2011-27714 Reso Inc. RESOLUTION NO. 2011 -27714
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, APPROVING AND AUTHORIZING THE MAYOR AND
CITY CLERK TO EXECUTE AN AMENDMENT TO THE PROFESSIONAL
SERVICES AGREEMENT BETWEEN THE CITY OF MIAMI BEACH, FLORIDA AND
MCGLADREY & PULLEN, LLP., DATED OCTOBER 26, 2006, FOR INDEPENDENT
AUDIT SERVICES (THE AGREEMENT); SAID AMENDMENT REVISES EXHIBIT
"B" OF THE ORIGINAL AGREEMENT, ENTITLED "FEE COMPENSATION ", BY
ADDING AN AUDIT OF THE BUILDING BETTER COMMUNITIES BOND PROJECT
FOR THE FISCAL YEAR ENDING ON SEPTEMBER 30, 2011, AND AN AUDIT OF
THE CHILDREN'S TRUST FUND PROGRAM FOR THE FISCAL YEAR ENDING ON
SEPTEMBER 30, 2011; AND FURTHER APPROVES THE FIRST YEAR RENEWAL
OPTION OF THE AGREEMENT.
WHEREAS, the Mayor and City Commission at its July 12, 2006 City Commission
meeting, passed and adopted Resolution No. 2006 - 26247, which accepted the City Manager's
recommendation pertaining to the ranking of firms pursuant to Request for Proposals (RFP) No.
23 -05/06 for Auditing Services; authorized the Administration to enter into negotiations with
McGladrey & Pullen; and further authorized the Mayor and City Clerk to execute an agreement
upon the completion of successful negotiations by the Administration; and
WHEREAS, Exhibit "B" to the Professional Services Agreement (the Agreement) with
McGladrey & Pullen, entitled "Fee Compensation ", included eight (8) auditing services pursuant
to RFP No. 23- 05/06:
• The City's Basic Financial Statements included in the City's Comprehensive Annual
Financial Report (CAFR);
• Federal Grant Programs and State Projects (OMB A -133 Single Audit);
• Miami Beach Redevelopment Agency's (RDA) Basic Financial Statements;
• Parking Systems Funds' (PSF) Financial Statements;
• Miami Beach Visitor and Convention Authority's (VCA) Financial Statements;
• Miami Beach Convention Center (MBCC) and Fillmore Miami Beach at the Jackie
Gleason Theater Financial Statements; and
• The Safe Neighborhood Parks and Bond Program (SNP); and
WHEREAS, the fee compensation for the eight (8) aforementioned auditing services
were negotiated and incorporated as part of Exhibit "B" for the initial five -year contract
commencing with Fiscal Year ending on September 30, 2006, and ending with Fiscal Year
ending on September 30, 2010; and
WHEREAS, the Agreement provides for the City, at its sole discretion, to renew term of
the Agreement, upon the same terms and conditions, for up to five (5) additional one (1) year
renewal terms; and
WHEREAS, it is the City's best interest to renew the existing Agreement, with no
increase to the Fee Compensation Schedule; and
WHEREAS, as a result of Miami -Dade County Ordinance 05 -47 and the Children's Trust
Contractual Agreement, there was a need to audit the Building Better Communities Bond
Project for Fiscal Years ending September 30, 2006 through 2010; and the Children's Trust
Program for Fiscal Years ending September 30, 2008 through 2010
WHEREAS, the proposed amendment will add the Building Better Communities Bond
Project and the Children's Trust Program for the Fiscal Year ending September 30, 2011.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COMMISSION
OF THE CITY OF MIAMI BEACH, FLORIDA, that Mayor and City Commission hereby
approving and authorizing the Mayor and City Clerk to execute an amendment to the
Professional Services Agreement between the City of Miami Beach, Florida and Mcgladrey &
Pullen, LLP., dated October 26, 2006, for Independent Audit Services (the Agreement); said
amendment revises Exhibit "B" of the original Agreement, entitled "Fee Compensation ", by
adding an audit of the Building Better Communities Bond Project for the Fiscal Year ending on
September 30, 2011, and an audit of the Children's Trust Fund Program for the Fiscal Year
ending on September 30, 2011; and further approves the first year renewal option of the
Agreement.
PASSED AND ADOPTED this /'/iA day of S/ elnbeK 2011.
