Extension of Professional Services Agreement

Transcription

Extension of Professional Services Agreement
1
1
ril
n
t
I
It
r
IVlayor Gerri L. Graharra- l
To:
Via:
ejia &
1,
1
s
IVlerrabers of the Cifij Council
ret IVI. PBurnlee, Caty Nlanager
From:
Glenn L. Sfeinbrink, Inter6rn .4drrsirsistrafiive Services Direc#or
Su ject:
Extension of Professional Services Agreement with Moss, Levy
fiartaheBrn,
LP, for Professional Indepertdent FQnancial Auditing
Services
SutYtivlary:
agreement
This agenda item seeks approval for a one year extension of the
with Moss, Levy &
Nartzheim, LLP, to provide professional independent
financial auditing services for the City of Los Alamitos.
RecorYttrrtertda$ior o Authorize the City Manager to execute a one year e ension
of a Professional Services Agreement between the City of Los Alamitos and Moss, Levy;
Hartzheim, LLP, for professional independent financial auditing services for fiscal;
years 2013- 14, in an amount not to exceed $ 24, 975.
ackgraund
In June of 2011, the City Council approved a three year contract with the accounting
firm
of
Moss,
Levy,
and
Hartzheim, LLP, , to perform its annual financial audit of the
City' s financial records. The original agreement provided for an option to extend the
agreement by an additional one or two years at the discretion of the City. The fee for all
five years including the two year extension period was fixed at $ 24, 975 per year, which
includes a 10% discount from their normal fee.
Discussion
Audit services include:
An audit perFormed in accordance with generally accepted auditing standards;
An
independent
auditor' s
report
on
the
fair
presentation
of the
financial
statements in conformity with generally accepted accounting principles;
A separate single audit report on grant activity, internal control and compliance
with grantor requirements;
A
separate
weaknesses
management
in
internal
letter
control,
that
legal
discloses
and
material
contractual
and
matters,
non- material
and
auditor
recommendations for improvement;
A report on the GANN Appropriations Limit for each fiscal year
Evaluation of Solid Waste Hauler Franchise Fees
Assessment of Los Alamitos Television Fixed Assets
Staff is recommending a one year e ension of the contract at this time for the audit of
the 2013/2014 fiscal year. By leaving the second year of the extension open at this
time, it gives the City the flexibility to either extend the contract for the fifth year, or go
out with an F2FP for the audit of the 2014/ 2015 fiscal year if it is in the best interest of
the City to do so.
Fiscal Irr pact
The Fiscal Year 2014- 15 Operating Budget will include sufficient funds for audi4
services of the 2013/ 14 fiscal year in the Administrative Services Department budget.
Submitted
By:
Approved By:
r,,,,.<,
r
d
Glenn L. Steinbrink
Bre
Finance Director
City Manager
Aftachments:
mlee
..
1. Amendmenf# 1
2. Professional Servrces Agreement
Moss, Levy & Hartzheim, LLP, for Audit Services
Aprii 21, 2014
Page No. 2 of 2
Attachinent
Professional Services Agreement
City of Los Alamitos/ Moss, Levy& Hartzheim LLP
AM NDM
NT No. # 1 TO PROFESSIONAL SERVICES AGREEMENT
CiTy
of
Los Alamitos
This Amendment No. 1 ("
and
Moss,
Levy &
Hartzheim LLP)
AmendmenY') to Professional Services Agreement
Agreement") is made on this 21sY day of Apri1, 2014 at L,os Alamitos, California, by
and between the City of Los Alamitos, a municipal corporation, 3191 Katella Ave., Los
Alamitos, California 90720 ("
City")
and
Moss,
Levy &
Hartzheim LLP, a limited
liability partnership, 5800 Hannuin Ave., Suite E, Culver City, California 90230
Contractor").
This " AmendmenY' modifies the original " Agreement" between Che " City" and the
Contractor" dated July l, 2011 in the following fashion:
A."City" and " Contractor" desire to amend the " AgreemenP' by modifying section 3. 1 —
Scope of Services as set forth in " Consultant' s" April 28, 2011 proposal to " City"
attached hereto as Aftachment 2 and incoiporated herein by this reference.
