OIG_Emails_Accountability_-_Attachment_red1Centorino, Joseph
From:
Sent:
To:
Subject:
Ronald Starkman <rpstarkman@gmail.com>
Wednesday, July 13, 2022 3:27 PM
Centorino, Joseph
Re : Agenda Item re : Internal Audit Transfer from OIG to Admnistration
' :
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This is a bombshell. Probably not enough time given notice requirements for the Audit Committee to address this
before first reading, but if this passes, we need to have an Audit Committee meeting b~fore this gets heard at a second
reading in September. In the meantime I will write to the Mayor and Commissioners on my own.
I 0 =!f,,,7 Viru s-free. www.avg.com
On Wed, Jul 13, 2022 at 3:12 PM Centorino, Joseph <Jos e phC entorin o@ miamib eachfl .g ov> wrote :
Ron ,
I just became aware of an item on next week's Commission agenda that involves an ordinance change transferring the
Internal Audit Unit from the OIG back to the City Manager. It is sponsored by Commissioner Richardson and is on for
first reading next week. Other than brief discussions I have had in the past with Richardson and with the City Manager,
I was aware that the Manager had an interest in having an internal audit function under her, but it never was in the
context of gutting the OIG and completely removing the entire aud it function from the OIG . Auditing is a core function
of the OIG and an OIG without that function is not truly an OIG. I have attached the ordinance and memo to this
email. You will note that it simply removes the audit function from OIG and places it under the administration without
any provision for a separate independent audit function under the OIG.
Needless to say, we are very concerned about it. I would have expected at least the courtesy of a discussion about
such a drastic proposal before it would be placed on the agenda . I would be happy to discuss further with you or other
members of the Committee. Thanks.
Joe
1
Centorino, Joseph
From:
Sent:
To:
Cc:
Subject:
Ronald Starkman <rpstarkman@gmail.com>
Saturday, July 16, 2022 1 :22 PM
Gelber, Dan; Fernandez, Alex; Richardson, David; Meiner, Steven; Arriola, Ricky; Rosen
Gonzalez, Kristen
Centorino, Joseph; Coolidge, Mark
RSR --Proposed Transfer of Internal Audit from IG to City Manager
f Hl) rvit SS,◊,GF crn\1r:::; FROi\ii /\N EXTEENAL UVlAiL" usr (JU)TH)i\) \!\/HEN RFPLVH\JG Ai\lD OPENING UPJKS OH
,, , r :\1 .H rvff!\ITS l
Dear Mayor and Commissioners,
I was incredibly disappointed to see this item on the July 20th agenda. At the bottom of this email is a draft resolution
approved by the MBU board on this item, which you will be receiving in a couple of days. It expresses my sentiments
and makes the case for why the MB Commission previously voted to put Internal Audit under the supervision of the
AG. I am still a member of the MB Audit Committee, and while there hasn't been time to give notice for a meeting on
this matter, I'd be surprised if most, if not all, of the other Committee members didn't share my views, since the
Committee was unanimous in previously recommending the current organizational structure.
i
The City Manager may have legitimate needs for additional staff, but the solution is to address this through the budget
process, and not by taking trained staff from the Inspector General. Also, she can always request that the IG look into an
area, but if there is a disagreement on priorities, the IG needs to prevail.
Or perhaps the CM is concerned about the quality of the audit recommendations. The IG has no enforcement powers,
and if the CM disagrees with a recommendation, she has the right to have such objections noted in the audit report. It's
ultimately up to the Commission to settle any such disagreements, and the solution is certainly not to "shoot the
messenger."
Draft MBU Resolution
RSR Ordinance amendment to remove Internal Audit staff from under the supervision of the Inspector General and
return it to the supervision of the City Manager.
MBU is opposed to this organizational change. The Internal Audit function has always had responsibility for auditing city
programs, contracts or expenditures for the purpose of identifying control issues, noncompliance with municipal laws,
inefficiency, mismanagement or fraud. The transfer in 2018 of this critical function from the City Manager to the newly
created Office of the Inspector General was intended to give the Internal Audit staff the independence needed to freely
report on deficiencies in the City's operating departments and insulate them from political pressure in the case of audits
of ''favored" vendors or external organizations. We are frankly shocked at this proposed organization change which is a
significant setback to the sacred goal of continuing to increase trust in City government.
~ Viru s-fr ee. www.avg.co m
1
created Office of the Inspector General was intended to give the Internal Audit staff the independence needed to freely
report on deficiencies in the City's operating departments and insulate them from political pressure in the case of audits
of "favored" vendors or external organizations. We are frankly shocked at this proposed organization change which is a
significant setback to the sacred goal of continuing to increase trust in City government.
j 0 ?":¥flf;fj Viru s-fr ee . www.avg.com
2
Or perhaps the CM is concerned about the quality of the audit recommendations. The IG has no enforcement powers,
and if the CM disagrees with a recommendation, she has the right to have such objections noted in the audit report. It's
ultimately up to the Commission to settle any such disagreements, and the solution is certainly not to "shoot the
messenger."
Draft MBU Resolution
RSR Ordinance amendment to remove Internal Audit staff from under the supervision of the Inspector General and
return it to the supervision of the City Manager.
MBU is opposed to this organizational change. The Internal Audit Junction has always had responsibility for auditing city
programs, contracts or expenditures for the purpose of identifying control issues, noncompliance with municipal laws,
inefficiency, mismanagement or fraud. The transfer in 2018 of this critical function from the City Manager to the newly
created Office of the Inspector General was intended to give the Internal Audit staff the independence needed to freely
report on deficiencies in the City's operating departments and insulate them from political pressure in the case of audits
of "favored" vendors or external organizations. We are frankly shocked at this proposed organization change which is a
significant setback to the sacred goal of continuing to increase trust in City government.
Viru s-free. www .avg.co m
2
AG. I am still a member of the MB Audit Committee, and while there hasn't been time to give notice for a meeting on
this matter, I'd be surprised if most, if not all, of the other Committee members didn't share my views, since the
Committee was unanimous in previously recommending the current organizational structure.
i
The City Manager may have legitimate needs for additional staff, but the solution is to address this through the budget
process, and not by taking trained staff from the Inspector General. Also, she can always request that the IG look into
an area, but if there is a disagreement on priorities, the IG needs to prevail.
Or perhaps the CM is concerned about the quality of the audit recommendations. The IG has no enforcement powers,
and if the CM disagrees with a recommendation, she has the right to have such objections noted in the audit
report. It's ultimately up to the Commission to settle any such disagreements, and the solution is certainly not to
"shoot the messenger."
Draft MBU Resolution
RSR Ordinance amendment to remove Internal Audit staff from under the supervision of the Inspector General and
return it to the supervision of the City Manager.
MBU is opposed to this organizational change. The Internal Audit function has always had responsibility for auditing
city programs, contracts or expenditures for the purpose of identifying control issues, noncompliance with municipal
laws, inefficiency, mismanagement or fraud. The transfer in 2018 of this critical function from the City Manager to the
newly created Office of the Inspector General was intended to give the Internal Audit staff the independence needed to
freely report on deficiencies in the City's operating departments and insulate them from political pressure in the case of
audits of "favored" vendors or external organizations. We are frankly shocked at this proposed organization change
which is a significant setback to the sacred goal of continuing to increase trust in City government.
~ Virus -free . www.avg.com
2
Centorino, Joseph
From:
Sent:
Ronald Starkman <rpstarkman@gmail.com>
Monday, July 18, 2022 4:31 PM
To: Centorino, Joseph
Subject: Re : RSR --Proposed Transfer of Internal Audit from IG to City Manager
I HI<; M:-;:,,t,GL COlv1F5 i RUM AN FX lTHNAL [MI\!!.. u--:r: CAUTION \f1JHEN R[PLV!NG AND OPU\!WJC:i UNK::, PR
' !i'!IFNTS l
Just wanted you to know that I sent a personal text message to Meiner, Fernandez and Gelber since I have their cell
numbers and they all responded that they saw my email and are looking into this further. Do you know if any other
Audit Committee members have written to the Commission?
