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HomeMy Public PortalAbout16-9273 Piggyback off the Miami Gardens Auditing Services w/Anthony Brunson Sponsored by: Mayor Taylor RESOLUTION NO. 16-9273 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF OPA-LOCKA, FLORIDA, AUTHORIZING THE CITY MANAGER TO PIGGYBACK OFF OF THE MIAMI GARDENS EXTERNAL AUDITING SERVICES AGREEMENT WITH ANTHONY BRUNSON, P.A.; PROVIDING FOR INCORPORATION OF RECITALS; PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, The City received a letter date November 3, 2016, from The Florida Legislature Joint Legislative Auditing Committee on or about November 14, 2016 (EXHIBIT "A"); and WHEREAS, The Annual Financial Report and the Annual Financial Audit Report required for Fiscal Year 2014-2015 are past due; and WHEREAS, The City is subject to State action if the reports are not filed and a response is not give as to why they are past due; and WHEREAS, Time is of the essence to avoid State action and to mitigate the potential penalties associated with any prolonged failure to provide the required reports; and WHEREAS, The annual financial report and annual financial audit report for fiscal years 2014-2015 and 2015-2016 are necessary to meet the requirements under the City's bond covenants and other obligations; and WHEREAS, The City finds that it is in Its best interest to piggyback off of the City of Miami Gardens' external auditing agreement with Anthony Brunson, P.A., and to enter into an agreement (EXHIBIT "B") with Anthony Brunson, P.A. for external auditing services. NOW THEREFORE BE IT RESOLVED THAT THE CITY COMMISSION OF THE CITY OF OPA LOCKA, FLORIDA: Section 1. The recitals to the preamble herein are incorporated by reference. Section 2. The City Commission of the City of Opa-locka hereby authorizes the City Manager to piggyback off of the City of Miami Gardens' external auditing services agreement with Anthony Brunson, P.A., and to enter into an agreement (EXHIBIT "B") with Anthony Brunson, P.A. for external auditing services. Section 3. This Resolution shall take effect immediately upon adoption, and is subject to the review of the State of Florida Financial Oversight Board for the City of Opa-locka, FL. PASSED AND ADOPTED this 17th day of November, 2016. Myr: L. Saylor Mayor test to: Approved as to form and legal sufficiency: (1, Jo4 a Flores Vincent T. Brown, Esq. City Clerk The Brown Law Group, LLC City Attorney Moved by: COMMISSIONER RILEY Seconded by: COMMISSIONER SANTIAGO Commissioner Vote: 3-1 Commissioner Kelley: NO Commissioner Riley: YES Commissioner Santiago: YES Vice Mayor Holmes: NOT PRESENT Mayor Taylor: YES Exhibit "A" ANDY GARDINER STEVE CRISAFULLI President of the Senate Speaker of the House yg,138?, THE FLORIDA LEGISLATURE 04 g.. * s `:4°z,,* JOINT LEGISLATIVE AUDITING COMMITTEE7a.. i 0 ,,1� `. �". %' � IA` �T'�' - Jt �o�!,�e°,4, .. R �, * re OF FS`_- .ktosivs. Senator Lizbeth Benacquisto Representative Daniel D.Raulerson,Chair Representative Debbie Mayfield Senator Rob Bradley Senator Joseph Abruzzo,Vice Chair Representative Amanda Murphy Senator Audrey Gibson Representative Ray Rodrigues Senator Wilton Simpson Representative Cynthia Stafford November 3, 2016 CERTIFIED MAIL RETURN RECEIPT REQUESTED 71hi ma c The Honorable Myra L. Taylor, Mayor i... � City of Opa-Locka 7.1 .- 780 Fisherman St Ste 140 ? Opa-locka, FL 33054-3807 -} C'' R) Dear Mayor Taylor: Based on correspondence and records from the Department of Financial Services (DFS) and the Auditor General,the City of Opa-Locka is being contacted because the following required financial reports have not yet been submitted(these reports were due no later than June 30,2016): FY 2014-15 Annual Financial Report(AFR) FY 2014-15 Annual Financial Audit Report(Audit)* (*)Section 218.39(1)(b).Florida Statutes,requires an annual financial audit report from each municipality with revenues or total expenditures and expenses in excess of $250,000, as reported on the fund financial statements. Section 218.39(1)(e). Florida Statutes, requires an annual financial audit report from each municipality with revenues or total expenditures and expenses between$100,000 and$250,000,as reported on the fund financial statements,which has not been subject to a financial audit for the 2 preceding fiscal years. Our office is aware that, on June 1, 2016, the Governor issued Executive Order Number 16-135, which declared that the City of Opa-locka is in a state of financial emergency based on conditions reported to the Governor by City officials and appointed a Financial Emergency Oversight Board. Please provide, by no later than December 16, 2016: (1) a status update on the City's progress in analyzing the financial records and preparing such records for audit;and(2)an anticipated date that the City's financial audit for the 2014-15 fiscal year is expected to commence. The Joint Legislative Auditing Committee(Committee) is expected to meet in early 2017 to consider taking action against municipalities that have failed to file outstanding reports. The Committee will consider the information provided by the City in its determination as to whether further state action should be taken, including whether state revenues should be withheld from the City. Related Laws(See enclosure for full text) Section 218.32(1)(a), (d), and(f),Florida Statutes, requires municipalities to submit an AFR and an annual financial audit report(if required)to the DFS,and requires the DFS to notify the Committee of municipalities that have failed to submit an AFR. Kathryn H.DuBose,Coordinator 111 West Madison Street,Room 876,Claude Pepper Building,Tallahassee,Florida 32399-1400 Telephone(850)487-4110 Fax(850)922-5667 jlac @leg.state.fl.us The Honorable Myra L. Taylor,Mayor November 3, 2016 Page 2 Sections 218.39(1)(b)and(g), and(7),Florida Statutes, establish the audit threshold for municipalities and requires audit reports to be submitted to the Auditor General. Section 11.45(7)(a),Florida Statutes,requires the Auditor General to notify the Committee of municipalities that have failed to file an audit report. Section 11.40(2)(a),Florida Statutes,authorizes the Committee to direct the Department of Revenue and the DFS to withhold selected state revenues from municipalities that have failed to file an AFR and an annual financial audit report(if required).While certain state revenues,once withheld,are available to be distributed to the municipality if it becomes compliant by the end of the State of Florida's fiscal year(June 30,2017,for purposes of this letter), certain other state revenues,once withheld, are not available to be distributed to the municipality. One example is the local government half-cent sales tax proceeds; see Section 218.63,Florida Statutes. Required Action Please provide the requested status update and information described on page 1 of this letter. Determine if an annual financial audit is required: If you have not done so already,determine if your municipality met the audit threshold for the 2014-15 fiscal year. If the threshold was not met, proceed with filing the AFR with the DFS (see below). If the threshold was met, your municipality will be required to retain the services of an independent certified public accountant to conduct a financial audit. File the AFR (and audit report, if required) with the DFS: Refer to the DFS'website as follows: http://www.mvfl ori d ac fo.com/Di v i s i o n/AA/Local Governme nts/defau lt.ht m Department of Financial If you have specific questions regarding the filing of the AFR, please contact the Services Local Government Section at (850) 413-5571 or send an e-mail to localgov@myfloridacfo.com. File the audit report(if required)with the Auditor General: Refer to the Auditor General's website as follows: http://www.mvflorida.com/audgen/pages/rules localgovt.htm The "Local Governmental Entity Audit Report Submittal Checklist" should be completed and forwarded with the audit report. The mailing address and contact Auditor information for the Auditor General's local government audit staff are shown on General page 2 of this checklist.