B. " City" and " Contractor" desire to amend the " AgreemenY' by modifying section 3. 2 —
Approved Fee Schedule as set forth in " Consulfant' s" April 28, 2011 fee schedule to
City" attached hereto as Attachment 2 and incorporaCed herein by this reference.
C. " City" and " Contractor" desire to amend the " Agreement"
Expiration Date of the" Agreement" to read as follows:
by modifying section 3. 4 —
3. 4 " Expiration Date": June 30, 2015.
D. "
City" and " Contractor" desire to amend the " Agreement" by modifying the total
compensation and costs payable to " ConsultanY' under this " AgreemenP' to a not-toexceed sum of$ 24, 975. 00.
E. "
City" and " Contractor" desire to a nend flie " Agreemen2" by modifying section 4 to
extend tl e term for one additional yeaz and provide services for Fiscal Year Ending
June 30, 2014.
Page 1 of 2
108313. 1
Professional Services Agreement
City of Los Alamitos/ Moss, Levy& Hartzheim LLP
TO EFFECTUATE THIS AGREEMENT, the parties have caused their duly
authorized representatives to execute this Agreement on the dates set forth below.
City"
City of Los
Consultant"
Alamitos
BY:
Brett Plumlee,
City
Manager
Date:
Moss,
Levy &
Hartzheim, LLP
SY (---?,_'"
A.
arCZheim, CPA, Partner
Craig—
Date:
t
By:
Date:
Attest:
By:
Windmera Quintanar, CMC, City Clerk
Date:
Approved as to form:
By:
Cary S. Reisman, City Attorney
Page 2 of 2
108313. 1
Attachment 2
PR
FESSI?
dAL S
i2VICES AGREEMENT
City of Los Alaznitos / Moss, Levy & Hartzheim, LLP)
ID
1.
NTIHTf;AT30
THIS PROFE551 NAL S RVICES AGREEMENT (" Agraement"} is entered into by
and between the City of Los Alamitos, a California muuicipal corparatian (" City" j and Moss,
Levy& Hartzheim, I,LP a California, lirnited Iiabi] ity partnership (" Consultant").
2.
R
CITALS
City has detennined tbaf it requires the following professional services from a
2. 1
consultant: Pinancial Audit Sarvices.
Consultant represents tkat it is fully qualifiad to perfonn such professianal
2. 2
services by virtue of its experience and the trasniztg, educatian and expertise of its
principals and empIoyees.
onsultant further represents that it is will3ng to accept
responsibility for perforFning such services ir accnrdance with the terms aa d
candition set forth in this Agreement.
N63LV, TAERrFC7RE, for and ii consideratiau of the mutuszl eovenants and conditions herein
coniained, City and Consultant agree as follows:
DEI+INTTIONS
3.
3. 1
Scope af Services": Such prof'essional seroices as ara set forth in Consultant' s
"
April 28, 2011 proposal to City attached hereto as Exhibit A and incorporated
herein by this reference.
" Approved
3. 2
Pee
ScHedule":
Such compensation rates as
are set forth in
ConsultanY' s Apri128, 20ll fee sehedule to C ty aYtaehed hereCO as xhibit B and
incorporated herein by this xefereuce.
3. 3
3, 4
"
Commencement Date°':
" BxpiraCian Date":
July l, 201 l.
June 30, 2014.
TERM
4.
The term of this 9greement shall oommence af 12: 00 a.m. on Che Commencenzent Date
and sha11 expire at 11: 59 p.m. on the xpiration Date unless ea ended by written agreernent of
the
paxties
oa terminated sarlier
in
accordance
with
S
etion
17 {" Terrnination") be3o=.
Upon
approval by the City Cc uncil no later than .Tune 30, 201 1, tize term may be extended by up to tu=o
years at the Csty' s sole elecfion.
AF' PRO
9579i. 1
F.6I ORUSE IN 2009
Professional Services Agreement
City of Los Afamitos/ Moss, Levy& Hartzheim, LLP
CO?VSLTLTA' T' S SERViCES
5,
5. 1
CansulCant shall perform the se vices identified in the Scope of Services.
