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HomeMy WebLinkAboutCity of Tamarac Resolution R-99-210Temp. Reso. #8719 August 12, 1999 Page 1 CITY OF TAMARAC, FLORIDA RESOLUTION NO. R-99 -A 10 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF TAMARAC, FLORIDA, AUTHORIZING THE APPROPRIATE OFFICIALS TO EXECUTE AN AGREEMENT BETWEEN THE CITY OF TAMARAC AND RACHLIN, COHEN & HOLTZ LLP CERTIFIED PUBLIC ACCOUNTANTS AND CONSULTANTS, AS THE CITY'S EXTERNAL AUDITOR; PROVIDING FOR CONFLICTS; PROVIDING FOR SEVERABILITY; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City Charter, section 7.09, states that the Commission shall provide for an independent annual audit of all City accounts made by a Certified Public Accountant and/or firm of such Accountants; and WHEREAS, the City has contracted with Madsen, Sapp, Mena, Rodriguez & Co., P.A., Certified Public Accountants and Management Consultants, for the past four years to perform the City's independent annual audit; and WHEREAS, Madsen, Sapp, Mena, Rodriguez & Co., P.A., Certified Public Accountants and Management Consultants requested to be released from their final obligation to audit the City of Tamarac for the fiscal year ended September 30, 1999; and WHEREAS, the City Commission and Administration deemed it appropriate to request proposals from accounting firms to ensure continued qualitative audit services at competitive prices; and W hitneyn\\Dec_a Ipha—one\res_ord\8719reso. doc 1 Temp. Reso. #8719 August 12, 1999 Page 2 WHEREAS, the Audit Services Selection Committee received audit service proposals from accounting firms including Grant Thornton LLP; Keefe, McCullough & Co.; and Rachlin, Cohen & Holtz LLP; and WHEREAS, Rachlin, Cohen & Holtz LLP was rated the highest by the Audit Services Selection Committee for the technical proposal which was evaluated based on qualitative criteria including expertise, experience and audit approach; and WHEREAS, the Audit Services Selection Committee after due consideration has ranked Rachlin, Cohen & Holtz LLP as its first choice and recommends award of the audit services contract to that firm; and WHEREAS, based on a recommendation of the City Manager and Director of Finance, the City of Tamarac desires to enter into agreement with Rachlin, Cohen & Holtz LLP to provide annual auditing services; and WHEREAS, the City Commission of the City of Tamarac, Florida, deems it to be in the best interest of the citizens and residents of the City of Tamarac to provide for the execution of a contract between the City of Tamarac, Florida and Rachlin, Cohen & Holtz LLP for an initial period of three years with an option to renew the contract in subsequent years at mutually acceptable terms by both parties as the City's external auditor. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF TAMARAC, FLORIDA: W hitneyn\\Dec_al pha_one\res_ord\8719reso. doc Temp. Reso. #8719 August 12, 1999 Page 3 SECTION 1: The foregoing "WHEREAS" clauses are hereby ratified and confirmed as being true and correct and are hereby made a specific part of this Resolution. SECTION 2: An agreement between the City of Tamarac and Rachlin, Cohen & Holtz LLP for annual audit services, copy of agreement attached hereto as Exhibit 1, and Attachments A, B and C, incorporated herein by reference as if set forth in full is hereby approved together with such changes as may be agreed to by the City Manager or his designated representative and approved as to form and legality by the City Attorney. SECTION 3: The appropriate City officials are hereby authorized to accept and execute said agreement between the City of Tamarac, Florida and Rachlin, Cohen & Holtz LLP for annual audit services for an initial period of three years with an option to renew the contract in subsequent years at mutually acceptable terms by both parties. SECTION 4: All resolutions or parts of resolutions in conflict herewith are hereby repealed to the extent of such conflict. SECTION 5: If any clause, section, other part or application of this Resolution is held by any court of competent jurisdiction to be unconstitutional or invalid, in part or application, it shall not affect the validity of the remaining portions or applications of this Resolution. Wh itneyn\\Dec_alpha_one\res_ord\8719reso.doc Temp. Reso. #8719 August 12, 1999 Page 4 SECTION 6: This Resolution shall become effective immediately upon its passage and adoption. PASSED, ADOPTED AND APPROVED this day of 1 1999. 1W�wa--4 �• r � � ATTEST: oa,�Q,,12W CAROL GOL CMC/AAE I Hl,�EBY CERTIFYiat I have ADbrdveld this RESOL TAON As to form. Wh itneyn\\Dec_alpha_one\res_ord\8719reso.doc 0 AGREEMENT FOR PROFESSIONAL SERVICES THIS AGREEMENT made and entered into this day of August. 1999, by and between the City of Tamarac, a municipal corporation of the State of Florida, hereinafter referred to as CITY, and Rachlin Cohen & Holtz LLP, a Florida Partnership, with principal offices located at One Southeast Third Avenue, Tenth Floor, Miami, Florida 33131, hereinafter referred to as AUDITOR: WHEREAS, the CITY intends to utilize the services of AUDITOR to provide Financial Auditing Services as outlined in the Request for Proposals dated June 23. 1999; and, WHEREAS, the CITY requires certain professional services in connection with said Financial Auditing Services; and, WHEREAS, the AUDITOR represents that it is capable and prepared to provide such Services: NOW THEREFORE, in consideration of the promises contained herein, the parties hereto agree as follows: ARTICLE 1 - EFFECTIVE DATE • The effective date of this Agreement shall be for a three-year period ending with fiscal years September 30, 1999, 2000, and 2001, with the option to renew at mutually acceptable terms by both parties. ARTICLE 2 - SERVICE TO BE PERFORMED BY AUDITOR The AUDITOR shall perform the services in accordance with the provisions contained in the request for proposals attached hereto as Attachment 'A' and Engagement Letter attached hereto as Attachment 'B', incorporated by reference as part of this Agreement and as may be specifically designated and additionally authorized by the CITY. Such additional authorizations will be in the form of a Purchase Order. Each Purchase Order will set forth a specific Scope of Services, amount of compensation and completion date. ARTICLE 3 - COMPENSATION The CITY shall pay AUDITOR in accordance with Attachment 'C'. Dollar Cost Bid. which is attached hereto and incorporated by reference as part of this Agreement_ ARTICLE 4 - STANDARD OF CARE AUDITOR shall exercise the same degree of care. skill, and diligence in the performance of the Services as is ordinarily provided by" a professional AUDITOR under similar circumstances and AUDITOR shall, at no additional cost to the CITY. re -perform services 491 which fail to satisfy the foregoing standard of care. L ARTICLE 5 - INDEMNIFICATION 0 AUDITOR shall, in addition to any other obligation to indemnify the CITY and to the fullest extent permitted by law, protect, defend, indemnify and hold harmless the CITY, their agents, elected officials and employees from and against all claims, actions, liabilities, losses (including economic losses), costs arising out of any actual or alleged: a). Bodily injury, sickness, disease or death, or injury to or destruction of tangible property including the loss of use resulting therefrom, or any other damage or loss arising out of or resulting, or claimed to have resulted in whole or in part from any actual or alleged act or omission of the AUDITOR, any Subcontractor, anyone directly or indirectly employed by any of them, of anyone for whose acts any of them may be liable in the performance of the WORK; or b). violation of law, statute, ordinance, governmental administration order, rule. regulation, or infringement of patent rights by AUDITOR in the performance of the Work; or c). liens, claims or actions made by the AUDITOR or any Subcontractor under workers compensation acts; disability benefit acts, other employee benefit acts or any statutory bar. Any cost of expenses, including attorney's fees, incurred by the CITY to enforce this agreement shall be borne by the AUDITOR. Upon completion of all Services, obligations and duties provided for in this Agreement, or in the event of termination of this Agreement for any reasons, the terms and conditions of this Article shall survive indefinitely. ARTICLE 6 - INDEPENDENT CONTRACTOR AUDITOR undertakes performance of the Services as an independent contractor and shall be wholly responsible for the methods of performance. The CITY shall have no right to supervise the methods used, but the CITY shall have the right to observe such performance. AUDITOR shall work closely with the CITY in performing Services under this Agreement. ARTICLE 7 - COMPLIANCE WITH LAWS In performance of the Services. AUDITOR will comply with appiicable regulatory requirements including federal, state, and local laws. rules regulations, orders. codes, criteria and standards. ARTICLE 8 - INSURANCE During the performance of the Services under this Agreement. AUDITOR shall maintain the following insurance polices, and provide originals or certified copies of all policies. and shall be written by an insurance company authorized to do business in Florida. Auditor agrees to, in the performance of work and services under this Agreement. comply with all federal, state, and local laws and regulations now in effect, or hereinafter enacted during the term of this agreement that are applicable to Contractor. its employees, agents, or subcontractors, if any, with respect to the work and services described herein. C7 . Auditor shall obtain at Auditor's expense all necessary insurance in such form and amount as required by the City's Risk Manager before beginning work under this Agreement. Auditor shall maintain such insurance in full force and effect during the life of this Agreement. Auditor shall provide to the City's Risk Manager certificates of all insurance required under this section prior to beginning any work under this Agreement. Auditor shall indemnify and save the City harmless from any damage resulting to it for failure of either Auditor or any subcontractor to obtain or maintain such insurance. • • The following are required types and minimum limits of insurance coverage, which the Auditor agrees to maintain during the term of this contract: Line of Business/ Coverage Occurrence Commercial General Liability $1,000,000 Including: Premises/Operations Contractual Liability Personal Injury Explosion, Collapse, Underground Hazard Products/Completed Operations Broad Form Property Damage Cross Liability and Severability of Interest Clause Automobile Liability $1,000,000 Workers' Compensation & Employer's Liability Limits Statutory Aggregate $1,000,000 $1,000,000 The City reserves the right to require higher limits depending upon the scope of work under this Agreement. Neither Auditor nor any subcontractor shall commence work under this contract until they have obtained all insurance required under this section and have supplied the City with evidence of such coverage in the form of an insurance certificate and endorsement. The Auditor will ensure that all subcontractors will comply with the above guidelines and will maintain the necessary coverages throughout the term of this Agreement. All insurance carriers shall be rated at least A-VII per Bests Key Rating Guide and be licensed to do business in Florida. Policies shall be "Occurrence form. Each carrier will give the City sixty (60) days notice prior to cancellation. The Auditor's liability insurance policies shall be endorsed to add the City of Tamarac as an "additional insured". The Auditor's Worker's Compensation carrier will provide a Waiver of Subrogation to the City. Auditor shall be responsible for the payment of all deductibles and self -insured retentions. The City may require that the Auditor purchase a bond to cover the full amount of the deductible or self -insured retention. If the Auditor is to provide professional services under this Agreement, the Auditor must provide the City with evidence of Professional Liability insurance with, at a minimum, a limit of $1,000,000 per occurrence and in the aggregate. "Claims -Made" forms are acceptable for Professional Liability insurance. ARTICLE 9 - CITY'S RESPONSIBILITIES The CITY shall be responsible for providing access to all project sites, and providing information on hand that are available in the files of the CITY. ARTICLE 10 - TERMINATION OF AGREEMENT The obligation to continue Services under this Agreement may be terminated for cause by either party upon seven (7) days' written notice of substantial failure by the other party to perform in accordance with the terms hereof through no fault of the terminating party. CITY shall have the right to terminate this Agreement or suspend performance thereof without cause for the CITY's convenience upon written notice to AUDITOR, and AUDITOR shall terminate or suspend performance of Services on a schedule acceptable to CITY. In the event of termination or suspension for CITY's convenience, CITY shall pay AUDITOR for all Services performed through the date of notice of termination or suspension. ARTICLE 11 -NONDISCLOSURE OF PROPRIETARY INFORMATION AUDITOR shall consider all information provided by CITY and all reports, studies. calculations, and other documentation resulting from the AUDITOR's performance of the Services to be proprietary unless such information is available from public sources. To the extent permitted by law, AUDITOR shall not publish or disclose proprietary information for any purpose other than the performance of the Services without the prior written authorization of CITY or in response to legal process. ARTICLE 12 - UNCONTROLLABLE FORCES Neither the CITY nor AUDITOR shall be considered to be in default of this Agreement if delays in or failure of performance shall be due to Uncontrollable Forces. the effect of which, by the exercise of reasonable diligence, the non -performing party could not avoid. The term "Uncontrollable Forces" shall mean any event which results in the prevention or delay of performance by a party of its obligations under this Agreement and which is beyond the reasonable control of the nonperforming party. It includes. but is not limited to fire, flood, earthquakes, storms, lightning, epidemic. war, riot, civil disturbance. sabotage. and governmental actions. Neither party shall, however, be excused from►- performance if nonperformance is due to forces, which are preventable, removable, or remediable, and which the nonperforming party could have, with the exercise of reasonable diligence, prevented. removed, or • 0 11 remedied with reasonable dispatch. The nonperforming party shall, within a reasonable time of being prevented or delayed from performance by an uncontrollable force, give written notice to the other party describing the circumstances and uncontrollable forces preventing continued performance of the obligations of this Agreement. ARTICLE 13 - GOVERNING LAW AND VENUE This Agreement shall be governed by the laws of the State of Florida. Any and all legal action necessary to enforce the Agreement will be held in Broward County and the Agreement will be interpreted according to the laws of Florida. ARTICLE 14 - MISCELLANEOUS 14.1 Nonwaiver A waiver by either CITY or AUDITOR of any breach of this Agreement shall not be binding upon the waiving party unless such waiver is in writing. In the event of a written waiver, such a waiver shall not affect the waiving party's rights with respect to any other or further breach. The making or acceptance of a payment by either party with knowledge of the existence of a default or breach shall not operate or be construed to operate as a waiver of any subsequent default or breach. 14.2 Severability Any provision in this Agreement that is prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such prohibition or unenforceability without invalidating the remaining provisions hereof or affecting the validity or enforceability of such provisions in any other jurisdiction. The nonenforcement of any provision by either party shall not constitute a waiver of that provision nor shall it affect the enforceability of that provision or of the remainder of this Agreement. The provisions of this section shall not prevent the entire Agreement from being void should a provision, be determined to be unenforceable. invalid cr illegal by a court of competent jurisdiction. 14.3 Year 2000 Compliance CONTRACTOR represents and warrants that the computer system used to carry out the obligations set forth in this Agreement ("the System"), and all interfaces to the System, including, but nol-limited to, interfaces with other systems and data entry interface for the System, are Year 2000 compliant. Year 2000 compliant means information technology that accurately processes date/time data (including, but not limited to, calculating, comparing, and sequencing) from, into, and between the twentieth and twenty-first centuries and the years 1999 and 2000 and beyond including leap year calculations. Year 2000 compliant also means that the Year 2000 compliant information technology, when used in combination with other information technology, shall accurately process date/time data when other information technology exchanges date/time data with it. This warranty shall survive the expiration or termination of this Agreement. 0 CONTRACTOR agrees to indemnify and hold harmless the City of Tamarac. its elected and appointed officials and employees from any and all claims, suits, actions. damages, liability, and expenses (including attorneys' fees) including but not iimited to, loss of life, bodily or personal injury, or property damage, and loss of use thereof, directly or indirectly caused by, resulting from. arising out of or occurring in connection with the failure of CONTRACTOR's System to be Year 2000 compliant. ARTICLE 15 - INTEGRATION AND MODIFICATION This Agreement is adopted by the CITY and AUDITOR as a complete and exclusive statement of the terms of the Agreement between the CITY and AUDITOR. This Agreement supersedes all prior agreements, contracts, proposals. representations, negotiations, letters or other communications between the CITY and AUDITOR pertaining to the Services, whether written or oral. The Agreement may not be modified unless such modifications are evidenced in writing signed by both the CITY and AUDITOR. ARTICLE 16 - SUCCESSORS AND ASSIGNS The CITY and AUDITOR each binds itself and its director, officers, partners, successors. executors, administrators, assigns and legal representatives to the other party to this Agreement and to the partners, successors, executors, administrators, assigns. and legal representatives. ARTICLE 17 - CONTINGENT FEES The AUDITOR warrants that it has not employed or retained any company or person, other than a bona fide employee working solely for the AUDITOR to solicit or secure this Agreement and that it has not paid or agreed to pay any person, company, corporation. individual or firm, other than a bona fide employee working solely for the AUDITOR, any fee, commission, percentage, gift or any other consideration contingent upon or resulting from the award or making of this Agreement. ARTICLE 18 - TRUTH -IN -NEGOTIATION CERTIFICATE Execution of this Agreement by the AUDITOR shall act as the execution of a truth -in - negotiation certificate certifying that the wage rates and costs used to determine the compensation provided for in this Agreement are accurate, complete and current as of the date of the Agreement and no higher than those charged the AUDITORS most favored customer for the same or substantially similar service. The said rates and cost shall be adjusted to exclude any significant sums shouid the CITY determine that the rates and costs were increased due to inaccurate. incomplete or noncurrent wage rates or due to inaccurate representations of fees paid to outside AUDITORs. The CITY shall exercise its righta_Under this "Certificate" within one (1) year following payment. 