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Home My Public Portal About22-033 - Additional payment to Marcum LLP for 2020 AuditSponsored By: City Manager RESOLUTION NO. 22-033 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF OPA-LOCKA, FLORIDA, AUTHORIZING THE CITY MANAGER TO ISSUE AN ADDITIONAL PAYMENT OF NINE THOUSAND TWO HUNDRED DOLLARS ($9,200.00) TO MARCUM, LLP FOR ADDITIONAL SUPPLEMENTAL WORK RELATED TO COMPLETING THE SEPTEMBER 30, 2020 AUDIT; PROVIDING FOR INCORPORATION OF RECITALS; PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, on November 22, 2021, the City Commission of the City of Opa-Locka, ("City") passed Resolution No. 21-9942 accepting the proposal from Marcum LLP in response to RFP No. 21-1115200 for Independent Auditing Services; and WHEREAS, the City entered into an agreement with Marcum, LLP, to provide auditing services for FY 2020 and 2021 ("Agreement"), in the amount of Thirty Nine Thousand, Nine Hundred Ninety -Five Dollars ($39,995.00) per fiscal year; and WHEREAS, Marcum, LLP later informed the City that the actual hours to complete the FY 2020 audit will exceed the estimated hours pursuant to the Agreement and the City and Marcum, LLP later amended their agreement to increase the fee by an additional Ten Thousand, Three Hundred Ninety Dollars ($10,390.00) on July 13, 2022 through Resolution No. 22-006; and WHEREAS, Marcum LLP is requesting an additional Nine Thousand Two Hundred Dollars, to include additional time spent by the Audit Partner, Audit Manager and Senior Auditor to complete the audit ending September 30, 2020; and WHEREAS, the Interim City Manager contends that the proposed supplemental work is required to complete the September 30, 2020 audit; and WHEREAS, Marcum, LLP desires to complete the additional supplemental work necessary for completion of the FY 2020 audit for an additional Nine Thousand Two Hundred ($9,200.00). NOW, THEREFORE, BE IT DULY RESOLVED BY THE CITY COMMISSION OF THE CITY OF OPA- LOCKA, FLORIDA: SECTION 1. The recitals to the preamble herein are incorporated by reference. SECTION 2. AUTHORIZATION The City Commission of the City of Opa-Locka hereby authorizes the Interim City Manager to issue payment to Marcum, LLP for an additional amount of Nine Thousand Resolution No. 22-033 Two Hundred Dollars ($9,200.00) for additional supplemental work required in order to complete the city financial audit ending September 30, 2020 and from account numbers #17-513312 and 61-513340. SECTION 3. SCRIVENER'S ERRORS Sections of this Resolution may be renumbered or re -lettered and corrections of typographical errors, which do not affect the intent of this Resolution may be authorized by the City Manager, following review by the City Attorney, without need of public hearing, by filing a corrected copy of same with the City Clerk. SECTION 4. EFFECTIVE DATE This Resolution shall take effect upon the adoption and is subject to the approval of the Governor or Governor's Designee. PASSED and ADOPTED this 5th day of October, 2022. Veronica J. Williams, Mayor TTEST: nna Flores, City Clerk APPROVED AS TO FORM AND LEGAL SUFFICIENCY: Burnadette Norris Wee s, P.A. Moved by: Commissioner Davis Seconded by: Commissioner Bass VOTE: 4-0 Commissioner Bass YES Commissioner Davis YES Commissioner Dominguez YES Vice -Mayor Taylor ABSENT Mayor Williams YES City of Opa-locka Aeenda Cover Memo City Manager: Darvin Williams CM Signature: " , ,..e__ Commission Meeting Date: 09.28.2022 Item Type: (EnterXin box) Resolution Ordinance Other X Fiscal Impact: (EnterXin box) Yes No Ordinance Reading. (EnterXin box) 1st Reading 2nd Reading X Public Hearing: (EnterXin box) Yes No Yes No X X Funding Source: Account# : (Enter Fund & Dept) Ex: Advertising Requirement: (EnterXin box) Yes No x Contract/P.O. Required: (EnterXin box) Yes No RFP/RFQ/Bid#: X Strategic Plan Related (EnterXin box) Yes No Strategic Plan Priority Enhance Organizational Bus. & Economic Dev Public Safety Quality of Education Qual. of Life & City Communication Area: - Strategic Plan Obj./Strategy: (list the specific objective/strategy this item will address) X NI III IN Image IN NI Sponsor Name City Manager Department: City Manager Short Title: Supplement to External Auditing Services Agreement dated December 21, 