On Sat, Jul 16, 2022 at 1:35 PM Centorino, Joseph <JosephCentorino@miamibeachfl.gov> wrote:
Thanks, Ron, for your support on this. I will tell you that although the CM has expressed an interest in having her own
separate audit capacity, I do not believe this proposal came from her. She actually told me that she hoped I did not
think it was her idea. I think it is unfortunate that Commissioner Richardson did not share the specific proposal with
me for discussion prior to placing it on the agenda, which might have avoided this confrontation. I have shared the
proposal with the rest of the audit committee.
Joe
Get Outlook for iOS
From: Ronald Starkman <rp sta rkm an@gmail.com>
Sent: Saturday, July 16, 2022 1:24:05 PM
To: Centorino, Joseph <Jo sep hC entorino @miamibeachfl.gov>
Subject: Fwd: RSR --Proposed Transfer of Internal Audit from IG to City Manager
, ·., ~l\(,l ( f11'v1! ~ h~DM .i\t\! LXTEHl\Jf.\! U\/i!\O · US!: f,/\l,Jl :(HJ WHLN HU'l YlN/'., !\ND (Wti\lff~(i UNi<'-, df'
Vil f•IJ, !
I am not allowed to directly send this to the other Audit Committee members, but I believe you or the City Attorney can
do so. We need to make sure everyone is aware of this and they should send their own email to the Commission.
----------Forwarded message ---------
From: Ronald Starkman <rpstarkman@gmail.com>
Date: Sat, Jul 16, 2022 at 1:21 PM
Subject: RSR --Proposed Transfer of Internal Audit from IG to City Manager
To: Dan Gelber <dangelber @miamibea chfl .gov>, <Alex@miamib eac hfl.gov>, David Richardson
<davidrichardson@miamibeachfl.gov>, Steven Meiner <stevenm ein er@miamib eac hfl.gov>, Ricky Arriola
<ri ckya rrio la@m ia m ib eac hfl .go v>, kriste n rosengo nza lez@m ia m ibeachfl .gov
<KristenRosenGonzalez@miamibeachfl.gov>
Cc : Centorino, Joseph <joseph centori no@miamibeac hfl .g ov>, Coolidge, Mark <MarkCoolidge@miamibeachfl.gov>
Dear Mayor and Commissioners,
I was incredibly disappointed to see this item on the July 20th agenda. At the bottom of this email is a draft resolution
approved by the MBU board on this item, which you will be receiving in a couple of days. It expresses my sentiments
1
and makes the case for why the MB Commission previously voted to put Internal Audit under the supervision of the
AG. I am still a member of the MB Audit Committee, and while there hasn't been time to give notice for a meeting on
this matter, I'd be surprised if most, if not all, of the other Committee members didn't share my views, since the
Committee was unanimous in previously recommending the current organizational structure.
i
The City Manager may have legitimate needs for additional staff, but the solution is to address this through the budget
' process, and not by taking trained staff from the Inspector General. Also, she can always request that the IG look into
an area, but if there is a disagreement on priorities, the IG needs to prevail.
Or perhaps the CM is concerned about the quality of the audit recommendations. The IG has no enforcement powers,
and if the CM disagrees with a recommendation, she has the right to have such objections noted in the audit
report. It's ultimately up to the Commission to settle any such disagreements, and the solution is certainly not to
"shoot the messenger."
Draft MBU Resolution
RSR Ordinance amendment to remove Internal Audit staff from under the supervision of the Inspector General and
return it to the supervision of the City Manager.
MBU is opposed to this organizational change. The Internal Audit function has always had responsibility for auditing
city programs, contracts or expenditures for the purpose of identifying control issues, noncompliance with municipal
laws, inefficiency, mismanagement or fraud. The transfer in 2018 of this critical function from the City Manager to the
newly created Office of the Inspector General was intended to give the Internal Audit staff the independence needed to
freely report on deficiencies in the City's operating departments and insulate them from political pressure in the case of
audits of ''favored" vendors or external organizations. We are frankly shocked at this proposed organization change
which is a significant setback to the sacred goal of continuing to increase trust in City government.
I 0 §':¥.lJ V irus-free. www .avg.com
2
newly created Office of the Inspector General was intended to give the Internal Audit staff the independence needed to
freely report on deficiencies in the City's operating departments and insulate them from political pressure in the case of
audits of ''favored" vendors or external organizations. We are frankly shocked at this proposed organization change
which is a significant setback to the sacred goal of continuing to increase trust in City government.
Viru s-fr ee . www.avg.com
3
Centorino, Joseph
From:
Sent:
To:
Subject:
Ronald Starkman <rpstarkman@gmail.com>
Tuesday, July 26, 2022 6:18 PM
Centorino, Joseph
Re: RSR --Proposed Transfer of Internal Audit from IG to City Manager
-~H', f\/lF~,'.)l\GE COIVIES H-WM /.\N EXTFJH\!t~l. EIV!A!L ·· lJSE C!\UT!ON WHEl\l R[PLY!i\lG AND OPENING UN•<S OR
f ( f LV1f NT':, !
Hello Joe,
Now that this issue has been referred to the Finance Committee for September and an Audit Committee Meeting is
scheduled in a few weeks, I wanted to see if you would be willing to sit down with me for a private conversation to talk
about a possible strategy to diffuse this situation. You have my full support in retaining Internal Audit, but I would like
to try to understand what may be behind Richardson's proposal and see if there is something else we can do to get him
to withdraw his plan. I think it is best for just the two of us to meet first, and then we can bring in Mark, if needed, at a
later date.
Monday, Wednesday or Thursday afternoon this week or next would be best for me.
Best,
Ron
I 0 §f:~7 Vi rus-fr ee . www .avg.co m
On Sat, Jul 16, 2022 at 1:35 PM Centorino, Joseph <JosephCentorino@miamibeachfl.gov> wrote:
Thanks, Ron, for your support on this. I will tell you that although the CM has expressed an interest in having her own
separate audit capacity, I do not believe this proposal came from her. She actually told me that she hoped I did not
think it was her idea . I think it is unfortunate that Commissioner Richardson did not share the specific proposal with
me for discussion prior to placing it on the agenda, which might have avoided this confrontation. I have shared the
proposal with the rest of the audit committee.
Joe
Get Outlook for iOS
From: Ronald Starkman <rpstarkman@gmail.com>
Sent: Saturday, July 16, 2022 1:24:05 PM
To: Centorino, Joseph <JosephCentorino@miamibeachfl .gov>
Subject: Fwd: RSR --Proposed Transfer of Internal Audit from IG to City Manager
!. '\H ,,:,/\Gr COMFS HHJM /\N rxn-:nNAL Ef1JU:\lL. US[ CJ\UHON i:Vl·!EN IU:PLY!NG AND t.WE1%1lG UI\HC, nr:
Hf',,H N f':, J
I am not allowed to directly send this to the other Audit Committee members, but I believe you or the City Attorney can
do so. We need to make sure everyone is aware of this and they should send their own email to the Commission.
1
----------Forwarded message---------
From: Ronald Starkman <rpstarkman@gmail.com>
Date: Sat, Jul 16, 2022 at 1:21 PM
Subject: RSR --Proposed Transfer of Internal Audit from IG to City Manager
To: Dan Gelber <dangelber@miamibeachfl.gov>, <Alex@miamibeachfl.gov>, David Richardson
<d avidrichardson@miamibeachfl .g ov>, Steven Meiner <stevenmeiner@miamibeachfl.gov>, Ricky Arriola
<rickya rrio la@m ia mi beachfl .g ov>, kriste n rosengon za lez@m iam i beachfl .gov
< Kristen Ro se nGon za lez@m ia mi beachfl .gov>
Cc: Centorino, Joseph <josephcentorino@miamibeachfl .g ov>, Coolidge, Mark <MarkCoolidge@miamibeachfl .go v>
Dear Mayor and Commissioners,
I was incredibly disappointed to see this item on the July 20th agenda . At the bottom of this email is a draft resolution
approved by the MBU board on this item, which you will be receiving in a couple of days. It expresses my sentiments
and makes the case for why the MB Commission previously voted to put Internal Audit under the supervision of the
AG . I am still a member of the MB Audit Committee, and while there hasn't been time to give notice for a meeting on
this matter, I'd be surprised if most, if not all, of the other Committee members didn't share my views, since the
Committee was unanimous in previously recommending the current organizational structure.
i
The City Manager may have legitimate needs for additional staff, but the solution is to address this through the budget
process, and not by taking trained staff from the Inspector General. Also, she can always request that the IG look into
an area, but if there is a disagreement on priorities, the IG needs to prevail.
