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HomeMy WebLinkAboutMarcum Accountants • • • RECEI .1 c..? • • Gke of ta CAn C • Proposal for Professional Auditing Services for the • CITY OF SUNNY ISLES BEACH• , • FLORIDA December 30, 2015 • Request for Proposal No. 15-12-01 • • MARCUM ® ACCOUNTANTS • ADVISORS • • • • i�. - .. • • �qe • 'it,` clkg:Ir 3 Fats'" • ® You ' {Ai - • • • • MICHAEL D. FUTIERMAN, CPA, Partner • One Southeast Third Avenue I Suite 1100 I Miami, FL 33301 Phone 305.995.9610 I michael.futterman@marcumllp.com • MARCUMLLP.COM • ; aJ s3 • I. "C�1'e a':}e SOa2:h DOLLAR COST PROPOSAL MARCUM LLP Total All Inclusive Not-To Exceed Price For: FY 2016 $55,894 FY 2017 $57,570 FY 2018 $59,297 MARCUM ACCOUNTANTS • ADVISORS a , • • • d 4� a3 : v � N i**Vie ..' y :f MICHAEL D. FUTTERMAN,CPA, Partner Entitled to represent the Firm, empowered to submit the proposal, and authorized to sign a contract with the City of Sunny Isles Beach Cityof 7-----;---t---,--_-_---- . Sunny HsDes Beach _ ---r SCHEDULE OF PROPOSAL PRICES Part 1 Schedule of Professional Fees and Expenses for the Audit of September 30, 2016 • 2018 Financial Statements: Supporting Schedule for Audit Services (Financial Audit) Hours Proposed Proposed Hourly Rates Total l'. Partners 30 $276 $ 8,288 I. Managers 66 $195 $ 12,870 I Supervisory Staff 176 $117 $ 20,592 Staff 128 5111 $ 14,144 Other(Specify) - - ;: Subtotal 400 $ 55,894 Other Expenses None Total All-Inclusive Price for Audit Services Year 1 $ 55,894 Year 2 $ 57,570 Year 3 $ 59,297 Grand Total-Price-for Audit Services(3 Years) ,, $ 172,761 Grand Total Price for Audit Services (3 Years) Written This amount includes the fees for the financial audit, CAFR, Florida Single Audit and Federal Single Audit. The fee also includes the new procedures required in accordance with GASB Statement No. 68 for the City's participation in the Florida Retirement System. If the City is only subject to a Federal or Florida Single Audit, the total all-inclusive maximum fee would be $48,800 for FY 2016, $50,346 for FY 2017 and $51,857 for FY 2018. Note: 3% cost of living index was utilized to determine the rates for the fees associated with FY 2017 and 2018. Note: Any additional work agreed to between City of Sunny Isles Beach and Marcum shall be performed at the same rates set forth in the schedule of fees and expenses included in the dollar cost proposal for the corresponding fiscal year under audit. Note: Progress payments will be made on the basis of hours of work completed during the course of the engagement, in accordance with Marcum's dollar cost proposal. Interim billing shall cover a period of not less than a calendar month. n n Q❑C' Inn Proposal for Professional Auditing Services www.marcumllp.com ACCOUNTANTS • ADVISORS City of ‘NN.4 �� Sunny Niles Bead Part 2 Schedule of Professional Fees and Expenses for the Audit of the 2016 Financial Statements: Combining Schedule - All Services Nature of Service to be Provided Schedule Total Florida Single Audit A S 7,020 r < Federal Single Audit B $ 7,020 EDP Auditing Services - C $ 5,517* CAFR (preparing, editing and printing)':: D $ 5,517 Other(Specify) -- Not Applicable SUBTOTAL $ 25,074 Total Amount Written The scope of an EDP Audit includes, but is not limited to, efficiency and security protocols, development processes, and IT governance or oversight. Once the scope of the EDP Audit is defined by the City, the time required to complete the procedures may change which would impact the fee estimate. MARCUMDollar Cost Proposal ACCOUNTANTS ADVISORS www.marcumllp.com Page 3 1215079F City of _ . �= Sunny IlsIles Beach c---r -. -- racral Schedule A Schedule of Professional Fees and Expenses for the Audit of September 30, 2016 - 2018 Financial Statements: Supporting Schedule for Audit Services Proposed Proposed Hours Hourly Total Rates Partners 4 $276 $ 1,104 Managers 8 $195 $ 1,560 Supervisory Staff 23 $117 $ 2,691 Staff 15 $111 $ 1,665 Other(Specify) - - - Subtotal 50 $ 7,020 - Other Expenses None Total All-Inclusive Price for Audit Services f. . x Year 1 $ 7,020 .. Year2 $ 7,231 Year3 $ 7,448 Grand Total Price for Audit Services(3 Years) $ 21,698 Grand Total Price for Audit Services (3 Years) Note: 3% cost of living index was utilized to determine the rates for the fees associated with FY 2017 and 2018. Note:Any additional work agreed to between City of Sunny Isles Beach and Marcum shall be performed at the same rates set forth in the schedule of fees and expenses included in the dollar cost proposal for the corresponding fiscal year under audit. Note: Progress payments will be made on the basis of hours of work completed during the course of the engagement, in accordance with Marcum's dollar cost proposal. Interim billing shall cover a period of not less than a calendar month. n n Q RC Inn Dollar Cost Proposal ACCOUNTANTS.ADVISORS www.marcumllp.com o Page 4 1215079E City of 4 • SunnyHs es Beach �� - • Schedule B Schedule of Professional Fees and Expenses for the Audit of September 30, 2016 • 2018 Financial Statements: Supporting Schedule for Audit Services Proposed Proposed Hours Hourly Total Rates Partners 4 • $276 $ 1,104 Managers 8 $195 $ 1,560 Supervisory Staff 23 $117 $ 2,691 Staff 15 $111 $ 1,665 Other(Specify) - - - Subtotal 50 $ 7,020 Other Expenses None Total All-Inclusive Price for Audit Services Year 1 $ 7,020 Year 2 $ 7,231 Year 3 $ 7,448 Grand Total Price for Audit Services(3 Years) $ 21,698 Grand Total Price for Audit Services (3 Years) Note: 3% cost of living index was utilized to determine the rates for the fees associated with FY 2017 and 2018. Note:Any additional work agreed to between City of Sunny Isles Beach and Marcum shall be performed at the same rates set forth in the schedule of fees and expenses included in the dollar cost proposal for the corresponding fiscal year under audit. Note: Progress payments will be made on the basis of hours of work completed during the course of the engagement, in accordance with Marcum's dollar cost proposal. Interim billing shall cover a period of not less than a calendar month. MARC Inn Dollar Cost Proposal ACCOUNTANTS ADVISORS www.marcumllp.com n Page 5 1215079F • IT City of 1 -' . Sunny isOes Bead Schedule C Schedule of Professional Fees and Expenses for the Audit of September 30, 2016 • 2018 Financial Statements: Supporting Schedule for Audit Services Proposed Proposed Hours Hourly Total Rates Partners 3 $276 $ 828 Managers - 6 $195 $ 1,170 Supervisory Staff 13 $117 $ 1,521 Staff 18 $111 $ 1,998 Other(Specify) - - - Subtotal 40 $ 5,517 Other Expenses None Total All-Inclusive Price for Audit Services Year1 $ 5,517 Year2 $ 5,683 Year3 $ 5,853 Grand Total Price for Audit Services(3 Years) $ 17,052 Grand Total Price for Audit Services (3 Years) Note: The scope of an EDP Audit includes, but is not limited to, efficiency and security protocols, development processes, and IT governance or oversight. Once the scope of the EDP Audit is defined by the City, the time required to complete the procedures may change which would impact the fee estimate. Note: 3% cost of living index was utilized to determine the rates for the fees associated with FY 2017 and 2018. Note:Any additional work agreed to between City of Sunny Isles Beach and Marcum shall be performed at the same rates set forth in the schedule of fees and expenses included in the dollar cost proposal for the corresponding fiscal year under audit. Note: Progress payments will be made on the basis of hours of work completed during the course of the engagement, in accordance with Marcum's dollar cost proposal. Interim billing shall cover a period of not less than a calendar month. M0 RC I M Dollar Cost Proposal ACCOUNTANTS ADVISORS www.marcumllp.com o Page 6 1215079E City of = -� 1iI :: Sunny isHes Beach 3 ---- - Schedule D Schedule of Professional Fees and Expenses for the Audit of September 30, 2016 • 2018 Financial Statements: Supporting Schedule for Audit Services Proposed Proposed Hours Hourly Total Rates Partners 3 $276 $ 828 Managers 6 $195 $ 1,170 Supervisory Staff 13 $117 $ 1,521 Staff 18 S111 $ 1,998 Other(Specify) - - - Subtotal 40 S 5,517 Other Expenses None Total All-Inclusive Price for Audit Services - _ - Year1 $ 5,517 Year2 $ 5,683 . - Year3 $ 5,853 Grand Total Price for Audit Services(3 Years) $ 17,052 Grand Total Price for Audit Services (3 Years) Note: 3% cost of living index was utilized to determine the rates for the fees associated with FY 2017 and 2018. Note:Any additional work agreed to between City of Sunny Isles Beach and Marcum shall be performed at the same rates set forth in the schedule of fees and expenses included in the dollar cost proposal for the corresponding fiscal year under audit. Note: Progress payments will be made on the basis of hours of work completed during the course of the engagement, in accordance with Marcum's dollar cost proposal. Interim billing shall cover a period of not less than a calendar month. n/�Q❑CU Dollar Cost Proposal V 1/��1 V/�I www.marcumllp.com • Page 7 ACCOUNTANTS • ADVISORS 1215079F • i,: •< • 111- I. • pc yr4 •0 0 0 0 0 �QBLEOOFCO MCNTS 0 0 • • • • • 0 • 0 0 • • • • • • • • • • • • • • • www.marcumllp.com u Page 2 • • • • \itr t �j/�Y� • City of -- -\ i_ • Sunny i.Il'. Beach• • • • • • • TabDe of Contents • • Letter of Interest 4 • • TAB 1.Technical Qualifications 7 • TAB 2. Qualifications of Personnel Assigned 13 • • TAB 3.Audit Approach 29 • TAB 4. Proposal Submittal Forms 40 0 • Appendix A: Peer Review Report • • Appendix B: Sample Management LetterjFindings ® Appendix C: Local Business Tax and Firm License • • Appendix D:Certificates of Insurance a• 0 • • • • • • • • • • • • n n Q RCI 'n n Proposal for Professional Auditing Services ACCOUNTANTS • ADVISORS www.marcumllp.com a Page 3 ® 1215079F • .,.. , ... , , ,, i , • _, _,. . ,O ,,,,., .... „. , _ ;,,t,,, O ii, ,,, ,,,, ,,,. t, O * ; . 0 ' 0 ` o s 0 0 0 2 • • • • • • • • • • • • • • • • • • • • • • • • • www.marcumllp.com • Page 4 • • •• MARCUM • ACCOUNTANTS A ADVISORS • • December 30, 2015 • City of Sunny Isles Beach • Attn: City Clerk • 18070 Collins Avenue, 4th Floor • Sunny Isles Beach, FL 33160 • Marcum LLP (Marcum) is pleased to respond to the request for proposal and to present our experience and • qualifications to provide professional auditing services to the City of Sunny Isles, Florida (the City). • • Effective June I, 2009, the certified public accounting firm of Rachlin LLP merged with the certified public accounting firm of Marcum & Kliegman LLP and became Marcum LLP. The Firm has 29 offices throughout the • U.S. making it one of the largest independent public accounting and advisory services firms in the nation. • • Over our 60 year history. Marcum has provided professional services to the public sector, including local governments. • government pension plans, charter schools, counties, special districts and other governmental entities. In the past year alone, the Southeastern region of Marcum has performed more than 40 audits of governmental entities. ® \Ve have extensive experience in the Federal and Florida Single Acts and OMB Circular A-133 Circular Super. • As outlined in our proposal, we will conduct an audit of the financial statements of the City of Sunny Isles Beach, ® Florida, for the fiscal years ending September 30. 2016 through 2018, with the City having the option to renew for two(2)additional one(I)year periods. We commit to perform the work within the time period defined in the • request for proposal. • • Marcum is independent of the City as defined by generally accepted auditing standards and the U.S. General Accounting Office's Government Auditing Standards. • • THE MARCUM DIFFERENCE • EXPERIENCE IN GOVERNMENT: Marcum's public sector services is one of its primary sectors and focuses ® on local governments like the City, and other governmental entities. We serve more than 100 of such organizations nationally. In Florida. the public sector practice represents our largest industry focus where we serve over 40 • clients. \Ve are committed to this industry sector. • • LOCAL FIRM SERVICE PHILOSOPHY/NATIONAL FIRM RESOURCES: Being a National firm with 29 offices and approximately 1,500 professionals, we serve as a strategic alternative to the larger firms. The partners • and managers with whom you will develop relationships, drive all major decisions; possessing both the appropriate • resources and decision making authority. Our local firm approach provides hands-on service and timely • communication, resulting in the City receiving the best of both worlds. • SPECTRUM OF SERVICES: Our spectrum of services include Assurance Services,Advisory Services. Tax • Services and Technology Assurance Services. Marcum is a leader with an outstanding reputation at the national and ® regional levels.The Firm does not have a record of substandard audit work, in fact, it is quite the opposite. Tab 3 of • our proposal provides further detail of the degree of services as well as the effectiveness of our system of quality • MARCUMGROUP • MEMBER • Marcum LLP • One Southeast Third Avenue • Suite 1100 • Miami,Florida 33131 • Phone 305.995.9600 • Fax 305.995.9601 • www.marcumllp.com • • • • • • control. Marcum's commitment to audit quality is demonstrated by the results of our PCAOB inspection • which illustrates a 0% deficiency rate. • • TRANSITION EXPERIENCE: Our team offers a great deal of experience with transitioning to new clients and our process streamlines the transition while minimizing the disruption to you during the auditor change.As a result of having • a new team with a new approach, we offer you a different look at your systems with no pre-disposition to those systems. • • ABILITIES AND EXPERIENCE OF PROFESSIONAL STAFF: For this proposed engagement Marcum has • assembled an audit team whose skills and experience match the requirements of the City. The proposed client service and audit engagement partner. Michael D. Futterman has extensive experience in performing audits of • governmental entities. Michael is also the partner-in-charge of governmental services for the Southeastern region of • Marcum. He will be supported by an audit senior manager. Enrique Llerena, a quality control reviewer. Beila Sherman • and a team of professionals. All decisions that affect the planning,execution and completion of the proposed audit will be made by Michael Futterman. His experience in conducting audits for other governmental entities brines a wealth of • knowledge and gives us the opportunity to be more efficient and effective to the City. Tab 4 of the proposal further • details the qualifications of the proposed engagement team. • • The issues of audit quality and technical proficiency are important matters for consideration. Equally important is a firm's commitment to continuing communications and providing a high caliber of professional service in a timely • manner.Accounting firms, like people, have distinctive personalities. Perhaps the quality that best describes Marcum • is our ability to go beyond the routine,to provide an extra dimension in quality,effort and service to our clients. • Marcum members are always accessible and are sensitive to your needs. We will be available to answer questions, discuss audit issues, and provide solutions to such issues throughout the year as they arise. We believe that this • commitment and performance, as well as our commitment to ongoing communication with you, sets Marcum apart • from other firms. Although our fees may not be the lowest,our service, our technical competency,and our value • to you will be unparalleled. Our Florida offices are located in Miami. Fort Lauderdale. \Vest Palm Beach and • Orlando. We currently have 180 employees in our four Florida offices, however the resources of all of our offices are available to us. • 0 Our technical competencies will be essential over the next several years with the implementation of new significant • Governmental Accounting Standards Board pronouncements. This assistance will be provided at no additional cost to the City. • • We welcome the opportunity to answer any questions and to provide further information regarding our services and • experience. Thank you for your consideration. • • Sincerely, • • Marcum LLP • Michael D. Futterman, CPA, Partner • Authorized to represent and contractually bind the Firm • N-Iichael.Futterman@marcumllp.com • •• MARCUM • ACCOUNTANTS • ADVISORS • • I • • "~e •, • 4;7- Dr; yR � V. o o A O o o TAB1 00 TECHfry CAL QU L0 FOC s7111 jrJS 0 0 • • • • • • • • • • • • • • • • • • • • • • • • • www.marcumllp.com = Page 7 • • • • Clty Of 3- � ��� .J �,T • /s • Sunny 0sOes Beach = - --• • MARCUM OUR SPECTRUM OF SERVICES INCLUDE: • INTRODUCTION Assurance Services • Marcum LLP (a Limited Liability Partnership) is one of Assurance services primarily involve the audit of a the largest independent public accounting and advisory financial statements and the issuance of an opinion on services firms in the nation. Ranked among the top 15, the fairness of the presentation of financial position and • Marcum LLP offers the resources of 1,500 professionals, results of operations of an entity. • including more than 200 partners, in more than 29 Our philosophy and practice is to blend technical, offices throughout the U.S., Grand Cayman and China. practical and business approaches when conducting • Headquartered in New York City, the Firm's presence each engagement. • runs deep with full-service offices strategically located in Our Government services also includes single • major business markets. Marcum LLP is a member of the audits, compliance audits, forensic audits, IT audits, internal Marcum Group, an organization providing a comprehensive audits, GASB implementation, financial statement and • range of professional services spanning accounting and CAFR preparation, performance or operational reviews and • advisory, technology solutions, wealth management, and a wide range of consulting services for local governments. • executive and professional recruiting.The Marcum Group companies include Marcum LLP; Marcum Technology ac; Advisory Services • Marcum Search Ilc; Marcum Financial Services ac; The Firm's Advisory services encompass the • Marcum Bernstein & Pinchuk LLP; and MarcumBuchanan analysis of business problems, the evaluation of the Associates LLc. scope of specific situations, as well as the development • Established in 1951, Marcum is a leader with an of solutions and alternative procedures. The purpose of • outstanding reputation at the national and regional levels. this comprehensive endeavor is to assist clients in • Marcum offers an extensive range of professional solving their management problems. services and a high degree of specialization. In addition The scope of an advisory engagement is determined • to traditional accounting, assurance and