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HomeMy Public PortalAboutORD13599 BILL NO. 2003-70 SPONSORED BY COUNCILMAN Angle ORDINANCE NO. / %' -5 V'112 AN ORDINANCE OF THE CITY OF JEFFERSON, MISSOURI, AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AN AGREEMENT WITH EVER S AND COMPANY FOR AUDITING SERVICES. WHEREAS, Evers and Company has been selected as the firm best qualified to provide professional auditing services; NOW, THEREFORE, BE IT ENACTED BY THE COUNCIL OF THE CITY OF JEFFERSON, MISSOURI, AS FOLLOWS: Section 1. Evers and Company is hereby approved as the best qualified firm to provide professional services and its proposal is hereby accepted. Section 2.The Mayor and City Clerk are hereby authorized to execute an agreement with Evers and Company for Auditing Services. Section 3. The agreement shall be substantially the same in form and content as that agreement attached hereto as Exhibit A. Section 4. This Ordinance shall be in full force and effect from and after the date of its passage and approval. Passed(,/' j' ✓%' ;;��;!' �1 _ Approved: Presiding Officer Mayor ArtTEST: `APPROVED AS TO FORM: �`I City Cl Lk City__ounselor i . q CITY 0Fr3'Li.FFiiRSON A1V1END/V1ENT 710 CO N'111AC7'I,'0ll A U!>IT SAX VICES WIRIAREAS, the City of Jefferson, klissouri, it nlunielpal eorporation, with offices at :120 Iatlst McCarty, Jefferson City,N1ISsom-1,65101,here.in lift erdcsif!'nnted"(1ty,"entered intozi(:,ontraet with P,'VerS&Company, CPA's,with offiees tit,.520 DIX Ruttd,.jefferson City, klissouri,65101, hereiiwifter re.frrred to as, "Auditor," on September d, :?003; and W11MIEAS, the Contract avtts for techrticnl 11nd professional servievs rolnlc'd 1111di(int of 1`111111X1111 records of the City; and WIMItHAS, boll{ Ittcrl.ies wish to extend the 11t;'ree llwill for the first of Iwo talditiun111 otle-year renewal periods its Stipulated in Pa rairmiph 17 of the agreement. ditted September-1, 2003: NOW, TI l:Iti:l'URi?,, lur it 11Rrced by (Ile pltriies (1111{ t1w nt'rec-111(.11{ is 11(.1-0).N renewed for the first of tite two addit ional one-year periods toc-nd Octoher :i1, 2200:1. IN TESTIMONY WHEREOF, tl'1c! 11111•tieS htive hereunto SO, thelt' h1111dS and SetllS thiS _ •- • day of September, 2004, CITY OF J1J','FFERS0N, MISSOURI EVERS & ('O 1MPANi', CPA'S City Clerk . _____ .___.�_____ City ^Jaun:;clor IIV'r,ldnrrl I ur+Pr6 auni,,l tl•n lr„r,rr*a u.uw•nlumm heH ut,epd CITY Ole' JEFFERSON AMENDMENT TO CONTRACT FOR AUDIT SERVICES WHEREAS,the City of'Jefferson, Missouri, It III till iClpa)Cm'p0l'l1ti0lI, with offices at,.120 East McCarty, Jefferson City, Missouri, 65101, hereinafter designated "City." entered into a Contract with Evers & Company, CPA's, with offices Pit; 520 Dix Itoad, Jefferson City, Missouri, 110101, hereinafter referred to as"Auditor," on September 4, 200:1, and amended on September 22, 2001, rind December 21, 2009; and WHEREAS, the Contract was for technical and professional services related auditing of financial records of the City; and WHERP'AS, both parties wish to extend 1,110 agreement: for t'lie second of two additional one-year renewal periods Its stipulated in Paragraph 17 of the ngreement dated September 9, 2003, and amended Seproniber _22, 2001, and Docomb .,r 2 1, 2001;; NOW, 'I'HIEREFORE, be it agreed by the parties that the agreement is hereby renewed for the final of the two additional one-year periods to end October 31, 2000'. �, pltrties have hereunto set; their Minds Itnd selals this j�� day of August, IN TESTIMONY VVHIJRIJOI' the 2005. CITY OF JEFFERSON, MISSOURI EVIi,'RS & COMPANY, CPA'S May -- 'Title: 16'4.e Y V"C ATI'1,s,: City Clerk Secretary Ac'Ptz n5 'r '�i�Ola>vl: City ounselor 11\('onlrnrl fllnx\P"dr.iunnl�rnur`rvrr..t r.i,mn.wbnrN:iNil•0 i apd CITY' 01" JAI+FER SON "ENDIM E4 NT TO CONTRACT FOR AUDIT SERVICES WHEREAS,the CityofJefferson, MisSow`i, tl n►unicjptlI cnrl►cll•mhon, with of'ficeh alt;{20 EastivlcCarty, Jefferson City, Missouri, ti5101, he?reinafter designa►tod "City," entered into n Contract with levers & Company, CPA's, with office; at. 520 Dix Itond, Jefl(!1.011 Cit.•', Mi4Souri, 05101, hereinafter referred to as "Auditor," on September d, 200:1, and amended September 22, 2004 ; mid WHEREAS, Lhe Contract•was For technic."d and professional services to perform tin audit of Highway 179 Corporation Debt Service Fund; and WHEREAS, both parties wish to attic{ at Specific t.tislc to the ,scope of Services with an appropriate addition to the compensation: NOW, THEREFORE,RE, Ile it agreed its Collows: A. Paragraph t of the Contrnet,tinted Saptenlbat• 1, 22, 2001, is hereby amended to read: 1. Scone of Services. The City agrees to ellgago Che s(•1•vicos of the Auditol•t.0 perforill the services ae described in die Audit, Proposal which is llt.I,alCllo(I h(?1'el,o as Exhibit. A and incorporated heroin. ill miditfon the services described in Exhibit A, the Auflitor shall perform fur audit of Highway 179 Corporation Debt. Service Fund. B. Paragrnpl► 6 of the? Contract(Int.ed ;eptenlher'1, 2003 and September 22, 2001, is hereby amended to read: G. Compcnstrtion. I•he City llg1•('(•s t•o pay Cho Auditor all nuol•dalice with 1-ho torills Sol. Forth in F.x11ibil.A, which,4111111 consliLute conlploto coin ponsat.ion for all sorvices to he ronderod undor this contract. The finatl tlalynlonl. will be subjocl to rocoipt ohl rmplisitiorl for im*villent 11nd li stallonlont. of services 1•ondered col-61,yulg that. I he Auditor 1'1111,• porlilrnlod 1111 work lobe pilid Cor in confilrnlanee with lho contract. II, is expressly undor•scood I11111 in no meld will the tolall conlpetlsil(ion and roinlburseml nf. 1'o be paid to the Audillu• under the forms of this corn-lict, oxem'd Iho dull of Two lit y-Throo 'thousand Six 1-I11luh•ed Sixl;y•Five Dol lit rs($2:3.660.00)Cor Lhe initial contract.k-rill'Two nl.y- i o11r'I'housandThreo IIundredSevont.y-Dive 1)ol lit rs($2'1,:375.00)f2n• dw lirsf renewal of 1ho ronl.ract, and T%vonty- ivo Thousand Ono I 111ndred Ton Dollars ($25,110.00) fial• the second ronewnl of the conlract., fin• all sorvices royuirod unloss specifically and mutually agrood to in writing by Ilol h Lhe City and t Ile Atidifor• No c hmige in conipea)silion shall be mado unloss Own- is a1 substantial and signilImlill dil'lvivilc , bot.woon Ow work originally rontonlpinted by this agreeulonl and Iho work actually re(luil-od, Paymc+nt for the services related to the audit ofllip'hwity 171)Corporation Debt. Ser•vive Fund shall not, exceed Three Thousand Three Hundred Thirtv-Three Dollars and Fifteen Ceats ($3,333.10) 11.`a'anlfnrl lhlp.11 Yulp.ahn+nl•,+•r�bv•`+•u•r+A rv•`mnreub+irru llHi I:!1 Npd in addition to any other mmm (Ne and owing for other services. IN TESTIMONY WHHREOF, the parties htivci hereunto Het their lhnnds and seals this dray of December, 2009.. CITY OF JEFFERSON, MISSOURI IWERS & COMPANY, CPA'S Mayor A'I"I'CS'1' Lki- City Clerk AP ' b;D �OltM City Counselor • L\Commo I'dv.\I'rofrwwaml5rnwrn\,,%rr.k rowmowndmi m I r 17!I npd 4 FINANCE DEPARTMENT PURCHASING DIVISION SUBJECT: Proliosal 2083 •• Audit Services Finance Department - Received ,luly 25, 2003 OFFERS Ycar (-)Ile Year Two Year Tlirce Total Evers & ('onrpany ( PA's. I,I.0 Jefferson ('ity. MO $23,665.00 $24,375.00 $25,110.00 $73,150.00 Will iams-Kecl)crs, I.1.(' Jefferson City. MO $31,000.00 $28,000.00 $29,000.00 $88,000.00 FISCAL NO` F: F1111ds will be requested in the 2003 -2004 budget based on the following breakdown: Finance $15,900.00; Grant [urrd $65.00; Parks and Recreation $2,900.00; Water Fund $10.00; Airport Fund $310.00; Parking Fund $570.00, 'Transit Fund $1,1 10.00 Wastewater Fund $2,280.00 and Sclf''Insurtunce Lund $370.00. 'Total expenses will be $23,665.00 for the first one year period. PAST P13RFORNIAN('1,': lavers & ('ompuny, ( PA'S LL(' has performed audit services for the City of.leTferson in the post. Staffhelieves the firm will perf'or•m the services as specified in the proposal. R13COMMI NDATION: The evaluation committee has reviewed the offers received turd recommends accepting the proposal as submitted by I.,vers & Company, C'PA's L,1..