HomeMy Public PortalAboutORD15572 BILL NO. 2016-51
SPONSOR: Councilman Prather
ORDINANCE NO. / 5-5—i oZ
AN ORDINANCE OF THE CITY OF JEFFERSON, MISSOURI, AUTHORIZING THE
MAYOR AND CITY CLERK TO EXECUTE A $41,615.00 AGREEMENT WITH EVERS
AND COMPANY, LLC, FOR AUDIT SERVICES FOR THE 2015-2016 FISCAL YEAR.
WHEREAS, Evers and Company, LLC, has become the apparent lowest and best offer
for audit services.
NOW, THEREFORE, BE IT ENACTED BY THE COUNCIL OF THE CITY OF
JEFFERSON, MISSOURI, AS FOLLOWS:
Section 1. The offer of Evers & Company, CPA's, LLC, is declared to be the
lowest and best offer and is hereby accepted.
Section 2. The Mayor and City Clerk are hereby authorized to execute an
agreement with Evers & Company, CPA's, LLC, for audit services.
Section 3. The agreement shall be substantially the same in form and content as
the 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 P/ j 2-.074, APPROVED K.� . Lf �/( -
eam,ce: ----(kor,„ . arm,:
ievii,.
Presiding Officer Mayor Carrie Tergin
A • .ST-: T Alp,
AP' �'OVED A TO FORM:
/.4.4,_---_- (-7 /1444-v
/
• y Cler ` , �- Inte im City Counselor
1 s
FINANCE DEPARTMENT
PURCHASING DIVISION
SUBJECT: Proposal P2859—Audit Services
Finance Department, Received July 21, 2016
RECOMMENDATION:
Staff recommends award of a contract to Evers and Company, Certified Public Accountants, LLC
of Jefferson City,Missouri in the amount of$41,615.00 for audit services for the period
November 1,2016 through October 31, 2017. This request is for the audit of City records for the
2015-2016 fiscal year. The proposal carries up to two additional one year renewal periods at the
rates specified for each year if the City chooses to renew. All firms were evaluated based on the
factors listed in the RFP with Evers and Company receiving the highest total number of
evaluation points.
PROPOSALS RECEIVED Year"One Five Year Total
Nichols, Stopp &Van Hoy, Creve Coeur, MO $38,500.00 $115,500.00
Hochschild,Bloom &Co., Chesterfield, MO $40,000.00 $123,000.00
Cochran,I-lead,Vick& Co.,Kansas City, MO $40,000.00 $123,635.00
Evers& Company, LLC,Jefferson City, MO $41,615.00 $128,625.00
Three firms responded with no proposal. Ten additional firms were contacted but did not respond.
The RFP was published in News Tribune and posted to the City web site.
FISCAL NOTE:
Funds were requested in the 2016-17 budget in various accounts in'the total amount of
$48,884.00.
PAST PERFORMANCE:
Evers and Company, Certified Public Accountants, LLC has performed audit services as
requested and proposed for a number of years. Staff believes that the firm will continue to
perform in the same manner.
ATTACHMENTS - SUPPORTING DOCUMENTATION
71kSignature724,j; /,� , / '
Pun4g tit/ Finance Director
CITY OF JEFFERSON
MEMORANDUM
Date: August 29, 2016
From: Margie Mueller, Director of Finance and ITS\
To: Mayor, City Council, and City Administrator
Subject: RFP 2859—Audit Services
For a number of years,the City has requested proposals from interested firms to
establish contracts for audit services. RFP 2859 was sent to17 auditing firms, published in the
News Tribune and posted on the City website. Four responses were received.
The four members of the evaluation committee were: Margie Mueller, Director of
Finance and ITS, Shiela Pearre, Chief Accountant, Cara Sankey, Senior Accountant and Terry
Stephenson, Purchasing Agent. The committee reviewed the four responses based on the
criteria and available points as stated in the RFP specifications. The composite of scores is
attached.
It is the recommendation of the evaluation committee to award to the best offer as
received from Evers and Company, CPA's, LLC of Jefferson City, Missouri in the amount of
$41,615.00 for year one for the City portion of the request. The first year of the agreement will
be for audit services for fiscal year 2015-2016. The agreement carries up to two renewal
options at the prices stated for year two and year three of the agreement if the City chooses to
renew.
Federal funding clauses require that each responding firm be sent notification of a
recommendation for award with a protest period. The notification was sent on August 29, 2016
with a protest deadline of 2:00 pm on September 19, 2016.
11Page
City of Jefferson Average of Evaluation
Jefferson City,Missouri Committee
EVALUATION REPORT
> a;
cti 0.1
O
RFP: 2859 Q. o 2 •. N a
e if
Subject: Audit Services s °q
rnU d x - UV a
Dept: Finance u, ,-, c� s ` 4 a
> � 0. it °'
zx 0 xQ U OQ WU "
Criteria
Prior Auditing Experience 10 5.00 6.00 10.00 7.00
Other Services Available 5 2.00 2.00 2.00 5.00
Qualifications Of Staff Assigned To Audit 10 4.00 4.00 4.00 9.00
Commitment To Gov.Accounting And Auditing 15 5.00 5.00 7.00 14.00
Audit Approach 10 3.00 3.00 3.00 7.00
Fees 50 50.00 46.95 46.71 44.90
Three Year Cost City Services Only $115,500.00 $123,000.00 $123,635.00* $128,625.00
Total Points 100 69.00 66.95 72.71 86.90
Formula for Determining Cost Points: Low Proposal
Proposal = x points assigned to cost=cost points
'$2,000 extra for each Major Program above two.City has potentially four Major Programs,therefore could be$4,000 more per year that would increase the three year cost to$135,635.
I hereby attest that the points awarded to each bidder listed above were scored in accordance with the established evaluation criteria and represent my best judgment of the bid. As
indicated by the highest total score,my selection of the bid which offers the lowest and best bid to the City of Jefferson is:
Signature ate 'Ji 'it f Division
Title JV'cch,v .I Phone (a311--4g1.3 Dept '1-1l)44t� t rrs
City of Jefferson,Missouri
Tabulation of Proposals
Proposal Number: 2859
Date: July 21,2016
Department: Finance Nichols, Stopp&Van Hoy Hochschild, Bloom &Co Cochran, Head,Vick&Co. Evers&Company
Subject: Audit Services Creve Coeur MO Chesterfield, MO Kansas City MO Jefferson City MO
PAGE 1
ITEM Cost w/Ci Pre•aration Cost w/Ci Pre•aration Cost w/Ci Pre•aration Cost w/Ci Pre•aration
&Printing of Comprehensive & Printing of Comprehensive &Printing of Comprehensive &Printing of Comprehensive
Annual Financial Report Annual Financial Report Annual Financial Report Annual Financial Report
City of Jefferson
2015-2016 $38,500.00 $40,000.00 $40,000.00 $41,615.00
2016-2017 $38,500.00 $41,000.00 $41,200.00 $42,860.00
2017-2018 $38,500.00 $42,000.00 $42,435.00 $44,150.00
Total Cost Three Years $115,500.00 $123,000.00 $123,635.00 $128,625.00
Cost w/Ci Pre•aration Cost w/Ci Pre•aration Cost w/Ci Pre•aration Cost w/Ci Pre•aration
& Printing of Comprehensive &Printing of Comprehensive &Printing of Comprehensive &Printing of Comprehensive
Annual Financial Report Annual Financial Report Annual Financial Report Annual Financial Report
Fireman's Retirement
2015-2016 $6,000.00 $4,000.00 $3,100.00 $3,700.00
Final $6,000.00 $4,000.00 $3,195.00 $3,815.00
Total Cost $12,000.00 $8,000.00 $6,295.00 $7,515.00
Audit Partner $190.00 Partner $180.00 Partner $190.00 Partner $150.00
Manager $130.00 Manager $140.00-$95.00 Manager $135.00 Manager $140.00
Staff $90.00 Staff Acct. $90.00-$60.00 Senior $110.00 Staff Acct. $93.00
Staff _ $90.00 Staff Acct. $85.00
_ Staff Acct. $80.00
Staff Acct. $80.00
DBE Participation NO NO Yes 10% NO
Tabulation of Proposals
Proposal Number: 2859
Date: July 21,2016
Department: Finance Rubin Brown, LLP Williams Keepers LLC KPMG LLP
Subject: Audit Services Overland Park, KS Jefferson City MO Kansas City, KS
PAGE 2
ITEM RESPONDED WITH RESPONDED WITH RESPONDED WITH
NO PROPOSAL NO PROPOSAL NO PROPOSAL
City of Jefferson
2015-2016
2016-2017
2017-2018
Total Cost Three Years
Fireman's Retirement The following were sent
RFP's with NO RESPONSE:
2015-2016 Gerding, Korte&Chitwood,Jefferson City, MO
Final Ernst Young, St. Louis MO
_ McGladrey&Pullen, Kansas City, MO
_Total Cost Barbara A Dubois, St Loius, MO
Stacey A Hammond,Topeka, KS
Early Wilson, St Louis, MO
R.I.S.C. Consultants LLC, St Louis, MO
Mathhew D Cash, Springfield, MO
Compass Consulting,Tulsa, OK
Kevin Smith, Kansas City, MO
CITY OF JEFFERSON
CONTRACT FOR AUDIT SERVICES
THIS CONTRACT is made and entered into the /12 day of Pa% , 2016, by and between the City
ofJefferson, Missouri, a municipal corporation, hereinafter referred to as "City," and Evers & Company, CPA's
LLC, hereinafter referred 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 representations and statements to the City with respect to the provision
of such services and the 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 perform the services as described in the Audit Proposal which is
attached hereto as Exhibit A and adhering to the FTA requirements as stipulated in Exhibit B and incorporated herein.
2. Additional Services.
The City may add to Auditor's services or delete therefrom activities of a similar nature to those set forth in Exhibit
A, provided that the total cost of such work does not exceed the total cost allowance as specified in paragraph 6
hereof. The Auditor shall undertake such changed activities only upon the direction of the City. All such directives
and changes shall be in written form and approved by the Finance Director and shall be accepted and
countersigned by the Auditor or its agreed representatives.
3. Existing Data.
All information, data and reports as are existing, available and necessary for the carrying out of the work shall be
furnished to the Auditor without charge by the City, and the City shall cooperate with the Auditor in every
reasonable way in carrying out the scope of services. The Auditor shall not be liable for the accuracy of the
information furnished by the City.
4. Personnel to be Provided.
Auditor represents that the Auditor has or will secure at its expense all personnel required to perform the services
called for under this contract by the Auditor. Such personnel shall not be employees of or have any contractual
relationship with the City except as employees of the Auditor. All of the services required hereunder will be
performed by the Auditor or under the Auditor's direct supervision and all personnel engaged in the work shall be
fully qualified and shall be authorized under state and local law to perform such services. None of the work or
services covered by this contract shall be subcontracted except as provided in Exhibit A without the written
approval of the City.
5. Notice to Proceed.
The services of the Auditor shall commence as directed in the Notice of Proceed and shall be undertaken and
completed in accordance with the schedule contained in Exhibit A.
6. Compensation.
The City agrees to pay the Auditor in accordance with the terms set forth in Exhibit A, which shall constitute
complete compensation for all services to be rendered under this contract. The final payment will be subject to
receipt of a 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. It 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
Forty -One Thousand Six Hundred Fifteen Dollars ($41,615.00) for the initial contract term, Forty -Two Thousand
Eight Hundred Sixty Dollars ($42,860.00) for the first renewal of the contract, and Forty -Four Thousand One
Hundred Fifty Dollars ($44,150.00) 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. No 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 right 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
termination. The Auditor may 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, models,
photographs, and reports or other materials prepared by the Auditor under this contract shall, at 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 damages sustained by the City by virtue of any such breach of contract by the Auditor.
8. Assignment.
The Auditor shall not assign any interest in this contract, and shall not transfer any interest in the same (whether
by assignment or novation), without prior written consent of the City thereto. Any such assignment is expressly
subject to all rights and remedies of the City under this agreement, including the right to change or delete 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 under this agreement, though City will
attempt to so notify any such assignee.
9. Confidentiality.
Any reports, data or similar information given to or prepared or assembled by the Auditor under this contract
which the City requests to be kept as confidential shall not be made available to any individual or organization by
the Auditor without prior written approval of the City.
10. Nondiscrimination.
The Auditor agrees in the performance of the contract not to discriminate on the grounds or because of race, creed,
color, national origin or ancestry, sex, religion, handicap, age or political affiliation, against any employee of
Auditor or applicant for employment and shall include a similar provision in all subcontracts let or awarded
hereunder.
11. Independent Contractor.
The Auditor is an independent contractor and nothing herein shall constitute or designate the Auditor or designate
the Auditor or any of its employees as agents or employees of the City.
12. Benefits Not Available.
The Auditor shall not be entitled to any of the benefits established for the employees of the City nor be covered by
the Workmen's Compensation Program of the City.
13. Nonsolicitation.
The Auditor warrants that he has not employed or retained any company or person, other than a bona fide
employee working solely for the Auditor, to solicit or secure this Contract, and that he has not paid or agreed to
pay any company or person, other than a bona fide employee working solely for the Auditor, any fee, commission,
percentage, brokerage fee, gifts, or any other consideration, contingent upon or resulting from the award or making
of this Contract. For breach or violation of this warranty, the City shall have the right to annul this Contract
without liability, or, in its discretion, to deduct from the Contract price or consideration, or otherwise recover the
full amount of such fee, commission, percentage, brokerage fee, gifts, or contingent fee.
14. Books and Records.
The Auditor and all his subcontractors shall maintain all books, documents, papers, accounting records and other
evidence pertaining to costs incurred in connection with this Contract, and shall make such materials available
2
at their respective offices at all reasonable times during the Contract and for a period of three (3) years following
completion of the Contract.
15. Delays.
The Auditor shall not be liable for delays resulting from causes beyond the reasonable control of the Auditor; the
Auditor has made no warranties, expressed or implied, which are not expressly set forth in this Contract; and
under no circumstances will the Auditor be liable for indirect or consequential damages.
16. Term.
This contract shall be in effect from November 1, 2016, through October 31, 2017 , for the audit of fiscal year ending
October 31, 2016. With the consent of both parties, the contract may be extended on an annual basis for two (2)
additional one (1) year periods for the audit of fiscal years ending October 31, 2018 and October 31, 2019 at the
prices quoted for the respective terms.