(Note:The Checklist is located under"Rules and Guidelines -Local Government"on the web page.) If you have specific questions regarding the submission of the audit report,please contact the Auditor General's Office at (850) 412-2881 or send an e-mail to flaudgen localgovt(daud.state.fl.us. For additional information about required financial reporting and the Committee's role, you may wish to review the Committee's website at WAIN..leg.state.fl.us/committees/jlac; under the heading "Quick Links" select"Local Government Financial Reporting." Kathryn H.DuBose,Coordinator 111 West Madison Street,Room 876,Claude Pepper Building,Tallahassee,Florida 32399-1400 Telephone(850)487-4110 Fax(850)922-5667 jlac @leg.state.fl.us The Honorable Myra L. Taylor,Mayor November 3,2016 Page 2 Sections 218.39(1)(b) and(g), and(7),Florida Statutes, establish the audit threshold for municipalities and requires audit reports to be submitted to the Auditor General. Section 11.45(7)(a),Florida Statutes,requires the Auditor General to notify the Committee of municipalities that have failed to file an audit report. Section 11.40(2)(a),Florida Statutes,authorizes the Committee to direct the Department of Revenue and the DFS to withhold selected state revenues from municipalities that have failed to file an AFR and an annual financial audit report(if required).While certain state revenues,once withheld,are available to be distributed to the municipality if it becomes compliant by the end of the State of Florida's fiscal year(June 30,2017,for purposes of this letter),certain other state revenues,once withheld, are not available to be distributed to the municipality. One example is the local government half-cent sales tax proceeds;see Section 218.63,Florida Statutes. Required Action Please provide the requested status update and information described on page 1 of this letter. Determine if an annual financial audit is required: If you have not done so already,determine if your municipality met the audit threshold for the 2014-15 fiscal year. If the threshold was not met, proceed with filing the AFR with the DFS (see below). If the threshold was met, your municipality will be required to retain the services of an independent certified public accountant to conduct a financial audit. File the AFR (and audit report, if required)with the DFS: Refer to the DFS'website as follows: http://www.myfl on dac fo.co m/Di v i si o n/AA./Local Governments/default.htm Department of Financial If you have specific questions regarding the filing of the AFR, please contact the Services Local Government Section at (850) 413-5571 or send an e-mail to Iocalgov@myflori dacfo.com. File the audit report(if required)with the Auditor General: Refer to the Auditor General's website as follows: http:/iwww.myflorida.com/audgen/pages/rules localgovt.htm The "Local Governmental Entity Audit Report Submittal Checklist" should be completed and forwarded with the audit report. The mailing address and contact Auditor information for the Auditor General's local government audit staff are shown on General page 2 of this checklist.(Note:The Checklist is located under"Rules and Guidelines -Local Government"on the web page.) If you have specific questions regarding the submission of the audit report,please contact the Auditor General's Office at (850) 412-2881 or send an e-mail to flaudgen local govt(aaud.state.fl.us. For additional information about required financial reporting and the Committee's role, you may wish to review the Committee's website at www.leg.state.fl.us/comrnittees/jlac; under the heading "Quick Links" select"Local Government Financial Reporting." Kathryn H.DuBose,Coordinator 111 West Madison Street,Room 876,Claude Pepper Building,Tallahassee,Florida 32399-1400 Telephone(850)487-4110 Fax(850)922-5667 jlac @leg.state.fl.us The Honorable Myra L. Taylor,Mayor November 3,2016 Page 3 If you have any questions about this letter, please do not hesitate to contact Debbie White on our staff at ilacgleg.state.fl.us or (850) 487-4110. For specific questions regarding the filing of the financial reports, please contact the DFS or the Auditor General,as applicable,using the contact information provided above. Best regards, - Tom_ Kathryn DuBose Coordinator cc: Yvette Harrell,City Manager Melinda Miguel,Chief Inspector General,Executive Office of the Governor Enclosure Kathryn H.DuBose,Coordinator 111 West Madison Street,Room 876,Claude Pepper Building,Tallahassee,Florida 32399-1400 Telephone(850)487-4110 Fax(850)922-5667 jlac @leg.state.fl.us 2016 Florida Statutes Related to Annual Financial Reports(AFRs)and Annual Financial Audit Reports for Counties and Municipalities 218.32 Annual financial reports;local governmental entities.— (1)(a) Each local governmental entity that is determined to be a reporting entity, as defined by generally accepted accounting principles, and each independent special district as defined in s. 189.012, shall submit to the department a copy of its annual financial report for the previous fiscal year in a format prescribed by the department.The annual financial report must include a list of each local governmental entity included in the report and each local governmental entity that failed to provide financial information as required by paragraph(b).The chair of the governing body and the chief financial officer of each local governmental entity shall sign the annual financial report submitted pursuant to this subsection attesting to the accuracy of the information included in the report.The county annual financial report must be a single document that covers each county agency. (d) Each local governmental entity that is required to provide for an audit under s. 218.39(1) must submit a copy of the audit report and annual financial report to the department within 45 days after the completion of the audit report but no later than 9 months after the end of the fiscal year. (f) If the department does not receive a completed annual financial report from a local governmental entity within the required period, it shall notify the Legislative Auditing Committee and the Special District Accountability Program of the Department of Economic Opportunity of the entity's failure to comply with the reporting requirements. 218.39 Annual financial audit reports.— (1) If, by the first day in any fiscal year, a local governmental entity, district school board, charter school, or charter technical career center has not been notified that a financial audit for that fiscal year will be performed by the Auditor General,each of the following entities shall have an annual financial audit of its accounts and records completed within 9 months after the end of its fiscal year by an independent certified public accountant retained by it and paid from its public funds: (b) Any municipality with revenues or the total of expenditures and expenses in excess of$250,000, as reported on the fund financial statements. (g) Each municipality with revenues or the total of expenditures and expenses between$100,000 and$250,000,as reported on the fund financial statements,which has not been subject to a financial audit pursuant to this subsection for the 2 preceding fiscal years. (7) All audits conducted pursuant to this section must be conducted in accordance with the rules of the Auditor General adopted pursuant to s.11.45.Upon completion of the audit,the auditor shall prepare an audit report in accordance with the rules of the Auditor General.The audit report shall be filed with the Auditor General within 45 days after delivery of the audit report to the governing body of the audited entity,but no later than 9 months after the end of the audited entity's fiscal year.The audit report must include a written statement describing corrective actions to be taken in response to each of the auditor's recommendations included in the audit report. 218.63 Participation requirements.— (1) Only those units of local government which meet the eligibility requirements for revenue sharing pursuant to s.218.23 shall participate in the local government half-cent sales tax.However,a municipality incorporated subsequent to the effective date of chapter 82-154,Laws of Florida,which does not meet the applicable criteria for incorporation pursuant to s. 165.061 shall not participate in the local government half-cent sales tax. In either case,distributions to eligible units of local government in that county shall be made as though the nonparticipating municipality had not incorporated. (2) The moneys which otherwise would be distributed pursuant to this part to a unit of local government failing to certify compliance as required by s.218.23(1)or having otherwise failed to meet the requirements of s.200.065 shall be deposited in the General Revenue Fund for the 12 months following a determination of noncompliance by the department. (3) A county or municipality may not participate in the distribution of local government half-cent sales tax revenues during the 12 months following a determination of noncompliance by the Department of Revenue as provided in s.200.065(13)(e). 11.45 Definitions;duties;authorities;reports;rules.— (7) AUDITOR GENERAL REPORTING REQUIREMENTS.— (a) The Auditor General shall notify the Legislative Auditing Committee of any local governmental entity, district school board, charter school,or charter technical career center that does not comply with the reporting requirements of s.218.39. 11.40 Legislative Auditing Committee.