ATTEST:
‘4 :in (AM. , •
CITY CLERK _ =P 1 "". '9 ''4 MAYOR
* INCORP CRATED• 7 s
/ ... APPROVED AS TO
\°)." FORM & LANGUAGE
& FOR ECUTION
c i VII
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'Attorney
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COMMISSION ITEM SUMMARY
Condensed Title:
A Resolution Accepting The Recommendation Of The City Manager And Authorizing the Mayor and City
Clerk To Execute An Amendment To The Professional Services Agreement With McGladrey & Pullen, LLP.,
Option Further Approve The First Year Rene wal p tion Of The Agreement.
Key Intended Outcome Supported:
Improve the City's Overall Financial
Supporting Data (Surveys, Environmental Scan, etc.):
Issue:
Shall the Mayor and City Commission adopt the Resolution?
Item Summary /Recommendation:
The Mayor and City Commission at its July 12, 2006 City Commission meeting, passed and adopted
Resolution No. 2006 - 26247, which accepted the City Manager's recommendation pertaining to the ranking
of firms pursuant to Request for Proposals (RFP) No. 23 -05/06 for Auditing Services; authorized the
Administration to enter into negotiations with McGladrey & Pullen; and further authorized the Mayor and
City Clerk to execute an agreement upon the completion of successful negotiations by the Administration.
McGladrey & Pullen has agreed to maintain the same prices as last year for all audits.
The City receives funds from the Children's Trust Fund Program and the Children's Trust requires an audit
in accordance with the Children's Trust Contractual Agreements. The City receives funds from Miami -Dade
County for the Building Better Communities Bond Project and the Building Better Communities Bond Project
requires an audit in accordance with Miami -Dade County Ordinance 05 -47, applicable resolutions, and
Building Better Communities Administration Rule. The cost for the aforementioned audit engagements are:
Children's Trust Fund Program - $9,500 and Building Better Communities Bond Project - $8,000
ADOPT THE RESOLUTION.
Advisory Board Recommendation:
Financial Information:
Source of Funds: Amount Account Approved
1 $155,323 011- 9310- 000312
$20,260 168- 9310- 000312
$20,260 480 - 9310 - 000312
$18,010 440 - 9310 - 000312
$9,000 Safe Neighborhood Projects/
011- 9310- 000312
$9,500 Children Trust Grants/
011- 9310- 000312
$8,000 Building Better Communities
Projects / 011- 9310- 000312
OBPI Total $240,353
Financial Impact Summary:
City Clerk's Office Legislative Tracking:
Allison Williams, ext. 6608
Sign -Offs:
Departm t 1 irector Assis nt City Manager City Manager
AW A Al JMG
GE PDW
T:IAGENDA \2011 \9- 14- 11\McGladreyContr ctAmendmentSummary.docx
emg/4 MI MAI BEAC H AGENDA ITEM C71
DATE 9—/V-1/
C- M IAMIBEACH
City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachfl.gov
COMMISSION MEMORANDUM
TO: Mayor Matti Herrera Bower and Members of the City Commission
FROM: Jorge M. Gonzalez, City Manager
DATE: September 14, 2011
SUBJECT: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, APPROVING AND AUTHORIZING THE MAYOR AND
CITY CLERK TO EXECUTE AN AMENDMENT TO THE PROFESSIONAL
SERVICES AGREEMENT BETWEEN THE CITY OF MIAMI BEACH, FLORIDA AND
MCGLADREY & PULLEN, LLP., DATED OCTOBER 26, 2006, FOR INDEPENDENT
AUDIT SERVICES (THE AGREEMENT); SAID AMENDMENT REVISES EXHIBIT
"B" OF THE ORIGINAL AGREEMENT, ENTITLED "FEE COMPENSATION ", BY
ADDING AN AUDIT OF THE BUILDING BETTER COMMUNITIES BOND PROJECT
FOR THE FISCAL YEAR ENDING ON SEPTEMBER 30, 2011, AND AN AUDIT OF
THE CHILDREN'S TRUST FUND PROGRAM FOR THE FISCAL YEAR ENDING ON
SEPTEMBER 30, 2011; AND FURTHER APPROVES THE FIRST YEAR RENEWAL
OPTION OF THE AGREEMENT.
ADMINISTRATION RECOMMENDATION
Adopt the Resolution.
BACKGROUND
The Mayor and City Commission at its July 12, 2006 City Commission meeting, passed and adopted
Resolution No. 2006 - 26247, which accepted the City Manager's recommendation pertaining to the
ranking of firms pursuant to Request for Proposals (RFP) No. 23 -05/06 for Auditing Services;
authorized the Administration to enter into negotiations with McGladrey & Pullen; and further authorized
the Mayor and City Clerk to execute an agreement upon the completion of successful negotiations by
the Administration.
ANALYSIS
The purpose of this resolution is to recommend the first year renewal of the contract with McGladrey &
Pullen for auditing services pursuant to RFP No. 23 -05/06 and to amend the contract to add the
Children's Trust Fund Program and Building Better Communities Projects audits. McGladrey & Pullen
has agreed to maintain the same prices as last year for all audits.
The City receives funds from the Children's Trust Fund Program and the Children's Trust requires an
audit in accordance with the Children's Trust Contractual Agreements.
The City receives funds from Miami -Dade County for the Building Better Communities Bond Project and
the Building Better Communities Bond Project requires an audit in accordance with Miami -Dade County
Ordinance 05 -47, applicable resolutions, and Building Better Communities Administration Rule.
Amendment to McGladrey's Audit Services Contract
September 14, 2011
Page 2 of 2
The cost for the aforementioned audit engagements are as follows:
Children's Trust Fund Program - $9,500
Building Better Communities Bond Project - $8,000
Exhibit "B" to the Professional Services Agreement (PSA) with McGladrey & Pullen, entitled "Fee
Compensation ", included eight (8) auditing services pursuant to RFP No. 23- 05/06:
• The City's Basic Financial Statements included in the City's Comprehensive Annual Financial
Report (CAFR);
• Federal Grant Programs and State Projects (OMB A -133 Single Audit);
• Miami Beach Redevelopment Agency's (RDA) Basic Financial Statements;
• Parking Systems Funds' (PSF) Financial Statements;
• Miami Beach Visitor and Convention Authority's (VCA) Financial Statements;
• Miami Beach Convention Center (MBCC) and Fillmore Miami Beach at the Jackie Gleason
Theater Financial Statements; and
• The Safe Neighborhood Parks and Bond Program (SNP).
The fee compensation for the eight (8) aforementioned auditing services were negotiated and
incorporated as part of Exhibit "B" for the initial five -year contract commencing with Fiscal Year ending
on September 30, 2006, and ending with Fiscal Year ending on September 30, 2010.
The PSA's Term of Agreement provision allows for the City, at its sole discretion, to renew the
Agreement, upon the same terms and conditions, for up to five (5) additional one (1) year renewal
terms. It is recommended that the City Commission exercise its discretion and renew the first year of
the Agreement, with no increase in McGladrey's fees.
Attached please find revised Exhibit "B ", which adds the Fiscal Year ending on September 30, 2011.
CONCLUSION
The Administration recommends that the Mayor and City Commission adopt the attached Resolution
which accepts the recommendation of the City Manager and authorizes the Mayor and City Clerk to
execute an amendment to the Professional Services Agreement with McGladrey & Pullen for
Independent Audit Services, and approves the first year renewal option of the agreement.
T: IAGENDAl201119- 14- 111 McGladreyContractAmendment.docx
EXHIBIT "B"
REVISED BY AMENDMENT
FEE COMPENSATION
SERVICE FEES
2006 2007 2008 2009 2010 2011
1) Audit of City's $ 100,000 $103,000 $106,090 $109,273 $112,551 $112,551
Basic Financial
Statement (CAFR)
2) OMB A -133 20,000 20,600 21,218 21,855 22,510 22,510
Single Audits
3) Management 2,000 2,060 2,122 2,186 2,252 2,252
Letter in
Accordance with
the Rules of the
Auditor General of
the State of
Florida
4) Miami Beach 18,000 18,540 19,096 19,670 20,260 20,260
Redevelopment
Agency (RDA)
5) Miami Beach 18,000 18,540 19,096 19,670 20,260 20,260
Parking Systems
Funds (PSF)
6) Miami Beach 16,000 16,480 16,975 17,485 18,010 18,010
Visitor and
Convention
Authority (VCA)
7) Miami Beach 16,000 16,480 16,975 17,485 18,010 18,010
Convention Center
and Jackie
Gleason
Theater of the
Performing Arts,
as Managed by
SMG (SMG)
8) Safe 8,000 8,240 8,490 8,745 9,000 9,000
Neighborhood
Parks Single Audit
(SNP)
9) Building Better 8,000 8,000 8,000 8,000 8,000 8,000
Communities
10) Children's 9,500 9,500 9,500 9,500
Trust
Total $206,000 $211,940 $227,562 $233,869 $240,353 $240,353