17. Illegal Immigration.
Prior to commencement of the work:
a. Auditor shall, by sworn affidavit and provision of documentation, affirm its enrollment and participation in a federal work
authorization program with respect to the employees working in connection with the contracted services.
b. Auditor shall sign an affidavit affirming that it does not knowingly employ any person who is an unauthorized alien in
connection with the contracted services.
c. If auditor is a sole proprietorship, partnership, or limited partnership, contractor shall provide proof of citizenship or lawful
presence of the owner prior to issuance of the Notice to Proceed.
18. Notices.
All notices required to be in writing may be given by first class mail addressed to the City of Jefferson, 320 East
McCarty Street, Jefferson City, Missouri, 65101, and Auditor at Evers & Company, Certified Public Accountants,
L.L.C., 520 Dix Road, Jefferson City, Missouri, 65109. The date of delivery of any notice shall be the second full
day after the day of its mailing.
IN WITNESS WHEREOF, the parties hereto have caused this Contract to be executed on the day and year
first written.
CITY OF JEFFERSON EVERS & COMPANY
Certified Public Accountants, L.L.C.
Mayor
ATTEST:
City Clerk
APPROVED AS TO FO
Interimty Counselor
-3-
Tie: t�i4RTYi E4
ATTEST:
r1'itle:4e/miite-
EXHIBIT A
CITY OF
JEFFE/MN
Jefferson City, Missouri
FOR THE THREE YEA r ENDS
OCTOBER 31, 2016, 2017 AND 2018
Presented By:
EVERS & COMPANY
Certified Public Accountants, L.L.C.
520 Dix Road
Jefferson City, Missouri 65109
Contact:
Jo Moore, CPA
Audit Partner
(573) 635-0227
TABLE OF CONTENTS
PAGE #
EVALUATION OF AUDIT PROPOSALS CRITERIA
PROPOSAL SHEET (Pricing)
SCOPE 1 2
Audit Objectives 2 - 3
Audit Procedures — General 3 - 4
Audit Procedures — Internal Controls 4
Audit Procedures — Compliance 5
Management Responsibilities 5. - 7
Audit Administration, Fees, and Other 7 - 10
PROFILE OF THE FIRM 11 12
STAFF RESUMES & EXPERIENCE 13 - 15
GOVERNMENT RELATED CPE HOURS 16
GOVERNMENTAL EXPERIENCE 17
ADDITIONAL PROFESSIONAL SERVICES 18
FIRM QUALITY CONTROL 19
PROFESSIONAL ASSOCIATIONS 20
CHECKLIST OF INFORMATION TO BE PREPARED
BY THE CITY OF JEFFERSON 21— 22
EVALUATION OF AUDIT PROPOSALS
CRITERIA
1. Prior auditing experience:
A. Does the firm have appropriate, specific references of
current government clients?
B. What isthe firm's experience in municipal auditing?
C. Does the firm provide a listing of representative clients in
Missouri?
2. Other services available:
REFER TO
PAGE(S)
17
17
17
A. Does the firm offer consulting services in areas such as data
processing, financial management systems, fixed assets
updates and GASB pronouncements? 18
B. Is the firm available for year-round consultation? 9
C. What emphasis did the firm give to the "letter of comments"
or "management letter" regarding the City's operations and
procedures?
3. Qualifications of staff to be assigned to the audit:
A. What are the municipal auditing qualifications for the staff to
be assigned to the audit? Has specific experience been indicated?
B. Does the firm provide its staff with continuing education in the
governmental sector?
C. Does the firm comment on continuity of staff to be assigned to
the City on future engagements?
D. What is the size of the firm or office?
E. What % of audit team is lower level staff or trainees
4
11-15
16
16
11
9&16
4. Commitment to governmental accounting and auditing:
A. Is the firm involved in governmental organizations/agencies
such as the GFOA and Missouri Municipal League?
CAFR participation?
B. Did the firm demonstrate a knowledge of and commitment to
generally accepted accounting principles as promulgated by
The AICPA, GFOA, GASB?
C. Does the firm take part in seminars and training programs as
Instructors/participants?
REFER TO
PAGE(S)
12 & 17 -20
16-18&20
12& 16
D. Did the firm indicate an appreciation for and knowledge of the
City's needs? 1-10, 12 &16
5. Audit Approach:
1. Is the audit approach specific and tailored to the City?
2. What is the firm's attitude toward assistance from City
employees during the audit?
1-10
2-7
Proposal Response
Offeror must complete, sign and return this document with his proposal information.
CITY OF JEFFERSON
Cost with City Preparation & Printing of
YEAR Comprehensive Annual Financial Report
1.2015-2016 $ 41,615
. 2.2016-2017 $ 42,860
3.2017-2018 $ 44,150
TOTAL COST THREE YEARS $ 128,625
FIREMAN'S RETIREMENT
Cost with City Preparation & Printing of
YEAR Comprehensive Annual Financial Report
1.2015-2016 $ 3,700
2. Final $3,815
TOTAL COST $ 7,515
Do you represent a disadvantaged business enterprise? YES NO X
Do you represent a woman owned business enterprise? YES NO X
NAME OF COMPANY: Evers and Company, CPA's, LLC
AGENT AND TITLE: Jo L. Moore, Partner
ADDRESS: 520 Dix Road
Jefferson City, MO 65109
TELEPHONE: 573-635-0227
BIDDER SIGNATURE
Form of Business: Sole Proprietorship Partnership Corporation X Limited Liability Corporation
NOTICE TO BIDDERS
Section 285.525-285.550 RSMo Effective January 1, 2009
Effective January 1, 2009 and pursuant to RSMO 285.530 (1), No business entity or employer shall
knowingly employ, hire for employment, or continue to employ an unauthorized alien to perform
work within the state of Missouri.
As a condition for the award of any contract or grant in excess of five thousand dollars by the state
or by any political subdivision of the state to a business entity, or for any business entity receiving a
state administered or subsidized tax credit, tax abatement, or loan from the state, the business entity
shall, by sworn affidavit and provision of documentation, affirm its enrollment and participation in
a federal work authorization program with respect to the employees working in connection with the
contracted services. Every _such business entity shall sign an affidavit affirming that it does not
knowingly employ any person who is an unauthorized alien in connection with the contracted
services. [RSMO 285.530 (2)]
An employer. may enroll and participate in a federal work authorization program and shall verify the
employment eligibility of every employee in the employer's hire whose employment commences
after the employer enrolls in a federal work authorization program. The employer shall retain a copy
• of the dated- verification report received from the federal government. Any business entity that
participates in such program• shall have an affirmative defense that such business entity has not
violated subsection.1 of this section. [RSMO 285.530 (4)]
For vendors that are not already enrolled and participating in a federal work. authorization program,
E -Verify_ is an example of this type of program. Information regarding E -Verify is available at
http://www.dhs.gov/xprevprot/programs/gc 1185221678150.shtm.
Affidavit of Compliance with Section 285.525-285.550 RSMo.
For All Agreements in Excess of $5,000.00
Effective January 1, 2009
State of Missouri
County of . Cole
) ss
Before me, the undersigned Notary Public, in and for the County of Cole
State of . Missouri,
, personally appeared
Jo L. Moore, CPA, Evers & Company CPA's, LLC
(name), name of company), (a corporation), (a partnership), (a sole proprietorship), a limited liability.company)
and is authorized to make this affidavit, and being duly sworn upon oath deposes and says as follows:
(1) • that said company is enrolled in and participates in a federal work authorization
program with respect to the employees working in connection with the contracted services; and
(2) that said company does not knowingly employ any person who is an unauthorized alien
in connection with the contracted services.
The terms used in this affidavit shall have the meaning set forth in Section 285.500 RSMo., et seq.
Documentation of participation in,a federal work authorization program is attached to this affidavit.
Subscribed and sworn to before me this
My commission expires:
•
Signaturep ,.L i4Z7
(.
Name Jo L. Moore
-h
day of
i� VoL
. li (_e.
Notary Public
TONYA M. VANDERSLICE
Notary Public - Notary. Seal
State of Missouri. Callaway County
Commission # 16343085
My Commission Expires Jan 11, 2020
EVeriFy
Company ID Number: 236637
4Mo sa,• %JR/
VLRI►Y IS A SERVICE Of 0K5
Information Required for the E -Verify Program
Information relating to your Company:
Company Name: Evers and Company CPAs LLC
Company Facility Address: 520 Dix Road
Company Alternate
Address:
Jefferson City, MO 65109
County or Parish: COLE
Employer Identification
Number: 431121359
North American Industry
Classification Systems
Code: 541
Parent Company:
Number of Employees: 20 to 99
Number of Sites Verified
for: 1
Are you verifying for more than 1 site? If yes, please provide the number of sites verified for in
each State:
• MISSOURI 1 site(s)
Page 12 of 131E -Verify MOU for EmployerlRevision Date 10/29/08
EVeriFy
Company ID Number: 236637
11111111 •
E -VERIFY IS A SERVICE OF ONE
To be accepted as a participant in E -Verify, you should only sign the Employer's Section
of the signature page. If you have any questions, contact E -Verify at 888-464-4218.
Employer Evers and Company CPAs LLC
Jo Moore
Name (Please Type or Print) Title
Electronically Signed 08/10/2009
Signature
Department of Homeland Security — Verification Division
USCIS Verification Division
Date
Name (Please Type or Print) Title
Electronically Signed 08/10/2009
Signature Date
Page 11 of 131E -Verify MOU for Employer1Revision Date 10/29/08
18 Evers & an Comp y,CPA's,L.L.C.
Certified Public Accountants and Consultants
July 20, 2016
Margie Mueller, Director of Finance
City of Jefferson
320 E. McCarty Street
Jefferson City, MO 65101
Elmer L. Evers
Richard E. Elliott
Dale A. Siebeneck
Jo L. Moore
Wendy M. Renner
Eldon H. Becker, Jr.
Bruce A. Vanderveld
Jessica L. Bridges
Jerome L. Kauffman, Emeritus
Keith L. Taylor, Emeritus
SCOPE
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, 2016, 2017 and 2018..We will audit the
financial statements of the governmental activities, the business -type activities, the aggregate
discretely presented component units, each major fund, and the aggregate remaining . fund
information, including the related notes to the financial statements, which collectively comprise
the basic financial statements, of the City of Jefferson as of and for the years ended October 31,
2016, 2017 and 2018. Accounting standards generally accepted in the United States of America
provide for certain required supplementary information (RSI), such as management's discussion
and analysis (MD&A), to supplement City of Jefferson's basic financial statements. Such
information, although not a part of the basic financial statements, is required by the
Governmental Accounting Standards Board who considers it to be an essential part of financial
reporting for placing the basic financial statements in an appropriate operational, economic, or
historical context. As part of our engagement, we will apply certain limited procedures to City
of Jefferson's RSI in accordance with auditing standards generally accepted in the United States
of America. These limited procedures will consist of inquiries of management regarding the
methods of preparing the information and comparing the information for consistency with
management's responses to our inquiries, the basic financial statements, and other knowledge we
obtained during our audit of the basic financial statements. We will not express an opinion or
provide any assurance on the information because the limited procedures do not provide us with
sufficient evidence to express an opinion or provide any assurance. The following RSI is
required by generally accepted accounting principles and will be subjected to certain limited
procedures, but will not be audited:
1. Management's Discussion and Analysis.
2. Pension Plan Related Schedules.
3. Budgetary Comparison Schedules.
1
520 Dix Road, Suite A • Jefferson City, Missouri 65109 • 573/635-0227 • FAX 573/634-3764
Village Green Shopping Center • 1021 W. Buchanan Street, Ste. 10 • California, Missouri 65018 • 573/796-3210 • FAX 573/796-3452
5886 Osage Beach Parkway, Ste. A • Osage Beach, Missouri 65065 • 573/348-4141 • FAX 573/348-0989
Member
Affiliated Offices Worldwide
We have also been engaged to report on supplementary information other than RSI that
accompanies City of Jefferson's financial statements. We will subject the following
supplementary information to the auditing procedures applied in our audit of the financial
statements and certain additional procedures, including comparing and reconciling such
information directly to the underlying accounting and other records used to prepare the fmancial
statements or to the financial statements themselves, and other additional procedures in
accordance with auditing standards generally accepted in the United States of America and we
will provide an opinion on it in relation to the financial statements as a whole:
1. Schedule of Expenditures of Federal Awards.
2. Combining Non -Major Governmental Fund Financial Statement
3. Internal Service Fund/Agency Fund Financial Statements
4. Capital Assets used in Operation of Governmental Funds Statements
The following other information accompanying the financial statements will not be subjected to
the auditing procedures applied in our audit of the fmancial statements, and our auditor's report
will not provide an opinion or any assurance on that other information.
1. Introductory Section
2. Statistical Section
Audit Objectives
The objective of our audit is the expression of opinions as to whether your basic financial
statements are fairly presented, in all material respects, in conformity with U.S. generally
accepted accounting principles and to report on the fairness of the supplementary information
referred to in the second paragraph when considered in relation to the financial statements as a
whole. The objective also includes reporting on—
• Internal control over fmancial reporting and compliance with provisions of laws,
regulations, contracts, and award agreements, noncompliance with which could have a
material effect on the financial statements in accordance with Government Auditing
Standards.
• .Internal control over compliance related to major programs and an opinion (or disclaimer
of opinion) on compliance with federal statutes, regulations, and the terms and conditions
of federal awards that could have a direct and material effect on each major program in
accordance with the Single Audit Act Amendments of 1996 and Title 2 U.S. Code of
Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost
Principles, and Audit Requirements for Federal Awards (Uniform Guidance).
The Government Auditing Standards report on internal control over financial and on compliance
and other matters will include a paragraph that states that (1) the purpose of the report is solely to
describe the scope of testing of internal control and compliance and the results of that testing, and
not to provide an opinion on the effectiveness of the entity's internal control or on compliance,
and (2) the report is an integral part of an audit performed in accordance with Government
Auditing Standards in considering the entity's internal control and compliance. The Uniform
Guidance report on internal control over compliance will include a paragraph that states that the
purpose of the report on internal control over compliance is solely to describe the scope of testing
of internal control over compliance and the results of that testing based on the requirements of
the Uniform Guidance. Both reports will state that the report is not suitable for any other
purpose.
