TITLE
The Mayor and City Council shall discuss and possibly take action on approval of a professional services agreement with Heinfield, Meech & Company, P.C. to provide independent financial auditing services. These services, in an amount not to exceed $34,000 will be funded from the General Fund, Finance, Professional Services (10011313-53320). Discussion and Action.
AGENDA ITEM DESCRIPTION
Arizona Revised Statutes (A.R.S.) 9-481 requires an audit to be made of each city by a certified public accountant or public accountant who is currently licensed by the Arizona state board of accountancy and who is not an employee of the city or town. Audits shall be made for each fiscal year for all incorporated cities.
This is the second and final one year extension of the agreement with Heinfeld, Meech & Co. to audit the fiscal year ending June 30, 2012 financial statements. Normally, a Request for Proposal (RFP) would be issued to procure a new financial audit firm. However, due to the recent addition of the new Finance Director, it is deemed in the City's best interest to extend the audit contract for one year to keep an audit firm that is familiar with the City's processes, staff and financial position. Additionally, in order to realize budgetary savings and take advantage of time savings, staff would like to begin the transition of preparing the annual financial reports in-house in future fiscal years. Keeping the current audit firm assists with this transition. Staff is proposing this one year agreement with a formal RFP for independent audit services being issued in approximately one year for a longer term contract.
STAFF RECOMMENDATION
Approve the professional services agreement with Heinfeld, Meech & Co., P.C. to provide independent financial auditing services.