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HomeMy WebLinkAboutAGENDA REPORT 2016 0601 CC REG ITEM 10G ITEM 10.G. CITY OF R1OORPARK,CALIFORNIA City Council Meeting ACTION: MOORPARK CITY COUNCIL e- em" AGENDA REPORT BY: _ TO: Honorable City Council FROM: Ron Ahlers, Finance Director` 2 DATE: May 25, 2016 (City Council meeting of June 1, 2016) SUBJECT: Consider Engagement Letter for City's Housing Assets Fund and Addendum to Annual Progress Report, Senate Bill 341 (SB341) from External Auditors for Fiscal Year (FY) 2015/16 Audit BACKGROUND Annually the City of Moorpark engages the services of a CPA firm to perform an audit of the financial statements of the City. The City contracts with the firm of Rogers, Anderson, Malody & Scott, LLP Certified Public Accountants (RAMS) for these services for a five year period. The attached letter specifies the performance of the audit in regards to: the audited financial statements for the City's Housing Assets Fund and Addendum to Annual Progress Report required by Senate Bill 341 (SB341). DISCUSSION Auditing standards (SAS 114) require that communications from the audit firm be sent to the governing board of the corporation. The attached engagement letter requires the signature of a City official. Staff recommends that the City Council authorize the City Manager to sign the engagement letter. FISCAL IMPACT The FY 2015/16 audit shall cost a maximum of $8,000. This amount is included in the proposed budget for FY 2016/17. STAFF RECOMMENDATION Authorize the City Manager to sign the engagement letter, subject to the final language approval by the City Manager. Attachment: RAMS Engagement Letter for City's Housing Assets Fund and Addendum to Annual Progress Report required by Senate Bill 341 (SB341). 98 'A ROGERS.ANDERSON. MALODY& SCOTT. LLP CERTIFIED PUBLIC ACCOUNTANTS.SINCE 1948 M S May 25, 2016 735 E.Carnegie Dr.Suite 100 San Bernardino,CA 92408 909 889 0871 T 909 889 5361 F To the Honorable City Council ramscpa.net City of Moorpark 799 Moorpark Avenue Moorpark, California 93021 PARTNERS Brenda L. Odle,CPA,MST Terry P. Shea,CPA We are pleased to confirm our Understanding of the following audit and non-audit Kirk A.Franks,CPA services We are to provide the City of Moorpark (the City), in addition to those Scott W. Manno.CPA CGMA agreed to in our engagement letter dated May 25, 2016: Leena Shanbhag,CPA.MST,CGMA Bradford A.Welebir,CPA,MBA.CGMA 1) Preparation of the City's Housing Assets Fund audited financial statements Jay H. Zercher,CPA(Partner Emeritus) Phillip H. Waller,CPA(Partner Emeritus) (an audit service). MANAGERS/STAFF 2) Addendum to Annual Progress Report required by Senate Bill 341 (SB 341) Jenny Liu,CPA.MST (a non-audit service). Seong-Hyea Lee,CPA MBA Charles De Simoni,CPA We expect to begin these additional services on approximately May 25, 2016. Nathan Statham,CPA MBA Terry Shea, CPA is the engagement partner and is responsible for supervising the Brigitte Bertha,CPA engagement and si signing the reports or authorizinganother individual to sign them. Gardenya Duran,CPA 9 9 P Juan Romero,CPA Ivan Gonzales,CPA,MSA We estimate our fee for these additional services will range between $5,000 and Brianna Pascoe,CPA $8,000. Daniel Hernandez,CPA MBA Ryan Smith,CPA All other provisions included in the original engagement letter dated May 25, 2016 also apply to these additional services. We appreciate the opportunity continue to be of service to the City and believe this letter accurately summarizes the additional services to be added to our original engagement. If you have any questions, please let us know. If you agree with the terms of the additional services as described in this letter, please sign the enclosed original and return it to us. Keep the copy for your records. Very truly yours, ROGERS, ANDERSON, MALODY &SCOTT, LLP MEMBERS 51 i American Institute of Certified Public Accountants Terry ea, CPA PCPS The AICPA Alliance for CPA Firms RESPONSE: Governmental Audit This letter correctly sets forth the understanding of the City of Moorpark. Quality Center California Society of Certified Public Accountants By: Title: Date: 99 STABILITY. ACCURACY. TRUST.