Our audit will be conducted in accordance with auditing standards generally accepted in the
United States of America; the standards for financial audits contained in Government Auditing
Standards, issued by the Comptroller General of the United States; the Single Audit Act
Amendments of 1996; and the provisions of the Uniform Guidance, and will include tests of
accounting records, a determination of major program(s) in accordance with the Uniform
Guidance, and other procedures we consider necessary to enable us to express such opinions. We
will issue written reports upon completion of our Single Audit. Our reports will be addressed to
the Honorable Mayor and Members of the City Council of the City of Jefferson, Missouri. We
will make reference to Seaver and Forck, CPA's audit of Jefferson City Convention and Visitors
Bureau in our report on your financial statements. We cannot provide assurance that unmodified
opinions will be expressed. Circumstances may arise in which it is necessary for us to modify our
opinions or add emphasis -of -matter or other -matter paragraphs. If our opinions are other than
unmodified, we will discuss the reasons with you in advance. If, for any reason, we are unable to
complete the audit or are unable to form or have not formed opinions, we may decline to express
opinions or issue reports, or we may withdraw from this engagement.
Audit Procedures—General
An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in
the financial statements; therefore, our audit will involve judgment about the number of
transactions to be examined and the areas to be tested. An audit also includes evaluating the
appropriateness of accounting policies used and the reasonableness of significant accounting
estimates made by management, as well as evaluating the overall presentation of the financial
statements. We will plan and perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement, whether from (1) errors, (2) fraudulent
financial reporting, (3) misappropriation of assets, or (4) violations of laws or governmental
regulations that are attributable to the government or to acts by management or employees acting
on behalf of the government. Because the determination of abuse is subjective, Government
Auditing Standards do not expect auditors to provide reasonable assurance of detecting abuse.
Because of the inherent limitations of an audit, combined with the inherent limitations of internal
control, and because we will not perform a detailed examination of all transactions, there is a risk
that material misstatements or noncompliance may exist and not be detected by us, even though
the audit is properly planned and performed in accordance with U.S. generally accepted auditing
standards and Government Auditing Standards. In addition, an audit is not designed to detect
immaterial misstatements or violations of laws or governmental regulations that do not have a
direct and material effect on the financial statements or major programs. However, we will
inform the appropriate level of management of any material errors, any fraudulent financial
reporting, or misappropriation of assets that come to our attention. We will also inform the
appropriate level of management of any violations of laws or governmental regulations that come
to our attention, unless clearly inconsequential, and of any material abuse that comes to our
attention. We will include such matters in the reports required for a Single Audit. Our
responsibility as auditors is limited to the period covered by our audit and does not extend to any
later periods for which we are not engaged as auditors.
Our procedures will include tests of documentary evidence supporting the transactions recorded
in the accounts, and may include tests of the physical existence of inventories, and direct
confirmation of receivables and certain other assets and liabilities by correspondence with
selected individuals, funding sources, creditors, and financial institutions. We will request
written representations from your attorneys as part of the engagement, and they may bill you for
responding to this inquiry. At the conclusion of our audit, we will require certain written
representations from you about your responsibilities for the financial statements; schedule of
expenditures of federal awards; federal award programs; compliance with laws, regulations,
contracts, and grant agreements; and other responsibilities required by generally accepted
auditing standards.
Audit Procedures—Internal Control
Our audit will include obtaining an understanding of the government and its environment,
including internal control, sufficient to assess the risks of material misstatement of the financial
statements and to design the nature, timing, and extent of further audit procedures. Tests of
controls may be performed to test the effectiveness of certain controls that we consider relevant
to preventing and detecting errors and fraud that are material to the financial statements and to
preventing and detecting misstatements resulting from illegal acts and other noncompliance
matters that have a direct and material effect on the financial statements. Our tests, if performed,
will be less in scope than would be necessary to render an opinion on internal control and,
accordingly, no opinion will be expressed in our report on internal control issued pursuant to
Government Auditing Standards.
As required by the Uniform Guidance, we will perform tests of controls over compliance 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 be necessary to
render an opinion on those controls and, accordingly, no opinion will be expressed in our report
on internal control issued pursuant to the Uniform Guidance.
An audit is not designed to provide assurance on internal control or to identify significant
deficiencies or material weaknesses. However, during the audit, we will communicate to
management and those charged with governance internal control related matters that are required
to be communicated under AICPA professional standards, Government Auditing Standards, and
the Uniform Guidance.
Our expertise in governmental accounting will allow us to help the City of Jefferson
improve their operations and procedures. Throughout the audit process, if we identify
areas needing improvement, we will make those suggestions to management. At the
discretion of the City we will meet with department heads and staff to review suggestions
and implementation.
4
Audit Procedures—Compliance
As part of obtaining reasonable assurance about whether the financial statements are free of
material misstatement, we will perform tests of the City of Jefferson, Missouri's compliance with
provisions of applicable laws, regulations, 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 an opinion in our .report on compliance issued
pursuant to Government Auditing Standards.
The Uniform Guidance requires that we also plan and perform the audit to obtain reasonable
assurance about whether the auditee has complied with federal statutes, regulations, and the
terms and conditions of federal awards applicable to major programs. Our procedures will consist
of tests of transactions and other applicable procedures described in the OMB Compliance
Supplement for the types of compliance requirements that could have a direct and material effect
on each of the City of Jefferson, Missouri's major programs. The purpose of these procedures
will be to express an opinion on the City of Jefferson, Missouri's compliance with requirements
applicable to each of its major programs in our report on compliance issued pursuant to the
Uniform Guidance.
Management Responsibilities
Management is responsible for (1) establishing and maintaining effective internal controls,
including internal controls over federal awards, and for evaluating and monitoring ongoing
activities, to help ensure that appropriate goals and objectives are met; (2) following laws and
regulations; (3) ensuring that there is reasonable assurance that government programs are
administered in compliance with compliancerequirements; and (4) ensuring that management
- and financial information is reliable and properly reported. Management is also responsible for
implementing systems designed to achieve compliance with applicable laws, regulations,
contracts, and grant agreements. You are also responsible for the selection and application of
accounting principles; for the preparation and fair presentation of the financial statements,
schedule of expenditures of federal awards, and all accompanying information in conformity with
U.S. generally accepted accounting principles; and for compliance with applicable laws and
regulations (including federal statutes) and the provisions of contracts and grant agreements
(including award agreements). Your responsibilities also include identifying significant
contractor relationships in which the contractor has responsibility for program compliance and
for the accuracy and completeness of that information.
Management is also responsible for making all financial records and related information
available to us and for the accuracy and completeness of that information. You are also
responsible for providing us with (1) access to all information of which you are aware that is
relevant to the preparation and fair presentation of the financial statements, (2) access to
personnel, accounts, books, records, supporting documentation, and other information as needed
to perform an audit under the Uniform Guidance, (3) additional information that we may request
for the purpose of the audit, and (4) unrestricted access to persons within the government from
whom we determine it necessary to obtain audit evidence.
5
Your responsibilities include adjusting the financial statements to correct material misstatements
and confirming to us in the management representation letter that the effects of any uncorrected
misstatements aggregated by us during the current engagement and pertaining to the latest period
presented are immaterial, both individually and in the aggregate, to the financial statements as a
whole.
You are responsible for the design and implementation of programs and controls to prevent -and
detect fraud, and for informing us about all known or suspected fraud affecting the government
involving (1) management, (2) employees who have significant roles in internal control, and (3)
others where the fraud could have a material effect on the financial statements. Your
responsibilities include informing us of your knowledge of any allegations of fraud ` or suspected
fraud affecting the government received in communications from employees, former employees,
grantors, regulators, or others. In addition, you are responsible for identifying and ensuring that
the government complies with applicable laws, regulations, contracts, agreements, and grants.
Management is also responsible for taking timely and appropriate steps to remedy fraud and
noncompliance with provisions of laws, regulations, contracts, and grant agreements, or abuse
that we report. Additionally, as required by the Uniform Guidance, it is management's
responsibility to evaluate and monitor noncompliance with federal statutes, regulations, and the
terms and conditions of federal awards; take prompt action when instances of noncompliance are
identified including noncompliance identified in audit findings; promptly follow up and take
corrective action on reported audit findings; and prepare a summary schedule of prior audit
findings and a separate corrective action plan.
You are responsible for identifying all federal awards received and understanding and complying
with the compliance requirements and for the preparation of the schedule of expenditures of
federal awards (including notes and noncash assistance received) in conformity with the Uniform
Guidance. You agree to include our report on the schedule of ,expenditures of federal awards in
any document that contains and indicates that we have reported on the schedule of expenditures
of federal awards. You also agree to include the audited financial statements with any
presentation of the schedule of expenditures of federal awards that includes our report thereon.
Your responsibilities include acknowledging to us in the written representation letter that (1) you
are responsible for presentation of the schedule of expenditures of federal awards in accordance
with the Uniform Guidance; (2) you believe the schedule of expenditures of federal awards,
including its form and content, is stated fairly in accordance with the Uniform Guidance; (3) the
methods of measurement or presentation have not changed from those used in the prior period
(or, if they have changed, the reasons for such changes); and .(4) you have disclosed to us any
significant assumptions or interpretations underlying the measurement or presentation of the
schedule of expenditures of federal awards.
You are also responsible for the preparation of the other supplementary information, which we
have been engaged to report on, in conformity with U.S. generally accepted accounting
principles. You agree to include our report on the supplementary information in any document
that contains, and indicates that we have reported on, the supplementary information. You also
agree to include the audited financial statements with any presentation of the supplementary
information that includes our report thereon. Your responsibilities include acknowledging to us
in the written representation letter that (1) you are responsible for presentation of the
6
supplementary information in accordance with GAAP; (2) you believe the supplementary
information, including its form and content, is fairly presented in accordance with GAAP; (3) the
methods of measurement or presentation have not changed from those used in the prior period
(or, if they have changed, the reasons for such changes); and (4) you have disclosed to us any
significant assumptions or interpretations underlying the measurement or presentation of the
supplementary information.
Management is responsible for establishing and maintaining a process for tracking the status of
audit findings and recommendations. Management is also responsible for identifying and
providing report copies of previous financial audits, attestation engagements, performance audits,
or other studies related to the objectives discussed in the Audit Objectives section of this letter.
This responsibility includes relaying to us corrective actions taken to address significant findings
and recommendations resulting from those audits, attestation engagements, performance audits
or studies. You are also responsible for providing management's views on our current findings,
conclusions, and recommendations, as well as your planned corrective actions, for the report, and
for the timing and format for providing that information. With regard to the electronic
dissemination of audited financial statements, including financial statements published
electronically on your website, you understand that electronic sites are a means to distribute
information and, therefore, we are not required to read the information contained in these sites or
to consider the consistency of other information in the electronic site with the original document.
You agree to assume all management responsibilities relating to the financial statements,
schedule of expenditures of federal awards, and related notes, and any other nonaudit services we
provide. You will be required to acknowledge in the management representation letter our
assistance with preparation of the financial statements, schedule of expenditures of federal
awards, and related notes and that you have reviewed and approved the financial statements,
schedule of expenditures of federal awards, and related notes prior to their issuance and have
accepted responsibility for them. Further, you agree to oversee the nonaudit services by
designating an individual, preferably from senior management, with suitable skill, knowledge, or
experience; evaluate the adequacy and results of those services; and accept responsibility for
them.
Engagement Administration, Fees, and Other
We understand that your employees will prepare all cash, accounts receivable, or other
confirmations we request and will locate any documents selected by us for testing.
At the conclusion of the engagement, we will complete the appropriate sections of the Data
Collection Form that summarizes our audit findings. It is management's responsibility to
electronically submit the reporting package (including financial statements, schedule of
expenditures of federal awards, summary schedule of prior audit findings, auditors' reports, and
corrective action plan) along with the Data Collection Form to the federal audit clearinghouse.
We will coordinate with you the electronic submission and certification. The Data Collection
Form and the reporting package must be submitted within the earlier of 30 calendar days after
receipt of the auditors' reports or nine months after the end of the audit period.
7
We will provide copies of our reports to the City; . however, management is responsible for
distribution of the reports and the financial statements. Unless restricted by law or regulation, or
containing privileged and confidential information, copies of our reports are to be made available
for public inspection.
The audit documentation for this engagement is the property of Evers & Company, CPA's, LLC
and constitutes confidential. information. However, subject to applicable laws and regulations,
audit documentation and appropriate individuals will be made available upon request and in a
timely manner to a Cognizant or Oversight Agency for Audit or its designee, a federal agency
providing direct or indirect funding, or the U.S. Government Accountability Office for purposes
of a quality review of the audit, to resolve audit findings, or to carry out oversight
responsibilities. We will notify you of any such request. If requested, access to such audit
documentation will be provided under the supervision of Evers & Company, CPA's, LLC
personnel. Furthermore, upon request, we may provide copies of selected audit documentation to
the aforementioned parties. These parties may intend, or decide, to distribute the copies or
information contained therein to others, including other governmental agencies.
The audit documentation for this engagement will be retained for a minimum of five years after
the report release date or for any additional period requested by the Cognizant Agency, Oversight
Agency for Audit, or Pass-through Entity. If we are 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 for guidance prior to destroying the audit documentation.
We expect to begin our audit on mutually agreed upon dates in early January and to issue our
reports no later than April 15, 2017. Jo Moore is the engagement partner and is responsible for
supervising the engagement and signing the reports or authorizing another individual to sign
them.
We try to base our fees for audits on hours incurred, at our normal hourly rates. Assuming the
checklist of year-end accounting work which we will provide after the contract . is awarded is
completed, and barring any unforeseen problems such as fraud or embezzlement, our fees for
services will be as follows:
Please refer to your "Proposal Sheet" at the beginning of this proposal for prices.
-All billings are due and payable upon receipt. In accordance with our firm policies, work may be
suspended if your account becomes 60 days or more overdue and may not be resumed until your
account is paid in full. Service charges at the rate of 18% annually or 1.5% per month will be
applied to all past -due balances. Termination of services for nonpayment will result in the
engagement being deemed to have been completed upon written notification of termination, even
if we have not completed our report. You will be obligated to compensate us for all time
expended and to reimburse us for all out-of-pocket costs through the date of termination.
You may request that we perform additional services not contemplated by this engagement letter.
If this occurs, we will communicate with you regarding the scope of the additional services and
the estimated fees. We also may issue a separate engagement letter covering the additional
services. In the absence of any other written communication from us documenting such
additional services, our services will continue to be governed by the terms of this engagement
letter.
8
If you retain . us to perform nonattest services, you must accept responsibility for making and
performing all management decisions and functions, designating a competent employee to
oversee the nonattest services, evaluating the adequacy and results of the services, accepting
responsibility for the results, and maintaining appropriate controls.
Our invoices for these fees will be rendered each month as work progresses and are payable on
presentation. The above fees are based on anticipated cooperation from your personnel and the
assumption that unexpected circumstances will not be encountered during the audit. If
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 month will be applied to all past -due balances. If we elect to terminate our services for
nonpayment, you will be obligated to compensate us for all time expended through the date of
termination.