Or perhaps the CM is concerned about the quality of the audit recommendations. The IG has no enforcement powers,
and if the CM disagrees with a recommendation, she has the right to have such objections noted in the audit
report. It's ultimately up to the Commission to settle any such disagreements, and the solution is certainly not to
"shoot the messenger."
Draft MBU Resolution
RSR Ordinance amendment to remove Internal Audit staff from under the supervision of the Inspector General and
return it to the supervision of the City Manager.
MBU is opposed to this organizational change. The Internal Audit function has always had responsibility for auditing
city programs, contracts or expenditures for the purpose of identifying control issues, noncompliance with municipal
laws, inefficiency, mismanagement or fraud. The transfer in 2018 of this critical function from the City Manager to the
newly created Office of the Inspector General was intended to give the Internal Audit staff the independence needed to
freely report on deficiencies in the City's operating departments and insulate them from political pressure in the case of
audits of ''favored" vendors or external organizations. We are frankly shocked at this proposed organization change
which is a significant setback to the sacred goal of continuing to increase trust in City government.
I 0 §§"J Viru s-fre e. www.avg.com
2
Centorino, Joseph
From:
Sent:
To:
Subject:
Ronald Starkman < rpstarkman@gmail.com >
Wednesday, July 27, 2022 9:48 AM
Centorino, Joseph
Re: RSR --Proposed Transfer of Internal Audit from IG to City Manager
r 'W' iViL5':,i\GE COMES FR0!\1 Al\l EXTEHNP,L E!Vi1'.\iL . U5E C/H.lTiO!\I WHEN REPLYiNG !\.!\JD OPENING Ui\\l(S rn;:
, ,i\,,.Li,''"'bri·" l , I , ·;.-., ; , , }c ~Li~ ,,) ,
Let's definitely do tomorrow, since Audit Committee is on the 16th when you return. I am free anytime after 1 pm . I
can come to your office.
I 0 '"'"''~j Virus-fre e. www.avg.co m
On Wed, Jul 27, 2022 at 9:00 AM Centorino, Joseph <Jos e phCentorino @miamibea chfl .gov> wrote:
Hi Ron,
Certainly happy to meet with you on this. I will be leaving Friday on vacation and returning on August 16. I can meet
with you tomorrow afternoon (Thursday) or set something up for the week that I return, whichever works for you.
I have spoken with the Mayor and Commissioners Meiner, Rosen Gonzalez and Fernandez, though not yet with
Richardson or Arriola, the sponsors of the ordinance. Commissioners I spoke with did acknowledge the input they had
gotten from Audit Committee members, and expressed some concern that the ordinance was not vetted with the OIG,
Audit Committee, or even the City Manager before it was introduced. I do not believe the votes are there to pass the
ordinance in its present form, though we will need to be prepared to address it at the Finance Committee level in
September (two of the three Committee members are the sponsors) unless it is withdrawn.
Let me know what works best for you . Thanks for your help.
Joe
1
To: Centorino, Joseph <Jos e phCentorino @miamibea chfl.gov>
Subject: Re: RSR --Proposed Transfer of Internal Audit from IG to City Manager
•11.;., Sr,r.;t UlM[ ~1 f .!OM /\i\l OUT FU\J/.\1. EMt\lL ·· UrF (AU !'ION \MHEi\J HLPLY!PK, !',[\)Li OP[N!NG ! lN 1(;·i PF
if\ '!ll.11NT\J
Hello Joe,
Now that this issue has been referred to the Finance Committee for September and an Audit Committee Meeting is
scheduled in a few weeks, I wanted to see if you would be willing to sit down with me for a private conversation to talk
about a possible strategy to diffuse this situation. You have my full support in retaining Internal Audit, but I would like
to try to understand what may be behind Richardson's proposal and see if there is something else we can do to get him
to withdraw his plan. I think it is best for just the two of us to meet first, and then we can bring in Mark, if needed, at a
later date .
Monday, Wednesday or Thursday afternoon this week or next would be best for me .
Best,
Ron
Virus-free. www .avg.com
On Sat, Jul 16, 2022 at 1:35 PM Centorino, Joseph <Jo se phC ent orino @mi amib eac hfl.gov> wrote:
Thanks, Ron, for your support on this. I will tell you that although the CM has expressed an interest in having her own
separate audit capacity, I do not believe this proposal came from her. She actually told me that she hoped I did not
think it was her idea. I think it is unfortunate that Commissioner Richardson did not share the specific proposal with
me for discussion prior to placing it on the agenda, which might have avoided this confrontation. I have shared the
proposal with the rest of the audit committee.
Joe
Get Outl ook for iO S
3
Draft MBU Resolution
RSR Ordinance amendment to remove Internal Audit staff from under the supervision of the Inspector General and
return it to the supervision of the City Manager.
MBU is opposed to this organizational change. The Internal Audit function has always had responsibility for auditing
city programs, contracts or expenditures for the purpose of identifying control issues, noncompliance with municipal
laws, inefficiency, mismanagement or fraud . The transfer in 2018 of this critical function from the City Manager to the
newly created Office of the Inspector General was intended to give the Internal Audit staff the independence needed to
freely report on deficiencies in the City's operating departments and insulate them from political pressure in the case of
audits of ''favored" vendors or external organizations. We are frankly shocked at this proposed organization change
which is a significant setback to the sacred goal of continuing to increase trust in City government.
!;.;~$ Viru s-fr ee . www.avg.com
5
Monday, Wednesday or Thursday afternoon this week or next would be best for me.
Best,
Ron
j 0 ~g] Viru s-fr ee. www .avg .c om
On Sat, Jul 16, 2022 at 1:35 PM Centorino, Joseph <Jo se phCentorino @mi amibeac hfl .g ov> wrote:
Thanks, Ron, for your support on this. I will tell you that although the CM has expressed an interest in having her
own separate audit capacity, I do not believe this proposal came from her. She actually told me that she hoped I did
not think it was her idea . I think it is unfortunate that Commissioner Richardson did not share the specific proposal
with me for discussion prior to placing it on the agenda, which might have avoided this confrontation. I have shared
the proposal with the rest of the audit committee .
Joe
Get Outl ook for iOS
From: Ronald Starkman <rp st arkm an @g m ail.co m>
Sent: Saturday, July 16, 2022 1:24 :05 PM
To: Centorino, Joseph <Jo se phC e ntorino @mi amib ea chfl .g ov>
Subject: Fwd: RSR --Proposed Transfer of Internal Audit from IG to City Manager
l "lL 11/if•:sAGC C!iM['-; FHO!V1 /\N }Jf!'EHN.lid f!Vlf.i_j[ .. thF C:.tl.U !'!ON \i',/Ht.!'l !ff:PLYlNG /\ND OPi N!i\Jl.; UNV ',r
i\ r I J)t i nvir ~.ns J
I am not allowed to directly send this to the other Audit Committee members, but I believe you or the City Attorney
can do so . We need to make sure everyone is aware of this and they should send their own email to the Commission .