tax, including in large measure by the client, and depends partially on • domestic and international tax planning and preparation, the extent of involvement of the client's own personnel. the Firm's professional services include mergers and The Firm aims to provide clients with "know-how" by using • acquisition planning, family office services, forensic personnel who have the knowledge and experience to • accounting, business valuation and litigation support. serve clients in a wide range of functional areas such • The Firm has developed several niche practice areas as accounting systems, computer systems, financial serving private equity partnerships; hedge funds; SEC controls and organizational structure as well as business • registrants; real estate; government, public and not-for-profit valuations and forensic audits. • sectors; manufacturing; construction; healthcare; and • bankruptcies and receiverships; as well as a China Tax Services specialty practice. The term tax services is sometimes understood to • Marcum professionals combine practical knowledge mean tax return planning and preparation for companies • with years of experience to provide a level of understanding and individuals; however, all organizations, including and service that is unique among professional service firms. government entities, must understand and comply with • The Firm takes a team approach to every engagement, various provisions of the Internal Revenue Code. Our • ensuring the highest degree of technical knowledge, service team has the knowledge and experience to meet • experience and understanding of current issues and our clients' tax needs. regulatory matters. In addition, as a founding member of • The Leading Edge Alliance, a worldwide group of large, • independent accounting practices, the Firm's professionals have added access to a wide range of industry and • service specialization. • • • MARCUM Q��I In /� Proposal for Professional Auditing Services ACCOUNTANTS • ADVISORS www.marcumllp.com Page 8 • 1215079F • • • • - \ � • City of _ .:".....,V , a � • Sunny 0s0es Beach ..411 • • TECHNOLOGY ASSURANCE SERVICES (TAS) Operation Effectiveness Marcum's Technology Assurance Services (TAS) G IT Governance • leverages core strengths in all areas of managing G Process Improvement • technology risks into a strategic advantage for virtually G Business Process Reviews • every sector of business and industry. The results are 0 Policies, Procedures & Documentation stronger internal controls; smarter business practices; G Application Controls Reviews • and improved efficiencies, productivity and revenue G Project Support Office • throughout your organization. a System & Process Implementation Our TAS team can asses your information risk G Performance Monitoring • management and operational effectiveness. We can then n Metrics—IT &Operational • provide you with privacy, compliance and technology a Service Level Agreements • consulting solutions. Experienced professionals hold 0 Infrastructure Monitoring &Analysis CISA, CISSP CISM, CRISC, or CPA accreditations along Privacy &Compliance • with many years of experience in bringing unique solutions a Compliance Function Assessments • to your business and IT needs. This unique combination a Privacy& Regulatory Compliance • allows us to start with your business challenges and then o Sarbanes-Oxley Act (Internal or External) tailor IT solutions to match your needs. G General IT Controls • At Marcum, our TAS team helps clients achieve a Application Specific IT Controls • optimum results in their ability to manage IT risk, mitigate a Gramm-Leach-Bliley Act (Privacy) those risks, and improve performance with cost-effective a ISO Assistance • solutions. Our goal is to deliver practical solutions to the o HIPAA Security and Privacy Compliance • problem of "digital insecurity", which means helping to a Policies & Procedures • identify the most cost effective ways to address specific n Dodd-Frank concerns regarding it-related compliance and control o OFAC • issues relevant to your environment and needs. In Technology Consulting • addition, the TAS team can design and implement ERP a Attack& Penetration Testing solutions that will integrate your operations more efficiently. a Security Strategy& IT Strategy • Our team has experience with a wide range of a MA 201 CMR 17.00 • software including MCSJ/Edmunds Financial a Enterprise Security Architecture Design • System Software. & Implementation • Information Risk Management G Network Design, Implementation & Maintenance a Vulnerability Assessments • a SSAE 16 (SOC 1) G Business Continuity& Disaster Recovery Planning a SOC2 • a SOC 3 (SysTrust, WebTrust) RELATED SERVICES FOR GOVERNMENTAL ENTITIES • a Encryption Advisory a Agreed Upon Procedures GFOA Certificate of Achievement Program • n Readiness Assessment We have assisted all of our clients who participate • a Enterprise-Wide Risk Assessment in the GFOA Certificate of Achievement for Excellence Operational Audits in Financial Reporting Program. This program is • a Technology Audits recognized as the highest award in governmental • G Outsourcing financial reporting. The Certificate of Achievement has • o Co-Sourcing been awarded on all of the financial statements for participating clients, including first time submissions. • Several members of the Marcum team are special • • MQ[:C' IM Proposal for Professional Auditing Services ACCOUNTANTS ADVISORS www.marcumllp.com a Page 9 • 1215079F 0 • • • • City Of • Sunny Os es Beach - • • • reviewers for the GFOA Certificate of Achievement INDEPENDENCE Program. Michael D. Futterman has been a special Marcum's policy is that all professional personnel • reviewer for the Certificate Program since 1992 and be familiar with and adhere to the independence, • Enrique Llerena is also a Certificate Program reviewer. integrity, and objectivity rules, regulations, interpretations, • and rulings of the American Institute of Certified Public EXPERIENCE IN FINANCIAL AND SINGLE AUDITS Accountants, the state Board of Accountancy and state • The Firm, including our Florida offices, has more CPA societies, relevant statutes, and applicable regulatory • than 60 years of experience in performing audits of agencies. In addition, all professionals—from partner to governmental entities, including preparing governmental staff auditor—are required to sign affidavits annually • financial statements and performing Federal and Florida attesting to their independence. The Firm is independent • Single Audits. Annually we perform more than 100 Single of the City of Sunny Isles Beach as defined by Generally • Audit engagements. Accepted Auditing Standards and the U.S. General Accounting Office's Government Auditing Standards, • ADDITIONAL CONSULTING SERVICES Marcum's quality control document contains • In addition to the regular audit requirements, detailed policies related to maintaining independence. additional consulting services or other audit related These policies are the most stringent policies adopted by • matters outside the performance of the annual audit the AICPA and the various state boards of accountancy. • can be performed at the City's request. A fee for such Engagement team members are required to consider dt• services will be negotiated for each instance that any possible situations where independence may consulting services are requested by the City. be impaired during the acceptance or continuance • process and if any arise during the performance of • LICENSE TO PRACTICE IN FLORIDA an engagement. • We affirm that Marcum LLP is a licensed certified Marcum has not had any professional relationships public accounting firm and is in good standing with all with the City in the past five (5) years. Marcum shall • regulatory agencies. The Firm is a member of the provide to the City written notice of any professional • American Institute of Certified Public Accountants relationships entered into during the period of this (AICPA) and the Florida Institute of Certified Public agreement. • Accountants (FICPA). All professional staff, upon • successful completion of the CPA exam, become FRAUD, IRREGULARITIES AND ILLEGAL ACTS • members of both organizations. The Firm and all Marcum will provide an immediate written report assigned key professional staff are property licensed of all fraud, irregularities and illegal acts of which • and certified to practice in Florida. The Firm is registered we become aware of to the Director of Finance, • annually with the Florida Department of Business and City Manager and City Commission as appropriate. Professional Regulation— Board of Accountancy. • Marcum is knowledgeable of all applicable laws • and regulations and shall perform the audit and provide • the required Auditor Reports in compliance with the applicable Laws and Regulations of the State of Florida, • including requirements of the Department of Financial • Services, and rules adopted by the Auditor General for • the form and content of governmental unit audits. • • • • • n n Q RCI 'n n Proposal for Professional Auditing Services ACCOUNTANTS •. ADVISORS www.marcumllp.com n Page 10 • 1215079F • • • _ • City of , 1 • Sunny isOes Beach / • • • LOCAL OFFICES The Firm participates in an external quality review The Southeastern Division of Marcum has offices in program requiring an on-site independent examination • Miami, Fort Lauderdale, West Palm Beach and Orlando of our Accounting and Auditing practice. The Firm has • with 17 partners and a staff of 180, including support staff. consistently received a "clean" opinion on the quality O The size of our local governmental staff is as follows: of the Firm's audit practice. This is the highest level of achievement and recognition in the peer review program. • Government The latest peer review report for Marcum is included • Staff in Appendix A. The Firm's governmental engagements Partners 2 were included in its latest review. • Directors 2 The following page illustrates our system of quality • Managers 5 control and its importance to us as a firm. Even though the PCAOB inspection, which is much more stringent • Supervisors 7 than a peer review, applies to public companies, it • Seniors 8 demonstrates Marcum's efforts for quality and effective • Staff 10 audits. Please note Marcum's 0%deficiency rate. -TOTAL a} . • . DISCIPLINARY ACTION • There are no actions as a result of any federal or • The audit partner, Michael D. Futterman, the audit state desk reviews or field reviews to the Firm's audits senior manager, Enrique Llerena, the audit senior Branden or its auditors of governmental entities during the past O Lopez and one (1) staff auditors from the Florida offices three (3) years. • will be assigned to this engagement on a full-time basis. There has been no disciplinary action taken nor a The IT specialist and audit senior manager, Jose L.Antigua pending against the Firm or any of the professional staff 41 will be assigned to this engagement on a part-time during the past three (3) years with the State Board of • basis to address IT considerations and evaluations. Accountancy or the Auditor General or any other • The engagement team is composed of individuals from regulatory bodies. • our Miami office, however, the resources of all of our There has not been any litigation in excess of offices will be available to us. 5500,000 filed against Marcum in the State of Florida • over the last three years. There have been no • QUALITY CONTROL SYSTEM terminations, suspension, censures, reprimands, The quality of the Firm's professional practice is probations or similar actions against Marcum or any • of utmost importance to the Firm, to clients and to the of Marcum's members by the Florida State Board of • users of our reports. We provide services that conform Accountancy in the past three years • to professional standards and consider the integrity of individuals in determining our professional relationships. ADDITIONAL SERVICES • Marcum posses the ability and experience to • provide additional services which may be requested • by the City. In the past, we have been engaged by various governmental organizations, some being our • audit clients, to provide services that range from Internal • Control Assessments and Operations Reviews to Forensic Audits, IT Audits, Performance Audits, and • Compliance Audits. • • • • n Q D j n Proposal for Professional Auditing Services ACCOUNTANTS • ADVISORS www.marcumllp.com a Page 11 0 1215079F 0 0 0 • City of e r a may_ Sunny /• • 0 • PCAOB INSPECTION RANKINGS • Ranked by Deficiency Rate for the Top 8 SEC Audit Practices in the United States • • No. of Engagements No. of Engagements with One or More Deficiency • Company Reviewed by PCAOB Deficiencies Rate • • Marcum LLP* 14 0 0% • • KPMG LLP 48 23 48% • • Ernst &Young LLP 56 20 36% • O Grant Thornton LIP 36 20 56% •• BDO USA up 23 15 65% •• ® Deloitte &Touche LLD 52 11 21% 0 • PricewaterhouseCoopers us, 57 17 30% • • RSM (formerly McGladrey & Pullen up) 15 7 47% • • Crowe Horwath LLP 15 5 36% • • * Includes Marcum Bernstein & Pinchuk • • 0 • 0 • MQ RCI IM Proposal for Professional Auditing Services ACCOUNTANTS ADVISORS www.marcumllp.com a Page 12 • 1215079F 0 a ••^ • V Sy ✓ 0 0 01 TAB2 o QUAL IDCATUONS © l 0 PERS (..\ NNEL ASSDC N I! ID 0 • • • • • • • • • • • • • • • • • • • • • • • • • www.marcumllp.com a Page 13 • • • -vr ..orer---' • City Ofr_, • Sunny II slles Beach -- a • PARTNERS, SUPERVISORY, AND STAFF QUALIFICATIONS AND EXPERIENCE • TEAM STRUCTURE • • `Ti M.ChaeiD. Futterman;CPA 's Reviewer • Chent Service and Audit Panner _;' Quality Control =. • '"f'Enrique Llerena, CPA ; ' Jose L Antigua;CISA;CODer • Senior Manager -`IT Specialist and Audit Senior Manager,.;. • " B�anden A Lopez •• Senior t • Staff Auditors• • The experience of the personnel assigned to the Enrique will be on-site during the course of the • engagement is critical to providing you with an effective engagement and will be actively involved in all aspects • and efficient audit. Their prior experience will be invaluable of the audit. to the engagement. These are the professionals who will Resumes for the audit team that will be assigned to • be on the job on a day-to-day basis; they need to be this engagement team are on the following pages. Our • experienced in auditing governmental entities. These commitment to active participation in local governmental professionals are familiar with the complexities of organizations is included in the resumes. The resumes • governmental accounting, auditing and financial reporting, also include each individual's educational background, CPE • including all GASB pronouncements, the Federal and over the past two years and other pertinent information. Florida Single Audit Acts, OMB Circular A-133/Uniform Since all of Marcum's governmental audit staff are • Guidance, fund operations, State Laws and Rules of the qualified to perform financial and single audits of local • Auditor General. governments and other government agencies, the Firm ® The individuals listed will be assigned to the can assure the quality of staff over the engagement term. engagement. Michael D. Futterman, the audit partner, Engagement partners, managers, other supervisory • Enrique Llerena and Branden Lopez are designated as staff and specialists may be changed if those personnel • the "key" members of the audit team. The key members leave the Firm, are promoted or are assigned to another assigned to this engagement are licensed to practice in office. These personnel may also be changed for other • the state of Florida. Each individual on the engagement reasons with the express prior written permission of the City. • has maintained the required CPE in governmental ac- However, in either case, the City retains the right to approve counting and has attended an Ethics course for CPAs in or reject replacements. Our Firm policy is to maintain • Florida. The following pages provide a brief description continuity of staff assignment on succeeding audits. • of each individual's experience in governmental audits. Consultants and Firm specialists mentioned in this • Enrique Llerena will serve as the "Audit Team proposal can only be changed with the express prior Supervisor". Enrique exceeds the minimum qualifications written permission of the City, which retains the right to • noted in the RFP which include the following: approve or reject replacements. Other audit personnel • • Licensed by the State of Florida as a certified may be changed at the discretion of the proposer provided public accountant in good standing. that replacements have substantially the same or better • • Five years of experience in governmental accounting qualifications or experience. • and auditing. • Three years of supervisory experience. • • • n ^Q c In ^ Proposal for Professional Auditing Services ACCOUNTANTS • ADVISORS www.marcumllp.com a Page 14 • 1215079F • • • • • City of . • Sunny DsDes Beat — • • QUALIFICATIONS OF THE ENGAGEMENT TEAM Enrique Llerena, CPA Senior Manager and Audit Team Supervisor • Michael D. Futterman, CPA As the audit senior manager, Enrique will be • Client Service and Audit Partner responsible for the planning and direction of the audit, Michael Futterman has more than 26 years developing audit programs, selecting and assigning • experience in the governmental accounting and auditing personnel and reviewing all phases of the audit. He will • sector and is highly qualified to serve as the audit also maintain contact with the City personnel, coordinate • engagement partner. Michael Futterman is also the ongoing work and advise management on the status of partner-in-charge of governmental services for the the engagement. • Southeastern region. As the senior manager, Enrique will also report to the • Mr. Futterman will assume full responsibility for the audit partner. He has more than 10 years of experience engagement and will maintain continuous contact with serving clients in the private and governmental sectors. • management of the City. Michael will be available to • members of the engagement team and management Jose L. Antigua, C1SA, COBIT, ACSA, ACT as a high-level technical resource. He also will review the 17'Specialist and Audit Senior Manager financial statements, related independent auditor's reports Over the past 15 years Jose has worked with very • and other documents to ensure that industry standards large organizations, mid-sized organizations, non-profit • have been adhered to and that the financial statements are organizations, and local governments providing IT, in conformity with Firm and authoritative pronouncements operational, audit and management consulting services. • regarding disclosure, format, terminology, etc. His range of experience provides him the insight to ® Quality Control Reviewer define, develop and implement