Our r firm policy on year-round consultation is:
1. For phone call discussions, we make our professional staff available, as you have needs, for 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 a charge.
Audit
Professional
Jo Moore
Wendy Renner
Bobbie Murray
Denise Hoover
Braxton Nicks
Adrienne Wieberg
Ashley Clemmens
Title
Partner
Partner
Manager
Staff Accountant
Staff Accountant
Staff Accountant
Staff Accountant
Hourly
Rate
9
Approximate
Hours Total
150 90 13,500
150 90 13,500
140 200 28,000
93 60 5,580
85 60 5,100
80 60 5,100
80 60 5,100
Total 75,880 -
Discount (30,565)
$ 45,315
We appreciate. the opportunity to be of service to the City of Jefferson and believe this letter
accurately summarizes 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 and return it to us.
Very truly your
EVERS & COMPANY, CPA's, L.L.C.
//-1/Zey4,„,JO MOORE, CPA
. Audit Partner
RESPONSE:
This letter correctly sets forth the understanding of the City of Jefferson:
Bv:
Title: Date:
10
PROFILE OF THE FIRM
Evers and Company began business in 1974 and through steady growth has become 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 capable 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 professional service
includes both promptness and thoroughness in responding to requests from the client.
Our expertise in political subdivisions and the auditing experience of our partners and professional
staff qualifies us to serve as your accountants and auditors. Our philosophy of service requires 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 objectives, goals and needs; to
assist in developing plans to obtain such goals; and to monitor progress for developments which
may affect planning and year-end budgeting.
The size of Evers and Company is important to clients for two reasons. First, the firm is small
enough so that our professional staff can maintain an intimate knowledge of a client's business and
needs. Second, the firm is large enough to have specialists available in the various disciplines of
the profession which include, accounting, auditing, income taxes, management consulting services,
and data processing services.
The audit work will be performed from our Jefferson City office. At the present time, the
personnel of the Jefferson City office is as follows:
Staff in the Jefferson City Office
Women in Men in Total for
the Firm the Firm Total Entire Firm
Partners 2 3 5 8
Professional Staff 5 2 7 15
IS Support - 1 1 1
Para -Professional Staff , 1 - 1 5
Office Support Staff 4 - 4 7
12 .6 18 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 intemal 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 top-flight staff personnel is made easier by the knowledge that our staff
will be working on a direct interrelationship basis with our partners.
11
PROFILE OF THE FIRM
(Cont'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 a 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 in 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 staff 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 quality service for a fair fee. If at any time 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 writing, and we would be pleased 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 the City of Jefferson with auditors who have a
high degree of technical experience.
Evers and Company, CPAs, LLC is a member of the American Institute of Certified Public Accountant's
Governmental Audit Quality Center. The Governmental Audit Quality Center (GAQC), which was
created in 2004, promotes the importance of quality governmental audits and the value of such audits to
purchasers of governmental audit services. GAQC is a voluntary membership center for CPA firms and
state audit organizations that perform governmental audits. GAQC was created to, among other things,
raise awareness about the importance of governmental audits, a serve as a comprehensive resource on
governmental audits for member firms, create a community of firms that demonstrate a commitment to
governmental audit quality, and provide an online forum tool for members to share best practices and
discuss governmental audit issues. Membership requires a firm's commitment to audit quality in the
critical area of governmental audits, including those performed under Government Auditing Standards
and Uniform Grant Guidance. Additional information about the Center can be accessed at
http://gagc.aicpa.org.
12
STAFF RESUMES & EXPERIENCE
JO L. MOORE, CPA - Audit Partner
Jo Moore is an audit partner in the Jefferson City office of Evers and Company CPA's. She joined
the firm in 1991 and has twenty-five years public accounting experience. She holds a Bachelor of
Science degree from Park College in Parkville, Missouri and a Master of Science in Taxation from
the Washington Institute for Graduate Studies in San Diego, Califomia. Jo is a member of the
Missouri Society of Certified Public Accountants, the American Institute of Certified Public
Accountants and the Missouri Society of Association Executives. She has been an active member
of the Jefferson City Breakfast Rotary Club since 1993, serving on the Board from 1995 to 2003,
served as President for the 2001-2002 Rotary year and serving as District 6080 Secretary for the
2002-2003 Rotary year. In addition, she has also participated in various training courses and
speaking engagements.
Jo currently specializes in the audits of political subdivisions and not-for-profit organization audits
and their related tax reporting. Other areas of industry concentration are as follows: audits of
construction companies, credit unions, self-insured insurance programs and neighborhood
assistance program audits. Jo also has extensive knowledge in insurance and claims processing.
Immediately prior to joining the firm, she was employed as Claims Manager for a Third Party
Administrator handling insurance programs for several self-insured groups.
Similar Experience: City of Jefferson, City of Eldon, State Technical College of Missouri
WENDY M. RENNER, CPA — Audit Partner
Wendy is a certified public accountant in the Jefferson City office of Evers & Company, CPA's.
She joined the firm in December 2003 and has over twenty years combined experience in
governmental and private sector accounting. She holds a Bachelor of Science degree in Accounting
and Business Administration with an emphasis in Human Resource Management from Regis
University, Denver, Colorado. Wendy also holds a Masters of Business Administration with an
emphasis in Accountancy from Lincoln University, Jefferson City, Missouri. Her major areas of
concentration with the firm are audits of for profit organizations, not-for-profit organizations, state
and local governments and school districts. Wendy also prepares corporate, partnership, not-for-
profit, fiduciary, and individual tax returns.
Wendy is a member of the American Institute of Certified Public Accountants and the Missouri
Society of Certified Public Accountants.
Similar Experience: City of Jefferson, City of Eldon, and State Technical College of Missouri
13
STAFF RESUMES & EXPERIENCE
(Cont'd.)
BOBBIE .REDMON MURRAY, CPA — Manager
Bobbie Murray is a certified public accountant in the Jefferson City office of Evers & Company,
CPA's. She joined the firm in December 2003. Bobbie graduated from Lincoln University in
December of 2001 with a Bachelor of Science degree in Accounting. In May of 2003 she
received her Master's in Business Administration with an emphasis in management from Lincoln
University. Her major areas of concentration with the firm are audits of not-for-profit
organizations and state and local governments and preparation of corporate and not-for-profit tax
returns. Bobbie is a member of the American Institute of Certified Public Accountants.
Similar Experience: City of Jefferson, State Technical College of Missouri
DENISE HOOVER, CPA — Staff Accountant
Denise Hoover is a certified public accountant in the Jefferson City office of Evers & Company,
CPA's and became a part of the firm in December 2012. Denise graduated from Westminster
College in December of 2010 with a Bachelor of Science degree in Accounting. She became a
certified public accountant in June of 2012.
Similar Experience: City of Jefferson, City of Eldon, State Technical College of Missouri
BRAXTON NICKS — Staff Accountant
Braxton Nicks is a staff accountant in the Jefferson City office of Evers and Company CPA's. He
joined the firm in December 2013. He graduated from Missouri Valley College in May of 2013
with a Bachelor of Science degree in Accounting. He is currently in pursuit of an MBA and
obtaining a CPA license. He is a member of the audit department.
Similar Experience: City of Jefferson, City of Eldon, State Technical College of Missouri
14
STAFF RESUMES & EXPERIENCE
(Cont'd.)
ADRIENNE WIEBERG - Staff Accountant
Adrienne Wieberg is the Entry Level Accountant in the Jefferson City office of Evers and
Company. Adrienne joined the firm in December 2014. She graduated from Lincoln University
in December 2014 with a major in Business Administration and Accounting and a minor in Legal
Studies. Before joining the firm, she has had three years of banking experience at Central Bank in
Customer Service and in the Bankcard Call Center. After graduating Lincoln, she is now in the
process of obtaining her Masters of Business Administration with an emphasis in Accounting
before pursuing her CPA.
. Similar Experience: City of Jefferson, State Technical College of Missouri
ASHLEY CLEMENS — Staff Accountant
Ashley Clemens is a staff accountant in the Jefferson City office of Evers and. Company CPA's.
She joined the firm in June 2016. Ashley graduated from University of Central Missouri in 2008
with a Bachelor of Science degree in Education. In July of 2016, she received her Master's in
Business Administration with an emphasis in accounting from Columbia College. Ashley is
currently working to earn her CPA license.
15
GOVERNMENTAL RELATED CPE HOURS
This is an up-to-date listing of the number of hours for each staff member over the last three years
towards their Governmental Relating Continuing Education:
Government
Partner/Professional Related Hours
Jo Moore 157
Wendy Renner 148
Bobbie Murray 140
Denise Hoover 130
Braxton Nicks 99
Adrienne Wieberg 48
None of the staff on the job will be trainees and all staff on the job will be classified as professional
staff. The firm commits to continuation of partners and managers for the term of the engagement.
Staff members may be rotated in an effort to provide a fresh perspective on an annual basis.
16
GOVERNMENTAL EXPERIENCE
Our firm has performed many auditing, accounting and management services for other
municipalities. Listed below are some of these municipalities which we have served:
CLIENT NAME CONTACT
* City of Jefferson Shiela Pearre
(573)634-6303 Chief Accountant
Dates of Services: 1998 to current
Services Performed: Audit and Consulting
State Technical College of Missouri
(573) 897-5000
Date of Services: 2011 to Current
Services Performed: Audit
City of Eldon
(573) 392-2291
Dates of Services: 1997 to current
Services Performed: Audit
City of Holts Summit
(573) 896-5600
Dates of Services: 1998 to current
Services Performed: Accounting
Jenny Jacobs
Finance Director
Debbie Hun
City Administrator
Cheryl Fletcher
City Clerk
Missouri Municipal League Dan Ross .
(573) 635-9134 Executive Director
Dates of Services: 2012 to current
Services Performed: Contracted Accounting and Consulting Services
* Have received the GFOA's Certificate of Achievement for Excellence in Financial
Reporting.
17
ADDITIONAL PROFESSIONAL SERVICES
Our firm also has the following services to offer:
* Help in Interviewing and Selecting New Employees to Work in the Accounting
Function (testing and interviewing)
* Fixed Asset Management and Capital Budgeting
* Tax Planning Advisory Services for retiring employees
* General Ledger Accounting System - Computerized
* Consulting and Problem Solving Services on Topics Specifically Related to Not -For -
Profit and Governmental Agencies Under the Requirements of the Single Audit Act
* Data Processing Consulting Services in the following areas:
- Assistance with preparing the Comprehensive Annual Financial Report
application for the GFOA Certificate of Conformance
- Strategic long-range planning, tactical (project) planning, requirements definition,
analysis, design, development, and implementation of information systems
- Technical support of customer accounts; regularly providing consulting assistance
to clients concerning PC hardware and software support, as well as system
development methodology tools and techniques;
- Presenting and training clients on the subjects of PC software and system
development using CASE tools
* Litigation Support Services:
Providing support in public hearings and matters of litigation
* Offer the Services of a Certified Fraud Examiner, trained in the detection of fraud and
deficiencies in the internal control structure
* Cafeteria & Retirement Plan administration
* Agreed Upon Procedures to determine if a specific area of the City is operating as
designed (example: credit cards issued)
18
FIRM QUALITY CONTROL
In an effort to maintain the highest possible standards of quality control, our firm promotes
continuing professional education programs and seminars. Our professional staff attends
conferences and seminars dealing with new auditing standards as they are introduced, and
participates in refresher courses to maintain an active, updated knowledge of the standards required
by our industry.
We have weekly in-house professional education sessions to introduce our entire firm members to
any information learned in outside seminars. We submit to a quarterly governmental update video
service and our staff attends governmental updates presented by the Missouri Society of Certified
Public Accountants and the American Institute of Certified Public Accountants. In addition, a
member of our staff teaches Governmental Accounting at William Woods College.
Our audit department in particular, follows a strict program of continuing professional education
that involves seminars to keep us knowledgeable in the latest changes in governmental audit
standards and the single audit act.
Our firm conducts a yearly Internal Inspection. Selected members of our firm review the audit and
accounting procedures that we use on a day-to-day basis to determine if we adhere to the standards
set forth by our profession.
Evers and Company also undergoes a voluntary peer review at least once every three years. The
review is conducted by a committee of outside accountants, organized by the Accountants Global
Network International.
The peer review involves an inspection of various accounting and auditing records selected by the
peer review committee. These records and our procedures are reviewed to determine if our firm has
complied with the standards set forth by our profession and those set forth by the audited industries
regulating agencies.
The peer review is a voluntary action that is strongly encouraged by the AICPA and the AGN. It is
a required procedure for any firm wishing to be a member of the Private Companies Practice
Section. Many regulating agencies require peer reviews for firms who audit entities receiving
Federal Funds.
Our effort to promote continued education for our professional employees, along with our firm's
dedication to the highest standards of quality control, combine to provide your City with the
professional advice that they need, to insure that they follow the regulations set up specifically for
their organizational type.
19
PROFESSIONAL ASSOCIATIONS
The members of our firm have been active with the Missouri Society of Certified Public
Accountants. Elmer 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 CPA's Board of Directors for five years,
serving as an officer each year. As a result of his outspoken insistence that the profession uphold
high professional standards, he was appointed to the Missouri State Board of Accountancy by
Governor Kit Bond. Mr. Evers has served as the President of that Board.
Elmer Evers, Dale Siebeneck, and Jo Moore are members of the Association of . Government
Accountants. Mr. Evers is a Certified Fraud Examiner, certified by the National Association of
Certified Fraud Examiners.
The firm is a member of the Government Finance Officers Association.
All Certified Public Accountants in the firm are also members of the American Institute of Certified
Public Accountants and our firm is a member of the AICPA Private Company Practice Section.
We are also a member of the AGN International -NA.
20
CHECKLIST OF INFORMATION TO BE PREPARED
BY THE CITY OF JEFFERSON
In order for us to be more efficient in the audit of the City of Jefferson for the year ended October
31, 2016, we ask that your staff complete the following information prior to our beginning
fieldwork, each year.
Have the general ledger posted and balanced for the entire year.
Prepare a trial balance worksheet reflecting balances after year-end adjusting entries have
been posted.
Prepare reconciliations for each bank account, for the last month of the year.
Prepare an aged schedule of accounts receivable:
Airport
Parking authority
Sewer
Employees
Miscellaneous
Grants
We will furnish accounts receivable confirmations to be filled in and signed.
Prepare a schedule of bad debts written off during the year. -
Prepare a schedule of notes receivable. Also, have the notes available for our inspection.
* Prepare a schedule of insurance showing the following: Policy number, coverage, term, and
premium paid. Also, have the policies available for our inspection.