— (2) Following notification by the Auditor General,the Department of Financial Services,or the Division of Bond Finance of the State Board of Administration of the failure of a local governmental entity,district school board,charter school,or charter technical career center to comply with the applicable provisions within s. 11.45(5)-(7),s.218.32(1),s.218.38,or s.218.503(3), the Legislative Auditing Committee may schedule a hearing to determine if the entity should be subject to further state action.If the committee determines that the entity should be subject to further state action,the committee shall: (a) In the case of a local governmental entity or district school board,direct the Department of Revenue and the Department of Financial Services to withhold any funds not pledged for bond debt service satisfaction which are payable to such entity until the entity complies with the law.The committee shall specify the date such action shall begin,and the directive must be received by the Department of Revenue and the Department of Financial Services 30 days before the date of the distribution mandated by law. The Department of Revenue and the Department of Financial Services may implement the provisions of this paragraph. 11.45 Definitions;duties;authorities;reports;rules.— (7) AUDITOR GENERAL REPORTING REQUIREMENTS.— (a) The Auditor General shall notify the Legislative Auditing Committee of any local governmental entity, district school,board, charter school,or charter technical career center that does not comply with the reporting requirements of s.218.39. 11.40 Legislative Auditing Committee.— (2) Following notification by the Auditor General,the Department of Financial Services,or the Division of Bond Finance of the State Board of Administration of the failure of a local governmental entity,district school board,charter school,or charter technical career center to comply with the applicable provisions within s.11.45(5)-(7),s.218.32(1),s.218.38,or s.218.503(3), the Legislative Auditing Committee may schedule a hearing to determine if the entity should be subject to further state action.If the committee determines that the entity should be subject to further state action,the committee shall: (a) In the case of a local governmental entity or district school board,direct the Department of Revenue and the Department of Financial Services to withhold any funds not pledged for bond debt service satisfaction which are payable to such entity until the entity complies with the law.The committee shall specify the date such action shall begin,and the directive must be received by the Department of Revenue and the Department of Financial Services 30 days before the date of the distribution mandated by law. The Department of Revenue and the Department of Financial Services may implement the provisions of this paragraph. ANDY GARDINER STEVE CRISAFULLI President of the Senate Speaker of the House N,1A?, THE FLORIDA LEGISLATURE Sspe '*40 * JOINT LEGISLATIVE AUDITING COMMITTEE 4 8 T,-.. A ,Ak- 40 r Senator Lizbeth Benacquisto Representative Daniel D.Raulerson,Chair Representative Debbie Mayfield Senator Rob Bradley Senator Joseph Abruzzo,Vice Chair Representative Amanda Murphy Senator Audrey Gibson Representative Ray Rodrigues Senator Wilton Simpson Representative Cynthia Stafford November 3, 2016 CERTIFIED MAIL RETURN RECEIPT REQUESTED Niles Garden Neighborhood Improvement District c/o City of Opa-locka P.O.Box 540371 Opa-locka,Fl 33054 Based on correspondence and records from the Department of Financial Services (DFS) and the Auditor General, the Niles Garden Neighborhood Improvement District is being contacted because the following required financial reports have not yet been submitted(these reports were due no later than June 30,2016): FY 2014-15 Annual Financial Report(AFR) FY 2014-15 Annual Financial Audit Report(Audit)* (*) Section 218.39(1)(c),Florida Statutes,requires an annual financial audit report from each special district with revenues or total expenditures and expenses in excess of$100,000, as reported on the fund financial statements. Section 218.39(1)(h), Florida Statutes, requires an annual financial audit report from each special district with revenues or total expenditures and expenses between $50,000 and $100,000, as reported on the fund financial statements,which has not been subject to a financial audit for the 2 preceding fiscal years. The Joint Legislative Auditing Committee(Committee) is expected to meet in early 2017 to consider taking action against special districts that have failed to file outstanding reports. To avoid additional state action, which may include a public hearing or court proceedings, please provide the above-referenced report(s) to the DFS and the Auditor General, as applicable,no later than December 16,2016. Related Laws(See enclosure for full text) Section 218.32(1)(a), (d), and (f), Florida Statutes, requires independent special districts and local governments that are determined to be a reporting entity to submit an AFR and an annual financial audit report (if required) to the DFS, and requires the DFS to notify the Committee of special districts that have failed to submit an AFR. Sections 218.39(1)(c)and(h), and(7),Florida Statutes,establish the audit threshold for special districts and requires audit reports to be submitted to the Auditor General. Section 11.45(7)(a),Florida Statutes,requires the Auditor General to notify the Committee of special districts that have failed to file an audit report. Section 11.40(2)(b), Florida Statutes, authorizes action against special districts that have failed to file an AFR and/or an annual financial audit report (if required). The Committee may direct the Department of Kathryn H.DuBose,Coordinator 111 West Madison Street,Room 876,Claude Pepper Building,Tallahassee,Florida 32399-1400 Telephone(850)487-4110 Fax(850)922-5667 jlac @leg.state.fl.us City of Opa-locka November 3, 2016 Page 2 Economic Opportunity to file a petition for enforcement in the circuit court in Leon County or declare the special district inactive for dissolution.In addition,for special districts created by special act,the Committee may: (1) convene a public hearing on the issue of noncompliance, and (2) convene the general oversight review process. For special districts created by local ordinance or resolution,the Committee may provide an opportunity for the appropriate county or municipality to: (1) convene a public hearing on the issue of noncompliance, and(2)convene the general oversight review process. Required Action Determine if an annual financial audit is required: If you have not done so already, determine if your special district met the audit threshold for the 2014-15 fiscal year. If the threshold was not met, proceed with filing the AFR with the DFS (see below). If the threshold was met, your special district will be required to retain the services of an independent certified public accountant to conduct a financial audit. File the AFR (and audit report, if required) with the DFS: Refer to the DFS' website as follows: Department of http://www.myfloridacfo.com/Division/AA/LocalGovernments/default.htm Financial If you have specific questions regarding the filing of the AFR,please contact the Local Government Services Section at(850)413-5571 or send an e-mail to localgovna,myfloridacfo.com. File the audit report(if required) with the Auditor General: Refer to the Auditor General's website as follows: http://www.mvflorida.com/audgen/pages/rules localgovt.htm The "Local Governmental Entity Audit Report Submittal Checklist" should be completed and forwarded with the audit report.The mailing address and contact information for the Auditor General's Auditor General local government audit staff are shown on page 2 of this checklist. (Note: The Checklist is located under"Rules and Guidelines-Local Government"on the web page.) If you have specific questions regarding the submission of the audit report,please contact the Auditor General's Office at(850)412-2881 or send an e-mail to flaudgen localgovt(aaud.state.fl.us. For additional information about required financial reporting and the Committee's role, you may wish to review the Committee's website at www.leg.state.fl.us/committees/jlac; under the heading "Quick Links" select"Local Government Financial Reporting." If you have any questions about this letter, please do not hesitate to contact Debbie White on our staff at ilac @leg.state.fl.us or (850) 487-4110. For specific questions regarding the filing of the financial reports, please contact the DFS or the Auditor General, as applicable, using the contact information provided above. Best regards, ,003erax- KathrynTi.DuBose Coordinator Enclosure City of Opa-locka November 3, 2016 Page 2 Economic Opportunity to file a petition for enforcement in the circuit court in Leon County or declare the special district inactive for dissolution.In