6- 0 ARTICLE 19 - OWNERSHIP OF DOCUMENTS AUDITOR shall be required to work in harmony with other AUDITORs relative to providing information requested in a timely manner and in the specified form. Any and all documents, records, disks, original drawings, or other information shall become the property of the CITY upon completion for it's use and distribution as may be deemed appropriate by the CITY. ARTICLE 20 - NOTICE Any notice, demand, communication, or request required or permitted hereunder shall be in writing and delivered in person or sent by certified mail, postage prepaid as follows: As To CITY City Manager City of Tamarac 7525 NW 88th Avenue Tamarac, Florida 33321-2401 With a copy to the City Attorney As to AUDITOR: G. Jerry Chiocca, CPA Director Rachlin Cohen & Holtz LLP One Southeast Third Avenue. Tenth Floor Miami, Florida 33131 Notices shall be effective when received at the address specified above. Changes in the respective addresses to which such notice may be directed may be made from time to time by any party by written notice to the other party. Facsimile is acceptable notice effective when received, however, facsimiles received (i.e., printed) after 5:00 p.m. or on weekends or holidays, will be deemed received on the next business day. The original of the notice must additionally be mailed as required herein. Nothing contained in this Article shall be construed to restrict the transmission of routine communications between representatives of AUDITOR and CITY. ARTICLE 21 -ASSIGNMENT The AUDITOR shall not transfer or assign the performance required by this Agreement without the prior written consent of the City. Any award issued and moneys that become due hereunder are not assignable except with prior written approval of the CITY. 0 IN WITNESS WHEREOF, the City of Tamarac, at a regular meeting thereof, by action of the City Commission and directing the foregoing be adopted. has caused these presents to be signed by the Mayor, and it's seal to be hereunto affixed, and G. Jerry Chiocca. CPA, Director, Rachlin Cohen & Holtz LLP has executed this contract all as of the day and year first above written. Atte U Carol Gold, C AAE City Clerk Manager Approved as to F m: lMitc ell S. Kra ity A r y _ Attest: _ N/A Corporate Secretary (Seal) CITY 0 Robert S. Noe, Jr., City RACHLIN COHEN & HOLTZ LLP By: per ig5 ure Name: G._Jerry Chiocca. CPA Title: Director • is 0 STATE OF FLORIDA :SS COUNTY OF MIAMI-DADS: I HEREBY CERTIFY that on this date, before me, an officer duly authorized in the State aforesaid and in the County aforesaid to take acknowledgments, personally appeared 6 C''to me known to be the person(s) described in and who executed the foregoing instrument and he/she acknowledged before me and under oath he/she executed the same. WITNESS my hand and official seal this day of 1999. OFFICIALNOTARYSFAI, NOT/ARY PUBLIC, State of Florida at Large UNDA A WIDIX)WSON CRY PU!',1!C STATE CF FLC1,10A COMMISSION NO. CC604143 MY COMMISSION EXP. NOV. Z�-,LXO II • ( Personally known to me, or ( ) Produced Identification 0 (Name of Notary Public: Print, Stamp, or Type as Commissioned) Type of I.D. Produced ( ) DID take an oath or ( DID NOT take an oath. C: I I • 7.a t . ..' . 491 ATTACHMENT A • City of Tamarac rinance Department, Purchasing Division 7525 N.W. 88th Avenue, Tamarac, Florida 33321-2401 Telephone: (954) 724-2450 Facsimile (954) 724-2408 Website: www,tcmarac.org DATE: May 28, 1999 REQUEST FOR PROPOSALS ALL INTERESTED PARTIES: RFP NO.99-18R The City of Tamarac, Florida, hereinafter referred to as CITY, will receive sealed Proposals at the office of the Purchasing & Contracts Manager, City Hall, 7525 NW 88th Avenue, Tamarac, Florida 33321-2401, for furnishing the services described below: ! FINANCIAL AUDITING SERVICES Sealed Proposals must be received by the Purchasing and Contracts Manager, either by mail or hand delivery, no later than 4:00 p.m. local time on Wednesday, June 23, 1999. A public opening will take place in the Conference Room 1r'105 located at City Hall shortly thereafter on the same date. An-, Proposals received after 4:00 p.m. local time on said date will not be accepted under any circumstances. Any uncertainty regarding the time a Proposal is received will be resolved against the 0 =feror. Proposals are subject to all terms and conditions contained in this RFP. CITY reserves the right to reject any or all Proposals, to waive any informalities or irregularities in any Proposals received, to re -advertise for Proposals, to award in whole or in part to one or more offerors. or take any other such actions that may be deemed to be in the best interests of the CITY. Documents will be available for review and may be obtained from the Purchasing Office at the above address. For inquiries, contact the Purchasing Office at (954) 724-2450. r L �a& ry, �CPPO Purchasing and Contracts Manager Publish Sun Sentinel: Sunday 05/30/99 & 06/06/99 0 .1 Ecquol 00corrunity 5mp!oyer TABLE OF CONTENTS PART I GENERAL INFORMATION PA E 1-1 Definitions RFP-4 1-2 Purpose RFP-4 1-3 Proposal Submission and Withdrawal RFP-4 1-4 Invitation to Propose RFP-5 1-5 Contract Awards RFP-5 1-6 Minimum Qualifications RFP-5 1-7 Developments Costs RFP-6 1-8 Inquiries RFP-6 1-9 Timetable RFP-6 1-10 Delays RFP-7 1-11 Addenda RFP-7 1-12 Insurance RFP-7 1-13 Licenses RFP-9 1-14 Public Entities Crimes RFP-9 1-15 Non -Collusive RFP-10 1-16 Drug -Free Work Place RFP-I I PART II NATURE OF SERVICES REQUIRED 2-1 Work Objective RFP-12 2-2 Scope of Work to be Performed RFP-12 2-3 Auditing Standards to be Followed RFP-12 2-4 Reports to be Issued RFP- 13 2-5 Special Considerations and Services RFP-I3 2-6 Working Paper Retention and Access to Working Papers RFP-14 PART III DESCRIPTION OF THE GOVERNNENT 3-1 Background Information RFP-15 3-2 Fund Structure RFP-16 3-3 Budgetary Basis of Accounting RFP-17 3-4 Federal and State Financial Assistance RFP-17 3-5 Pension Plans RFP-17 3-6 Component Units RFP-17 3-7 Magnitude of Finance Operations RFP-18 3-8 Computer Systems RFP-18 3-9 Availability of Prior Audit Reports and Working Papers RFP-19 0 • PART IV • 11 TIME REQUIREMENTS 4-1 Proposal Calendar RFP-20 4-2 Notification and Contract Dates R.FP-20 4-3 Schedule for Conducting Audits RFP_70 4-4 Date Final Report is Due RFP-70 4-5 City CounciVFinancial Advisory Board Reporting RFP-21 PART V ASSISTANCE TO BE PROVIDED TO THE AUDITOR AND REPORT PREPARATION 5-1 Finance Department and Clerical Assistance RFP-22 5-2 Management Information System (MIS) Assistance RFP-22 5-3 Work Area, Telephones, Photocopying and Fax Machines RFP-22 5-4 Report Preparation RFP-22 PART VT PROPOSAL REOUIREMENTS 6-1 Rules for Proposals RFP-23 6-2 Submission of Proposals RFP-23 6-3 Technical Proposal RFP-23 6-4 Sealed Dollar Cost Bid RFP-27 PART VU EVALUATIONS OF PROPOSALS 7-1 Selection Committee RFP-29 7-2 Review of Proposals RFP-39 7-3 Evaluation Criteria RFP-29 7-4 Oral Presentations RFP-30 7-5 Final Selection RFP-, 0 7-6 Right to Reject Proposals UP.30 APPENDICES A Organizational Chart RFP-31 B Schedule of Professional Fees and Expenses RFP-32 C Proposer Warranties RFP-35 D Proposal Certification Form RFP-36 Attachments Sample Contract 3. aim GENERAL INFORMATION PART I 0 1-1 DEFINITIONS For the purposes of this Request for Proposal, "proposer" shall mean contractors, consultants, proposers, organizations, firms, or other persons submitting a response to this Request for Proposal. 1-2 PURPOSE This Request for Proposals (RFP) provides guidelines for the submission of proposals in response to Financial Auditing Services. 1-3 PROPOSAL SUBMISSION AND WITHDRAWAL The CITY will receive proposals at the following address: CITY OF TAMARAC Purchasing Division City Hall 7525 NW 88th Avenue Tamarac, Florida 33321-2401 To facilitate processing please mark the outside of the envelope as follows: RFP No. 99-ISR Financial Auditing Services. The envelope shall also include the Proposer's return address. Proposers shall submit one (1) original and nine (9) copies of the proposal in a sealed. opaque envelope marked as noted above. A proposer may submit the proposal by personal delivery or by mail. THE CITY MUST RECEIVE ALL PROPOSALS BY 4:00 P..M. ON June 23, 1999. The CITY cautions proposers to assure actual delivery of -mailed or hand -delivered proposals directly to the City's Purchasing Division at City Hall, 7525 NW 88th Avenue in Tamarac. Florida prior to the deadline set for receiving proposals. Telephone confirmation of timely receipt of the proposal may be made by calling (954) 7Z4-2450, before proposal closing time. A proposal received by the City of Tamarac Purchasing Division after the established deadline will be returned unopened to the proposer. Proposers may withdraw their proposals by notifying the CITY in writing at any time prior to the deadline for proposal submittal. After the deadline, proposals become a record of the CITY and Nvill not be returned to the proposers. Upon opening proposals are subject to public disclospre consistent with Chapter 119. Florida Statutes. C, 4 Proposers must invoke the exemptions to disclosure provided by law in the response to the RFP, and must identify the data or other materials to be protected, state the reasons why such exclusion from public disclosure is necessary and the legal basis for such exemption. 1-4 INVITATION TO PROPOSE The City of Tamarac is requesting proposals from qualified firms of certified public accountants to audit its financial statements for a three (3) year period beginning with the fiscal year ending September 30, 1999, with an option to renew for an additional two (2) year period. These audits are to be performed in accordance with generally accepted auditing standards and the standards for financial audits set forth in the U.S. General Accounting Office's (GAO) Government Auditing Standards (1994), the provisions of the Federal Single Audit Act Amendments of 1996, and U.S. Office of Management and Budget (OMB) Circular A-133, Audi of State and Local Governments. 1-5 CONTRACT AWARD The City anticipates entering into a contract with the proposer who submits the proposal judged by the Cit% to be most advantageous. The City anticipates awarding one contract but reserves the right to award more than one if in its best interest. The proposer understands that this RFP does not constitute an offer or a contract with the proposer. A contract or agreement shall not be deemed to exist and is not binding until proposals are reviewed and accepted by appointed staff and the best proposal has been identified, approved by the appropriate level of • authority within the City and executed by parties. A sample Contract is attached to this RFP. The CITY anticipates that the final contract will be in substantial conformance with the Sample Contract; nevertheless, proposers are advised that any contract, which may result from the RFP, may deviate from the Sample Contract. The City reserves the right to reject all proposals, to abandon the project or and to solicit and re -advertise for other proposals. The City may in its discretion waive any infonnaiities and irregularities contained in a proposal or in the manner of its submittal and award a contract thereafter. 1-6 MENTMUM QUALfHCATIONS A firm submitting a proposal must meet the following requirements: a. The firm must have been established as a legal entity in the State of Florida and have performed continuous CPA services for a minimum of five (5) years. b. The firm must also be a member of the American Institute of Certified Public Accountants and the Florida Institute of Certified Public Accountants. C. The firm must meet the standards for financW audits contained in Government Auditing Standards issued by the Comptroller General of the United States (the yellow book) and Laws and Rules of Florida Board of Accounting Chapter 455 & 475, F.S. Chapter ? l AFAC. M 1-7 DEVELOPMENT COSTS Neither the City nor its representatives shall be liable for any expenses incurred in connection with preparation of a response to this RFP. Proposers should prepare their proposals simple and economically, providing a straightforward and concise description of the Proposer's ability to meet the requirements of the RFP. Wi Interested proposers may contact the City's Purchasing and Contracts Manager, Lynda S. Flurry regarding questions about the proposal at the Purchasing Division Office, City Hall, 7525 NW 88th Avenue, Tamarac, Room 108, Tamarac, Florida 33321-2401 Telephone (954) 724-2450 or by facsimile (954) 724-2450. The Purchasing and Contracts Manager will also receive written requests for clarification concerning the meaning or interpretations of this RFP, until seven (7) days prior to the submittal date. The City vvill provide answers to all questions at the pre -proposal conference to be held Monday, June 14, 1999, at 2:00 P.M. in City Hall Conference Room 105. The City may record its responses to inquiries and any supplemental instructions in the form of written addenda. The City may mail written addenda before the date fixed for receiving the proposals. Proposers shall contact the City to ascertain whether any addenda have been issued. Failure to do so could result in an unresponsive proposal. Any oral explanation given before the RFP opening will not be binding. All proposers are expected to carefully examine the proposal documents. Any ambiguities or inconsistencies should be brought to the attention of the City through written communication with the City prior to the opening of the proposals. 0 1-9 TIMETABLES The City and proposers shall adhere to the following schedule in all actions concerning this RIP: A. On Monday, Mav 28. 19993 the City issues the RFP_ B. A non -mandatory pre -proposal conference Mil be held on Thursday. June ia. 1999. a- 2:00 P.M. C. The City must receive the proposals by the 4:00 PAI. receiving time on Wednesday. June 23 1999. D. The City will review and evaluate the proposals in a timely manner. E. Anticipated finalist presentations will be the week of July 12. 1999. F. The City may enter into a contract after obtaining appropriate approvals and ccnductinz negotiations. The City will notify all'unsuccessful proposers. G. Anticipated contract term will begin -with the fiscal year ending September 30. 1999_ • . 1-10 DELAYS The City may delay scheduled due dates if it is to the advantage of the City to do so. The City will notify proposers of all changes in scheduled due dates by written addenda. 1-11 ADDENDA If revisions become necessary, the City will provide written addenda to all proposers who have received the RFP. All addenda issued by the City will include a receipt form, which must be signed and included with any proposals that are submitted to the City. In the event multiple addenda are issued, a separate receipt for each addendum must be included with the proposal at the time it is submitted to the City. 1-12 INSURANCE REQUIREMENTS The Proposer, if awarded a contract, shall maintain insurance coverage reflecting the minimum amounts and conditions specified in the attached Sample Contract. In the event the proposer is a governmental entity or a self -insured organization, different insurance requirements may apply. Misrepresentation of any material fact, whether intentional or not, regarding the Proposer 's insurance coverage, policies. or capabilities may be grounds for rejection of the proposal and rescission of any awarded contract. WORKER'S COMPENSATION The Proposer shall procure and maintain, for the life of this Contract/Agreement. Workers Compensation Insurance covering all employees with limits meeting all applicable state and federal • laws. This coverage shall include Employers' Liability with limits meeting all applicable state and federal laws. This coverage shall extend to any subcontractor that does not have their own Workers' Compensation and Employer's Liability Insurance. THE POLICY MUST CONTAIN A WAIVER OF SUBROGATION IN FAVOR OF THE CITY OF TAMARAC, executed by the insurance company. Sixty-(60) days notice of cancellation is required and must be provided to the City of Tamarac via Certified Mail. COMPREHENSIVE GENERAL LIABILITY The Proposer shall procure and maintain, for the life of this ContractrAgreerttent. Comprehensive General Liability Insurance. This coverage shall be -on an "Occurrence" basis. Coverage shall include Premises and Operations; Independent Contractors' Products and Completed Operations and Contractual Liability. This policy shall provide coverage for death, personal injury or propem' damage that could arise directly or indirectly from the performance of this Agreement. The Minimum Limits of Coverage shall be $1,000,000 per occurrence, Combined Single Limit for Bodily Injury Liability and Property Damage Liability. The City of Tamarac must be named as an additional insured unless Owners and Ccntractors' Protective Coverage is also provided, or required. Sixty-(60) days Written notice must be provided to the City of Tamarac via Certified Mail in the event of cancellation. r 7 IL BUSINESS AUTOMOBILE LIABILITY The Proposer shall procure and maintain, for the life of the Contract/Agreement, Business Automobile Liability Insurance. The minimum limits of coverage shall be $1,000,000 per occurrence, Combined Single Limit for Bodily Injury Liability and Property Damage Liability. This coverage shall be an "Any Auto" or "Comprehensive Form" type policy. In the event the Proposer does not own any vehicles, we will accept the hired and non -owned coverage in the amounts listed above. In addition, we will require an affidavit signed by the Proposer indicating the following: "Companv Name" does not own any vehicles. In the event we acquire any vehicles throughout the term of his Contract/Agreement, "Com anv Name" agrees to purchase "Any Auto" or "Comprehensive Form" coverage as of the date of acquisition. Proposer's Signature The City of Tamarac must be listed as an Additional Insured under the Policy. Sixty-(60) days written notice must be provided to the City of Tamarac via Certified Mail in the event of cancellation. PROFESSIONAL LIABILITY INSURANCE • The Proposer shall procure and maintain Professional Liability Insurance for the life of this Contract, plus two (2) years after completion. This insurance shall provide coverage against such liability resulting from this Contract. The minimum limits of coverage shall be not less than $1,000,000 with a deductible not to exceed $25,000. The deductible Nvill be the responsibility of the insured. Professional Liability policies shall include an endorsement whereby the Proposers professional staff indemnifies and holds harmless the City of Tamarac and each officer. agent and employee of the City of Tamarac against all claims, against any of them, for personal injury or wrongful death or property damage arising out of the negligent performance of professional services or caused by an error, omission or negligent act of the Proposer's professional staff or anyone employed by the Proposer's professional staff. Sixty-(60) days %%-Htten notice must be provided to the City of Tamarac via Certified Mail in the event of cancellation. SUPPLEMENTAL PROVISIONS The following two (2) statements will be utilized whenever any [vpe of insurance is required. These statements should be included on all bid documents. The insurance coverage and conditi6ns afforded by this policy(s) shall not be suspended. voided, canceled or modified, except after Sixty-(60) days prior N,,Titten notice by Certified Mail, Return Receipt Requested, has been given to the City of Tamarac's department that originated this contract. • 8 2. Certificates of Insurance meeting the specific required provision specified within this Contract/Agreement shall be forwarded to or verified by the City of Tamarac Department that originated the contract, and approved prior to the start of any work or the possession of any city property. INDEMNMCATION/HOLD HARMLESS AGREEMENT Contractor shall, in addition to any other obligation to indemnify the City of Tamarac and to the fullest extent permitted by law, protect, defend, indemnify and hold harmless the City of Tamarac, their agents, elected officials and employees from and against all claims, actions, liabilities, losses (including economic losses), costs arising out of any actual or alleged a) bodily injury, sickness, disease or death, or injury to or destruction of tangible property including the loss of use resulting therefrom, or any other damage or loss arising out of or resulting or claims to have resulted in whole or in part from any actual or alleged act or omission of the Contractor, any subcontractor, anyone directly or indirectly employed by any of them, of anyone for whose acts any of them may be liable in the performance of the Work; or b) violation of law, statute, ordinance, governmental administration order, rule regulation, or infringement of patent rights by Contractor in the performance of the Work; or c) liens, claims or actions made by the Contractor or any subcontractor or other party performing the Work. The indemnification obligations hereunder shall not be limited by any limitation on the amount, type of damages, compensation or benefits payable by or for the Contractor or any subcontractor • under worker's compensation acts; disability benefit acts, other employee benefit acts or any statutory bar. • Any cost of expenses, including attorney's fees, incurred by the City of Tamarac to enforce this agreement shall be borne by the Contractor. 1-13 LICENSES Proposers, both corporate and individual, must be fully licensed and certified for t ;e t}pe cf ,Nork to be performed in the State of Florida at the time of UP receipt. The proposal of any proposer that is not fully licensed and certified shall be rejected. 