----------Forwarded message ---------
From: Ronald Starkman <rps tarkm an @g m ail.com >
Date: Sat , Jul 16, 2022 at 1:21 PM
4
J 0 k'¥f£J Viru s-fr ee. www.avg .com
6
Thi s message contains information which may be an AUD IT or INVESTIGAT ION WO RKING PAPER and/or may be confid e ntial,
privileged, or otherwise exempt from open records per State of Florida Statutes -Section 119.0713(2)(b). Unless you are the
addressee (or authorized to receive for the addressee), you may not use, copy, or disclose to anyone the message or any
information contained in the message. PLEASE CHE CK WITH THE OFF ICE OF THE IN SPECTOR GE N ERAL BEFORE RELEAS I NG THI S E-
MAIL IN RESPONSE TO A PUBLIC RECORDS REQUEST. If you have received the message in e rror, plea se advise the send er by reply
e-mail and delete the m essage .
2
Centorino, Joseph
From: Centorino, Joseph
Sent:
To:
Monday, August 8, 2022 11 :39 AM
Coolidge, Mark
Subject: Re: Virtual Audit Committee Meeting -Tuesday 08/16/2022 -4:00pm
Mark
I think most proposed ordinances are accompanied by a financial impact statement. I don't recall seeing any on the
internal audit transfer ordinance. Maybe that only comes at 2d reading? If there is such a memo in existence I would like
to see it.
Get Out look for iOS
From: Coolidge, Mark <MarkCoolidge@miamibeachfl .gov>
Sent: Monday, August 8, 2022 10:48 :47 AM
To: 'gidney98@yahoo.com' <gidney98@yahoo.com>; Deede Weithorn (ddweithorn@gmail.com)
<ddweithorn@gmail.com>; Ronald Starkman <rpstarkman@gmail.com>; Roger Shields <rogershields3@gmail.com>;
Adam Kravitz <adam@adamkravitz.com>; Nikolai O'Connor <nikolayoconnor@gmail.com>
Cc: Centorino, Joseph <JosephCentorino@miamibeachfl.gov>; Blaiotta, Norman <NormanBlaiotta@miamibeachfl.gov>;
Alonso, Elisa <ElisaAlonso@miamibeachfl.gov>; Woodruff, John <JohnWoodruff@miamibeachfl.gov>; Greene, Vyomie
<VyomieGreene@miamibeachfl.gov>
Subject: Virtual Audit Committee Meeting -Tuesday 08/16/2022 -4:00pm
Good Morning Audit Committee Members,
I hope this email finds you well. I have attached/linked the following items for our Microsoft TEAMS meeting scheduled
to start at 4:00pm on Tuesday August 16, 2022.
The Audit Committee Package includes:
• Meeting Agenda
• Minutes from the 05/03/2022 Audit Committee Meeting
• LTC 304-22 RSM US LLP Annual Report for the period ended September 30, 2021
• City Ordinance No. 2019 -4239
• Proposed Commission Memorandum and Ordinance (Deferred until September 2022)
• OIG and Internal Audit Alignment in Sampled Cities
• Audit Division Status Report (04/22/2022 -08/08/2022)
• OIG No. 22-01 : OIG No . 22 -01 State Beachfront Management Agreement (#3595 ) Ope rat io nal Audit Report
LQt..'l)
• OIG No. 22-02: OIG No. 22-01 State Beac hfront Management Agreement (#3595) Financial Audit Report (State ).
• OIG No. 22-03: Towing Pricing Methodology An aly sis
• OIG No. 22-07: Rev iew of West Avenue Phase II Project
• OIG No . 22 -09: Pronto Waste Serv ice, Inc. Roll -off Fee Reve nu es
• OIG No. 22-05 : Resort Tax Activ iti es Summ ary 10.1.21 to 3.31.22
Regards, Mark
Mark D. Coolidge, CPA, CIA, CIGA
1
300 71 St 6th fl
Miami Beach, Fl 33141
305-866-6266
3
Centorino, Joseph
From:
Sent:
To:
Subject:
Deede Weithorn <ddweithorn@gmail.com>
Wednesday, July 13, 2022 3:39 PM
Centorino, Joseph
Re: Agenda Item re: Internal Audit Transfer from OIG to Administration
is ,,./;L_)t)if\c;r C()rviFS r:rH)fVl ,hJ\J L)ClTT{!\1[\L CiV!/\it ~ t)SF tJ\JJl~()fd \i\HH]\J RFPLVH'J(J t\flJf) CJFfr•Ji?J(~ t.ti\H(S ()}'{
t} t;\ttr f(ETS 1
Joe
If you want call me on this but I agree it is very concerning. I think we can figure a way to disseminate this to the
committee. I can call at least 3 commissioners to probably kill it until it goes to our committee. I am Commissioner
Meiner's appointment so I will reach out to him first.
On Wed, Jul 13, 2022 at 3:34 PM Centorino, Joseph <JosephCentorino@miamibeachfl.gov> wrote:
Hi Deede,
I just became aware of an item on next week's Commission agenda that involves an ordinance change transferring the
Internal Audit Unit from the OIG back to the City Manager. It is sponsored by Commissioner Richardson and is on for
first reading next week. Based on brief discussions I have had in the past with Richardson and with the City Manager, I
was aware that the Manager had an interest in having an internal audit function under her, but it never was in the
context of gutting the OIG and completely removing the entire audit function from the OIG. Auditing is a core function
of the OIG and an OIG without that function is not truly an OIG. I have attached the ordinance and memo to this
email. You will note that it simply removes the audit function from OIG and places it under the administration without
any provision for a separate independent audit function under the OIG.
Needless to say, we are very concerned about it. I would have expected at least the courtesy of a discussion about
such a drastic proposal before it would be placed on the agenda. I would be happy to discuss further with you or other
members of the Committee. Thanks.
Joe
1
Centorino, Joseph
From:
Sent:
To:
Subject:
Roger Shields, P.A. Realtor <rogershields3@gmail.com>
Thursday, July 14, 2022 4:50 PM
Centorino, Joseph
Re: Agenda Item re: Internal Audit Transfer from OIG to Administration
, id \\!\GE COlvU S HWM AN EXTEHl\11\l. UVl!-\!L -USE CAUl !ON VJHEN Rf Pl YlNG t\ND OPENli\lG UNl<S Oi1
HMH\rJS l
I concur, the point of having it independent is to not be influenced by the administration to benefit the
administration . Unfortunately, it has been proven they need supervision and sunshine.
On Wed, Jul 13, 2022 at 4:13 PM Centorino, Joseph <JosephCentorino@miamibeachfl.gov> wrote:
Hello Roger,
I just became aware of an item on next week's Commission agenda that involves an ordinance change transferring the
Internal Audit Unit from the OIG back to the City Manager. It is sponsored by Commissioner Richardson and is on for
first reading next week . Based on brief discussions I have had in the past with Richardson and with the City Manager, I
was aware that the Manager had an interest in having an internal audit function under her, but it never was in the
context of gutting the OIG and completely removing the entire audit function from the OIG. Auditing is a core function
of the OIG and an OIG without that function is not truly an OIG . I have attached the ordinance and memo to this
email. You will note that it simply removes the audit function from OIG and places it under the administration without
any provision for a separate independent audit function under the OIG.
Needless to say, we are very concerned about it. I am forwarding it to all of the Audit Committee members. I know
that the members cannot communicate among themselves about this at the moment under the Sunshine law, but I
believe there will likely be a discussion about it at an upcoming Committee meeting.
Regards,
Joe
1
• Audit Adjustments and Uncorrected Misstatements
• Internal Control Matters
• Observations About the Audit Process
Appendix A: Significant Communications Between Management and RSM
Appendix B: Internal Control Matters
Appendix C: Recent Accounting Pronouncements
Several questions asked by Audit Committee members were answered by City and RSM staff.
At the topic's conclusion, the members thanked everyone for the good job associated with this
audit. ,
Item 1: Approval of Minutes for May 3, 2022 Meeting
Motion: To approve the minutes from the May 3, 2022 meeting.
