List of Audits Performed for Governments in the Last Three (3) Years • City of Albany,GA • Jones County,GA • City of Americus, GA • Liberty County,GA MI City of Cordele,GA • Lincoln County,GA O City of Fayetteville,GA ■ Rockdale County, GA ❑ City of Griffin,GA • Spalding County,GA o City of Macon,GA • Sumter County,GA o City of Milledgeville,GA • Taylor County,GA • City of Riverdale, GA ® Albany Water, Gas& Light Commission • City of St. Marys,GA o Georgia Ports Authority City of Tifton,GA ❑ Macon Water Authority City of Valdosta,GA ❑ Georgia Dept of Community Health • Bibb County School System ❑ Clayton County Housing Authority ❑ Clayton County School System ❑ GA Higher Education Asst. Corporation ❑ Fayette County School System ❑ Heart of GA Altamaha Regional Commission E Henry County School System ❑ Central Savannah River Area Regional Commission O Augusta-Richmond County,GA ® Milledgeville-Baldwin County Downtown ❑ Clayton County, GA Development Authority • Crisp County,GA • Tifton Downtown Development Authority o Dougherty County,GA • Jeffersonville-Twiggs County Development Authority • Gwinnett County,GA o Henry County, GA Mauldin&Jenkins CPA's, LLC 11 MAULDIN City of Tybee Island,Georgia ( . ' & ENKINS Proposal to Serve ')/1 Dezree/Certifications and Audit Training Meredith graduated from the University of Georgia with a Bachelor of Business Administration in Accounting. She has been a featured speaker at various GGFOA Conferences and other GGFOA workshops,free quarterly CPE provided to our clients, and several internal conferences. Meredith has obtained and instructed a significant amount of continuing professional education over the last three years including: 2013 M&J yoU Conference, Buford, Georgia—Instructor and Participant 2013 GAS Clarity Standards Update, Atlanta, Georgia • 2012 National AICPA Governmental Accounting and Auditing Conference, Washington D.C. 2012 Mauldin &Jenkins Client Training—21x1 Quarter instructor 2012 GGFOA Annual Conference, Savannah, Georgia—Instructor and Participant - 2012 M&J yoU Conference, Stone Mountain, Georgia—Instructor and Participant r 2011 Georgia Association of School Board Officials Annual Conference-- Instructor • 2011 Mauldin &Jenkins Client Training—4th Quarter- Instructor - 2011 Mauldin &Jenkins Annual Conference, Peachtree Authority(Instructor and Participant) • 2011 GGFOA Annual Conference, Savannah, Georgia • 2011 National AICPA Governmental Accounting and Auditing Conference, Washington D.C. • 2011 PPC Audit Training by Audit Watch, Atlanta, Georgia Professional and Civic Activities Meredith is a member of the American Institute of Certified Public Accountants, the Georgia Society of CPAs, the Government Finance Officers Association, and the Georgia Government Finance Officers Association(GGFOA). She has served on the Ethics Committee of the Georgia Society of CPAs. Miller G. Edwards, CPA Lead Partner & Ultimate Partner Responsible Miller Edwards is a member(i.e. partner) and a certified public accountant with Mauldin & Jenkins. His experience covers a variety of clients in federal, state, and local government. He is responsible for the firm-wide governmental practice division of Mauldin & Jenkins. He also is a member of the Finn's five (5) member Executive Committee which governs the actions and directions of the Firm, and he is a member of the Firm's Audit&Accounting(A&A) Committee. Years of Professional Experience and Years with Firm Beginning in June of 1986, Miller has twenty-seven (27)years experience in providing public accounting services to the governmental sector, all of which has occurred as an auditor with Mauldin & Jenkins. Since becoming a partner, Mauldin & Jenkins has become the leader in auditing state and local governmental units in the Southeast helping the Firm achieve the status of auditing the aggregation of more cities, counties, school systems, other local governmental units, state agencies and authorities than any other certified public accounting firm. Under Miller's leadership, Mauldin & Jenkins now serves approximately 200 governmental units. As a partner, Miller serves both large and small governmental Mauldin &Jenkins CPA's,LLC 12 „y LlG. AULDIN / x City of Tybee Island, Georgia r jp& ENKINS Proposal to Serve 41 units, and is involved directly and indirectly in serving over 70 such governmental entities over the past three(3)years. List of Audits Performed for Governments in the Last Three (3) Years Counties: Cities: 7 Athens-Clarke County 3 City of Albany G7 Augusta-Richmond County 3 City of Americus Bibb County E3 City of College Park • Clayton County 3 City of Conyers o Columbia County • City of Cordele ® Crisp County ® City of Covington • Dougherty County D City of Fayetteville • Gwinnett County ® City of Griffin • Henry County • City of Macon • Jones County • City of Milledgeville • Lincoln County ■ City of Morrow • Monroe County • City of Peachtree City • Oconee County, SC • City of Rome • Peach County • City of Roswell • Rockdale County • City of Suwanee • Spalding County ■ City of Union City Boards of Education: ■ City of Valdosta • Atlanta Public Schools Other Governmental Units: • Bibb County Board of Education P Clayton County Water Authority • Clayton County Board of Education D Columbia County Board of Health ® Fayette County Board of Education -3 Crisp County Power Commission E Fulton County Board of Education 13 Henry County Water& Sewerage Authority 3_, Glynn County Board of Education P Houston County Library System 3 Henry County Board of Education C3 Macon Water Authority • Marion County Board of Education D Ocmulgee Regional Library System • Twiggs County Board of Education • Peachtree City Tourism Association Peachtree City Development Authority State of Georgia & Alabama Entities: Peachtree City Water& Sewerage Authority Ga. Department of Community AHealth • Ga. State Financing& Investment Commission Alabama Higher Ed. Loan Corporation • Ga. State Road and Tollway Authority 7 Alabama Prepaid Affordable Tuition Fund ■ Ga. Student Finance Authority • Ga. Building Authority Ga. Education Authority • Ga.Environmental Finance Auth. (GEFA) • Ga.Higher Education Assist. Corporation • Ga. Lottery Corporation(Lotto) • Ga. Ports Authority Mauldin&Jenkins CPA's,LLC 13 AULDIN City of Tybee Island,Georgia 'ski & ENKINS Proposal to Serve ` , a/) • 2013 M&J GASB No. 63 and No. 65 regarding Deferred Inflows and Deferred Outlfows, Webcast Instructor • 2013 M&J GASB No. 60 regarding Service Concession Arrangements, Webcast Instructor • 2013 M&J University Annual Conference — Lake Lanier Islands, Georgia — Instructor and Participant • 2013 University of Georgia's Carl Vinson Institute of Government Governmental Accounting and Financial Reporting sessions for members of the National Audit Office of the Peoples Republic of China—Athens, Georgia and Macon, Georgia—Instructor • 2013 Accounting for Fixed Assets sessions at the City of Dunwoody Accounting Conference — Dunwoody, Georgia—Instructor 3 2013 AICPA Clarity Standards Update provided by Mauldin &Jenkins—Macon,Georgia 2013 University of Georgia's Carl Vinson Institute of Government Introductory and Intermediate Accounting and Financial Reporting to employees of State & Local Governments of Georgia -- Macon, Georgia—Instructor • 2012 Georgia Society of CPA's Governmental Conference — Atlanta, Georgia — Instructor and Participant • 2012 National AICPA Governmental Accounting and Auditing Update—Washington, DC • 2012 Georgia Council of Court Administrators, Governmental Accounting Update and Introduction session—Savannah Georgia—Instructor • 2012 Georgia Government Finance Officers Association Annual Conference — Savannah, Georgia—Instructor and Participant • 2012 M&J University Annual Conference—Stone Mountain State Park, Georgia—Instructor and Participant • 2012 University of Georgia's Carl Vinson Institute of Government Introductory and Intermediate Accounting and Financial Reporting to employees of State & Local Governments of Georgia — Macon, Georgia—Instructor • 2011 Mauldin & Jenkins Annual Governmental Conference — Peachtree City, Georgia — Instructor and Participant • 2011 Yellow Book Update session for the Georgia Society of CPA's Non-Profit