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HomeMy WebLinkAboutO-09245411 ORDINANCE NO. 9 2 5 AN ORDINANCE CREATING THE MIAMI AUDIT ADVISORY COMMITTEE FOR THE PURPOSE OF ADVISING AND ASSISTING THE CITY COMMISSION TO IMPROVE THE EFFECTIVENESS AND USEFULNESS OF THE CITY'S AUDIT PROCEDURES AND PROGRAMS AND TO DISCHARGE THE OBLIGATION TO SECURE ANNUAL AUDITS OF THE CITY'S FINANCIAL BOOKS AND RECORDS AS REQUIRED BY LAW; SETTING FORTH THE COMPOSITION, DUTIES AND GENERAL GUIDELINES OF SAID COMMITTEE; CONTAINING A REPEALER PROVISION AND A SEVERABILITY CLAUSE. WHEREAS, the statutes of the State of Florida and the City Charter of the City of Miami, Florida, require the City Commission to secure an annual audit of the City's financial books and records by an independent auditor; and WHEREAS, the City Commission has decided to improve the effectiveness and usefulness of its audit procedures and programs; and WHEREAS, such improvements are intended to better inform the taxpayers of Miami and the potential purchasers of instru- ments of indebtedness used by the City as to the financial condition of the City of Miami; and WHEREAS, the City Commission has determined that the best means of accomplishing said improvements is through advice and assistance from qualified citizens of the City of Miami; and WHEREAS, the City Manager recommends and requests the establishment of the herein proposed Committee; NOW, THEREFORE, BE IT ORDAINED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. A Miami Audit Advisory Committee is hereby created consisting of five persons. It shall be the duty —9 of the Committee to advise and assist the City Commission to improve the effectiveness and usefulness of the City's audit procedures - and programs and to discharge the obligation to secure annual audits of the City's financial books and records as required by law. Section 2. The composition of the Miami Audit Advisory Committee shall be as follows: (a) One member of the City Commission designated annually by official action of the City Commission; and (b) The City Manager or a city employee from the Office of the City Manager designated annually by the City Manger; and -2- 14 ; � r- (c) Three resident citizens of the City of Miami designated by official action of the City Commission. The three citizens shall be qualified and distinguished by their education, experience, and attainments in the accounting pro- fession, the practice of law, banking, or business manage- ment. The original citizen designations by the City Commis- sion shall be as follows: one for one year, one for two years, and one for three years. Thereafter, citizen designa- tions shall be for three year overlapping terms. All Committee tneffibers shall continue to serve until their successors are duly designated. Section 3. The Committee shall be convened for its first organizational meeting by the City Manager as soon as is practical after designation of its members by the City Com- mission. At that meeting, the Committee shall: (a) Elect one of the three citizen members of the Com- mittee as chairperson for a one year term from the date of such election. (b) Establish operating procedures to govern the Com- mittee's operations and deliberations. (c) Establish an annual work program and schedule of actions to be accomplished. (d) Conduct such other business as is deemed necessary to carry out the Committee's duties and obligations. Subse- quent annual organizational meetings shall be convened by the chairperson, for the above purposes, prior to the expiration of his or her term as chairperson. Section 4. It shall be the duty of the City Manager, or of the city employee designated by the City Manager to serve on the Committee, to provide liaison with the Committee and support service from the administration. Section 5. The duties of the Committee shall include but not be limited to: (a) Recommending to the City Commission specifications -3- f. ` R- 2 �� 5 4 l' r' and performance standards to be utilized in issuing invi- tations to qualified independent auditors to perform annual independent audit services for the City. (b) Seeking responses from qualified independent auditors to