Prepare confirmation letters to confirm your City's account balances. (We will provide
sample letters)
Prepare a schedule of municipal bonds on hand.
Have available the municipal court records for the entire year.
Prepare a schedule of all property and equipment on hand; any additions and retirements
showing costs, and for items sold, sales price. Show these items by fund, department and
grant.
Prepare a schedule of depreciation for the enterprise funds.
Prepare an analysis of all transactions affecting marketable securities during the period.
Have available the monthly reports showing the payments to the LAGERS pension plan.
Have a copy of any union contracts available to us.
Prepare a schedule of interest income as follows:
Federal government obligations
Missouri Statement municipal obligations
Other interest income
Prepare a schedule of notes payable showing dates, payee, original balance, audit date
balances, amount of periodic installment, rate of interest, and describe security.
Have a copy of all leases for office space and equipment rental contracts available to us.
21
Have a copy of any employment contracts with staff available to us.
Have all payroll tax reports available to us.
Prepare a schedule of all professional fees paid.
Have copies of the minutes of the Council and committee meetings available for our
inspection.
Prepare a schedule of prepaid insurance and accrued insurance.
Prepare a schedule of all construction -in -progress, 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 for inspection.
Have a copy of grant contracts available for us.
Have available a copy of the budget report compared with cash receipts and disbursements,
for the General Fund and Special Revenue funds.
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 of allowance for uncollectible taxes forcurrent and prior years
(delinquent)
Have the various receivable items completed:
Financial institution tax
Sales tax
Gas tax
Motor vehicle sales tax
Tax liens
Franchise fees
Accrued interest receivable
Others
Have a schedule prepared for prepaid expenses and insurance.
Have the various payable items completed:
Accrued payroll
Contracts payable
Retainage payable
Various payroll withholding accounts
Various "Due To" and "Due From" other funds
Revenues received in advance — Parking Authority Fund
Prepare a schedule of Encumbrances by fund.
Prepare a schedule of construction in progress by fund.
Have inventory count sheets after pricing, available for us on the appropriate proprietary
funds.
* Your insurance agent may prepare this for you. We will provide a copy of a letter you
might send to them.
22
EXHIBIT B
Federal Funds To be Used
The majority of work under this agreement will be funded through City of Jefferson budgeted funds. Work in
two divisions, Transit and Central Maintenance, may be funded through the Federal Transit Administration. As a
recipient of Federal Transit Administration funds; the following requirements shall be fully considered in preparing bids
and performing any work using FTA funds.
No Obligation by the Federal Government.
(1) The Purchaser and Contractor acknowledge and agree that, notwithstanding any concurrence by the Federal
Government in or approval of the solicitation or award of the underlying contract, absent the express written consent by
the Federal Government, the Federal Government is not a party to this contract and shall not be subject to any obligations
or liabilities to the Purchaser, Contractor, or any other party (whether or not a party to that contract) pertaining to any
matter resulting from the underlying contract.
(2) The Contractor agrees to include the above clause in each subcontract financed in whole or in part with Federal
assistance provided by FTA. It is further agreed that the clause shall not be modified, except to identify the subcontractor
who will be subject to its provisions.
Program Fraud and False or Fraudulent Statements or Related Acts.
(1) The Contractor acknowledges that the provisions of the Program Fraud Civil Remedies Act of 1986, as amended,
31 U.S.C. § 3801 et sem. and U.S. DOT regulations, "Program Fraud Civil Remedies," 49 C.F.R. Part 31, apply to its
actions pertaining to this Project. Upon execution of the underlying contract, the Contractor certifies or affirms the
truthfulness and accuracy of any statement it has made, it makes, it may make, or causes to be made, pertaining to the
underlying contract or the FTA assisted project for which this contract work is being performed. In addition to other
penalties that may be applicable, the Contractor further acknowledges that if it makes, or causes to be made, a false,
fictitious, or fraudulent claim, statement, submission, or certification, the Federal Government reserves the right to
impose the penalties of the Program Fraud Civil Remedies Act of 1986 on the Contractor to the extent the Federal
Government deems appropriate.
(2) The Contractor also acknowledges that if it makes, or causes to be made, a false, fictitious, or fraudulent claim,
statement, submission, or certification to the Federal Government under a contract connected with a project that is
financed in whole or in part with Federal assistance originally awarded by FTA under the authority of 49 U.S.C. § 5307,
the Government reserves the right to impose the penalties of 18 U.S.C. § 1001 and 49 U.S.C. § 5307(n)(1) on the
Contractor, to the extent the Federal Government deems appropriate.
(3) The Contractor agrees to include the above two clauses in each subcontract financed in whole or in part with Federal
assistance provided by FTA. It is further agreed that the clauses shall not be modified, except to identify the
subcontractor who will be subject to the provisions.
Access to Records
The following access to records requirements apply to this Contract:
1. Where the Purchaser is not a State but a local government and is the FTA Recipient or a subgrantee of the FTA
Recipient in accordance with 49 C. F. R. 18.36(I), the Contractor agrees to provide the Purchaser, the FTA
Administrator, the Comptroller General of the United States or any of their authorized representatives access to any
books, documents, papers and records of the Contractor which are directly pertinent to this contract for the purposes of
making audits, examinations, excerpts and transcriptions. Contractor also agrees, pursuant to 49 C. F. R. 633.17 to
provide the FTA Administrator or his authorized representatives including any PMO Contractor access to Contractor's
records and construction sites pertaining to a major capital project, defined at 49 U.S.C. 5302(a)1, which is receiving
federal financial assistance through the programs described at 49 U.S.C. 5307, 5309 or 5311.
EXHIBIT B
2. Where the Purchaser is a State and is the FTA Recipient or a subgrantee of the FTA Recipient in accordance with 49
C.F.R. 633.17, Contractor agrees to provide the Purchaser, the FTA Administrator or his authorized representatives,
including any PMO Contractor, access to the Contractor's records and construction sites pertaining to a major capital
project, defined at 49 U.S.C. 5302(a)1, which is receiving federal financial assistance through the programs described
at 49 U.S.C. 5307, 5309 or 5311. By defmition, a major capital project excludes contracts of less than the simplified
acquisition threshold currently set at $100,000.
3. Where the Purchaser enters into a negotiated contract for other than a small purchase or under the simplified
acquisition threshold and is an institution of higher education, a hospital or other non-profit organization and is the FTA
Recipient or a subgrantee of the FTA Recipient in accordance with 49 C.F.R. 19.48, Contractor agrees to provide the
Purchaser, FTA Administrator, the Comptroller General of the United States or any of their duly authorized
representatives with access to any books, documents, papers and record of the Contractor which are directly pertinent
to this contract for the purposes of making audits, examinations, excerpts and transcriptions.
4. Where any Purchaser which is the FTA Recipient or a subgrantee of the FTA Recipient in accordance with 49 U.S.C.
5325(a) enters into a contract for a capital project or improvement (defined at 49 U.S.C. 5302(a)1) through other than
competitive bidding, the Contractor shall make available records related to the contract to the Purchaser, the Secretary
of Transportation and the Comptroller General or any authorized officer or employee of any of them for the purposes
of conducting an audit and inspection.
5. The Contractor agrees to permit any of the foregoing parties to reproduce by any means whatsoever or to copy excerpts
and transcriptions as reasonably needed.
6. The Contractor agrees to maintain all books, records, accounts and reports required under this contract for a period
of not less than three years after the date of termination or expiration of this contract, except in the event of litigation or
settlement of claims arising from the performance of this contract, in which case Contractor agrees to maintain same until
the Purchaser, the FTA Administrator, the Comptroller General, or any of their duly authorized representatives, have
disposed of all such litigation, appeals, claims or exceptions related thereto. Reference 49 CFR 18.39(I)(11).
7. FTA does not require the inclusion of these requirements in subcontracts.
Federal Changes
The contractor shall at all times comply with all applicable FTA regulations, policies, procedures and directives,
including without limitation those listed directly or by reference in the Agreement (Form FTA MA(10) dated October,
2003) between Purchaser and FTA, as they may be amended or promulgated from time to time during the term of this
contract. Contractor's failure to so comply shall constitute a material breach of this contract.
Civil Rights
The following requirements apply to the underlying contract:
(1) Nondiscrimination - In accordance with Title VI of the Civil Rights Act, as amended, 42 U.S.C. § 2000d, section 303
of the Age Discrimination Act of 1975, as amended, 42 U.S.C. § 6102, section 202 of the Americans with Disabilities
Act of 1990, 42 U.S.C. § 12132, and Federal transit law at 49 U.S.C. § 5332, the Contractor agrees that it will not
discriminate against any employee or applicant for employment because of race, color, creed, national origin, sex, age,
or disability. In addition, the Contractor agrees to comply with applicable Federal implementing regulations and other
implementing requirements FTA may issue.
(2) Equal Employment Opportunity - The following equal employment opportunity requirements apply to the underlying
contract:
EXHIBIT B
(a) Race, Color, Creed, National Origin, Sex - In accordance with Title VII of the Civil Rights Act, as amended,
42 U.S.C. § 2000e, and Federal transit laws at 49 U.S.C. § 5332, the Contractor agrees to comply with all applicable
equal employment opportunity requirements of U.S. Department of Labor (U.S. DOL) regulations, "Office of Federal
Contract Compliance Programs, Equal Employment Opportunity, Department of Labor," 41 C.F.R. Parts 60 et seg.,
(which implement Executive Order No. 11246, "Equal Employment Opportunity," as amended by Executive Order No.
11375, "Amending Executive Order 11246 Relating to Equal Employment Opportunity," 42 U.S.C. § 2000e note), and
with any applicable Federal statutes, executive orders, regulations, and Federal policies that may in the future affect
construction activities undertaken in the course of the Project. The Contractor agrees to take affirmative action to ensure
that applicants are employed, and that employees are treated during employment, without regard to their race, color,
creed, national origin, sex, or age. Such action shall include, but not be limited to, the following: employment, upgrading,
demotion or transfer, recruitment or recruitment advertising, layoff or termination; rates of pay or other forms of
compensation; and selection for training, including apprenticeship. In addition, the Contractor agrees to comply with any
implementing requirements FTA may issue.
(b) Age - In accordance with section 4 of the Age Discrimination in Employment Act of 1967, as amended, 29
U.S.C. § § 623 and Federal transit law at 49 U.S.C. § 5332, the Contractor agrees to refrain from discrimination against
present and prospective employees for reason of age. In addition, the Contractor agrees to comply with any implementing
requirements FTA may issue.
(c) Disabilities - In accordance with section 102 of the Americans with Disabilities Act, as amended, 42 U.S.C.
§ 12112, the Contractor agrees that it will comply with the requirements of U.S. Equal Employment Opportunity
Commission, "Regulations to Implement the Equal Employment Provisions of the Americans with Disabilities Act," 29
C.F.R. Part 1630, pertaining to employment of persons with disabilities. In addition, the Contractor agrees to comply
with any implementing requirements FTA may issue.
(3) The Contractor also agrees to include these requirements in each subcontract financed in whole or in part with Federal
assistance provided by FTA, modified only if necessary to identify the affected parties.
Termination of Contract
1. Termination for Convenience (General Provision) The (Recipient) may terminate this contract, in whole or
in part, at any time by written notice to the Contractor when it is in the Government's best interest. The
Contractor shall be paid its costs, including contract close-out costs, and profit on work performed up to the
time of termination. The Contractor shall promptly submit its termination claim to (Recipient) to be paid the
Contractor. If the Contractor has any property in its possession belonging to the (Recipient), the Contractor will
account for the same, and dispose of it in the manner the (Recipient) directs.
2. Termination for Default [Breach or Cause] (General Provision) If the Contractor does not deliver supplies
in accordance with the contract delivery schedule, or, if the contract is for services, the Contractor fails to
perform in the manner called for in the contract, or if the Contractor fails to comply with any other provisions
of the contract, the (Recipient) may terminate this contract for default. Termination shall be effected by serving
a notice of termination on the contractor setting forth the manner in which the Contractor is in default. The
contractor will only be paid the contract price for supplies delivered and accepted, or services performed in
accordance with the manner of performance set forth in the contract.
If it is later determined by the (Recipient) that the Contractor had an excusable reason for not performing, such
as a strike, fire, or flood, events which are not the fault of or are beyond the control of the Contractor, the
(Recipient), after setting up a new delivery of performance schedule, may allow the Contractor to continue
work, or treat the termination as a termination for convenience.
EXHIBIT B
3. Opportunity to Cure (General Provision) The (Recipient) in its sole discretion may, in the case of a
termination for breach or default, allow the Contractor [an appropriately short period of time] in which to cure
the defect. In such case, the notice of termination will state the time period in which cure is permitted and other
appropriate conditions
If Contractor fails to remedy to (Recipient)'s satisfaction the breach or default of any of the terms, covenants,
or conditions of this Contract within [ten (10) days] after receipt by Contractor of written notice from
(Recipient) setting forth the nature of said breach or default, (Recipient) shall have the right to terminate the
Contract without any further obligation to Contractor. Any such termination for default shall not in any way
operate to preclude (Recipient) from also pursuing all available remedies against Contractor and its sureties for
said breach or default.
4. Waiver of Remedies for any Breach In the event that (Recipient) elects to waive its remedies for any breach
by Contractor of any covenant, term or condition of this Contract, such waiver by (Recipient) shall not limit
(Recipient)'s remedies for any succeeding breach of that or of any other term, covenant, or condition of this
Contract.
5. Termination for Convenience (Professional or Transit Service Contracts) The (Recipient), by written
notice, may terminate this contract, in whole or in part, when it is in the Government's interest. If this contract
is terminated, the Recipient shall be liable only for payment under the payment provisions of this contract for
services rendered before the effective date of termination.
6. Termination for Default (Supplies and Service) If the Contractor fails to deliver supplies or to perform the
services within the time specified in this contract or any extension or if the Contractor fails to comply with any
other provisions of this contract, the (Recipient) may terminate this contract for default. The (Recipient) shall
terminate by delivering to the Contractor a Notice of Termination specifying the nature of the default. The
Contractor will only be paid the contract price for supplies delivered and accepted, or services performed in
accordance with the manner or performance set forth in this contract.
If, after termination for failure to fulfill contract obligations, it is determined that the Contractor was not in
default, the rights and obligations of the parties shall be the same as if the termination had been issued for the
convenience of the Recipient.