Motion Made by: Ronald Starkman
Motion Seconded by: Adam Kravitz
Motion carried: 4-0
Item 3: OIG/lnternal Audit Discussion
The proposed Ordinance concerning the re-assignment of the Internal Audit Division of the Office
of the Inspector General was discussed. Various motions were discussed, but agreement was
not reached as to its actual wording. Due to time constraints and a full agenda, it was decided
that Adam Kravitz would meet with Mark Coolidge after the meeting to finalize the motion. Then
the motion would be emailed to the other Audit Committee members for a vote to determine
whether it was approved.
Item 4: Completed Reports Discussion & Item 5: FY 2022/23 Work Plan Discussion
Since May 2022, two audits have been completed/issued and 14 are still in process, as well as
15 sanitation audits that are still in process. Many are in the report phase and are close to
completion/issuance.
102 Resort Tax audits have been completed with total assessments of $1,633,730.50 for the
period of October 1, 2021 through May 3, 2022.
The Audit Committee members did not recommend the performance of any audits by the OIG
during the upcoming 2022/23 fiscal year. This item will be presented again at the next meeting
to give the members more time to consider the request and present any recommendations.
Adjournment
Meeting adjourned at 5:30 p.m.
Page 2 of 2
To: Alonso, Elisa <Eli saA lonso@m iam ibeac hfl .gov >
Subject: Meeting with the IG tomorrow
Hi Elisa,
I am trying wrap up the schedule for the Commissioner and need to open time for other meetings before he leaves for
the month of August. I know we spoke yesterday about a meeting with the IG but I wanted to circle back and see if it can
wait till late September? Did he specify what he wanted to discuss?
Best,
Luis Callejas
Aide to Commissioner David Richardson
Staff Liason to the Miami Beach Senior Affairs Committee
Office of the Mayor and Commission
1700 Convention Center Drive, 4th Floor, Miami Beach, FL 33139
Desk: 305-673-7000 x26441 Office: 305-673-7102
3
Centorino, Joseph
Subject:
Location:
Start:
End:
Show Time As:
Recurrence:
Meeting Status:
Organizer:
Required Attendees:
Optional Attendees:
Meeting with the IG, re: Internal Audit
Commissioner's Office
Fri 9/16/2022 2:00 PM
Fri 9/16/2022 3:00 PM
Tentative
(none)
Not yet responded
Alonso, Elisa
Richardson, David ; Centorino, Joseph
Callejas, Luis
1
Centorino, Joseph
Subject:
Location:
Start:
End:
Show Time As:
Recurrence:
Meeting Status:
Organizer:
Required Attendees:
Optional Attendees:
Meeting with the IG, re: Internal Audit
Commissioner's Office
Tue 9/13/2022 1 :00 PM
Tue 9/13/2022 2:00 PM
Tentative
(none)
Not yet responded
Alonso, Elisa
Richardson, David; Centorino, Joseph
Callejas, Luis
1
Centorino, Joseph
From :
Sent:
To:
Subject:
Centorino, Joseph
Tuesday, July 26, 2022 9:15 AM
Alonso, Elisa
Accepted : Meeting with the IG . re: Internal Aud it
1
Centorino, Joseph
From:
Sent:
To:
Subject:
Centorino, Joseph
Thursday, July 21, 2022 4:44 PM
Alonso, Elisa
Accepted : Meeting with the IG . re : Internal Audit
1
.) ..
Si-nger, Jani
From:
Sent:
To:
Subject:
Attachments:
Thank you, Bernie.
Singer, Jani
Thursday, July 21, 2022 3:46 PM
'Mirador 1035 Condo'
RE: Proposed Ordinance
Commission_Memo_ -_ Ord __ OIG_internal_audit.pdf; Coversheet.pdf;
Ordinance_ -_ OIG_i nternal_audit.pdf
I have attached a few documents that will inform our discussion. I will call you tomorrow in the late morning.
Jani
From: Mirador 1035 Condo <mirador1035condo@gmail.com>
Sent: Thursday, July 21, 2022 2:01 PM
To: Singer, Jani <JaniSinger@miamibeachfl.gov>
Subject: Re: Proposed Ordinance
[ THIS MESSAGE COMES FROM AN EXTERNAL EMAIL USE CAUTION WHEN REPLYING AND OPENING LINKS OR
ATTACHMENTS)
Yes, I'm a little tied up for the rest of today but you can reach out to me anytime tomorrow or Monday
305 785 8225
Thanks,
Bernie
On Thu, Jul 21, 2022, 1:49 PM Singer, Jani <JaniSinger@miamibeachfl.gov > wrote:
Hi Bernie,
I hope you are well.
I would like to speak with you about a matter coming before the Commission in September. Do you have time in the
next week or so to have a conversation with me about it? Thanks so much.
Jani Singer
1
Thu, Jul 21, 1 :18 PM
Hi David. Maze! Tov on your new baby!!! I would like to speak with you about an issue. Could we
schedule a time tomorrow or next week to speak? Thanks.
Hi Jani, I am free now if you have the time And thanks!
Great. Give me 10 and I will call you.
Ok cool
Fri, Jul 22, 12:53 PM
Hi David. Just spoke with Joe and he has had further discussion about the Ordinance. Please do
not send an email blast to your list of residents. If SOFNA wants to send something that would be
great. Thanks again.
Ok, want to call me later and explain the nuances of what has changed?
I don't have a lot of detail. Joe seems to think that the worst that could happen is we would lose a few
auditors but there won 1t be a whole gutting of the office.
You guys should be getting more funding And more power
Not less
Im telling you, it might seem like they are taking a little away, but they will gut that office one by one
I agree with all of this but I'm not the IG and he is navigating it.
Singer, Jani
From:
Sent:
To:
Subject:
Attachments:
Thank you, David.
Singer, Jani
Thursday, July 21, 2022 1 :40 PM
'David Suarez'
Proposed Ordinance
Ordinance_ -_OIG_internal_audit.pdf; Commission_Memo_ -_ Ord._ OIG_internal_aud it.pdf;
Coversheet.pdf
1
Singer, Jani
From:
Sent:
To:
David,
One last thing ...
Singer, Jani
Thursday, July 21, 2022 1:46 PM
'David Suarez'
Miami Beach United has already sent a resolution in opposition to the proposed Ordinance.
Thanks again.
Jani
1
Singer, Jani
From: Singer, Jani
Sent:
To:
Friday, July 22, 2022 2:55 PM
Stephan Ginez
Subject: Re : Can we schedule a phone call?
Thank you! I will call you Monday morning around 10. Have a wonderful weekend.
Get Outlook for iOS
From: Stephan Ginez <stephan@gaythering.com>
Sent: Friday, July 22, 2022 2:25:42 PM
To: Singer, Jani <JaniSinger@miamibeachfl .gov>
Subject: RE: Can we schedule a phone call?
[ THIS MESSAGE COMES FROM AN EXTERNAL EMAIL-USE CAUTION WHEN REPLYING AND OPENING LINKS OR
ATTACHMENTS]
Jani
I was surprised about the proposed ordinance and only found out about it in the Miami Beach United email.
I had only heard rumors before but I never thought it would go any further.
I am in Massachusetts for a while this summer but I would be happy to discuss this matter with you. Please let me know
when would be a good time for you next week. I am fairly available except Monday from 1 to 2, Tuesday and Thursday
from 3 to 4 and Wednesday all day.
You can call me on my cell at 305 308 5770.
Looking forward to hearing back from you.
Stephan
From: Singer, Jani <JaniSinger@miamibeachfl.gov>
Sent: Friday, July 22, 2022 11:16 AM
To: Stephan Ginez <stephan@gaythering.com>
Subject: Can we schedule a phone call?
Hi Stephan,
As you may know, there is an effort underway by Commissioners Richardson and Arriola to remove the internal auditors
from the independent Office of the Inspector General. I have attached the proposed Ordinance change for your review .
Miami Beach United has already expressed their opposition to the Ordinance and I am hoping WAVNA would consider
dong the same. Can we schedule a few minutes to speak next week? I would be happy to stop by the Gaythering if you
would like to meet in person. Thanks .