Conference — Atlanta, Georgia—Instructor �I 2011 Participant at the Georgia Government Finance Officers Association Annual Conference — Savannah, Georgia-Instructor and Participant 0 2011 University of Georgia's Carl Vinson Institute of Government Introductory and Intermediate Accounting and Financial Reporting to employees of State & Local Governments of Georgia — Macon, Georgia—Instructor • 2011 PPC Audit Training by Audit Watch—Macon, Georgia Miller is an instructor/consultant for the University of Georgia's Carl Vinson Institute of Government providing as much as 200 hours annually of continuing education to state and local government officials on the subjects of governmental accounting and financial reporting. He provides similar instructional services on behalf of the Georgia Government Finance Officers Association (GGFOA) and the Government Finance Officers Association of Alabama (GFOAA), and is often a guest speaker at various governmental trade shows and conventions. In the past ten (10) years, he has been a speaker at each of the GGFOA's annual conferences on various subjects ranging from: panel member of experts, audit efficiency of governmental units; auditor independence; CAFR Prep 101; several GASB pronouncements implementation sessions; and, each year's Audit and Accounting(GASB) updates. Mauldin&Jenkins CPA's,LLC 14 AULDIN City of Tybee Island,Georgia & ENKINS Proposal to Serve \a. Professional and Civic Activities Miller is a Certified Public Accountant with licenses held and maintained in Georgia and Florida. lie is a member of the American Institute of Certified Public Accountants, Georgia Society of Certified Public Accounts, the Government Finance Officers Association (GFOA), the Georgia Government Finance Officers Association, and the Government Finance Officers Association of Alabama. Other Staff Auditors & Accountants Prior experience with government audits is as important for the staff as it is for management. Experience in governmental accounting and auditing minimizes the amount of time the staff will require to fully understand the complexities of the operations and financial accounting and reporting systems. Prior experience also enables the staff to recognize problems early in the engagement. This, in turn, allows the desired early consideration and resolution of problems. All staff assigned to the City's engagement will have prior experience serving government clients and/or will have substantial government audit training. All staff assigned to the City will be on-site throughout the entire engagement. Changes In Personnel (for Both Auditors and Specialists) We place a high level of importance upon the continuity of our team members. We recognize that this is also an important factor for the City, as it limits the amount of retraining that needs to be performed each year. It is also our goal to minimize disruptions to the City by staffing the engagement so as to provide continuity, both during and between audits. It is the Firm's policy not to rotate key audit staff or specialists off a multi-year contracted audit engagement. Consequently, it is not anticipated that any key audit personnel or specialists will be rotated away from the City's annual audit. The only changes at key levels that could possibly occur would stem from City actions and the escalation in ability of lower levels of staff to key roles. Any such changes in key personnel would always be discussed timely with City officials to their satisfaction and will be approved in advance. Our staff retention rates are considered to be among the best in the profession (and much better than other firms). We are able to not only provide consistency with the partner and manager on our engagement teams— but all levels of personnel. Many of our clients will tell you that they routinely have seniors and staff return to serve them year after year. Education All partners and staff of Mauldin & Jenkins receive substantial continuing education in audit and accounting — typically over 100 hours of such study per year. As soon as a staff person becomes a key ingredient to any type of niche service such as governmental audit, accounting and consulting, specific continuing education is sought. A good example includes sending our staff with over one (1) year of governmental audit experience to the GFOA's intermediate training for audit and accounting wherever it may be taught. From that point onward, individuals are sent to various GFOA and GGFOA training courses,and AICPA governmental-specific courses. All staff associated with the annual audit of the City will exceed all the continuing n rofessional education requirements contained in the Yellow Book throughout the term of the agreement. Mauldin &Jenkins CPA's,LLC 15 rAULDTN City of Tybee Island,Georgia & INKINS Proposal to Serve Spealic Audit Approach Our Undeistandinq of the Audit Requirements The following pages attempt to demonstrate to you our understanding of the nature of the audit services and our general plan for meeting your needs. Scone of Our Work and Required Audit Reports The overall objective in serving the City is to render our professional opinion on the fair presentation of the City's basic financial statements prepared in accordance with accounting principles generally accepted in the United States of America for each of the respective years ending June 30th. The audits will be conducted in accordance with auditing standards generally accepted in the United States of America, promulgated by the American Institute of Certified Public Accountants; Government Auditing Standards, issued by the Comptroller General of the United States; all applicable requirements of audits for local governments by the laws of the State of Georgia. Should a Single Audit be required, the audit will be performed in accordance with the American Institute of Certified Public Accountants (AICPA) Standards, Government Auditing Standards, the Single Audit Act of 1984 and the Single Audit Act Amendments of 1996, and the Office of Management and Budget (OMB) Circular A-133, Audits of States, Local Governments,and Nonprofit Organizations. Our audits will be completed, and reports will be issued by the deadlines, assuming normal cooperation of City personnel. The audits will be designed to accomplish the following objectives: 1. To determine whether the financial statements present fairly, in all material respects, the respective financial position of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information and the respective changes in financial position and, where applicable, cash flows, and the respective budgetary comparison for the General Fund and major special revenue funds in conformity with accounting principles generally accepted in the United States of America. The individual financial statements, schedules, and related information are not necessary for fair presentation, but will be presented as additional data. This supplemental information will be subjected to the tests and other auditing procedures applied in the audit of the basic financial statements, and an opinion will be given as to whether the supplemental information is fairly stated in all material respects in relation to the financial statements taken as a whole. 