scalable, business-valued, • Our quality control review department has extensive cost-efficient solutions that effectively leverage information • experience in the governmental accounting and auditing technology. Jose is our IT group leader in support of sector. The quality control reviewer is responsible for financial audits. • reviewing the form and content of the audit workpapers Branden Lopez and the auditor's report as well as the review of the Senior • financial statements in accordance with Firm and As the audit senior, Branden will be responsible for professional standards. The quality control reviewer • also serves as a high-level technical resource for the assisting the audit team supervisor with the supervision of the staff. He will be responsible for addressing • engagement team as well as management. complex audit areas and keeping the audit team • supervisor informed of the engagement progress. • He has approximately 4 years serving clients in the • private and governmental sectors. • • • • • • • • • ® n /�/�[��I In /� Proposal for Professional Auditing Services ACCOUNTANTS . ADVISORS www.marcumllp.com a Page 15 • 1215079F • • • • City of �� /` • Sunn isles Bead _ 44.1e • • 1. PARTNERS Partners have the primary responsibility for assuring that the Firm's commitments to the client are carried out • to the client's satisfaction. • PARTNERS • Essential Functions • • Responsible for Firm-wide audit practice • •Allocates Firm's resources to meet client's needs • Assumes overall responsibility for audit • • Discusses important aspects of audit with client • • Resolves any audit issues with client • Reviews the audit documentation to ensure the audit is carried out with due • professional care • • Reviews financial statements, auditor's reports,and management letter comments and discusses them with client • • Signs audit reports and management letters • Meets with management on an as-needed basis • • Communicates progress of the engagement, problems,and resolutions to the client • • 2. SENIOR MANAGERS • The senior managers oversee the engagement and communicate with the client on a one-on-one basis. • SENIOR MANAGERS • Essential Functions 0 • Plans,schedules,and staffs the engagement • • Evaluates internal controls and work programs prepared by staff • Reviews working papers for accuracy and completeness and reviews financial • statements for suitability of presentation and adequacy of disclosures • • Anticipates problem areas of the engagement and questions that will arise • Keeps partners informed of all important developments on the engagement, • analyzes problems and recommends solutions • • Supervises all staff and reviews workpapers prepared by staff to ensure that they are prepared in accordance with generally accepted professional and Firm standards • • Resolves accounting and auditing problems as they arise • • Reviews with the partner significant findings or questions that arise involving accounting principles or statement presentations • • Writes comments for management letters • Reviews financial statements, notes,schedules,and management letters for later • discussion between the partner and the client • • Communicates the engagements progress, problems, resolutions,and other concerns to the client • • • • • • n n Q���n n Proposal for Professional Auditing Services ACCOUNTANTS. ADVISORS WWW.marcumllp.com • Page 16 • 1215079F • • • • City of • Sunny [Isles Beach -- j - ` • • • • 3. SENIORS • Seniors are the liaison between the partners, the manager and the client. • SENIORS • Essential Functions • • Assist with the supervision of the staff and reviews workpapers prepared by the • staff to ensure that they are prepared in accordance with generally accepted professional and firm standards • • Performs audit procedures as assigned by the senior manager • Resolves accounting and auditing problems as they arise • • Studies and evaluates the client's internal controls • • Reviews with senior manager significant findings or questions involving accounting principles or statement presentation • • Writes comments for management letter • Reviews financial statements, notes,schedules and management letters for • later discussion between the manager and the client • • Assists with the communication of the engagements progress, problems, resolutions and other concerns to the client • • • 4. STAFF AUDITORS • the staff Auditors perform a wide variety of diversified assignments under the direction of supervisory professionals. • • STAFF AUDITORS • Essential Functions • • Performs less complex audit procedures as assigned by the senior • • Performs tests of transactions and accounts • Prepares and indexes audit documentation • • Tests client accounting and analysis schedules • Proposes audit adjustments for review by the senior • • Assists in preparing confirmation requests for mailing • • Informs the senior of audit issues • Assists in proofing financial statements • • • • • • • • • • n n Q��I FS n Proposal for Professional Auditing Services ACCOUNTANTS • ADVISORS www.marcumllp.com • Pagel] • 1215079F • • • • Michael D. Futterman — • ASSURANCE SERVICES ,r • Michael Futterman is the Partner-in-Charge of the Firm's Miami office v / t .i . as well as the Partner-in-Charge of the Governmental Services Practice for . )t` ' 'cf- ` � ' '` • the Southeast Region. He focuses much of his work in the local government, - - ,- • not-for-profit and employee benefit plan sectors. With more than 26 years `i-' - _ of professional experience, primarily in the governmental services sector, • Mr. Futterman provides consulting on accounting, financial reporting and ' \` I • operational matters. In addition, he conducts peer reviews for large and mid-size accounting firms. 91 • Within the Firm, Mr. Futterman performs quality control reviews of the r nI employee benefit plans audit engagements, for governmental entities, • governmental pension plans, and not-for-profit organizations. + Michael D.Futterman,CPA* • Mr. Futterman is actively involved in training for the professional s< ' Partner-in-Charge,Miami staff and is responsible for developing internal training programs for the s • governmental, not-for-profit, and employee benefit plans sectors as well • as external training for the accounting profession. • Professional&Civic Affiliations AREAS OF EXPERTISE American Institute of Certified Public Accountants(AICPA) Financial Audits • Florida Institute of Certified Public Accountants (FICPA) iii = Federal Single Audits • Florida Government Finance Officers Association (FGFOA) Florida Single Audits Government Finance Officers Association (GFOA) Employee Benefit Plans • South Florida Government Finance Officers Association (SFGFOA) • GFOA Certificate of Achievement Program Special Review Committee, Member * Operations or Performance Reviews Miami-Dade, Broward and Palm Beach Counties Leagues of Cities Agreed-Upon Procedures • Florida Public Pension Trustees Association Internal Control Assessments Florida Association of Special Districts v' • AICPA Employee Benefit Plan Audit Quality Center, Designated Audit Partner Consulting Services • AICPA Governmental Audit Quality Center, Designated Audit Partner Dade Schools Athletic Foundation,Treasurer `s, Peer Reviews • Articles,Seminars&Presentations ILI KEY CLIENTS ,, • "Nuts and Bolts of an Audit",2015 FGFOA Annual Conference if Local Governments • GASB Hot Topics", FGFOA Webinar Series,2015 Special Districts "GASB Statements No. 67 and 68" Marcum 2015 Governmental Symposium Governmental Pension Plans • "Risk-Based Approach to Governmental Audits,"Internal Training gr.- ERISA Pension Plans Annual Governmental Accounting (GASB) and Government Auditing Standards, • Internal Training Not-for-Profit Organizations • "Federal and Florida Single Audit Acts," Internal Training "ERISA Pension Plans," Internal Training EDUCATION • The New Risk Assessment Standards,"Annual Internal Training Bachelonof Business Administration, GASB Statement No. 34,"Presentation to University of Miami Students • "Preparing a Comprehensive Annual Financial Report," FICPA Training Florida Atlantic University • "Common Reporting Deficiencies in Governmental Financial Statements," • Palm Beach Chapter FGFOA, 2012 . . • (PE (past two years) • Governmental 102 •E. Other(Accounting,Auditing, 4 - V • Technical and Behavioral) 45 MARCUMGROUP , Total 147 • •'�, MEMBER • Licensed by the States of Florida and Nevi York • • Phone michae 059859610 ■ --�^IJM ® michael.futterman@marcumllp.com �\V/11//��URC • www.marcumIIp.com ACCOUNTANTS • ADVISORS • www.marcumllp.com o Page 18 • • • • • City of �ra 1 • Sunny [Isles Beach• . • CURRENT AND FORMER GOVERNMENTAL CLIENTS • MICIDIEL D. FUTTERMAN, CPA Years Single • Government Experience on Job Audit • *Bal Harbour Village 8 ✓ • Broward County (Aviation Department) 5 ✓ • City of Aventura 3 *City of Boca Raton 6 ✓ • *City of Coconut Creek 1 ✓ • *City of Hallandale Beach 5 ✓ • City of Hialeah 6 ✓ • *City of Homestead 10 ✓ • City of Marathon 5 ✓ City of Miami Springs 7 ® City of Miramar 8 ✓ • City of North Miami 15 ✓ • City of North Miami Beach 7 ✓ • *City of Florida City 18 ✓ ® *City of Palm Beach Gardens 1 City of Pembroke Pines 9 ✓ • *City of Sunrise 7 ✓ • ®City of Sunny Isles Beach 5 • City of Tamarac 3 • *City of West Palm Beach 4 ✓ ® *Florida Keys Aqueduct Authority 4 Miami Shores Village 8 • *Miami-Dade Water&Sewer Department 10 ✓ • *Northern Palm Beach County • Improvement District 8 • South Central Regional Wastewater ® Treatment&Disposal Board 6 *Town of Bay Harbor Islands 10 ® Town of Lauderdale-By-The-Sea 6 • *Town of Southwest Ranches 4 • *Town of Surfside 6 ✓ • Village of Golf 7 • *Village of Key Biscayne 21 ✓ Village of Palmetto Bay 5 • *Village of Tequesta 5 • *Current Client • ®First 5 years after incorporation • • n n/�RC In /� Proposal for Professional Auditing Servicesw (ACCOUNTANTS ADVISORS ww.marcumllp.com o Page 19 ® 1215079F • O • O • • O O . ® >_ -4 `'•coo:; ff40 • -: m • p 7 0 O 3 CV g CV 03 ® WJ Y ZO u m l rt• ' � n ~ W ! f Q Q lf < 1.)�` A m • aZ r { rP i�) W • OC .00 >j a • W N I l r ,, J g • rii yDO Ir n•- �+ a 0000 1 ! i 1 ti(. CO 0 0 z , , `�ei 1 Nt f: p • t r a 'ail ( '11 \r{I • re a IN v o n )!t• x " cc UtnU� V LL\ ` ;I o CO• 0 aJo0O w Z 7 • fC7403 > m o m O c Wino ~w0— N LLoav ~ y ro, I--a me co< ni Y o 0 nn.o t=ic • U o U.1-0-'-'. .=K Q U m m:E a m E'O a ® Iz w • • • • • 0 0 • Jose L. Antigua • ASSURANCE SERVICES t • it • Jose Antigua is a Senior Manager in the Firm's IT&Risk Assurance r y fY44% i O Division. In this capacity, he is responsible for the assessment of the internal -.. - Or,- controls of Firm clients as they relate to financial audits. Mr.Antigua has z .. , , 1L O more than nine (9)years of experience working with information technology - "; for clients in the financial, healthcare, IT services, government and retail a •` , :' • industries. His experience includes IT infrastructure, e-mail systems, backup • and networking. He has assisted with numerous audit engagements, 4 • developing and assessing IT risk over financial reporting, IT security(including E. vulnerability assessment, penetration testing and social engineering), IT ilk, • Governance, disaster recovery and information systems management. ii José L.Antigua, • He is an expert in the use of computerized audit techniques to access k'. s: CISA,COBIT,ACDA,ACT and analyze data to maximize audit efficiency. He has implemented numerous 4-, . • Continuous Audit (CA) and Continuous Control Monitoring (CCM) projects. , Senior Manager • In addition, Mr.Antigua works with Marcum's teams to bridge the gap between financial audits and internal controls and information systems AREAS OF EXPERTISE • auditing. He executes compliance engagements according to various IT Audits regulations including SOX, HIPPA, SOC 1, 2, 3, and AML. He identifies • . Application Reviews process and control weaknesses, analyzes complex systems and works • with clients to streamline operations within time and resource constraints. Security Assessments O Also he conducts IT Risk Assessments and IT Control Assessments in a` SOC 1, 2, 3 numerous vertical markets. Internal Control and Risk Management. • CART (including CA and CCM) • h:.: Professional&Civic Affiliations • KEY CLIENTS • Information Systems Auditing and Control Association (ISACA) Financial Services Institute of Internal Auditors(IIA) • Government Toastmasters International • Healthcare 1 IT Services • Designations&Accreditations , . Certified Information Systems Auditor �` Retail • ACL Certified Data Analyst and Trainer • COBIT 5 Foundations (IT Governance and Management) - EDUCATION • Bachelor Degree in Articles,Seminars&Presentations Systems Engineering • Risk Management,an Integral Approach: June 2015 =:> Instituto Tecnologico de Santo Governance, Risk and Compliance (GRC) in practice: November 2014 ` Domingo (INTEL) ® Internal Control Framework based on COSO 2013: October 2014k. • Closing the gaps between COBIT 4.1 and COBIT 5:August 2014 ... . IT Audit for CISA exam preparation: July 2014 0 Information Security for Banking Industry: November 2013 i`S. ai • 1:-- • • �. • • MARCUMGROUP MEMBER • Phone 954-320-8054 • ^�� • jose.antigua@tigua@marcum /V_ llp.com www.marcumllp.com • ACCOUNTANTS• ADVISORS • www.marcumllp.com o Page 21 • • • • • Enrique Llerena - -- • ASSURANCE SERVICES "‘ • rikit,, Mr • Enrique Llerena is a Senior Manager in the Firm's Assurance Division. d _. -, :. • He has more than 10 years of experience in the accounting profession is specializing in the governmental and not-for-profit sectors. He has worked r, • with a variety of clients, including governmental pension and 401(k) plans . • Mr. Llerena is involved in all phases of the audit process, from planning a , —� c a and initial risk assessment to ensuring compliance with all State and Federal r • laws,and the preparation and review of financial statements. He has extensive • experience in the evaluation of internal controls and ensuring that financial :; • • •• City of • Sunny BsBes Beach • e -- • • • • CURRENT AND FORMER GOVERNMENTAL CLIENTS • ENRIQUE LLERENA, CPA Years Single • Government Experience on Job Audit • Broward County 3 1 • *City of Homestead 2 ✓ • City of Hialeah 2 1 • City of Hialeah Gardens 1 • City of North Miami 3 ✓ • City of North Miami Beach 3 ✓ • *City of Palm Beach Gardens 2 • *City of Sunrise 5 1 • Town of Cutler Bay 1 • Indian Creek Village 2 • *Village of Key Biscayne 3 City of Plantation 2 • City of Dania Beach 1 • *Children's Services Council of Broward County 1 • *Town of Bay Harbor Islands 1 • *City of Hallandale Beach 4 ✓ • *City of West Palm Beach 5 ✓ • *Miami-Dade Water&Sewer Department 3 ✓ • South Central Regional Wastewater • and Treatment&Disposal Board 5 • *Current Client • • • • • • • • • MARCI M Proposal for Professional Auditing Services ACCOUNTANTS ADVISORS www.marcumllp.com • Page 23 • 1215079F • • • • • • • • kip,w Ff 1 T • o 0 • en0 Nr • Z 40 • J e, - %7 N m •/•t • • W .fl - _1 1 • •'• ` 1 • Q WQ , J;jilt/ p WOZ ///; �ffi p 0 E2 • o Cr-- u_ , < .FI f;�. •,, a • W wLL �' .%/ r < y0 , i� ai - I /r • CO • 1- Z ' t) ,I •� �57)„,:, g 0 - • 'm°m ,t( i �. a U. 4 ' 11 0 tu Z H i .1• GI. 0 'L Z co a j f �'y+' • I— re F M ri1 E �itl 1 z r- it ! v. W �_ • p OU no W2 ' M II 01 /, , N O i ' QWLN OWQ. J �,,1 n • cicnc�r c7o , t rl o • mW N� ZU) i1 dJ00 LO w • C Oct. '� Q co h m WO.- wZrn_ v) • S co LL 0 a-0 ccto"1g Wn <i' Faac a— • NN -0..0 UW JrQ a 0 aaW-a.a UL co c x . • 7. FZDW • 0 0 0 0 0 • • • • Branden A. Lopez _ _ • ASSURANCE SERVICES • _ , - • Branden Lopez is a Senior auditor in the Firm's Assurance Division. He has G 1 .*'rte -:C a7 • approximately 5 years of experience in the accounting profession providing accounting, and auditing, for local government, and public and private j; 1 ." i ' 0 enterprises across a variety of industries, both domestically and internationallyr • He provides services to a wide range of clients within the aforementioned t industries, these include: manufacturing, not-for-profit (museums, charter • schools, etc), telecommunication, and employee benefit plans. In addition, .iT- • Mr. Lopez has significant expertise in performing Federal and Florida Single ` . Audits in accordance with OMB Circular A-133 and the Florida Single Audit —'i N • Act, as well as program-specific compliance audits. •Branden A:Lopez„CPA*•: • 7.:,..-.! • Mr. Lopez is involved in all phases of the audit process, from planning and initial risk assessment to ensuring compliance with all State and Federal Senior • laws, and the preparation and review of financial statements. He is client �'. • service driven and is always willing to assist clients with accounting, auditing and financial reporting issues, including but not limited to, implementation AREAS OF EXPERTISE • of new accounting pronouncements. Financial Audits :r • ti Federal Single Audits s .. • Professional&Civic Affiliations ,Florida Single Audits • American Institute of Certified Public Accountants (AICPA) FProgram-Specific Compliance Audds , YMCA Young Professionals, Board Member Lic • 1, KEY CLIENTS ° ' • Not-for-Profit Organizations -' a3 • CPE (past two years) '(Museum;-Charter Si:hools;Etc) '. Governmental 82 Local Governments • Other(Accounting,Auditing, Governmental Pension Plans •• Technical and Behavioral) 27 • Special Districts • Total 109 Wholesale•& Retail Distributors y- • _ Manufacturers EDUCATION • Bachelors of Accounting • IT —Florida State University • • • • V .' • - © � fit' • MARCUM`iaROUP 4 • }MEMBER'- ® lJcensedtiytheStateolNewHampshue ,'�` r_ • Phone 305.995.9 7 • branden.lopez@marc umllp.com / RU Y • WWW.marCUmIIp.COfn ACCOUNTANTS ADVISORS • www.marcumllp.com a Page 25 • • • • I f City of -- • r 'rte-•'s- • S• unny DsDes Beach -- 1 - _ - - • • • • • CURRENT AND FORMER GOVERNMENTAL CLIENTS • BRANDEN A. LOPEZ, CPA Years Single • Government Experience on Job Audit • *City of Homestead 3 ✓ • *Village of Key Biscayne 2 • *Miami-Dade Water&Sewer Department 3 ✓ • South Central Regional Wastewater • and Treatment& Disposal Board 2 ® *City of Boca Raton 3 ✓ *City of Hallandale Beach 3 ✓ • *City of West Palm Beach 3 ✓ • *Bal Harbour Village 2 • ® *Current Client • • • • • • • • • • • • • • • • • • • ^ n Q RC Inn Proposal for Professional Auditing Services ACCOUNTANTS* ADVISORS www.marcumllp.com o Page 26 • 1245079F • s • • • • --_______ _ ______________ . ___, __ - _ -- - • ,E) z A • ) i,, e�� 2tJ3 • O W. I _ \lF' • , �, i 1 ® +OAS -_%,r -_,=i z ) 1. 1 1 N ® \ :o \% ® -- . 