addition,for special districts created by special act,the Committee may: (1) convene a public hearing on the issue of noncompliance, and (2) convene the general oversight review process. For special districts created by local ordinance or resolution,the Committee may provide an opportunity for the appropriate county or municipality to: (1) convene a public hearing on the issue of noncompliance, and(2)convene the general oversight review process. Required Action Determine if an annual financial audit is required: If you have not done so already, determine if your special district met the audit threshold for the 2014-15 fiscal year. If the threshold was not met, proceed with filing the AFR with the DFS (see below). If the threshold was met, your special district will be required to retain the services of an independent certified public accountant to conduct a financial audit. File the AFR (and audit report, if required) with the DFS: Refer to the DFS'website as follows: Department of http://www.myfloridacfo.com/Division/AA/LocalGovernments/default.htm Financial If you have specific questions regarding the filing of the AFR,please contact the Local Government Services Section at(850)413-5571 or send an e-mail to localgovAmyfloridacfo.com. File the audit report(if required) with the Auditor General: Refer to the Auditor General's website as follows: http://www.myflorida.com/audgen/pages/rules localgovt.htm The "Local Governmental Entity Audit Report Submittal Checklist" should be completed and forwarded with the audit report.The mailing address and contact information for the Auditor General's Auditor General local government audit staff are shown on page 2 of this checklist. (Note: The Checklist is located under"Rules and Guidelines-Local Government"on the web page.) If you have specific questions regarding the submission of the audit report,please contact the Auditor General's Office at(850)412-2881 or send an e-mail to flaudgen localgovt(a,aud.state.fl.us. For additional information about required financial reporting and the Committee's role, you may wish to review the Committee's website at www.leg.state.fl.us/committees/jlac; under the heading "Quick Links" select"Local Government Financial Reporting." If you have any questions about this letter, please do not hesitate to contact Debbie White on our staff at jlac @leg.state.fl.us or (850) 487-4110. For specific questions regarding the filing of the financial reports, please contact the DFS or the Auditor General, as applicable, using the contact information provided above. Best regards, .k ([- t 1 46tta.2_ Kathryn DuBose Coordinator Enclosure f 2016 Florida Statutes Related to Annual Financial Reports(AFRs)and Annual Financial Audit Reports for Special Districts 218.32 Annual financial reports;local governmental entities.— (1)(a) Each local governmental entity that is determined to be a reporting entity,as defined by generally accepted accounting principles,and each independent special district as defined in s. 189.012,shall submit to the department a copy of its annual financial report for the previous fiscal year in a format prescribed by the department.The annual financial report must include a list of each local governmental entity included in the report and each local governmental entity that failed to provide financial information as required by paragraph(b).The chair of the governing body and the chief financial officer of each local governmental entity shall sign the annual financial report submitted pursuant to this subsection attesting to the accuracy of the information included in the report.The county annual financial report must be a single document that covers each county agency. (d) Each local governmental entity that is required to provide for an audit under s.218.39(1)must submit a copy of the audit report and annual financial report to the department within 45 days after the completion of the audit report but no later than 9 months after the end of the fiscal year. (f) If the department does not receive a completed annual financial report from a local governmental entity within the required period,it shall notify the Legislative Auditing Committee and the Special District Accountability Program of the Department of Economic Opportunity of the entity's failure to comply with the reporting requirements. 218.39 Annual financial audit reports.— (1) If,by the first day in any fiscal year,a local governmental entity,district school board,charter school,or charter technical career center has not been notified that a financial audit for that fiscal year will be performed by the Auditor General,each of the following entities shall have an annual financial audit of its accounts and records completed within 9 months after the end of its fiscal year by an independent certified public accountant retained by it and paid from its public funds: (c) Any special district with revenues or the total of expenditures and expenses in excess of$100,000, as reported on the fund financial statements. (h) Each special district with revenues or the total of expenditures and expenses between$50,000 and$100,000, as reported on the fund financial statement,which has not been subject to a financial audit pursuant to this subsection for the 2 preceding fiscal years. (7) All audits conducted pursuant to this section must be conducted in accordance with the rules of the Auditor General adopted pursuant to s. 11.45.Upon completion of the audit,the auditor shall prepare an audit report in accordance with the rules of the Auditor General.The audit report shall be filed with the Auditor General within 45 days after delivery of the audit report to the governing body of the audited entity,but no later than 9 months after the end of the audited entity's fiscal year.The audit report must include a written statement describing corrective actions to be taken in response to each of the auditor's recommendations included in the audit report. 11.45 Definitions;duties;authorities;reports;rules.— (7) AUDITOR GENERAL REPORTING REQUIREMENTS.— (a) The Auditor General shall notify the Legislative Auditing Committee of any local governmental entity,district school board,charter school, or charter technical career center that does not comply with the reporting requirements of s.218.39. 11.40 Legislative Auditing Committee.— (2) Following notification by the Auditor General,the Department of Financial Services,or the Division of Bond Finance of the State Board of Administration of the failure of a local governmental entity,district school board,charter school,or charter technical career center to comply with the applicable provisions within s. 11.45(5)-(7),s.218.32(1),s.218.38,or s.218.503(3),the Legislative Auditing Committee may schedule a hearing to determine if the entity should be subject to further state action.If the committee determines that the entity should be subject to further state action,the committee shall: (b) In the case of a special district created by: 1. A special act,notify the President of the Senate,the Speaker of the House of Representatives,the standing committees of the Senate and the House of Representatives charged with special district oversight as determined by the presiding officers of each respective chamber,the legislators who represent a portion of the geographical jurisdiction of the special district,and the Department of Economic Opportunity that the special district has failed to comply with the law.Upon receipt of notification,the Department of Economic Opportunity shall proceed pursuant to s.189.062 or s. 189.067.If the special district remains in noncompliance after the process set forth in s.189.0651,or if a public hearing is not held,the Legislative Auditing Committee may request the department to proceed pursuant to s.189.067(3). 2. A local ordinance,notify the chair or equivalent of the local general-purpose government pursuant to s. 189.0652 and the Department of Economic Opportunity that the special district has failed to comply with the law.Upon receipt of notification,the department shall proceed pursuant to s.189.062 or s.189.067.If the special district remains in noncompliance after the process set forth in s.189.0652,or if a public hearing is not held,the Legislative Auditing Committee may request the department to proceed pursuant to s.189.067(3). 3. Any manner other than a special act or local ordinance,notify the Department of Economic Opportunity that the special district has failed to comply with the law.Upon receipt of notification,the department shall proceed pursuant to s.189.062 or s.189.067(3). ANDY GARDINER STEVE CRISAFULLI President of the Senate Speaker of the House g,1Laq?, THE FLORIDA LEGISLATURE slaws. *y fP� '�* JOINT LEGISLATIVE AUDITING COMMITTEE m�4 � o ItA, e �„ ,� a t1q; ytfw.