Leon Valley
TX

Resolution
17-017R

Consider, discussion and possible action on an Ordinance Authorizing The Negotiation and Execution of A Professional Services Agreement with Armstrong, Vaughan & Associates for auditing services in an amount not to exceed $100,000 for Term of Five (5) Years

Information

Department:FinanceSponsors:
Category:Presentation

Attachments

  1. Printout
  2. Audit Contract 2017 powerpoint

Item Discussion

PURPOSE

 

Request for Qualifications (RFQ) were solicited from qualified certified public accounting firms to audit the City’s financial statements for five years starting with the fiscal year that ends on September 30, 2017. The responses were evaluated and scored by an Audit Selection Committee (ASC).

 

              Section 103.001 (a) of the Local Government Code states that a municipality shall have its records and accounts audited annually and shall have an annual financial statement prepared based on the audit.

 

              These audits shall be performed in accordance with the following requirements:

 

              Generally accepted auditing standards;

 

              Standards set forth for financial audits in the most recent General Accounting Office's (GAO) Government Auditing Standards;

 

              Provisions of the Federal Single Audit Act of 1984, as amended by the Single Audit Act Amendments of 1996;

 

              Office of Management and Budget (OMB) Circular A-133, Audits of State and Local Governments; and

 

              Standards set forth in the Government Finance Officers Association’s (GFOA) Governmental Accounting, Auditing and Financial Reporting, Using the Governmental Accounting Standards Board, GASB 34 Model and standards for the GFOA’s Certificate for Achievement for Excellence in Financial Reporting program.

 

The Audit Selection Committee (ASC) consisted of David Dimaline, Megan McLeod, Luiz Valdez, Ruben Saucedo, Ashley Wayman and Vickie Wallace.

 

Based on the scoring criteria included in the RFQ the top four firms are as follows:

1.              Armstrong, Vaughan & Associates (Universal City, Texas)

2.              ABIP (San Antonio, Texas)

3.              Belt Harris (Houston, Texas)

4.              Patillo, Brown and Hill (Waco, Texas)

 

SEE LEON VALLEY

 

Social - The Comprehensive Annual Financial Report provides a transparency in government for the citizens of Leon Valley.

 

Economic - N/A

 

Environmental - N/A

 

FISCAL IMPACT

 

The City Manager will enter into negotiations with the selected firm. If an agreement cannot be reached, the City Manager would then enter into negotiations with the next highest scored firm, and so on until an agreement can be reached.

 

 

Document Comments

RECOMMENDATION

 

Staff recommends the City Manager to be authorized to negotiate and execute a Professional Service Agreement with Armstrong Vaughan and Associates in an amount not to exceed $100,000 for a term of five (5) years.

             

 

 

Body

AN ORDINANCE AUTHORIZING THE NEGOTIATION AND EXECUTION OF A PROFESSIONAL SERVICES AGREEMENT WITH ARMSTRONG, VAUGHAN & ASSOCIATES FOR AUDITING SERVICES IN AN AMOUNT NOT TO EXCEED $100,000 FOR A TERM OF FIVE (5) YEARS. 

 

WHEREAS, Section 103.001 (a) of the Local Government Code states that a municipality shall have its records and accounts audited annually and shall have an annual financial statement prepared based on the audit; and

 

WHEREAS, the audits shall be performed in accordance with the following requirements:

 

·              Generally accepted auditing standards;

 

·              Standards set forth for financial audits in the most recent General Accounting Office's (GAO) Government Auditing Standards;

 

·              Provisions of the Federal Single Audit Act of 1984, as amended by the Single Audit Act Amendments of 1996;

 

·              Office of Management and Budget (OMB) Circular A-133, Audits of State and Local Governments; and

 

·              Standards set forth in the Government Finance Officers Association’s (GFOA) Governmental Accounting, Auditing and Financial Reporting, Using the Governmental Accounting Standards Board, GASB 34 Model and standards for the GFOA’s Certificate for Achievement for Excellence in Financial Reporting program; and

 

WHEREAS, Request for Qualifications (RFQ) were solicited from qualified certified public accounting firms to audit the City’s financial statements for five years starting with the fiscal year that ends on September 30, 2017; and

 

WHEREAS, the responses were evaluated and scored by an Audit Selection Committee (ASC); and

 

WHEREAS, based on the scoring criteria included in the RFQ the top four firms are as follows:

1.              Armstrong, Vaughan & Associates (Universal City, Texas)

2.              ABIP (San Antonio, Texas)

3.              Belt Harris (Houston, Texas)

4.              Patillo, Brown and Hill (Waco, Texas); and

 

WHEREAS, it is now the desire of the Leon Valley City Council to authorize the negotiation and execution of a Professional Services Agreement with Armstrong, Vaughan & Associates for auditing services in an amount not to exceed $100,000 for a term of five (5) years;

 

NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LEON VALLEY, TEXAS, THAT: 

 

Section 1.              Armstrong, Vaughan & Associates are selected for negotiation and execution of a Professional Services Agreement for auditing services.

 

Section 2.              The City Manager or her designee is authorized to negotiate and execute a Professional Services Agreement in an amount not to exceed $100,000 for a term of five (5) years.

 

Section 3.              The financial allocations in this Ordinance are subject to approval by the Director of Finance. The Director of Finance, may, subject to concurrence by the City Manager or the City Manager's designee, correct allocations to specific accounts as necessary to carry out the purpose of this Ordinance.

 

Section 4.              This ordinance is effective immediately upon passage by four (4) affirmative votes; otherwise it is effective on the tenth day after passage hereof.

 

 

 

Meeting History

Apr 18, 2017 7:00 PM  City Council Regular Meeting

Finance Director Vickie Wallace and Finance Clerk Ashley Wayman presented the item by saying that Request for Qualifications (RFQ) were solicited from qualified certified public accounting firms to audit the City’s financial statements for five years starting with the fiscal year that ends on September 30, 2017. The responses were evaluated and scored by an Audit Selection Committee (ASC). The Audit Selection Committee (ASC) consisted of David Dimaline, Megan McLeod, Luiz Valdez, Ruben Saucedo, Ashley Wayman and Vickie Wallace. Based on the scoring criteria included in the RFQ the top four firms are as follows: Armstrong, Vaughan & Associates; ABIP; Belt Harris; and Patillo, Brown and Hill.

Finance Director Wallace concluded saying that staff recommends the City Manager to be authorized to negotiate and execute a Professional Service Agreement with Armstrong Vaughan and Associates in an amount not to exceed $100,000 for a term of five (5) years.

A motion was made by Council Member Monica Alcocer and seconded by Council Member David Jordan to authorize the negotiation and execution of a professional services agreement with Armstrong, Vaughan & Associates for auditing services in an amount not to exceed $100,000 for term of five (5) years as presented.

RESULT:ADOPTED [UNANIMOUS]
MOVER:Monica Alcocer, Council Place 3
SECONDER:David Jordan, Mayor Pro Tem
AYES:David Jordan, David Edwards, Belinda Ealy, Monica Alcocer, Benny Martinez

Discussion