(' of.lcfferson City, MISSOUI•i. ATTA('I INIFNTI) SUPPORTING D()(A 1Ml?NTAT1ON Summary of'Proposal Costs. Staff Recommendation Signatur L� Puichusn��l; gent I"inancc Director MEMORANDUM To: Mayor I"Indwehl' City Council Mcillhers 171-011: St(,VC SCIlIlieter hinance Director Date: July :i►), 2003 Re: Proposal 2083 - Audit Proposals '['lie Request for Proposal Im Audit Services was advertised in the Jel'Ierson City News Tribune and posted on the Cily's Wch site on ,tune 25, 2003. The Full specifications were sent to twelve potcnliul I'll-ills with two local firms. Evers and Company, C'IWS, LI,C and Williams- Keepers L.I.C. returning responses. The evaluation conunittee, Phyllis Gilpin, 'ferry Stephenson, Robert Rennick, Melva Lust, Charles Lansford and mysell'rcviewcd each response based on the criteria and points listed in the specification. Criteria included prior audit experience, other services available, clualil►cr►t►ons of staff assigned to this audit, commitment to governmental accounting and auditing, the proposed audit approach and cost. Both lirms received nearly all evaluation points in the first live criteria areas and have lierlurnied audit services lilt the City in the past. The committee recognizes that un award to I-:very and Company, CPA's, I.L.0 niay result in a period ol'nine conseculive audits ifall renewals arc exercised. Alier careluIly considering the impact of Ilie time period. the committee Iccls that the lirm is well respected and professional in its approach and has produced dluality audits 101- the City. It is the rcconilncndation ol'the committee that the award he made to the lowest responsible offcror, Evers and Cornpuny ('PA's, LLC ol*.lcfli:rson City. Missouri in the amount ol'$23,605.00 fur the 2002-2003 audit. The proposal includes up to Iwo additional one year renewal options at Specific prices. Thd, total cost over three years will he $73.150.00, The award of the Fireman's ketlrenlent portioll oI tills proposal will he Iorwarded to that Board For their evaluation and separate award. o z i01 ji a' ro. Il�,m a.n+n'ro �''ca n'a'b: ;tu.3 5' m I °•' �,,� O,C/) C) Cn Cn!C/) Wi$i -�; c3' o.ml iro'? �o�0,m'0 ►`'i p ro �: c : <i Oi ig �, H H i cn to IC)1cf s°�i�l� o wl�" 13.i C »'� I 2 ^Z �. �.'If I , ,m� a;M :3 ':7 C �y 7 ��� N OS :Zl' � iNj�ro ro a„�;�n G7I (A �I .�'i �`°! �� =1 Ilnl 'c.: � Oi 'I$; a �!. 7„O I I (niQolyl`�fQoi�I IO� y I aiC�7l 4 0 ! IW CA p D' id I m (�i cb 9,, , yr d ,�, C)!,�'�It i0! :Rim f':', "IO -, �', 0 �1 I 0 I p A� 7 0' c K' � ro` �O F T"i �IpiiO°�pIG'j •I Ivi(�IO�mio'Z' �' Y';n) �I `(��'n) ��pp oO nIp lO. . ' (�D a;C, Ng�$; c"t iN� (O IONJ 1, tOi% :U 0 �- cr. 'wi i1 �!c+W m C C� �0 CAI ' cn;rn';ni'6)''. a roh O�O O , i 1 i .01 0 0° 0 1 CU i 01 ! CU I � j � 1 i i I(/►;V►It/SI/JSf I ^J�N�N N ` S�! �' ININ N, lW�Cl� A W. + 'OI DI ! 1 ( I 1 1 ICAIN!J '-4 1n IN� qtr.J•-41 Ml Vi OiU7jOO!(n; OiO Ch:UI r- I i ! 10,01010; 0101010{ n! N Cam' o+ c r' �(A'Vl'� fA1 I I I .Jlf/1;V11 •00,N.NI W' j I i , 1 101 WIW�Wi 00.(p'W._a. ' pp o Oi0! O,OiC3.O' lt t 01 0' Oita 0 0 1 G ' I n � 1 ! Imo+ X: CITE' OF JEFFERSON CONTRACT FOR AUDIT SERVICES THIS CONTRACT is made and entored into tho ! � day of . t...:1.''- /�, 2003, by and between the City of Jefferson, Missouri, a municipal corporation, hereinafter referred to as "City,"and Evers & Company, CPA'S, 11C, hereinafter refcnred to as"Auditor," WITNESSETH: WHEREAS, the City desires to engage the Auditor to render certain technical and professional services described in Exhibit A; and WHEREAS, the Auditor made certain represenlations cind statements to the City with respect to the provision of such services and tho City has accepted said proposal to enter into a contract with the Auditor for the performance of services by the Auditor. NOW,THEREFORE,for the considerations herein expressed, it is agreed by and between the City and the Auditor as follows; 1, Scope of Services.. The City agrees to engage the services of the Auditor to f�erfc.,rm the scrvices as described in the Audit Proposal which is attar..hc,,ct hoiolo us L.xhibit A and incorpo aced herein, 2. Additional Services. The City may add to Auditors sc:rvic ec, or ciclelo theme freer c.u.livities of a similar nature to those set forth in Exhibit A, provided that tho total cost of such work does not exceed the total cost allowance as specified in I—x.vo Trcaph 6 h(two±. Iha h,mJit0 t shall undertake such changed activities only upon the ditectiort of Ilse Cily. All such direct?ve and changes shall be in wtitten form and approved by the Finar)cc: cuua shall he cac-c.e pted sand countersictned by the Auditor or its crareed represenfolives. 3. Existing ting Data. All information, data anct reports as are exiS i1q, available ano nec_esscrry for the carrying out of the work shall be furnished to tlu::Au(-lilor wilhnul c:lu:ucle by the City,grad the City shall cooperate with the Audilor in every reaso!)ahI(_-.,wcry in c ortying otit the sc;of-_)e of services. The Auditor shall not be liable for the accuracy of the informcitioll furnishecl by lfu-', City, 4. Personnel to be Provided. Auditor represents that tho Auditor hn} nt will srrcure of its expense all petsonnel required to perform the services called for under IN!; conttacl i)y fhe Auditor. Such personnel shell not be employees of or have any contractual r(:lationship with the Cihl except os employees of the Auditor, All of the services reclo4ed herowider will bo performed by the Auditor or under the A:uditor's clirect supervision and all polsonnc�l r:nc�caited in ttte,✓✓or1:shall bc.fully quaiiiied and shall be authorized under state and local low to r)erfoim soch services, None of the wori< or services covered by this contract shall be sulv;conlracted excopl as provided in Exhibit A without the written approval of the Cily. z........... :n... 5. Notice to Proceed, The services of the Auditor shall commence as directed in the Nolice of Proceed and shall be undertaken and completed in accordance with the schedule contained in Exhibit A. 6. Comte nsatlon.. The City agrees to pay tho> Auditor in occoidanco witti tine terms set forth in Exhibit A,which shall constitute cor,iplete compenscalion for all services to be rendered under this contract, The final payment will be subject to receipt of n requisition for payment and a statement of services rendered certifying that the Auditor fully performed all work to be paid for in conformance with the contract. II is expressly understood that in no event will the total compensation and reimbursement to be paid to the Auditor under the terms of this contract exceed the sum of Twenty-Three Thousand Six 1-lundred Sixty-Five Dollars ($23,665,00) for the initial contract term, Twenty-Four Thousand'Three Hundred Seventy-Five (dollars ($24,375.00) for the first renewal of the contract,and Twenty-Fire Thousand One Fluncit d Ten Dollars($25,110.00) for the second renewal of the contract, for all services required unless specifically and mutually agreed to in writing by both the City and the Auditor, 11c., change in compensation shall be made unless there is a substantial and significant difference between the work originally contemplated by this agreement and the work actually required. 7. Failure to Perform, Cancellation. If, through any cause, the Auditor shall fail to fulfill in timely and proper manner its obligations under this contract,or if the Auditor shall violate any of the covenants,agreements,or stipulations of this contract,the City shall thereupon have the sigh'to terminate this contract by giving written notice to the Auditor of such termination and specifying the effective date thereof, at least five (5) days before the effective day of such tormination. Either party r-nay without cause terminate this contract upon 'thirty(30)days prior written notice-:,In either such event all finished or unfinished documents, data, studies, surveys, drawings, maps, rnodels, photographs, and reports or other materials prepared by the Auditor under this contract shall,of the option of the City, become its property, and the compensation for any satisfactory work completed on such documents and other materials shall be determined. Notwithstanding the,above,the Auditor shall not be relieved of liability to the City for don-t agos sustained by the City by virtue,of nny such breach of contract by the Auditor. 8. Assignment. The Auditor shall riot assign any interest in this controccl, and shall not transfer any interest in the same (whether by assignrnent or novation),without prior written consent of the City thereto. Any such assignrYrent Is expressly subject to all rights and rernedies of the City under this agreement, including the right to change or detelo activities from the contract or to terminate the same as provided herein, and no such assignment shall require the City to give any notice to any such assignee of any actions which the City may take urictei this agreement, though City will attempt to so notify any such assignee. 