Title
Resolution to Approve Contract Amendment No. 1 with The Rehmann Group for Independent Audit Services ($2,993.75)
Memorandum
On April 16, 2012, Council approved a five year contract for $344,500 with The Rehmann Group for independent audit services. The Rehmann Group recently completed the audit for fiscal year 2014 and reviewed it with the Council Audit Committee. This report represents the third year of the five year contract.
Historically, the City prepared its own financial statements and the independent auditors reviewed them as part of their engagement. The Rehmann Group included in their contract with the City that they would prepare the City's financial statements based on the City's records. During fiscal year 2014, the city's financial statements needed to be modified to incorporate changes related to GASB #67 which affected the city's pension system's financial statements. In addition, the auditor modified the format of the report utilized the past two years to incorporate consistent captions on each portrait page to improve readability. The cost to incorporate these two items is $2,993.75. The contract with The Rehmann Group needs to be amended to pay this invoice.
The above changes were discussed with Council's Audit Committee.
Funding for this amendment will be contained within existing resources.
Staff
Prepared by: Tom Crawford, Chief Financial Officer
Reviewed by: Steven D. Powers, City Administrator
Approved by: Steven D. Powers, City Administrator
Body
Whereas, On April 16, 2012 City Council approved a five year contract with The Rehmann Group for independent audit services;
Whereas, Included in the scope of the contract for audit is that the auditors prepare the City's financial statements based on the City's financial system; and
Whereas, The audit report needed modification to incorporate two changes (a GASB #67 note and formatting of captions for readability) and not included in prior year formats; ...
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