7. Termination for Convenience of Default (Cost -Type Contracts) The (Recipient) may terminate this contract,
or any portion of it, by serving a notice or termination on the Contractor. The notice shall state whether the
termination is for convenience of the (Recipient) or for the default of the Contractor. If the termination is for
default, the notice shall state the manner in which the contractor has failed to perform the requirements of the
contract. The Contractor shall account for any property in its possession paid for from funds received from the
(Recipient), or property supplied to the Contractor by the (Recipient). If the termination is for default, the
(Recipient) may fix the fee, if the contract provides for a fee, to be paid the contractor in proportion to the
value, if any, of work performed up to the time of termination. The Contractor shall promptly submit its
termination claim to the (Recipient) and the parties shall negotiate the termination settlement to be paid the
Contractor.
If the termination is for the convenience of the (Recipient), the Contractor shall be paid its contract close-out
costs, and a fee, if the contract provided for payment of a fee, in proportion to the work performed up to the
time of termination.
If, after serving a notice of termination for default, the (Recipient) determines that the Contractor has an
excusable reason for not performing, such as strike, fire, flood, events which are not the fault of and are beyond
the control of the contractor, the (Recipient), after setting up a new work schedule, may allow the Contractor
to continue work, or treat the termination as a termination for convenience.
EXHIBIT B
Disadvantaged Business Enterprise
To the extent required by Federal law, regulation, or directive, the Recipient agrees to take the following measures to
facilitate participation by disadvantaged business enterprises (DBE) in the Project:
(1) The Recipient agrees and assures that it will comply with TEA -21 § 1101(b), 23 U.S.C. § 101 note, and U.S. DOT
regulations, "Participation by Disadvantaged Business Enterprises in Department of Transportation Financial Assistance
Programs," 49 C.F.R. Part 26.
(2) The Recipient agrees and assures that it shall not discriminate on the basis of race, color, sex, or national origin in
the award and performance of any third party contract, or subagreement supported with Federal assistance derived from
U.S. DOT or in the administration of its DBE program and will comply with the requirements of 49 C.F.R. Part 26. The
Recipient agrees to take all necessary and reasonable steps set forth in 49 C.F.R. Part 26 to ensure nondiscrimination in
the award and administration of all third party contracts and subagreements supported with Federal assistance derived
from U.S. DOT. As required by 49 C.F.R. Part 26 and approved by U.S. DOT, the Recipient's DBE program is
incorporated by reference and made part of the Grant Agreement or Cooperative Agreement. The Recipient agrees that
implementation of this DBE program is a legal obligation, and that failure to carry out its terms shall be treated as a
violation of the Grant Agreement or Cooperative Agreement. Upon notification by U.S. DOT to the Recipient of its
failure to implement its approved DBE program, U.S. DOT may impose sanctions as provided for under 49 C.F.R. Part
26 and may, in appropriate cases, refer the matter for enforcement under 18 U.S.C. § 1001, and/or the Program Fraud
Civil Remedies Act, 31 U.S.C. §§ 3801 et seq.
Incorporation of FTA Terms
The Recipient and contractor certify that terms in FTA C 4220.1E which replaces FTA C4220.1D will be incorporated
into contracts and sub -contracts.
Debarment and Suspension
This contract is a covered transaction for purposes of 49 CFR Part 29. As such, the contractor is required to verify that
none of the contractor, its principals, as defined at 49 CFR 29.995, or affiliates, as defined at 49 CFR 29.905, are
excluded or disqualified as defined at 49 CFR 29.940 and 29.945.
The contractor is required to comply with 49 CFR 29, Subpart C and must include the requirement to comply with 49
CFR 29, Subpart C in any lower tier covered transaction it enters into.
By signing and submitting its bid or proposal, the bidder or proposer certifies as follows:
The certification in this clause is a material representation of fact relied upon by the City of Jefferson. It if is later
determined that the bidder or proposer knowingly rendered an erroneous certification, in addition to remedies available
to the City of Jefferson, the Federal Government may pursue available remedies, including but not limited to suspension
and/or debarment. The bidder or proposer agrees to comply with the requirements of 49 CFR 29, Subpart C while this
offer is valid and throughout the period of any contract that may arise from this offer. The bidder or proposer further
agrees to include a provision requiring such compliance in its lower tier covered transactions.
Davis Bacon and Copeland Anti -Kickback Acts
(1) Minimum wages - (I) All laborers and mechanics employed or working upon the site of the work (or under the
United States Housing Act of 1937 or under the Housing Act of 1949 in the construction or development of the project),
will be paid unconditionally and not less often than once a week, and without subsequent deduction or rebate on any
EXHIBIT B
account (except such payroll deductions as are permitted by regulations issued by the Secretary of Labor under the
Copeland Act (29 CFR part 3)), the full amount of wages and bona fide fringe benefits (or cash equivalents thereof) due
at time of payment computed at rates not less than those contained in the wage determination of the Secretary of Labor
which is attached hereto and made a part hereof, regardless of any contractual relationship which may be alleged to exist
between the contractor and such laborers and mechanics.
Contributions made or costs reasonably anticipated for bona fide fringe benefits under section 1(b)(2) of the Davis -Bacon
Act on behalf of laborers or mechanics are considered wages paid to such laborers or mechanics, subject to the provisions
of paragraph (1)(iv) of this section; also, regular contributions made or costs incurred for more than a weekly period (but
not less often than quarterly) under plans, funds, or programs which cover the particular weekly period, are deemed to
be constructively made or incurred during such weekly period. Such laborers and mechanics shall be paid the appropriate
wage rate and fringe benefits on the wage determination for the classification of work actually performed, without regard
to skill, except as provided in 29 CFR Part 5.5(a)(4). Laborers or mechanics performing work in more than one
classification may be compensated at the rate specified for each classification for the time actually worked therein:
Provided, That the employer's payroll records accurately set forth the time spent in each classification in which work is
performed. The wage determination (including any additional classifications and wage rates conformed under paragraph
(1)(ii) of this section) and the Davis -Bacon poster (WH -1321) shall be posted at all times by the contractor and its
subcontractors at the site of the work in a prominent and accessible place where it can be easily seen by the workers.
(ii)(A) The contracting officer shall require that any class of laborers or mechanics, including helpers, which is not listed
in the wage determination and which is to be employed under the contract shall be classified in conformance with the
wage determination. The contracting officer shall approve an additional classification and wage rate and fringe benefits
therefore only when the following criteria have been met:
(1) Except with respect to helpers as defined as 29 CFR 5.2(n)(4), the work to be performed by the classification
requested is not performed by a classification in the wage determination; and
(2) The classification is utilized in the area by the construction industry; and
(3) The proposed wage rate, including any bona fide fringe benefits, bears a reasonable relationship to the wage rates
contained in the wage determination; and
(4) With respect to helpers as defined in 29 CFR 5.2(n)(4), such a classification prevails in the area in which the work
is performed.
(B) If the contractor and the laborers and mechanics to be employed in the classification (if known), or their
representatives, and the contracting officer agree on the classification and wage rate (including the amount designated
for fringe benefits where appropriate), a report of the action taken shall be sent by the contracting officer to the
Administrator of the Wage and Hour Division, Employment Standards Administration, U.S. Department of Labor,
Washington, DC 20210. The Administrator, or an authorized representative, will approve, modify, or disapprove every
additional classification action within 30 days of receipt and so advise the contracting officer or will notify the
contracting officer within the 30 -day period that additional time is necessary.
( C) In the event the contractor, the laborers or mechanics to be employed in the classification or their representatives,
and the contracting officer do not agree on the proposed classification and wage rate (including the amount designated
for fringe benefits, where appropriate), the contracting officer shall refer the questions, including the views of all
interested parties and the recommendation of the contracting officer, to the Administrator for determination. The
Administrator, or an authorized representative, will issue a determination within 30 days of receipt and so advise the
contracting officer or will notify the contracting officer within the 30 -day period that additional time is necessary.
EXHIBIT B
(D) The wage rate (including fringe benefits where appropriate) determined pursuant to paragraphs (a)(1)(ii) (B) or (C)
of this section, shall be paid to all workers performing work in the classification under this contract from the first day
on which work is performed in the classification.
(iii) Whenever the minimum wage rate prescribed in the contract for a class of laborers or mechanics includes a fringe
benefit which is not expressed as an hourly rate, the contractor shall either pay the benefit as stated in the wage
determination or shall pay another bona fide fringe benefit or an hourly cash equivalent thereof.
(iv) If the contractor does not make payments to a trustee or other third person, the contractor may consider as part of
the wages of any laborer or mechanic the amount of any costs reasonably anticipated in providing bona fide fringe
benefits under a plan or program, Provided, That the Secretary of Labor has found, upon the written request of the
contractor, that the applicable standards of the Davis -Bacon Act have been met. The Secretary of Labor may require the
contractor to set aside in a separate account assets for the meeting of obligations under the plan or program.
(v)(A) The contracting officer shall require that any class of laborers or mechanics which is not listed in the wage
determination and which is to be employed under the contract shall be classified in conformance with the wage
determination. The contracting officer shall approve an additional classification and wage rate and fringe benefits
therefor only when the following criteria have been met:
(1) The work to be performed by the classification requested is not performed by a classification in the wage
determination; and
(2) The classification is utilized in the area by the construction industry; and
(3) The proposed wage rate, including any bona fide fringe benefits, bears a reasonable relationship to the wage rates
contained in the wage determination.
(B) If the contractor and the laborers and mechanics to be employed in the classification (if known), or their
representatives, and the contracting officer agree on the classification and wage rate (including the amount designated
for fringe benefits where appropriate), a report of the action taken shall be sent by the contracting officer to the
Administrator of the Wage and Hour Division, Employment Standards Administration, Washington, DC 20210. The
Administrator, or an authorized representative, will approve, modify, or disapprove every additional classification action
within 30 days of receipt and so advise the contracting officer or will notify the contracting officer within the 30 -day
period that additional time is necessary.
( C) In the event the contractor, the laborers or mechanics to be employed in the classification or their representatives,
and the contracting officer do not agree on the proposed classification and wage rate (including the amount designated
for fringe benefits, where appropriate), the contracting officer shall refer the questions, including the views of all
interested parties and the recommendation of the contracting officer, to the Administrator for determination. The
Administrator, or an authorized representative, will issue a determination with 30 days of receipt and so advise the
contracting officer or will notify the contracting officer within the 30 -day period that additional time is necessary.
(D) The wage rate (including fringe benefits where appropriate) determined pursuant to paragraphs (a)(1)(v) (B) or ( C)
of this section, shall be paid to all workers performing work in the classification under this contract from the first day
on which work is performed in the classification.
(2) Withholding - The City of Jefferson shall upon its own action or upon written request of an authorized representative
of the Department of Labor withhold or cause to be withheld from the contractor under this contract or any other Federal
contract with the same prime contractor, or any other federally -assisted contract subject to Davis -Bacon prevailing wage
requirements, which is held by the same prime contractor, so much of the accrued payments or advances as may be
considered necessary to pay laborers and mechanics, including apprentices, trainees, and helpers, employed by the
EXHIBIT B
contractor or any subcontractor the full amount of wages required by the contract. In the event of failure to pay any
laborer or mechanic, including any apprentice, trainee, or helper, employed or working on the site of the work (or under
the United States Housing Act of 1937 or under the Housing Act of 1949 in the construction or development of the
project), all or part of the wages required by the contract, the City of Jefferson may, after written notice to the contractor,
sponsor, applicant, or owner, take such action as may be necessary to cause the suspension of any further payment,
advance, or guarantee of funds until such violations have ceased.
(3) Payrolls and basic records - (I) Payrolls and basic records relating thereto shall be maintained by the contractor
during the course of the work and preserved for a period of three years thereafter for all laborers and mechanics working
at the site of the work (or under the United States Housing Act of 1937, or under the Housing Act of 1949, in the
construction or development of the project). Such records shall contain the name, address, and social security number
of each such worker, his or her correct classification, hourly rates of wages paid (including rates of contributions or costs
anticipated for bona fide fringe benefits or cash equivalents thereof of the types described in section 1(b)(2)(B) of the
Davis -Bacon Act), daily and weekly number of hours worked, deductions made and actual wages paid. Whenever the
Secretary of Labor has found under 29 CFR 5.5(a)(1)(iv) that the wages of any laborer or mechanic include the amount
of any costs reasonably anticipated in providing benefits under a plan or program described in section 1(b)(2)(B) of the
Davis -Bacon Act, the contractor shall maintain records which show that the commitment to provide such benefits is
enforceable, that the plan or program is financially responsible, and that the plan or program has been communicated
in writing to the laborers or mechanics affected, and records which show the costs anticipated or the actual cost incurred
in providing such benefits. Contractors employing apprentices or trainees under approved programs shall maintain written
evidence of the registration of apprenticeship programs and certification of trainee programs, the registration of the
apprentices and trainees, and the ratios and wage rates prescribed in the applicable programs.
(ii)(A) The contractor shall submit weekly for each week in which any contract work is performed a copy of all payrolls
to the City of Jefferson for transmission to the Federal Transit Administration. The payrolls submitted shall set out
accurately and completely all of the information required to be maintained under section 5.5(a)(3)(I) of Regulations, 29
CFR part 5. This information maybe submitted in any form desired. Optional Form WH -347 is available for this purpose
and may be purchased from the Superintendent of Documents (Federal Stock Number 029-005-00014-1), U.S.
Government Printing Office, Washington, DC 20402. The prime contractor is responsible for the submission of copies
of payrolls by all subcontractors.
(B) Each payroll submitted shall be accompanied by a "Statement of Compliance," signed by the contractor or
subcontractor or his or her agent who pays or supervises the payment of the persons employed under the contract and
shall certify the following:
(1) That the payroll for the payroll period contains the information required to be maintained under section 5.5(a)(3)(I)
of Regulations, 29 CFR part 5 and that such information is correct and complete;
(2) That each laborer or mechanic (including each helper, apprentice, and trainee) employed on the contract during the
payroll period has been paid the full weekly wages earned, without rebate, either directly or indirectly, and that no
deductions have been made either directly or indirectly from the full wages earned, other than permissible deductions
as set forth in Regulations, 29 CFR part 3;
(3) That each laborer or mechanic has been paid not less than the applicable wage rates and fringe benefits or cash
equivalents for the classification of work performed, as specified in the applicable wage determination incorporated into
the contract.
(C) The weekly submission of a properly executed certification set forth on the reverse side of Optional Form WH -347
shall satisfy the requirement for submission of the "Statement of Compliance" required by paragraph (a)(3)(ii)(B) of this
section.
EXHIBIT B
(D) The falsification of any of the above certifications may subject the contractor or subcontractor to civil or criminal
prosecution under section 1001 of title 18 and section 231 of title 31 of the United States Code.