1
..
Singer, Jani
From: Singer, Jani
Sent:
To:
Tuesday, August 9, 2022 10:47 AM
'Stephan Ginez'
Subject: RE: Audit department with the IG office
Hi Stephan,
Thank you for following up. I just got back from vacation so I apologize for the delayed response. It seems that
Commissioner Richardson's proposal will be discussed in detail at the committee level. I do not have any additional
information for you.
Jani
From: Stephan Ginez <stephan@gaythering.com>
Sent: Sunday, July 31, 2022 1:05 PM
To: Singer, Jani <JaniSinger@miamibeachfl.gov>
Subject: Audit department with the IG office
[ THIS MESSAGE COMES FROM AN EXTERNAL EMAIL-USE CAUTION WHEN REPLYING AND OPENING LINKS OR
ATTACHMENTS]
Jani
As a follow up to our message exchange I just saw this note from Commissioner Richardson .
I was wondering if there was any comment you could share with me.
Thanks
Stephan
Cel 305 308 5770
Office of the Inspector General and the Internal Audit Function
Many of you know that I was a forensic auditor in my former life, and I continue to be a
licensed Certified Public Accountant in the state of Florida. I used to dive deep into
complex accounting and auditing issues related to government contracts; I started my
professional career as a Pentagon Auditor. As a result, I became a subject matter expert
in the field and have extensive auditing experience. When the Office of the Inspector
General was created a couple of years ago, it was originally planned to be an investigative
organization. You can see below that the original proposal was to have five full-time
employees and was to be focused on potential investigations. Its primary function was not
1
meant to be auditing. After being approved by the voters, the Commission decided to ·
move the city's Internal Audit Department under the supervision of the Inspector General.
For more than three years, the city administration has been without the ability to perform
routine internal audits. In my many years as a professional accountant and auditor, I have
never seen the internal audit function included in an office of an inspector general. Routine
audits are not investigations; the administration must have the ability to call for these types
of routine reviews. It is simply a good business management practice. Of course, during
the conduct of a routine audit, there may be issues that come to light that could be
referred to the Inspector General for investigation.
That is why at the last commission meeting, I brought forward a resolution proposing to
move the internal audit function back to the management of the city administration
beginning with the new fiscal year. I have now referred the legislation to the Finance
Committee and look forward to having more discussions with my colleagues, and making
the change if there is commission support.
2
Thi s messag e contains information which may be an AUD IT or INVESTIGATION WORK I NG PAPER and/or m ay be confid ential,
privileged, or otherwise exempt from open records per State of Florida Statutes -Section 119 .0713(2)(b). Unless you are the
addressee (or authorized to receive for the addressee), you may not use, copy, or disclose to anyone the mess age or any
information contained in the m essa ge . PLEASE CHECK WITH THE OFFICE OF THE INSPECTOR GENERAL BEFORE RELEASING THIS E-
MAIL I N RESPONSE TO A PUBLIC RECORDS REQUEST. If you have receiv ed the message in error, please advise the se nd er by reply
e-mail and delete th e m essage.
2
addressee (or authorized to receive for the addressee), you may not use, copy, or disclose to anyone the messag e or any
information contained in the message . PLEA SE CHECK WITH THE OFF ICE OF THE INSPECTOR GENERAL BEFORE RELEAS IN G TH IS E-
MA I L IN RESPONSE TO A PUB LI C RECORDS REQUEST. If you have received the message in e rror, pleas e advise the sender by reply
e-mail and delete th e m essage. '
2
From:Ronald Starkman <rpstarkman@gmail.com>
To:Woodruff, John
Subject:Fwd: R5R -- Proposed Transfer of Internal Audit from IG to City Manager
Date:Tuesday, July 19, 2022 9:01:07 AM
[ THIS MESSAGE COMES FROM AN EXTERNAL EMAIL - USE CAUTION WHEN
REPLYING AND OPENING LINKS OR ATTACHMENTS ]
Hi John,
Always good to hear from you. Below is an email I sent to the Commissioners. Happy to
talk. Free now until 1015 am and after 330 pm today.
Ron
---------- Forwarded message ---------
From: Ronald Starkman <rpstarkman@gmail.com>
Date: Sat, Jul 16, 2022 at 1:21 PM
Subject: R5R -- Proposed Transfer of Internal Audit from IG to City Manager
To: Dan Gelber <dangelber@miamibeachfl.gov>, <Alex@miamibeachfl.gov>, David
Richardson <davidrichardson@miamibeachfl.gov>, Steven Meiner
<stevenmeiner@miamibeachfl.gov>, Ricky Arriola <rickyarriola@miamibeachfl.gov>,
kristenrosengonzalez@miamibeachfl.gov <KristenRosenGonzalez@miamibeachfl.gov>
Cc: Centorino, Joseph <josephcentorino@miamibeachfl.gov>, Coolidge, Mark
<MarkCoolidge@miamibeachfl.gov>
Dear Mayor and Commissioners,
I was incredibly disappointed to see this item on the July 20th agenda. At the bottom of this
email is a draft resolution approved by the MBU board on this item, which you will be
receiving in a couple of days. It expresses my sentiments and makes the case for why the MB
Commission previously voted to put Internal Audit under the supervision of the AG. I am still
a member of the MB Audit Committee, and while there hasn't been time to give notice for a
meeting on this matter, I'd be surprised if most, if not all, of the other Committee members
didn't share my views, since the Committee was unanimous in previously recommending the
current organizational structure.
i
The City Manager may have legitimate needs for additional staff, but the solution is to address
this through the budget process, and not by taking trained staff from the Inspector General.
Also, she can always request that the IG look into an area, but if there is a disagreement on
priorities, the IG needs to prevail.
Or perhaps the CM is concerned about the quality of the audit recommendations. The IG has
no enforcement powers, and if the CM disagrees with a recommendation, she has the right to
have such objections noted in the audit report. It's ultimately up to the Commission to settle
any such disagreements, and the solution is certainly not to "shoot the messenger."
Draft MBU Resolution
Hi Joe,
Jessica discovered that the attached ordinance, which passed first reading this morning, does not accurately reflect the
current OIG positions. For example, it does not include the Inspector General, Special Agent/Investigator, Chief
Auditor, Deputy Chief Auditor, and Sanitation Tax Auditor positions. Instead, it includes the old Internal Auditor,
Assistant Internal Auditor, etc. positions from several years ago when the Office of Internal Audit was in existence. We
need to notify H.R. of the inaccuracies, so that they can be incorporated into the ordinance presented for second
reading in late September.
Mark D. Coolidge, CPA, CIA, CIGAMark D. Coolidge, CPA, CIA, CIGA
Chief Auditor
Office of the Inspector General
1130 Washington Avenue, 6th Floor, Miami Beach, FL 33139
Tel: Phone (305) 673-7000 Ext 26149 / Fax: (305) 673-7519 www.miamibeachfl.gov
We are committed to providing excellent public service and safety to all who live, work and play in our vibrant, tropical, historic community
ThiThis s message message containcontains s information which information which may be may be an an AUDIT or INVESTIGATION WORKING PAPER AUDIT or INVESTIGATION WORKING PAPER and/or and/or may be confidmay be confidenentialtial,,
privilegedprivileged, , or otherwise or otherwise exempt exempt from open recordsfrom open records per per State of Florida Statutes - Section 119.0713(2)(b). Unless State of Florida Statutes - Section 119.0713(2)(b). Unless you are you are the the addresseeaddressee
(or authorized (or authorized to receive for to receive for the addressee), you the addressee), you may not use, copy, may not use, copy, oror disclose disclose to to anyone anyone the methe message ssage or or any information containedany information contained
in the message. in the message. PLEASE CHECK WITH THE OFFICE OF THE INSPECTOR GENERAL BEFORE RELEASING THIS E-MAIL IN RESPONSE TO APLEASE CHECK WITH THE OFFICE OF THE INSPECTOR GENERAL BEFORE RELEASING THIS E-MAIL IN RESPONSE TO A
PUBLIC RECORDS REQUEST. PUBLIC RECORDS REQUEST. If you have received If you have received the the message message in in eerrorrror, , pleplease ase advise advise the the sesendnder er by reply by reply e-e-mail mail and and delete thdelete th ee
mmessage.essage.