1-14 PUBLIC ENTITY CRIMES In accordance with Florida State Statute 287.133 (2)(a): A person or affiliate who has been placed on the convicted vendor list following a conviction for public entity crime may not submit a bid on a contract to provide any goods or services to a public entity, may not submit a bid on a contract with a public entity for the construction or repair of a public building or public work, may not submit bids on leases of real property to public entity, may not be awarded or perform work as a contractor, supplier. subcontractor or consultant under a contract with any public entity, and may not transact business with any public entity in excess of the threshold amount provided in Florida Statutes Section 287.017. for CATEGORY TWO, for a period of 36 months from the date of being plated on the convicted vendor list. 19 1-15 NON -COLLUSIVE AFFIDAVIT The Proposer, by affixing its signature to this proposal, certifies that its proposal is made without previous understanding, agreement. or connection either with any previous firms or corporations offering a Proposal for the same items, or with the City. The Proposer also certifies that its proposal is in all respects fair, without outside control, collusion. fraud, or otherwise illegal action. 1-16 DRUG -FREE WORKPLACE Preference shall be given to businesses with Drug -Free Work Place (DFW) programs. Whenever two or more proposals which are equal with respect to price, quality, and service are received by the City for the procurement of commodities or contractual services, a proposal received from a business that completes the attached DFW form certifying that it is a DFW shall be given preference in the award process. C7 • 10 • JLDRUG-FREE WORKPLACE FORM The undersigned vendor in accordance with Florida Statute 287.087 hereby certifies that does: (Name of Business) 1. Publish a statement notifying employees that the unlawful manufacture, distribution, dispensing, possession, or use of a controlled substance is prohibited in the workplace and specifying the actions that will be taken against employees for violations of such prohibition. 2. Inform employees about the dangers of drug abuse in the workplace, the business's policy of maintaining a drug -free workplace, any available drug counseling, rehabilitation. and employee assistance programs, and the penalties that may be imposed upon employees for drug abuse violations. 3. Give each employee engaged in providing the commodities or contractual services that are under bid a copy of the statement specified in subsection (1). • 4. In the statement specified in subsection (1), notify the employees that as a condition of working on the commodities or contractual services that are under bid, the employee %Hill abide by the terms of the statement and will notify the employer of any conviction of. or plea of guilty or nolo contendere to, any violation of Chapter 1893 or of any controlled substance law of the united State or any state, for a violation occurring in the %workplace no later than five (5) days after such conviction. 5. Impose a sanction on. or require the satisfactory participation in a drug abuse assistance or rehabilitation program if such is available in the employee's communin•. by any emoiovee who is so convicted. 6. Make a good faith effort to continue to maintain a drug -free %workplace through implementation of this section. As the person authorized to sign the statement, I certify that this firm complies fully vith the above requirements. Bidder's Signature Date • I NATURE OF SERVICES REQUIRED PART II 2-1 WORK OBJECTIVE The City of Tamarac is requesting proposals from qualified firms of certified public accountants to audit its financial statements for a three (3) year period beginning with the fiscal year ending September 30, 1999, with an option to renew for an additional two (2) year period. These audits are to be performed in accordance with generally accepted auditing standards and the standards for financial audits set forth in the U.S. General Accounting Offiice's (GAO) Government Auditing Standards the provisions of the Federal Single Audit Act Amendments of 1996, and U.S. Office of Management and Budget (OMB) Circular A- 133, Audits of State and Local Governments. 2-2 SCOPE OF WORK TO BE PERFORMED The City of Tamarac requires the auditor to express an opinion on the fair presentation of its general-purpose financial statements in conformity with generally accepted accounting principles. • The Auditor is not required to audit the combining and individual fund and account group financial statements and supporting schedules. However, the Auditor is to provide an "in -relation -to" report on the combining and individual fund financial statements and supporting schedules based on the auditing procedures applied during the audit of the general-purpose financial statements. The Auditor is not required to audit the statistical section of the report. The Auditor is not required to audit the schedule of federal and state financial assistance. However,* the auditor is to provide an "in relation -to" report on that supplemental information as well, based on the auditing procedures applied during the audit of the financial statements. The auditor may be requested to perform other auditing services at the discretion of the City_ Any such additional work agreed to between the City of Tamarac and the firm shall be performed in accordance with the provisions specified in Section II(2-5) of this Request for Proposal. 2-3 AUDITING STANDARDS TO BE FOLLOWED To meet the requirements of this Request for Proposals, the audit shall be performed in accordance with: * Generally accepted auditing standards as issued by the American Institute of Certified Public Accountants (AICPA); * Government Auditing Standards, as issued by the Comptroller General of the united States: * Circular No. A-133, Audits of State_ and Local Governments, Office of :�tanazement and Budget; * Rules of the Auditor General for the State of Florida relating to Section 11.43(3)(a)4 of the Florida Statutes; and • 12 • • C] * Other rules as applicable. 24 REPORTS TO BE ISSUED Following the completion of the audit of the fiscal year's financial statements. the auditor shall issue the following: A. A report on the fair presentation of the general-purpose financial statements as a whole, in conformity with generally accepted accounting principles. B. A report on the internal control structure based on the auditor's understanding of the control structure and assessment of control risk. C. A report on compliance with laws and regulations. D. A "management letter" required by Section 11.45(3)(a)4, Florida Statutes. E. Reports required by the Single Audit Act of 1996 and OMB Circular A-133 to include: * An "in -relation -to" report on the schedules of federal and state financial assistance. * An opinion on the financial statements and on the supplementary schedule of expenditures of federal awards. * A report on compliance and on internal control over financial reporting based on an audit of financial statements performed in accordance with Government Auditing Standards. * A report on compliance with requirements applicable to each major program and on internal control over compliance in accordance with Circular A-133. * A schedule of findings and questioned costs. * Nonreportable conditions discovered by the auditors shall be reported in the management letter required by Florida Statutes I I.45(3)(a)(4), which shall be referred to the report on internal control structure and compliance. Use of the audited Financial Statements, opinions or any of the above named reports wiil not result in additional compensation unless their use requires additional certification or services on the part of the firm. F. Irregularities and illegal Acts. Auditors shall be required to make an immediate. wriLten report of all irregularities and illegal- acts of which they become aware to the Director bf Finance, City Manager and City Commission as appropriate. 2-5 SPECIAL CONSTDERATIONS AND SERVICES A. The Citv of Tamarac will send a comprehensive annual financial report to the Government 13 Finance Officers Association of the United States and Canada for review in the Certificate of Achievement for Excellence in Financial Reporting Program. It is anticipated that the auditor will be required to provide special assistance to the City of Tamarac to meet the requirements of that program by providing technical advice to ensure awarding of certification. B. The schedule of federal financial assistance and related auditor's report. as well as the reports on the internal control structure and compliance, are to be issued in conjunction with the comprehensive annual financial report. C. The City of Tamarac may, during the period of this contract, prepare one or more official statements in connection with the sale of debt securities, which will contain the general- purpose financial statements and the Auditor's report thereon. The Auditor shall be required, if requested by the fiscal advisor and/or the underwriter, to issue a "consent and citation of expertise" as the Auditor and any necessary "comfort letters." D. The City will periodically require an EDP audit of its Information Systems. This service will include but not be limited to the City's Internet and E-mail use policies and procedures. E. Review of the financial report of the City filed with the Department of Banking and Finance, State of Florida, pursuant to Section 218.32, Florida Statutes, to verify that it is in agreement with the financial statements for the year ended September 30, 1999. 2.6 WORKING PAPER RETENTION AND ACCESS TO WORKING PAPERS All working papers and reports must be retained in accordance with requirements and procedures set forth by the General Records Schedule for Local Government Agencies as promulgated by the Division of Archives, History and Records Management (a division of the Florida Department of State). The auditor will be required to make working papers available. upon request, to the following parties or their designees: * City of Tamarac * Cognizant Agency * Parties designated by the federal or state governments or by the Cin• of Tamarac as paxt of an audit quality review process. * Auditors of entities of which the City of Tamarac is a subrecipient of grant funds. In addition, the firm shall respond to the reasonable inquiries of successor auditors and allow successor auditors to review working papers relating to matters of continuing a:countmz significance. As requests for copies of working papers are fulfilled, the auditors v.- ll be required to notify the Director of Finance of the request: as appropriate. 14 DESCRIPTION OF THE GOVERNMENT 0 PART III 3-1 BACKGROUND INFORMATION The City of Tamarac serves an area of approximately 12 square miles with a population of approximately 51,000. The City of Tamarac's fiscal year begins on October 1 and ends on September 30. The following departments provide direct services to the citizens and their activities are accounted for through the General Fund and Special Revenue Funds: G vernmental Services Police (Contractual) Stormwater Maintenance Streets Maintenance Fire Protection Parks and Recreation Planning/Zoning Building Department Code Enforcement Emergency Medical Recycling Social Services The following departments provide internal support services to the above departments as «eil as other city departments. They are also accounted for through the General Fund: * City Manager * City Commission * City Attorney * City Clerk * Personnel * Finance and administration * Budget (a division of Finance) * Purchasing (a division of Finance) * Facilities Maintenance (a division of Public Works) Ente rise Services * Water Treatment and distribution system serving approximately 18.000 customers * Wastewater collection and treatment *system serving approximately 18.000 customers 0 3-2 The City of Tamarac accounts for the following administrative services in Internal Service Funds: * Fleet Services Fund * Management Information Services Fund * Insurance Services Fund Actuarial services for the City of Tamarac's Insurance Services Fund, which includes general liability, public official, and automobile liability are provided by Gabriel, Roeder, Smith & Company. Another auditing firm provides arbitrage calculation and monitoring services. The City of Tamarac has a total payroll of approximately $16 million covering over Four Hundred Thirteen (413) employees. (343 Full-time and 70 Part-time) The City of Tamarac's General Government is composed of 14 departments. The total operating budget for FY 99 is $46 million and $5 million for capital projects. More detailed information on the government and its finances can be found in the City's Comprehensive Budget Document, Comprehensive Annual Financial Report, Code of Ordinances. and Administrative Policies and procedures Manuals available in the City Clerk's and Finance Departments located at the Tamarac City Hall. FUND STRUCTURE The City of Tamarac uses the following fund types and account groups in its financial reporting: Number with Number of Legally Adopted Fund Tvve/Account Group Funds Annual Budgets General fund Special revenue funds 6 6 Debt service funds 1 1 Capital projects funds 1 1 Enterprise funds 1 1 Internal service funds 3 3 Expendable trust funds 2 Nonexpendable trust funds 0 Pension trust funds 3 n/a Agency funds 1 General fixed assets account group 1 n/a General long-term debt account group 1 n/a 16 C� • r� U 3-3 BUDGETARY BASIS OF ACCOUNTING 0 The City of Tamarac prepares its budgets on a basis consistent with generally accepted accounting g g Y P principles (GAAP) for the General Fund, Special Revenue Funds and Capital Projects Funds. r I LJ 34 FEDERAL AND STATE FINANCIAL ASSISTANCE During the initial fiscal year to be audited, the City of Tamarac will receive financial assistance including but not limited to the following federal or state agencies: * Community Development Block Grant * U. S. Department of Justice * U. S. Department of Transportation * Department of Community Affairs 3-5 PENSION PLANS The City of Tamarac participates in the following single employer pension plans: Defined Defined Deferred Plan Benefit Contribution Compensation General Employees Pension Fund* X Police Officers Pension Fund* X Firefighters Pension Fund* X Appointed Officials/Executive/ Administrative/Management (401)(A) Plans X Deferred Compensation Plan (457) X *Actuarial services for these plans are provided by Gabriel, Roeder, Smith & Company. 3-6 COMPONENT UNITS The City of -Tamarac is defined for financial reporting purposes. in conformity- «ith the Governmental Accounting Standards Board's Codification of Governmental Accountine and Financial Reporting Standards, Section 2100. Using these criteria. component units are inciuded in the City of Tamarac's financial statements. 17 3-7 3-S MAGNITUDE OF FINANCE OPERATIONS The Finance Department is headed by Margaret A. McGarrity, CPA, Director of Finance, and consists of twenty-nine (29) employees. The number of employees assigned to each division are as follows: Number of Function Emplovees Administration 3 Accounting & Treasury/Revenue 11 Management & Budget 4 Purchasing & Contracts 5 Customer Service 6 29 COMPUTER SYSTEMS Management Information Services provides information system design and support.. computer program development and enhancement, microcomputer support. telecommunications. and general data processing service to City departments. The City of Tamarac's IBM AS 400 business application computer system consists of the following components: -- (1) AS 400/9406 500 Midsize Computer and Peripheral Equipment -- (6) Network Servers (5 Gateways & 1 Digital) -- (190) P.C.'s (Gateway, Zeos, NEC, Dell) -- (47) Laser Printers -- (7) Color Printers -- (3) Plotters The current applications running on the City of Tamarac's AS 400 are: 1•/ 31►1 Bill N �161 g111ti•�:.10 MAJOR APPLICATIONS HTE GMBA (GL, AP, Budget, Projects). Extended Reporting. Purchasing/Inventory, Bids. Asset Management II, Miscellaneous Receivable, Loans Module. Cash Receipts. Payroll/Personnel, Applicant Tracking, Land Management_ Building Permits, Code Enforcement, Business Licenses. Planning & Zoning, Customer Information System. Work Order," Facilities Management. Fleet Management. Fuel Interface. GUT 400 Server. GUI 400 Client. FIRES Management System. `Voice Response BP, Parks & Recreation Microsoft SMS, SQL, Exchange, SNA. Proxy. NT Sen'ers E • • DATA BASES 0 TYPE USES ACCESS Integrated Financial City Wide -all Via and Administration administration multilevel (Relational-AS/400) and management password information and station 3-9 AVAILABILITY OF PRIOR AUDIT REPORTS AND WORKING PAPERS Interested proposers who wish to review prior years' Comprehensive Annual Financial Reports (CAFR) and management letters should contact Margaret A. McGarrity, CPA, Director of Finance, at the City of Tamarac, 7525 NW 88th Avenue, Tamarac, Florida 33321-2401, telephone (954) 724-1310. The City of Tamarac will use its best efforts to make prior audit reports and supporting working papers available to proposers to aid their response to this Request for Proposal. C] • 191] 4-1 4-2 4-3 TINIE REQUIREMENTS PART IV PROPOSAL CALENDAR Request for Proposals Issued May 28, 1999 Pre -Proposal Conference Tune 14, 1999 Due Date for Proposals rune 23, 1999 NOTIFICATION AND CONTRACT DATES Finalist Presentations July 12, 1999 (Week On (To include personnel assigned to the engagement) The City will review and evaluate the proposals in a timely manner. Final Contract Approved by City Commission August 25, 1999 SCHEDULE FOR CONDUCTING AUDITS During the second through fifth years of the Financial Auditing Services contract, the Auditor should complete each of the following no later than the dates indicated below. Due to the proposal due date for fiscal year 1999 (first year of the contract), these dates will be determined by mutual agreement during contract negotiations. A. Interim Work The Auditor shall complete interim work by August 31 st . B. Detailed Audit Plan The Auditor shall provide the City of Tamarac by July 31st. both a detaiied audit nian and a list of all schedules to be prepared by the City of Tamarac. C. Fieldwork The Auditor shall complete all fieldwork by January 31 st D. Draft Reports The auditor shall have drafts of the audit report and recommendations to management available for review by March 1 st 4-4 DATE FINAL REPORT IS DUE It is anticipated that the auditor will deliver the opinion letter. management letter. and all requested reports on or around February 28th of each year. 20 0 4-5 CITY COMMISSION/FINANCL-tL ADVISORY BOARD REPORTING • • The audit report will be presented to the City Commission and Financial Advisory Board at their normally scheduled meetings immediately following receipt of the printed reports (presentation anticipated to be February or March of each year). 2.1 ASSISTANCE TO BE PROVIDED TO THE AUDITOR AND REPORT PREPARATION PART V 5-1 FINANCE DEPARTMENT AND CLERICAL ASSISTANCE The City staff and responsible management personnel will be available during the provision of services to assist the firm by providing information, documentation and explanations. The preparation of confirmations will be the responsibility of the City of T&-narac. 5-2 MANAGEMENT INFORMATION SYSTEMS (NITS) ASSISTANCE Certain MIS personnel will be available to assist the auditor in performing the engagement. MIS personnel will also be available to provide systems documentation and explanations. 5-3 WORK AREA, TELEPHONES, PHOTOCOPYING_AYD FAX NLXCEIE `ES The City of Tamarac will provide the auditor with reasonable workspace, desks and chairs. The auditor will also be provided with access to telephone lines, photocopying facilities and facsimile machines. 54 REPORT PREPARATION 0 Auditor shall prepare all individual, combining and combined Financial Statements. the Independent Auditor's Report, and notes to the Financial Statements. The City will provide the printed covers, inserts and back covers as well as the transmittal letter and information for statistical schedules. Report preparation, editing and printing shall be the responsibility of the auditor. • 22 PROPOSAL REQUIREMENTS 0 PART VI 6-1 RULES FOR PROPOSALS The proposal must name all persons or entities interested in the proposal as principals. The proposal must declare that it is made without collusion with any other person or entity submitting a proposal pursuant to this R.FP. 6-2 SUBMISSION OF PROPOSALS The following should be submitted for a proposing firm to be considered: A. An original copy (so marked) of a Technical Proposal and nine (9) copies to include the following: Title Page. Title page showing the request for proposals' subject, the firm's name. the name, address and telephone number of contact person, and the date of the proposal. 