9. Confidential_ ity_ Any reports, data or similar information given to or prepaarod or assembled by the Auditor under this contract which the City requests to be kept cis conlidenlial shall not be made available to any individual or organization by the Auditor without prior written approval of the City. • II\�(.i11Y'1 fixil•I.,re.li.:r iY le.4 ,\n.N4Atti.t:,tfl.n: . ,.1:'1.1..1 - 2 - 10. Nondiscrimination. The Auditor agrees in the pwformcrncr,� of fhe contract not to discriminate on the grounds or because of race,creed,color, nnlic mal origin or ancestry,sex,religion,handicap,age or political affillation, against any ernployee of Auditor or applicant for employment and shall include a similar provision in all subcontrac h lof or awnided horeunder. 11. Independent.Contractor., The Auditor is an independon! conhac.lor and nolhing herein shall constitute or designa!e the Auditor or designate: the Auditor or ony of its oinployees as agents or er7)ployees of the City, 12. Benefits Not Available. the Auditor shall not be er-rtillod to err y of Me bew.c fits oslablished for the employees of the City nor be covered by fhe; Wo(kmor)'t, Pto(.fram of lyre: City. 13. Nonsolicitation. The Auditor warrants that rug hers not employed or telcrinecl any company or person, other than a bona fide emriloyee working solely fear fhe Audilor, to solicit or secure this Contract, and that it has not paid or agreed to poy carry compony or person, olher than a bona fide employee; working solely for the Auditor,any fee,r0rr1niission,peace Wags:,brokerage fee,gifts,or any other consideration, contingent upon or re:sultinct from the: award or rnoking of this Contract. For breach or violation of this warranty, then Oily shall have fhe right to annul this Contract without liability, or, in its discretion, to dc.cducl from fhe, Contract price or consideration, or otherwise recover the full amount of such fee,cornmi scion, percerrtac.--re,brokerage fee,gifts,or contingent fee, 14. Books and Records. The Auditor and all his subcontractors shall mointcain all ;looks, documents, papers, accounting records and other evidence pe:rtaininq 10 cos►s irrc.urfod in connection with this Contract, and shall make such malerials avails_h(e at their I live offices at all reasonable firnes during the Contract and for a period of three (3) years following c.ornplolion of tyre Contract. 15, Delays. The Auditor shall not be liable, for delay:,w"oltinq frorn causes L)eyond the reasonable control of the Auditor; the: Auditor I"ac r odu no warranties, exp!osscrci or implied, which are not expressly set forth in this Contact; and undo( r)o r.irc:un sIonces will they Auditor be liable for indirect or consequential dcamactes. 16. Notices. All notices required io be in writing nu:ry he diwnii by first elms mail addressed to file City of Jefferson, 320 East McCarty Sifoci, Jefterson City, Missc:nari, 6.`001, and Auditor at Evers & Company,CPA's,U.C,520 Dix Road,Jefferson C:ily,MO 65 109. 1 he dole of delivery of any notice shall be the second full deny after lhe: clay set ifs moilin(l. 17. Term. This contract shall be in affect from tlovonit,*n I, 2003, Through October 31„ 2004 for the audit of fiscal year ending October 31, 2003• With the consent of both parties,ties, the contract may be extended on an annual basis fear two (2) additional one (1) year pr�:riods for the audit of fiscal M <,. t.Ii.ttMS`•YiA41••.+t>'.\ ,rl.o..•lA. r 1'trr„n.. ,1..,, 3 years ending October 31, 2004 and October 31, 2005 at the prices quoted for the respective terms. IN WITNESS WHEREOF, the parties hereto have caused this Contract to be executed on the day and year first written. CITY OF 1 7 FERS N 0 EVERS 8, COMPANY, CPA'S, LLC Title: �ay�f& Aj,f E S T: ATTEST: /2 "1—) 110 City &erk Title: APPROVED AST FORM: City C e��selor A LQ\IMS-1-M-1 All W4 r.1 - 4 - t t % -i � 4Q.:1_:t,.:{.cyA�.i�rr h 4-..,i., V.,'v.�*ty. r ..l' r F,.�z: i,,;%11�. tf :F'.:+»:•�. .r r t• t � ' t y; a D.• 1' �t/' �.I,' �' � -� + + IS{, t1;. • � 'ri..`�.r�:'tn. t; t�?y.�+,i�,?art !��J>° .�A t^tt 1'`���'!✓,��.�Gt 'd t t��' t�Y 31r!f,{`rw;f,�tiz�•r. t. .,. ._ r.�.. t .r.. I .tit t TABLE OF CONTENTS PAGE:4 PROPOSAL SHEET SCOPE: AuditObjectives................................................................... 1 —2 Management Responsibilities.................................................... 2 Audit Procedures—General...................................................... 2 -3 Audit Procedures—Internal Controls........................................... 3 Audit Procedures—Compliance................................................. 4 Audit Administration, Fees, and Other......................................... 4-5 Timing of Events................................................................. 6 PROFILEOF THE FIRM................................................................ 7 -8 STAFF RESUMES & EXPERI ENCE-........................I........................ 9 - 12 GOVERNMENTAL EXPERIENCE.................................................... 13 - 14 ADDITIONAL PROFESSIONAL SI"3 RVICES........................................ 15 FIRM QUALITY CONTROL............................................................ 16 PROFESSIONAL ASSOCIAT IONS................................................... 17 CHE.CKLisT OF INFORMATION TO BE PRFIPAR.I`?D BY THE CITY OF JEFFERSON...................................................... 18 - 19 EVALUATION OF AUDIT PROPOSALS C RI T'EH1/1i 1. Prior auditing experience: A. Does the firm have appropriate, specific references of current government clients? 13 - 14 B. What is the finn's experience in municipal auditing'? 13 - 14 C. noes the firm provide a listing of representative clients in Missouri? 13 - 14 2. Other services available: A. Does the firm of7cr consulting Services in are;IS such as data processing, financial management systems, fixed assets Updates and GASI3 pronouncements? 8 & 15 D. Is the firm available flor year-round consultation'? 5 C. What emphasis did tile, firm give to the "letter of comments" or"management letter" regarding the City's operations and procedures? 3 3. Qualifications of staff to be assigned to the audit: A. What are the municipal auditing dualif ications fine the staff to be assigned to the audit? Has specific experience I)een indicated? 9 - 1 1 B. Does the firm provide its staff with continuing education in the governmental sector? 12 C. Does the firm comment on continuity of staff to be assigned to the City on future engagements? 9 l). What is the size of the firm or office? 7 ,'DER TO U 4. Comnlitnient to governmental accounting and auditing; A. Is the firm involved in governmental organizations/agencies such as the GFOA and Missouri Municipal Leaguer? CAFR participation'? 15 - 17 B. Did the firm demonstrate a knowledge cfand comniitilnent to generally accepted accounting principles as promulgated by The AICPA, G1-'OA, GASIV I & 12 C. Does the firm take part in seminars and training programs as Instructors/participants? 16 & 12 D. Did the firm indicate an appreciation for and knowledge of the City's needs? 1 - 4 5. Audit Approach; I. Is the audit approach specific and tailored to the City'? 1 -4 2. What is the f irnn's attitude toward assistance 1ronn City employees during ilne audit? I - 5 1410110Sr1 L SHEET Offeror must complete, sign and return this document witli his proposal inE'ormation. CITY Cost with City YEAR financial Statement and Printing 1. 2002 - 2003 $_ 23,665 2. 2003 - 2004 24,375 3. 2004 - 2005 $ 25,110 TOTAL I31D 'rHREI? YEARS $_ 73 150 FIREMAN'S RETIREMENT Cost with City YEAR Financial Statement and Printing 1. 2002 - 2003 $ 2,125 2. 2003 - 2004 $ 2,190 3, 2004 - 2005 $ 2,255 'I'OTAL BID THREE YEARS $ 6,570 Do you represent a disadvantaged business'? Y13S -_. NO X_ NAME OF COMPANY EVERS & COMPANY, CPA'S, L.L.C. AGEN"I' AND 'I'I'1LE DALE S1:EBENECK, CPA, PAR'TNI?R ADDRESS 520 DIX LOAD --JEFFERSON CITY, MO 65109 SIGNATURE OF E31DDE,R 9 Evers & Corripany, CI�'Xs, L.L.C. Certified Public AcCOUntants and Consultants Elinor L Evers Jeromo L. Kauffman Richard E. Elliott A.July 17, 2003 Dale KeilhtLbTaylor Lynn J. Graves Steve; SCI11Ucter, Director of F inance Jot. Moore City of Jefferson 320 1'l- McCarty Street .Jefferson City, MO 05101 We are pleased to confirm our understanding of the services we are to provide the City of Jefferson for the three years ended October 31, 2003, 2001 and 2005. We will audit the basic financial statements (under the new reporting model) of the City of Jefferson as of and for the years ended October 31, 2003, 2004 and 2005. Also, the document we submit to you will include the following additional information drat will he subjected to the auditing procedures applied in our audit of the basic financial statements: I. Schedule of expenditures of federal awards. SCOPE Audit Objectives The objective of our audit is the expression of an opinion as to whether your hasic financial statements are fairly presented, in all material respects, in Conformity with accounting principles generally accepted in the United States of America and to report on the fairness of the additional information referred to in the first paragraph when considered in relation to the basic financial .statements taken as a whole. The objective also includes reporting on-- * Internal control related to the financial statements and compliance with laws, regulations, and the provisions of contracts or grant agreements, noncompliance with which could have a material effect on the financial statements in accordance with Government Auditing Stcmdcirch. * Internal control related to major programs and an opinion (or disclaimer of opinion) on compliance with laws, regulations, ruin the provisions of contracts or grant agreements that could have a direct and material effect on each major program in accordance with the Single Audit Act Amendments of 1996 and OM13 Circular A-133, Audits of States, Local Governme tits, and Non- Profit Organizations. The reports on internal control and compliance will each include a statement that the report is intended For the information and use Of the audit committee, management, specific legislative or regulatory bodies, federal awarding agencies, and if applicable, pass-through entities. 