2021 related to Request for Proposal (RFP No. 21-1115200). Staff Summary: An RFP for External Auditing Services was approved on December 21, 2021 through RFP No. 21-1115200 awarding the contract to Marcum, LLP. Additional service fees are being requested because additional supplemental work is modifying the time requirements related specifically to completing the September 30, 2020 audit. The additional fees being requested is in the amount of $9,200, to include additional time spent by the Audit Partner, Audit Manager, and Senior Auditor. Staff believes this is required to complete the September 30, 2020 audit. Financial Impact Account Description Available Project Remaining Balance 17-513312 Other Professional Services $43,715 $5,520 $38,195 61-513340 Other Contractual Services $110,150 $3,680 $106,470 Total $9,200 Proposed Action: Staff recommends the City Commission approve payment of additional audit fees of $9,200 to Marcum, LLP in conjunction with the completion of the Fiscal Year 2020 audit. Attachment: DocuSign Envelope ID: FBA7A4B1-6042-41 FD-8F25-366C1AA0A50A MARCUM ACCOUNTANTS • ADVISORS August 29, 2022 City of Opa-Locka Attn: Darvin E. Williams, JD, MBA, MPH, interim City Manager 780 Fisherman Street, 4th Floor Opa-Locka, FL 33054 Re: Supplement to External Auditing Services Agreement dated December 21st, 2021 related to Request for Proposals (RFP) 21-1115200 — Covering Audit Timeline and Due To/From Journal Entries This letter serves as an supplement (all previous terms of the External Auditing Services Agreement dated December 21, 2021 are still in effect) of Marcum Lt.P's ("Marcum," the "Firm," "we," "us" or "our") understanding of the services we are to provide to the City of Opa-locka, Florida (the "Organization," , "City" "you" or "your") for the year ending September 30, 2020. As noted in the External Auditing Services Agreement, if, during the contractual period, additional Services are needed, the Firm may, at the option of the City Manager, be engaged to perform these Services. Supplement Objectives This supplement modifies the "Time Requirements", specifically related to the September 30, 2020 audit period. It was noted in External Auditing Services Agreement, the City audit records were to be ready upon acceptance of the proposal and approval by the City Council. The External Auditing Services Agreement also stated "the audit report, in its final form and including the management letter, shall be completed no later than June 15, 2022". As of August 29, 2022, the City requires additional time to complete its audit records (e.g. financial statement draft) for the year ended September 30, 2020. Most recently, the City recorded and shared with Marcum several journal entries related to Due To/Due From Activity for the year ended September 30, 2020. As a result of these changes, the auditor/Marcum will be required to revise and update its audit binder to incorporate all changes in the Due To/From Account Balances. As a result of the above, changes to the timing of the engagement are required as per the City's request. Fees Marcum will be compensated in accordance with the schedule of fees established in the External Auditing Services Agreement. Discounted Level Hourly Rate Hours Fees Partner $ 320 16 $ 5,120 Manager 255 16 4,080 $ 9,200 MARCUMGROUP MEMBER Marcum UP • One Southeast Third Avenue • Suite 1100 ■ Miami, Florida 33131 • Phone 305.995.9600 • Fax 305.995.9601 • www.marcumllp.com DocuSign Envelope ID: FBA7A4B1-6042-41 FD-8F25-366C1AA0A50A City of Opa-locka, Florida August 29, 2022 Page 2 Agreement If you agree with the terms of our engagement, as described in this letter, please sign the enclosed PDF letter and return to us. We appreciate the opportunity to be of continued service to the City and believe this letter accurately summarizes the changes to the External Auditing Services Agreement referenced above. If you have any questions, please let us know. Very truly yours, Marcum LLP Moises D. Ariza, CPA, CGMA Partner MDA/th cc: Niema Walker, MPA, CGFO, Finance Director Gerri Lazarre, CPA, Finance Consultant ACCEPTED This letter correctly sets forth the,Agg;mcnt of the City of Opa-Iocka, Florida. Authorized Signature: �^' tia S c46C07c1E8UE492... Title: City Manager 9/23/2022 Date Signed: