On the agenda

1. 1Call to Order – Roll Call▶ 0:00
2. 2

   Pledge of Allegiance

   Pledge of Allegiance and moment of silence in honor of servicemen and women.

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   [00:00:19] Very good. [00:00:20] If you'll all stand and join me in the Pledge of Allegiance in a moment of silence in honor [00:00:21] of our servicemen and women at home and abroad. [00:00:23] I pledge allegiance to the flag of the United States of America and to the republic for [00:00:29] which it stands, one nation, under God, indivisible, with liberty and justice for all.

   This text was generated automatically from the meeting video. It is not a verbatim or official record. For exact wording, consult the video or the city clerk.

3. 3

   Moment of Silence

   Pledge of Allegiance and moment of silence honoring servicemen and women at home and abroad.

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   [00:00:20] If you'll all stand and join me in the Pledge of Allegiance in a moment of silence in honor [00:00:21] of our servicemen and women at home and abroad. [00:00:23] I pledge allegiance to the flag of the United States of America and to the republic for [00:00:29] which it stands, one nation, under God, indivisible, with liberty and justice for all.

   This text was generated automatically from the meeting video. It is not a verbatim or official record. For exact wording, consult the video or the city clerk.

4. 4.a

   ↳You arrived here from a search for “Debbie Manns” — transcript expanded below

   Approve Selection Criteria for Audit Proposals

   approved

   The City Council, convening as the audit committee, reviewed proposed selection criteria for evaluating five audit proposals received December 15, 2021. Finance staff presented non-monetary criteria (mandatory elements, expertise/experience, audit approach) and a monetary fee proposal category, with committee members to submit tally sheets by January 10 ahead of the January 18 audit committee meeting. The selection criteria were approved.

   • motion:Motion to approve the proposed selection criteria for evaluating audit proposals. (passed)

   👤Crystal👤Debbie👤Judy Meyers👤Mike Peters👤Mr. Altman👤Mr. McMurphy👤Mrs. Feast👤Ms. Manz#Audit RFP#CAFR awards#CRA audit#Florida State Board of Accountancy#Selection Criteria for Audit Proposals#Single Audit