(iii) The contractor or subcontractor shall make the records required under paragraph (a)(3)(I) of this section available
for inspection, copying, or transcription by authorized representatives of the Federal Transit Administration or the
Department of Labor, and shall permit such representatives to interview employees during working hours on the job. If
the contractor or subcontractor fails to submit the required records or to make them available, the Federal agency may,
after written notice to the contractor, sponsor, applicant, or owner, take such action as may be necessary to cause the
suspension of any further payment, advance, or guarantee of funds. Furthermore, failure to submit the required records
upon request or to make such records available may be grounds for debarment action pursuant to 29 CFR 5.12.
(4) Apprentices and trainees - (I) Apprentices - Apprentices will be permitted to work at less than the predetermined
rate for the work they performed when they are employed pursuant to and individually registered in a bona fide
apprenticeship program registered with the U.S. Department of Labor, Employment and Training Administration, Bureau
of Apprenticeship and Training, or with a State Apprenticeship Agency recognized by the Bureau, or if a person is
employed in his or her first 90 days of probationary employment as an apprentice in such an apprenticeship program,
who is not individually registered in the program, but who has been certified by the Bureau of Apprenticeship and
Training or a State Apprenticeship Agency (where appropriate) to be eligible for probationary employment as an
apprentice. The allowable ratio of apprentices to journeymen on the job site in any craft classification shall not be greater
than the ratio permitted to the contractor as to the entire work force under the registered program. Any worker listed on
a payroll at an apprentice wage rate, who is not registered or otherwise employed as stated above, shall be paid not less
than the applicable wage rate on the wage determination for the classification of work actually performed. In addition,
any apprentice performing work on the job site in excess of the ratio permitted under the registered program shall be paid
not less than the applicable wage rate on the wage determination for the work actually performed. Where a contractor
is performing construction on a project in a locality other than that in which its program is registered, the ratios and wage
rates (expressed in percentages of the journeyman's hourly rate) specified in the contractor's or subcontractor's registered
program shall be observed. Every apprentice must be paid at not less than the rate specified in the registered program
for the apprentice's level of progress, expressed as a percentage of the journeymen hourly rate specified in the applicable
wage determination. Apprentices shall be paid fringe benefits in accordance with the provisions of the apprenticeship
program. If the apprenticeship program does not specify fringe benefits, apprentices must be paid the full amount of
fringe benefits listed on the wage determination for the applicable classification. If the Administrator of the Wage and
Hour Division of the U.S. Department of Labor determines that a different practice prevails for the applicable apprentice
classification, fringes shall be paid in accordance with that determination. In the event the Bureau of Apprenticeship and
Training, ora State Apprenticeship Agency recognized by the Bureau, withdraws approval of an apprenticeship program,
the contractor will no longer be permitted to utilize apprentices at less than the applicable predetermined rate for the work
performed until an acceptable program is approved.
(ii) Trainees - Except as provided in 29 CFR 5.16, trainees will not be permitted to work at less than the predetermined
rate for the work performed unless they are employed pursuant to and individually registered in a program which has
received prior approval, evidenced by formal certification by the U.S. Department of Labor, Employment and Training
Administration. The ratio of trainees to journeymen on the job site shall not be greater than permitted under the plan
approved by the Employment and Training Administration. Every trainee must be paid at not less than the rate specified
in the approved program for the trainee's level of progress, expressed as a percentage of the journeyman hourly rate
specified in the applicable wage determination. Trainees shall be paid fringe benefits in accordance with the provisions
of the trainee program. If the trainee program does not mention fringe benefits, trainees shall be paid the full amount of
fringe benefits listed on the wage determination unless the Administrator of the Wage and Hour Division determines that
there is an apprenticeship program associated with the corresponding journeyman wage rate on the wage determination
which provides for less than full fringe benefits for apprentices. Any employee listed on the payroll at a trainee rate who
is not registered and participating in a training plan approved by the Employment and Training Administration shall be
paid not less than the applicable wage rate on the wage determination for the classification of work actually performed.
In addition, any trainee performing work on the job site in excess of the ratio permitted under the registered program shall
be paid not less than the applicable wage rate on the wage determination for the work actually performed. In the event
EXHIBIT B
the Employment and Training Administration withdraws approval of a training program, the contractor will no longer
be permitted to utilize trainees at less than the applicable predetermined rate for the work performed until an acceptable
program is approved.
(iii) Equal employment opportunity - The utilization of apprentices, trainees and journeymen under this part shall be in
conformity with the equal employment opportunity requirements of Executive Order 11246, as amended, and 29 CFR
part 30.
1. (5) Compliance with Copeland Act requirements - The contractor shall comply with the requirements of 29 CFR
part 3, which are incorporated by reference in this contract.
(6) Subcontracts - The contractor or subcontractor shall insert in any subcontracts the clauses contained in 29 CFR
5.5(a)(1) through (10) and such other clauses as the Federal Transit Administration may by appropriate instructions
require, and also a clause requiring the subcontractors to include these clauses in any lower tier subcontracts. The prime
contractor shall be responsible for the compliance by any subcontractor or lower tier subcontractor with all the contract
clauses in 29 CFR 5.5.
(7) Contract termination: debarment - A breach of the contract clauses in 29 CFR 5.5 may be grounds for termination
of the contract, and for debarment as a contractor and a subcontractor as provided in 29 CFR 5.12.
(8) Compliance with Davis -Bacon and Related Act requirements - All rulings and interpretations of the Davis -Bacon
and Related Acts contained in 29 CFR parts 1, 3, and 5 are herein incorporated by reference in this contract.
(9) Disputes concerning labor standards - Disputes arising out of the labor standards provisions of this contract shall
not be subject to the general disputes clause of this contract. Such disputes shall be resolved in accordance with the
procedures of the Department of Labor set forth in 29 CFR parts 5, 6, and 7. Disputes within the meaning of this clause
include disputes between the contractor (or any of its subcontractors) and the contracting agency, the U.S. Department
of Labor, or the employees or their representatives.
(10) Certification of eligibility - (I) By entering into this contract, the contractor certifies that neither it (nor he or she)
nor any person or firm who has an interest in the contractor's firm is a person or firm ineligible to be awarded
Government contracts by virtue of section 3(a) of the Davis -Bacon Act or 29 CFR 5.12(a)(1).
(ii) No part of this contract shall be subcontracted to any person or firm ineligible for award of a Government contract
by virtue of section 3(a) of the Davis -Bacon Act or 29 CFR 5.12(a)(1).
(iii) The penalty for making false statements is prescribed in the U.S. Criminal Code, 18 U.S.C. 1001.
Contract Work Hours and Safety Standards
(1) Overtime requirements - No contractor or subcontractor contracting for any part of the contract work which may
require or involve the employment of laborers or mechanics shall require or permit any such laborer or mechanic in any
workweek in which he or she is employed on such work to work in excess of forty hours in such workweek unless such
laborer or mechanic receives compensation at a rate not less than one and one-half times the basic rate of pay for all
hours worked in excess of forty hours in such workweek.
(2) Violation; liability for unpaid wages; liquidated damages - In the event of any violation of the clause set forth
in paragraph (1) of this section the contractor and any subcontractor responsible therefor shall be liable for the unpaid
wages. In addition, such contractor and subcontractor shall be liable to the United States for liquidated damages. Such
liquidated damages shall be computed with respect to each individual laborer or mechanic, including watchmen and
guards, employed in violation of the clause set forth in paragraph (1) of this section, in the sum of $10 for each calendar
day on which such individual was required or permitted to work in excess of the standard workweek of forty hours
without payment of the overtime wages required by the clause set forth in paragraph (1) of this section.
EXHIBIT B
(3) Withholding for unpaid wages and liquidated damages - The (write in the name of the grantee) shall upon its own
action or upon written request of an authorized representative of the Department of Labor withhold or cause to be
withheld, from any moneys payable on account of work performed by the contractor or subcontractor under any such
contract or any other Federal contract with the same prime contractor, or any other federally -assisted contract subject
to the Contract Work Hours and Safety Standards Act, which is held by the same prime contractor, such sums as may
be determined to be necessary to satisfy any liabilities of such contractor or subcontractor for unpaid wages and
liquidated damages as provided in the clause set forth in paragraph (2) of this section.
(4) Subcontracts - The contractor or subcontractor shall insert in any subcontracts the clauses set forth in paragraphs
(1) through (4) of this section and also a clause requiring the subcontractors to include these clauses in any lower tier
subcontracts. The prime contractor shall be responsible for compliance by any subcontractor or lower tier subcontractor
with the clauses set forth in paragraphs (1) through (4) of this section.
Energy Conservation Requirements
The contractor agrees to comply with mandatory standards and policies relating to energy efficiency which are contained
in the state energy conservation plan issued in compliance with the Energy Policy and Conservation Act.
Prompt Payment Claus
The prime contractor agrees to pay each subcontractor under this prime contract for satisfactory performance of its
contract no later than thirty days from receipt of each payment the prime contract receives from City of Jefferson,
Missouri. The prime contractor agrees further to return retainage payments to each subcontractor within thirty days after
the subcontractors work is satisfactorily completed. Any delay or postponement or postponement of payment from the
above referenced time frame any occur only for good cause following written approval of the City of Jefferson, Missouri.
The clause applies to both DBE and non -DBE subcontracts.
CITY OF JEFFERSON
AMENDMENT AND RENEWAL TO CONTRACT FOR AUDIT
SERVICES
WHEREAS,the City of Jefferson,Missouri,a municipal corporation,with offices at 320 East
McCarty,Jefferson City,Missouri,65101,hereinafter designated "City,"entered into a Contract
with Evers &Company,CPA's,LLC,with offices at 520 Dix Road,Jefferson City,Missouri,65101,
hereinafter referred to as "Auditor,"on October 10,2016;and
WHEREAS,the Contract was for technical and professional services related auditing of financial
records of the City;and
WHEREAS,both parties wish to extend the agreement for the first of two additional one-year
renewal periods as stipulated in Paragraph 16 of the agreement dated October 10,2016;and
WHEREAS,both parties wish to attach federal clauses to the agreement,hereinafter referred to as
Exhibit A;and
NOW,THEREFORE,be it agreed by the parties that the agreement is hereby renewed for the
second of the two additional one-year periods to end October 31,2018, for the fiscal period ending
October 31,2017.
IN TESTIMONY WHEREOF,the parties have hereunto set their hands and seals this 3 day ofJuly,2017.
CITY OF JEFFERSON,MISSOURI EVERS &COMPANY,CPA'S,LLC
'<&£K^>
fie:CM "?Ui^*J&^
ATTEST:ATTEST:
gja J2ted.ijf^M^
ity CleYk
APPROVED AS TO FORM:
Audit Services Amendment and Renewal (06.16.17)
EXHIBIT A
Federal Funds To be Used
The City of Jefferson is a recipient of federal funds; therefore, the following requirements shall
be fully considered in preparing bids and performing work under any resulting award.
No Obligation by the Federal Government
(1) The Purchaser and Contractor acknowledge and agree that, notwithstanding any concurrence by the
Federal Government in or approval of the solicitation or award of the underlying contract, absent the
express written consent by the Federal Government, the Federal Government is not a party to this
contract and shall not be subject to any obligations or liabilities to the Purchaser, Contractor, or any
other party (whether or not a party to that contract) pertaining to any matter resulting from the
underlying contract.
(2) The Contractor agrees to include the above clause in each subcontract financed in whole or in part
with Federal assistance provided by FTA. It is further agreed that the clause shall not be modified,
except to identify the subcontractor who will be subject to its provisions.
Program Fraud and False or Fraudulent Statements or Related Acts
(1) The Contractor acknowledges that the provisions of the Program Fraud Civil Remedies Act of 1986, as
amended, 31 U.S.C. § 3801 et seg. and U.S. DOT regulations, "Program Fraud Civil Remedies," 49 C.F.R.
Part 31, apply to its actions pertaining to this Project. Upon execution of the underlying contract, the
Contractor certifies or affirms the truthfulness and accuracy of any statement it has made, it makes, it
may make, or causes to be made, pertaining to the underlying contract or the FTA assisted project for
which this contract work is being performed. In addition to other penalties that may be applicable, the
Contractor further acknowledges that if it makes, or causes to be made, a false, fictitious, or fraudulent
claim, statement, submission, or certification, the Federal Government reserves the right to impose the
penalties of the Program Fraud Civil Remedies Act of 1986 on the Contractor to the extent the Federal
Government deems appropriate.
(2) The Contractor also acknowledges that if it makes, or causes to be made, a false, fictitious, or
fraudulent claim, statement, submission, or certification to the Federal Government under a contract
connected with a project that is financed in whole or in part with Federal assistance originally awarded
by FTA under the authority of 49 U.S.C. § 5307, the Government reserves the right to impose the
penalties of 18 U.S.C. § 1001 and 49 U.S.C. § 5307(n)(1) on the Contractor, to the extent the Federal
Government deems appropriate.
(3) The Contractor agrees to include the above two clauses in each subcontract financed in whole or in
part with Federal assistance provided by FTA. It is further agreed that the clauses shall not be modified,
except to identify the subcontractor who will be subject to the provisions.
Access to Records
The following access to records requirements apply to this Contract:
1. Where the Purchaser is not a State but a local government and is the FTA Recipient or a subgrantee of
the FTA Recipient in accordance with 49 C. F. R. 18.36(1), the Contractor agrees to provide the Purchaser,
5
the FTA Administrator, the Comptroller General of the United States or any of their authorized
representatives access to any books, documents, papers and records of the Contractor which are
directly pertinent to this contract for the purposes of making audits, examinations, excerpts and
transcriptions. Contractor also agrees, pursuant to 49 C. F. R. 633.17 to provide the FTA Administrator or
his authorized representatives including any PMO Contractor access to Contractor's records and
construction sites pertaining to a major capital project, defined at 49 U.S.C. 5302(a)1, which is receiving
federal financial assistance through the programs described at 49 U.S.C. 5307, 5309 or 5311.
2. Where the Purchaser is a State and is the FTA Recipient or a subgrantee of the FTA Recipient in
accordance with 49 C.F.R. 633.17, Contractor agrees to provide the Purchaser, the FTA Administrator or
his authorized representatives, including any PMO Contractor, access to the Contractor's records and
construction sites pertaining to a major capital project, defined at 49 U.S.C. 5302(a)1, which is receiving
federal financial assistance through the programs described at 49 U.S.C. 53070 5309 or 5311. By
definition, a major capital project excludes contracts of less than the simplified acquisition threshold
currently set at $100,000.