1 i .4. ;-:° ) ® 2 ® �a 1 fat ) - - - ) ® ,yra • d • 4:6 , > , i VI ° • ! t-V • • •• • • • City of 7\4 • Sunny ElsDes Beach• • PROFESSIONAL DEVELOPMENT Marcum is also committed to providing As noted in this section of this proposal, our team professional development programs to the • possesses the background and experience to provide the entire South Florida community involved in the • City with a superb client service experience. Our technical governmental sector. For the past 21 years, • competencies will be essential over the next several years Marcum has presented an annual Governmental with the implementation of new significant Governmental Symposium, which is an 8 hour accounting and • Accounting Standards Board pronouncements. This auditing seminar that focuses on current develop- • assistance will be provided at no additional cost to the City. ments in governmental affairs, including accounting, • Marcum is a voluntary member of the AICPA's legal and operational topics. We encourage our Government Audit Quality Center (GAQC). The GAQC clients, and non-clients, at no cost to them, to attend • provides guidance and resources such as webinars, this technical (CPE) Symposium. • practice aids and discussion forums on matters for audit All members of the audit team meet or exceed the quality for governmental audits. This also shows our CPE requirements mandated by professional auditing • commitment to the governmental sector. As a Firm, we standards (including Government Auditing Standards) and • also use Thompson Reuters Checkpoint and Accounting all CPAs assigned meet or exceed the CPE mandated by • Research Manager as research tools. Both of these the State Board Accountancy applications provide numerous resources and research The engagement partner, the senior manager, and • capabilities for accounting, auditing and financial reporting the senior included in this proposal have been instrumental • for governmental audits. in assisting our clients with the implementation of new All of the members of the engagement team receive pronouncements throughout this career. In addition, the • the continuing education required to serve as technical partner and the senior manager are presenters in the • resource to the City, enabling as to effectively assist with Firm's Annual Governmental Symposium.This past year's • the implementation of new standards. program included a session that detailed the implemen- Every year, Marcum provides a minimum of 40 hours tation process for Governmental Accounting Standards • of continuing professional education (CPE) in-house to all Board (GASB) Statement No. 68. This pronouncement • professional staff. These seminars include sessions in will impact the City annually beginning with the • governmental accounting, auditing and financial reporting, fiscal year ended September 30, 2015 since the City including Yellow book, single audit, IT audits and information participates in the Florida Retirement system (FRS). • systems and other accounting and auditing issues. • In addition to the in-house training, our partners and professional staff attend various outside seminars. The • number of hours of specialized training received in the • last two years by supervisory personnel assigned to the • audit engagement in governmental accounting and auditing, including information technology auditing, is indicated in • each respective resume included in this proposal. 0 • • • 0 • • • ® MARC /) /� ��I IA /� Proposal for Professional Auditing Services W ACCOUNTANTS . ADVISORS WW.marcumllp.com • Page 28 • 1215079E • • 4111,7. 2 ' 4,4 0 ' , nes: 4at 44. 0 o TAB3 0 AB D 0t APPROACh 0 0 A i • • • i • • • • • • 0 • 0 • s 0 www.marcumllp.com a Page 29 • • • � t ��• C - ' 4 • • • SPECIFIC AUDIT APPROACH As applicable, the following additional reports will • Scope of Services be issued: Based on our understanding of the expectations and requirements of the City as set-forth in the request Report on the schedule of expenditures of • for proposal, the following is a summary of the scope of federal awards and state financial assistance. • • our work. All work will be completed in the timeframe Report on compliance and internal control over specified in the request for proposal. compliance applicable to each major federal • awards program and state financial assistance • Audit of the City's Financial Statements project. The Firm will perform an audit of the financial • Schedule of findings and questioned costs. • statements of the City of Sunny Isles Beach (the City) • for the fiscal years ending September 30, 2016 through We will also provide technical assistance to ensure 2018 with the option to renew for (2) one (1)year periods. the City's Comprehensive Annual Financial Report w The objective of the audit is the expression of an opinion meets all the requirements of the GFOA's Certificate • that the financial statements are fairly presented, in all of Achievement for Excellence in Financial Reporting. • material respects, and in conformity with accounting All of our clients that have submitted a CAFR to the principles generally accepted in the United States. GFOA have received their certification. See listing of • current and similar clients that received the certificate • The Firm will issue the following reports in on page 38. • accordance with Generally Accepted Auditing Each year, we will also review the Annual Financial Standards and Government Auditing Standards: Report (AFR) filed by the City with the Department • of Financial Services, pursuant to section 218.32, Florida • • Report on the fair presentation of the basic financial Statutes, to verify that it is in agreement with the audited statements as a whole in conformity with accounting financial statements. • principles generally accepted in the United States. • • Report on internal control over financial reporting Required Standards and on compliance with laws and regulations The Firm's audit will be performed in accordance • and other matters based on an audit of financial with the following requirements, as applicable: • statements performed in accordance with • Statements on Auditing Standards issued Government Auditing Standards. by the AICPA • • Management Letter in Accordance with the Rules • Government Auditing Standards, issued by the of the Auditor General. • Comptroller General of the United States • Independent Accountants Report on Compliance • Codification of Governmental Accounting and • Pursuant to Section 218.415 Florida Statutes. Financial Reporting Standards, as promulgated by • the Governmental Accounting Standards Board As applicable, the Firm will perform a single audit in • Audit and Accounting Guide, State and accordance with generally accepted auditing standards, Local Governments, published by the American • Government Auditing Standards, the Federal Single Audit Institute of Certified Public Accountants (AICPA) • Act the provisions of OMB Uniform Guidance, the Florida • Florida Statutes, Chapter 189 and 11.45 Single Audit Act, and the Rules of the Auditor General of • Florida Statutes, Section 218.39 • the State of Florida. • Rules of the Auditor General of the State of Florida, • Chapter 10.550 • • State of Florida Department of Financial Services • Uniform Guidance for Federal Awards • • United States Single Audit Act of 1996, as • amended • n n Q fcI Inn Proposal for Professional Auditing Services ACCOUNTANTS ADVISORS www.marcumllp.com • Page 30 • 1215079F • 0 • • ® • City of • / it�____.- _ • • • Florida Single Audit Act, (Section 215.97, Florida Regular communication will be ongoing with City • Statutes) and Chapter 270-1, Rules of the Executive personnel, allowing for timely knowledge of matters as • Office of the Governor they arise. When we learn of matters the City may not be • All other applicable provisions of rules, regulations, aware of,we will be active in conveying relevant information. • statutes or orders which may pertain to the We understand the audit and accounting • engagement requirements affecting your audit. As with other issues that may arise, we will work with Management through- • Monitoring and Communication out the year to achieve the appropriate resolution. • The Firm will report the following information to the ® City Commission. New Pronouncement Impacting the City Annually Beginning with Fiscal Year Ended September • • The auditor's responsibility under generally 30, 2015: • accepted auditing standards and Government For fiscal year ended September 30, 2015 the City Auditing Standards will be implementing Governmental Accounting Standards • • Significant accounting policies Board (GASB) Statement No. 68-Accounting and Financial • • Management's judgments and accounting Reporting for Pensions, amendment of GASB Statement estimates No. 27. As a result of changes in professional auditing • • Significant audit adjustments; uncorrected standards for cost-sharing employer plans, the City's • misstatements auditor will be required to perform the following for the • Other information in documents containing audited • financial statements City's participation in the Florida Retirement System • • Disagreements with management (FRS) which they do not audit. • • Management consultation with other accountants Evaluate and confirm that the FRS auditor's report • • Major issues discussed with management prior and accompanying schedule are adequate and ® to retention appropriate which includes reviewing the information • Difficulties encountered in performing the audit for any opinion modifications. • • Evaluate whether the FRS auditor has the necessary • Marcum has not been engaged within the last five competence and independence.• Perform census data testing which includes: • (5) years by the City of Sunny Isles Beach to perform any services. • Review actuarial certification letter for exceptions • related to census data. IDENTIFICATION OF ANTICIPATED • Test reconciliation of aggregate census data • POTENTIAL AUDIT PROBLEMS to census data file. • Marcum is proud of its recognition as a technical • Agree underlying information to payroll and • resource for accounting and auditing standards. We personnel records. • keep abreast of emerging technical issues with our clients and communicate accordingly. • The Firm does not anticipate any potential audit • problems. Our service team understands the industry ® issues relevant to the City. The combination of our Firm's resources, level of partner involvement and experienced • team members provides an excellent service team of • professionals capable of servicing your needs. • • • • MQ RC IM Proposal for Professional Auditing Services ACCOUNTANTS ADVISORS www.marcumllp.com • Page 31 • 1215079F • • • _ • City of ,- • S nn isles Bear �-- \ • _a- • • The audit will be conducted in four phases, as shown below.These phases are discussed in more detail on • the following pages. • • PHASE I r� PHASEiI -� ; 1 PHASE 111* PHASE�IV ,= • Strategic Execution Evaluation Completion--1-4.,:'....r.1 • Planning v.. of the Audit Plan`s of Audit Results: & Delivery 44:-, i • Obtain an Perform Test Documentation Prepare Auditor's • Understanding of of Controls Reviewed Reports • the City's Operations by Partners • 0000 0000 0000 0000 • Perform Tests Review the City's • Evaluate Internal of Transactions Auditor's Financial Statements Controls Conclusions • 0 0 0 0 Documented 0 0 0 0 • 0000 Discuss Final s ® Test Compliance Develop Audit Plan with0 0 0 0 Laws, Rules, with City Management • and Strategies Regulations, Preliminary • and Contracts Discussion with 0 0 0 0 ® 0 0 0 0 Management of Audit Findings Exit Conference • Prepare Audit • Programs 0 0 0 0 • 0 0 0 0 Presentation to the • City Commission • IT Review • • • • • • 0 • • •• n ' Q pc' M Proposal for Professional Auditing Services ACCOUNTANTS ADVISORS www.marcumllp.com o Page 32 • 121smsF 0 a • •• City Of rd• 54! Sunny �® a • Phase I: Strategic Planning • Relative significance of the account to the financial A thorough understanding of the City and its statements as a whole • operating environment is essential for developing an • Volume of transactions • efficient, cost-effective audit plan. During this phase, the • Susceptibility of the account to fraud • engagement partner and key supervisory personnel will • Accounts that have traditionally required significant meet with the appropriate personnel to update an under- adjustments • standing of operations. You will also have the opportunity • Account with complex calculations, judgment, and • to express your expectations regarding the services that accounting issues that have a high assessed level we will provide. This effort will be coordinated so that of inherent risk • there will be minimal disruption to your staff. During this Based on these considerations, we assess the • phase we will perform the following activities: inherent risk and control risk to determine the overall • • Review the current regulatory and statutory audit risk. Once this assessment is completed, the audit • compliance requirements within which the entity procedures to be used are determined. By redirecting operates. This will include a review of applicable our efforts through a risk-based approach, audits are • federal and state regulations; ordinances, bond significantly enhanced, which provide greater value • covenants, contracts, and other agreements; to our clients. ® meeting minutes of the City Commission. The Firm will use several approaches to conduct • Review major sources of information such as the audit engagement. These approaches include • budgets, organization charts, procedures manuals, traditional audit techniques and strategies, and an ® financial systems and management information evaluation of the systems utilized by the City. systems. • • Determine the most practical and effective way to Specific Fraud Investigative Techniques • apply computer-aided audit tools to convert and Professional Auditing Standards imposes on auditors analyze data and generate reports. the additional responsibility to "plan and perform the • • Review internal control systems, including audit to obtain reasonable assurance about whether the • determining an audit risk assessment. financial statements are free of material misstatements • • Consider the methods used to process accounting due to fraud." information that influence the design of the internal By redirecting our efforts through a risk-based • control system. This includes understanding the approach and additional fraud inquiry techniques, • design of relevant policies, procedures, and records audits are significantly enhanced. and whether they have been placed in operation. • • Design audit programs to ensure that they Phase II: Execution of Audit Plan • incorporate financial statement assertions, specific The audit team will complete a major portion of audit objectives and appropriate audit procedures transaction testing and audit requirements during this • to achieve the specified objectives. phase. The procedures performed during this period will • • Identify and resolve accounting, auditing and enable us to identify any matters that may impact the • reporting matters. completion of our audit work or require the attention of • Prepare detailed audit plans, including a list of management. Tasks to be performed in Phase II • schedules to be prepared by the City personnel. include, but are not limited to: • • Apply analytical procedures to assist in planning Risk-Based Audit Technologies the nature, timing and extent of auditing procedures • The Firm employs a risk-based approach early in used to obtain evidential matter for specific account • the audit process. This approach considers how the balances or transaction classes. Analytical • overall risk identified in the general risk analysis affects procedures are utilized in almost every audit specific account balances. We consider, in part: area tested. • • ® n n Q��I '^ ^ Proposal for Professional Auditing Services ACCOUNTANTS. ADVISORS www.marcumllp.com a Page 33 • 1215079F 0 • • • • City of — - , a --� ®• Sunny - _ -�,�,��� • • • Perform substantive account balance and transactions are initiated, recorded, processed and transaction tests. Statistical samples will be drawn reported, from their occurrence to their inclusion in the • from major transaction systems, including cash financial statements. During the planning stage of our • disbursements, cash receipts, accounts payable, audit, we evaluate the effect information technology (IT) and payroll. The size of the samples will be will have in performing our audit procedures. This • determined after the review of the internal control evaluation includes obtaining an understanding • system.There are three types of tests that involve (generally through observations and inquiries of IT ® audit sampling (statistical and non-statistical personnel) of internal controls and identifying those sampling): controls that are automated. o When key internal controls are automated, we use • Account Balance Tests our IT specialist to perform a detailed review of those Substantive tests of account balances are automated controls. Our IT specialist will then o performed on year-end balances. Certain communicate to the audit engagement team as to • accounts justify a 100 percent examination, such whether such controls are working as prescribed by ® as confirming a bank balance, which does not management. With this information, the audit engagement involve sampling at all. team determines the extent of their audit procedures. 