City
shali have tlie right to request, in writiug, chan es in the Scope af Services. Any
suek chat1ges mutually agreed upon by the parties, and any corresponding
ii crease or decrease in aompensation, shatI be inec rporatet3 by writteii
amendxnent to tiiis Agreement.
In no event shall the total annual compensation
and costs payable to Consultant ui7der this Agree neni exceed the swn of Twenty-
fanr Thousand Nine Hundred 5ev nty-&ve Dollars ($ 24, 975) ru less specificaIly
approvad in adva ice and ii1 writing by City.
5. 2
Cot sultant shall abtaiil a City business license prior Yo comm nci ag perfarn7anca
under this Agreement.
5. 3
Consultant shall perform al1 work to the highest professional staaldards of
Consultant' s prafession and in a ananner reasotzabIy satisfacCnry to Gity_
Consultant sha1J con ply witlz alI applicable federal, state and local laws and
regulations, inch d'ang the conflict of interest provisians of Crovernrnecrt Code
Section 109U and the Politieal Reform Act ( Goeernment Code Section $ 1000 eC
seq.).
5. 4
During the term of tl is Agreement, Consultant shall not per' arm any wark for
anotl er person or enCity for tivhom Consulta t was nat warking at the
Commeneement I ate if both ( i) such work would requir: Cansultant ta ahstain
from a decision under this t greement pursuane to a oanflict af interest statute and
ii) Giry has not consented in wribng to ConsultanY s p rformance af such worlc.
5, 5
Consultaut represents that it has, or will seaure at its own expe;lse, all personnel
required to arform Che services identifsed in the Scope of Services. AII sucl
services shall be p rformed by ConsulYanY or under its suy ervision, a d all
personnei engaged in the work shall be qualified to perform such services. Craig
A. Hartzheinl shall be ConsultanYs project administrator and shall have direct
responsibilityr
for
management
of
ConsultanC' s
perfoimance
uFider
tlus
Agreement. I to ehange shall be niade in ConsulLa t' s pra}ect adminisCraCos
without City' s prior writtefl consent.
COMPENSATION
6.
6. 1
City agrees to compensate Consultant for the services provided under this
A r emei7t, a d Cansuttanf agrees to accept in fuli satisFactiozz for such services,
payment in accordance with the Approved Fee Schedule.
6. 2
Consultant shall submit o City an invoice, on a n onthly basis or less frequently,
for 2he services pocformed pursuant to this Agreemen2. Each invoiee shall iCeuiize
Page 2 of I I -
45? 95. 1
Professional Services Agreement
Ciry of Los Alamitos/ Moss, Levy& Harfzheim, LLP
t12e services rendered cltaring the billing periad and fl e arnaunt due. City s all not
witYihold applical le taxes or ofher autharized deductians fram payments tnade to
Cansultant.
Payments for any services requested by City and not included in the Scape of
6. 3
Services shall be made to Consultant by City on a tinle- and-materials basis usina
Consultant' s standard fee schedule. Consultant shall be entitled to increase the
fees in this fee schedule at such tiine as it increases its fees far its clients
generally; pmvided, however; in no event sha11 Coilsultant be entitled to increase
fees for services reudered before the thirtieth day after CansuItant iaotifies City in
wrifing of an increase in that fee schedule.
7.
OW1\ ERSI TP OF WRITT N PROBUCTS
Wi#h the exception of audit work papers, all reports, docwnents or athe3• written snaterial
writt n products" herein) develaped by ConsiiltanC in tl e per#ormance of this Agreement shaIl
be and remain the property of City witltaut restrietion or liinitation upon its use or disseil inatic n
by Citiy. Consullant may take and retain copies of such written products as desired, but no such
writt zs products sha11 be the subject of a copyright a
8.
licatiQn bq Gonsultant.
iZELATIO1 SHIP QF PABTIES
Cozlsultant is, and shall at all times rernain as to City, a wholly independent aontractox.
