Review and Comment on and Authorize the Release of a Request for Proposal for Audit Services. City of Culver City California City Council Agenda Item Report Meeting Date: 10/08/07 AGENDA ITEM: Review and Comment on and Authorize the Release of a Request for Proposal for Audit Services Item Number: A 3 Contact Person/Dept.: Shally Lin / City Treasurer's Office Fiscal Impact: Yes No Phone Number: (310) 253 5871 General Fund: Yes No Public Hearing: Public Notification: Master Notification List (10/03/07) Action Item: X Attachments: x Department Approval: Crystal C. Alexander (09/11/07) Fiscal Impact Approval: Marlee Chang (10/03/07) City Attorney Approval: Carol Schwab (by H. Iker) (10/01/07) City Manager Approval: Jerry B. Fulwood (10/03/07) RECOMMENDATION: Staff recommends the City Council review and comment on and authorize the release of the attached Request for Proposal (RFP) for Audit Services. BACKGROUND: The contract for financial audit services with the firm of Lance Soll & Lunghard LLP expires on December 31 2007. The firm has served as the City s Outside Auditor and has provided quality efficient delivery of audit services for the past seven years. The firm has in depth knowledge of the City and a good working relationship with the City s staff and the City Council's Audit Committee. Auditors are required to gain and document an understanding of the City s internal control framework as part of the audit planning process for the independent audit of the City s financial statements. In fact this will be very costly for the first year of a new audit engagement as the new firm will require time to familiarize itself with the City s internal control policies procedures and transactions. The Government Finance Officers Association (GFOA) recommends governmental agencies award multi year contracts allowing the audit firm to recover their first year s audit fee thus lowering overall costs for the City and also establishing continuity in the audit process. There has ...
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