2. Table of Contents. The table of contents of the proposal should include a clear and • complete identification of the materials submitted by section and page number. 3. Transmittal Letter. This letter will summarize in a brief and concise manner the Proposer's understanding of the work to be performed, the commitment to perform the work within the anticipated time period, a statement %vhy the firm believes itself to be best qualified to perform the engagement, and a statement that the proposal remains in effect for ninety (90) days. An authorized agent of the proposer must sign the Letter of Transmittal indicating the asent's title or authorirti. 4. Detailed Proposal. The detailed proposal should follow the order set forth in Section 4-3A of this Request for Proposal. S. Statement acknowledging receipt of each addendum issued by the Cin. B. Proposals must be submitted in a sealed envelope clearly marked %vith the name of the audit firm, "Request for Proposal #99-18R Financial Auditing Services. June 23. 1999." 6-3 TECHNICAL PROPOSAL A. General Re uirements The purpose of the technical proposal is to demonstrate the qualifications. comperence. and capacity of the firms seeking to undertake an independent audit of the Cin of Tamarac in • 22 conformity with the requirements of this Request for Proposal. As such, the substance of proposals will carry more weight than their form or manner of presentation. The technical proposal should • demonstrate the combined qualifications of the firms and of the particular staff to be assigned to this engagement. It should also specify an audit approach that will meet the Request for Proposal requirements. The technical proposal should address all of the points outlined in the Request for Proposal. The proposal should be prepared simply and economically, providing a straightforward, concise description of the Proposer's capabilities to satisfy the requirements of the Request for Proposal. While additional data may be presented, the following subjects, items B through I, must be included. THERE SHOULD BE NO DOLLAR UNITS OR TOTAL COSTS INCLUDED Ni THE TECHNICAL PROPOSAL DOCUMENT, B. Independence The firm shall provide an affirmative statement that it is independent of the City of Tamarac as defined by generally accepted auditing standards and the U.S. General Accounting Office's Government Auditing Standards. The firm should list and describe the firm's professional relationships, if any, involving the Ciry of Tamarac for the past five (5) years. C. License to Practice in Florida • An affirmative statement must be included indicating that the firm and all assigned key professional staff are properly registered/licensed to practice in Florida. D. Firm Oualifications and Experience The proposal should state the size of the firm, the size of their firm's governmentai audit star_ the location of the offices from which the work on this engagement is to be performed and the number and nature of the professional staff to be employed in this engagement on a full-time casis. the number and nature of the staff to be so employed on a part-time basis and a delineation of the responsibilities by firm. The firm shall also provide information on the results of any federal or state desk reviews or field reviews of its audits during the past three-(3) years. In addition, the firm shall provide information on the circumstances and status of any disciplinary action taken or pending against the firm or any of the professional staff during the past three (3) years with state regulatory bodies or professional organizations. The firm shall also describe any litigation or proceeding whereby, during the past tvo %ears. a ^.ourt or any administrative agencv has ruled against the firm in any manner related to its professional activities. Similar information shall be provided for any current or pending litigation. Failure to return this information with your proposal will result in the rejection of your proposal. 24 0 E. Partner Su-pervisM and Staff Qualifications and Experience • The proposal shall identify the principal supervisory and management staff of engagement office, including engagement partners, managers, other supervisors and specialists, who would be assigned to the engagement and indicate whether each such person is licensed to practice as a Certified Public Accountant in Florida. The proposal shall also include information on the governmental, utility and electronic data processing auditing experience of each person on the team, including information on relevant continuing professional education for the past three (3) years and membership in professional organizations and on standards setting advisory boards and committees relevant to the performance of this audit. As much information as possible should be provided regarding the number, qualifications, experience and training of the specific staff to be assigned to this engagement. The proposal shall also indicate how the quality of staff over the term of the agreement will be assured. Engagement partners, managers, other supervisory staff and specialists may be changed with the express prior written permission of the City of Tamarac if those personnel leave the firm, are promoted or are assigned to another office. These personnel may also be changed for other reasons. In either case, the City of Tamarac retains the right to approve or reject replacements. F. Similar Engagements with Other Government Entities For the engagement office assigned responsibility for the audit, list and rank the five (5) most significant engagements performed in the last five years that are similar to the engagement described in this Request for Proposal. These engagements should be ranked on the basis of total • staff hours. • Indicate the scope of work, date, engagement partners, total hours, and the name and telephone number of the principal client contact. The City reserves the right to contact the above -mentioned references and any other clients. G. Conflict of Interest The proposal must also disclose any potential conflicts of interest due to anv other ciienfs contract or property interests or include a notarized statement certifying that no member of Four firm's ownershi management or staff currently have a vested interest which might be considered a conflict of interest. Any potential conflict of interest listed by a firm will be reviewed by the Ciry Attorney to determine its substantiveness. If the conflict of interest is found to be substantive_ the proposal will be rejected. H. S ific Audit Approach The proposal must set forth a work plan, including an explanation of the audit methodology to be followed to perform the services required in Section II of this Request for Proposal. In developing the work plan, reference should be made to such sources of information as the Cite of Tamarac's budget and related materials, organizational charts, manuals, programs. and other financial and management information. Proposers will be required to provide the follo%vine information on their audit approach: 2a 1. Proposed segmentation of the engagement. • 2. Staffing assignments and levels to be designated to each proposed segment of the engagement. 3. Extent of evaluation and use of electronic data processing software in the engagement. 4. Approach to be taken to gain and document an understanding of the City of Tamarac's internal control structure. 5. Approach to be taken in determining laws and regulations that will be subject to audit test work. 6. Approach to be taken in determining audit samples for purposes of test compliance. [. Proof of Professional Liability Insurance Firms shall provide proof that they are in compliance with the insurance requirements as described in Part I (1-12) regarding minimum coverage for Professional Liability Insurance. J. Identification of Anticipated Potential Audit Problems The proposal should identify and describe any anticipated potential audit problems, the firm's approach to resolving these problems and any special assistance that Nvill be requested from the City of Tamarac. K. Additional Information This section shall include the following items: 1. Provide a summary of any litigation filed against the proposer in the past three years which is related to the services that proposer provides in the regular course of business. The summary shall state the nature of the litigation. a brief description of the case, the outcome or projected outcome, and the monetary amounts involved. 2. Provide a financial statement, annual report. or other similar evidence of Proposer's financial stability. 3. Identify the type of business entity involved (e.g., sole proprietorship. parmership, corporation, etc.). Identify whether the business entity is incorporated in Flodda. another state or a foreign country. 4. Provide the Federal Employer ID number of the proposer. 5. Any additional information, which the proposer considers- . pertinent for consideration, should be included in this part of the proposai. zs 0 NO DOLLARS SHOULD BE INCLUDED IN THE TECHNICAL PROPOSAL. 64 SEALED DOLLAR COST BID A. Total All -Inclusive Maximum Price The sealed dollar bid should contain all pricing information relative to performing the audit engagement as described in this Request for Proposal. The total all-inclusive maximum price to be bid is to contain all direct and indirect costs including all out-of-pocket expenses. The City of Tamarac will not be responsible for expenses incurred in preparing and submitting the technical proposal or the sealed dollar cost bid. Such costs should not be included in the proposal. The first page of the sealed dollar bid should include the following information: I . Name of Firm 2. Certification that the person signing the proposal is entitled to represent the firm. empowered to submit the bid and authorized to sign a contract %vith the City_ of Tamarac. r 3. A total all-inclusive maximum price for the 1999 engagement. • B. Rates by Partner. SRecialist, Supervisory and Staff Level Times Hours Antici ated for Each • The second page of the sealed dollar cost bid should include a schedule of professional fees and expenses, presented in the format provided in the attachment (Appendix C, part 1), that supports the total all-inclusive maximum price. The cost of special services described in Section 11(2-5) of this Request for Proposal should be disclosed as separate components of the total all-inclusive maximum price using the formats provided in Appendix C. parts 2 and 3. C. Out -of -Pocket Ex enses Included in the Total All -Inclusive Maximum P.-ice and Reimbursement Rates Out-of-pocket expenses for firm personnel (e.g., travel, lodging and subsistence) will be reimbursed in accordance with Section 112.061, Florida Statutes. All estimated out-of-pocket expenses to be reimbursed should be presented in the sealed dollar cost bid in the format provided in the attachment (Appendix C). All expense reimbursements will be charged against the total all- inclusive maximum price submitted by the firm. r T In addition, a statement must be included in the sealed dollar cost bid stating that travel. lodging - and subsistence expenses included in the total=all-inclusive price are in accordance «ith Section 1 12.061, Florida Statutes. 27 D. Rates for Additional Professional Services If it should become necessary for the City of Tamarac to request the Auditor to render anv • additional services to either supplement the services requested in this Request for Proposal or to perform additional work as a result of the specific recommendations included in any report issued on this engagement, then such additional work shall be performed only upon a written agreement between the City of Tamarac and the firm. Any such additional work agreed to between the City of Tamarac and the firm shall be performed at the same rates set forth in the schedule of fees and expenses included in the sealed dollar cost bid. E. Pricing for Contract Years 2 through 5 Use the lower section of Appendix C, Part 1, to provide the total all-inclusive price for contract years 2 through S. If the proposed hourly rates used to calculate the total all-inclusive price for any contract year are different from contract year 1 rates, provide an index for those years or provide rates for each staff level and each contract year for which there is a change. Also include a statement as to whether those rates will be applicable for any additional professional services which may be requested during those contract years. F. Manner of Payment Payments will be based on a schedule of payments to be developed upon awarding of the contract. The City reserves the right to inspect records supporting the Auditor's billings. • 28 0 EVALUATION OF PROPOSALS 0 PART VII 7-I SELECTION COMMITTEE Proposals submitted will be evaluated by a Selection Committee appointed by the City of Tamarac. 7-2 REVIEW OF PROPOSALS The Selection Committee will use a point formula during the review process to score proposals. Each member of the Selection Committee will first score each technical proposal by each of the criteria described in Section 7-3 below. The full Selection Committee will then convene to review and discuss these evaluations and to combine the individual scores to arrive at a composite technical score for each firm. At this point, firms with an unacceptably low technical score will be eliminated from further consideration. After the composite technical score for each firm has been established, the sealed dollar cost bid will be opened and additional points will be added to the technical score based on the price bid. The maximum score for price will be assigned to the firm offering the lowest total all-inclusive maximum price. Appropriate fractional scores will be assigned to other proposers. • The City of Tamarac reserves the right to retain all proposals submitted and use any idea in a proposal regardless of whether that proposal is selected. 7-3 EVALUATION CRITERIA Proposals will be evaluated using three sets of criteria. Firms meeting the mandatory criteria ♦%-ill have their proposals evaluated and scored for both technical qualifications and price. The following represent the principal selection criteria. which will be considered during the evaivation process. A. Mandatory Elements The audit firm is independent and licensed to practice in Florida. 2. The audit firm's professional personnel have received adequate continuing _ professional education within the preceding two years. 3. The firm has no conflict of interest with regard to any other work performed by the City of Tamarac. 4. The firm submits a copy of it4 most recent external quality control review report and the firm has a record of quality audit work. 5. The firm adheres to the instructions in this Request for Proposal on preparing and submitting the proposal. 2� B. Technical ualifcations: (Maximum Points - 70%l l . Expertise and Experience (Maximum Points - 40%) . (a) The firm's past experience and performance on comparable government engagements. (b) The quality of the firm's professional personnel to be assigned to the engagement and the quality of the firm's management support personnel to be available for technical consultation. (c) Computer expertise. 2. Audit Approach (Maximum Points - 30%) (a) Adequacy of proposed staffing plan for various segments of the engagement. (b) Adequacy of sampling techniques. (c) Adequacy of analytical procedures. C. Price: (Maximum Points - 30%) COST WILL NOT BE THE PRIMARY FACTOR LN THE SELECTION OF A,\ AUDIT FIRM • 74 ORAL PRESENTATIONS During the evaluation process, the Selection Committee mav, at its discretion, request f=s to make oral presentations. Such presentations will provide firms with an opportunity to answer any questions the Selection Committee may have on a firm's proposal. Not all firms may be asked to make such oral presentations. 7-5 FINAL SELECTION The City of Tamarac will select the firm, which meets the best interests of the City. ire Ciry shall be the sole judge of its own best interests, the proposals, and the resulting negotiated agreement. The City's decisions will be final. 7-6 RIGHT TO REJECT PROPOSALS Submission of a proposal indicates acceptance by the firm of the conditions contained in this Request for Proposal unless clearly and specifically noted in the proposal submitted a::d ccntirmed in the contract between the City of Tamarac and the firm selected. The City of Tamarac reserves the right without prejudice to reject any or all proposals. 30 0 1!CHJRachlin Cohen & HoltZ LLP Certified Public Accountants & Consultants June 23, 1999 City of Tamarac Purchasing Division City Hall 7525 N.W. 88th Avenue Tamarac, Florida 33321-2401 The independent certified public accounting firm of Rachlin Cohen & Holtz LLP is pleased to present this response to the request for proposal to provide financial auditing services to the City of Tamarac (the City) for the fiscal years ending September 30, 1999 through 2001 with an option to renew for an additional two year period. The selection of an independent certified public accounting firm is an important decision for the City. The City has an opportunity to select full service auditors and business advisors that have successfully demonstrated the ability to deliver responsive quality service, combining the responsive personal contact associated with smaller firms and the sophisticated professional resources of national accounting firms. Rachlin Cohen & Holtz LLP will bring a fresh and unbiased perspective to the audit process and combined with our governmental accounting and auditing experience will undoubtedly provide a smooth transition to a new audit team. • We are committed to providing distinctive and quality service in a timely manner to meet the Cityrs timetable and expectations. Rachlin Cohen & Holtz LLP has outstanding credentials in the governmental field and has the proven ability to deliver for its clients. Our strong commitment to the governmental sector in South Florida will provide the City of Tamarac with not only professionals in the field of governmental accounting and auditing but also advisors who will be able to assist you in ancillary matters, such as bond offerings, operations reviews or any other matters facing the City. • Rachlin Cohen & Holtz LLP stands to commit its resources to the City and we will perform the engagement within the time period requested. Should you require any further information or wish to meet any of the members of our team, we will be pleased to respond. We have a tremendous amount of confidence and pride in our governmental services and we want very much to be part of the professional service team of the City of Tamarac. This proposal is a firm and irrevocable offer for 90 days from the date of the proposal. Sincerely, RACHLIN COHEN & HOLTZ LLP G. Orry 6' Iocca, t)irector of Rachlin Cohen & Holtz LLP and Authorized Representative for the Firm One Southeast Third Avenue, Tenth Floor, Miami, Florida 33131 e Tei 303-3711-4'?5 - Fax x-3-3- i 700 Southeast Third Avenue, Third Floor, Ft. Lauderdale,•Florida 33316 - Tel ?54 325-1040 - Fax y;4.3 3C ; 470 Columbia Drive, Suite D-201, West Palm Beach, Florida 33.40Q - Tel 361.6S6-02C4 - Fax 3ci-�5n-:213 www.rchcpa.com Member tit Summit International .A,,,xmtns, Inc .e«h oifih5 in vnnoe.ti Ann thnw¢hout the H'nrid \Irmh'r tit the .American Inutule at Ceruned Public .A,cuuntants and memi er nt the Honda ln, mute of Canned NN:c .A;;� untar,:- • CLIENT SERVICE MANAGEMENT TEAM • Our client service management team is outlined below. • C] • Michael D. Futterman Client Service and Engagement Director • Overall decision maker • Primary responsibility for all services provided to the City of Tamarac • Maintains continuous contact with senior management • Responsible for the resolution of all technical issues Ilyssa Blum Audit Manager • Develop audit approach • Coordinate day-to-day planning and direction of the audit • Select and assign staff • Identification of accounting and audit issues • Coordinate contact with the appropriate City staff C. Jerry Clsiocca Concurring Review Director • Technical resource • Responsible for quality assurance over the form and content of the financial statements and auditor's report Colin Baenziger Nfunicipal Services Consultant • Responsible for consulting services including operations reviews Nestor Caballero Audit Supervisor • Planning fieldwork procedures • Day-to-day supervision of staff • Day-to-day contact with the City Senior and Staff Accountants W-41 • TECHNICAL PROPOSAL • C7 TECM ICAL PROPOSAL OWN A. GENERAL REQUIREMENTS Qualifications, experience, and commitment to service together are the keyfactors in the selection ctton of a professional service organization. Rachlin Cohen & Holtz LLP has built a reputation and its practice on the basis of responsive quality service to its clients. PROFILE OF RACHLIN COHE.V & HOLTZ Rachlin Cohen & Holtz LLP (the Firm) is a partnership