� Senator Lizbeth Benacquisto Representative Daniel D.Raulerson,Chair Representative Debbie Mayfield Senator Rob Bradley Senator Joseph Abruzzo,Vice Chair Representative Amanda Murphy Senator Audrey Gibson Representative Ray Rodrigues Senator Wilton Simpson Representative Cynthia Stafford November 3, 2016 CERTIFIED MAIL RETURN RECEIPT REQUESTED Ali-Baba Neighborhood Improvement District c/o City of Opa-locka P. O.Box 540371 Opa-locka,Fl 33054 Based on correspondence and records from the Department of Financial Services (DFS) and the Auditor General,the Ali-Baba Neighborhood Improvement District is being contacted because the following required financial reports have not yet been submitted(these reports were due no later than June 30,2016): FY 2014-15 Annual Financial Report(AFR) FY 2014-15 Annual Financial Audit Report(Audit)* (*) Section 218.39(1)(c),Florida Statutes,requires an annual financial audit report from each special district with revenues or total expenditures and expenses in excess of$100,000, as reported on the fund financial statements. Section 218.39(1)(h), Florida Statutes, requires an annual financial audit report from each special district with revenues or total expenditures and expenses between $50,000 and $100,000, as reported on the fund financial statements,which has not been subject to a financial audit for the 2 preceding fiscal years. The Joint Legislative Auditing Committee (Committee) is expected to meet in early 2017 to consider taking action against special districts that have failed to file outstanding reports. To avoid additional state action, which may include a public hearing or court proceedings, please provide the above-referenced report(s) to the DFS and the Auditor General,as applicable, no later than December 16,2016. Related Laws (See enclosure for full text) Section 218.32(1)(a), (d), and (f), Florida Statutes, requires independent special districts and local governments that are determined to be a reporting entity to submit an AFR and an annual financial audit report (if required)to the DFS, and requires the DFS to notify the Committee of special districts that have failed to submit an AFR. Sections 218.39(1)(c)and(h), and(7),Florida Statutes, establish the audit threshold for special districts and requires audit reports to be submitted to the Auditor General. Section 11.45(7)(a),Florida Statutes,requires the Auditor General to notify the Committee of special districts that have failed to file an audit report. Kathryn H.DuBose,Coordinator 111 West Madison Street,Room 876,Claude Pepper Building,Tallahassee,Florida 32399-1400 Telephone(850)487-4110 Fax(850)922-5667 jlac @leg.state.fl.us City of Opa-locka November 3,2016 Page 2 Section 11.40(2)(b), Florida Statutes, authorizes action against special districts that have failed to file an AFR and/or an annual fmancial audit report (if required). The Committee may direct the Department of Economic Opportunity to file a petition for enforcement in the circuit court in Leon County or declare the special district inactive for dissolution.In addition,for special districts created by special act,the Committee may: (1) convene a public hearing on the issue of noncompliance, and (2) convene the general oversight review process. For special districts created by local ordinance or resolution,the Committee may provide an opportunity for the appropriate county or municipality to: (1) convene a public hearing on the issue of noncompliance, and(2)convene the general oversight review process. Required Action Determine if an annual financial audit is required: If you have not done so already, determine if your special district met the audit threshold for the 2014-15 fiscal year. If the threshold was not met, proceed with filing the AFR with the DFS (see below). If the threshold was met, your special district will be required to retain the services of an independent certified public accountant to conduct a financial audit. File the AFR (and audit report, if required) with the DFS: Refer to the DFS'website as follows: Department of http://www.myfloridacfo.com/Division/AA/LocalGovernments/default.htm Financial If you have specific questions regarding the filing of the AFR,please contact the Local Government Services Section at(850)413-5571 or send an e-mail to localgovc myfloridacfo.com. File the audit report(f required) with the Auditor General: Refer to the Auditor General's website as follows: http://www.myflorida.com/audgen/pages/rules localgovt.htm The "Local Governmental Entity Audit Report Submittal Checklist" should be completed and forwarded with the audit report.The mailing address and contact information for the Auditor General's Auditor General local government audit staff are shown on page 2 of this checklist. (Note: The Checklist is located under"Rules and Guidelines-Local Government"on the web page.) If you have specific questions regarding the submission of the audit report,please contact the Auditor General's Office at(850)412-2881 or send an e-mail to flaudgen localgovt(iaud.state.fl.us. For additional information about required financial reporting and the Committee's role, you may wish to review the Committee's website at www.leg.statell.us/committees/jlac; under the heading "Quick Links" select"Local Government Financial Reporting." If you have any questions about this letter, please do not hesitate to contact Debbie White on our staff at jlac @leg.state.fl.us or (850) 487-4110. For specific questions regarding the filing of the financial reports, please contact the DFS or the Auditor General,as applicable,using the contact information provided above. Best regards, 44-Riad , Kathryn H. DuBose Coordinator Enclosure City of Opa-locka November 3,2016 Page 2 Section 11.40(2)(b), Florida Statutes, authorizes action against special districts that have failed to file an AFR and/or an annual financial audit report (if required). The Committee may direct the Department of Economic Opportunity to file a petition for enforcement in the circuit court in Leon County or declare the special district inactive for dissolution.In addition,for special districts created by special act,the Committee may: (1) convene a public hearing on the issue of noncompliance, and (2) convene the general oversight review process.For special districts created by local ordinance or resolution,the Committee may provide an opportunity for the appropriate county or municipality to: (1) convene a public hearing on the issue of noncompliance,and(2)convene the general oversight review process. Required Action Determine if an annual financial audit is required: If you have not done so already, determine if your special district met the audit threshold for the 2014-15 fiscal year. If the threshold was not met, proceed with filing the AFR with the DFS (see below). If the threshold was met, your special district will be required to retain the services of an independent certified public accountant to conduct a financial audit. File the AFR (and audit report, if required) with the DFS: Refer to the DFS'website as follows: Department of http://www.myfloridacfo.com/Division/AA/LocalGovernments/default.htm Financial If you have specific questions regarding the filing of the AFR,please contact the Local Government Services Section at(850)413-5571 or send an e-mail to localgovnmyfloridacfo.com. File the audit report(f required) with the Auditor General: Refer to the Auditor General's website as follows: http://www.myflorida.com/audgen/pages/rules localgovt.htm The "Local Governmental Entity Audit Report Submittal Checklist" should be completed and forwarded with the audit report.The mailing address and contact information for the Auditor General's Auditor General local government audit staff are shown on page 2 of this checklist. (Note: The Checklist is located under"Rules and Guidelines-Local Government"on the web page.) If you have specific questions regarding the submission of the audit report,please contact the Auditor General's Office at(850)412-2881 or send an e-mail to flaudgen localgovtna,aud.state.fl.us. For additional information about required financial reporting and the Committee's role, you may wish to review the Committee's website at www.leg.state.fl.us/committees/jlac; under the heading "Quick Links" select"Local Government Financial Reporting." If you have any questions about this letter, please do not hesitate to contact Debbie White on our staff at jlac @leg.state.fl.us or (850) 487-4110. For specific questions regarding the filing of the financial reports, please contact the DFS or the Auditor General,as applicable, using the contact information provided above. Best regards, 444-ttitte-K,. Ti,te),04.4P Kathryn H. DuBose Coordinator Enclosure 2016 Florida Statutes Related to Annual Financial Reports(AFRs)and Annual Financial Audit Reports for Special Districts 218.32 Annual financial reports;local governmental entities.