perform annual independent audit services for the City based upon specifications and performance stan- dards as approved or revised by the City Commission. Such responses may be sought for a period of more than one year if, in the opinion of the Committee and of the City Commision, such extended period is in the best interests of the City and if provision to discontinue the audit services in the event of unsatisfactory services is maintained in the agreement. (c) Recommending selection of an independent auditor to the City Commission. Such selection shall be based upon a review and analysis.of responses to invitations issued by the Committee on behalf of the City. Review and analysis by the Committee shall consist of such measures as are considered appropriate by the Committee including, but not limited to, interviews, negotiations and investigation of prior audit engagements. (d) Maintaining liaison with the selected independent auditor including, but not limited to, monitoring of the inde- pendent auditor's work progress, and reviewing preliminary and final reports issued by the independent auditor. (e) Meeting at least six times annually in the discharge of its duties. One meeting shall be with the City Commission to review the findings and results of the annual independent audit report, for or against retention of the independent auditor, and appropriate follow-up action on the findings of the annual independent audit report. Section 6. In its deliberations and actions, the Committee shall be guided by the following: (a) The requirements of the statutes of the State of Florida as they now, or in the future may, pertain to annual audit services for the City of Miami. (b) Accounting and Auditing Standards as they are now, or in the future may be, issued by the National Council on Governmental Accounting and by the American Institute of Certified Public Accountants. (c) Quarterly closings of the City's financial books and records. (d) Quarterly audit reviews by the independent auditor. Section 7. All ordinances or parts of ordinances insofar as they are inconsistent or in conflict with the provisions of this ordinance are hereby repealed. Section 8. If any section, part of section, paragraph, clause, phrase, or word of this ordinance is declared invalid, the remaining provisions of this ordinance shall not be affec- ted. PASSED ON FIRST READING BY TITLE ONLY this llth day of February , 1981. PASSED AND ADOPTED ON SECOND AND FINAL READING BY TITLE ONLY this 26th day of February , 1981. Maurice A. Ferre M A Y 0 R ATTEST: f cf� RALPf G. AGIE, CITY CLERK APPROVED AS TO FORM AND CORRECTNESS: ROBERT F. CLARK ACTING CITY ATTORNEY -5- 0 �� 9 5 +a MIAMI REVIEW AND DAILY RECORD Published Daily except Saturday, Sunday and Legal Holidays Miami, Dade County, Florida. STATE OF FLORIDA COUNTY OF DADE: Before the undersigned authority personally ap• peared Becky Caskey, who on oath says that she Is the Assistant Director of Legal Advertising of the Miami Review and Daily Record, a daily (except Saturday, Sunday and Legal Holidays) newspaper, published at Miami in Dade County, Florida; that the attached copy of advertisement, being a Legal Advertisement or Notice in the matter of CITY OF MIAMI Re: Ordinance 9245 in the ... ........ ... . . X... x....X.................... .......... Court, was published in said newspaper in the issues of March 5, 1981 Affiant further says that the said Miami Review and Daily Record is a newspaper published at Miami, in said Dade County, Florida, and that the said newspaper has heretofore been continuously published in said Dade County, Florida. each day (except Saturday, Sun- day and Legal Holidays) and has been entered as second class mail matter at the post office in Miami, in said Dade County, Florida. for a period of one year next preceding the first publication of the attached copy of advertisement; and affiant further says that she has neither paid nor promised any person, firm or corpora- tion any discount, rebate, commission or refund for the purpose of securing this advertisement for publication in the s newspaper. ` C=0 IN ,�• Tore u�r► ed befo7mis 5-W of ... Marc1 A.D. 19.. 