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File #: R-2021-172    Version: 1 Name: Financial Auditing Services
Type: Resolution Status: Passed
File created: 6/10/2021 In control: Department of Financial Services
On agenda: 7/7/2021 Final action: 7/7/2021
Title: A Resolution Of The City Commission Of The City Of Hollywood, Florida, Authorizing The Appropriate City Officials To Execute An Agreement With Marcum, LLP To Provide Financial Auditing Services In An Estimated Total Amount Of $674,250.00 Over A Three Year Period
Attachments: 1. Resolution (2021 Financial Auditing Services).pdf, 2. RFP 4667-21-SS Financial Auditing Services (1).pdf, 3. Master Evaluation Form (City and CRA) (1).pdf, 4. Caballero Fierman Proposal.pdf, 5. Keefe Proposal.pdf, 6. Marcum Proposal.pdf, 7. RSM Proposal.pdf, 8. S Davis Proposal.pdf

Title

A Resolution Of The City Commission Of The City Of Hollywood, Florida, Authorizing The Appropriate City Officials To Execute An Agreement With Marcum, LLP To Provide Financial Auditing Services In An Estimated Total Amount Of $674,250.00 Over A Three Year Period

 

 

Strategic Plan Focus

Financial Management & Administration

 

 

Body

 

Staff Recommends: Approval of the Attached Resolution.

 

 

Explanation:

The Financial Services Department desires to contract with a certified public accounting firm to audit the City’s financial statements for the fiscal years ending September 30, 2021 through 2023 (“Financial Auditing Services”).

 

Florida Statutes, Section 218.391, establishes auditor selection procedures for local governments, including guidelines for establishing an auditor selection committee for the purpose of assisting the governing body in selecting an auditor to conduct the annual financial audit required by State Statutes.

 

On January 20, 2021, an Auditor Selection Committee was established by Resolution No. R-2021-016 that consisted of all members of the City Commission.

 

On February 3, 2021, the Auditor Selection Committee approved the factors for the evaluation and selection of an auditor in compliance with State Statutes (“Evaluation Criteria”).

 

On March 11, 2021, Request for Proposals Number 4667-21-SS for Financial Auditing Services (“RFP”) was electronically advertised via BidSync in accordance with the City’s Code of Ordinances, Section 38.43(A) and closed on April 22, 2021.

 

The RFP resulted in proposals from the following five (5) firms:

 

Caballero, Fierman, Llerena & Garcia, LLP (Miramar, Florida)

Keefe McCullough (Fort Lauderdale, Florida)

Marcum, LLP (Fort Lauderdale, Florida)

RSM US LLP (Fort Lauderdale, Florida)

S. Davis & Associates, P.A. (Hollywood, Florida)

 

On May 19, 2021, the Auditor Selection Committee met to evaluate and rank the proposals.  Evaluation of the proposals was based upon the approved Evaluation Criteria as established in the RFP: Firm Qualifications and Experience, Partner Supervisory and Staff Qualifications and Experience, Similar Engagements with Other Governmental Entities and Specific Audit Approach.

 

Based on the evaluation criteria, the Auditor Selection Committee evaluated the five proposals and the scores were compiled to arrive at the following rankings, with the highest score being the highest ranked:  

 

1.                      S. Davis & Associates, P.A.                                                                                    93 Points

2.                      Marcum, LLP                                                                                                                                                   91 Points

3.                      Caballero, Fierman, Llerena & Garcia, LLP                                          88 Points

4.                      RSM US, LLP                                                                                                                              86 Points

5.                      Keefe McCullough                                                                                                                              83 Points

 

The top three ranked firms were shortlisted and invited to provide oral presentations for further consideration by the Auditor Selection Committee in its evaluation and selection of a firm to provide Financial Auditing Services.

 

On June 9, 2021, oral presentations were provided by the three shortlisted firms, followed by a public Auditor Selection Committee meeting during which the Auditor Selection Committee ranked the shortlisted firms.  Scores were compiled to arrive at the following rankings, with the lowest score being the highest ranked:

 

1.                      Marcum, LLP                                                                                                                                 9 Points

2.                      S. Davis & Associates, P.A.                                                                                     12 Points

3.                      Caballero, Fierman, Llerena & Garcia, LLP                                           21 Points

 

The Auditor Selection Committee recommends that the City Commission authorize the negotiation and execution of an agreement with the highest ranked firm, Marcum, LLP,  for a term of three years, with an option to renew for two additional two-year periods to provide Financial Auditing Services.

 

Award is subject to the City receiving all insurance documents and endorsements required by the City’s Risk Manager, along with Hold Harmless and Indemnity provisions to the City.

 

 

Fiscal Impact:

Funding for this agreement will be budgeted in subsequent fiscal years in the following account numbers subject to approval and adoption by the City Commission.

 

001.120201.51300.532400.000000.000.000

442.400301.53600.532400.000000.000.000

445.520101.53400.532400.000000.000.000

446.150101.54500.532400.000000.000.000

443.510101.53800.532400.000000.000.000

444.310101.57200.532400.000000.000.000

460.111003.57300.532400.000000.000.000

557.510101.51900.532400.000000.000.000

558.112004.51900.532400.000000.000.000

 

 

Recommended for inclusion on the agenda by:

Steve Stewart, Assistant Director of Financial Services for Procurement

David E. Keller, Fiscal Affairs Special Project Manager

Melissa Cruz, Director, Financial Services

Adam Reichbach, Assistant City Manager, Finance & Administration