Consultant shall have no power Ta i cw any debt, obligation, ar liab] ity on belzal£ of City or
of7lerwise to act on behatf of Ciry as an a enf. Nezther City nor any of its a ents shall have
control over the conduct af Consultant or any of Consultaxal' s employees, except as set forC}i iza
tius Agreement. Consultaa t shall not ra,prese if tl at it is, or that any of its a ents ar employees
are, in any inaruler employees of CiCy.
9.
CONFTDENTIALITY
AI€ data, docurnents, discussion, or other information developed or received by
Consultaut or provided for perforinance of t1 is Agreemenf are deerned coi fidentiai and shall nof
be disclosed by Ccrosultanl. without pcior written eonsent by City. City shall grant such consent
if cliscIosura is iegally required. Upon request, all Cify data shall be returned to City upon tke
tennivation c r expirafian of this Agreement.
10.
INIS
10_ 1
MNIPICATIf3N
The parties agree that City, `sfs offic rs, agenks, employees arid volunteers should,
to the fuflest exYent perrnitted by law, be pratected frorn a»y axid all loss, injuiy,
dau a e, elaim, lawsuit, acrsr, expense, atYOrneys' fees, liti atian costs, or any
o her cosC arisu g ouC oP or in any way related to the perfo anai ce of Chis
Agr ement, Acec rdinely, Yha provisions of this ind miiity provision u e i,nte zded
Page 3 of 1 I 95795. 1
Professional Services Agreement
City of Los Alamitos/ Moss, Levy& Hartzhe+m, tLP
by the parties to be interpreted and construed ta provida the City with the fullest
protection passible under the law. Consultant acknowledges that City would not
enter
intc
this
Agreement
in the
absence
of Consultant' s
commitment ta
indemnify aaid protect City as set forth herein.
10. 2
Ta the fullest extent permitted by law, Consultazit shail indesnnify, hold i armiess,
a id when the City requests with respect to a claim provide a deposif for the
defense c f, and defend City, its officers, age les, employees and volunteers from
and against any and all clauns and lasses, costs or expenses Por any damage due to
death or injury Co any persan, whether physacal, emo#ional, consequential or
otltarwise, and injury to any property arising aut of or in connection with
Consultant' s aileged negligence, recklessness or willful misconduct or ather
wrongful acts, errors or oinissions of Consultant or any of its o1'rcers, empIoyees,
servants, ageizts, or subcontractors, or airyone diraotly or indirectly employed by
either Consultant or its subcantractors, in the
erPormance of this F greement or
its failuFe £o ooinply with anp of its obligarions contaiiied in this Agreemant,
except such loss or damage as is caused by the sole active negligence or willFul
misconduct of the City.
Such costs and expenses shall incIude reasonable
attorneys' fees due to cotulsel of City' s chaice, expert t'ees and ail other costs and
fees of litigation.
1( 73
City shall have the r ht to ofFset against any compensation due Consulfiant under
this Agreernent any amount due City fr•om C.o lsulfant as a result of Consultazlt' s
failure to pay City promptly any Endemnification arisicle under this Secfion 10 and
any amount due City fronz Consultant arising froin Cousultant' s failure either to
i} 7ay taxes on amounts received pursuaizY to this Agreement or ( ii) comply widi
applicable warkers' compensation laws.
16. 4
The obiigations o£ Conaaltant under this Section 10 ara not limited by the
provisions of any workers' compensation act ar similar act. Consuftant expressly
waives its sCafiztozy iminunity under such statutes or laws as to C'rty, ifa officers,
agents, employees and volunteers.
10. 5
Consultant agrees to obtain executed indemi ity agreements with provisions
ideiztical to those set farth hera in this Section 10 from each and every
subcontractor or any other persan or antity involved by, for, with or on behalf of
Consultant in the performance aF this Agreernent.