including professional associations registered in the State of Florida. Accordingly, the individuals that represent these professional associations are referred to as directors, rather than partners. Through quality service and progressive management, Rachlin Cohen & Holtz LLP has established itself as one of Florida's leading certified public accounting and consulting firms. We are a local firm and operate from offices in Fort Lauderdale , Miami and West Palm Beach with a complement of twenty directors and a professional staff of seventy, plus adequate support staff. The Firm is a member of Summit International Associates, Inc., an international affiliation of the leading local public accounting firms in major cities throughout the world. Rachlin Cohen & Holtz LLP combines the responsive personal contact associated with smaller firms and the sophisticated professional resources of the national accounting firms. Our clients range from individuals to family -owned businesses to publicly held corporations. As our clients have grown, so too have we. Rachlin Cohen & Holtz LLP is currently ranked 70th in the top 100 certified public accounting firms among 23,000 firms nationwide and the largest local firm in the State of Florida. At the present time, Rachlin Cohen & Holtz LLP performs auditing, consulting and litigation services for over forty governmental entities throughout the State of Florida. The Firm is a member of the American Institute of Certified Public Accountants as well as a member of Florida Institute of Certified Public Accountants. All professional staff, upon successful completion of the CPA exam, become members of both the American and Florida Institutes of Certified Public Accountants. All key professional staff are properly licensed to practice in the State of Florida. Our present staff structure is as follows: Total Directors 20 Managers 14 Supervisors 9 Seniors 17 Staff accountants 30 90 To succeed in today's competitive and highly complekmarketplace, a company's business acumen and professional talents have to distinguish it from the masses. At Rachlin Cohen & Holtz LLP, we are proud of our ability to provide clients with the array of expertise and the depth of resources they require. -3- TECHNICAL PROPOSAL Our spectrum of services includes: Municipal Finance, Accounting and Consulting Our municipal finance professionals work closely with local governments, taxing authorities and other public entities providing many specialized accounting, auditing and other financial services including compliance with the Single Audit Act and OMB Circular A-133. Our assignments include feasibility studies, operational and performance audits, refunding of financial debt, and the issuance of new debt. We also advise numerous municipalities throughout Florida and the United States on the acquisition of utility systems and various types of rate analysis. Audit and Review The quality and credibility of our audit and review services are what set us apart from other accounting firms. Client financial statements are meticulously prepared on a timely basis, and we consistently deliver accurate reports for financing, break-even, and cash flow analysis. We also look beyond the numbers, using this information as a powerful diagnostic tool which can pinpoint situations in need of fine tuning as well as areas of untapped potential. Accounting and Tax Consulting Handled with proficiency, these cornerstone services can reduce operating costs and improve profits. Our highly trained staff can assist you in all aspects of the accounting and reporting cycle. We have the capability to link your computers with ours or manage your accounting functions on our system for maximum efficiency. Constantly changing tax laws and regulations require more creativity and cutting -edge technology. We offer a complete range of tax planning and consulting services, and act as researchers, advisors, and compliance monitors to ensure your business' success. These same services are also offered to individuals in the areas of asset accumulation and protection, estate planning and tax strategies. Our experience in international tax enables us to assist investors and businesses in: Interpreting tax treaties Assessing tax implications Working with attorneys to determine an individual's immigration status and ; ow it applies to certain types of investing Litigation Consulting & Business Valuations More and more attorneys have come to rely on the comprehensive services provided by Rachlin Cohen & Holtz to assist them in trial preparation, negotiations and data management. Our Litigation Consulting & Business Valuation professionals are highly experienced accountants with expertise in business trends, taxes, financial statements, business valuations, contract damages and recordkeeping. We also help prepare attorneys for accounting -related questions during discovery proceedings and in the presentation of expert testimony. Profit Enhancement Program We offer a dynamic business diagnostic program thaf will guide your organization to greater financial success. Our 100 Ways": The Profit Enhancement Process, is a highly -successful, interactive program that helps everyone in your organization develop a profit -oriented culture and a crystal clear picture of your company's financial goals. Through this program, we can help you turn ideas into quantifiable, bottom -line results - guaranteed. Rachlin Cohen & Holtz is the only local CPS, firm to offer this unique profit enhancement program. • -4- TECHNICAL PROPOSAL Management Consulting In today's complex and rapidly changing business environment, no one can have too much expertise. Our management consultants can provide you with a little or as much as you need to define your organization's goals and implement strategies to achieve them. Information Systems Consulting (RCH Technology Group) As both a professional user and provider of computer products, we can assist you with a broad range of services to streamline your operation. These include a thorough systems analysis, realistic budgeting, hardware and software selection and cable layouts and installation. We take the time up front to research your current and long-term needs, knowing it will save your business money and problems down the road. Once the system is properly identified, we can assist you in purchasing, installing and modifying your program if necessary. We will also ensure that your staff is properly trained, and be available to answer questions when they arise. Obtaining Financing Emerging growth and middle market companies are the very heart of South Florida's economy. Without the means to support their growth, South Florida's development would be dependent on just a few industries. Rachlin Cohen & Holtz understands that many up-and-coming businesses lack the capital to fuel expansion, and offers select services for clients with financing needs. Quality Control System All work will be supervised and reviewed by certified public accountants. An audit partner and manager will perform a detailed review of all workpapers and financial statements to ensure that he work was performed in accordance with professional standards and the requirements of the contract. The following describes our system of quality control. Quality Control The quality of our professional practice is of utmost importance to us, both as a firm and individually, and to the public we serve: our clients, and the users of our reports. To us, "quality of our professional practice" means we will provide services that conform with professional standards. Underlying this definition is the presumption that we will consider the integrity of individuals in determining our professional relationships, that we as a Firm and our personnel will be independent of our clients and that we, as a Firm, will assure our personnel will be professionally competent, objective and will exercise due professional care. Professional Development Program Our firm provides a minimum of 40 hours of continuing professional education (CPE) in-house annually to all professional staff. These seminars include sessions in governmental accounting and auditing, including Yellow Book and other accounting and auditing issues. In addition to the in-house training, - our partners and professional staff attend various outside seminars. Our professional staff are qualified to perform governmental audits. All supervisory professional staff assigned to the engagement team will exceed the education requirements promulgated by the Florida State Board of Accountancy and the United States General Accounting Office (Yellow Book - 1994 edition). 52 TECIE ICAL PROPOSAL B. INDEPENDENCE Rachlin Cohen & Holtz LLP and its employees are independent of the City of Tamarac and meet the independence standards of the American Institute of Certified Public Accountants and of the U.S. General Accounting Office's Government Auditing Standards. During 1997, our municipal services consultant, Colin Baenziger, performed an operations review for the City's utilities department. C. LICENSE TO PRACTICE IN THE STATE OF FLORIDA The Firm is a properly licensed certified public accounting firm.. (See Appendix G for copy of license.) The Firm is a member of the American Institute of Certified Public Accountants as well as a member of the Florida Institute of Certified Public Accountants. All professional staff upon successful completion of the CPA exam become members of both the American and Florida Institutes of Certified Public Accountants. All key professional staff are properly licensed to practice in the State of Florida. D. FIRM QUALIFICATIONS AND EXPERIENCE As previously discussed above in Section A, Rachlin Cohen & Holtz LLP is comprised of twenty directors and a staff of seventy, not including support personnel. Of that number, the following is a breakdown of the governmental audit staff Directors 3 Managers 4 Supervisors 4 Seniors 4 Staff Accountants 14 Total Zg The City of Tamarac engagement will be staffed from the Fort Lauderdale office of Rachlin Cohen & Holtz. The engagement director, Michael D. Futterman will be assisted by an audit manager, Ilyssa Blum. A supervisor, Nestor Caballero, and staff accountants will be assigned to this engagement on a full-time basis. The supervisor and staff accountants will not have other staffing responsibilities during the timetable established for audit fieldwork. The director and manager will concurrently be involved in other municipal engagements, but their participation and attentiveness to the City of Tamarac will not be compromised. In addition, the entire resources of our offices are at your disposal, making the knowledge and experience of all our directors and professionals available to you. The previous peer review report of Rachlin Cohen & Holtz LLP, which is in Appendix B, included a review of specific government engagements under the yellow book requirements. There are no disciplinary actions taken or pending against the Firm during the past three (3) years witb- state regulatory bodies or professional organizations. fn addition, there are no pending actions as a result of any Federal or State desk reviews or field reviews of the audits to the Firm's audits of local municipalities or other government entities during the -past three (3) years. -6- TECHNICAL PROPOSAL E. PARTNER, SUPERVISORY AND STAFF QUALIFICATIONS AND EXPERIENCE Our office experience is critical to providin g you with an effective and efficient audit. These are the professionals who will be on the job on a day-to-day basis; they need to be experienced in auditing governments. These professionals must be familiar with the complexities of govemmental accounting, financial reporting, the single audit, OMB Circular A-133, fund operations, state laws and the Rules of the Auditor General. The following individuals will be assigned to the engagement. Below is a brief description of each individual's experience in municipal audits as well as their relevant educational background and other pertinent information. All key individuals assigned to this engagement are licensed to practice as a Certified Public Accountant in the State of Florida. We have presented in Appendix A, a resume on each key individual that will be assigned. A three year history of CPE credits related to government sector activities is also presented. In addition, our commitment to active participation in local governmental organizations is included in the resumes. The staff assigned to the engagement will reflect the City's commitment to affirmative action. Michael D. Futterman, Engagement Director Michael D. Futterman, a director with over 10 years experience in the government accounting and auditing sector, is most qualified to serve as the engagement director on the City's engagement. Michael is the engagement partner or the concurring reviewer for all engagements listed in Section F. • C. Jerry Chiocca, Concurring Review Director Mr. Chiocca is the Director of Public Sector Accounting and Assurance Services at Rachlin Cohen & Holtz LLP specializing in governmental and non-profit audits. He has over 28 years experience in local governmental and utility engagements. In this capacity, Jerry will be available to members of the engagement team, and management of the City as a high-level technical resource. Jerry will also review the general purpose financial statements, related independent auditor's report and other documents included in the Comprehensive Annual Financial Report to ensure that industry standards have been adhered to and that the general purpose financial statements are in conformity with Firm and authoritative pronouncements regarding disclosure, format, terminology, etc. tiir. Chiocca is also the Quality Control Director for the Firm. Ilyssa Blum, Engagement Manager As the engagement's audit manager, Ilyssa will be responsible for the day-to-day planning and direction of our audit, developing -audit programs, selecting and assigning personnel, and reviewing all phases of the audit. She will maintain frequent contact with City personnel, coordinate ongoing work and advise management on the status of the engagement. Ilyssa has over eight years experience serving clients in the governmental sector. Ilyssa is the audit manager on the Town of Davie, Town of Golden Beach and the' Bal Harbour Village audit engagements. Nestor Caballero, Engagement Supervisor Nestor Caballero will function as the supervisor on this'engagement. Nestor has over 4 years experience in auditing local municipalities. Nestor is the in -charge auditor on the City of Pembroke Pines, the City of North Bay Village, and the City of Sunny Isles Beach audit engagements. -7- TECILYICAL PROPOSAL F. SIMILAR ENGAGEMENTS WITH OTHER GOVERNMENT ENTITIES The Firm provides audit and accounting services to numerous organizations within the government • sector. In addition, we are well versed in the Single Audit requirements and the Office of Management and Budget (OMB) Circular A-133. Below is a listing of some audit engagements with similar requirements of the City of Tamarac. a. City of Oakland Park (500 hours) Rachlin Cohen & Holtz has been the auditor for the City of Oakland Park for the past two (2) years. This involves the audit of the general purpose financial statements, including a single audit. The City receives the GFOA's Certificate of Achievement for Excellence in Financial Reporting. Michael Futterman is the audit partner and Jerry Chiocca is the concurring review director. b. City of Miramar (600 hours) Rachlin Cohen & Holtz is the auditor for the City of Miramar for the fiscal year ended September 30, 1998 and through September 30, 2001. This involves the audit of the general purpose financial statements, including the audit of the City's pension trust funds. The City also receives the GFOA's Certificate of Achievement for Excellence in Financial Reporting. Jerry Chiocca is the audit partner and Michael Futterman is the concurring review director. c. Town of Davie (700 hours) Rachlin Cohen & Holtz has been the auditor for the Town for the past eight (8) years. This involves the audit of the general purpose financial statements including a single audit and an audit of one of the City's pension plans. The City also prepares a Comprehensive Annual Financial Report and receives the Certificate of Achievement for Excellence in Financial Reporting. Michael Futterman is the audit • partner and Jerry Chiocca is the concurring review director. d. City of North Miami Beach (1,000 hours) Rachlin Cohen & Holtz has been the auditor of the City of North Miami Beach for the past twenty (20) years. This involves the audit of the general purpose financial statements, an audit of federal, state and local financial assistance programs in accordance with the Single Audit Act and state and local rules and an audit of the City's two pension plans. With respect to the Public Utilities Department of the City, the Firm has provided auditing and accounting services for the Water and Sewer Departments for the past twenty-five (25) years. In addition, the Firm prepares water and sewer rate studies, including costs of service studies, performs an annual review of the water and sewer utility budgets as required by the City's bond ordinances, and has represented the City in rate matters before the applicable regulatory agencies. The City also prepares a comprehensive annual financial report and receives the Certificate of Achievement for Excellence in Financial Reporting. Jerry Chiocca is the audit partner and Michael Futterman is the concurring review director on this engagement. e. City of Pembroke Pines (1,000 hours) Rachlin Cohen & Holtz has been the auditor for the City for the past six (6) years. This involves the audit of the general purpose financial statements including a single audit, the City's charter school audit and the audit of one of the City's pension plans. The City also prepares a comprehensive annual financial report and receives the Certificate of Achievement for Excellence in Financial Reporting. Michael Futterman is the audit partner and Jerry Chiocca is the concurring review director on this engagement. rI -8- TECHNICAL PROPOSAL • REFERENCES To provide you with a basis to evaluate the quality of our services, we are providing you with five references. We encourage you to contact any or all of these individuals. a. City of Oakland Park (954) 561-6260 Ms. Bonilyn Wilbanks, City Manager Mr. Bert Wrains, Finance Director b. City of Miramar (954) 967-1555 Mr. William Estabrook, City Manager Mr. Robert Bell, Finance Director c. Town of Davie (954) 797-1050 Mr. Robert Rawls, Interim Town Administrator Mr. Chris Wallace, Budget and Finance Director d. City of North Miami Beach (305) 948-2900 Mr. Gary Brown, City Manager . Ms. Marilyn Spencer, Finance Director e. City of Pembroke Pines (954) 431-4500 Mr. Charles Dodge, City Manager Mr. Rene Gonzalez, Finance Director G. CONFLICT OF INTEREST See Appendix I for conflict of interest certifications. H. SPECIFIC AUDIT APPROACH a. SCOPE OF SERVICES We will audit the general purpose financial statements for the City of Tamarac for the fiscal years ending September 30, 1999, 2000 and 2001 with an option to renew for an additional two year period. We will also provide an in -relation to opinion on the combining and individual fund financial statements and schedules. = In addition, the scope of services will include: 1. Preparation of the general purpose financial statements, including the combining and individual fund financial statements and schedules. 2. Provide special assistance to the City to meet the requirements of the GFOA's Certificate of Achievement for Excellence in Financial Reporting program. 