88-R-22r
RESOLUTION NO. 88-R-22
VE
WHEREAS, at a Special Meeting of the City Council held
March 30, 1988, Brent Millikan E Co., P.A., was appointed by motion
to perform services as the City auditors to prepare the 1987-1988
audit for the City of Edgewater, and
WHEREAS, at a Regular Meeting of the City Council held April
18, 1988, that motion was confirmed.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF EDGEWATER, FLORIDA:
SECTION 1: That the City Council of the City of Edgewater,
Florida, authorizes the appropriate officials of the City of Edgewater
to execute an agreement for professional services with Brent Millikan
s Co., P.A., for the preparation of the 1987-1988 audit for the City
of Edgewater.
SECTION 2: That said agreement will terminate upon the
presentation of the audit to the City Council, unless extended for
an additional year by both parties.
SECTION 3: A copy of said agreement is attached to this
Resolution and by reference incorporated herein.
SECTION 4: That all resolutions or parts of resolutions in
conflict herewith be and the same are hereby repealed.
SECTION 5: That this Resolution shall take effect Immedi-
ately upon its adoption by the City Council of the City of Edgewater.
recessed
Florida, at a regular meeting of said Council held on the
5tn day of May , 198 8 . and approved as provided by law.
This Resolution was introduced and sponsored by Councilman
Asting and was read and passed by a vote of the City
Council at a recessed regularmeeting held on the 5th day of May
198 8 , and authenticated as provided by law,
ROLL CALL VOTE ON RESOLUTION NO. 88-R-22 AS FOLLOWS:
G
COUNCI IAN - yON,E E A�
ATTEST: /
COUNCILMAN - ZONE FOUR
ACTING CIT)'/CLERK
Authenticated this i day
of /fin' ,19815 .
/n
MAYOR
Approved for R form:
CITY ATTO
-2- Res. No. 88-R-22
MEMSER OF
AMERICAN INSTITUTE OF
CERTIFIED RUSLIO ACCOUNTANTS
FRIVATE COMPANIES
PRACTICE SECTION
nrent Millikan G Company, P.A-.
CERTIFIED PUBLIC ACCOUNTANTS
F.O. FOR 16E0 206 MAGNOLIA STREET
TELVNONE m061 617
-13
&6 • 666-6661
NEW SMYRNA BEACH, FLORIDA 32070-1228
March 30. 1988
The Honorable Mayor Baugh, Members
of the City Council and City Clerk
City of Edgewater
Edgewater, Florida
Dear Mayor Baugh and Members of the City Council
MEMEEEE OF
AMERICAN AND FLORIDA
INSTITUTE& OF
CERTIFIED FUSLIC ACCOUNTANTS
Our Firm would certainly like to take this time to thank you for the
opportunity of being able to be of service to you and the City of Edgewater.
The objective of this letter is to confirm the arrangements with you
regarding the nature and extent of accounting services we will provide to the
City of Edgewater for its fiscal year ending September 30, 1988.
Our Firm will make an examination of the balance sheets as of September 30,
1988, and the related statements of operations for the year then ended of
the following funds of the City of Edgewater: General Fund; Federal Revenue
Sharing Fund; Water and Sewer Fund; Refuse Collection Fund; General Employees
Pension Trust Fund; Police Officers, Retirement Trust Fund; Self -Insurance
Fund; General Long -Term Debt Account Group and the General Fixed Assets
Account Group. Our engagement will be made in accordance with generally
accepted auditing standards as promulgated by the American Institute of
Certified Public Accountants, the Rules of the State of Florida Auditor
General, and other applicable governmental agencies and accordingly will
include such tests of the accounting records and such other auditing
procedures as our Firm considers necessary in the circumstances.
The examination will be directed to an expression of an opinion on the above
mentioned financial statements taken as a whole. Our work will be based
primarily upon selected sampling and tests of the accounting records and
related data, and therefore will not include a detailed fraud type audit of
the transactions for the period. Thus, the examination is not primarily or
specifically designed, and cannot be relied upon, to disclose defalcations
and other similar irregularities should any exist. However, should any such
irregularities come to our attention, we will report them to you promptly and
discuss with you the feasibility of performing a restricted fraud type audit.