1 520 Dix Road • Jefferson City,Missouri 65109 • 573/635.0227 • FAX 573/634.3764 Village Green Shopping Censer • 1021 'N. Buchanan Street,Ste. 10 • California,Missouri 65018 573/796.3210 • FAX 573/796.3452 4571 Hwy. 54, Suite A • Osage Beach,Missouri 65065 • 573/348.4141 FAX 573/348.0989 .l/rmlmr��AJ/iluthvl U//trrx lPurlrluvrlr ( our audit will he conducted in accordance with mrdililir 'itandalds t,encrally accepted in the United States ol'America; the standar(b. I'or financial audits Contained in issued by the Comptroller General of' the t Inited Siatcs; the Single ;audit Act Anlcridments of 19(>6; and the provisions of OM13 Circular A-133, and will inchitle tests OI• accounting records, a determination of major• program(s) in accordance with Circular A-133, and Other procedures we consider necessary to enable its to express such (tn opinion and to render the required reports. 11' our opinion on the basic matcmcnt, or the Single Audit compliance opinion is other than unqualified, we will fully discuss the reasons with you in advance. I1, for any reason, we are unable to complete the audit or are unable to furls or have not formed an opinioll, we may decline to express an opinion or to issue a report as a result of this cligagentettt. ManaLement Responsibilides Management is responsible For establishing and maintaining; internal control and for compliance with the provisions ol,contracts, agreements, and grants. In I'►rflllling this responsibility, estimates and judgments by management are required to assess the expected benefits and related costs of the controls. The objectives of internal control are to provide manap,cment with reasonable, but not absolute, assurance that a:;,etS al'C safeguarded agalll,t lo„ flolll lUlalllll(11'1'zed Ilse or disposition, that transactions are executed In accordance with management's authorizations and recorded properly to permit the preparation of basic linancial statements in accordance with generally accepted accounting principlesi, and that federal award programs are managed in compliance with applicahle laws and regulations and the provisions of contracts arld grant agreements. Management is responsible for imiking, Al linancial records and related ill tilrnultloll available to us. We undel•.;tand that ;all will provi(fu us With 'Arch infornultn(n rc(Iuircd 1'01' our audit and that you arc respollsihle Col. the accuracy and completeness ol'that ini'M-motion. We will advise you about appropriate accounting principles and their application and will assist in the prc11:11-mion of'your linancial statements, including the schedule of' expenditures of federal awards, but the responsibility for the linancial statements remains with you. That responsibility incllldcs the cstal lisluuent and maintenance of' adequate records and el'lcctive internal control over tin;uluial reporting and compliance, the selection and application of accounting principles, and the salcytiardhig of ati sets. Addidonally, as re(ILlked by OMB Circular A-133, it is management's responsibility to I61Iuw up and take, corrective action on reported au(lit findings and to prepare a summary schedule of priol audit findings and a corrective action plan. The summary schedule of prior audit findings should he available fir our review on the (late fieldwork begins. Audit Procedures—General An audit includes examining, on a test basis, evidcnc(: suppOrting the vnnuntS and di,Clo,rll•e, in file financial statements; therefore, our au(lit will involve judg;nlcut about the mailer of transactions to be examined and the areas to he tested. We will plan and per•101-in the audit to ohtain reasonable rather than ahsofute ilssuranuc about whether the financial statements are free of material rnisstatennent, whether caused by error or lraird. As required by the Single Audit Act Amendments of 1906 and OM13 Circular A-1:33, our audit will include test oftranswtions related to major federal award programs for compliance with applicable laws and regulations and the provisions of contracts and grunt agreements. Because of the concept of reasonable assurance and because we will not perform a (detailed examination of all transactions, there 1, it risk that a material en-ors, Iratld, other Illegal acts, or noncompliance may exist and not he detected by us. In addition, an audit is not designed to detect errors, fraud, or other illegal acts that are immaterial to the basic financial statements or to major programs. I lowever, we will inform you of any material errors and any fraud that comes to our attention. We will also inform you of any other illegal acts that conic to o►►r•attention, unless clearly inconsequential. We will include such natters in file reports required for a Single Audit. (7ur responsihility as audit(+rs is: limited to the period covered by our . audit and does not exlerld to matters that alight arise during any Inter periods Cllr which we are not engages) as auditors. Our procedures will include tests of documentary evidence supporting, the transactions recorded in the accounts, atld nluty include tests of the physical existencc of inventories, and direct cuafirillation of receivables and certain other assets and liabilities by correspondence with selected individuals, creditors, and f Inancial institutions. We will request written representations from your attorneys as part of they engrlgement, and they play bill you For responding to this inquiry. At the conclusion of our audit, we will also require certain written representations from you about the financial statemcnts and related matters, Andit Procedures--Internal Controls In planning and performing our audit, we will Consider the internal control sufficient to plan the audit in order to determine the nature, tinting, and extent ol'our auditing procedures fin•the purpose ofexpressing our opinions on the City of Jefferson's basic: financial statemcnts and on its compliance with requirements applicable to major programs. We will obtain an understanding of the design of the relevant controls and whccher they have been placed is operation, and we will assess control risk. Tests ol'controls may he perlo need to test the effectiveness of certain controls that Nve consider relevant to preventing and detecting errors and fraud that are material to the general purpose financial statements and to preventing and detecting misstatements resulting from illegal acts and other nrn►compliance matters that have a direct and material effect oil the basic financial statements. 'Pests of controls relative to the basic financial statements are required only if control risk is assessed below the maximum level. Our tests, if' perlornled, will be less in scope than would be necessary to render an opinion on internal control arid. accordingly, no opinion will be expressed in our report on internal control issued pursuant to (;ovrwrni('1N.