41) Transaction and Control Tests In client situations where there is significant • Substantive testing and control tests are often accounting data processed electronically, we use a • combined to use one sample to achieve more than state-of-the-art software program (IDEA) to extract and one audit objective. We often test the controls to summarize computerized financial data files. Some of o verify that the transactions were properly authorized the uses of this program are: • in accordance with the City's procedures. Under • Retrieving aged receivables information • the Federal and Florida Single Audits, we are • Extracting credit balances in accounts receivable required to test internal controls over compliance reports • for each major program. • Extracting pre-determined sample items • Compliance Tests from reports for testing • Compliance tests with laws and regulations are • Merging files for the purposes of extracting included with the tests of transactions and controls. information that meets predetermined criteria • ® Additional samples are sometimes necessary to Sorting information • test specific laws and regulations. Sample sizes for • Footing reports • • compliance testing are determined based on the Searching for anomalies number of transactions and the significance of o the requirement. This program provides an efficient way for us to o extract and test computerized accounting information, • The audit team will report on a weekly basis to enabling us to audit through the computer, rather than Management the status of any potential adjustments so around the computer. • that Management may have adequate time to investigate, Phase III: Evaluation of Audit Results • gather information and respond, if necessary. This phase includes a review of all audit • Information Technology Audit Techniques documentation by the partners to ensure that testing • In accordance with Professional Auditing Standards, and documentation support the conclusions reached. we are required to gain an understanding of the This phase also includes preliminary discussions • procedures, both automated and manual, by which with management of the audit findings. • • • ® n Q��I Inn Proposal for Professional Auditing Services ACCOUNTANTS• ADVISORS www.marcumllp.com • Page 34 0 1215079F • • • Clty Of "1 \\�rd � • Sunny DsDes Beach %• • • Phase IV: Reporting In this phase of the audit, the engagement team • will complete the tasks related to the closing of year-end • balances and financial reporting. This will include final • testing in areas including compliance, balance sheet accounts, revenues and expenditures. • Upon receipt of the draft of the MD&A, statical • section, and transmittal letter, we will turn around a draft of the CAFR with our comments within seven to ten days. • Final reports will be issued by the agreed upon date. • The audit partner and/or audit senior manager will be • available to attend the City Commission meeting to present the audit report. • • MANAGEMENT LETTER/FINDINGS The Firm will prepare a management letter for • the City to identify systemic deficiencies observed. The • letter also may offer recommendations for changes in • accounting and other procedures in order to improve operations. • As each potential management letter point is • identified in the audit process, the engagement team will document the condition, our recommendation, and the ® benefits of the recommended action. All potential • comments will be reviewed with key staff members • before issuance. The Firm's policy is to prepare this report as • a vehicle for suggesting improvements to enhance • efficiency, management effectiveness, and the degree • of internal control. Findings (material weaknesses and significant • deficiencies and material instances of noncompliance) • are required to be reported in writing and will be included in the schedule of findings and questioned costs. • See Appendix B for 3 samples of management • letters/findings that Marcum issued for clients audited • for fiscal year ended September 30, 2014. • • • • • • • ® n n Q p�l Inn Proposal for Professional Auditing Services ACCOUNTANTS •• ADVISORS wwW.marcumllp.com Page 35 • 1215079F • • • • .�,�f.. • City of --t------_... ..,y, - Sunny OsOes Beach -- =1 � •• • SEGMENTATION • The following is a summary of the proposed hours for the financial audit, CAFR, Florida Single Audit, • and Federal Single Audit. • • City of Sunny Isles Beach, Senior Florida Partners Manager Senior Staff Total a • Strategic Planning 8 19 36 30 93 Execution of the Audit Plan 6 15 72 74 167 • Evaluate Audit Results 7 19 27 12 65 • Reporting 9 13 41 12 75 • • 30 66 176 128 400 • • • Michael D. Futterman will serve as the engagement Phase II-Execution of the Audit Plan • partner, Enrique Llerena will serve as the senior manager This phase of the audit is commonly referred to on the engagement. Their role as well as the role of the as fieldwork. The City will receive a detailed listing of • other members of the engagement team are described in the schedules that we will need to perform our fieldwork • Tab 4 of this proposal. My substitution of these individuals procedures at least one month prior to our start date (start must be approved by the City prior to any changes in date will be November 15th as noted in the RFP). This • staffing. process will be completed annually by December 31st. • SCHEDULE FOR CONDUCTING THE AUDIT Phase Ill-Evaluation of Audit Results • Marcum is committed to completing our procedures This phase of the audit includes the "Draft Reports" • within the timeframes specified on page 24 of RFP No. mentioned in the RFP. This process will be completed 4.• 15-12-01 (the RFP) annually by January 15th. • Phase I-Strategic Planning Phase IV- Completion and Delivery • This phase of the audit includes interim work and This phase of the audit includes the items mentioned as well as the communication of the detailed audit plan in the "Date Final Report is Due" section of the RFP. • and the corresponding listing of schedules that we will This process will be completed annually by February • need to perform our fieldwork. The City will receive a 28th in year one and by January 31 for subsequent • detailed listing of the items we will need at least a month years providing the Governmental Accounting Standards prior to the first day of the Strategic Planning. This process Board (GASB) Statement No. 68-Accounting and • will be completed annually by August 31st. Financial Reporting for Pensions, an amendment of • GASB Statement No. 27 information associated with • FRS auditor by that date. Beginning with fiscal year ended September 30, 2015 the City is required to • implement GASB Statement No. 68 due to the City's • participation in the Florida Retirement System. • • • A AARCI IM Proposal for Professional Auditing Services ACCOUNTANTS • ADVISORS www.marcumllp.com a Page 36 ® 1215079F 0 • • t i • City of ,\ • • • SIMILAR ENGAGEMENTS WITH OTHER ENTITIES • The following represents five (5) engagements completed by our Florida office's governmental team. Additional references, based on the following page, can be provided upon request. • • Agency Name Town of Bay Harbor Islands' Phone 305-866-6241 • Contact Name/Thle Alan Short, Finance Director Email Address ashort@bayharborislands.net • Scope of Work Financial Audit Most Recent Year Audited September 30,2014 • Partner Michael Futterman • Total Hours 385 Agency Name Town of Surfside* • Phone 305-993-1099 Contact Name/Title Donald Nelson, Finance Director • Email Address dnelson@townofsurfside.gov Scope of Work . Financial Audit and Single Audit • Most Recent Year Audited September 30, 2014 • Partner Michael Futterman • Total Hours 350 • Agency Name City of Hallandale Beach* • Phone 954-457-1365 Contact Name/Tltle Laura Thezine,Assistant Controller • Email Address Ithezine@cohb.org Scope of Work Financial Audit • Most Recent Year Audited September 30,2014 Partner Michael Futterman • Total Hours 900 • Agency Name City of Sunrise Phone 954-746-3297 • Contact Name/Title Wendy Dunbar,Acting Director of Finance and Administrative Services Email Address wdunbar@sunrisefl.gov • Scope of Work Financial and Single Audit Most Recent Year Audited September 30,2014 • Partner Michael Futterman • Total Hours 975 Agency Name City of Boca Raton • Phone 561-393-7737 Contact Name/TitleLinda Davidson, Director of Financial Services • Email Address Idavidson@ci.boca-raton.fl.us • Most Recent Year Audited September 30,2014 Partner Michael Futterman • Total Hours 1,200 • *Marcum assists with the preparation of this organization's CAFR as well as the government wide conversion • in accordance with GASB 34. 0 • • • II ® n n Q p�I Inn Proposal for Professional Auditing Services ACCOUNTANTS• ADVISORS www.marcumllp.com • Page 37 Al.. 1215079F 0 a • T- • City Of ter, ® Sunny DsDes Beach CURRENT AND RECENT ENGAGEMENTS CLIENT NAME OBTAINED GFOA CERTIFICATE Miami-Dade County City of Florida City ✓ City of Homestead ✓ ® Miami Dade Water&Sewer Department ✓ ® Bal Harbour Village ✓ 0 Town of Bay Harbor Islands ✓ ® Town of Surfside ✓ Village of Key Biscayne ✓ Indian Creek Village . ✓ ® Broward County • The Children's Services Council of Broward County ✓ ® City of Coconut Creek ✓ City of Hallandale Beach ✓ O City of Sunrise ✓ ® Town of Southwest Ranches ✓ City of Deerfield Beach ✓ 0 • Palm Beach County ® City of Boca Raton ✓ City of Greenacres ✓ • City of Palm Beach Gardens ✓ ® City of West Palm Beach ✓ ® Northern Palm Beach County „ Improvement District ® Village of Tequesta ✓ a Monroe County ® Florida Keys Aqueduct Authority ✓ ® "This organization does not prepare a CAFR 0 cum Proposal for Professional Auditing Services ACCOUNTANTS ADVISORS www.marcumllp.com o Page 38 ® 1215079F 9 • • ® City of ', • Sunny isOes Beach - % • • • QUALITY CONTROL SYSTEM ® The quality of the Firm's professional practice is The Firm's quality control system ensures that the of utmost importance to the Firm, to clients and to the engagement work papers provide adequate evidence to • users of our reports. We provide services that conform support conclusions, opinions and presentations resulting • to professional standards and consider the integrity of from the engagement. It also ensures that the financial individuals in determining our professional relationships. statements, reports and other presentations resulting • In addition to an engagement partner and a manager from the engagement, conform to the measurement, • or senior manager, every engagement has an engagement presentation and disclosure requirements of authoritative • quality reviewer (EQR). The EQR is involved with the literature. engagement from start to finish. An engagement team The Firm participates in an external quality review • discussion is held during the strategic planning in order program requiring an on-site independent examination • to communicate results to all levels of the engagement of our accounting and auditing practice. The Firm has ® team, including the EQR. Any financials issued by the consistently received a "clean" opinion on the quality of Firm cannot be released until the approval is obtained the Firm's audit practice. This is the highest level of • from the EQR in addition to the engagement partner. achievement and recognition in the peer review program. • The latest peer review report for Marcum LLP is included in Appendix A. The Firm's governmental engagements • were included in its latest review. • • • • • • • • • • • • • • • • • • • • MARC 'M Proposal for Professional Auditing Services ACCOUNTANTS ADVISORS WWW.marcumllp.com a Page 39 • 1215079F • dr �3e N sir S• O O _ . O TAB4 o PROPOSAL SU EDD O • • • • • • • • • • • • • • • • • • • • • • • • • www.marcumllp.com a Page 40 • - • - CITY OF SUNNY ISLES BEACH J -- . 18070 Collins Avenue - Sunn Isles Beach, Florida 33160 s�µnr„� Sunny 305.947.0606 °% `'�+• r D • www.sibfl.net 3.4.: �O”' 2, • • �_ %cr ® •-4)or sus e cy,3i m+r rk • 0 o DELIVER TO: REQUEST FOR PROPOSAL City of Sunny Isles Beach SECTION 5 OPENING: 2:30 P.M. • City Clerk PROPOSAL SUBMITTAL 12/30/2015 18070 Collins Avenue FORMS 0 Sunny Isles Beach, FL 33160 O PLEASE QUOTE PRICES F.O.B. DESTINATION, LESS TAXES, DELIVERED IN O CITY OF SUNNY ISLES BEACH, FLORIDA A • NOTE: City of Sunny Isles Beach is exempt from all taxes (Federal, State, and Local). Proposal price should be less all taxes. Tax Exemption Certificate furnished upon request. • Issued by: Purchasing Agent Date Issued: This Proposal Submittal Consists of • Andrew J. Rozwadowski 12/1/2015 Pages 31 through 36 0 ® Sealed proposals are subject to the Terms and Conditions of this Request for Proposal and the • accompanying Proposal Submittal. Such other contract provisions, specifications, drawings or other data • as are attached or incorporated by reference in the Proposal Submittal, will be received at the office of the City Clerk at the address shown above until the above stated time and date, and at that time, publicly • opened for furnishing the supplies or services described in the accompanying Proposal Submittal o Requirement. • RFP 15-12-01 PROFESSIONAL AUDITING SERVICES 0 o Procurement Agent: Firm Name: • Andrew Rozwadowski Marcum LLP 0 Commodity Code(s): 0 0 o FAILURE TO SIGN PAGE 34 OF SECTION 5 PROPOSAL SUBMITTAL WILL RENDER YOUR PROPOSAL NON-RESPONSIVE 0 0 • 0 0 ® City of Sunny Isles Beach I Request for Proposal No. 15-12-01 28 • 0 CITY OF SUNNY ISLES BEACH .18070 Collins Avenue Sunny Isles Beach, Florida 33160 so""' s‘ 305.947.0606 305.947.0606 °% = " `,, wwwsibfl.net ,;�• • i' • t5 '• .i os` ,• T ?3- ® f-'n o1sus e Cy'a1Vq}4 • SECTION 5 • PROPOSAL SUBMITTAL FOR: ACKNOWLEDGEMENT OF ADDENDA • INSTRUCTIONS: COMPLETE PART I OR PART II, WHICHEVER APPLIES • PART I: • LIST BELOW ARE THE DATES OF ISSUE FOR EACH ADDENDUM RECEIVED IN CONNECTION • WITH THIS PROPOSAL • Addendum #1, Dated December 2, 2015 • Addendum #2, Dated December 17, 2015 • Addendum #3, Dated DE60194-it Pat 20/ ® Addendum #4, Dated Oat mem_ ,j p ,2o /s • Addendum #5, Dated • Addendum #6, Dated • Addendum #7, Dated • Addendum #8, Dated •A • PART II: • ❑ NO ADDENDUM WAS RECEIVED IN CONNECTION WITH THIS PROPOSAL • • FIRM NAME: Marcum LLP• ��"� • AUTHORIZED SIGNATURE: 727 „ " " `�/ � DATE: 12/30/2015 • TITLE OF OFFICER: Partner • • City of Sunny Isles Beach !Request for Proposal No. 15-12-01 29 0 D. CITY OF SUNNY ISLES BEACH • 18070 Collins Avenue - Sunny Isles Beach„Florido 33160 ,o''"' ,\ 305.947.0606 oA7- _ D www.sibfl.net W.• u r .• ® !On Ot SUM •' ® — PROPOSAL SUBMITTAL FORM The undersigned Proposer proposes and agrees, if this Proposal is accepted, to enter into an agreement ® with the City of Sunny Isles Beach to perform and furnish all Services as specified or indicated in the ® Contract Documents for the Contract Price and within the Contract Time indicated in this Proposal and in accordance with the other terms and conditions of the Contract Documents. The Proposer accepts all of the terms and conditions of the Advertisement or Request for Proposal and ® Instructions to Proposers, including without limitation those dealing with the disposition of bid Security. This ® Proposal will remain subject to acceptance for 90 days after the day of Proposal opening. The Proposers agrees to sign and submit the Agreement with the Bonds and other documents required by the Proposal ® Requirements within ten days after the date of the City's Notice of Award. ® In submitting this package, the Proposer represents, as more fully set forth in the Agreement, that: 0 • The Proposer has familiarized himself/herself with the nature and extent of the ® Contract Documents, Work, site, locality, and all local conditions and Law and Regulations that in any manner may affect cost, progress, performance, or ® furnishing of the Work. ® • The Proposer has studied carefully all reports and drawings of subsurface ® conditions and drawings of physical conditions. ® • The Proposer has given the City written notice of all conflicts, errors,discrepancies ® that it has discovered in the Contract Documents and the written resolution thereof ® by City is acceptable to the Proposer. • • This proposal is genuine and not made in the interest of or on behalf of any undisclosed person, firm or corporation and is not submitted in conformity with any ® agreement or rules of any group, association, organization, or corporation; the ® Proposer has not directly or indirectly induced or solicited any other Proposers to submit a false or sham Package; the Proposer has not solicited or induced any ® person, firm or corporation to refrain from submitting a proposal;; and Proposer has not sought by collusion to obtain for itself any advantage over any other ® Proposers or over the City. The City and the successful Proposer will establish completion times for each individual Work Item and the ® successful Proposer agrees that the work will be completed within the time frames agreed upon and stipulated in the individual Purchase Orders and/or Notice to Proceed. City of Sunny Isles Beach !Request for Proposal No. 15-12-01 30 • • CITY OF SUNNY ISLES BEACH ' .18070 Collins Avenue • Sunny Isles Beach, Florida 33160 t haµ • 305.947:0606 G wvJvsibA.net t sl•-l- 2}/' A ® nOf SWC�c O' Q$ • �r `� • • Firm Name: • Marcum LLP • Street Address: • 1 SE 3rd Avenue, Suite 100 • Mailing Address (if different): Miami,FL 33131 • Telephone No. 305-995-9610 Fax No. 305-995-9601 • Email Address: michael.futterman@marcumllp.com FEIN No. 1/1 - 1/ 9/ 8/ 6/ 3/ 2/ 3 • • • "By signing this document the proposer agrees to all Terms • ® Signature: (Signature of authorized agent) • Print Name: Michael D. Futterman • Title: Partner i • THE EXECUTION OF THIS FORM CONSTITUTES THE UNEQUIVOCAL OFFER OF PROPOSER TO • BE BOUND BY THE TERMS OF ITS PROPOSAL. FAILURE TO SIGN THIS SOLICITATION WHERE ® INDICATED ABOVE BY AN AUTHORIZED REPRESENTATIVE SHALL RENDER THE PROPOSAL NON-RESPONSIVE. THE CITY MAY, HOWEVER, IN ITS SOLE DISCRETION, ACCEPT ANY • PROPOSAL THAT INCLUDES AN EXECUTED DOCUMENT WHICH UNEQUIVOCALLY BINDS THE ® PROPOSER TO THE TERMS OF ITS OFFER. 9 A • • City of Sunny Isles Beach I Request for Proposal No. 15-12-01 31 • ••e J - _ r. s CITY OF SUNNY ISLES BEACH 1'6070 Collins.Avenue Sunny Isles.Beach, Florida 33160 osier "rt Fr J. • 305.947.0606 www sibR.nel 6 +' GCK® �i is Cr fin Of sun p'a0 AFFIDAVITS • ® SUNNY ,S�F,r ® O ;_ A yF * FLOC\ 5� ® C/�y OF SUN PCO • • • • • City of Sunny Isles Beach !Request for Proposal No. 15-12-01 34 tSUNNY I}rF, it/ --, o, NON - COLLUSION AFFIDAVIT ® i' — c • City of Sunny Isles Beach `//• 18070 Collins Avenue ® "v \Ira•' ++ Sunny Isles Beach,FL 33160 o.,u+' Telephone:(305)947-0606 Far.