2. To obtain an understanding of the five components of internal control that is sufficient to assess the risks of material misstatement of the financial statements whether due to error or fraud, and to design the nature, timing, and extent of further audit procedures. Because an audit of a government's financial statements is based on opinion units, our consideration of internal control in assessing the risks of material misstatement will address each opinion unit. We will obtain a sufficient understanding by performing risk assessment procedures to a) evaluate the design of controls and b) determine whether they have been implemented. We will use such knowledge to identify types of potential misstatements; consider factors that affect the risks of material misstatements; and design tests of controls, when applicable, and subsequent procedures. In acquiring an understanding of and assessing internal control, we will consider computer controls as well as the controls over manual portions of the system. Mauldin&Jenkins CPA's,LLC 16 AULDIN City of Tybee Island,Georgia &L ENKINS Proposal to Serve 3. To plan and perform the audit to obtain reasonable assurance about whether the financial statements, including note disclosures, are free of material misstatement,whether caused by error or fraud,and material misstatements arising from illegal acts that have a direct and material effect on the determination of financial statement amounts. Illegal acts are defined in auditing standards as violations of laws or government regulations. Although not explicitly stated in auditing standards, the phrase "laws and government regulations" generally has been interpreted to implicitly include the provisions of contract and grant agreements. The AICPA Codification of Statements on Auditing Standards, Section AU 317 requires the auditor to consider laws and regulations that are generally recognized by auditors to have a direct and material effect on the determination of financial statement amounts. The auditor's responsibility to detect and report misstatements resulting from illegal acts having a direct and material effect on the determination of financial statement amounts is the same as that for misstatements caused by errors or fraud. In addition, we will be aware of the possibility of illegal acts that may have occurred that, in particular circumstances may be regarded as having material but indirect effects on financial statements. If specific information comes to our attention that provides evidence concerning the existence of possible illegal acts that could have a material indirect effect on the financial statements,we will apply audit procedures specifically directed to ascertaining whether an illegal act has occurred as set forth in SAS No. 99, Consideration of Fraud in a Financial Statement Audit. We will promptly notify City officials in writing of any irregularities, illegal acts, or indications of illegal acts as we become aware of them. 4. To provide reasonable assurance of detecting material misstatements that result from violations of provisions of contracts or grant agreements that could have a direct and material effect on the determination of financial statement amounts or other financial data significant to the audit objective. If specific information comes to our attention that provides evidence concerning the existence of possible violations of provisions of contracts or grant agreements that could have a material indirect effect on the financial statements we will apply audit procedures specifically directed to ascertaining whether that violation of the provisions of contracts or grant agreements has occurred or is likely to have occurred. In addition, if we become aware of abuse that could be quantitatively or qualitatively material to the financial statements, we will apply audit procedures specifically directed to ascertain whether abuse has occurred and the potential effect on the financial statements or other financial data significant to the audit objectives. 5. To evaluate whether the entity has taken appropriate corrective action to address findings and recommendations from previous engagements that could have a material effect on the financial statements. We will use this information from previous engagements in assessing risk and determining the nature,timing, and extent of current audit work, including determining the extent to which testing the implementation of the corrective actions is applicable to the current audit objectives. 6. To ensure that audit documentation is prepared in sufficient detail to provide a clear understanding of the nature,timing, and extent of auditing procedures performed to comply with generally accepted government auditing standards and other applicable standards and requirements; the results of the audit procedures performed and the audit evidence obtained; the conclusions reached on significant matters; and that the accounting records agree or reconcile with the audited financial statements. We will also document, before the audit report is issued, evidence of supervisory review of the work performed that supports findings, conclusions, and recommendations contained in the audit report. 7. To determine whether the City complied with laws,regulations,and the provisions of contracts or grant agreements pertaining to federal awards that have a direct and material effect on each major Mauldin&Jenkins CPA's,LLC 17 sINEf F..�.. //JAULDIN Cite of Tybee Island,Georgia ENKINS Proposal to Serve & program. With regard to internal control over compliance,we are required to do the following(in addition to meeting the requirements of Government Auditing Standards): (1) perform procedures to obtain an understanding of internal control over federal programs that is sufficient to plan the audit to support a low assessed level of control risk for major programs, (2) plan the testing of internal control over major programs to support a low assessed level of control risk for the assertions relevant to the compliance requirements for each major program, and (3) perform tests of internal control (unless the internal control is likely to be ineffective in preventing or detecting noncompliance). With regard to the submission of the Data Collection Form(Form SF- SAC) and the Single Audit Reporting package using the Federal Audit Clearinghouse Internet Data Entry System, we will certify the accuracy of the information included in Parts II and III of the form. Throughout the contract period, we will advise the City on implementation of new accounting standards as promulgated by the authoritative bodies, and will advise the City on specialized accounting questions which may arise. Reports to be Issued We will prepare the required audit reports including those required by Government Auditing Standards at the completion of the audit, in accordance with Generally Accepted Auditing Standards. Reports to be issued include the following: 1. Standard report on the financial statements. Reference will be made that the audit was conducted in accordance with generally accepted government auditing standards. We will include in our report on the financial statements a reference to separate report(s) containing a description of the scope of our testing of internal control over financial reporting and compliance with laws,regulations,and the provisions of contracts or grant agreements and the results of those tests. Additionally, we will state in this report whether the tests performed provided sufficient, appropriate evidence to support an opinion on the effectiveness of internal control over financial reporting and on compliance with laws, regulations, and provisions of contracts or grant agreements. Our report will state that the separate report is an integral part of the audit and should be considered in assessing the results of the audit. 2. A Report on Hutemn:ai Conntroll Over Financial Reporting and ©n Compliance and Other 1tters Cased on no Audit of Financial Statements Performed in Accordance with GovEPr/1r meoIIIt'Auditing Standards will be prepared. This report will describe the scope of the our testing of internal control over financial reporting and compliance with laws, regulations, and provisions of contracts or grant agreements and present the results of those tests. Also, separate identification and written communication of all significant deficiencies in internal control, including and identifying those significant deficiencies that are individually or cumulatively material weaknesses, will be made. As stated in paragraph 5.12 of Government Auditing Standards, "auditors should report as applicable, to the objectives of the audit (1) deficiencies in internal control considered to be reportable conditions as defined in AICPA standards, (2) all instances of fraud and illegal acts, unless clearly inconsequential,and(3) significant violations of provisions of contracts or grant agreements and abuse". 