•Illdilhlr,S'lonclra•cA. As required by ON113 Circular A-13.3, we will perform tests ol'controls to evaluate the effectiveness of the design and operation of controls that we consider relevant to preventing, or detecting material noncompliance with compliance requirements. applicable to each major federal award program. However, our tests will be less in scope than would he necessary to reneger all opinion on those controls and, accordingly, no opinion will be expressed in our report on internal control issued pursuant to OM13 Circular A-133. An audit is not designed to provide assurance on internal control or to identify reportable conditions. However, we will inform the governing body or audit committee of any platters involving internal control and its operation that we consider to be reportable conditions under standards established by the American Institute,of Certified Public Accountants. Reportable conditions involve platters coming to our attention relating to significant deficiencies ill the design ot. operation of the internal control that, in our judgment, could adversely affect the entity's ability to record, process, summarize, and report financial data consistent with the assertions of management ill the general purpose fillallclal s aterm,[Its. We will also inform you of any nonrcportable conditions or other matters involving internal control, if any, as required by OMB Circular A-133. Our expertise in governmental accounting; will allow us to hell) the City of.lefl'erson improve their operations and procedures. Throughout (lie audit process, it' we identify areas needing; improvement, we will malts those suggestions to management. 3 Audit I'rucc(lures—Con►Llia�rer Our nuditnudit will he conducted i►1 accordance with the standards relcrred to ill file section titled Audit Objectives. As part of, obtaining re;lsonable assurance about whether rile general purpose Imanc.ial statements are free of material misstatement, we will perlorm tests,of the City of Jefferson's compliance with applicable laws and regulations and the provisions of contracts and agreements, including grant agreements, However, the objective of those procedures will not be to provide an opinion on overall compliance and we will not express such all opinion in our report on compliance issued pursuant to (;n(erurrreut Arrclilirr��,S'turrclurcle. OM13 Circular A-133 requires that we also plan and perform the audit to obtain reasonable assurance about whether the auditee has complied with applicable laws and regulations and the provisions of contracts and grant agreements srpplicable to major programs. Our procedures will consist of' the applicable procedures described in the OMB Circular A-133 Compliance Supplcnlenl. The purpose of those procedures will be to express an opinion on the City of Fulton's compliance with requirements applicable to major programs in our report on compliance issued pursuant WOMB Circular—A-133. Audit_Administration, lees, and Othei- We understand that your cmployees will prepare all rash, accounts receivable, or other confirmations vve request and will locate any invoices selected by us liar testing. At the conclusion of the engagement, it is management's responsibility to submit the reporting package (including financial statcments, schcchrle of'expenditure.; of Icdcral awards, summary schedule of'prior audit lin(lings, auditors' reports, and a corrective action phut) along with the Data C(dlectiort Form to the designated federal clearinghouse and, if appropriate, to pass-through entities. The Data Collection Dorm and the reporting package must be submitted within the earlier of'30 clays after receipt of' the auditors' reports or nine months alter the end of'tile audit period, artless a longer period is af.',reccl to in advance by the cognizant or oversight agency for audits. The workpapers for this engagement are the property of Evers & Company, CPA's, L.L.C. and constitute coil fidential inf'ormation. however, we may be requested to make certain workpapers available to a Cognizant or Grantor Agency pursuant to authority given to it by law or regulation. If'requested, access to such workrapers will be provided under the supervision of Evers & Company, C'PA's. Furthermore, upon request, we may provide photocopies of selected workpapers to the Cognizant or Grantor Agency. The Cognizant or Grantor Agency may intend, or decide, to distribute the pholocopies or information contained therein to others, including other governmental agencies. The workpapers for this engagement will be retained lilt• a nunnnum of three years alter the (late the auditors' report is issued or for any additional period requested by the Cognizant Agency, Oversight Agency tier Audit, or Pass-through Entity. 11'we arc aware that a federal awarding agency, pass-through entity, or auditee is contesting an audit finding, we will contact the party(ies) contesting the audit finding tier guidance prior to destroying the workpapers. We try to base our Ices for audits on hours incurred, at our norm tl hourly rates. Assuming the checklist of year-end accounting work which we will provide alter the contract is awarded is completed, and barring any unforeseen problems; such as fraud or embezzlement, our Ices lilt services will be as follows: Please refer to your "Proposal Sheet" at the beginning of this proposal for prices. 4 [('tile City provides all necessary infilrmation relating to financial statements and disclosures, in the process of implementing OASB 34 and other current pronouncements, there will be no additional charge. If we provide assistance to c('fcct the implementation, our Iccs will be based on 110rrrla1 hourly rates for time incurred. The billing rates tier our staff will be as follows. 2003 2004 2005 Audit Partner $125 $125 $130 Audit Manager $90 — 105 $90 — 105 $95 -110 Audit StafT $65 - 85 $65 -- 85 $70- 90 Clerical Staff $50 $50 $55 Our invoices for these fees will be rendered cash month as work progresses and are payable on presentation. The above Ices are leased on anticipated cooperation front your personnel and the assumption that unexpected circumstances will not be encountered daring the audit. II' significant additional time is necessary, we will discuss it with you and arrive at a new fee estimate before we incur the additional costs. Service charges at the rate of 18% annually or 1.50% per nlclnth will be applied to all past-due balances. 1f we Wlect to terminate our services for nonpayment, you will be obligated to compensate us for all time expanded through the date of termination. Our firm policy on year-round consultation is: 1. (`or phone call discussions, we slake our professional staffavailable, as you have needs, fir up to 30 minutes a month or six (6) hours a year at no charge. If the calls extend longer than 30 minutes, there probably will be a charge, at our standard hourly rates. 2. For meeting with the client., there usually will be Ct charge. Audit Hourly Approximate Professional Rate Hours Total Dale Sicbeneck __.. $125 31 $ 3,875 Lynn Graves 125 2 250 Jo Moore 125 115 14,375 Steven Thompson 110 27 2,970 Cathy Schulte 80 40 3,200 Krystal Sabartinelli 70 29 2,030 Chastity Nichols 70 32 2,240 28,940 Discount (5,275) 5 Timing, of Events A pre-audit conference will be held with the City's staff and mysell', at a mutually convenient time, after this agreement is signed. 'l'he audit is expected to begin on or about January 15, 2004. We will deliver all reports listed in the R.equcst for Proposal no later than April 1, 2004 to the Director of Finance, A post-audit cot►ference will be l►eld with the Director of finance to review the financial statements, compliance reports and a draft of the report of comments and recommendations no later than March 15, 2004. We will present copies of the reports and a general explanation to the Mayor and City Council in April. We appreciate the opportunity to be of service to the City of .iefferson and believe this letter accurately stimmari'Les the significant terms of our engagement. if you have any questions, please; let us know. If you agree with the terms of our engagement as described in this letter, please sign the enclosed copy rind return it to us. Very truly yours, EVLRS LK,. COMPANY, (TA's, I...1..(.'. v DALE A. SlEIBEN1;CK, CPA Audit Partner "mis letter correctly sets Forth the understamling of the City of Jefferson. 13y:._ 'Title: Uate: 6 PROFILE OF THE FIRM f'vers and Company began business in 1974 and through steady growth has bcconle a well-known and respected firm in Central Missouri. Our concepts of service are: A professional service can only be acquired from someone who is eahrlble of rendering that service; the; successful performance of the service depends on an understanding of the client's business; a professional relationship includes an obligation to raise questions and suggestions; and a proi'essiona.l service inciudes both promptness and thoroughness in responding to requests from the client. Our expertise in political subdivisions and the auditing experience ofour partners and professional staff dualities us to serve as your accountants and auditors. 