512 TECBMCAL PROPOSAL 3. Review of the annual local government financial report filed with the Florida Department of . Banking and finance pursuant to Florida Statute Section 218.32 to verify that is in agreement with the financial statements for the years ending September 30 for the periods engaged. Our audit will be conducted in accordance with the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States and in compliance with the following: • Chapter 10.550 and 10.600 Rules of the Auditor General of the State of Florida • Regulations of the Florida Department of Banking and Finance • AICPA's Audit and Accounting Guide "Audits of State and Local Governmental Units" • Single Audit Act Amendments of 1996 and OMB Circular A-133 • Florida Statutes The audit shall be a financial audit as defined in Section 11.45(1)(c), Florida Statutes. The engagement shall include all funds, account groups and component units for which the City is financially accountable. b. TIMING OF THE ENGAGE1TJENT We have developed a timetable to meet the requirements outlined in your request for proposal. INTERLII FL 1AL ,T A S D I F 1I Planning • Discuss and develop service plan, including accumulating items of a permanent nature • Key team members meet with the Finance Department develop a coordinated approach to the audit Team members meet to set deadlines for the completion of interim and final field work • Risk Assessment The engagement team identifies specific areas of audit emphasis that will serve as the focus of the audit Develop Audit Plan Internal controls are evaluated and tested _ • Identify areas of improvement and discuss with management immediately Based on our conclusions with respect to internal control, specific audit tests are developed • Kea TECHNICAL PROPOSAL INTERIM J A S Perform Audit Plan W M. D J F M Interim audit procedures are performed • Engagement team meets with Finance Department to review service plan against interim results, finalize the year-end timetable, and highlight year-end audit/reporting issues • • Year -End Year-end audit procedures are performed • Results of year-end audit procedures and service plans are reviewed with the Finance Department Management Letter comments are discussed with all appropriate supervisory personnel • Conclude and Report • Engagement Partner reviews final results against service • plan Engagement Partner and manager review year-end results with the Finance Department and management • • Review report in accordance with GFOA guidelines. Provide management with a report for their review and • • comments Assist City personnel in compliance with Certificate of Achievement for Excellence in Financial Reporting, if Applicable Issue CAFR and Management Letter • • Year Round Commitment Engagement Partner and other key team members will be available throughout the year to discuss areas of concern - fulfilling commitment to be business advisors c. SERVICE PHILOSOPHY We will develop an engagement plan for serving the City of Tamarac, which will provide timely, efficient and constructive service. TECII]ICAL PROPOSAL We will approach the audit of the City of Tamarac, with a well planned, streamlined audit approach based upon our extensive knowledge of governmental entities and experience with other organizations with operations similar to that of the City. The following are key characteristics of our service plan and philosophy: • Open, on going planning, communication and teamwork; • Participation of professionals with relevant experience and diverse backgrounds; • State-of-the-art audit techniques; and • Comprehensive planning that includes obtaining an in-depth knowledge of the City and its goal and objectives. The following distinguishes our team from our competitors: • Responsive Communication - One of our distinguishing characteristics is our ability to deliver services and respond to our client inquiries quickly and accurately. • Experienced Professionals - Your client service team has significant industry experience - from staff accountant to director. • Use of Professional Consultants - The audit team will be supplemented by functional experience such as systems specialists to provide assistance, as needed. • Constructive Recommendations - We will provide the City with both operational ang financial recommendations throughout the year. Our "total service approach" will provide the City with a value added to the audit process that is not normally associated with an audit. These areas of service include the use of our "broad vision" approach, and effective and on -going communications. Use of "Broad Vision " Our professionals are trained to apply the concept of "broad vision" throughout the audit process. The concept of "broad vision" relates to the identification of potentially inefficient or "iM. proper" uses of resources, which is not a direct responsibility of the auditor under generally accepted auditing standards, but which provides our clients with a degree of comfort in carrying out their responsibilities. Communication: A continuous flow of communication is key to a successful audit. We have year-round communication with all our clients. We will meet regularly with management to discuss the progress of the audit, and will be available as -needed to discuss problems encountered, solutions reached and concerns of management. d. AN EFFICIENT AND EFFECTIVE AUDIT APPROACH Scope of Services As stated above, the audit of the City's general purposefinancial statements will be made in accordance with generally accepted auditing standards and the standards applicable to financial audits contained in Government Auditing Standards, for the purpose of rendering an opinion on the general purpose financial statements of the City of Tamarac. 0 -12- TECHNICAL PROPOSAL In addition, our auditing procedures will include those standards of any cognizant federal agency which are necessary to test compliance and to disclose noncompliance with specified laws, regulations and contracts. Audit Programs We utilize the Practitioners Publishing Company (PPC) audit programs from the "Audits of Local Governments" Manual. We have found these programs to be comprehensive and thorough yet streamlined to be efficient to meet the objectives of the audit of the City. Our audit is subject to the inherent risk that material errors, irregularities, or illegal acts, including fraud or defalcations, if they exist, will not be detected. However, if a reportable condition should be detected during the audit, such a condition will be communicated in the report on compliance and on internal control. A reportable condition will be defined as a significant deficiency in the design or operation of the system of internal control, which could adversely affect the City's ability to record, process, summarize and report financial data consistent with the assertions of management in the City's general purpose financial statements. Proposed Segmentation of the Engagement Our audit of the general purpose general purpose financial statements will be conducted in four distinct segments (percentages are approximated): Hours Directors Manager Supervisor Staff Total • Planning Stage 15 25 25 - 65 Interim Procedures 5 15 45 20 85 Year -End Procedures 10 30 90 190 320 Report and Review 20 30 20 10 80 50 100 180 220 550 Planning Stage Defining the objectives of an audit and developing a plan encompassing these objectives are the key to an effective audit. The key members of the audit team will obtain copies of organizational charts, the budget, accounting manuals and programs, etc. and will utilize these tools while personally interviewing the City's personnel in evaluating internal control and utilizing the results derived from this survey to develop the audit plan and program. We will also perform preliminary analytical procedures such as comparing budget to actual amounts. During the interview process, we will be reviewing the City's budget, the City's Charter and Code of Ordinances and excerpting relevant documentation of a permanent nature, especially those relating to bond issues and contractual arrangements, as well as discussing with those City representatives who are responsible for the City's compliance with laws and regulations. During this planning stage, the members of the team will identify any potential audit challenges and in conjunction with the Finance Department, will decide'on the appropriate approach to resolving these issues and the extent of any assistance that will be needed from City personnel. Prior to July 31, 1999, we will provide to the City a detailed audit plan, including a list of schedules to be prepared by City personnel. -13- TECHNICAL PROPOSAL Systems Evaluation At this point, we will move into the systems evaluation phase of the audit. Two steps are included in this phase: review and evaluate internal accounting controls, and evaluation of the EDP environment. Our procedures include inquiries of appropriate management supervisory and staff personnel, inspection of documents and records and observation of activities and operations. Review and Evaluate Internal Accounting Controls. Internal accounting controls are reviewed and evaluated to determine the extent to which the controls can be relied upon to produce accurate and timely financial data. It follows that the better the controls, the more reliable the systems and, therefore, the fewer substantive tests to be performed. Evaluation of EDP Environment. The evaluation of the EDP environment is a critical component of auditing the general purpose financial statements. It is designed to determine the degree of reliance we can place on the internal accounting controls of the systems which feed the general purpose financial statements. The degree of reliance on internal accounting controls is important because it helps to define the scope of the auditors' investigative and valuative efforts needed to support the audit opinion. The scope of audit effort lessens as both the implementation and proper execution of internal accounting controls strengthen. EDP Audit Techniques The growing complexity of the data processing environment mandates special audit procedures performed by proven experts. Our work addresses computer risks related to the quality, security, and continuity of information systems. Our work supports the financial audit by identifying and analyzing the potential impact of computer risks on the audit process and planning an audit response to focus on Is that risk. Incorporating a greater operational orientation into our EDP reviews facilitates appropriate consideration of broad issues related to EDP. In addition, it allows for assessing the effects of EDP on audit risks in the planning stage so that an appropriate audit response can be developed. The Interim Work It is our intention to conduct detailed transaction testing prior to the year end. We plan to perform interim work during the month of August in order to facilitate a rapid year-end closing and audit and the issuance of the City's general purpose financial statements. We will conduct compliance tests utilizing our "Testing of Compliance with Controls -Sampling Planning and Evaluation Form'" -which determines sample sizes based on the expected level of control risk and the planned number of deviations. We utilize statistical and non -statistical sampling techniques. The Year -End Audit During the year-end audit phase, we will be utilizing analytical procedures, which will compare budgeted amounts with actual balances, as well as othez statistical data, e.g., average salary, interest reasonableness, etc. We will also perform the following in conjunction with our audit: • Confirmation of selected accounts. • Conduct certain substantive tests of year-end balances. • Complete all field work and prepare a draft of our report on compliance and on internal control over financial reporting for discussion with management. • Prepare the applicable compliance reports. SEE TECHNICAL PROPOSAL As noted above, analytical review procedures are required in the planning stage, (preliminary analytical procedures), during fieldwork as substantive audit procedures and during wrap-up (final analytical procedures). e. TESTING COMPLIANCE WITHLAWSAND REGULATIONS One of the most important aspects of auditing governmental entities is designing the audit to test compliance with laws and regulations including bond ordinances. Governmental entities, more so than any other business or entity, are subject to a myriad of laws and regulations established by numerous oversight entities and legal documents such as: • Florida Statutes • City Charter and Ordinances • Bond Covenants • Trust Indentures • Interlocal Agreements • Grant Agreements • Government Auditing Standards • Federal Laws and Grantor Agencies Auditing standards dealing with compliance auditing applicable to governmental entities and recipients of federal financial assistance, brought together the compliance auditing requirements of governmental entities established by the GOA and the Single Audit Act. We address these compliance requirements through a set of specialized audit programs and checklists which were developed to address those laws and regulations applicable to our Florida government clients. These programs and checklists designed for compliance testing are in accordance with the Florida Statutes and Federal laws as applicable. f. MANAGEMENT LETTER • As part of every governmental audit engagement, a Management Letter in accordance «nth the Rules of the Auditor General of the State of Florida and Reports on Compliance and on Internal Control over Financial Reporting are issued. Report on Compliance and on Internal Control over Financial Reporting This report is issued as part of every audit engagement and serves to communicate to management matters regarding compliance and the internal control that come to our attention during an audit of financial statements made in accordance with Government Auditing Standards. V The existence of material weaknesses, if any, in the internal control affects the nature, extent, and riming of audit tests to be applied in an audit of financial statements. However, the communication, either orally or in a written report, of such weaknesses of which we are aware is not required to enable us to state that the audit has been made in accordance with generally accepted government auditing standards. Rather, the communication of material weaknesses in the internal control structure is incident to our objective in making an audit of the financial statements, which is to form an opinion as to whether the general purpose financial statements present fairly the financial position, results of operations, and cash flows in conformity with generally accepted accounting principles consistently applied. Such communication is also incident to the purposes of oui study and evaluation of the internal control structure, which is to establish a basis for reliance thereon and for determination of the resultant extent of the tests to which auditing procedures are to be applied and to assist us in planning and performing the audit of the financial statements. We may become aware of material weaknesses in the internal control through the initial review of the system. This review is primarily a process of obtaining information about the organization and the procedures prescribed and is intended to serve as a basis for making a preliminary evaluation of the system. If we intend to rely on the prescribed procedures, the review will also serve as a basis for -15- TECHNICAL PROPOSAL designing related tests of compliance that are intended to provide reasonable assurance that the accounting control procedures are being applied as prescribed. We may also become aware of material weaknesses in the internal control by performing tests of compliance with prescribed procedures. Further, we may become aware of material weaknesses in the internal control by performing substantive tests, the purpose of which is to obtain evidence as to the validity and propriety of the accounting treatment of transactions and balances or, conversely, of errors or irregularities therein. The communication of material weaknesses in the internal control may include comments concerning corrective action taken or in process. We may also offer suggested corrective action with respect to material weaknesses in the internal control for management's consideration. However, any additional study made to develop constructive suggestions is not part of an audit of financial statements made in accordance with Government Auditing Standards. We will also communicate reportable conditions in the internal control. I. PROOF OF PROFESSIONAL LIABILITY INSURANCE See Appendix E for proof of insurance. Once we are selected as the City's auditors, we will have the City named as an additional insured. J. IDENTIFICATION OF ANTICIPATED POTENTIAL AUDIT PROBLEMS At the present time, we do not anticipate any specific audit problems. However, if any problems should arise, they will be discussed with management and resolved in a timely manner. K. ADDITIONAL INFORMATION • a. A complaint has been filed against the firm by a former client alleging that the firm failed to complete the audit as engaged. The Quality Control Inquiry Committee (QCIC of the American Institute of Certified Public Accountants (AICPA)) has been notified (File No. 38845) and has subsequently notified Rachlin Cohen & Holtz LLP that the case was deemed to be frivolous and recommends that no actions be taken by the AICPA Professional Ethics Executive Committee with respect to the engagement personnel (letter dated January 21, 1999). No further notices have been received. b. We have provided in Appendix F of the proposal marked "original", a summarized financial statement of our Firm for the year ended December 31, 1998. This financial statement is considered confidential and should not be duplicated without the proposer's written approval. c. The Firm is a partnership of professional associations registered in the State of Florida. d. Our federal identification number is 65-0544505. e. Experience with GFOA Certificate of Achievement for Excellence in Financial Reporting Rachlin Cohen & Holtz LLP has made significant contributions to the professional societies and associations serving the governmental community. Jerry Chiocca and Michael Futterman have devoted time and effort to the FICPA's Committee on State and Local Governments, the Government Finance Officers' Association's (GFOA) Special Review Committee for the Certificate of • Achievement Program and the Florida Government Finance Officers Association. -16- TECHNICAL PROPOSAL . In addition, Jerry Chiocca and Michael Futterman are active members of the GFOA's Special Review Committee. Our service to the GFOA's special review committee is an example of our commitment to professional associations. We have assisted and have been successful with our South Florida governmental clients in obtaining their GFOA Certificate of Achievement for Excellence in Financial Reporting, including the issuance of the Certificate for four government entities in their first year of incorporation and/or application. Listed below are our current South Florida clients who are involved in the certificate program: • • City of Miramar • City of North Miami Beach • City of North Miami • Town of Davie • City of Pembroke Pines • Miami Shores Village • Village of Key Biscayne • City of Miami Springs • City of Aventura • Village of Pinecrest • Town of Lauderdale -By -The -Sea • City of South Miami • City of Oakland Park In addition, we have also assisted some of our clients in submitting their budget documents for the Distinguished Budget Award program of the GFOA. -17- APPENDIX A RESUMES • r� u • MICHAEL D. FUTTERMAN, CPA Engagement Director • C� Position Director, Audit and Review Services Education B.B.A., Accounting, Florida Atlantic University, Boca Raton, Florida 1988 Range of Accounting and auditing experience extends to various types of entities, Experience including municipalities, governmental agencies, not -for -profit organizations, pension plans, public companies and other commercial entities. Performs peer reviews of both large and small public accounting firms under SECPS and Peer Review Program Guidelines. Professional Rachlin Cohen & Holtz - January, 1995 to present Ellstory Rachlin & Cohen - January , 1991 -December, 1994 Arthur Andersen & Company - January, 1989 - January, 1991 Professional and Member - American Institute of Certified Public Accountants Civic Affiliations Member - Florida Institute of Certified Public Accountants Associate Member - Government Finance Officers Association Associate Member - Florida Government Finance Officers Association Special Review Committee - GFOA Certificate of Achievement for Excellence in Financial Reporting Program Associate Member - Miami -Dade County League of Cities Associate Member - Broward County League of Cities Associate Member - Palm Beach County Municipal League Associate Member - DadeBroward Government Finance Officers Association Treasurer, Dade Schools Athletic Foundation, Inc. Committee Member - FICPA State and Local Government Committee MICHAEL D. FUTTERMAN, CPA Engagement Director Mr. Futterman has attended the following governmental seminars and has 128 governmental accounting and auditing CPE credits over the past three years_ L Government Symposium - Rachlin Cohen & Holtz Miami, Florida June 22, 1999 ( 7 hours) 2. Florida Governmental Finance Officers Association (FGFOA) Annual Conference - Marco Island, Florida June 7-9, 1999 (20 hours) 3. The Single Audit Act and OMB Circular A-133 Miami, Florida September 11, 1998 (16 hours) 4. Government Symposium - Rachlin Cohen & Holtz Miami, Florida June 10, 1998 (7 hours) 5. Florida Government Finance Officers Association (FGFOA) Annual Conference - Boca Raton, Florida June 1-3, 1998 (14 hours) 6. FICPA's Mastering the New Financial Reporting Model Miami, Florida May 29, 1998 (8 hours) 7. Auditor General Update Miami, Florida September 24, 1997 (6 hours) 8. Government Finance Officers Association (GFOA) Annual Conference - Fort Lauderdale, Florida June 1-4, 1997 (15 hours) 9. Florida Government Finance Officers Association (FGFOA) Annual Conference - Orlando, Florida April 20-23, 1997 (16 hours) 10. Government Symposium GASB Update - Miami, Florida September 26, 1996 (3 hours) 4 11. Annual AICPA Governmental Accounting and Audit Update Phoenix, Arizona September 12-13, 1996 (16 Hours) C7 0 C. JER.RY CHIOCCA, CPA Concurring Review Director 11 Position Director of Public Sector Accounting and Assurance Services and Quality Control Director of Rachlin Cohen & Holtz LLP Education B.S., Accounting, St. Thomas University (formerly Biscayne College), Miami (Magna Cum Laude) Experience His experience includes directing auditing engagements of governmental, non-profit and commercial clients, including public and investor -owner utilities, and in the preparation of cost of service studies for municipal and investor -owned utility systems. Professional History Rachlin Cohen & Holtz - January, 1995 to present Rachlin & Cohen - March, 1974 - December, 1994 Thomas J. Merlo - Manager 1972-1974 Deloitte, Haskins & Sells - 1968-1972 Professional and Member - American Institute of Certified Public Accountants Civic Affiliations Member - Florida Institute of Certified Public Accountants FICPA Committee on State and Local Government FICPA Committee on Peer Reviews, Chairman Member, Special Review Committee - GFOA Certificate of Achievement for Excellence in Financial Reporting Program Associate Member - Government Finance Officers Association Associate Member - Florida Government Finance Officers Association Associate Member - DadeBroward Government Finance Officers Association Associate Member - Miami -Dade County League of Cities Associate Member - Broward County League of Cities Associate Member - Palm Beach County Municipal League r 1 U G. JERRY CHIOCCA, CPA Concurring Review Director Mr. Chiocca has attended the following governmental seminars and has 144 governmental accounting and auditing credits over the past three years: 0 1. Government Symposium - Rachlin Cohen & Holtz Miami, Florida June 22, 1999 (7 hours) 2. Florida Government Finance Officers Association (FGFOA) Annual Conference - Marco Island, Florida June 7-9, 1999 (20 hours) 3. Government Finance Officers Association Annual Conference (GFOA) Nashville, Tennessee May 24-26, 1999 (20 hours) 4. The Single Audit Act and OMB Circular A-133 Miami, Florida September 11, 1998 (8 hours) 5. Government Finance Officers Association (GFOA) Annual Conference - San Francisco, California June 28 - July 1, 1998 (20 hours) 6. Government Symposium - Rachlin Cohen & Holtz Miami, Florida June 10, 1998 (7 hours) 7. Florida Government Finance Officers Association (FGFOA) Annual Conference - Boca Raton, Florida June 1-3, 1998 (14 hours) 8. FICPA's Mastering the New Financial Reporting Model Miami, Florida May 29, 1998 (8 hours) 9. Auditor General Update Miami, Florida _ September 24, 1997 (6 hours) 10. Government Finance Officers Association (GFOA) Annual Conference - Fort Lauderdale, Florida June 1-4, 1997 (15 hours) 11. Florida Government Finance Officers Associatiom(FGFOA) Annual Conference - Orlando, Florida April 20-23, 1997 (16 hours) 12. Government Symposium GASB Update - Miami, Florida September 26, 1996 (3 hours) 0 • IL YSSA BL UM, CPA Audit Manager • • 0 Education B.A., Accounting, University of Texas, Austin Range of Extensive experience in accounting and auditing primarily include the experience following industries/entities: Local Governments, Not -for -Profit Organizations, Pension and Profit sharing plans, Condominium associations, Manufacturing, Personal service organizations, Wholesale and Retail distribution. Professional Rachlin Cohen & Holtz, from January, 1995 history Rachlin & Cohen, from June 1990 to December 1994 Professional Member, American Institute of Certified Public Accountants and civic affiliations Associate Member - DadeBroward Government Finance Officers Association Member, Florida Institute of Certified Public Accountants ILYSSA BLUM, CPA Audit Manager Ms. Blum has attended the following governmental seminars and has 51 governmental accounting and auditing CPE credits over the past three years: 1. Government Symposium - Rachlin Cohen & Holtz Miami, Florida June 22, 1999 (7 hours) 2. The Single Audit Act and OMB Circular A-133 Miami, Florida September 11, 1998 (8 hours) 3. Government Symposium - Rachlin Cohen & Holtz Miami, Florida June 10, 1998 (4 hours) 4. Update on Generally Accepted Government Auditing Standards Miami, Florida June 10, 1998 (3 hours) 5. High Risk Areas Miami, Florida May 22, 1997 (2 hours) 6. Government/Not-for-Profit Update Miami, Florida November 22, 1996 (4 hours) 7. Government Symposium GASB Update - Miami, Florida September 26, 1996 (3 hours) S. GFOA's Advanced Governmental Accounting Miami, Florida August 14, 1996 (20 hours) • NESTOR CABALLERO, CPA Audit Supervisor • 0 Education B.A., Accounting and Finance, Florida Intemational University (1995) M.A. Taxation, Florida International University (1997) Range of Extensive experience in accounting and auditing include the following Experience industries/entities: Local Govemments, Pension and Profit sharing plans, Not - For -Profit Organizations, public companies and other commercial entities. Professional Rachlin Cohen & Holtz, from July, 1996 to present History Professional American Institute of Certified Public Accountants and Civic Affiliations Florida Institute of Certified Public Accountants Associate Member, Florida Government Finance Officers Association Latin Builders Association South Beach Hispanic Chamber of Commerce Hialeah Chamber of Commerce NESTOR CABALLERO, CPA Audit Supervisor Mr. Caballero has attended the following governmental seminars and has 45 governmental accounting • and auditing CPE credits over the past three years: 1. Government Symposium - Rachlin Cohen & Holtz Miami, Florida June 22, 1999 (7 hours) 2. The Single Audit Act and OMB Circular A-133 Miami, Florida September 11, 1998 (8 hours) 3. Government Symposium - Rachlin Cohen & Holtz LLP Miami, Florida June 10, 1998 (4 hours) 4. Update on Generally Accepted Government Auditing Standards Miami, Florida June 10, 1998 (3 hours) 5. Florida Government Finance Officers Association Annual Conference - Boca Raton, Florida June 1-3, 1998 (14 hours) 6. Auditor General Update Miami, Florida September 24, 1997 (6 hours) 7. Government Symposium GASB Update - Miami, Florida September 26, 1996 (3 hours) • 0 C. APPENDIX B • PEER REVIEW REPORT 11 /'1� A� Altschuler, Melvoin and Glasser LLP Certified Public Accountants and Consultants Chicago Los Angeles New York Tampa Washington, D.C. August 19, 1998 To the Partners of Rachlin, Cohen & Holtz We have reviewed the system of quality control for the accounting and auditing practice of Rachlin, Cohen & Holtz (the firm) in effect for the year ended April 30, 1998. A system of quality control encompasses the firm's organizational structure and the policies adopted and procedures established to provide it with reasonable assurance of complying with professional standards. The elements of quality control are described in Statements on Quality Control Standards, issued by the American Institute of Certified Public Accountants (AICPA). The design of the system and compliance with it are the responsibilities of the firm. In addition, the firm has agreed to comply with the membership requirements of the SEC Practice Section of the AICPA Division for CPA Firms (Section). our responsibility is to express an opinion on the design of the system and the firm's compliance with that system and the Section's membership requirements based on our review. Our review was performed in accordance with standards established by the Peer Review Committee of the Section. In performing our review, we obtained an understanding of the system of quality control for the firm's accounting and auditing practice. In addition, we tested compliance with the firm's quality control policies and procedures and with the membership requirements of the Section to the extent we considered appropriate. These tests covered the application of the firm's policies and procedures on selected engagements. Because -our review was based on selective tests, it would not necessarily disclose all weaknesses in the system of quality control or all instances of lack of compliance with it or with the membership requirements of the Section. Because there are inherent limitations in the effectiveness of any system of quality control, departures from the system may occur and not be detected. Also, projection of any evaluation of a system of quality control to future periods is subject to the risk the system of quality control may become inadequate because of changes in conditions or the degree of compliance with the policies or procedures ray. deteriorate. 30 South Wacker Drive, Suite 2600, Chicago, Illinois 60606-7494 312.207.2800 Fax 312.207.2954 http://www.arngnet.com Associated Worldwide With Summit International Associates, Inc. 11 LJ r-] In our opinion, the system of quality control for the accounting and auditing practice of Rachlin, Cohen & Holtz in effect for the year ended April 30, 1998 has been designed to meet the requirements of the quality control standards for an accounting and auditing practice established by the AICPA and was complied with during the year then ended to provide the firm with reasonable assurance of complying with professional standards. Also in our opinion, the firm has complied with the membership requirements of the Section in all material respects. • CJ 11 APPENDIX C PROPOSAL CERTIFICATION FORM 0 .7 UP NO. 99-18R APPENDIX C • PROPOSAL CERTIFICATION FORM The undersigned here confirms that: 1. He is a duly authorized agent of the firm submitting the proposal; 2. He has read the General Terms and Conditions and the proposal requirements which were made available to the Proposer in conjunction with the RFP and fully understands and accepts these terms unless specific variations have been expressly listed on the Proposal Form; 3. The Proposer will accept any awards made to it as a result of the Invitation for a minimum of ninety (90) calendar days following the date and time of the bid opening. BY: ' DATE Manual onae of A ent G. Jerry Chiocca Typed/Printed Name of Agent • Director Title of Agent LJ June 23, 1999 • APPENDIX D PROPOSER WARRANTIES • RFP NO.99-18R APPENDIX D . PROPOSER WARRANTIES A. Proposer warrants that it is willing and able to comply with the State of Florida laws with respect to foreign (non -state of Florida) corporations. B. Proposer warrants that it is willing and able to obtain an errors and omissions insurance policy providing a prudent amount of coverage for the willful or negligent acts, or omissions of any officers, employees or agents thereof. C. Proposer warrants that it will not delegate or subcontract its responsibilities under an agreement without the prior written permission of the City of Tamarac. D. Proposer warrants that all information provided by it in connection with this proposal is true and accurate. Signature of Official: W , ( Name (Typed): G. Jerry Chiocca Title: Director Firm: Rachlin Cohen & Holtz LLP Date: June 23, 1999 11 APPENDIX E PROOF OF INSURANCE 0 C. !NTEI7STATE Issued by: CHICAGO INSURANCE COMPANY INS U R\ N C E Executive Offices: 55 E. Monroe Street GROUP Chicago, Illinois 60603 DECLARATIONS r------ -- — ---- --� ACCOUNTANTS PROFESSIONAL PURCHASING GROUP POLICY NUMBER ADV-2000000 ICERTIFICATE NUMBER ADV- 2001491 LIABILITY INSURANCE POLICY 1. Named Insured and Mailing Address: Rachlin Cohen & Holtz * * * NOTICE * * * + One SE 3rd Ave Flr 10 THIS IS A CLAIMS -MADE POLICY. Miami FL 33131- PLEASE READ CAREFULLY. 2 POLICY PERIOD: FROM: 06/30/98 ---- TO; 06/30/99--------------- at 12:01 A.M. Standard time at location of Named Insured 3. LIMITS OF LIABILITY: EACH CLAIM $5,000,000.00 —AGGREGATE—;5,000,000.00---------------------------� 4. CLAIM EXPENSES ❑ a. Are included within the limits of liability. ?G b.. A separate limit of liability applies to claim expenses. S. DEDUCTIBLE EACH CLAIM $100,000.00 �G a. The deductible amount specified above applies only to damages. ❑ b. The deductible amount specified above applies to both damages and claim expenses. 6. ANNUAL PREMIUM $ 7. RETROACTIVE DATE If a date is indicated, this insurance will not apply to any act, error, omission or personal injury which occur before such date. 8. ENDORSEMENTS This policy is made and accepted subject to the printed conditions in this policy together with the provis stipulations and agreements contained in the folld;Mng form(s) or endorsement(s). POJ-2024 (Rev.07/95) POE-2081 (Rev.12197) PON-2003 (Rev.07/96) POE-2055 (03/89) (Ed.09/96) POE-2126 (02/96) --MSE-8001(11/91)(Ed.9/92)(1_2,3,4)----------r-----—�._.-- THIS POLICY IS NOT VALID UNTIL SIGNED BY OUR AUTHORIZED REPRESENTATIVE — �/A & ari d Repr ntative POP-2024 (i 1 /96) CAL- 20 3 8 1 9 thpage I° APPENDIX F FINANCIAL STATEMENT 11 0 C7 • Financial Statement is only Included in Response to Request for Proposal Marked "Original" • APPENDIX G FIRM LICENSE • • STATE OF FLORIDA DEPARTMENT OF BUSINESS AND PROFESSIONAL REGULATION BOARD OF ACCOUNTANCY t352) 955-L165 2610 NW 43RD ST, STE 1A fwp GAINESVILLE FL 32606-0785 r • RACHLIN� COHEN & HOLTZ, CPA'S SUNTRUST INTERNATIONAL CENTER ONE SOUTHEAST THIRD AVE TENTH FLOOR MIAMI L9 EGUCA.PlUNWor OVUM IV accdUN=r O OR rL IS :LICENSER 473 Fs - DEC 31, 1999 • APPENDIX H DRUG -FREE WORKPLACE FORM • • DRUG -FREE WORKPLACE FORM The undersigned vendor in accordance with Florida Statute 287.087 hereby certifies that Rachlin Cohen & Holtz LLP does: 1. Publish a statement notifying employees that the unlawful manufacture, distribution, dispensing, possession, or use of a controlled substance is prohibited in the workplace and specifying the actions that will be taken against employees for violations of such prohibition. 2. Inform employees about the dangers of drug abuse in the workplace, the business's policy of maintaining a drug -free workplace, any available drug counseling, rehabilitation, and employee assistance programs, and the penalties that may be imposed upon employees for drug abuse violations. 3. Give each employee engaged in providing the commodities or contractual services that are under bid a copy of the statement specified in subsection (1). 4. In the statement specified in subsection (1), notify the employees that, as a condition of working on the commodities or contractual services that are under bid, the employee will abide by the terms of the statement and will notify the employer of any conviction of, or plea of guilty or nolo contendere to, any violation of Chapter 1893 or of any controlled substance law of the United State or any state, for a violation occurring in the workplace no later than five (5) days • after such conviction. 5. Impose a sanction on, or require the satisfactory participation in a drug abuse assistance or rehabilitation program if such is available in the employee's community, by any employee who is so convicted. 6. Make a good faith effort to continue to maintain a drug -free workplace through implementation of this section. As the person authorized to sign the statement, I certify that this firm complies fully with the above requirements. LVI- W " . A 0 •. June 23, 1999 Date 0 • APPENDIX I CONFLICT OF INTEREST 0 0 RFP NO.99-18R APPENDIX I • CONFLICT OF INTEREST We certify that no member of the our firm's ownership, management or staff currently have a vested interest which might be considered a conflict of interest. Rachlin Cohen & Holtz Name of Business By: Signome G. Jerry Chiocca, Director Name and Title, Typed or Printed Sworn to and subscribed before me this 21st day of June, 1999 Notary Public State of Florida My Commission Expires: Im ���H��()O DTE OF F1.OR1Q CM6 14v9aP• 9E �.J APPENDIX J PUBLIC ENTITIES CRIMES FORM 0 SWORN STATEMENT PURSUANT TO SECTION 287.133(3)(A), FLORIDA STATUTES ON PUBLIC ENTITY CRIMES THIS FORM MUST BE SIGNED AND SWORN TO IN THE PRESENCE OF A NOTARY PUBLIC OR OTHER OFFICIAL AUTHORIZED TO ADMINISTER OATHS. 1. This sworn statement is submitted to City of Tamarac, Florida (print name of the public entity) by G. Jerry Chiocca (print individual's name and title) for Rachlin Cohen & Holtz (print name of entity submitting sworn statement) whose business address is One Southeast Third Avenue, Tenth Floor Miami, Florida 33131 and (if applicable) its Federal Employer Identification Number (FEIN) is 65-0544505 (If the entity has no FEIN, include the Social Security Number of the individual signing this sworn statement: ) 2. I understand that a "public entity crime" as defined in Paragraph 287.133(1)(g), Florida Statutes, means a violation of any state or federal law by a person with respect to and directly related to the transaction of business with any public entity or with an agency or political subdivision of any other state or of the United States, including, but not limited to, any bid or contract for goods or services to be provided to any public entity or an agency or political subdivision or any other state or of the United States and involving antitrust, fraud, theft, bribery, collusion, racketeering, conspiracy or material misrepresentation. 3. I understand that "convicted" or "conviction" as defined in Paragraph 287.133(1)(b), Florida Statutes, means a finding of guilt or a conviction of a public entity crime, with or without an adjudication of guilt, in any federal or state trial court of record relating to charges brought by indictment or information after July 1, 1989, as a result of a jury verdict, non jury trial or entry of a plea of guilty or nolo contendere. 4. I understand that an -"affiliate" as defined in Paragraph 287.133(1)(a), Florida Statutes means: 1. A predecessor or successor of a person convicted of a public entity crime; or 2. An entity under the control of any natural person who is active in the management of the entity - and who has been convicted of a public entity crime. The term "affiliate" includes those officers, directors, executives, partners, shareholders, employees, members and agents who are active in the management of an affiliate. The -ownership by one person of shares constituting a controlling interest in another person, or a pooling of equipment of income among persons when not for fair market value under an arm's length agreement, shall be a prima facie case that one person controls another person. A person who knowingly enters into a joint venture with a person who has been convicted of a public _entity crime in Florida during the preceding 36 months shall be considered an affiliate. Page 1 of 2 S. 1 understand that a "person" as dcfined in Paragraph 287.133(1)(e), Florida Statutes, means any natural person or entity organized under the laws of any state or of the United States with the legal power to enter into a binding contract and which bids or applies to bid on contracts for the provision of goods or services let by a public entity, or which otherwise transacts or applies to transact business with a public entity. The term "person" includes those officers, directors, executives, partners, shareholders, employees, members and agents who are active in management of an entity. b. Based on information and belief, the statement which I have marked below is true in relation to the entity submitting this sworn statement. (Indicate which statement applies.) X Neither the entity submitting this sworn statement, or any of its officers, directors, executives, partners, shareholders, employees, members or agency who are active in the management of the entity, nor any affiliate of the entity has been charged with and convicted of a public entity crime subsequent to July 1, 1989. The entity submitting this sworn statement, or one of more of its officers, directors, executives, partners, shareholders, employees, members or agents who are active in the management of the entity, or an affiliate of the entity has been charged with and convicted of a public entity crime subsequent to July 1, 1989. The entity submitting this sworn statement, or one of more of its officers, directors, executives, partners, shareholders, employees, members or agents who are active in the management of the entity, or an affiliate of the entity has been charged with and convicted of a public entity crime subsequent to July 1, 1989. However, there has been a subsequent proceeding before a hearing Officer of the State of Florida, Division of Administrative Hearing and the Final Order entered by the Hearing Officer determined that it was not in the public interest to place the entity submitting this sworn statement on the convicted vendor list. (Attach a copy of the final order.) is I UNDERSTAND THAT THE SUBMISSION OF THIS FORM TO THE CONTRACTING OFFICER FOR THE PUBLIC ENTITY IDENTIFIED IN PARAGRAPH 1 (ONE) ABOVE IS FOR THAT PUBLIC ENTITY ONLY AND, THAT THIS FORM IS VALID THROUGH DECEMBER 31 OF THE CALENDAR YEAR IN WHICH IT IS FILED. I ALSO UNDERSTAND THAT I Alba REQUIRED TO INFORM THE PUBLIC ENTITY PRIOR TO ENTERING INTO A CONTRACT IN EXCESS OF THE THRESHOLD AMOUNT PROVIDED IN SECTION 287.017, FLORIDA STATUTES FOR CATEGORY TWO OF ANY CHANGE IN THE INFORti1ATION CONTAINED IN THIS FORM. signature) Sworn to and subscribed before me this \ $ day of 19 Personally known I. OR Produced identification Notary Public - State ofG� My commission expires I Zc� ' C� (Type of Identification) ���rlL�t.i' hiY SEAL ` CT-i ARY F'GE;;CTh r OF F'109W)A' `i`Pti7iT�tf,�ied or�Tamped"commissioned name of notary public) Page 2 of 2 A C nan CERTIFICATE OF (LIABILITY INSURANC152 kol DATE (Ml lqx� l 08/04/95 4 4 PRODUCER THIS CERTIFICATE 13 ISSUED A9 A MATTER OF HNrunmn I Ivn ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE Premier-USI In3u3:anca Group HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED 8Y THE POLICIES BELOW. P.O. Box 2426 r-oca Raton FL 33jJ27-2428 COMPANIES AFFORDING COVERAGE Keith Cornish COMPANY A CHA PtwrmNu. 