From:Ronald Starkman <rpstarkman@gmail.com>
To:Dan Gelber; Alex@miamibeachfl.gov; David Richardson; Steven Meiner; Ricky Arriola;
kristenrosengonzalez@miamibeachfl.gov
Cc:Centorino, Joseph; Coolidge, Mark
Subject:R5R -- Proposed Transfer of Internal Audit from IG to City Manager
Date:Saturday, July 16, 2022 1:21:51 PM
[ THIS MESSAGE COMES FROM AN EXTERNAL EMAIL - USE CAUTION WHEN
REPLYING AND OPENING LINKS OR ATTACHMENTS ]
Dear Mayor and Commissioners,
I was incredibly disappointed to see this item on the July 20th agenda. At the bottom of this
email is a draft resolution approved by the MBU board on this item, which you will be
receiving in a couple of days. It expresses my sentiments and makes the case for why the MB
Commission previously voted to put Internal Audit under the supervision of the AG. I am still
a member of the MB Audit Committee, and while there hasn't been time to give notice for a
meeting on this matter, I'd be surprised if most, if not all, of the other Committee members
didn't share my views, since the Committee was unanimous in previously recommending the
current organizational structure.
i
The City Manager may have legitimate needs for additional staff, but the solution is to address
this through the budget process, and not by taking trained staff from the Inspector General.
Also, she can always request that the IG look into an area, but if there is a disagreement on
priorities, the IG needs to prevail.
Or perhaps the CM is concerned about the quality of the audit recommendations. The IG has
no enforcement powers, and if the CM disagrees with a recommendation, she has the right to
have such objections noted in the audit report. It's ultimately up to the Commission to settle
any such disagreements, and the solution is certainly not to "shoot the messenger."
Draft MBU Resolution
R5R Ordinance amendment to remove Internal Audit staff from under the supervision
of the Inspector General and return it to the supervision of the CIty Manager.
MBU is opposed to this organizational change. The Internal Audit function has always had
responsibility for auditing city programs, contracts or expenditures for the purpose of
identifying control issues, noncompliance with municipal laws, inefficiency, mismanagement
or fraud. The transfer in 2018 of this critical function from the City Manager to the newly
created Office of the Inspector General was intended to give the Internal Audit staff the
independence needed to freely report on deficiencies in the City's operating departments and
insulate them from political pressure in the case of audits of "favored" vendors or external
organizations. We are frankly shocked at this proposed organization change which is a
significant setback to the sacred goal of continuing to increase trust in City government.
Virus-free. www.avg.com
From:Ronald Starkman <rpstarkman@gmail.com>
To:Centorino, Joseph
Subject:Re: R5R -- Proposed Transfer of Internal Audit from IG to City Manager
Date:Wednesday, July 27, 2022 9:47:51 AM
Attachments:image001.jpg
[ THIS MESSAGE COMES FROM AN EXTERNAL EMAIL - USE CAUTION WHEN
REPLYING AND OPENING LINKS OR ATTACHMENTS ]
Let's definitely do tomorrow, since Audit Committee is on the 16th when you return. I am
free anytime after 1 pm. I can come to your office.
Virus-free. www.avg.com
On Wed, Jul 27, 2022 at 9:00 AM Centorino, Joseph <JosephCentorino@miamibeachfl.gov>
wrote:
Hi Ron,
Certainly happy to meet with you on this. I will be leaving Friday on vacation and returning
on August 16. I can meet with you tomorrow afternoon (Thursday) or set something up for
the week that I return, whichever works for you.
I have spoken with the Mayor and Commissioners Meiner, Rosen Gonzalez and Fernandez,
though not yet with Richardson or Arriola, the sponsors of the ordinance. Commissioners I
spoke with did acknowledge the input they had gotten from Audit Committee members, and
expressed some concern that the ordinance was not vetted with the OIG, Audit Committee,
or even the City Manager before it was introduced. I do not believe the votes are there to
pass the ordinance in its present form, though we will need to be prepared to address it at the
Finance Committee level in September (two of the three Committee members are the
sponsors) unless it is withdrawn.
Let me know what works best for you. Thanks for your help.
Joe
Joseph M. Centorino
Inspector General
Office of the Inspector General
1130 Washington Ave., 6th Floor
Miami Beach, FL 33139
Tel. 305-673-7020 | Fax: 305-587-2401 | Hotline:
786-897-1111
JosephCentorino@miamibeachfl.gov
www.mbinspectorgeneral.com
This message contains information which may be an AUDIT or INVESTIGATION WORKING PAPER and/or may
be confidential, privileged, or otherwise exempt from open records per State of Florida Statutes - Section
119.0713(2)(b). Unless you are the addressee (or authorized to receive for the addressee), you may not use,
copy, or disclose to anyone the message or any information contained in the message. PLEASE CHECK WITH
THE OFFICE OF THE INSPECTOR GENERAL BEFORE RELEASING THIS E-MAIL IN RESPONSE TO A PUBLIC
RECORDS REQUEST. If you have received the message in error, please advise the sender by reply e-mail and
delete the message.
From: Ronald Starkman <rpstarkman@gmail.com>
Sent: Tuesday, July 26, 2022 6:18 PM
To: Centorino, Joseph <JosephCentorino@miamibeachfl.gov>
Subject: Re: R5R -- Proposed Transfer of Internal Audit from IG to City Manager
[ THIS MESSAGE COMES FROM AN EXTERNAL EMAIL - USE CAUTION WHEN REPLYING
AND OPENING LINKS OR ATTACHMENTS ]
Hello Joe,
Now that this issue has been referred to the Finance Committee for September and an Audit
Committee Meeting is scheduled in a few weeks, I wanted to see if you would be willing to
sit down with me for a private conversation to talk about a possible strategy to diffuse this
situation. You have my full support in retaining Internal Audit, but I would like to try to
understand what may be behind Richardson's proposal and see if there is something else we
can do to get him to withdraw his plan. I think it is best for just the two of us to meet first,
and then we can bring in Mark, if needed, at a later date.
Monday, Wednesday or Thursday afternoon this week or next would be best for me.
Best,
Ron
Virus-free. www.avg.com
On Sat, Jul 16, 2022 at 1:35 PM Centorino, Joseph <JosephCentorino@miamibeachfl.gov>
wrote:
Thanks, Ron, for your support on this. I will tell you that although the CM has expressed
an interest in having her own separate audit capacity, I do not believe this proposal came
from her. She actually told me that she hoped I did not think it was her idea. I think it is
unfortunate that Commissioner Richardson did not share the specific proposal with me for
discussion prior to placing it on the agenda, which might have avoided this confrontation.
I have shared the proposal with the rest of the audit committee.
Joe
Get Outlook for iOS
From: Ronald Starkman <rpstarkman@gmail.com>
Sent: Saturday, July 16, 2022 1:24:05 PM
To: Centorino, Joseph <JosephCentorino@miamibeachfl.gov>
Subject: Fwd: R5R -- Proposed Transfer of Internal Audit from IG to City Manager
[ THIS MESSAGE COMES FROM AN EXTERNAL EMAIL - USE CAUTION WHEN REPLYING
AND OPENING LINKS OR ATTACHMENTS ]
I am not allowed to directly send this to the other Audit Committee members, but I
believe you or the City Attorney can do so. We need to make sure everyone is aware of
this and they should send their own email to the Commission.