— (1)(a) Each local governmental entity that is determined to be a reporting entity,as defined by generally accepted accounting principles,and each independent special district as defined in s.189.012,shall submit to the department a copy of its annual financial report for the previous fiscal year in a format prescribed by the department.The annual financial report must include a list of each local governmental entity included in the report and each local governmental entity that failed to provide financial information as required by paragraph(b).The chair of the governing body and the chief financial officer of each local governmental entity shall sign the annual financial report submitted pursuant to this subsection attesting to the accuracy of the information included in the report.The county annual financial report must be a single document that covers each county agency. (d) Each local governmental entity that is required to provide for an audit under s.218.39(1)must submit a copy of the audit report and annual financial report to the department within 45 days after the completion of the audit report but no later than 9 months after the end of the fiscal year. (f) If the department does not receive a completed annual financial report from a local governmental entity within the required period,it shall notify the Legislative Auditing Committee and the Special District Accountability Program of the Department of Economic Opportunity of the entity's failure to comply with the reporting requirements. 218.39 Annual financial audit reports.— (1) If,by the first day in any fiscal year,a local governmental entity,district school board,charter school,or charter technical career center has not been notified that a financial audit for that fiscal year will be performed by the Auditor General,each of the following entities shall have an annual financial audit of its accounts and records completed within 9 months after the end of its fiscal year by an independent certified public accountant retained by it and paid from its public funds: (c) Any special district with revenues or the total of expenditures and expenses in excess of$100,000, as reported on the fund financial statements. (h) Each special district with revenues or the total of expenditures and expenses between$50,000 and$100,000, as reported on the fund financial statement,which has not been subject to a financial audit pursuant to this subsection for the 2 preceding fiscal years. (7) All audits conducted pursuant to this section must be conducted in accordance with the rules of the Auditor General adopted pursuant to s. 11.45.Upon completion of the audit,the auditor shall prepare an audit report in accordance with the rules of the Auditor General.The audit report shall be filed with the Auditor General within 45 days after delivery of the audit report to the governing body of the audited entity,but no later than 9 months after the end of the audited entity's fiscal year.The audit report must include a written statement describing corrective actions to be taken in response to each of the auditor's recommendations included in the audit report. 11.45 Definitions;duties;authorities;reports;rules.— (7) AUDITOR GENERAL REPORTING REQUIREMENTS.— (a) The Auditor General shall notify the Legislative Auditing Committee of any local governmental entity,district school board,charter school, or charter technical career center that does not comply with the reporting requirements of s.218.39. 11.40 Legislative Auditing Committee.— (2) Following notification by the Auditor General,the Department of Financial Services,or the Division of Bond Finance of the State Board of Administration of the failure of a local governmental entity,district school board,charter school,or charter technical career center to comply with the applicable provisions within s. 11.45(5)-(7),s.218.32(1),s.218.38,or s.218.503(3),the Legislative Auditing Committee may schedule a hearing to determine if the entity should be subject to further state action.If the committee determines that the entity should be subject to further state action,the committee shall: (b) In the case of a special district created by: 1. A special act,notify the President of the Senate,the Speaker of the House of Representatives,the standing committees of the Senate and the House of Representatives charged with special district oversight as determined by the presiding officers of each respective chamber,the legislators who represent a portion of the geographical jurisdiction of the special district,and the Department of Economic Opportunity that the special district has failed to comply with the law.Upon receipt of notification,the Department of Economic Opportunity shall proceed pursuant to s.189.062 or s.189.067.If the special district remains in noncompliance after the process set forth in s. 189.0651,or if a public hearing is not held,the Legislative Auditing Committee may request the department to proceed pursuant to s.189.067(3). 2. A local ordinance,notify the chair or equivalent of the local general-purpose government pursuant to s. 189.0652 and the Department of Economic Opportunity that the special district has failed to comply with the law.Upon receipt of notification,the department shall proceed pursuant to s.189.062 or s.189.067.If the special district remains in noncompliance after the process set forth in s.189.0652,or if a public hearing is not held,the Legislative Auditing Committee may request the department to proceed pursuant to s.189.067(3). 3. Any manner other than a special act or local ordinance,notify the Department of Economic Opportunity that the special district has failed to comply with the law.Upon receipt of notification,the department shall proceed pursuant to s.189.062 or s.189.067(3). ANDY GARDINER STEVE CRISAFULLI President of the Senate Speaker of the House .4, N iqp THE FLORIDA LEGISLATURE ,a$pagag * � JOINT LEGISLATIVE AUDITING COMMITTEE w v J' A r41 �► * *cam •' �... • . OP FS'- 4.401tI10"....,,. Senator Lizbeth Benacquisto Representative Daniel D.Raulerson,Chair Representative Debbie Mayfield Senator Rob Bradley Senator Joseph Abruzzo,Vice Chair Representative Amanda Murphy Senator Audrey Gibson Representative Ray Rodrigues Senator Wilton Simpson Representative Cynthia Stafford November 3,2016 CERTIFIED MAIL RETURN RECEIPT REQUESTED East-West Neighborhood Improvement District c/o City of Opa-locka P.O.Box 540371 Opa-locka,Fl 33054 Based on correspondence and records from the Department of Financial Services (DFS) and the Auditor General, the East-West Neighborhood Improvement District is being contacted because the following required financial reports have not yet been submitted(these reports were due no later than June 30,2016): FY 2014-15 Annual Financial Report(AFR) FY 2014-15 Annual Financial Audit Report(Audit)* (*) Section 218.39(1)(c),Florida Statutes,requires an annual financial audit report from each special district with revenues or total expenditures and expenses in excess of$100,000, as reported on the fund financial statements. Section 218.39(1)(h), Florida Statutes, requires an annual financial audit report from each special district with revenues or total expenditures and expenses between $50,000 and $100,000, as reported on the fund financial statements,which has not been subject to a financial audit for the 2 preceding fiscal years. The Joint Legislative Auditing Committee (Committee) is expected to meet in early 2017 to consider taking action against special districts that have failed to file outstanding reports. To avoid additional state action, which may include a public hearing or court proceedings, please provide the above-referenced report(s) to the DFS and the Auditor General,as applicable,no later than December 16,2016. Related Laws(See enclosure for full text) Section 218.32(1)(a), (d), and (f), Florida Statutes, requires independent special districts and local governments that are determined to be a reporting entity to submit an AFR and an annual financial audit report (if required) to the DFS, and requires the DFS to notify the Committee of special districts that have failed to submit an AFR. Sections 218.39(1)(c)and(h),and(7),Florida Statutes,establish the audit threshold for special districts and requires audit reports to be submitted to the Auditor General. Section 11.45(7)(a),Florida Statutes,requires the Auditor General to notify the Committee of special districts that have failed to file an audit report. Section 11.40(2)(b), Florida Statutes, authorizes action against special districts that have failed to file an AFR and/or an annual financial audit report (if required). The Committee may direct the Department of Kathryn H.DuBose,Coordinator 111 West Madison Street,Room 876,Claude Pepper Building,Tallahassee,Florida 32399-1400 