81 . �1 ....... l n jrbeyre Nt�IFlorida tit Large (SEAL) �My Commi `~ F�;r`J. COMPREHENSIVE ZONING ORDINANCE FOR THE CITY OF MIAMI, BY CHANGING THE ZONINIS CLASSIFICATION OF BLOCK 5; COPPINGERS TROPICAL GARDENS (1B•52), BEING APPROXIMATELY 1901 NORTHWEST SOUTH RIVER DRIVE, FROM C-4 (GENERAL COMMERCIAL) TO R•4 (MEDIUM DENSITY MULTIPLE) DISTRICT, AND BY MAKING THE ,NECESSARY CHANGES IN THE ZONING DISTRICT MAP MADE A PART OF SAID ORDINANCE NO. 6871, BY REFERENCE AND DESCRIPTION IN ARTICLE III, SECTION 2 THEREOF; BY REPEALING ALL ORDINANCES, CODE SECTIONS OR PARTS THEREOF IN CONFLICT AND CONTAINING'A SEVERABILITY CLAUSE. RALPH G. ONGIE CITY CLERK MIAMI, FLORIDA Publication of this Notice on the 5 day of March 1981. 5AORR 315 CITY OR MIAMI Ltf1AL IUtsTIClt (Coreeottfad1 All interested will take notice that on the 26th day Of FebrustY, 981, the City Commission of Miami, Florida adopted the folldWria stied ordinances, ORDINANCE NO.9243 AN ORDINANCE CREATING THE OFFICE bF INTERNAL AUDITS; SETTING FORTH THE DUTIES AND RESPONSI- BILiTIES OF SUCH OFFICE; PROVIDING FOR THE STAFFING THEREOF; FURTHER PROVIDING FOR THE AMENDMENT OF SECTION 2.333 OF THE CODE OF THE CITY OF'MIAMI, FLORIDA (19W) AS AMENDED, WHICH HAD PROVIDED FOR THE PERFORMANCE OF THE INTERNAL AUDIT FUNCTIONS ON BEHALF OF THE CITY BY TRANSFERRING THE MANAGEMENT, SUPERVISION AND CONTROL OF SUCH FUNCTIONS TO THE OFFICE OF INTERNAL AUDITS; CONTAINING A REPEALER PROVISION AND A SEVERABILITY CLAUSE. ORDINANCE NO.9244 AN ORDINANCE AMENDING SECTION 1 OF ORDINANCE NO. 9179, ADOPTED OCTOBER 3, 1980, THE ANNUAL APPROPRIATIONS ORDINANCE FOR THE FISCAL YEAR ENDING SEPTEMBER 30,1981, AS AMENDED, BY INCREASING THE APPROPRIATION FOR THE GENERALr FUND CITY MANAGER, OFFICE OF INTERNAL AUDITS, IN THE AMOUNT OF $290,967, BY DECREASING THE APPROPRIATION FOR THE GENERAL FUND.- MANAGEMENT AND BUDGET, IN THE SAME AMOUNT; FOR THE PURPOSE OF PROVIDING FUNDING FOR A NEWLY -CREATED OFFICE UNDER THE CITY MANAGER'S OFFICE TO BE KNOWN AS THE "OFFICE OF INTERNAL AUDITS", CONTAINING A REPEALER PROVISION AND A SEVERABiLITY CLAUSE. ' ORDINANCE NO.9245 . AN ORDINANCE CREATING THE MIAMI AUDIT ADVISORY - COMMITTEE FOR THE PURPOSE OF ADVISING AND ASSISTING THE CITY COMMISSION TO IMPROVE THE EFFECTIVENESS AND USEFULNESS OF THE CITY'S AUDIT PROCEDURES AND PROGRAMSAND TO DISCHARGE THE OBLIGATION TO SECURE ANNUAL AUDITS OF THE CITY'S FINANCIAL BOOKS AND RECORDS AS REQUIRED BY LAW; \ SETTING FORTH THE COMPOSITION, DUTIES AND GENERAL GUIDELINES OF 'SAID COMMITTEE; CONTAINING A REPEALER PROVISION AND A SEVERABILITY CLAUSE. ORDINANCE NO.9246 AN ORDINANCE ESTABLISHING A SPECIAL REVENUE FUND' ENTITLED: "RESCUE SERVICES" PROVIDING FOR REVENUES THEREIN TO BE RECEIVED FROM THE SOUTHERN -SELL. TELEPHONE AND TELEGRAPH COMPANY ADDITIONAL ONE PERCENT FRANCHISE FEE TO PROVIDE FOR THE FUNDING OF SALARIES AND RELATED, OPERATING COSTS AND EQUIPMENT FOR THE FIRE DEPARTMENT'S EMERGENCY MEDICAL RESCUE SERVICES FOR FY 1981; CONTAINING A' REPEALER PROVISION AND A SEVERABILITY CLAUSE; AND. - DISPENSING WITH THE REQUIREMENT OF READING SAME ON TWO SEPARATE DAYS BY A VOTE OF NOT LESS THAN FOUR -FIFTHS OF THE MEMBERS OF THE COMMISSION. ORDINANCE NO.9247 AN ORDINANCE AMENDING'SECTION 1 OF ORDINANCE. NO. 9199,, THE CITY'S CAPITAL IMPROVEMENT APPpO- PRIATIONS ORDINANCE FOR FISCAL YEAR 1990.8f,`AS• AMENDED; BY INCREASING THE APPROPRIAT1ION' F.OR SUI3SECTION XV, PARKING CAPITAL PROJECTS FUND. OTEM 8.1.) IN THE AMOUNT OF $110AW FROM A LOAN:FROM." THE CAPITAL IMPROVEMENT FUND, PROCEEDS OF THE INTERAMA LAND SALE, FOR THE DOWNTOWN GOVERN•; MENT CENTER PARKING GARAGE; CONTAINING -;A REPEALER PROVISION AND A SEVERABILITY CLAUSE; AND DISPENSING WITH THE REQUIREMENT OF READING SAME ON TWO SEPARATE DAYS BY A VOTE OF NOT LESS.TH AN, FOUR -FIFTHS OF THE MEMBERS OF THE COMMISSION; ORDINANCE NO, 9248 AN ORDINANCE AMENDING SECTION 1 OF ORDINANCE NO. 9199, THE CITY'S CAPITAL IMPROVEMENT APPF* PRIATiONS ORDINANCE FOR FISCAL YEAR I A8 AMENDED; BY AMENDING. SUBSECTION IX, CAP TU IMPROVEMENT FUND, TO ESTABLISH FUNDING t,�'1'.. E AMOUNT OF S150A0D AS A LOAN TO THE WATSON lBLI NR .. DEVELOPMENT (ITEM iX.B: (0 10) FROM PRiOCEW_ OF A REPEALER PROVISION AND A,SEVERABiM 11?."E. ORDINANCE NO.'R24♦a AN ORDINANCE AMENDING ORDINANCE ta' 6871. THE MR_"-1 1 CITY OF M; �.