(305)949-3113 ® STATE OF FLORIDA ) ® COUNTY OF P1Mm-- an ) ® The undersigned being first duly sworn as provided by law,deposes,and says: ® This Affidavit is made with the knowledge and intent that it is to be filed with the City of Sunny Isles Beach City Commission and that it will be ® relied upon by said County.in any consideration which may give to and any action it may take with respect to this Bid. ® The undersigned is authorized to make this Affidavit on behalf of, ® Marcum LLP ® (Name of Corporation,Partnership,Individual,etc.) ® a. Partnership ,formed under the laws of Florida ® (Type of Business) (State) ® of which he is Partner ® (Sole Owner,Partner,President,etc.) ® Neither the undersigned nor any person, firm, or corporation named in above Paragraph 10.2, nor anyone else to the knowledge of the ® undersigned, have themselves solicited or employed anyone else to solicit favorable action for this Bid by the City, also that no head of any department or employee therein,or any officer of the City of Sunny Isles Beach,Florida is directly interested therein. ® This Bid is genuine and not collusive or a sham;the person,firm or corporation named above in Paragraph 10.2 has not colluded,conspired, ® connived or agreed directly or indirectly with any proposers or person, firm or corporation,to put in a sham Bid, or that such person,firm or corporation, shall refrain from Bidding,and has not in any manner, directly or indirectly,sought by agreement or collusion,or communication ® or conference with any person,firm or corporation,to fix the prices of said Bid or Bids of any other proposers;and all statements contained in the Bid or Bids described above true; and further; neither the undersigned, nor the person, firm or corporation named above in Paragraph ® 10.2,has directly or indirectly submitted said Bid or the contents thereof,or divulged information or data relative thereto,to any association or to any member or agent thereof. • ,�j� ® Michael D. Futterman 712.)210t— 21/"� Partner AFFIANTS NAME AFFIANTS TITLE / �1 TAKEN,SWORN AND SUBSCRIBED TO BEFORE ME this JO day of Dc��be2 ,20i5 Personalty Known y or Produced Identification • Type of identification ® (Affix seal here) is° ! � ® NOTARY • BLIC(name printed or typed) CO P„ `h poiyuale Plsana Pudic State of Florida ® a My Commission FF 087093 Apo, Expires 01/282018 ® DECEMBER 2a.2010 1 of 7 yVNN /t[F ®® LI�� qA�� PUBLIC ENTITY CRIMES�t 7 City of Sunny Isles Beach 18070 Collins Avenue {• ,,oa' Sunny Isles Beach.FL 33160 crr 'o. sun'��+` Telephone:(305)947-0606 Fax(305)949-3113 $ SWORN STATEMENT PURSUANT TO SECTION 287.133(3)(a) ® FLORIDA STATUTES, ON PUBLIC ENTITY CRIMES ® PUBLIC ENTITY CRIMES 410 ® Pursuant to the provisions of paragraph (2) (a) of Section 287.133, Florida State Statutes - "A person or affiliate who has been placed on the convicted vendor list following a conviction for a public entity crime may not submit a ® Bid on a Contract to provide any goods or services to a public entity, may not submit a Bid on a Contract with a public entity for the construction or repair of a public building or public Work, may not submit Bids on leases of ® real property to a public entity, may not be awarded to perform Work as a Contractor, supplier, Sub-Contractor, or Consultant under a Contract with any public entity, and may not transact business with any public entity in excess of the threshold amount Category Two of Sec. 287.017, FS for thirty six months from the date of being placed on ® the convicted vendor list". ® THIS FORM MUST BE SIGNED AND SWORN TO IN THE PRESENCE OF A NOTARY PUBLIC OR OTHER A OFFICIAL AUTHORIZED TO ADMINISTER OATHS. ® 11.1. This sworn statement is submitted to City of Sunny Isles Beach by Michael D. Futterman, Partner ® (print individual s name and title] for Marcum LLP ® (pmt name of entity submitting sworn statement) '® whose business address is: 1 SE 3rd Avenue, Suite 1100 ® Miami,FL 33131 ® and (if applicable) its Federal Employer Identification number(FEIN) is 11-1986323 (If the entity had no FEIN, include the Social Security Number of the individual signing this sworn ® statement: .) ® 11.2. I understand that a "public entity crime" as defined in Paragraph 287.133(1)(g), Florida Statutes, means a violation of any state or federal law by a person with respect to and directly related to the transaction of business with any public entity or with an agency or political subdivision of any other state or with the ® United States, including, but not limited to, any Bid or Contract for goods or services to be provided to any ® public entity or an agency or political subdivision of any other state of the United States and involving antitrust, fraud, theft, bribery, collusion, racketeering, conspiracy, or material misrepresentation. 11.3. I understand that "convicted" or"conviction" as defined in Para. 287.133(1)(b), Florida Statutes, means a ® finding of guilt or a conviction of a public entity crime, with or without an adjudication of guilt, in any ® federal or state trail court of record relating to charges brought by indictment or information after July 1, 1989, as a result of a jury verdict, non-jury trial, or entry of a plea of guilty or nolo contendere. 11.4. I understand that an "affiliate" as defined in Para. 287.133(1)(a), Florida Statutes, means: a.) predecessor or successor of a person convicted of a public entity crime; or ® b.) Any entity under the control of any natural person who is active in the management of the entity ® and who has been convicted of a public entity crime. The term "affiliate" includes those officers, directors, executors, partners, shareholders, employees, members, and agents who are active in ® the management of an affiliate. The ownership by one person of shares constituting a controlling ® interest in another person, or a pooling of equipment or income among persons when not for fair DECEMBER 28.2010 2 of 7 • market value under an arm's length agreement, shall be a prime facie case that one person ® controls another person. A person who knowingly enters into a joint venture with a person who ® has been convicted of a public entity crime in Florida during the preceding 36 months shall be considered an affiliate. • 11.5. I understand that a "person" as defined in Para. 287.133(1)(e), Florida Statutes, means any natural person or entity organized under the laws of any state or of the United States with the legal power to ® enter into a binding Contract and which Bids or applies to Bid on Contracts for the provision of goods or services let by a public entity, or which otherwise transacts or applies to transact business with a public ® entity. The term "persons" includes those officers, directors, executives, partners, shareholders, employees, members, and agents who are active in management of any entity. $ 11.6. Based on information and belief, the statement which I have marked below is true in relation to the entity submitting this sworn statement. (Indicate which statement applies.) • ® h Neither the entity submitting this sworn statement, nor any of it's officers, directors, executives, partners, shareholders, employees, members, or agents who are active in the management of the entity, nor any ® affiliate of the entity has been charged with and convicted of a public entity crime subsequent to July 1, ® 1989. 0 _ The entity submitting this sworn statement, or one or more of its officers, directors, executives, partners, shareholders, employees, members, or agents who are active in the management of the entity, or an $ affiliate of the entity has been charged with and convicted of a public entity crime subsequent to July 1, 1989. The entity submitting this sworn statement, or one or more of its officers, directors, executives, partners, shareholders, employees, members, or agents who are active in the management of the entity, or an ® affiliate of the entity has been charged with and convicted of a public entity crime subsequent to July 1, ® 1989. However, there has been a subsequent proceeding before a Hearing Officer of the State of Florida, Division of Administrative Hearings and the Final Order entered by the Hearing Officer of the ® State of Florida, Division of Administrative Hearings and the Final Order entered by the Hearing Officer • determined that it was not in the public interest to place the entity submitting this sworn statement on the convicted vendor list. (Attach a copy of the final order.) ® I UNDERSTAND THAT THE SUBMISSION OF THIS FORM TO THE CONTRACTING OFFICER FOR THE • PUBLIC ENTITY IDENTIFIED IN PARAGRAPH 11.1 (ONE)ABOVE IS FOR THAT PUBLIC ENTITY ONLY AND, THAT THIS FORM IS VALID THROUGH DECEMBER 31 OF THE CALENDAR YEAR IN WHICH IT IS FILED. I ® ALSO UNDERSTAND THAT I AM REQUIRED TO INFORM THE PUBLIC ENTITY PRIOR TO ENTERING INTO ® A CONTRACT IN EXCESS OF THE THRESHOLD AMOUNT PROVIDED IN SECTION 287.017, FLORIDA STATUTES, FOR CATEGORY TWO OF ANY, CHANGE IN THE INFORMATION CONTAINED IN THIS FORM. • By: P7 e (Signature) Michael D. Futterman • (Printed Name) Partner ® (Title) ® Sworn to and subscribed before me this 30 day of December , 20 , by ® Michael D. Futterman /oQQJ (AFFIX . , a0 ( ® ./ 7 •Notary Public State at Florida Pasquale Pisana Signature: Notary Public-State of Florida My-Commission FE 087093 ‘0,p.or Expces 01282018 S Print or Type Commissioned Name ® Personalty Known r✓ OR Produced Identification • Type of Identification Produced • 10/1998 3 of 7 • • NNT/5 ® P.:11 EQUAL OPPORTUNITY / • AFFIRMATIVE ACTION ` City of Sunny Isles Beach ,. ® ' o,,u,. 18070 Collins Avenue Sunny Isles Beach,FL 33160 Telephone:(305)947-0606 Fax(305)949-3113 ® EQUAL OPPORTUNITY/AFFIRMATIVE ACTION STATEMENT ® The contractors and all subcontractors hereby agree to a commitment to the principles and ® practices of equal opportunity in employment and to comply with the letter and spirit of • federal, state, and local laws and regulations prohibiting discrimination based on race, ® color, religion, national region, sex, age, handicap, marital status, and political affiliation or belief. aSigned: 71,/, 1`�L • Title: Partner • ® Firm: Marcum LLP • Address: 1 SE 3rd Avenue, Suite 1100 ® Miami, FL 33131 • • • A A A S ® DECEMBER28.2010 4 of 7 s a ® SUNnt r4rf . O* sO ® o1 �n CONFLICT OF INTEREST ® v(`— I1 'r Y City of Sunny Isles Beach "-- • 18070 Collins Avenue ® •'s of A %e 27. F s'': Sunny Isles Beach,FL 33160 or sew'w Telephone:(305)947-0606 Fax:(305)949-3113 0 ® CONFLICT OF INTEREST STATEMENT • The award of any contract hereunder is subject to the provisions of Chapter 112, Florida State Statutes. Proposers must disclose with their Bids, the name of any officer, director, partner, associate or agent who is also an officer or employee of the ® City of Sunny Isles Beach or its agencies. ® STATE OF FLORIDA COUNTY OF Miami-Dade ® BEFORE ME, the undersigned authority, personally appeared Michael D. Futterman , who was duly sworn, ® deposes, and states: ® 18.1. I am the Partner of ® Marcum LLP with a local office in Miami and principal office in New York ® 18.2. The above named entity is submitting a Bid for the City of Sunny Isles Beach, Bid No. 15-12-01 described ® as: Professional Auditing Services. The Affiant has made diligent inquiry and provides the information contained in this ® Affidavit based upon his own knowledge. ® 18.3 The Affiant states that only one submittal for the above Bid is being submitted and that the above named entity has no financial interest in other entities submitting Bids for the same project. • 18.4 Neither the Affiant nor the above named entity has directly or indirectly entered into any agreement, participated in ® any collusion, or otherwise taken any action in restraints of free competitive pricing in connection with the entity's submittal for the above Bid. This statement restricts the discussion of pricing data until the completion of negotiations if necessary and ® execution of the Contract for this project. ® 18.5 Neither the entity nor its affiliates, nor any one associated with them, is presently suspended or otherwise ineligible from ® participation in contract letting by any local, State, or Federal Agency. ® 18.6 Neither the entity, nor its affiliates, nor any one associated with them have any potential conflict of interest due to any other clients,contracts, or property interests for this project. ® 18.71 certify that no member of the entity's ownership or management is presently applying for any employee position or ® actively seeking an elected position with the City of Sunny Isles Beach. ® 18.8 I certify that no member of the entity's ownership or management, or staff has a vested interest in any aspect of the City ® of Sunny Isles Beach. ® 18.9 In the event that a conflict of interest is identified in the provision of services, I, on behalf of the above named entity, will immediately notify the City of Sunny Isles Beach. ® Dated t is 30 day of December 2015. ® AFFIA T Print or Type Name and Title to and subscribed before me this 30day of AC" Irait , 2015. 411 SwoI Personally Known OR 0 Produced Identification ;Type oinfificafion ® NOTARY PUBLIC STATE OF FLORIDA /• V v • f o s4% 'Notary Public Star of FMrioa Pasquale Pisana to. s,0 My Commission FF 087093 ^ipr wd Expires 01/2812018 0 DECEYBER28,2010 5 of 7 • • O SUH N ,44F. • 0-Jr, DISPUTE DISCLOSURE City of Sunny Isles Beach l'® 18070 Collins Avenue Beach,• '•o Sunny Isles BeaFl 33160 ® ' o.,0n' �, Telephone:(305)947-0606 Far.(305)949-3113 A ® DISPUTE DISCLOSURE FORM ® Answer the following questions by placing a "X" after "Yes" or "No". If you answer "Yes", please A explain in the space provided, or on a separate sheet attached to this form. ® 19.1. Has your firm or any of its officers, received a reprimand of any nature or been suspended by the 0 Department of Professional Regulations or any other regulatory agency or professional associations within the last five (5)years? ® YES NO X d ® 19.2. Has your firm, or any member of your firm, been declared in default, terminated or removed from a contract or job related to the services your firm provides in the regular course of business within the last five (5) ® years? ® YES NO X A • 19.3. Has your firm had against it or filed any requests for equitable adjustment, contract claims, Bid protests, A or litigation in the past five (5) years that is related to the services your firm provides in the regular course of business? ® YES NO X If yes, state the nature of the request for equitable adjustment, contract claim, litigation, or protest, and state a brief description of the case, the outcome or status of the suit and the ® monetary amounts of extended contract time involved. • ® I hereby certify that all statements made are true and agree and understand that any misstatement or 0 misrepresentation of falsification of facts shall be cause for forfeiture of rights for further consideration of this Bid for the City of Sunny Isles Beach. ® Marcum LLP December 30, 2015 • Firm Date • i Michael D. Futterman • Authorized Signature Print or Type Name and Title • • • S DECEMBER 213,2010 6 of 7 suSNr 1St, . ' 1. oANTI - KICKBACK 0 City of Sunny Isles Beach 18070 Collins Avenue rte J,•r1otr0 a+ Sunny Isles Beach,FL 33160 o.sus'� Telephone:(305)947-0606 Fax(305)949-3113 ANTI-KICKBACK AFFIDAVIT ® STATE OF FLORIDA ) ® COUNTY OF Miami-Dade ) ® I, the undersigned, hereby duly sworn and deposed say that no portion of this sum herein Bid ® will be paid to any employees of the City of Sunny Isles Beach or its elected officials as a ® commission, kickback, reward or gift, directly or indirectly by me or any member of my firm or by an officer of the corporation. ® By: Michael D. Futterman N. 7.02e- Title: + _Title: Partner 0 ® The foregoing instrument was acknowledged before me this 30 day of December , 20 15 by Michael D. Futterman [name of person], as "RIME 4 [type of authority], for ® Marcum LLP _ [name of party on behalf of whom instrument was ® executed]. A AFFIX NOTARY STAMP HERE: ® �„o,,,, NotaryPuWicSlafeofFlorida No Public — State of rida ® Pasquale Pisana y j M9 Canrtussbn FF 087093 .._ 7 ® p^rl E>'.pras 012811019 e Print or ype Commi Toned Name 00 Personally Known (/ OR Produced Identification Type of Identification Produced 0 0 0 0 0 0 • ® DECEMBER 28.2010 7 of 7 0 0 W# A: •A • " 0 O 0 APPENDIX A °o PEEL .REVDI W R POO QY' 0 0 • • • • • • • • • • • • • • • • • • • • • • • • • www.marcumllp.com a Page 53 • • • • • BROWNEDWARDS • certified public annutvnnts • 0 0 • System Review Report • • To the Partners of Marcum LLP • and the National Peer Review Committee • We have reviewed the system of quality control kit the accounting and auditing practice of • Marcum LLP (the "firm") applicable to engagements not subject to PCAOB permanent inspection in • effect for the year ended April 30, 2014. Our peer review was conducted in accordance with the Standards for Performing and Repotting on Peet Reviews established by the Peer Review Board of the • American Institute of Certified Public Accountants. As part of our peer review, we considered'reviews • by regulatory entities, if applicable, in determining the nature and extent of our procedures. The firm is • responsible for designing a system of quality control and complying with it to provide the firm reasonable assurance of performing and reporting in conformity with applicable professional standards • in all material respects. Our responsibility is to express an opinion on the design of the system of • quality control and the firm's compliance therewith based on our review. The nature, objectives, scope, limitations of, and the procedures performed in a System Review are described in the standards at • www.aicpa.org/prsummary. • • As required by the standards,engagements selected for review included engagements performed under Government Auditing Standards; audits of employee benefit plans, and examinations of service • organizations [Service Organizations Control (SOC) I and 2 engagements]. • In our opinion,the system of quality control for the accounting and auditing practice of Marcum • LLP applicable to engagements not subject to PCAOB permanent inspection in effect for the year ended • April 30, 2014, has been suitably designed and complied with to provide the firm with 'reasonable • assurance of performing and reporting in conformity with applicable professional standards in all material respects. Firms can receive a rating of pass, pass with deficiency(its), or fail. Marcum LLP • has received a peer review rating of pass. • • CERTIFIED PUBLIC ACCOUNTANTS • Roanoke, Virginia • August 27, 2014 • • • • • • • Your Success is Our Focus • 319 McClanahan Street,S.W.•P.O.Box 12388•Roanoke,VA 24025-2388.540-345-0936•Far 540-342-6181•www.BEcpas.com • 44 41 • ` 3 A 3F y •E"._ � �� o 'fr o ±e o APPENDIX B o SAMPLE, IMM] A [ A C CMIflT o • • • • • • • • • • • • • • • • • • • • • • • • www.marcumllp.com a Page 55 • • • • MARCUM • • ACCOUNTANTS S ADVISORS • • March 28. 2014 • • • To the Board of Trustees and Plan Administrator Village of Key Biscayne Police & Firefighters Retirement Plan • Key Biscayne. Florida • • In planning and performing our audit of the financial statements of the Village of Key Biscayne. • Florida (the Village), which includes the Village of Key Biscayne Police & Firefighters Retirement • Plan's (the Plan) financial statements as of and for the year ended September 30, 2013, in • accordance with auditing standards generally accepted in the United States of America and Government Auditing Standards, issued by the Comptroller General of the United States, we • considered the Village's and Plan's internal control over financial reporting (internal control) as a • basis for designing auditing procedures that are appropriate in the circumstances for the purpose of • expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the Village's or Plan's internal control. Accordingly, we do not • express an opinion on the effectiveness of the Village's or Plan's internal control. • However, during our audit we became aware of several matters that are opportunities for • strengthening internal controls and operating efficiency. The matters identified below • summarize our observations and recommendations. This letter does not affect our report dated • March 28. 