Telephone(850)487-4110 Fax(850)922-5667 jlac®leg.state.fl.us City of Opa-locka November 3, 2016 Page 2 Economic Opportunity to file a petition for enforcement in the circuit court in Leon County or declare the special district inactive for dissolution.In addition,for special districts created by special act,the Committee may: (1) convene a public hearing on the issue of noncompliance, and (2) convene the general oversight review process. For special districts created by local ordinance or resolution,the Committee may provide an opportunity for the appropriate county or municipality to: (1) convene a public hearing on the issue of noncompliance, and(2)convene the general oversight review process. Required Action Determine if an annual financial audit is required: If you have not done so already, determine if your special district met the audit threshold for the 2014-15 fiscal year. If the threshold was not met, proceed with filing the AFR with the DFS (see below). If the threshold was met, your special district will be required to retain the services of an independent certified public accountant to conduct a financial audit. File the AFR (and audit report, if required) with the DFS: Refer to the DFS' website as follows: Department of http://www.myfloridacfo.com/Division/AA/LocalGovernments/default.htm Financial If you have specific questions regarding the filing of the AFR,please contact the Local Government Services Section at(850)413-5571 or send an e-mail to localgov(a),myfloridacfo.com. File the audit report(if required) with the Auditor General: Refer to the Auditor General's website as follows: http://www.myflorida.com/audgen/pages/rules localgovt.htm The "Local Governmental Entity Audit Report Submittal Checklist" should be completed and forwarded with the audit report.The mailing address and contact information for the Auditor General's Auditor General local government audit staff are shown on page 2 of this checklist. (Note: The Checklist is located under"Rules and Guidelines-Local Government"on the web page.) If you have specific questions regarding the submission of the audit report,please contact the Auditor General's Office at(850)412-2881 or send an e-mail to flaudgen localgovt @aud.state.fl.us. For additional information about required financial reporting and the Committee's role, you may wish to review the Committee's website at www.leg.state.fl.us/committees/jlac; under the heading "Quick Links" select"Local Government Financial Reporting." If you have any questions about this letter, please do not hesitate to contact Debbie White on our staff at ilacAleg.state.fl.us or (850) 487-4110. For specific questions regarding the filing of the financial reports, please contact the DFS or the Auditor General, as applicable, using the contact information provided above. Best regards,, I Kathryn H. DuBose Coordinator Enclosure City of Opa-locka November 3,2016 Page 2 Economic Opportunity to file a petition for enforcement in the circuit court in Leon County or declare the special district inactive for dissolution.In addition,for special districts created by special act,the Committee may: (1) convene a public hearing on the issue of noncompliance, and (2) convene the general oversight review process. For special districts created by local ordinance or resolution,the Committee may provide an opportunity for the appropriate county or municipality to: (1) convene a public hearing on the issue of noncompliance, and(2)convene the general oversight review process. Required Action Determine if an annual financial audit is required: If you have not done so already, determine if your special district met the audit threshold for the 2014-15 fiscal year. If the threshold was not met, proceed with filing the AFR with the DFS (see below). If the threshold was met, your special district will be required to retain the services of an independent certified public accountant to conduct a financial audit. File the AFR (and audit report, if required)with the DFS: Refer to the DFS'website as follows: Department of http://www.myfloridacfo.com/Division/AA/LocalGovernments/default.htm Financial If you have specific questions regarding the filing of the AFR,please contact the Local Government Services Section at(850)413-5571 or send an e-mail to localgovAmyfloridacfo.com. File the audit report(if required) with the Auditor General: Refer to the Auditor General's website as follows: http://www.myflorida.com/audgen/pages/rules localgovt.htm The "Local Governmental Entity Audit Report Submittal Checklist" should be completed and forwarded with the audit report.The mailing address and contact information for the Auditor General's Auditor General local government audit staff are shown on page 2 of this checklist. (Note: The Checklist is located under"Rules and Guidelines-Local Government"on the web page.) If you have specific questions regarding the submission of the audit report,please contact the Auditor General's Office at(850)412-2881 or send an e-mail to flaudgen localgovtAaud.state.fl.us. For additional information about required financial reporting and the Committee's role, you may wish to review the Committee's website at www.leg.state.fl.us/committees/jlac; under the heading "Quick Links" select"Local Government Financial Reporting." If you have any questions about this letter, please do not hesitate to contact Debbie White on our staff at jlacAleg.state.fl.us or (850) 487-4110. For specific questions regarding the filing of the financial reports, please contact the DFS or the Auditor General, as applicable, using the contact information provided above. Best regards,, I Kathryn H. DuBose Coordinator Enclosure 2016 Florida Statutes Related to Annual Financial Reports(AFRs)and Annual Financial Audit Reports for Special Districts 218.32 Annual financial reports;local governmental entities.— (1)(a) Each local governmental entity that is determined to be a reporting entity,as defined by generally accepted accounting principles,and each independent special district as defined in s. 189.012,shall submit to the department a copy of its annual financial report for the previous fiscal year in a format prescribed by the department.The annual financial report must include a list of each local governmental entity included in the report and each local governmental entity that failed to provide financial information as required by paragraph(b).The chair of the governing body and the chief financial officer of each local governmental entity shall sign the annual financial report submitted pursuant to this subsection attesting to the accuracy of the information included in the report.The county annual financial report must be a single document that covers each county agency. (d) Each local governmental entity that is required to provide for an audit under s.218.39(1)must submit a copy of the audit report and annual financial report to the department within 45 days after the completion of the audit report but no later than 9 months after the end of the fiscal year. (f) If the department does not receive a completed annual financial report from a local governmental entity within the required period,it shall notify the Legislative Auditing Committee and the Special District Accountability Program of the Department of Economic Opportunity of the entity's failure to comply with the reporting requirements. 218.39 Annual financial audit reports.— (1) If,by the first day in any fiscal year,a local governmental entity,district school board,charter school,or charter technical career center has not been notified that a financial audit for that fiscal year will be performed by the Auditor General,each of the following entities shall have an annual financial audit of its accounts and records completed within 9 months after the end of its fiscal year by an independent certified public accountant retained by it and paid from its public funds: (c) Any special district with revenues or the total of expenditures and expenses in excess of$100,000, as reported on the fund financial statements. (h) Each special district with revenues or the total of expenditures and expenses between$50,000 and$100,000, as reported on the fund financial statement,which has not been subject to a financial audit pursuant to this subsection for the 2 preceding fiscal years. (7) All audits conducted pursuant to this section must be conducted in accordance with the rules of the Auditor General adopted pursuant to s. 11.45.Upon completion of the audit,the auditor shall prepare an audit report in accordance with the rules of the Auditor General.The audit report shall be filed with the Auditor General within 45 days after delivery of the audit report to the governing body of the audited entity,but no later than 9 months after the end of the audited entity's fiscal year.The audit report must include a written statement describing corrective actions to be taken in response to each of the auditor's recommendations included in the audit report. 11.45 Definitions;duties;authorities;reports;rules.— (7) AUDITOR GENERAL REPORTING REQUIREMENTS.— (a) The Auditor General shall notify the Legislative Auditing Committee of any local governmental entity,district school board,charter school, or charter technical career center that does not comply with the reporting requirements of s.218.39. 11.40 Legislative Auditing Committee.— (2) Following notification by the Auditor General,the Department of Financial Services,or the Division of Bond Finance of the State Board of Administration of the failure of a local governmental entity,district school board,charter school,or charter technical career center to comply with the applicable provisions within s. 11.45(5)-(7),s.218.32(1),s.218.38,or s.218.503(3),the Legislative Auditing Committee may schedule a hearing to determine if the entity should be subject to further state action.If the committee determines that the entity should be subject to further state action,the committee shall: (b) In the case of a special district created by: 1. A special act,notify the President of the Senate,the Speaker of the House of Representatives,the standing committees of the Senate and the House of Representatives charged with special district oversight as determined by the presiding officers of each respective chamber,the legislators who represent a portion of the geographical jurisdiction of the special district,and the Department of Economic Opportunity that the special district has failed to comply with the law.Upon receipt of notification,the Department of Economic Opportunity shall proceed pursuant to s.189.062 or s.189.067.If the special district remains in noncompliance after the process set forth in s.189.0651,or if a public hearing is not held,the Legislative Auditing Committee may request the department to proceed pursuant to s.189.067(3). 2. A local ordinance,notify the chair or equivalent of the local general-purpose government pursuant to s. 189.0652 and the Department of Economic Opportunity that the special district has failed to comply with the law.Upon receipt of notification,the department shall proceed pursuant to s.189.062 or s.189.067.If the special district remains in noncompliance after the process set forth in s.189.0652,or if a public hearing is not held,the Legislative Auditing Committee may request the department to proceed pursuant to s.189.067(3). 3. Any manner other than a special act or local ordinance,notify the Department of Economic Opportunity that the special district has failed to comply with the law.Upon receipt of notification,the department shall proceed pursuant to s.189.062 or s.189.067(3). Exhibit "B" AE)CLIENT FOCUSED SOLUTION DRIVEN REQUEST FOR EXTERNAL AUDIT SERVICES 7)-"=, NOVEMBER 9, 2016 -0 ,-."0"-- • - -r:,. •- :> 'o i-, 7be great Cite of : PA-LACIEA ,...-.., jiorida THE CITY OF OPA-LOCKA Prepared by ANTHONY BRUNSON P.A. CERTIFIEIDI PUBLIC ACCOUNTANTS & Bt'S1NESS ki.)4% IS()RS ....1T-ft.. ANTHONY BRUNSON P.A. CERTIFIED PUBLIC ACCOUNTANTS & BUSINESS ADVISORS November 9,2016 c/o Yvette J. Harrell, Esq. City Manager City of Opa-Locka 780 Fisherman Street Opa-Locka, FL 33054 Dear Members of the Selection Committee, Anthony Brunson P. A. ("ABPA" or the "ABPA Team") greatly appreciates the opportunity to submit a proposal to serve as independent public accountants for the City of Opa-Locka (the "City"). The ABPA Service Team has over 60 years of uniquely focused experience and expertise specific to governments that make us exceptionally qualified to serve as your independent certified public accountants. The ABPA Team's successful track-record advising governments like the City demonstrate our commitment to deliver results. Today's complex and ultra-competitive operating environment does not make the City a candidate for training inexperienced auditors.As a City which provides the wide range of municipal services,the ABPA Team members have the business acumen, industry experience,and knowledge of municipal operations to satisfy your service requirements and expectations. The ABPA Team members are recognized as leaders in the governmental audit sector. Our approach will be consultative in nature and not simply a compliance requirement. Team members have guided similar organizations to achieve reporting objectives of OMB Circulars, Government Auditing Standards, Rules of Florida's Auditor General as well as regulations of federal,state and local agencies.The ABPA Team understands the work to be done! The ABPA Team has accumulated the resources and expertise you demand of firms interested in providing services to the City. Engagement team members have gained substantial experience performing audits of municipalities, special districts, counties and constitutional offices as well as scores of special purpose governmental entities. As a matter of record, the local ABPA Team logs more than 10,000 hours annually performing audits that satisfy Government Auditing Standards, OMB Circular A- 133 and Florida's Single Audit requirements. The ABPA Team is best qualified to serve the City because we understand the complexities of the organization, the community, and the economic challenges you face. Team members have a history of supporting projects and activities in Miami-Dade County and serve industry trade associations like the AICPA, FICPA and FGFOA. I ^� Fort Lauderdale Office Miami Office 333 Las Olas Way CU 4 801 Brickell Avenue I Suite 900 Fort Lauderdale,FL 33301 CLIENT FOCUSED: SOLUTION DRIVEN Miami,FL 33131 T: (954)361-6571 E: info @abcpasolutions.com T: (305) 789-6673 Our skill set is complemented with the national firm resources of BCA Watson Rice; experience which has been continuously drawn upon by local, county and state governmental entities seeking a positive impact on operating performance. The key professional staff's business expertise allows prompt identification of the critical factors and actions necessary to increase revenues,decrease costs and improve productivity. The ABPA Team is structured to bring the most responsive service available. Our personnel are hands-on and directly involved in performing and supervising the work. Additionally, serving governmental and nonprofit organizations encompasses the core of the ABPA Team audit practice; hence,we have the bench strength to continue planned service levels;an inherent advantage over our competitors. Anthony ("Tony") Brunson, CPA, Carshena Allison, CPA, and Audrey Robinson, M.Acc will serve as the engagement partner(s)and engagement supervisor.ABPA Team is best qualified to serve the City because we understand the complexities of governmental entities and maximize the use of technology in our approach. The ABPA Team certifies that we have adequate personnel, equipment,technology,and facilities to fulfill the requirements of the City within the scheduled time constraints.The ABPA Team confirms that our past industry experience, current experience, and professional staff provide the ABPA Team with the technical knowledge and expertise to complete the scope of work. Additionally, this proposal is a firm and irrevocable offer to provide services and successfully execute the engagement in the time frames agreed- upon. Moreover,to the performing the work required,the ABPA Team shall offer, at no expense to the City, an annual government-training seminar to the City's accounting staff.The seminar shall award at least four(4) hours of CPE credits per staff member for two(2)of the City's Finance Department staff. We trust this letter conveys our enthusiastic desire to serve as independent certified public accountants to the City of Opa-Locka. Given the opportunity, the ABPA Team will not only meet but exceed your expectations! We are excited about the opportunity to serve you, and rest assured, you will be a priority of the ABPA Team. Very truly yours, ANTHONY BRU ON P.A. Anthony Br son CLIENT FOCUSED SOLUTION DRIVEN The(yoowg p`ittyyaof + 1 ,florida EXTERNAL AUDIT SERVICES FEE PROPOSAL ABPA recognizes an affirmative obligation to help clients control costs. A major factor in cost control is the assignment of experienced, knowledgeable staff, which reduces learning curves and promotes efficiency. Our team is best suited to complete this fiscal year examination in an efficient and timely manner resulting from our assembly of a team with experience specific to City of Opa-Locka plus collectively over sixty(60)years of governmental consulting and audit experience. The all-inclusive fee for audit service for the City of Opa-Locka is$87,000 for fiscal years 2015 and 2016. The annually renewal audit fee for fiscal years ended September 30, 2017, 2018 and 2019 will be fixed at$65,000.