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   [00:00:38] Thank you. [00:00:39] You may be seated. [00:00:44] I would open it up for public comment, but the public is notable by their absence at [00:00:48] this hour. [00:00:51] We have business items. [00:00:52] Ms. Manz, would you like to walk us through this? [00:00:54] Yeah, I'd like to begin the presentation this evening by reminding you that we are convening [00:01:03] tonight in your capacity as an audit committee. [00:01:08] And Mrs. Feast has put together some selection criteria for you to consider in reviewing [00:01:17] audit proposals that were received by the city on December 15, 2021. [00:01:29] And I would like her to present to you the proposed selection criteria of which she has [00:01:38] proposed some monetary and non-monetary evaluation criteria. [00:01:44] There were five proposals submitted. [00:01:50] If you determine that the evaluation criteria is appropriate, then we will be asking you [00:01:59] to spend some time between now and January 10th applying the evaluation criteria to the [00:02:09] proposals so that we can determine who the top rated firms are. [00:02:16] One second here. [00:02:17] I only have four. [00:02:18] Okay. [00:02:19] I'm sorry. [00:02:20] They shouldn't have been distributed yet already, but why don't you trade with Mike Peters, [00:02:29] and we'll find out where the error is or has been made. [00:02:39] I got five, whether they're different or not. [00:02:44] I got seven. [00:02:45] No. [00:02:46] Okay. [00:02:47] You can keep going. [00:02:48] Okay. [00:02:49] Thank you. [00:02:50] And then we'll determine who the top rated firms are, who will be considered further [00:02:56] with that, Mrs. Feast, if you could introduce the selection criteria. [00:03:02] Just housekeeping, you said by the 10th. [00:03:05] Does that mean that we're planning on a meeting that week? [00:03:08] No. [00:03:09] You would need to submit them to us, to the administration, to Judy Meyers, the city clerk, [00:03:22] by the 10th. [00:03:24] Good evening. [00:03:26] So what has been placed before you are the five proposals that the firms have presented [00:03:33] or submitted to us. [00:03:36] Attached to each proposal is the proposed selection criteria you have before you and [00:03:43] what we expect to be approved tonight. [00:03:47] The criteria that we ask that you use is categorized between non-monetary and monetary. [00:03:56] So under non-monetary, the first category is mandatory elements. [00:04:03] And we've weighted that category, we ask that you weight it up to 20 points. [00:04:09] And so the things that you want to look for under that category are listed on the criteria [00:04:16] tally sheet. [00:04:18] So we want to make sure the audit firm is independent and licensed to practice in Florida, [00:04:24] that the audit firm's professional personnel have received adequate continuing professional [00:04:28] education within the last two years in accordance with the Florida State Board of Accountancy, [00:04:36] that the firm has no conflict of interest in regards to any other work performed by [00:04:40] the city or for the city, that the firm submits a copy of its last external quality review [00:04:48] report, and that the firm adheres to the instructions in this RFP or the RFP that they've submitted [00:04:57] for in preparing and submitting the proposal. [00:05:01] And finally, in the past five years, the audit firm has generated a minimum of 25 percent [00:05:07] of the firm's business from governmental work. [00:05:10] So we want to make sure that the firm has a focus of auditing governmental entities [00:05:15] and not other industries. [00:05:18] The next category is expertise and experience, and we've weighted that up to 20 points. [00:05:25] So under that category, we want to make sure that the firm's experience and performance [00:05:29] on comparable governmental agencies, including recognized CAFRA awards of their clients. [00:05:38] We want to make sure that the quality—we want to look at and evaluate the quality and [00:05:42] experience of the firm's professional personnel to be assigned to the engagement. [00:05:47] So we want to make sure that their audit team has people with government experience in their [00:05:55] profile. [00:05:57] The final bullet point under expertise and experience is that we want to evaluate the [00:06:05] firm's experience in providing financial reporting to government securities underwriting. [00:06:14] The next category is audit approach, and we've weighed that one up to 25 points. [00:06:22] In my opinion, in my professional opinion, this is a very important category, probably [00:06:26] the most important, so we weighed it accordingly. [00:06:30] Under this category, when you're evaluating the firms, you want to make sure that they [00:06:34] have adequacy of qualified staffing plan for various segments of the engagement, adequacy [00:06:41] of sampling techniques, and adequacy of analytical procedures. [00:06:44] And I know you haven't actually started looking at these proposals yet, but in the RFP, we've [00:06:50] asked them to break out all of these categories that I'm listing now and going over for you [00:06:56] to evaluate. [00:06:57] You should find it pretty easily broken out in the proposal package. [00:07:01] Is that— [00:07:02] I don't believe you've supplied the interview committee with a copy of the RFP, and I think [00:07:12] they'll need it as part of their review of the submittals to actually see a copy of the [00:07:18] request for proposals. [00:07:19] So if we could have that, I'd like to distribute it to the committee. [00:07:25] I'll have that in your mailboxes in the morning, first thing. [00:07:29] I can even get it for you tonight. [00:07:33] In the first bullet point, number three in the first bullet