2014. on the financial statements of Village. • MLC 2013—I:Authorized Plan Investments • • Observation: During our audit we tested compliance with the types of investments allowed by the Plan's investment policy. We noted that the Plan was invested in a private equity • investment (alternative investment) which was listed as a prohibited investment type in the • Plan's investment policy. • Recommendation: In order to maintain compliance with their investment policy, we • recommend that the Board only invest in investments explicitly allowed by the investment • policy, or revise the investment policy accordingly in a timely manner to accommodate the • types of investment vehicles the Board would like to invest in. • MLC 2013—2: Valuation of Alternative Investments Observation: Currently, the Board invests a small percentage of the portfolio in a private • equity instrument (alternative investment) that does not have actively traded market value. • During our audit we noted administration relies solely on the fair value reported by the • • • • Eine Ern LF • Marcum LLP • One Southeast Third Avenue • 16th Floor • Miami,Florida 33131 • Phone 305.995.9600 • Fax 305.995.9601 • www.marcumllp.com • • • • • • • • To the Board of Trustees and Plan Administrator Village of Key Biscayne Police & Firefighters Retirement Plan • March 28. 2014 • Page 2 • • investment manager and/or investment advisor when determining the fair value of alternative • investments held by the Plan. Administration of the Plan is responsible for the valuation of ® alternative investments and for reporting the fair value at September 30 of each year. As part of fulfilling its responsibility, administration should have an established process for • determining fair value, select appropriate valuation methods, identify and adequately support • any significant assumptions used, prepare the valuation, and ensure that the valuation results • are presented in conformity with accounting principles generally accepted in the United States of America. While administration may look to the fund manager for the mechanics of • the valuation, administration must have sufficient information to evaluate and independently • challenee the fund's valuation. • Recommendation: We recommend that administration, if they intend to invest in alternative • investments, implement ongoing monitoring controls over the valuation of alternative • investments in order to ensure that the plan's alternative investments are reported in the financial statements at amounts in accordance with the Village's stated accounting policies. • The process and controls should include having sufficient understanding of the nature of the • underlying investments, the portfolio strategy of the alternative investments, and the method • and significant assumptions used by the fund manager to value the underlying investments. Some of this can be accomplished by obtaining, maintaining and reading the latest audited • financial statements on the investment and by obtaining, maintaining and reviewing the • investee quarterly reports, especially for the quarter ended September 30 to ensure • consistency of measurement methods for developing fair value. This can also be accomplished with conversations with the investment manager or advisor once the • documents are obtained and reviewed but the responsibility still rests with administration. • • MLC 2013—3: Recordkeeping of the Share and DROP Accounts • Observation: We were informed by the Plan that based on the Plan documents and fiduciary • responsibilities, the Share and DROP assets and liabilities and operations should be included • in the financial statements of the Village of Key Biscayne's Police & Firefighters' Retirement Plan. During our audit it was difficult to obtain underlying accounting records of • the Share and DROP plan's activity as this information is held by a different • recordkeeper/third party administrator. • Recommendation: We recommend that, at a minimum, that the annual accounting for the • Plan include the Share and DROP activity. This can be accomplished by establishing • policies and procedures for reconciling custodian records to include the Share and DROP plans in the Plans accounting records at fiscal year end in order for them to be included in the • audited financial statements. • • • • • • • • • • • • To the Board of Trustees and Plan Administrator Village of Key Biscayne Police & Firefighters Retirement Plan • March 28. 2014 • Page 3 • • We will review the status of these observations during our next audit engagement. We have • already discussed these observations and recommendations with various personnel of the Village • and the Plan. and we will be pleased to discuss them in further detail at your convenience, to perform any additional study of these matters. or to assist you in implementing the • recommendations. • This communication is intended solely for the information and use of the Board of Trustees. the administrator and others within the organization, and is not intended to be, and should not be, used by anyone other than these specified parties. • Very truly yours. • • 4. LLP • • Marcum LLP • • • • • • • • • a a • • a • a • • • a • • • • • • • TOWN OF SURFSIDE, FLORIDA ® SCHEDULE OF FINDINGS AND QUESTIONED COSTS • ® FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2014 • • SECTION II —FINANCIAL STATEMENT FINDINGS • • MATERIAL WEAKNESS • 2013-001 Review and Recording of Financial Transactions • • Criteria • Prudent policies include a formal review and reconciliation during the year and during the closing • process with supervisory Finance Department personnel being responsible for the review of • transactions and balances recorded. Timeliness of closing procedures is crucial to proving accurate accounting data and financial information including interim and year-end financial statements. • • Condition • During the course of our audit procedures there were numerous auditor adjusting journal entries • proposed to correct account balances such as to recognize accounts receivable and deferred inflows • for parking contracts which called for future payments. to remove old payable/receivable balances which were no longer applicable in the current year but rolled forward from prior year, to record • current year activity for capital assets for enterprise funds, to properly accrue the Town's payroll • liability at year-end, and to transfer the completed water project from construction-in-progress to • in-service capital assets. In addition, some schedules requested in our initial planning letter were ® not readily available at the commencement of our audit engagement. • Cause ® There is a lack of internal review over the reconciliation and closing process. • • Effect • The general ledger, which are the books and records used to prepare the financial statements • needed to be adjusted throughout the audit process. • ® Recommendation • We recommend a detailed general ledger account analysis of all accounts be performed on a • monthly or quarterly basis in a timely manner to ensure accuracy and completeness of account ® balances. These analyses should be reviewed by supervisory Finance Department staff to ensure accurate recording of transactions. We further recommend that personnel responsible for the • books and records and approval of journal entries consult with their auditors or others for • unusual or difficult to record transactions especially given the complexities associated with the ® accounting standards. • • 110 • a • • • • TOWN OF SURFSIDE, FLORIDA • SCHEDULE OF FINDINGS AND QUESTIONED COSTS • • FOR THE FISCAL YEAR ENDED SEPTEMBER 30,2014 • • SECTION II—FINANCIAL STATEMENT FINDINGS (CONTINUED) • • MA TERIAL WEAKNESS(CONTINUED) • 2013-001 Review and Recording of Financial Transactions (continued) • • Views of Responsible Officials and Planned Corrective Actions • A detailed general ledger account analysis will be performed on a quarterly basis by supervisory • staff to ensure accuracy and completeness of account balances. Finance personnel responsible • for preparing journal entries will seek the advice and consult with supervisory Finance Department staff or the auditors for guidance should any complex or unusual transactions occur • during the fiscal year. • ® 2014-001 Bank Reconciliations • Criteria • ® Prudent practice would dictate that a formal bank reconciliation be performed each month prior to the end of the following with the appropriate review and sign off as evidence of the • completeness, the accuracy and timeliness of the reconciliation. Review of the monthly bank • reconciliations reduces the risk that errors. fraud or misuse of funds could go undetected and/or ® uncorrected. • Condition • During our audit of the fiscal year ended September 30, 2014, we selected 3 months of bank • reconciliations for the Town's pooled cash bank account. The audit disclosed that the bank • reconciliations did not contain evidence of review or the date they were prepared. Based on • further inquiry, we noted that the bank reconciliations are not reviewed after being prepared by the Controller. • • Cause • Proper supervision needs to be conducted over the bank reconciliation process • • Effect • Without bank reconciliations being reviewed timely for accuracy and completeness, the Town • would not know if the cash position is accurate and whether or not there were errors, fraud or • misuse of funds. • • • Ill • • • • • • TOWN OF SURFSIDE, FLORIDA • SCHEDULE OF FINDINGS AND QUESTIONED COSTS • • FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2014 • • SECTION II—FINANCIAL STATEMENT FINDINGS (CONTINUED) • • MATERIAL WEAKNESS(CONTINUED) • 2014-001 Bank Reconciliations (continued) • • Recommendation • We strongly recommend the Town implements internal controls associated with the review of • bank reconciliations that will ensure reconciliations are reviewed on a monthly basis evidenced ® by the signature and date of both the preparer and reviewer. Monthly bank reconciliations must be reviewed within 30 days of the month end to ensure accuracy and completeness of cash • balances reported by the Town. • • Views of Responsible Officials and Planned Corrective Actions • The monthly bank reconciliation form will be amended to include the name and date of the • Finance personnel responsible for the preparation of bank reconciliation and the name and date ® of the supervisory personnel responsible for the review of the bank reconciliation. • • SECTION III—STATE PROJECTS FINDINGS AND QUESTIONED COSTS • None. • • • • • • • • • • • • • • • • 112 • • • • • CITY OF HALLANDALE BEACH, FLORIDA • SCHEDULE OF FINDINGS AND QUESTIONED COSTS • FOR THE YEAR ENDED SEPTEMBER 30, 2014 • • • SECTION II-FINANCIAL STATEMENT FINDINGS • Material Weaknesses • • 2014-001 Internal control over financial close and reporting • Criteria • • Prudent policies include a formal closing process with supervisory Finance Department • personnel being responsible for the review of transactions and balances recorded — this includes implementing a year-end closing checklist assigning responsibility for completing the procedures • to specific City personnel. Timeliness of closing procedures is crucial to providing accurate • accounting data and financial information including interim and year-end financial statements. • Condition • • During the course of our audit procedures there were numerous material auditor adjusting journal • entries proposed to correct account balances for areas such as administrative charges, due to the ® Hallandale Beach Community Redevelopment Agency (CRA), due from other governments, retainage payable, and expenditures recorded in the grant fund to properly account for the • activity of the Hazard Mitigation Grant. Accounts payable in the Sewer fund was also adjusted • due to an overstatement and a prior period adjustment was recorded in that fund to correct the • treatment of a credit due to the City. In addition, in many instances, schedules requested in our initial planning letter were not readily available at the commencement of our audit engagement: • and/or not accurate and reconciled to the general ledger; some reconciliations for the closing • process were not performed. The result was delay in producing financial reports needed by • management and the auditors whereby the auditors had to propose entries and assist the City to • adjust schedules that City personnel initially prepared. • Cause • Lack of adequate internal controls and a sufficient/timely closing process and development of • formal year-end closing procedures. • • Effect • Multiple account balances were not properly stated prior to performing their necessary closing • procedures causing the auditors to incur a significant amount of time proposing entries and • assisting the City in adjusting schedules that City personnel did not prepare accurately. This also • caused delays in completing the audit and preparation of the City's financial statements. • 0 • 10 • • • • • CITY OF HALLANDALE BEACH, FLORIDA • • SCHEDULE OF FINDINGS AND QUESTIONED COSTS • FOR THE YEAR ENDED SEPTEMBER 30, 2014 • • • SECTION H-FINANCIAL STATEMENT FINDINGS (CONTINUED) • Material Weaknesses (continued) • • 2014-001 Internal control over financial close and reporting (continued) • Recommendation • • We recommend a detailed general ledger account analysis of all accounts be performed on a • monthly or quarterly basis (in a timely manner) and reviewed by supervisory Finance Department staff to ensure accurate recording of transactions. Finance Department supervisory • personnel should also perform an analytical review of account balances with the prior year and • /or budget balances prior to closing the books and records to facilitate determining if significant • variances exist, the reasons that support the variance, and if any adjustments are required. We ® believe that the year-end closing could be expedited by developing a logical order for closing procedures dictated by a checklist and assigning responsibility for completing the procedures to • specific City personnel. We further recommend that City personnel responsible for the books • and records and approval of journal entries consult with their auditors in a timely manner or • others for unusual or difficult to record transactions prior to recording in the City's books and records especially given the complexities associated with the accounting standards. • • Views of Responsible Officials and Planned Corrective Action • Several changes to the annual closing process are being put in place. The Finance Department • will ensure that the closing process is done on a monthly basis in our accounting software and • reconcile the general accounts as well as the funds. This will allow the Associate Controller to • perform various analytical reviews to address significant variances in a timely manner. The • Finance staff is also is currently working with other municipalities to create an accounting manual that will outline the monthly and yearly closing processes in our accounting software. • Finally. staff will be working on the audit schedules provided by client on a quarterly basis ® instead of creating them at year-end for the audit. This new procedure will give our finance staff ® time to complete the schedules throughout the year which will be updated for the audit. • The monthly, quarterly and annual processes and audit schedules will be assigned and reviewed • by the Associate Controller to ensure that they are completed in a timely manner and all ® transactions are recorded accurately to avoid audit adjustments. • In case of complex accounting issues, the Chief Financial Officer will be involved as well as the • external auditors to provide guidance for the best possible scenario. • 0 • 0 11 • 0 0 0 ® TOWN OF SURFSIDE, FLORIDA ® SCHEDULE OF FINDINGS AND QUESTIONED COSTS ® FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2014 0 ® SECTION II —FINANCIAL STATEMENT FINDINGS (CONTINUED) 0 ® MATERL4L WEAKNESS(CONTINUED) 0 2013-001 Review and Recording of Financial Transactions (continued) 0 • Views of Responsible Officials and Planned Corrective Actions o A detailed general ledger account analysis will be performed on a quarterly basis by supervisory • staff to ensure accuracy and completeness of account balances. Finance personnel responsible for preparing journal entries will seek the advice and consult with supervisory Finance Department staff or the auditors for guidance should any complex or unusual transactions occur • during the fiscal year. 0 O 2014-001 Bank Reconciliations • Criteria 0 ® Prudent practice would dictate that a formal bank reconciliation be performed each month prior to the end of the following with the appropriate review and sign off as evidence of the o completeness, the accuracy and timeliness of the reconciliation. Review of the monthly bank o reconciliations reduces the risk that errors, fraud or misuse of funds could go undetected and/or ® uncorrected. • Condition • During our audit of the fiscal year ended September 30. 2014, we selected 3 months of bank reconciliations for the Town's pooled cash bank account. The audit disclosed that the bank • reconciliations did not contain evidence of review or the date they were prepared. Based on ® further inquiry, we noted that the bank reconciliations are not reviewed after being prepared by ® the Controller. o Cause ® Proper supervision needs to be conducted over the bank reconciliation process ® Effect o Without bank reconciliations being reviewed timely for accuracy and completeness, the Town • would not know if the cash position is accurate and whether or not there were errors, fraud or • misuse of funds. 0 0 O 111 0 0 • • • CITY OF HALLANDALE BEACH, FLORIDA • • SCHEDULE OF FINDINGS AND QUESTIONED COSTS • FOR THE YEAR ENDED SEPTEMBER 30, 2014 • • • SECTION II-FINANCIAL STATEMENT FINDINGS(CONTINUED) • Material Weaknesses (continued) • • 2014-002 Bank Reconciliations (continued) ® Views of Responsible Officials and Planned Corrective Action • • Formal bank reconciliation policy/procedures have been put in place. The reconciliations will be • completed by the 20th of the following month on all accounts. Once completed, reconciliations will be reviewed and signed off by the Associate Controller and then reviewed and signed off by • the CFO. Entries that need to be made that month will also be completed by the 20th and • reviewed for accuracy and input prior to month end. This procedure will result in timeliness, • accurate and completeness of all bath reconciliations. • Furthermore, the City will be bringing resources during the summer and fall to assist with all • pending bank reconciliations and to document the processes. This will assist staff in getting • caught up with all reconciliations and to be in a better position for next year's audit. • 2014-003 Grant Administration • ® Criteria In accordance with the agreement entered into by the City of Hallandale Beach. Florida (the • City) and the State of Florida Division of Emergency Management (the Division), the Hazard • Mitigation Grant expenditures require a 25% local share. • Condition • The expenditures reported in the Hallandale Beach Community Redevelopment Agency (CRA) • for the Hazard Mitigation Grant project should only be those funding the City's 25% match • requirement as stipulated by the grant agreement. The remaining 75% of the expenditures should be reported in the Grant Administration Fund and consequently presented on the • Schedule of Expenditures of Federal Awards (SEFA). During our audit we identified a • misallocation of program expenditures between the CRA and the Grant Administration Fund in the amount of approximately 5422.000. thus causing the SEFA to be inaccurate. The SEFA is used to determine the extent of testing required under the Federal Single Audit Act (OMB • Circular A-133). 