011r pllilosoplly of service rcduires a close understanding of'your business, and an involvement on a regular basis with your management in order to maintain an awareness of your financial and accounting ohjectives, goals and needs; to assist in developing plans to obtain such go=als; and to monitor progress fir developments which may aff'Ct planning and year-end budgeting, 'flee size of Fivers and Company is important to clients for two reasons. First, the firm is small enough so that our professional staff call maintain an intimate knowledge ot'a client's business and needs. Second, the ilr-nl is large enoUgll to Inive specialists mailable in the various disciplines of the prulcssion which include, accounting, auditing, income taxes, management co11st11ting services, and data processing services. 11'he audit work will be performed from our Jefferson City office. At the resent time the personnel of the Jefferson City office is tts follows: Partners 7 Professional Stuff 16 Uuta Processing Support I Petra-Professional Staff' 6 Office Support Staff 6 36 All professional personnel are periodically evaluated for technical competence and are tested as to potential leadership qualities and aptitude. 'Training is accomplished through outside professional development programs and internal training programs. On the job training is enhanced by the active participation of partners in the planning, review and "problem-solving" phases of our work. The recruiting and retention of lop-flight staff personnel is made easier by the knowledge that our staff will be working on a direct interrelationship basis with our partners. 7 PROFILE OF THE FtRM (Crnt'd.) The partners of Evers and Company have both the technical background and the practical business experience required to understand and contribute to client decisions in It consulting capacity. The counsel our clients receive comes from the partners' educational and business backgrounds, Supplemented by our experience with a wide spectrum of clients ill an almost infinite variety of industries and types of businesses. Our staff strives to keep involved and stay current on the various issues facing the municipalities in our state. Several of Our stalT are members of the Missouri Municipal League and work closely with that organization to provide current information to the municipalities in Missouri. We attempt at all times to render a duality service for a lair (ce. [fat any tinnc you have a question concerning our services or fees, please call it to our attention so that we can discuss it. Our goal is to handle fees on an equitable basis, and in an open manner which will result in our mutual agreement. We appreciate the opportunity to submit this proposal to you. 'There are many matters which cannot be adequately covered in writiirg, and we would be pleas; i to have the opportunity to respond to your questions. We believe that we are well qualified to serve as your accountant and auditor. If your work is entrusted to us, it will receive our close and continued attention. The expertise of Evers and Company, CPA's in serving; municipalities and other governmental organizations will provide (lie City of Jefferson with auditors who have a high degree of technical experience. Dale Siebenecic, Audit Partner, served as the Interim Finance Director for the City of Jefferson in 1995. • 9 STAFF RESUMES & EXPERIENCE Once an audit tcant is assigned, we do not t otatc sts►ff. We plan on using; the ti:unc tc:ttn of auditors front year to year. DALE A. SiEBENECK, CPA, CGFM - Audit Partner Dale A. Siebeneck is till audit partner in the Jel'fer:son Cily office of Evers and Company. Dale joined the firm in 1977 and has a total of twenty-six years public accounting experience. ile holds a Bachelor of Science dq,ree with a major in accounting Irons Lincoln University. Unle is a member of the Missouri Society of Certified Public Accountants, the American institute of Certified Public Accountants, the Missouri Society of Association FAccutives, the Missouri Municipal League, Downlown Rotary Club of Jefterscm City and has been designaled a Certified Government Financial Manager. Ile served as the Interim Finance Director for the City of Jefferson and has served the community on numerous boards and various positions. In addition, lie has also parlicipated in marncrous training courses, speaking entagements and has written articles published by various industry trade associations. i)ale specializes in the audits of construction companies and their special tax treatment, governmental accounting alld auditing, not-tier-pro I'll audits and their related tax reporting and management advisory services. Other areas OrinchasUv concentration are as hollows: Audit of'credit unions, automobile dealers, medical, oil jobbers, corporate tax and business evaluations, commercial rental enterprises and construction material suppliers. `similar Expedence: City ol'A.uxvasse. City of('aalifornin. City of.)cflerson, City of Waynesville, (_'sty of Ncw Bloomfield, 61 y ol'.ICI'Ierson LYNN ,I. GRAVES, CPA, CGFM - Audit Partner Lynn (;raves is an audit partner in the Jefferson City oflicc of L:ver:s and Company. Lynn joined tine firm in 19Ko and has over twenty-five years public, corporate and governmental aICCOL111611LY,,exparicncc. He holds a Bachelor of i LISiness Administration degree from Baylor University in Waco, Texas. Lynn is a member of the Missouri Society of Certified Public Accomitants, the American Institute of C'ertilied Public Accountants, the Missouri Society of Association Executives and the Association of Government Accountants and has been designated Certified Government Financial Manager by the AGA, He is a well- known public speaker in the Central Missouri area regarding current tax and accounting issues. Lynn currently specializes in the audits of political subdivisions and not-iiir-profit organisations with special emphasis on the Single Audit Act Amendments of 1996 and its application to federal grants. He was a featured speaker at the 1993 winter meeting ol'the Association of I aaninvorker Opportunity Programs. He has extensive experience in accounting, auditing and federal income lax matters with special emphasis in real estate. Immediately prior to joining the firm, he was a semi-senior auditor under former Missouri State Auditor, James Antonio, former fixecutive Director of the Governmental Accounting Standards Board. Prior to that he served as the comptroller liar a closely held conglomerate ol'broadcasling and advertising companies. Similar Experience: City c►f* Holts Stallrlait, City ul' .Icl•fel-Son. (.'it , of Lake Ozark, Cola Count { } y (milmissioll cJ *7rF!'1IT RESUMES & 14APER'ENCE (C'orlt'd.) .10 L. MOORE, CPA - Audit P.>trta>tcr Jo Moore is an audit partner in the .lcfferson City office of I'very and Company. She joiner.) Illy firm ill 1991 and has eleven years public accountint experience. She holds a Bachelor of Science degree ti•o►li Park College in Parkville, Missouri. Jo is a member ol'the Missouri Society of Ccatified Public Accountants, (fie American Institute of Certified Public Accountants and the Missouri Society of Association l;xecutives. She has been an active rllember of the .lef{crson City I3reak1ilst Rotary Club since 1993, serving on the hoard front 1995 to 1.003, served as President for the 2001-2002 kolary year and serving as District 6080 Secretary lur fire 2002.2003 Rotary ye,r. In addition, She has also participated ill various training courses and speaking engagements. Jo currently specializes in the audits of polifieal subdivisions and not-fi)r•-profit organi•rrition audits rind their related tax reporting. Jo also has extensive knowledge in insurance and clailus processing. Immediately prior to joining the firer, she was employed as Claims Manager fur a Third Party Administrator handling insurance programs fur several sclf-insored }:romps. Similar h;xperience: City of,Calil'onlia. City of City of Ode;asa, City 01' Wmyrlesvill(:, Cole Cotnity C'011111lis5iou. C.'annlcn ('purity CM STEVEN C. THOMPSON CPA -- Audit Manage Steven Thompson is an audit manager in the Jefferson City of ice of Evers and Company. I-ie joined the limn in May of 1998. Ile Obtained I Bachelor of Science degree in administrative management and a Bachelor of Science degree in accounting from the University of Missouri - Columbia. Since.joining the fire►, Steve has primarily been etagaged in aridity of governmental entities, for-prolit companies and insurance Companies. Ilk experience includes supervising engagements, preparation ol'corporate told not.. for-profit income tax returns and preparation of regulatory statements filed with slate department of insurance. Prior to joining; the Finn Steve obtained three years numagement experience in the communications industry and live years accounting experience in the construction and real estate industries. Steve is currently an accountimE; instructor anti fnent(,r at William