3. A Schedule of Findings and Responses will be prepared and will include the following two components: (1) a summary of the auditor's results; and (2) findings related to the financial statements which are required to be reported in accordance with generally accepted government auditing standards. Mauldin&Jenkins CPA's,LLC 18 ni y� City of Tybee Island,Georgia 4 ENKNE Proposal to Serve �> I I 4. Preliminary draft of all reports will be submitted to the City prior to their release. The City will review and approve the release of all draft reports. Any other reports required shall be submitted to City Tybee Island, Georgia upon request or as required by federal, state,or local programmatic audit requirements. A written management letter containing matters not required to be included in the auditor's report on compliance and on internal control over financial reporting will be prepared and presented to the City at the conclusion of each audit. We will offer recommendations for appropriate corrective action for each item contained in the management letter as well as the internal control over compliance report. One final thought is the acknowledgement and communication surrounding Statement of Auditing Standards (SAS) No. 114, The Auditor's Communication with Those Charged with Governance (supersedes SAS No. 61, Communication with Audit Committees). We will provide, as required, communications to management on each of the following: 1. Our responsibility, as your auditors, under auditing standards generally accepted in the United States of America. 2. Accounting policies. 3. Management's judgments and accounting estimates. 4. Financial statement disclosures. 5. Related accounting matters. 6. Significant difficulties encountered in performing the audit. 7. Audit adjustments. 8. Disagreements with management. 9. Representations from management. 10. Management consultation with other accountants. 11. Significant issues discussed with management. 12. Other information in documents containing audited financial statements. 13. Independence. This report will be provided in association with our management recommendations. Audit Methodology and the General Audit Work Plan to Accomplish the Scope Mauldin & Jenkins believes that we are uniquely qualified to perform the audit of the City. In a time in which very significant changes continue to be implemented in the City's financial reporting model, it is imperative for the City's auditors to understand the City's financial reporting environment and processes. The team proposed to serve you is made up of individuals who have significant experience in auditing local governments of various sizes in the Southeast. Our audit of the financial statements will be conducted in accordance with auditing standards generally accepted in the United States of America and will conform to the standards as set forth in the following: "Generally Accepted Auditing Standards" developed by the American Institute of Certified Public Accountants(AICPA). "Government Auditing Standards"issued by the Comptroller General of the United States. "Audits of State and Local Government Units" prepared by the State and Local Government Committee and published by the AICPA. Mauldin&Jenkins CPA's,LLC 19 �V T T us, L' �� City of Tybee Island,Georgia �,NU}<j' NS Proposal to Serve �'; ); 4. Preliminary draft of all reports will be submitted to the City prior to their release. The City will review and approve the release of all draft reports. Any other reports required shall be submitted to City Tybee Island, Georgia upon request or as required by federal, state,or local programmatic audit requirements. A written management letter containing matters not required to be included in the auditor's report on compliance and on internal control over financial reporting will be prepared and presented to the City at the conclusion of each audit. We will offer recommendations for appropriate corrective action for each item contained in the management letter as well as the internal control over compliance report. One final thought is the acknowledgement and communication surrounding Statement of Auditing Standards (SAS) No. 114, The Auditor's Communication with Those Charged with Governance (supersedes SAS No. 61, Communication with Audit Committees). We will provide, as required, communications to management on each of the following: 1. Our responsibility, as your auditors, under auditing standards generally accepted in the United States of America. 2. Accounting policies. 3. Management's judgments and accounting estimates. 4. Financial statement disclosures. 5. Related accounting matters. 6. Significant difficulties encountered in performing the audit. 7. Audit adjustments. 8. Disagreements with management. 9. Representations from management. 10. Management consultation with other accountants. 11. Significant issues discussed with management. 12. Other information in documents containing audited financial statements. 13. Independence. This report will be provided in association with our management recommendations. Audit Methodolo2v and the General Audit Work Plan to Accomplish the Scope Mauldin & Jenkins believes that we are uniquely qualified to perform the audit of the City. In a time in Ij which very significant changes continue to be implemented in the City's financial reporting model, it is imperative for the City's auditors to understand the City's financial reporting environment and processes. The team proposed to serve you is made up of individuals who have significant experience in auditing local governments of various sizes in the Southeast. Our audit of the financial statements will be conducted in accordance with auditing standards generally accepted in the United States of America and will conform to the standards as set forth in the following: "Generally Accepted Auditing Standards" developed by the American Institute of Certified Public Accountants(AICPA). "Government Auditing Standards" issued by the Comptroller General of the United States. "Audits of State and Local Government Units" prepared by the State and Local Government Committee and published by the AICPA. MTeaiaidin&Jenkins CPA's,n IL fC 19 1\A l 'L,IC =74 City of Tybee Island,Georgia El\7F i`►S Proposal to Serve Our audit will include such tests of the accounting records and such other auditing procedures as we consider necessary in the circumstances, which include,but are not limited to, those procedures necessary to test compliance and to disclose non-compliance with specified laws,regulations,and contracts. We will use Firm manuals specifically designed for governments to develop audit programs tailored to the City which incorporate the requirements set forth above. We anticipate that these procedures will enable us to express our professional opinion that the financial statements of the City present fairly, in all material respects, the financial position and results of operations of the various opinion units in conformity with accounting principles generally accepted in the United States of America. If conditions are discovered which lead to the belief that material errors, defalcations, or other irregularities exist which might prohibit us from expressing an unqualified opinion or if any other circumstances are encountered that require extended services,we will promptly advise the City. No extended services will he performed unless they are authorized in contractual agreement or in an amendment to the agreement. Upon notification of obtaining the audit contract with the City we would provide to the C:ty a timetable for the audit process,a detailed audit plan, and a list of all schedules to be prepared by the City. Adequate supervision and lead time will be provided by the auditor with respect to assistance needed by the City staff. Sampling Techniques and the Extent to Which Statistical Sampling is to be used in the.Engagement Our approach to auditing relies heavily on the use of audit sampling as provided in Statement on Auditing Standards No. 39, "Audit Sampling" as amended by SAS No. 111. We would plan to utilize audit sampling whenever a decision is made to apply a specific audit procedure to a representative sample of items within the account balance or class of transactions with the objective being reaching a conclusion about the entire balance or class. We anticipate using audit sampling on the following types of audit tests: 1. Substantive tests of details of balance sheet account balances. 2. Substantive tests of details of transactions. 3. Tests of controls 4. Tests of compliance with laws and regulations Our use of audit sampling will be based on the guidance in SAS 39 and SAS 111 and the AICPA Audit and Accounting Guide-Audit Sampling. Extent of the Use of EDP Software in the Engagement The Management Advisory Services (MAS) department of Mauldin & Jenkins includes certain individuals who have had substantial training in the accounting, auditing, and use of electronic data processing (IiDP) Systems. To compliment these highly trained individuals, all members of the audit staff have also had significant training in computer auditing techniques. Mauldin & Jenkins uses a very detailed and structured approach in using computer auditing techniques, which has been extremely successful for us in our past engagements. At the start of the engagement during our planning phase, we will assess the computer systems used by the City and determine whether computer aided auditing techniques could be used. This approach would potentially consist of downloading trial balances, detail journals, and selected transaction files into our Mauldin&Jenkins C1'A's,LLC 20 1 eAU LDIN City of Tybee Island,Georgia `z: IENKINS Proposal to Serve Our audit will include such tests of the accounting records and such other auditing procedures as we consider necessary in the circumstances,which include,but are not limited to,those procedures necessary to test compliance and to disclose non-compliance with specified laws,regulations,and contracts. We will use Firm manuals specifically designed for governments to develop audit programs tailored to the City which incorporate the requirements set forth above. We anticipate that these procedures will enable us to express our professional opinion that the financial statements of the City present fairly, in all material respects, the financial position and results of operations of the various opinion units in conformity with accounting principles generally accepted in the United States of America. If conditions are discovered which lead to the belief that material errors, defalcations, or other irregularities exist which might prohibit us from expressing an unqualified opinion or if any other circumstances are encountered that require extended services, we will promptly advise the City. No extended services will he performed unless they are authorized in contractual agreement or in an amendment to the agreement. Upon notification of obtaining the audit contract with the City we would provide to the City a timetable for the audit process,a detailed audit plan, and a list of all schedules to be prepared by the City. Adequate supervision and lead time will be provided by the auditor with respect to assistance needed by the City staff. Sampling Techniques and the Extent to t'7rich Statistical Sampling is to be Used in the Engagement Our approach to auditing relies heavily on the use of audit sampling as provided in Statement on Auditing Standards No. 39, "Audit Sampling" as amended by SAS No. 111. We would plan tc utilize audit sampling whenever a decision is made to apply a specific audit procedure to a representative sample of items within the account balance or class of transactions with the objective being reaching a conclusion about the entire balance or class. We anticipate using audit sampling on the following types of audit tests: i. Substantive tests of details of balance sheet account balances. 2. Substantive tests of details of transactions. 3. Tests of controls 4. Tests of compliance with laws and regulations Our use of audit sampling will be based on the guidance in SAS 39 and SAS 111 and the AICPA Audit and Accounting Guide-Audit Sampling. Extent of the Use of EDP Software in the Engagement The Management Advisory Services (MAS) department of Mauldin & Jenkins includes certain individuals who have had substantial training in the accounting, auditing, and use of electronic data processing (EDP) Systems. To compliment these highly trained individuals, all members of the audit staff have also had significant training in computer auditing techniques. Mauldin & Jenkins uses a very detailed and structured approach in using computer auditing techniques, which has been extremely successful for us in our past engagements. At the start of the engagement during our planning phase, we will assess the computer systems used by the City and determine whether computer aided auditing techniques could be used. This approach would potentially consist of downloading trial balances, detail journals, and selected transaction files into our Mauldin 1 Jenkins CPA'r,LLC 20 AULDIN City of Tvbee Island,Georgia JENKINS Proposal to Serve software through IDEA. This may decrease time spent in initial file setup, trial balance setup, and data integrity testing. The trial balance downloaded will then be used to agree to the ultimate draft of the City's financial statements ensuring that all adjustments and balances are brought forward into the financial statements and providing a clean audit trail for review and support of the City's financial statements. Type ana Extent of Analytical Procedures to be Used in the Engagement Analytical procedures can be applied to almost every financial statement amount and are often less costly to apply than tests of details. It is therefore an efficient audit strategy to employ analytical procedures to the maximum extent possible, and vary the required extent of substantive tests of details inversely with the degree of assurance already obtained. The elements of analytical procedures we plan to consider are as follows: 1. Identify the factors on which a given accounting result should depend; 2. Determine the approximate relationship between the accounting result and those underlying factors; 3. Predict what the current results should be if that relationship continued; 4. Compare the actual current result to the prediction; 5. Investigate and corroborate significant variances between the actual result and the prediction; and 6. Reach a conclusion as to the reasonableness of the reported result. Types of analytical procedures employed will include: 1. Reviewing changes from prior years for reasonableness. 2. Scanning accounts for items larger or smaller than expected when compared to budgets or forecasts. 3. Reviewing and comparing logical relationships between years (e.g., payroll taxes and benefits to wages, etc.). Comparisons between years can he made more effective when logical relationships between elements of the financial statements that would be expected to confobibi to the predictable pattern are used to develop trends. This is primarily accomplished through the use of ratios. 4. Analyzing and comparing nonfinancial information, such as number of taxable properties, geographical area, number of employees, etc. All analytical procedures performed as substantive tests are documented on each applicable audit program. Approach to be Taken to Gain and Document an Understanding of the City's Internal Control For purposes of an audit of the financial statements and statutory, regulatory and contractual compliance, the City's control structure consists of the following five(5)elements as they relate to the City's ability to conduct operations and use resources in accordance with management's authorization and consistent with laws; regulations, contracts and policies, and to record, process, summarize, and report financial data consistent with assertions embodied in the financial statements: the control environment; risk assessment, MaMldi,'&.Pkinkirns CPA's,LLC 21 A1L`' DTN City of Tybee Island,Georgia • l;ETKINS Proposal to Serve control activities, information and communication processes/systems, and monitoring. The internal control structure and its policies and procedures are an important source of information about the types and risks of potential material misstatements that could occur in the financial statements and violations of statutory, regulatory and contractual requirements. This information is essential for effective audit planning and in designing effective and efficient audit