point, is there going to [00:07:36] be actually something in there that says, are you telling us that none of these five [00:07:40] have any other conflict with the city? [00:07:45] They should have something documented in the proposal that says, you know, if there [00:07:52] are any other work that they've done with the city, it would be listed in there. [00:07:55] I just thought maybe that would come from you, not from them. [00:07:58] And I will definitely, as I go through it as well as your advisor, I won't be ranking [00:08:04] them myself, but I will look for all of these things as well. [00:08:07] And if there's anything that stands out, I can bring that to the table and bring that [00:08:12] up to you. [00:08:13] Thank you. [00:08:16] So the final category... [00:08:18] Go ahead, Mike. [00:08:21] I'll let you go ahead and finish that final category. [00:08:25] I'll say it at the end. [00:08:26] Okay. [00:08:27] So the final evaluation criteria is monetary, and it's based on the fee proposal. [00:08:33] So each firm has also included a separate fee proposal, and you'll see that it's attached [00:08:44] to your packet, and it lists out what their fee is for the next three years. [00:08:50] And they've broken it out by financial statements, CRA, single audit, and those are all of the [00:08:57] categories that they typically would audit for if they were applicable. [00:09:01] In our case, obviously, it's always going to be the financial statements. [00:09:05] They always audit that, always the CRA. [00:09:08] In some fiscal years, there may or may not be a single audit, and single audit is related [00:09:14] to the grants that we receive. [00:09:16] So in any year where the city receives over $750,000 in grant proceeds, then they would [00:09:23] be subject to a single audit. [00:09:26] So for last fiscal year, we are the first fiscal year under audit would not be subject [00:09:35] to a single audit, but there may be in future years. [00:09:38] So they've included a price for that. [00:09:42] So I've gone over the criteria. [00:09:44] So each category you'll see on your tally sheet has points associated with it. [00:09:51] And so you can rank the, once you do your review, you would rank the proposals up to [00:09:57] those points. [00:09:58] What you feel is what, you know, whatever it's warranted in your opinion. [00:10:03] There's no, you know, it's really subjective. [00:10:06] It's up to you what you want to rank them up to the points allocated to each category. [00:10:12] And when you're done, you've done your review, by January 10th, we would take those tally [00:10:17] sheets back along with your proposals, the proposals given, and between Debbie and I [00:10:22] will compile and summarize your ranking. [00:10:26] And then on January 18th, which would be the next audit committee meeting, I'll present [00:10:31] to you what the top rankings are. [00:10:34] And from there, we would then schedule the first set of interviews or the, excuse me, [00:10:42] we would schedule the interviews for the top three. [00:10:46] Usually there's only one set. [00:10:47] You would see each firm once. [00:10:50] If you determine that further interview or presentations are necessary, we can do that. [00:10:55] But usually it's, you know, they'll do one presentation and then you would determine [00:11:00] or award the audit to the top ranked firm at that point. [00:11:06] Mike, you had a question? [00:11:09] Yes, Mayor, thank you. [00:11:12] I had to unmute. [00:11:15] So Crystal, I think one of your last comments answered one question. [00:11:20] So this would be a contract for three years? [00:11:24] Is that right? [00:11:25] Or is it a one-year contract? [00:11:28] It would be a three-year contract. [00:11:30] So they would be contracted to audit the next three fiscal years. [00:11:34] And typically you would add one year at the end. [00:11:39] You know, it's a three-year plus one if it's mutually agreed upon. [00:11:45] Okay. [00:11:46] So we haven't done this. [00:11:47] It's been four years since we've done this last, right? [00:11:50] That's correct. [00:11:53] And I'm assuming that when you sent the request for proposals, you asked this information [00:11:59] so they know what we're evaluating them on. [00:12:02] We just don't know how we've weighted it. [00:12:04] Is that correct? [00:12:05] That's correct. [00:12:08] How does this compare to our evaluation four years ago? [00:12:14] Is it pretty similar or has it changed in any way? [00:12:19] It's very similar to what we've done historically. [00:12:23] We have even taken what you have before you [00:12:27] and compared it to other municipalities just to make sure that it's, you know, reasonable, [00:12:32] that there aren't any other things that, you know, [00:12:35] you possibly would want to evaluate during your review. [00:12:38] And it's, again, very similar to what we've done historically [00:12:42] and what other municipalities have done. [00:12:46] And I didn't see the proposals there, [00:12:48] but one of the proposals is from the same firm who's done it the last four years. [00:12:53] That's correct. [00:12:57] Okay, thank you. [00:13:00] Any other questions? [00:13:04] Hearing none, I'd entertain a motion. [00:13:07] Move to go to work. [00:13:08] Second. [00:13:10] To the maker. [00:13:11] Nothing more. [00:13:12] Mr. McMurphy? [00:13:13] No, I'm good. [00:13:14] Mr. Altman? [00:13:15] No, sir. [00:13:16] Mr. Peters? [00:13:17] No, sir. [00:13:18] Thank you. [00:13:19] In that case, all those in favor, please signify by saying aye. [00:13:23] Aye. [00:13:24] Aye. [00:13:25] Aye. [00:13:26] Opposed?

   This text was generated automatically from the meeting video. It is not a verbatim or official record. For exact wording, consult the video or the city clerk.

5. 5Communications▶ 13:27
6. 6Adjournment▶ 13:32