---------- Forwarded message ---------
From: Ronald Starkman <rpstarkman@gmail.com>
Date: Sat, Jul 16, 2022 at 1:21 PM
Subject: R5R -- Proposed Transfer of Internal Audit from IG to City Manager
To: Dan Gelber <dangelber@miamibeachfl.gov>, <Alex@miamibeachfl.gov>, David
Richardson <davidrichardson@miamibeachfl.gov>, Steven Meiner
<stevenmeiner@miamibeachfl.gov>, Ricky Arriola <rickyarriola@miamibeachfl.gov>,
kristenrosengonzalez@miamibeachfl.gov <KristenRosenGonzalez@miamibeachfl.gov>
Cc: Centorino, Joseph <josephcentorino@miamibeachfl.gov>, Coolidge, Mark
<MarkCoolidge@miamibeachfl.gov>
Dear Mayor and Commissioners,
I was incredibly disappointed to see this item on the July 20th agenda. At the bottom of
this email is a draft resolution approved by the MBU board on this item, which you will
be receiving in a couple of days. It expresses my sentiments and makes the case for why
the MB Commission previously voted to put Internal Audit under the supervision of the
AG. I am still a member of the MB Audit Committee, and while there hasn't been time to
give notice for a meeting on this matter, I'd be surprised if most, if not all, of the other
Committee members didn't share my views, since the Committee was unanimous in
previously recommending the current organizational structure.
i
The City Manager may have legitimate needs for additional staff, but the solution is to
address this through the budget process, and not by taking trained staff from the Inspector
General. Also, she can always request that the IG look into an area, but if there is a
disagreement on priorities, the IG needs to prevail.
Or perhaps the CM is concerned about the quality of the audit recommendations. The IG
has no enforcement powers, and if the CM disagrees with a recommendation, she has the
right to have such objections noted in the audit report. It's ultimately up to the
Commission to settle any such disagreements, and the solution is certainly not to "shoot
the messenger."
Draft MBU Resolution
R5R Ordinance amendment to remove Internal Audit staff from under the
supervision of the Inspector General and return it to the supervision of the CIty
Manager.
MBU is opposed to this organizational change. The Internal Audit function has always
had responsibility for auditing city programs, contracts or expenditures for the purpose of
identifying control issues, noncompliance with municipal laws, inefficiency,
mismanagement or fraud. The transfer in 2018 of this critical function from the City
Manager to the newly created Office of the Inspector General was intended to give the
Internal Audit staff the independence needed to freely report on deficiencies in the City's
operating departments and insulate them from political pressure in the case of audits of
"favored" vendors or external organizations. We are frankly shocked at this proposed
organization change which is a significant setback to the sacred goal of continuing to
increase trust in City government.
Virus-free. www.avg.com
From:Ronald Starkman <rpstarkman@gmail.com>
To:Woodruff, John
Subject:Fwd: R5R -- Proposed Transfer of Internal Audit from IG to City Manager
Date:Tuesday, July 19, 2022 9:01:07 AM
[ THIS MESSAGE COMES FROM AN EXTERNAL EMAIL - USE CAUTION WHEN
REPLYING AND OPENING LINKS OR ATTACHMENTS ]
Hi John,
Always good to hear from you. Below is an email I sent to the Commissioners. Happy to
talk. Free now until 1015 am and after 330 pm today.
Ron
---------- Forwarded message ---------
From: Ronald Starkman <rpstarkman@gmail.com>
Date: Sat, Jul 16, 2022 at 1:21 PM
Subject: R5R -- Proposed Transfer of Internal Audit from IG to City Manager
To: Dan Gelber <dangelber@miamibeachfl.gov>, <Alex@miamibeachfl.gov>, David
Richardson <davidrichardson@miamibeachfl.gov>, Steven Meiner
<stevenmeiner@miamibeachfl.gov>, Ricky Arriola <rickyarriola@miamibeachfl.gov>,
kristenrosengonzalez@miamibeachfl.gov <KristenRosenGonzalez@miamibeachfl.gov>
Cc: Centorino, Joseph <josephcentorino@miamibeachfl.gov>, Coolidge, Mark
<MarkCoolidge@miamibeachfl.gov>
Dear Mayor and Commissioners,
I was incredibly disappointed to see this item on the July 20th agenda. At the bottom of this
email is a draft resolution approved by the MBU board on this item, which you will be
receiving in a couple of days. It expresses my sentiments and makes the case for why the MB
Commission previously voted to put Internal Audit under the supervision of the AG. I am still
a member of the MB Audit Committee, and while there hasn't been time to give notice for a
meeting on this matter, I'd be surprised if most, if not all, of the other Committee members
didn't share my views, since the Committee was unanimous in previously recommending the
current organizational structure.
i
The City Manager may have legitimate needs for additional staff, but the solution is to address
this through the budget process, and not by taking trained staff from the Inspector General.
Also, she can always request that the IG look into an area, but if there is a disagreement on
priorities, the IG needs to prevail.
Or perhaps the CM is concerned about the quality of the audit recommendations. The IG has
no enforcement powers, and if the CM disagrees with a recommendation, she has the right to
have such objections noted in the audit report. It's ultimately up to the Commission to settle
any such disagreements, and the solution is certainly not to "shoot the messenger."
Draft MBU Resolution
R5R Ordinance amendment to remove Internal Audit staff from under the supervision
of the Inspector General and return it to the supervision of the CIty Manager.
MBU is opposed to this organizational change. The Internal Audit function has always had
responsibility for auditing city programs, contracts or expenditures for the purpose of
identifying control issues, noncompliance with municipal laws, inefficiency, mismanagement
or fraud. The transfer in 2018 of this critical function from the City Manager to the newly
created Office of the Inspector General was intended to give the Internal Audit staff the
independence needed to freely report on deficiencies in the City's operating departments and
insulate them from political pressure in the case of audits of "favored" vendors or external
organizations. We are frankly shocked at this proposed organization change which is a
significant setback to the sacred goal of continuing to increase trust in City government.
Virus-free. www.avg.com
From:TamekaOttoStewart@miamibeachfl.gov <TamekaOttoStewart@miamibeachfl.gov>
To:AlinaHudak@miamibeachfl.gov; JohnWoodruff@miamibeachfl.gov
Subject:R5 R on July 20th Commission Agenda
Date:Wednesday, July 13, 2022 4:04:36 PM
Attachments:image001.jpg
Good afternoon Alina & John –
I just read R5 R on July 20th Commission Agenda and noted that Commissioner Richardson
intends to propose a realignment of the internal audit function to reside with the City
Administration instead of the Office of the Inspector General. Was this on your radar?
AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI
BEACH, FLORIDA, AMENDING CHAPTER 2 OF THE CODE OF THE CITY OF MIAMI
BEACH, ENTITLED “ADMINISTRATION” BY AMENDING ARTICLE IV, ENTITLED “OFFICERS
AND EMPLOYEES,” BY AMENDING DIVISION 4, ENTITLED “INDEPENDENT CITY
AUDITOR,” TO CREATE SECTION 2-254 THEREOF, ENTITLED “CITY’S INTERNAL AUDIT”
TO ESTABLISH A CITY INTERNAL AUDITOR; AMENDING ARTICLE IV, ENTITLED “OFFICERS
AND EMPLOYEES,” BY AMENDING DIVISION 5, ENTITLED “OFFICE OF INSPECTOR
GENERAL,” BY AMENDING SECTION 2-256 THEREOF, ENTITLED “OFFICE OF INSPECTOR
GENERAL,” TO REFLECT THE REASSIGNMENT OF THE INTERNAL AUDIT FUNCTION
UNDER THE AUSPICES OF THE CITY ADMINISTRATION; AND, PROVIDING FOR REPEALER,
SEVERABILITY, CODIFICATION, AND AN EFFECTIVE DATE.
Tameka Otto Stewart, CPA, CGFO, MSF | Director
OFFICE OF MANAGEMENT & BUDGET1700 Convention Center Drive, Miami Beach, FL 33139Tel: 305-673-7510 ext. 26396
tamekaottostewart@miamibeachfl.gov
07 /28/2022 03 :04PM to 3059753913 1