Woods (lniversity. He teaches courses ill managerial, government 111111 Ili)t401•-pl-Ofit 11CCO111lting to undergraUlnate and graduate Students and is a mentor 101' ICCOLiliting 111culty. Steve is a member of the American Instittte of Certified Public Accountants. Ile is an active member of River City Habitat for I lumanity,serving;on the Board since 2000. Similar Experience: City of'Califc)rnia, City 01'.1e1'lcrsorl, (.'ity of Odessa, City of Waynesville, City of Osage Bench, Cole County (.'onlmission, Canulcn County('ontlllission 10 S'rAFIi RESUMES & EXPERIENCE (Cont'd.) CAIMY SCHUL"ICE, CPA - Audit Supervisor Cathy is an audit supervisor in the Jefferson City office of fivers amd Company. She has a Bachelor of Science degree in accountancy from Southwest Missouri State University. Cathy joined the firm in November of 1997 till(] has five years public accounting experience. I ler major areas of concentration with the f"11111 are alidits of' not-for-profit orgimizatlons and state and local governments and preparation of corporate and not-fir-profit tax returns. Cathy is a member of'the American Institute of Certified I'rrblic Accountants. Similar t+.xperienee: City of California, City of Jefferson, City of Waynesville; Cole County Commission KRYSTAL SABARTINELLI — Staff Accomitant Krystal is a stafT accountant in the Jefferson City office of f;vcrs & Company, CPA's. She joined the firm in .lunc of 2001. Krystal graduated from Lincoln t,iniversity in May of 2001 with Summa Curn Laude honors and as Co-Valedictorian of her graefuating class. Krystal currently holds a Bachelor of Science degree in Accounting and plans to continue her education in order to earn her Mastcr of Business Administration with tin emphasis in Accounting. Upon completion of her MBA, she plans to work towards obtaining her CPA certificate. Similar Experience: City of Auxvasse, City of'California, City of'Grain Valley, City of.lefferson, City of Odessa, City cif' Osage Beach, City of New Bloomfield, City of Waynesville, Camden County Commission, Cole County Commission CHASTIrrY NICHOLS— Staff Accountant Chastity Nichols is a staff accountant in our auditing department. She recently graduated from Lincoln University in May 2002 with a Bachelor of Science degree in Accountancy. Chastity joined Evers & Company in 1999 on a part-time basis and since graduation has become a fill-time staff member. She plans to continue her education and work towards her CPA. Similar Experience: City of California, City of'.leffcrson, City of Crain Valley, City of Odessa, City of'New Bloomfield, Camden County Commission, Cole County Commissiuyn 11 t S'TA.FF RESUMM.ES & EXPERIENCE (Contd.) Governmental Related CPI, Hours This is an up-to-date listing of the number of hours for cacti staff member over the last three years towards their Governmental Relating Continuing Education; Government Partner/Professional Related Hours Dale Sicbeneek 46 Lynn Graves 64 Jo Moore 71 Steven Thompson 142 Cathy Schulte 45 Krystal Salmrtinelli 21 Chastity Nichols 21 12 0 G®VERI`dM EN"rAL EXPERIENCE Our firm has performed many auditing,;, accounting and management services for other municipalities. Listed below are sonic ot'these municipalities which we have served; CLIENT NAME * City of Jeflcrson Steve Schlueter (573) 634-6303 Director of,Finalice Services Performcd: Audit and Consulting * Cole County Commission Jim Lc1'age (573) 634-9122 County Auditor ' Services Performed: Audit * Camden County Commission Orhie Wallace (573) 346-4440 Presiding Commissioner Services Performed: Audit and Accounting City ofl-folts Summit Cheryl FIctchcr (573) 896-5600 City Clerk Services Performed: Audit and Accounting City of Lake 0mrk Doris l lolt (573) 365-5378 (:'ity (:'Ierk Services Performed: Audit City of Odessa Wade Sanders (816) 520-5577 Administrator Services Performed: Audit City of Waynesville Tom Tinsley (573) 774-6171 Administrator Services Performed: Audit toad Con:mlting 13 GOVERNMENTAL EXPERIENCE (Cont'd.) CLIENT NAME CONTACT City of Branson Dewina Schlegel (417) 337-8538 Director of Finance Services Performed: Consulting City of Auxvasse Lisa Brandenburg (573) 386-2227 City Clerk Services Performed: Audit City of New Bloomfield Rosemary Augustine (573)491-3614 Mayor Services Performed: Audit City of Grain Valley Jill Shato ® (816) 229-6275 Finance Director ® Services Performed: Audit * [lave received the GFOA's Certificate of Achievement for Excellence in Financial Reporting. 14 ADDITIONAL PROFESSIONAI, SERVICES Our firm also has the following set-vices to offer * Help in Interviewing and Selecting New I?mployecs to Work in the Accounting Function (testing and interviewing) * Financial Advisory Services (investments asset ma iiagement) * Fixed Asset Management and Capital Budgeting * Tax Planning Advisory Services fior retiring, ctniployees * General Ledger Accounting System - C'otnputeri%ed * Consulting and Problem Solving Services on 'Topics 5pecif tcally Related to Not-for- Prolit and Governmental Agencies I)nder the Requirements ol'the Single Audit Act * Data Processing Consulting Services in the (allowing areas: - Assistance with preparing the Comprehensive A►mual financial Report application I'or the GFOA Certificate of Conll3rmance - Strategic long-range planning, tactical (project) planning, requirements definition, analysis, design, dcvelopmcnt, and implernentation of information systems - Technical support of*customer accounts; regularly providing consulting assistance to clients concerning PC hardware and software support, as well as system dcvelopmcnt methodology tools and lcchniclucs; - Presenting and training clients on the subjects of l'C' sullwure and system development using CASK, tools * Litigation Support Services: Providing support in public hearings and natters of'litigation * Offer the Services of a Certified fraud l,xamincr, trained in the detection of(i-aud and deficiencies in the internal control structure * Cateteria& Retirement Plan administration * Agreed Upon Procedures to determine if a specific area of the City is operating as designed (example: credit cards issue(.l) 15 FIRM QUALITY C O R Oi , In all cl'tilrt to maintain tile: highest possible standards of eluality control, our firm promotes continuing professional education programs and seminars. Our professional staff attends Collferellm" and seminars dealing with new auditing standards its they are introduced, find participates in refresher courses to maintain an active, updated knowledge of'the standards required by out. industry. We have weekly in-house professional education Sessions to introduce our entire firm members to arty infilrrnation learned ill outside seminars. We submit to a quarterly governmental update video service and otn• staff intends governmental updates presented by the. Missouri Society ol,C:ertified Puh1iC Accountrults rend file ;American Institute of Certifies) Public Accountants. In addition, a member ofour staffteaches Governmental Accounting, at William Woods CollCge. Our audit department in particular, lollows a strict program of continuing professional education that involves seminars to keen us knowlcdgeai)lc in the latest changes in governmental audit standru•sls and the single auclil act. Our 111-111 co►Mducts a yearly Internal Inspection. Selected numbers of'our li►•rtl review the audit told accounting procedures that we use on a day-to-clay hasis to llCtC1'Illine if wc- adhere to the standards set liu'th by our profession. I"Vers and C'olnpany also undcrgocs a voluntal'y pCCI' review at least once every three yeas. The review is conducted by a committee of outside accounta►ltS. organircd by the Accountants Global Network International. The peer review involves an inspection of various accol.rnting anti auditing records selected by the peer review committee. Thcse records and our procedures are reviewed to determine ifour firm has c:onlplied with the standards sett ibrth by our profession and those set forth by the audited industries regulatint;age►lcics. The peer review is a voltultary action that is strongly encouraged by the AIC'PA and the AGN. It is a requires) procedure fin any firm wishing to 1- a member of the Private Companies Practice Section. Many rcg,t►lating agencies require peer r views tier Ill111S who audit entities receiving Federal Funds. Our elTort to promote continued education for our professional employees, along with Our fil•m's dedication to the highest standards of' quality control, combine to provide your City with the professional Advice that they need, to insure tllrlt they follow the regulations set up specifically Ilor their organizational type. A copy of our most recent poet- review is attached to the bacl{ of'this proposal. 