3. Where the Purchaser enters into a negotiated contract for other than a small purchase or under the
simplified acquisition threshold and is an institution of higher education, a hospital or other non-profit
organization and is the FTA Recipient or a subgrantee of the FTA Recipient in accordance with 49 C.F.R.
19.48, Contractor agrees to provide the Purchaser, FTA Administrator, the Comptroller General of the
United States or any of their duly authorized representatives with access to any books, documents,
papers and record of the Contractor which are directly pertinent to this contract for the purposes of
making audits, examinations, excerpts and transcriptions.
4. Where any Purchaser which is the FTA Recipient or a subgrantee of the FTA Recipient in accordance
with 49 U.S.C. 5325(a) enters into a contract for a capital project or improvement (defined at 49 U.S.C.
5302(a)1) through other than competitive bidding, the Contractor shall make available records related
to the contract to the Purchaser, the Secretary of Transportation and the Comptroller General or any
authorized officer or employee of any of them for the purposes of conducting an audit and inspection.
5. The Contractor agrees to permit any of the foregoing parties to reproduce by any means whatsoever
or to copy excerpts and transcriptions as reasonably needed.
6. The Contractor agrees to maintain all books, records, accounts and reports required under this
contract for a period of not less than three years after the date of termination or expiration of this
contract, except in the event of litigation or settlement of claims arising from the performance of this
contract, in which case Contractor agrees to maintain same until the Purchaser, the FTA Administrator,
the Comptroller General, or any of their duly authorized representatives, have disposed of all such
litigation, appeals, claims or exceptions related thereto. Reference 49 CFR 18.39(!)(11).
7. FTA does not require the inclusion of these requirements in subcontracts.
Federal Changes
The contractor shall at all times comply with all applicable FTA regulations, policies, procedures and
directives, including without limitation those listed directly or by reference in the Agreement (Form FTA
MA(10) dated October, 2003) between Purchaser and FTA, as they may be amended or promulgated
0
from time to time during the term of this contract. Contractor's failure to so comply shall constitute a
material breach of this contract.
Civil Rights
The following requirements apply to the underlying contract:
(1) Nondiscrimination - In accordance with Title VI of the Civil Rights Act, as amended, 42 U.S.C. § 2000d,
section 303 of the Age Discrimination Act of 1975, as amended, 42 U.S.C. § 6102, section 202 of the
Americans with Disabilities Act of 1990, 42 U.S.C. § 12132, and Federal transit law at 49 U.S.C. § 5332,
the Contractor agrees that it will not discriminate against any employee or applicant for employment
because of race, color, creed, national origin, sex, age, or disability. In addition, the Contractor agrees to
comply with applicable Federal implementing regulations and other implementing requirements FTA
may issue.
(2) Equal Employment Opportunity - The following equal employment opportunity requirements apply
to the underlying contract:
(a) Race, Color, Creed, National Origin. Sex - In accordance with Title VII of the Civil Rights Act, as
amended, 42 U.S.C. § 2000e, and Federal transit laws at 49 U.S.C. § 5332, the Contractor agrees to
comply with all applicable equal employment opportunity requirements of U.S. Department of Labor
(U.S. DOL) regulations, "Office of Federal Contract Compliance Programs, Equal Employment
Opportunity, Department of Labor," 41 C.F.R. Parts 60 et seg., (which implement Executive Order No.
112461 "Equal Employment Opportunity," as amended by Executive Order No. 11375, "Amending
Executive Order 11246 Relating to Equal Employment Opportunity," 42 U.S.C. § 2000e note), and with
any applicable Federal statutes, executive orders, regulations, and Federal policies that may in the
future affect construction activities undertaken in the course of the Project. The Contractor agrees to
take affirmative action to ensure that applicants are employed, and that employees are treated during
employment, without regard to their race, color, creed, national origin, sex, or age. Such action shall
include, but not be limited to, the following: employment, upgrading, demotion or transfer, recruitment
or recruitment advertising, layoff or termination; rates of pay or other forms of compensation; and
selection for training, including apprenticeship. In addition, the Contractor agrees to comply with any
implementing requirements FTA may issue.
(b) Age - In accordance with section 4 of the Age Discrimination in Employment Act of 1967, as
amended, 29 U.S.C. § § 623 and Federal transit law at 49 U.S.C. § 5332, the Contractor agrees to refrain
from discrimination against present and prospective employees for reason of age. In addition, the
Contractor agrees to comply with any implementing requirements FTA may issue.
( c) Disabilities - In accordance with section 102 of the Americans with Disabilities Act, as
amended, 42 U.S.C. § 12112, the Contractor agrees that it will comply with the requirements of U.S.
Equal Employment Opportunity Commission, "Regulations to Implement the Equal Employment
Provisions of the Americans with Disabilities Act," 29 C.F.R. Part 1630, pertaining to employment of
persons with disabilities. In addition, the Contractor agrees to comply with any implementing
requirements FTA may issue.
(3) The Contractor also agrees to include these requirements in each subcontract financed in whole or in
part with Federal assistance provided by FTA, modified only if necessary to identify the affected parties.
`7
Termination of Contract
a. Termination for Convenience (General Provision) The City of Jefferson may terminate this contract,
in whole or in part, at any time by written notice to the Contractor when it is in the Government's best
interest. The Contractor shall be paid its costs, including contract close-out costs, and profit on work
performed up to the time of termination. The Contractor shall promptly submit its termination claim to
the City of Jefferson to be paid the Contractor. If the Contractor has any property in its possession
belonging to the City of Jefferson, the Contractor will account for the same, and dispose of it in the
manner the City of Jefferson directs.
b. Termination for Default [Breach or Cause] (General Provision) If the Contractor does not deliver
supplies in accordance with the contract delivery schedule, or, if the contract is for services, the
Contractor fails to perform in the manner called for in the contract, or if the Contractor fails to comply
with any other provisions of the contract, the City of Jefferson may terminate this contract for default.
Termination shall be effected by serving a notice of termination on the contractor setting forth the
manner in which the Contractor is in default. The contractor will only be paid the contract price for
supplies delivered and accepted, or services performed in accordance with the manner of performance
set forth in the contract.
If it is later determined by the City of Jefferson that the Contractor had an excusable reason for not
performing, such as a strike, fire, or flood, events which are not the fault of or are beyond the control of
the Contractor, the City of Jefferson, after setting up a new delivery of performance schedule, may
allow the Contractor to continue work, or treat the termination as a termination for convenience.
c. Opportunity to Cure (General Provision) The City of Jefferson in its sole discretion may, in the case of
a termination for breach or default, allow the Contractor [an appropriately short period of time] in
which to cure the defect. In such case, the notice of termination will state the time period in which cure
is permitted and other appropriate conditions
If Contractor fails to remedy to the City of Jefferson's satisfaction the breach or default of any of the
terms, covenants, or conditions of this Contract within [ten (10) days] after receipt by Contractor of
written notice from the City of Jefferson setting forth the nature of said breach or default, the City of
Jefferson shall have the right to terminate the Contract without any further obligation to Contractor.
Any such termination for default shall not in any way operate to preclude the City of Jefferson from also
pursuing all available remedies against Contractor and its sureties for said breach or default.
d. Waiver of Remedies for any Breach In the event that the City of Jefferson elects to waive its remedies
for any breach by Contractor of any covenant, term or condition of this Contract, such waiver by the City
of Jefferson shall not limit the City of Jefferson's remedies for any succeeding breach of that or of any
other term, covenant, or condition of this Contract.
e. Termination for Convenience (Professional or Transit Service Contracts) The City of Jefferson, by
written notice, may terminate this contract, in whole or in part, when it is in the Government's interest.
If this contract is terminated, the Recipient shall be liable only for payment under the payment
provisions of this contract for services rendered before the effective date of termination.
8
f. Termination for Default (Supplies and Service) If the Contractor fails to deliver supplies or to perform
the services within the time specified in this contract or any extension or if the Contractor fails to
comply with any other provisions of this contract, the City of Jefferson may terminate this contract for
default. The City of Jefferson shall terminate by delivering to the Contractor a Notice of Termination
specifying the nature of the default. The Contractor will only be paid the contract price for supplies
delivered and accepted, or services performed in accordance with the manner or performance set forth
in this contract.
If, after termination for failure to fulfill contract obligations, it is determined that the Contractor was not
in default, the rights and obligations of the parties shall be the same as if the termination had been
issued for the convenience of the Recipient.
j. Termination for Convenience of Default (Cost -Type Contracts) The City of Jefferson may terminate
this contract, or any portion of it, by serving a notice or termination on the Contractor. The notice shall
state whether the termination is for convenience of the City of Jefferson or for the default of the
Contractor. If the termination is for default, the notice shall state the manner in which the contractor
has failed to perform the requirements of the contract. The Contractor shall account for any property in
its possession paid for from funds received from the City of Jefferson, or property supplied to the
Contractor by the City of Jefferson. If the termination is for default, the City of Jefferson may fix the fee,
if the contract provides for a fee, to be paid the contractor in proportion to the value, if any, of work
performed up to the time of termination. The Contractor shall promptly submit its termination claim to
the City of Jefferson and the parties shall negotiate the termination settlement to be paid the
Contractor.
If the termination is for the convenience of the City of Jefferson, the Contractor shall be paid its contract
close-out costs, and a fee, if the contract provided for payment of a fee, in proportion to the work
performed up to the time of termination.
If, after serving a notice of termination for default, the City of Jefferson determines that the Contractor
has an excusable reason for not performing, such as strike, fire, flood, events which are not the fault of
and are beyond the control of the contractor, the City of Jefferson, after setting up a new work
schedule, may allow the Contractor to continue work, or treat the termination as a termination for
convenience.
Incorporation of FTA Terms
The Recipient and contractor certify that terms in FTA C 4220.1E which replaces FTA C4220.11) will be
incorporated into contracts and sub -contracts.
Disadvantaged Business Enterprise
To the extent required by Federal law, regulation, or directive, the Recipient agrees to take the following
measures to facilitate participation by disadvantaged business enterprises (DBE) in the Project:
(1) The Recipient agrees and assures that it will comply with TEA -21 § 1101(b), 23 U.S.C. § 101 note,
and U.S. DOT regulations, "Participation by Disadvantaged Business Enterprises in Department
of Transportation Financial Assistance Programs," 49 C.F.R. Part 26.
(2) The Recipient agrees and assures that it shall not discriminate on the basis of race, color, sex,
or national origin in the award and performance of any third party contract, or subagreement
supported with Federal assistance derived from U.S. DOT or in the administration of its DBE
program and will comply with the requirements of 49 C.F.R. Part 26. The Recipient agrees to
take all necessary and reasonable steps set forth in 49 C.F.R. Part 26 to ensure
nondiscrimination in the award and administration of all third party contracts and
subagreements supported with Federal assistance derived from U.S. DOT. As required by 49
C.F.R. Part 26 and approved by U.S. DOT, the Recipient's DBE program is incorporated by
reference and made part of the Grant Agreement or Cooperative Agreement. The Recipient
agrees that implementation of this DBE program is a legal obligation, and that failure to carry
out its terms shall be treated as a violation of the Grant Agreement or Cooperative Agreement.
Upon notification by U.S. DOT to the Recipient of its failure to implement its approved DBE
program, U.S. DOT may impose sanctions as provided for under 49 C.F.R. Part 26 and may, in
appropriate cases, refer the matter for enforcement under 18 U.S.C. § 1001, and/or the
Program Fraud Civil Remedies Act, 31 U.S.C. §§ 3801 et seq.
Debarment and Suspension (non -procurement)
This contract is a covered transaction for purposes of 49 CFR Part 29. As such, the contractor is required
to verify that none of the contractor, its principals, as defined at 49 CFR 29.995, or affiliates, as defined
at 49 CFR 29.905, are excluded or disqualified as defined at 49 CFR 29.940 and 29.945. The contractor is
required to comply with 49 CFR 29, Subpart C and must include the requirement to comply with 49 CFR
29, Subpart C in any lower tier covered transaction it enters into. By signing and submitting its bid or
proposal, the bidder or proposer certifies as follows:
The certification in this clause is a material representation of fact relied upon by the City of Jefferson. It
if is later determined that the bidder or proposer knowingly rendered an erroneous certification, in
addition to remedies available to the City of Jefferson, the Federal Government may pursue available
remedies, including but not limited to suspension and/or debarment. The bidder or proposer agrees to
comply with the requirements of 49 CFR 29, Subpart C while this offer is valid and throughout the period
of any contract that may arise from this offer. The bidder or proposer further agrees to include a
provision requiring such compliance in its lower tier covered transactions.
Energy Conservation Requirements
The contractor agrees to comply with mandatory standards and policies relating to energy efficiency
which are contained in the state energy conservation plan issued in compliance with the Energy Policy
and Conservation Act.
PROTEST PROCEDURE
For all bids not exempted from the competitive bidding procedures, the City of Jefferson will
provide a tabulation of bids and recommendation for award by telephone, fax, or mail to all
responding bidders. Bidders wishing to challenge the award decision shall have a specified
time, as listed on the recommendation for award, to file a bid protest with the purchasing
agent.
10
The protest period will be two (2) working days for telephone bids, ten (10) working days for
informal written bids, and fifteen (15) working days for formal sealed bids.
The protest must be filed in writing to the purchasing agent and must specify the grounds upon
which the protest is based. A valid protest must 1) come from an actual bidder or offeror for
the request, and 2) who claim to be the rightful award. That is, protest is not valid if filed by a
bidder who cannot show they would be awarded the contract if their protest were accepted.
The purchasing agent will review the protest and issue a written decision. If the bidder
disagrees with the decision of the purchasing agent, the decision may be appealed to the
finance director. The request for appeal must be filed within a specified time, as listed on the
protest decision, with the purchasing agent. The request must describe the specific reason for
the appeal and is limited to those matters that were raised in the original protest letter.
The finance director will review the protest and issue a written decision. If the bidder is not
satisfied, it may ask that its protest be considered by the city administrator if the award is less
than $25,000.00 or the city council if the award is in excess of $25,000.00. Any decision
regarding the matter made by the city administrator or city council is final.
All protests will be reported to the Federal funding entities.
PROMPT PAYMENT CLAUSE
The prime contractor agrees to pay each subcontractor under this prime contract for
satisfactory performance of its contract no later than thirty days from receipt of each payment
the prime contract receives from City of Jefferson, Missouri. The prime contractor agrees
further to return retainage payments to each subcontractor within thirty days after the
subcontractors work is satisfactorily completed. Any delay or postponement of payment from
the above referenced time frame may occur only for good cause following written approval of
the City of Jefferson, Missouri. This clause applies to both DBE and non -DBE subcontract.
11