HomeMy WebLinkAboutSummary FormDate: 5/23/2006
AGENDA ITEM SUMMARY�JFORM
FILE ID: 06�00°�C `
Requesting Department:
Commission Meeting Date: 6/22/2006 District Impacted:
Type: ® Resolution ❑ Ordinance ❑ Emergency Ordinance ❑ Discussion Item
❑ Other
Subject: Amendment and Increase to the External Auditing Services Professional Service Agreement
for Additional Work Required by Rachlin, Cohen and Holtz
Purpose of Item:
The nature of this item is to amend both Resolution No. R-04-0458 and the Professional Services
Agreement (PSA) to reflect an increase in the compensation amount for the second year of the
contract not to exceed $60,000, from $370,000 to $430,000, for a total contract amount not to exceed
$1,169,000 for the provision of External Auditing Services with Rachlin, Cohen and Holtz; and,
authorizing the City Manager to execute the amendment to the PSA to reflect said increase.
Background Information:
On May 19, 2004, the Purchasing Department issued Request for Proposals (RFP) No. 03-04-099 for
the provision of External Auditing Services. The Miami City Commission on July 8, 2004 enacted
Resolution No. 04-0458 by selecting the second ranked firm, Rachlin, Cohen and Holtz, instead of the
first ranked firm KPMG, LLP; and, authorizing the City Manager to negotiate and execute a
Professional Services Agreement with Rachlin, Cohen and Holtz for a three (3) year period, in an
annual amount not exceed $349,000, $370,000, and $390,000 for each respective contract year.
(SEE ATTACHED FOR MORE INFORMATION)
Budget Impact Analysis
NO Is this item related to revenue?
YES Is this item an expenditure? If so, please identify funding source below.
General Account No: 001000.260201.6.280
Special Revenue Account No:
CIP Project No:
NO Is this item funded by Homeland Defense/Neighborhood Improvement Bonds?
Start Up Capital Cost:
Maintenance Cost:
Total Fiscal Impact:
Final Approvals
(SIGN AND DATE)
CIP Budg
'fusing or receiving capital funds
Grants
A/R,Is.k Management
t. Director
City Manager
Page 1 of 1
The City of Miami and Rachlin, Cohen and Holtz is in its second year of its three year
engagement. The audit for Fiscal Year (04/05) commenced back in December, 2005, and
concluded in April 2006.
As part of this four month engagement, which is typically three months, additional field
work was required from Rachlin, Cohen and Holtz to perform the following: (1) the
Federal and State and Single Audit, (2) Determining the receivables and deferrals for
various grants not recorded on the books and records of the City at the time the audit
began back in December, including amounts for FEMA, UASI and USAR, and
Community Development Funds, (3) Determining taxes receivable and associated
deferred revenues, (4) Auditing capital assets and determining correct balances to be
reflected in the City's financial statements, (5) Validating and booking additional entries
provided by the City in March, 2006, (6) Assisting in preparation of the City's financial
statements and note disclosures, including reconciliations to client calculations, revising
note disclosures, and net asset calculations, and (7) Meetings with City staff to resolve
various accounting issues.