16 PROFESSIONAL ASSOCIA'r1(. NS 'flic members oh our firm have been active with the Missouri Society of Certified Public Accountants. fluor Evers has served on the Society Board of directors for a three-year term, and has served on the Central Chapter of Missouri Society of C'PA's Board of Directors f6r live years, serving as an officer each year. As rt result of his outspoken insistence that the profession uphold high professional standards, he was appointed to the Missouri State Boars) of Accountancy by Governor Kit Bond. This appointment was approved by the Senate March 29, 1982. Mr. Evers has served as the President of*that Board. Mr. 1?.vers. Graves and Sicbeneck are members of the Association of Government Accountants. Mr. f vers is also a member of the Institute: of Internal Auditors, ansl is a Ccrtilied fraud INaminer, certified by the Association ol'Certilied Fraud kxaminers. The firm is a member of the Missouri Municipid I.cai;uc and the (iovcrnntcnt finance Officers Association, All Certified Public Acc011ntanlS in the firm arc also members ofthe American Institute of Certified Public Accomwints and our firm is a member o1' the AICI'A Private Company Practice Section. We are also a member of the Accountants Global Network International which handles our lit'!]I's peer-review program. A copy of our peer review report is attached. 17 r C11F.CKLIST OIL INFORMATION .'O 131? PREPARED !;Y TIII? CI'T'Y OF ,IEFFEIZS0N In order for us to be more efficient in the auclit of the City of Jefferson lily the year elided October 31, 20113, we ask that your staff complete the lollowimg information prior to our beginning; fieldwork, each year. I lave the general ledger posted and h►llanc(.d lily the entire year. Prepare a trial balance worksheet reflecting. halances ;alter year-end m justing entries have been posted. Prepare reconciliations for each hank account, lOr the Last month ol'the year. PI'epare 111 aged schedule ofaccounts receivable: Airport _.... _... Parking; authority Sewer - -~ 1.?nlployecs Miscellaneous Grants We will filrnish accounts ►'cceivable confirmations to he filled in and signed. Prep.ire a schedule of had CIChtS writtcrl 011'(10611141 the year. Prepare a schedule of notes rceeivable. Also, have the flutes available fill* our inspection. _ 4* Prepare a schedule of insurance showim," the tilllowillg: Policy number, coverage, tcrill, and — _ JWC111a11111 paid, Also, tlavc the policies available. till* our ialspcetioll. Prepare Coll IInnatioll lettCrS to Curltlrlll Vc)Clr'CitV'S arcourlt I'MiMICes. (WC will provide sample letters) --__-. Prepare a Schcdulc of11na1icipa) hondS on hand. I lave available the municipal court records Ior the entire year. Prepare a schedule 0i'all property and equipment on halal; any additions and retirements showing; cost", and fill' items sold, sales price. Show Ihesc items by fund, departnlerlt and grant. Prepare ,I schcdulc ofrlepreciation tier the cntcrprise lilnds. Prepare an analysis ofall transactions affecting marketable Securities durint; the period. _.._---- I I,Ive availublc the nuonlllly reports showing, the payments to the I'M H.KS pension plan. I lave it Copy of ,Illy llllioll CmIllilc;ts availallic 1() IIS. --..__.. Prepare a schedule of interest income as (illlow:�; federal government obligation's Missouri Statement municipal obligations Other interest income _.__.._ Prepare a schedule, of note;; payable showing; dates, payee. original balance, audit date bal,lllc;e;{, ,1I11mult of pCriodic installment, fate of ltlterest, and describe seCl11'ity. I lave ,l Copy of al l leases f(lr off ice space and equipment rental contracts available to us. Ix a l lavc a copy orally employment contracts with staff available to us. Have all payroll tax reports available to us. Prepare it schedule of all professional ices paid. Have copies o17 tile rllimit.cS of tile Council and committee meetings available for our inspection. Prepare a sclledulc of prepaid insurance and accrued insurance. Prepare it sclledulc of all Cotlstrtiction-in-litof,ress, contracts payable, and retainage payable - grant projects or other projects. Prepare a► schedule of all grants receivable, grant money received during the year, and have the Support documents available Ibr inspection. 1 lave a copy ofgrant contracts available I'or us. Have available a copy of the budget report compared with cash receipts and disbursements, for the General Fund and Special Revenue fiends. Prepare property tax worksheet for current and prior years for real estate, personal and MM, property tax receivables, and current year collection and delinquent balances. Proof of tax levy, Including adjustments and abatements. Prepare schedule ol'allowance for micollcetiblc taxes For current and prior years (delinquent) Have the various receivable items completed: financial institution lax 'Y Sales tax ^` Gas tax Motor vehicle sales tax Tux liens Franchise lees Accrued interest receivable Others l lave a schedule prepared for prepaid expcn:CS and insurance. _ l lave the various payable items completed: Accrued payroll -- Contracts payable Retainage payable Various payroll withholding accounts VariouS "DUC To" arnf "DUe frorll" other finds Revenues received in advance--- Parking Authority fund Prepare a Schcdtile of Encumbrances by I1t►nd. Prepare a SChcilUle ofC011StRICteon ill progress by f iti d. Have inventory Count sheets after pricing, available (or us on the appropriate proprietary liinds. * Your insurance agent may prepare this for you. We will provide a>+ copy of ai, letter you might send to them. I�) r Accountants Global Network November 22, 200 2 To the Partners of l?vers & Company, C'PA's, I.IC and rile SI?C' I'r;tCtice Section fleet• Review Committee We have reviewed file system of duality control Cor the accounting and auditing practice of' fivers & Company, CPA's, I,L,C (the firm) in effect For the year ended Arrg;ust 11, 2002. A system of duality Control encompasses the firm's organisational structure and the policies adopted and procedures established to provide it with reasonable assurance of Complying; with professional standards. The Clements of duality control are described in the Statements on (duality Control Standards issued by the American Institute of Certified Public Accountants (tile AR'I'A). The design of the system, and compliance with it, ire the responsihilitics of'the lirnt, hn addition, the firm has agreed to comply with the membership requirements of the Sli(' Practice Section of the AICPA Division for ('PA Firms (tile Section). Uur responsihility is to CxprCSS an opuuon on tine design of tine system, and the firm's compliance with that system and the Sect ion's mCrnhcrship rcgttircntcnts based on our rCVicw. Our review was Conducted in accordance with standards established by the Peel- Review ( 'ontttttttee of tltc Section anti Included procedures to plan and perli�rnt ►hc I-C%,Cw that ;JIV sulnnI;IHZCd in the attached description of the peer review process. ()Ur rcvicw would not necessarily disclose all weaknesses in the system of duality control or all instances of lack of compliance with it or with the membership reduir•ennCnts ol'lhc Section since it was basal on sclCCtrvr tests. Because there cure inherent limitations in the effectiveness of any system cif duality control, departures Irons the system may occur and not be detected. Also, projection of any ev,►luation of,► systcnt ol'duality control to future periods is Subject to the risk that the system of c:fuality control may become inadcduate because of changes in conditions, or that they degrcc of Compliance with the policies or prrmitires may deteriorate. In our opinion, the system of quality control for the accounting and auditing, practice of Elvers & Company, CPA's, L,I.0 in effect for the year ended August 11, 2002, has been designed to meet the requirements of the quality control standards For lit accounting and auditing practice established by the AK 11A, and was complied with during; the year then ended to provide the firm with reasonable assurance of complying with professional standards. Also, in our opinion, the firm ConnphCd eluting that year with the membership requirements of the Section in all material respCCts. As is customary in a peer review, we have isslrcd a 1C1tCr under this elate that sets fOrth comments relating to certain policies and procedures or compliance with them. The matters descrihcd in the letter were riot considered to be ol'suflicient significance to aticct Ilic opinion expressed in this report. richer( A. StalvLiy,,(;l'A 4D 'foam Captain Nowni An HOCA 2851 South Parker I(oad,Suite 850•Aunna,l;()HWH Phone:(303)743.7880• Fax:(30 9 741-7(99) http://wiviv,al;n.urp