`•p INTER -OFFICE �MEMORANOUM January 15, 1981 " f Mayor and Members of the City Commission Report and Ordinances Regarding Creation - of Miami Audit Advisory Committee and Office of Internal Audits — Richard L. Fosmoen City Manager _ Attached is a letter report from Booz Allen and Hamilton, Inc., the City's consultant to improve administrative management and management information processes, and two ordinances to create a Miami Audit Advisory Committee and an Office of Internal Audits within the administration reporting directly to the City Manager. These actions implement recommendations previously submitted by the consultant and approved by the City Coinrni ssion . These actions are integral parts of the City's program to improve the City's fiscal operations and practices thereby strengthening the City's overall financial position and integrity. As the consultants report states, "early action and implementation of these ordinances is essential." There- fore it is suggested that the City Commission pass and adopt the ordinances related to this matter, As soon as these ordinances are passed and adopted the City Commission should select one of its members and three citizen members, meeting the professional requirements set forth in the ordinance, as expeditiously as possible. The available time for this committee whipeeiheea�orkitself to bebefore doneSesecon�iderable. n of the next independent auditor is s Therefore, considering the importance of this endeavor, an early start is highly desirable. �aFl. 6 T i%fin Dear Mr. Fosmoen is pleased to present two recommended ordinances creating Booz Allen & Hamilton e and an Office of Internal Audits reporting a Miami Audit Advisory Committe directly to the City Manager. These ordinances are the first products we are providing under Task 1 of our current scope of services dated December 18, 1980. It is recommended that these or be treated as companion pieces of legislation to be enacted simultaneously to put an overall program of audit improvements into operation. These two ordinances are designed to implement our earlier recommendations, which were accepted and approved by the City Administration and the City Commission. Those recommendations were to create an "Advisory Audit Committee" to oversee the activities of independent auditors and to elevate the status of the City's internal auditing function by having it report directly to the City Manager in order to assure a more appropriate degree of independence. These two ordinances have been reviewed and approved as to content and legality by your staff and the City Attorney's Office. It is understood that an ordinance amending the annual budget by transferring funds appropriated for internal auditing within the Department of Management and Budget to a new appropriation account will also be required. As previously recommended, the Miami Audit Advisory Committee would consist of three citizens of Miami, one member of the City Commission and the City Manager or his designee. The ordinance would require that the three citizen members, +„ do nnnnintpd by the City Commission, be qualified by education, experience 2 Accordingly, the ordinances mandate quarterly closing of the City's books, quarterly independent audit reviews, and general adherance to standards issued by the National Council on Governmental Accounting and the American Institute of Certified Public Accountants. The composition and duties of the Miami Audit Advisory Committee closely parallel those of the "audit committee" in the private sector. It is our view that early action and implementation of these ordinances is essential. In order to be effective, the Miami Audit Advisory Committee needs to get itself organized and oriented quickly enough to issue its first invitation for independent audit proposals by the summer. In addition, it is felt that implementation of this audit program will begin to favorably impact the City's ability to market its bonds. For these reasons we recommend early, emergency action on these ordinances. Very truly yours, BOOZ ALLEN & HAMILTON Inc. Dh/N4l 1.1 4lnmc v.