561-394-9900 P.MNn. -- INSURED COMPANY 8 Hartford Insurance Co. Rachlin, Cotten & Holtz, CPA COMPANY RCH Technology Group, LLD C 1 S.E. 3rd live., 10th Floor COMPANY Miami. FL 331.31 D COVERAGES THIS IS TO CERTIFY THAT TITS POLICIES OF INSURANCE LISTED BELOW RI1vE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED, NOTWITHSTANDING ANY REDUIREMENT. TERM OR CONDITION OF ANY CONTRACTOR OTHER DOCUMENT WITH RESPECT TO WHICH TNRS CERTIFICATE MAY BB ISSUE D OR MAY PERTAIN. THE INSURANCE AFFOR6E0 BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERIMS. EXCLUSIONS AND CONDITKiNS OF SUCH POL208S. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. Co. TYP! OF MBURAlICRi LTA ' POLICY NUMBE1t POLICY EFFECTIVE DATE (MMIDOATYI POLICY EXPIRATION DATE (MMI XYM uwn GENERALLIABILITY GENERAL AGGREGATE $ 1000000 X S 1000000 A COMMERCIALGDMRKLUAWLITY 1079451074 06/01/99 05/01/00 PROOUVM COUMPAGG S 500000 • CLAIMS MADE ]OCCUR PUMNAL,AOVMAMY "EMS EACHOCCURRSND6 3500000 FIRRDAMAGE(A"on@"mo A 300000 _ I MEP E M (Any "Peru=) S 10000 AUTOMOBILE elutr `COMYINECiiNGLELPIIT s50000D A 1079451074 06/01/99 05/01/00 BOtXLTDRJURY t I ALL OWNED AUTOS scNeDULED Auros (PgrP�nen1 X BODILY INJURY _ HIRED AUTOB X MI NON47EDAUTOS (PMracrldwn0 PROPERTY DAMAGE I S GARAGE LIABILITY AUTO OHLY - IA ACCIOSMY 19 OTHER THAN AUTO ONLY; ANY AUTO EACH ACCIDENT I S AGGREGATE I S EXCESS LIABILITY 1 EACHCCCURREftE t 500000 AGGREGATE I S 500000 A X UMBRELLA FORM 1079451074 06/01/99 I 05/01/00 OTHER THAN UMBRELLA FORM f • SIR l t 10000 WORKERS COMPENSATION AND X I wC STATU. (OTH� EwL0YER5'LIABIUTY EL EACH ACCIDENT : S 500000 S THEPROM9TOR( INCL 21W'VCEV1273 01/01/99 I 01/01/00 ELOL' ASE- POLICY LIMIT I S 500000 EL DISEASE - EA RMPLOYFE 1 t 500000 PARTNERSlEXECUTTVE OPMERS ARE: EXCL OTHER DESCRIPTION OF OPERATTONSI.00ATIONSNRKCLISISPECtAL ITEMS Waiver of subrogttion to workers Compensation. Tha certificate %picable holder is inelu2led as an additional tnaured as their interest may appear. CERTIFICATE HOLDER CANCELLATION TA24ARAC SHOULD ANY Of THE ABOVE DESCRIBED POLICES /F CANCELLED Yf.FORE THE EXPIRATION DATE THEREOP, THE LSEl71NG CL'MPANY MALL LMOI AVOR TO MAIL 6.0 DAYS WRITTEN NOTICE TO THE CERTTFICATE HOLDER NAMED TO THE LEFT, City of Tamarac BUT FARMPtP TO MAIL SUCH NOTICE SMALL IMPOSENO OBLIGATION OR LABILITY OP ANY MN0 UPON THE COMPANY, ITS AGENTS OR REPRESENTATMi IAUTMORRED RFP^RESENTATIVE 1 _ a"nu 4QRR IACORD 25-S (1/95) r vnu .....,...• . -- IkII1111121 INSURED Seitlin P. 0. Box 025220 Miami, FL 33102.5220 Rachlin, Cohen & Holtz 1 S.E. 3rd Avenue, 1 Oth Floor Miami FL 33131 ! ISSUE DATE fMM/DD77l 8; 06/99 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND. EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW COMPANIES AFFORDING COVERAGE COMPANY LETTER A ROYAL INDEMNITY INS CO. COMPANY LETTER B COMPANY LETTER C COMPANY LETTER D COMPANY LETTER E THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIRD4ENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMKNT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERNS. EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. CO TYPE OF INSURANCE POLICY NUMBER POLICY EFF. POLICY EXP. LLNITS TR DATE OAMMDn'M DATE (MM/DDM7 GENERAL LIABILITY GENERAL AGGREGATE ��rf'�1�Ir� COMM. GENERAL LIABILITY . v — : �- PROD-COMP/OP AGG. , CLAIMS MADE =OCC. Cj ` i J i :: M A +y y PER$. & ADV. DiJURY OWNER'S & CONTRACT'S PROT EACH OCCLRRE.NCE 99 AUG - 9 PM 1: 14 FIRE DAMAGE(One Fve) MED. EXP. (One Per) AUTOMOBILE LIABILITY 1 , 61156 M A N coMBDv'ED sDicLE ANY AUTO LIMIT ALL OWNED AUTOS BODILY LtiJLRY I . , SCHEDULED AUTOS (Per perwe) HIRED AUTOS BODILY LtiJLRY NON -OWNED AUTOS (Per aaideml GARAGE LIABILITY PROPERTY DAMAGE EXCESS LIABILITY EACH OCCURRENCE E AGGREGATE UMBRELLAFORM OTHER THAN UMBRELLA FORM s STATUTORY LIMITS I EACH ACCILlNT WORKERS' COMPENSATION AND DLSE.LSE-POLICY LL%fIT I EMPLOYER'S LIABILITY • DISEASE -EACH E-NP. A OTHER RZD390048 6/30/99 6/30/00 PROFESSIONAL $5,000,000 EA CLAM LIABILITY $5,000,000 AGGREG CLAIMS MADE FORM $100,000 AGG.DED. DESCRIPTION OF OPERATIONS/LOCATIONS/VEHICLES/SPECIAL ITEMS SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE UANLLLLLu ne.r VK I EXPnt.AbON DATE THEREOF, TILE LSSLLNG COMPANY WILL ENMEAVOR TO MAIL '. 0 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE CITY OF TAMARAC LEFT, BUT FAILURE TO }TAIL SUCH NOTICE SHALL LtitP06E NO OBLIGATION OR C/O MR. JIM SREDZINSKI LIABILITY OF ANY KL%D UPON THE COMPANI•, ITS AGENTS OR REPRESENTATINTS. 7525 N.W. 88 AVENUE AtJTHotelzsnRFs TAMARAC, FL 33321-2401 e I� t*CU1:iD 25-5 (7l90) ' a. an ' ATTACHMENT B LHJRachfin Cohen & H01tz LAP 0 C1,111 ird I'ublic Accountants & C'unsuitints August 17, 1999 Honorable Mayor, Members of the City Commission and City Manager City of Tamarac, Florida V 7525 N.W. 88th Avenue Tamarac, Florida 33321-2401 We are pleased to confirm our understanding of the services we are to provide to the City of Tamarac. Florida (the City). We will audit the general purpose financial statements of the City as of and for the fiscal years ending September 30, 1999. 2000. and 2001. with an option to renew this agreement at mutually acceptable terms by both parties. The objective of our audit is the expression of an opinion as to whether the Cit}•'s general purpose financial statements are fairly presented, in all material respects. in conformity with generally accepted accounting principles. Our audit will be conducted in accordance with generally accepted auditing standards and the standards for financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States, and will include tests of the accounting records of the City and other procedures we consider necessary to enable us to express such an opinion. If our opinion on the general purpose financial statements is other than unqualified_ we will fully discuss the reasons with you in advance, If, for any reason, we are unable to complete the audit or are unable to form or have not formed an opinion, we may decline to express an opinion or to issue a report as a result of this engagement. We will also provide reports on internal control related to the financial statements and compliance with laws, regulations, and the provisions or grant agreements. noncompliance with. :=.-hich could have a material effect on the financial statements as required by Government auditing Standards. In addition. \ve will issue a report on the City's Sewage System Capital Improvements Repla,:ement _-account as required by the Florida Department of Environmental Protection. Management is responsible for establishing and maintaining intemai control and for compliance ,vith laws, regulations. contracts, and agreements. In fulfilling this responsibility. estimates and judgments by management are required to assess the expected benefits and related costs of the controls. The objectives of internal control are to provide management with reasonable, but not absolute. assurance that assets are safeguarded against loss from unauthorized use or disposition, that transactions are executed in accordance with management's authorizations and recorded properly to permit the preparation of general purpose financial statements in accordance with generally accepted accounting principies. Management is responsible for making all financial records and related information ayariable to us. 'A, - understand that you will provide us with such inforinatron required for our audit and that you are responsible for the accuracv and completeness of that ibformation. Xe will advise you about appropriate accounting principles and their application and \gill assist in the preparation of your tmanctal statements. but the responsibility for the financial statements remains with you. That responsibility includes the establishment and maintenance of adequate records and effective internal controi Dyer tinanctai reporting, the selection and application of accounting principles, artu 'he sateguard:nrg of assets. t tnr tinuthr,lst I Lird .1\I�nu\', irr.ut I ittnr, ',L,unl, i iuri�t,: ".' �. -- --- _-' • � � --- , . l tffiirs ut: \li,tml • I I .lL;(IUru,tl: • iSt,c,l i<.:,' • :,a ,\ .\ w rrhma.0 tit \L'mIt'rottit IitIfmtiitit, nlantitl,,I \.r.„itII,Ipl 11 It It i ` It r ^" i'.:a.•:._.. \Irnll><'r of Ilk` \IPCnC•41 IiHldudail l rtiJn'J I'u1`IIY '•. iniLmn aria iPc^n" 7 .rr t .'. :: -.. _.. RCM Honorable Mayor, Members of the City Commission and City Manager City of Tamarac, Florida August 17, 1999 Page 2 An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements; therefore. our audit will involve judgment about the number of transactions to be examined and the areas to be tested. We will plan and perform the audit to obtain reasonable rather than absolute assurance about whether the financial statements are free of material misstatement. whether caused by error or fraud. Because of the concept of reasonable assurance and because we will not perform a detailed examination of all transactions, there is a risk that a material misstatement may exist and not be detected by us. In addition, an audit is not designed to detect errors. fraud. or other illegal acts that are immaterial to the general purpose financial statements. However. «e wii1 inform you of any material errors and any fraud that comes to our attention. We x iil also inform you of anv other illegal acts that come to our attention, unless clearly inconsequential. Our responsibility as auditors is limited to the period covered by our audit and does not extend to matters that might arise during any later periods for which we are not engaged as auditors. Our procedures will include tests of documentary evidence supporting the transactions recorded in the • accounts, and may include tests of the physical existence of inventories, and direct confirmation of receivables and certain other assets and liabilities by correspondence with selected individuals. creditors. and financial institutions. We will request written representations from your attorneys as part of the engagement, and they may bill you for responding to this inquiry. ;fit the conclusion of our audit. Nve will also require certain written representations from you about the financial statements and related matters. Identifying and ensuring that the City complies with la%�s. reguiauo;:s.:ontracts.::~d agreements is the responsibility of management. As part of obtaining reasonable assurance about �.-.-hether :he Lenerai purpose financial statements are free of material misstatement. .%e «ill perform rests of the City's compliance with applicable laws and regulations and the provisions of contracts and agreements. However, the objective of our audit will not be to provide an opinion on overall compliance and we xvill not express such an opinion. In planning and performing our audit, we will consider the internal control sufficient to plan the audit in order to determine the nature, timing, and extent of our auditing procedures for the purpose of expressing our opinion on the City's general purpose financial statements. We will obtain an understanding_ c.if the design of the relevant controls and .v Nether t ev have been placed~ in operation, and we will assess control risk. Tests of controls may be performed :o test the e"fectiveness ofcertain controls that we consider relevant to preveni�ne and detecting errors and gaud that are material to the general purpose financial statements and to preventing and detecting misstatements resulting from illegal acts and other noncompliance matters that have a direct and material effect on the general purpose financial statements. (Tests of controls are required only if control risk is assessed below the maximum level.) Our tests, it' performed, will be less in scope than would he necessary- to render an opinion on internal control and, accordingly, no opinion will be expressed. ." • Honorable Mayor, Members of the City Commission and City lklana<Ler City of Tamarac, Florida August 17, 1999 Page 3 An audit is not designed to provide assurance on internal control or to identify reportable conditions. However, we will inform the governing body or audit committee of any matters involving internal control and its operation that we consider to be reportable conditions under standards established by the American Institute of Certified Public Accountants. Reportable conditions involve matters coming to our attention relating to significant deficiencies in the design or operation of the internal control that, in our judgment, could adversely affect the entity's ability to record. process. summarize, and report financial data consistent with the assertions of management in the general purpose financial statements. We understand that your employees will prepare all cash or other confirmations we request and will locate any invoices selected by us for testing, and furnish us portions of information for the City's financial statement. The workpapers for this engagement are the property of Rachlin Cohen & Holtz LLP and constitute confidential information. However, we may be requested to make certain %vorkpapers available to regulatory agencies pursuant to authority given to it by law or regulation. If requested. access to such workpapers will be provided under the supervision of Rachlin Cohen & Holtz LLP personnel. Furthermore, upon request, we may provide photocopies of selected %x.•orkpapers to the regulatory agency. The regulatory agency may intend, or decide, to distribute the photocopies or information contained therein to others, including other governmental agencies. Our fees for the above services are estimated to be 549.000 for the year ended September 30. 1999. 551.500 for the year ended September 30, 2000, and 551.500 for the year ended September _-�0. 2001, Our standard hourly rates vary according to the degree of responstbtii %' involved and the experience level of the personnel assigned to your audit as described in the contract as Attachment A. Our invoices for these fees will be rendered as the work progresses and are payable on presentation. The above fee is based on anticipated cooperation from your personnel and the assumption that unexpected circumstances will not be encountered during the audit. If significant additional time is necessary, we will discuss it with you and arrive at a new fee estimate before we incur the additional costs. If additional time is necessary due to an increase in the number of funds (i.e- increase in level of services provided by the City), significant changes in Governmental Accountne Standards Board Pronouncements (e.g. implementation of GASB No. 34, Basic Financial Statements for State and Local Government 1 and other similar matters that are not contemplated by this letter, we will discuss these matters with you prior to commencement of the work. We will also prepare the general purpose financial statements as %�cil as the combining and individual fund financial statements and schedules. as necessary, for inclusion in the Citv's comprehensive annual financial report (including printing and binding of the CAFR). It' the Pity is required to have a Single ,Audit performed in accordance with generaily accented auditing standards. the standards firr financial audits contained In Goivrnine 1i Aztdllulg Standards, .Ssued by the Comptroller General of the United States: the Single Audit Act Amendments of 1996: and the oroytsions k Honorable Mayor. Members of the City Commission and City Manager City of Tamarac. Florida August 17, 1999 Page 4 of OMB Circular A-133, Audits of'States, Local Governments, and Von -Profit Organizations, during the periods covered by this letter, we will prepare an addendum to this letter indicating the additional services and fees necessary to complete the engagement. If additional services are required or requested as a result of the City receiving grant funds under the Florida Appropriations Act. we will prepare an addendum to this letter indicating the additional services and fees necessary to complete the engagement. We appreciate the opportunity to be of service to you and believe this letter accurately summarizes the significant terms of our engagement. If you have any questions. please let us know. If you agree with the terms of our engagement as described in this letter. please sign the enclosed copy and return it to us. Sincerely, Is G. Jerry Chiocca, CPA Director - Miami Enclosure APPROVED: This letter correctly sets forth the understanding of the City of Tamarac. Florida. � Signed: �. "Title: / T;� jl� /'� /lJ ✓1 C Date: a -7 I AI)IA94\94335`lamaiac cl.doc 0 ATTACHMENT C ' r SEALED DOLLAR COST BID • A. TOTAL ALL-INCLUSIVE MAXIMUM PRICE a. Firm: Rachlin Cohen & Holtz LLP b. I certify that I am empowered to submit the bid and authorized to sign a contract with the City of Tamarac. Signature: �I-C•< e.�- Name: G. Jerry Chiocca Title: Director Date: June 23, 1999 c. The following is a schedule of the annual fees excluding services described on Page 3 which may or may not be required for the years ending September 30: Audit of General Purpose Financial Statements (Including CAFR Preparation and Sewerage Capital Improvement Account Certification) 1999 2000 2001 2002 2003 $49,500 S51.000 S51.000 S53,500 $56.000 Total All -Inclusive Maximum Fee for 1999 if all Services Described on Page 3 were Required; $61,000 See supporting schedules for estimates of other services to be provided to the City. The fee estimates quoted above are based on the City's current operations. If there are significant changes to the City's fund operations; significant changes to Governmental Accounting Standards Board Statements (anticipated implementation of the new reporting model), «e -% ill discuss these matters with you to arrive at a new fee estimate. B. RATES BY PARTNER, SPECIALIST, SUPERVISORY AND STAFF LEVEL TI:1'IES HOURS ANTICIPATED FOR EACH See attached Schedule of Professional Fees and Expenses. C. RATES FOR ADDITIONAL PROFESSIONAL SERVICES Director $215 Manager 155 Supervisor 130 Senior 105 Staff 90 Administrative staff 30 RFP NO. 99-18R • 4 • COST PROPOSAL (PART 1) SCHEDULE OF PROFESSIONAL FEES AND EXPENSES FOR THE AUDIT OF THE SEPTEMBER 30 1999 - 2003 FINANCIAL STATEMENTS SUPPORTING SCHEDULE FOR AUDIT SERVICES Hours Proposed Hourly Rates Proposed Total Partners 50 $155 $ 7,750 Managers 100 100 10,000 Supervisory Staff 180 85 15,300 Staff 220 70 15,400 Other (Specify): Subtotal 48,500 Other Expenses (Specify): Total Price for Audit Services Year 1 48.500 Year 2 51.000 I Year 3 51.000 Year 4 53,500 Year 5 56,000 Grand Total Price for Audit Services (5 Years) Travel, lodging and subsistence expenses included in the total all-inclusive price are in accordance with Section 112.061, Florida Statutes. • M � 0 RFP NO. 99-18R COST PROPOSAL (PART 2) SCHEDULE OF PROFESSIONAL FEES AND EXPENSES FOR THE AUDIT OF THE 1999 FINANCIAL STATEMENTS COMBINING SCHEDULE - ALL SERVICES DESCRIBED IN THE RE -EST FOR PROPOSALS SECTION II 2-5 Nature of Service to be Provided Schedule Total Price Consent and Citation of Expertise - $ 2,000 Comfort Letters - Included Actuarial Certification Report - (1) Other Actuarial Services Arbitrage Services - 3,000 Federal Financial Assistance Reports - _ EDP Auditing Services - $2,500 Single Audit 1 $5,000 Other (Specify): Sewerage System Capital Improvement Account Certification - S500 TOTAL $13,000 (1) Currently performed by independent consultant -3- • • RFP N0, 99-18R COST PROPOSAL PART 3 (SCHEDULE-1 SCHEDULE OF PROFESSIONAL. FEE$ AND EXPENSES FOR THE AUDIT OF THE 1999 FINANCIAL STATEMENTS SUPPORT SCHEDULE FOR SINGLE AUDIT Hours Partners 8 Managers 12 Supervisory Staff 25 Staff 5 Other (Specify): Admin. Subtotal 50 Other Expenses (Specify): None Standard Quoted Hourly Hourly Rates Rates Total $215 $155 $1,240 155 100 1,200 130 85 2,125 90-105 70 350 85 TOTAL ADDITIONAL PRICE IF A SINGLE AUDIT IS REQL)IRED .U1,VVV S5,000 r� U -4-