tests. In our understanding of the City's internal control structure we will obtain knowledge about: 1. Ilow internal control structure policies, procedures and records are designed; 2. Whether internal control structure policies, procedures and records have been placed in operation, i.e., whether the City is using them; 3. Whether internal control structure policies, procedures and records are designed effectively, i.e., whether they are likely to prevent or detect material misstatements or compliance violations on a timely basis; and 4. Whether internal control structure policies, procedures and records are operating effectively. Auditing standards generally accepted in the United States of America require the auditor to document our understandings of the internal control structure elements. The form and extent of documentation is flexible. Generally, the more complex an entity's internal control structure and the more extensive the procedures performed to obtain the understanding, the more extensive our documentation should be. in addition to memos we plan to use specific designed forms and questionnaires to document our understanding of the internal control structure. Recent changes in auditing standards, known as the risk assessment standards, denote that the auditor is not required to test internal control so as to rely on them to reduce other test work, but do not allow for only inquiry procedures related to internal control. We are required, and will perform, other procedures, such as walkthroughs and observation, related to controls over significant financial statement and audit assertions. Approach to be Taken in Determining Laws and Regulations that will be Subject to Audit Test Work Our approach to be taken to determine the laws and regulations that will be subject to audit test work will include procedures designed to identify requirements found in legal or legislative data, administrative regulations, and documents associated with grant and contract arrangements. The following procedures and policies will be applied depending on the nature and materiality of the laws and regulations: 1. During the planning phase, the type of audit to be performed, as it relates to compliance matters,will be communicated to all personnel assigned to the engagement. 2. Obtain a list of all federal award programs from which the client received and expended funds and identify, using the risk-based approach, the major programs and any nonmaj or programs that are to be treated as major programs, if a program-specific audit, identify the award program to be audited. 3. Identify applicable state and local statutory and regulatory requirements and contractual requirements. 4. Plan and document the audit procedures to be performed relative to applicable state and local statutory and regulatory requirements and contractual requirements. 5. Perform and document federal, state, and local statutory, regulatory and contractual compliance audit procedures as deemed to be applicable and appropriate during the planning stage of the engagement. 6. Make specific inquiries of management concerning the following matters: Mfr kikr&.denknns CPA's,ILLS' 22 `;µ`1 %%It AUL.DIN City of Tybee Island,Georgia & ENKINS Proposal to Serve a. The City's compliance with laws and regulations. b. The City's policies relative to the prevention of statutory, regulatory and contractual violations. c. The use of directives issued by the City and periodic representations obtained by the City from officials and other management personnel at appropriate levels of authority concerning compliance with laws and regulations. Planned Use of.Specialists At this time, we do not plan on the use of any outside specialist. All work to be performed will be performed by Mauldin & Jenkins partners and staff. Of course, certain staff has certain specialties, and they will be called on as needed. We do plan on using the results of reports provided to the City from their specialists. This would include, when applicable,the following types of specialists: ♦ Actuaries of retirement plans and other benefit plans ♦ Engineers ♦ Health-care providers and,or third-party administrators ♦ Retirement plan administrators • Fixed assets valuation professionals ♦ Bond Underwriters • Attorneys consulted by the City during the year Approach to be Taken in Drawing Audit Samples _for Purposes of Tests of l: Compliance Applicable auditing standards state that, in testing for compliance with laws and regulations, the number, selection, and testing of transactions is based on the auditor's professional judgment. None of the guidelines, primarily SAS No. 74, explain whether this requirement to select a representative number for testing compliance means that audit sampling is necessary. The two (2) possible approaches to audit sampling are nonstatistical and statistical. SAS No. 39 as amended by SAS No. Ill, Amendment to Statement on Auditing Standards No. 39, Audit Sampling indicates that both of these approaches are capable of producing sufficient evidential matter, if properly applied. The types of procedures that are applied are not determined by the sampling approach used. Either approach may be used to apply whatever tests of details deemed necessary in the circumstances. The importance of professional judgment cannot be overemphasized as it applies to the evaluation of the adequacy of evidential matter generated by the sampling approach. Regardless of the sampling approach selected, we will properly plan, perform, and evaluate the results of the sample. Professional judgment must be used to relate the sample results to other evidential matter when we form a conclusion about compliance with laws and regulations. It should be noted, however, that not all tests of compliance or controls are transaction related. If we decide to use audit sampling, attention is focused on which sampling approach (statistical or non-statistical) to use. Substantial information is given in the AICPA Sampling Guide and several college and professional books on the use of various statistical sampling approaches. Mauldin&Jenkins CPA's,ILC 23 Ii AUIZEN City of Tybee Island,Georgia j &J E\F 74S Proposal to Serve The basic requirements that relate to all compliance related samples. statistical and nonstatistical. are as follows: 1. Planning. We will relate the population to the objective of the audit test; i.e., defining the population and sampling unit. 2. Selection. We will select items that can be expected to be representative of the population. 3. Evaluntionn. We will project sample results to the population and consider sampling risk. In a compliance sampling application, the population is defined as all items that constitute the account balance or class of transactions, or the portion of the balance or class, being tested (i.e., all expenditures of the City above a certain threshold required to be bid). The population for a substantive sample usually is the account balance or class of transactions excluding those items selected for testing because of individual significance. The term individually significant item encompasses two(2)types of items: 1. Individually significant dollar items. 2. Unusual items(that is,items that have audit significance by their nature). Due to the nature of tests of controls, we ordinarily are not concerned with identifying individually significant items when tests of controls are performed using audit sampling. Sampling results can be projected only to the population from which the sample is drawn. The use of the wrong population for a sampling application could mean that conclusions based on the sample are invalid for our purpose. • The sampling units are the individual items that are subjected to tests and that represent the components of the population. It is important to properly identify the sampling unit before the sample is selected to produce an efficient and effective sampling application. Examples of sampling units would be individual capital disbursements,etc. The determination of the specific sampling unit is influenced by the following considerations: 1. The sampling unit should produce an efficient sampling plan. 2. The sampling plan must be effective to accomplish its objectives. 