0 • 0 0 13 0 • • • • CITY OF HALLANDALE BEACH, FLORIDA • • SCHEDULE OF FINDINGS AND QUESTIONED COSTS • FOR THE YEAR ENDED SEPTEMBER 30, 2014 • • • SECTION II-FINANCIAL STATEMENT FINDINGS(CONTINUED) • Material Weaknesses (continued) • ® 1014-003 Grant Administration (continued) ® Cause • • Lack of communication between the finance department and program managers to ensure they • adhere to accounting policies related to compliance and financial reporting standards and lack of • a reconciliation and review process by the Finance Department of grant activity tracking schedules prepared by program managers. • • Effect • The expenditures reported on the SEFA were understated by approximately $422,000 (see page • 5 and noncompliance finding number 2014-004). The grant was not properly administered and • accounted for and not in compliance with terms stipulated by the granting agencies which ® ultimately may result in loss of funding. In addition, with the SEFA not being accurate, an improper determination by the auditor of major programs is at risk. • • Recommendation • We recommend that the Finance Department implement centralized financial controls and • procedures to ensure that information reported to the grantor is accurate, complete, agrees to the • underlying records and is prepared in accordance with OMB Circular A-133. ® Views of Responsible Officials and Planned Corrective Action • Acknowledged. Grant administration and review to ensure accounting policies compliance and • financial reporting is a function of the Finance Department. Due to staff turnover, the current • skeleton staff in Finance was unable to reconcile and review the grants as required in a timely manner. The periodic review and reporting process was left to the program managers whose • grants are located in several departments throughout the City. The Finance Department has • requested a.Senior Accountant position in the next budget cycle. One of the major duties of the • Senior Accountant will be to ensure that information reported to the grantor by the program managers is accurate. timely and in compliance with the grant agreement. This review process • by the Senior Accountant and the program managers shall be done on a quarterly basis, or more • often if needed, thereby addressing any issues or adjustments throughout the year before the • year-end audit. • • • 14 • • • • • CITY OF HALLANDALE BEACH, FLORIDA • • SCHEDULE OF FINDINGS AND QUESTIONED COSTS • FOR THE YEAR ENDED SEPTEMBER 30, 2014 • • ® SECTION II-FINANCIAL STATEMENT FINDINGS(CONTINUED) • Material Weaknesses (continued) • • 2014-003 Grant Administration (continued) • Views of Responsible Officials and Planned Corrective Action (continued) • • In addition, the need to train program managers on the accounting policies related to compliance, ® as well as the use of the financial modules is duly noticed. Accordingly, training for all program managers is scheduled to take place to facilitate a better understanding of the grant process as it • relates to financial reporting. • ® SECTION III-FEDERAL AWARDS FINDINGS AND QUESTIONED COSTS • Noncompliance e2014-004 Internal Control Over Preparation of the SEFA • Criteria • ® OMB Circular A-133 requires that the schedule of expenditures of federal awards (SEFA) agree or be reconciled to the financial statements and that the SEFA should be accurately prepared. • • Condition ® During our audit we identified a misallocation of program expenditures between the Hallandale Beach Community Redevelopment Agency (which accounts for the 25% local share match • requirement and should not be included on the SEFA) and the Grant Administration Fund (which • accounts for the activity associated with the 75% federal share that should be included on the • SEFA) in the amount of approximately $422.000. thus causing the SEFA to be inaccurate. • Cause 0 Lack of adequate internal control over compliance due to inadequate communication between the finance department and the program manager. • • Effect The expenditures reported on the SEFA were understated by approximately $422,000 which • could have resulted in non-compliance with OMB Circular A-133 had it not been identified by • the auditor (see grant administration finding number 2014-003). • 15 • • • • • CITY OF HALLANDALE BEACH, FLORIDA • • SCHEDULE OF FINDINGS AND QUESTIONED COSTS • FOR THE YEAR ENDED SEPTEMBER 30, 2014 • • • SECTION III-FEDERAL AWARDS FINDINGS AND QUESTIONED COSTS(CONTINUED) • Noncompliance (continued) • • 2014-004 Internal Control Over Preparation of the SEFA (continued) • Recommendation • • We recommend that the Finance Department implement centralized financial controls and • procedures to ensure communication and reconciliation with program managers and that information reported to the grantor is accurate, complete, agrees to the underlying records and is ® prepared in accordance with OMB Circular A-133. • • • Views of Responsible Officials and Planned Corrective Action • Grant administration and review to ensure accounting policies compliance and financial • reporting is a function of the Finance Department. Due to staff turnover. the current skeleton • staff in Finance was unable to reconcile and review the grants as required in a timely manner. ® The periodic review and reporting process was left to the program managers whose grants are located in several departments throughout the City. The Finance Department has requested a • Senior Accountant position in the next budget cycle. One of the major duties of the Senior • Accountant will be to ensure that information reported to the grantor by the program managers is ® accurate, timely and in compliance with the grant agreement. This review process by the Senior Accountant and the program managers shall be done on a quarterly basis, or more often if • needed, thereby addressing any issues or adjustments throughout the year before the year-end • audit. Currently, the City has hired a consultant to review the grants until the Senior Accountant • is hired. • In addition, the need to train program managers on the accounting policies related to compliance, • as well as the use of the financial modules is duly noticed. Accordingly. training for all program • managers is scheduled to take place before the end of the current fiscal year to facilitate a better ® understanding of the grant process as it relates to financial reporting. • 0 0 0 • • • • ® 16 • • erg. A 'i:t • y y t 4:. O , F 0 t. - OAPPENDIX C O 0 LOCAL B US U S I SS TQX O A N ID fUR -MM LDCENSE 0 / • • • • • • • • • • • • • • • • • • • • • • • • • www.marcumllp.com o Page 69 • 0 • • • r�p� ® STATE OF FLORIDA # +4^ DEPARTMENT OF BUSINESS AND PROFESSIONAL REGULATION . L st ® :- _p/ BOARD OF ACCOUNTANCY (850) 487-1395 0 � 240 NW 76TH DRIVE. SUITE A Ws: • GAINESVILLE FL 32607 • O • MARCUM LLP 10 MELVILLE PARK ROAD • MELVILLE NY 11747 • • • • Congratulations: With this license you become one of the nearly • one million Floridians licensed by the Department of Business and A,',14:::::, STATE OF FLORIDA Professional Regu:ation. Our professionals and businesses ranee ', t DEPARTMENT OF BUSINESS AND from architects to yacht brokers. from boxers to basbeque restaurants, ® PROF SSIONAL REGULATION and they keep Florida's economy strong. - _ • -S AD63249 'I - SSUE _ D • 12/29,2013 Every day we work to improve the way we do business in order to • serve you better. For information about our services,please loo onto - • ACCOUNTANCYCORPOR JION; www.mytloridalicense.com. There you can find more information. - ;AARC''' LLP • about our aivisions and the regulations that impact you, subscribe to department newsletters and learn more about the Department's _ - ® initiatives. Our mission at the Department is: License Efficiently;Regulate Fairly. - ® We constantly strive to serve you better so that you can serve your IS tCENseo once: tt.e pn: rsione cr CN.n 75 FS ® customers, Thank you for doing business in Florida, s u,- M1a.cr , , „ e3o1a and congratulations on your new license' _ • . • 1all, The Department of State is beading the commemoration of Florida's 500th anniversary in 2013. ® For more information, please go to vrww.VivaFlcrida,org. ilii 1;=1 - - DETACH HERE ® . _ .. _ . . . . . .. . . . . . . ... . .. • RICK SCOTT, GOVERNOR STATE OF FLORIDA KEN LAWSON. SECRETARY DEPARTMENT OF BUSINESS AND PROFESSIONAL REGULATION •• ®® BOARD OF ACCOUNTANCY w .13 p , 'LICENSE HUNEI!13_ • _.,�__- v 1 r�•;:.. i The ACCOUNTANCY CORPORATION =1},•. ; Named below IS LICENSED prix i ® Under the provisions of Chapter 473 ES. Expiration date: DEC 31. 2015 • • MARCUM LLP • 7384 HAVILAND CIRCLE BOYNTON BEACH FL 33437 • _ : • ,. .- .I atO111.�kriii • . . . . ISSUED: 12129,2013 SED 4 u3;2290001397 • DISPLAY AS REQUIRED BY LAW • MIAMI-DADE COUNTY - STATE OF FLORIDA N/A December 21,2015 IAMI-D ,oulrrY LOCAL BUSINESS TAX RENEWAL 4319563 2015 -2016 APPLICATION RECEIPT:3458270 STATE# DBA/BUSINESS NAME: BUS.COMMENCEMENT DATE:02/01/1995 QAARCUM LLP SEC TYPE OF BUSINESS � USINESS LOCATION: ASS PAJCORP/PARTNERSHIP/FIRM SE 3 AVE. 10FL 77 OA1AMI,FL 33131 431)WNERICORP. APPLICATION DETAILS MARCUM LLP FEE AMOUNT ®PHONE# 305-995-9600 Receipt Fee 231.00 • DMSA Fee 0.00 SIAM!,SE 3 AVE 10TH FLOOR Beacon Council Fee 115.50 SIAM!,FL 33131 Bingo Permit Fee 0.00 A Nightclub Permit Fee 0.00 • Multi-Municipal Contractor Fee 0.00 O Restricted Contractor Fee 0.00 Library Fee 0.00 �AICS CODE: 813920 Transfer Fee 0.00 Doing Business without a License Penalty 0.00 ® Late Penalty 0.00 ✓ Collection Cost 0.00 NSF Fee 0.00 • Prior Years Due 0.00 • Amount Recently Paid - 346.50 ® TOTAL AMOUNT DUE: 0.00 Of no longer in business,please notify us in writing. To pay online go to www,miamidade,00v/taXcollector iteview and correct the information shown on this application. To pay by mail, make check payable to: ® Miami-Dade County Tait Collector w25%penalty will be assessed to anyone found operating Business Tax ithout a paid local business tax,in addition to any other 200 NW 2nd Avenue ®enalty provided by law or ordinance(Sec 8A-176(2)). Miami FL 33128 O To pay in peison go to: *Certificate of Use and/or City Business Tax 200 NW 2nd Avenue Jeceipt may also be required. (305)2704949,fax(305)372-6368 A service fee of not less than 525.00 up to a minimum of 5% s will be charged for ali returned checks. 0 t RETAIN FOR.YOUR RECORDS t NIAMI-DADE COUNTY - 4 DETACH HERE AND RETURN THIS PORTION WTTH YOUR PAYMENT 1 N/A December 21,2015 (STATE-OF FLORIDA ♦OCAL BUSINESS TAX r Tiro RECEWAL NRO15 -2016 APPLICATION I JRECEIPT:3458270 5319563 ��Iu .L l _ _ STATE# BUSINESS LOCATION: OSE 3 AVE 10FL MIAMI,FL 33131 BUS.COMMENCEMENT DATE:02/01/1995 • SEC TYPE OE BUSINESS apWNER/CORP. ASS PA/CORP/PARTNERSHIP/FIRM WANu.Ym LLP 77 APPICATION IS HEREBY MADE FOR A LOCAL BUSINESS TM RECEIPT OR PERMIT FOR THE.BUSINESS PROFESSION ® OR OCCUPATION DESCRIBED HEREON.I HAVE BEEN WORMED OF ALL ZONING RESTRICTIONS IMPOSED ON THIS REfEWT. I SWEAR TINT THE PIFORIAA1O4 IS TRUE AND CORRECT. a MARCUM LLP iiiJEFFREY M WEINER PRES 1 SE 3 AVE 10TH FLOOR SIGNATURE REQUIRED SEE INSTRUCTIONS ABOVE Please pay only one amount.The amounts due after Sept 30th include penalties MIAMI,FL 33131 - ® per FS 205.053. if Received By Dec 31,2015 Jan 31,2016 Feb 29,2016 Mar 31,2016 • Please Pay $0.00 $0.00 50.00 50.00 0 70000000000000000000000034582702016000000346501700000000003 • ........ • • • • • to • • • • • • • e{]�.4Sls,'b'N.,X.j�'.1�'>$IYi it.a„cx4s+1r4.ye3,E'-£-'i.'..siSnT'F.5l<�r.4T't",F�>r"">'��-7Ti y�„Iw.'a+�tevl�.�C.2l�.�Il'::r''-��M�4'YCeI'.�C.iry ii�."W�'OoJ3(.'J's-tf�>j��f n.',�1 \hxa.a o e �-i "Z.ssem-s*.r fa•Y.k.., `1�.♦- .,..�reitomd>sp"'rsSTf..4yY ; pip,la ?g' r�x;3' WAVY n• " > t :-P •-4S1-2 �• \ 1.1.11-k-.7-1114":4' u SL ' et'A hT" • � •--re-5;! f"J� I 0 A I� µ � /ySy VaQ• a 4 { >Ji- I25_.V�Caa y :It2'�t 6�tof y xY�b N `at$ t.Vtti - ltLx_er3C. {__�0 4 r}• =4-sc s/ L. * iz020 a.-krS+a+Oy L4 '2.1 3 -Ic® • • ' - • _rc 3F,,E,J,.t,. ,yf i. iFs c. � fz,E- 7 vi t- r •ate,. f' 3 -r,YJ �z- `-..ti c. .# FS r,� t.7-(� U 'c f r tt ® � w 3 '+-. ..tLL E'. 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THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE CONVERAGE AFFORDED BY THE POLICIES • BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER,AND THE CERTIFICATE HOLDER. • IMPORTANT: If the certificate holder Is an ADDITIONAL INSURED,the policy(las)must ba endorsed.If SUBROGATION IS WAIVED,subject to the • terms and conditions of the policy, certain policies may require en endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). e PRODUCER =NWT Pace Professional Services, Ltd. • 585 Stewart Avenue, Suite 600 CW.O. ° WC.MY Garden City,NY 11530 1°Of¢a" INSURER(S)AFFORDING COVERAGE WUC e mateem,�.� Swiss Re International SE B Marcum LLP eq"'"e e 10 Melville Park Road 960`W" Melville,NY 11747 's`''sROt • *CLAIM e INSURSI It: • COVERAGES CERTIFICATE NUMBER REVISION NUMBER: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD e INDICATED.NOTWITHSTANDING ANY REQUIREMENT,TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN,THE INSUARNCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, e EXCLUSIONS AND CONDITIONS OF SUCH POLICIES.LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. a15i1 ADD/ SUBR POLICY EFF POLICY EP • LTR lEmiERALIYLtheanyPEHSR YI t POLICY NUMBER (w.AAAYr'a Srr1 IW4rWA an tts ECM DCCURANCE f _ DAMAGE TO RENTED • CWatERCML GENERAL UASnITY PREMISES ttagammal 3 ❑CLAaC4L*DE 0 OCCUR LSD E.G PMI r poen 3 • N/A 'Q6ONAL a KM INJURY S El CENERA/AGGREGATE 3 -�O1EITL AO' Zr.ATE LIMIT APPLES PER: PRODUCTS-COMFVOP AGO 3 J ® POLICY ❑PROJECT 0 LOC 3 AUTOMOBILE LIABILITY CMISINED SINGLE we/Ba aims* 3 II ❑ANY AUTO BOOTY NIIIRY W Arran I ALL OWNED Autos�����❑��� SCHEDULED BOD eY HAIRY a ae 3 e �1 HIRED AUTOS DNONp,NED AUTOS N/A PRO DAMAGE 3 J ❑ • 3�1 BRUA UMELLA LUIS 0 OCCUR S EXCESS B 0 CLAIM-RADE EACH OCCURANCE 3 ,_1 • AGGREGATE 3 DEC ❑RETENTION i EACH OCCunANCE S v D EEPEN CDMP3ATi On£it e IND IBD'LOYERB'wmLrnY ❑ ❑ 3 wYPRCFERETORPARRffPIDFC/JD& Yrs • >TOMMEYBFR MIMED? ❑ WA WA EL. I M EACHACCYEHi $ Onalta order EL OSEASE-EA EMPLOYEE 3 DESCRIPTION OF OPERATIONS ban EL.DISEASE-POLICY LMR I e A Accountants Professional Liabltty MHI 71056.2 104012015 10/01/2016 $10.000,000410.000,000 • ® DESC RF)ON OF OPERATIONS I LOCATIONS/VEMCLES(Math ACCRD ICI.Pechenl Rnrafs Ste ac,e ran*pees u r.Rtiad) • RFP No.15-12-01 Seaton 1.24 e e e CERTIFICATE HOLDER I CANCELLATION • city&Suer/Isles Beak SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED 18070 Cohn Avers* BEFORE THE EXPIRATION DATE THEREOF,NOTICE WILLIE DELIVERED 0 Sunny Isles Beeth,FL 33160 It ACCORDANCE WITH THE POLICY PROVISIONS. • AUTNORQED REPRESS sa • 23 201 U05 0 1988-2010 ACORD CORPORATION. AI rights reserved. ACORD ® ( ) The ACORD name and logo are registered marks of ACORD 0 II • A It CERTIFICATE OF LIABILITY INSURANCE GATE'"100 h 12/22/2015 S . THIS : 1 . ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER.THIS ® n T; ; • L NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER ® -j; . KATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETYPmftr REPRESENTA = - PRODUCER,AND THE CERTIFICATE HOLDER. IMPORTANT: N the earl I.., ,.•'• ,.,•. 4.1 ,. ..NAL INSURED, es)mu be endorsed. I SUBROGATION IS WAIVED,tattledtattledto • the teles and condkki s • N..::,'+ ^ �i-f•. certificate holder In lieu of it 1'.... sem P°Idaa may require an endsement statement stateent on this nitrate does e t the • FROMM J - -COe1TACT ® wee Robert Mints PRON _ PAK Bub International Northeast Limited- LI """Ib•FiO 516-677-4700 Iucjiat 516-496-4040 es 100 Bunnyslde Blvd SEM*SEM* IF Oep®nry ITT 11797 ot9Arrjm,OR NOCovERSOE I mute ® ---. •-----.--__. IMaERA:Hertford Casualty Insurance Ceapany 29424 01°�D Chan O11W muPRq+aoy e:rederel IasOraaoe e,- 'voxel • Marten, LLP - 10 Me1H Ile Park Read eduitERC:Imin City Tire Insurance Company 29459 ® 117Melville, NY 11747 DIY8IEA D: UORIRSI F: IlmlItE11 F: ACOVERAGES CERTIFICATE NUMBER: REVISION NUMBER: THS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PEGBCO INDICATED. PDTNITH5TANCOMMONKG ANY REQUIREMENT,TERM OR COMMON OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS • CERTIFICATE MAY BE ISSUED OR MAY PERTAIN THE INSURANCE AFFORDED BY THE POLICIES OESCFtl3ED HEREIN IS SUBECT TO ALL THE TERMS, EXCUSIONS NC CONDITIONS OF SUCH POLICIES.UMTS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAWS. S .'Lig TYPE OF a PALVICE ,•• rt 3r ,BOO MO FOLLY MUM thaw-flilI IMAY00NYnl LOUIS O A 2 CONMERCIAL COMM Uae1L1TY j j 319EXENE954 01/01/2015 01/01/2414 EAa1OCCRFENCE 51,000,000 • ■■ aAasaA� �) PRBASEStEa te¢tosenn 5300,000 ■ MED DP(Any aaPenP.)_ 110.000 PERSONAL A Ave UNARY 51,000,000 Cal AGGREGATE 1135TAMISS PER • In POUCT t- CEREfIAL AGGREGATE 12,000,000 PRODUCTS•CCSIROP ADD 52,000,000 to OTHER: s 'AAUTTONOHLa UABUTY COLIEME0 SMILE Wen 5 Me secdprdl ® I Parr AUTO AU.O%MI 1--- N. BODLLY aRY(Pe,renal s ® I AUTOS ANTOS WOOLY HAIRY(P«4ewD 9 HIRED AUTOS Aura; ROPERTY[WAAGE Pet PEmem $ ® 5 B 2 j UMBRELnoesc.•LIaa 2 79805972 01/01/2015 01/01/2111 Rol� a 510,000,000 _ noesLmB O•�•nn: AGGREGATE _- $10,000,000 ,DEO ® C A00CQ7t5 ICOaPVGATCM 510.000 5 .,AMD EMPLOYERS USW/ YIN ]1MECNB 793 01/03/7015 01/01/1021 I I pER ME I ERS ® ANY PR OCRETORIPARTNBUEIECUTIVEEL EACH ACOOBR 51,000,000 Oo mc4RryIn me ubED? a NIA ® Il�rnaa.s�emae wales E.L DISEASE-EA DAROYFE 11,000.000 uts:pr TION OF OPSlAnOt19 to a EL OSEA.€•POLICY LFR 21,000,000 0 S sa 0E$CRWTO I0?OPEUTp45 i LOCATCNSI YBOCES IACORD 101,wink t2 Rteaem' s' e'sa ney N m5ne4 ace P .trate nfraukea) Certificate bolder is included as additional insured as respects general liability coverage when required by written contract dCoverage is on a primary and non-contributory basis. Waiver of subrogation is included. RTP No. 15-2-01 Section 1.24 0 ®CERTIFICATE HOLDER CANCELLATION i. SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE City o! Bunny Isles Beach THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED D1 ACCORDANCE WITH THE PORKY PROVISIONS 070 Collins Avenue Sunny Isles Beach, Florida 33160 AUngpR®� �REP�RESByRA77YE 1 01988.2010 ACORD CORPORATION. AD rights reserved. &CORD 25(2014101) The ACORD name and logo are registered narks of ACORD sDoc18695957 Certbolder 0. 411