At the conclusion of our examination, we will submit an audit report
containing our opinion on the financial statements. If during the course of
our work, it appears that we will not be in a position to render an
unqualified opinion on the financial statements, this matter will be
discussed with you promptly.
"To the Honorable Mayo. rugh, Members
of the City Council "and City Clerk
City of Edgewater, Florida
March 30. 1988
Page Two
We will also submit to you a report on the existing system of internal
accounting and administrative controls in accordance with AU Section 642.47,
AICPA Professional Standards, containing any suggestions for improvement of
existing systems of internal control, accounting policies and procedures and
other related matters which come to our attention during the course of our
work.
In an effort to hold down the cost of the audit, we will ask that your
personnel promptly prepare various schedules and analyses, and make various
invoices and other documents available for our examination. This assistance
by your people, to the extent given, will serve to facilitate the progress of
our work and minimize costs to you of our services. The following data must
be compiled and/or furnished by you to our Fire's staff:
A, All financial records, books of original entry, supporting documents,
and other related records, as requested;
B. Copies of your Council minutes, grant agreements (if any), contracts,
leases, budgets, and other documents or data pertinent to the audit,
and such other information as may be required in the conduct of this
examination;
C. Adequate working space and other facilities for the conduct of this
examination; and
D. Assistance by your staff - which is considered desirable and necessary
- including, but not limited to, the preparation of account analyses,
summaries, and other working papers which may reduce the time required
for the examination and, consequently, audit costs.
We will meet with you and/or other executives at various times throughout the
year to discuss current accounting, potential grants and auditing matters
affecting you.
We will consult with your legal counsel on any matter where a legal
interpretation is needed in the performance of the audit.
As you are aware, accountants' charges are based upon the amount of time
required to perform the work. An important element in determining the amount
of time required is the integrity and the accuracy of the accounting records
presented us to audit. Due to the fact that our Firm is engaged to audit
your records which have not as yet been prepared by your accounting staff, we
have no control and should have none over the quality of the records
presented us to audit. Another important element is the amount of
cooperation we receive from your accounting staff. Many schedules and
analyses can and should be prepared by your staff. Our Firm will request
that you perform this work.
Based on the above, we cannot project a fixed fee due to the nature and
extent of procedures which can and will be performed by your staff.
Accountants' time will be billed at actual.
To the Honorable Mayo: ugh, Members
of the City Council n'nd City Clerk
City of Edgewater, Florida
March 30, 1988
Page Three
The following is a list of our hourly rates by employee classification:
Partners .......................... $85.00 - 100.00
Supervisors ....................... 60.00
Seniors 45.00
Staff Accountant .................. 40.00
Paraprofessionals ................. 25.00 - 30.00
Invoices for fees are due upon presentation. Normally, progress billings will
be made monthly. Late charges will be assessed at 1.51 per month for all
cumulative amounts which remain outstanding sixty days beyond the nvoice date.
If during the course of our engagement, we are requested by City personnel to
render additional services unrelated to our above described examination of
your financial statements, charges for such services shall be exclusively
itemized and rendered to the City based on actual time at our normal billing
rates.
For a period of three years after final payment under this Agreement, our
Firm shall make its workpapers, records, and other evidence of audit
available to the Auditor General of the State of Florida and to the Secretary
and to the Comptroller General of the United States or his duly authorized
representatives. They will be entitled to reproduce any or all of such
documents at their expense for which provision shall be made at the time the
need for reproduction arises.
All of the reports, information, data, etc., prepared or assembled by our
Firm under this Agreement are confidential. We agree that they shall not be
made available to any individual or organization without the prior written
approval of the City of Edgewater.
Please acknowledge your agreement to this understanding by executing and
returning to our Firm the copy enclosed.
We have sincerely enjoyed working with you and all of your staff in the past.
It is a real pleasure for us to be of service to you again, and we look
forward to many more years of pleasant association with you.
Sincerely,
ACRMWLDGMEHT
"' Z ?,4, 3d PP
Name and Title Date