3. The nature of the audit procedures can determine the sampling unit to be used. SAS No. 111 requires a "representative sample". There are several commonly used methods of selecting samples that meet the criteria of representativeness stipulated by SAS No. 111. The following are some of those methods: Random selection. Regardless of the method of sampling used, statistical or nonstatistical,a random selection provides each item in the population an equal chance of being selected. Numerous random selection methods are discussed in the AICPA Sampling Guide, including stratified random sampling. Systematic sampling. This method can be used with nonstatistical or statistical sampling to give every item in the population an equal chance of being selected if a random start is used. However, it may not produce an equal opportunity for all combinations of sampling units to be selected unless numerous random starts are made. The population is divided by the number of sample items to determine the sampling interval to use. Haphazard sefenfion. Under this method, nonstatistical sample items are selected in no specific pattern without bias for or against any items in the population. This could be Mauldin .4 Jenkins CPA's,LLC 24 liAULDIN City of T' bee Island,Georgia • ENKINS Proposal to Serve done by selecting a sample of items from the paid invoices for the year if there were no bias for or against large ones. We may use this method provided care is taken to be sure no conscious bias is added to the selection process. We will evaluate whether the sample selected seems representative of the population to be tested. If the sample does not seem representative,we would reselect. For substantive tests of details, we will, if practical, stratify any remaining population. Generally, the remaining population should be divided into at least two subgroups that are more similar in dollar amount. One useful approach to stratification is to base this division on the average amount of an item in the remaining population. All items above the average amount would be one subgroup, and all items below that amount would be the other subgroup. For all items in the population to have a chance to be selected, we will determine that the sample population actually includes all the items(e.g., capital disbursements, etc.)comprising the balance. There are many ways to determine the completeness of a sample population, including: 1. If the sample is selected from a trial balance,we can foot the trial balance and reconcile the total to the account balance. 2. If the items are numerically sequenced, we can scan the accounting records to account for the numerical sequence of items in the population and select the sample from that sequence. The two (2) sampling forms presented both include a step that allows the auditor to document how the completeness of the sample population was considered. Whenever practical, we will consider using random selection (with a random number table or microcomputer-generated numbers) or systematic selection. Haphazard selection may be used when the population is not numbered or when other circumstances make use of a random-based method impractical. Using one of these random-based methods does not make the sampling application statistical. The evaluation of sample results has two(2)aspects. We will need to project the noncompliance. Also, we will need to consider the sampling risk. In a statistical sample, sampling risk must still be considered and restricted to a relatively low level but cannot be objectively measured. This is the primary conceptual distinction between statistical and non-statistical sampling. In the two (2) non-statistical sampling approaches presented in this section, sampling risk is assessed by considering whether the rate or amount of exceptions identified in the sample exceed the expected rate or amount of exceptions used in designing the sample. Maaidaan&Jenkins CPA's,LLC 25 F }/ AULDIN City of Tybee Island,Georgia & ENKINS Proposal to Serve Additional Data Free Gontinuin2 Education, We provide free quarterly continuing education for all of our governmental clients. Each quarter we pick a couple of significant topics tailored to be of interest to governmental entities. In an effort to accommodate our entire governmental client base, we offer the sessions several times per quarter at a variety of client provided locations resulting in greater networking among our governmental clients. We normally see approximately 100 people per quarter. We obtain the input and services of experienced outside speakers along with providing the instruction utilizing our in-house professionals. Examples of subjects addressed in the past few quarters include: 1) American Recovery&Reinvestment Act(ARRA)information and issues; 2) GASB updates(several sessions); 3) Internal Controls Over Revenue and Cash Receipting; 4) CAFR Preparation; 5) Collateralization of Deposits and Investments; 6) SPLOST Accounting, Reporting and Compliance; 7) Internal Controls Over Accounts Payable,Payroll and Cash Disbursements; 8) Capital Asset Accounting Processes and Controls; 9) Grant Accounting Processes and Controls; 10) American Recovery&Reinvestment Act(ARRA)Updates; 11) Policies and Procedures Manuals; 12) Segregation of Duties; 13) GASB No. 51 —Intangible Assets; 14) Single Audits for Auditees; 15) GASB No. 54—Governmental Fund Balance(subject addressed twice); 16) Best Budgeting Practices,Policies and Processes; 17) Internal Revenue Service(IRS)Compliance Issues, Primarily Payroll Matters; 18) CAFR Preparation(2 Day Course which is scheduled next). 19) GASB 60 — Service Concession Arrangements and GASB 61 — The Financial Reporting Entity: Omnibus—An amendment of GASB Statements No 14 and No 34 20) Webcast-GASB No. 63 and No. 65 -Deferred Inflows and Deferred Outflows 21) Webcast-GASB No. 60-Service Concession Arrangements 22) Webcast—GASB No 61 —The Financial Reporting Entity: Omnibus We produce newsletters tailored to meet the needs of governments. The newsletters have addressed a variety of subjects and are intended to be timely in their subject matter. The newsletters are authored by Mauldin & Jenkins partners and managers, and are not purchased from an outside agency. The newsletters are produced and delivered periodically, and are intended to keep you informed of current developments in the government finance environment. The following topics have been addressed in our newsletters: (a) Deposit Collateralization, (b) Sales Tax Collections, (c) Single Audit and American Recovery & Reinvestment Act (ARRA) funds, (d) FDIC's Dodd-Frank Act's Effect on Deposits, (e) 1 SPLOST Expenditures, (f) OMB A-133 Compliance Supplement, (g) GASB No. 54 —Fund Balance (3 separate issues), (h) Property Tax Assessments, (i) Escheat Laws on Unclaimed Property, (j) Supplemental Social Security for Inmates,(k)Government Employee or Independent Contractor?(1)New GASB Standards,and(m)Clarity Project—Group Audit Standards. Mauldin&Jenkins CPA's,LLC 26 AULDIN City of Tybee Island,Georgia • IIENKINS Proposal to Serge High Percentage of Partner& Manager Involventent Every firm has partners. Every firm has managers. However, how they are involved in audit engagements and the audit process varies greatly. At Mauldin &Jenkins, we believe it is important for our partners and managers to be highly involved in the audit process, including fieldwork. Whv have experience if you don't bring it to the field? That being said,we believe it is important to note that our proposal includes the following: • Substantial Partner Hours as Compared to Total Hours. ® Substantial Manager Hours as Compared to Total Hours. • Approximately 55% of all anticipated hours of service are partner and manager hours which means we brine our experience to the fneid and not just the front end and back end of the audits. • This is a Value-Added Concept most firms do not employ. Fees for Audit Services Listed below is an all-inclusive maximum fee for the annual fmancial audit for the years ended June 30, 2013 through 2015. It is our understanding that the City does not currently require a Single Audit to be performed. Should such services ever be required, the City and Mauldin & Jenkins would arrive at an appropriate fee for such services. Our fees for audit services are as follows: Year Ended June 30,2013 $ 23,000 Year Ended June 30,2014 $ 23,000 Year Ended June 30,2015 $ 23,000 Mauldin uldth 1 Jenkins SPA°c,LW 27 U AULDIN City of Tybee Island,Georgia �` • � �, & ENKINS Proposal to Serve Qi High Percentage of Partner& Manager Involvement Every firm has partners. Every firm has managers. However, how they are involved in audit engagements and the audit process varies greatly. At Mauldin &Jenkins, we believe it is important for our partners and managers to be highly involved in the audit process,including fieldwork. Whv have experience if you don't brine it to the field? That being said,we believe it is important to note that our proposal includes the following: • Substantial Partner Hours as Compared to Total Hours. • Substantial Manager Hours as Compared to Total Hours. • Approximately 55% of all anticipated hours of service are partner and manager hours which means we brine our exuerien e to the field and not just the front end and back end of the audits. • This is a Value-Added Concept most firms do not employ. Fees for Audit Services Listed below is an all-inclusive maximum fee for the annual financial audit for the years ended June 30, i 2013 through 2015. It is our understanding that the City does not currently require a Single Audit to be performed. Should such services ever be required, the City and Mauldin & Jenkins would arrive at an appropriate fee for such services. Our fees for audit services are as follows: f. Year Ended June 30,2013 $ 23,000 Year Ended June 30,2014 $ 23,000 Year Ended June 30,2015 $ 23,000 MoaIdinn&Jenkins CPA°s,LLC 27 AULD1IN City of Tybee Island,Georgia � , NhIN� Proposal to Serve t Closing We appreciate the opportunity to continue serving City of Tybee Island, Georgia. We believe Mauldin & Jenkins is the "right" firm for the City. Our experience and knowledge in the governmental sector of accounting is vast and ever-improving. We would be very pleased to continue sharing our experience and understanding of governmental accounting and operations for the benefit of the City. We would greatly appreciate you recommending us for your continued audit needs. Should you or anyone at the City have any questions with regards to this proposal or about Mauldin & Jenkins, please feel free to contact us. AULDIN &JENKINS CERTIFIED PUBLIC ACCOUNTANTS,LLC Mauldin&Jenkins CPAs,LLC C' 28 Appendix A ()milky Cazertor Fmcesses Copy of Legg Fee7 Review Repo J rapkins CPA's,LLC (Malin.Control Process lInternaI Review Process All audit and other attest engagements performed at Mauldin & Jenkins receive a high level of quality control reviews. On an engagement such as the City, a partner or client executive would be in the field performing the engagement for a great amount of time. We believe this allows our firm to provide a high level of expertise and efficiency during the conduct of audit fieldwork which is a vital part to any audit engagement. We believe this aids our being able to get the engagement done quickly without creating • additional headaches to our clients. A manager reviews all the audit work performed, which is followed by a partner review. Once these reviews are conducted and completed, an independent partner to the engagement will review the audit working papers and the respective financial reports. We believe this multi-review process is important in providing a high-level product. External Oauality Control Review The accounting profession, through the American .Institute of Certified Public Accountants, formed the Division for CPA firms to provide a new level of self-regulatory control. The division consists of two • sections; the SEC Practice Section and the Private Companies Practice Section. Membership is voluntary in either or both sections. There are requirements for membership in each section, which include mandatory professional liability insurance at specified levels, mandatory continuing education for each member of the professional staff and a tri-annual independent review of a firm's quality control system in its practice of public accounting. Mauldin & Jenkins, LLC has been a member of both sections from the inception of the Division for Firms. We are proud to announce that Mauldin & Jenkins, LLC has met all of the membership requirements, including the review process. In their tri-annual report dated October 21, 2011, our reviewing firm gave a "clean" opinion on our system of quality control for our accounting and audit practice. A copy of the report on our most recent external quality control review is provided on the following pages. The quality control review included a review of specific government engagements. No letter of comment was received as a result of this review. We are quite proud to be one of the few Georgia-based firms to have • undergone this review and to have received an unqualified opinion from a large reputable national firm. Desk Reviews or Field Reviews Only one desk reviews or field reviews have been performed on Mauldin & Jenkins in many years. In January 2008, as part of the Federal Department of Education's random testing of the audits of local boards of education, a review was performed by the Federal Office of Inspector General (OIG) regarding a Single Audit engagement of a local board of education. We are quite pleased to note the examiner provided Mauldin&Jenkins a letter of high marks for the performance of the respective Single Audit and this comes at a time when Federal regulators are condemning the profession for poor performance of such Single Audits. Nnoffftieialliv and orally provided,the examiner noted this Single Audit engagement to be the best such enaanennent reviewed in his experience. No Discii,iimu'1'.`[CtWii. Mauldin & Jenkins has not had any disciplinary actions taken (nor are any pending) against the firm during the past three(3)years with State or Federal regulatory bodies or professional organizations. �7eeeeG�tin&Jenkins CPA's,LLC Clifton Gunderson LLP (edified Public Actounlant. .C nn.ultan1 System Rev ew Report To the Partners of Mauldin&Jenkins, LLC and the AICPA National Peer Review Committee We have reviewed the system of quality control for the accounting and auditing practice of Mauldin &Jenkins, LLC (the firm)applicable to non-SEC issuers in effect for the year ended May 31, 2011. Our peer review was conducted in accordance with the Standards for Performing and Reporting on Peer Reviews established by the Peer Review Board of the American Institute of Certified Public Accountants. The firm is responsible for designing a system of quality control and complying with it to provide the firm with reasonable assurance of performing and reporting in conformity with applicable professional standards in all material respects. Our responsibility is to express an opinion on the design of the system of quality control and the firm's compliance therewith based on our review. The nature, objectives, scope, limitations of, and the procedures performed in a System Review are described in the standards at www.aicpa.org/prsummary. As required by the standards, engagements selected for review included engagements performed under the Government Auditing Standards; audits of employee benefit plans, and audits performed under FDICIA. In our opinion, the system of quality control for the accounting and auditing practice of Mauldin &Jenkins, LLC applicable to non-SEC issuers in effect for the year ended May 31, 2011, has been suitably designed and complied with to provide the firm with reasonable assurance of performing and reporting in conformity with applicable professional standards in all material respects. Firms can receive a rating of pass, pass with deficiency(ies) or fail. Mauldin & Jenkins, LLC has received a peer review rating of pass. Pi^:ceri;, Arizona October 21, 20`1 H LB inrp.r,lonnt I]iIannel¢c¢A J1ernkrses CPA%',ILC 1st., , . ' ,- - . - .# ' i J,..` •inn, d _.!. __ /' MAULDI N .: ,ITENMNS9 LLC .. j" '' . 1, silk 41 3©© MnnlIhen v Street, Sannte 3©© . Mecca, Leen°gnz 3.1.2011. /4,44. ( ©©) 277-0050 ( 11 o e) , ``i'" /, (478) 464 8©511 (fax .�'+