If Consultat t fails to obtaiza
such indemnity obligations from others as required herein, Consu3tant agrees to be
Pully responsible and indemnify, hold harmless and defend Ci1y, its officers,
agents, esnployees and volunteers from and against any and all claims and losses,
costs or expenses for any damage due to death or injury to any person and injury
to any prap r ty resulting from any alleged inCentianal, recldess, negligent, or
otherwise wron ful acts, errors ar omissions of Consultant' s subcoz traetors or
Paea 4 of 11 v
957951
Pro#essional Services Agreement
City of Los Alamitos I Mass, Levy& Hartzheim, LLP
aa y other pea-soti or entity i volved by; for, with or on behalf of Consultant in the
performance ef this Agree nent. Such costs and expenses shail include reasonable
attorneys' fees incurred by caunsel of City' s choice.
t0. 6
City daes not, and sha11 not, waive any rights that it may possess against
Consultant because of tke acceptance by ity, or the depos9t wifh City, oP anq
insurance policy or certificate required pursnant to this Agreement. This hold
hanliless ai d indemi ification provision shall apply regardless af wl ether or not
any insurance policies are determined to be applicabie to the cIaim, demand,
damage, liability, loss, cost or expense.
11.
INSURANC
11. 1
Durzn the term of this Agreement, Consultai t shaIl can y, maintain, and keep in
full force and effect insurance a ainst clairas Por death or injuries to persons or
daxnages to propercy that inay arise fram or in connection with ConsultanYs
performazice af this Agreement.
Such insurance sha11 be of the types and in the
a ilounts as set forih below:
11. 1. 1 Comprehensive GeneraI Liabi(rty Insurance wiih coverage limits of nt t
l
ss
than
One
MilTion
I) ollars
{$
1, 600, 000} inclading products and.
operations hazard, contractual insurance, broad form propert} dama; e,
independent consuftants, personal injury, undar round hazard, and
ea losion and eollapse hazard where appticable.
11. 1. 2 Automobile Liability Insurance for vehicles used in comiec2ion witil the
perFormance of this Agreement' with minimum limits of Oue Million
Dollars ($ 1, 000, 004)
per
olaimanti
and
One Million doilars ($ 1, 000, 000}
per inc9dent.
I 1. 1. 3 Warker' s Compensation insurance as required by the law s of tlie State of
CaEifornia.
l I. l. 4 Pr fessianal Errors and Omissions Insurance with coverage limits of not
less than One Million DoI1us {$ 1, 000, 000).
I1. Z
Cc nsultant shall xequire ach of its subconhactt rs ta rnaintain insurance coverage
that meeCS a11 of the requiremenYs of this Agreement.
11. 3
T1 e poticy or poiicies required hy this Agreeme iT sh I] be issued hy an iusurer
admitted in the State of Cali£ornia and with a rating of at least A:VII in the latest
edition of Best' s Insurance Guide.
1 I. 4
Consuitant agrees that if it does not keep the af'oresaid insurance in full farce and
page s oc r r -
9S? 95. i
Professional Services Agreement
Gity oi Los A( amifos t Moss, Levy& Hartzheim, LLP
e'Pfect, Ciry may either ( i) immediately terminate this Agreement; or (ii) take ont
the necessary insuranca and pay the premium tbereon at Consultant' s expeiise.
11. 5
Af a11 tames during the term of this Agreesnent, GonsulCant shall i2 aintain on file
with City' s 12isk Manager a eertificate or certificates of insuranoe showing that
the aforesaid policies are in effect in the required amounts and naming the City
aizd
its offrcars, emplayees,
agents and
voiunteers
as additional insureds.
Cansultanf shall, prior to commencement of work under this Agreement, fiie with
City' s Risk Manager such aertificate( s).
11. 6
ConsulCant shall pxovide prooE that policies af insuranee required herein expiring
during the ternl of this Agreement have b en renewed ar replaeed with Qther
policies providing az le st Cha sams c:overage. Sucii proof wi11 be furnished at
least two weeks prior to the expiration of tha coverages.
ll. 7
The general liabil'sty and automcrl ile palicies of insurance required by ihis
Agreement shall contain an endoesement naming City and its afficers, employees,
aaenYs and voiunteers as addiCional insttretis. Al1 o't the poliaies requi,red uuder
this Agreernent shall contain at1 end.orsament providing that the policies cannot be
canceled or redueed except on thirty days' prior written notice to City. Consultaut
agrees tn rec uire its insuxex to madify the certificates af insurance to delete any
exculpatory wordizag stating tIaat failure of the ii surer t inail written notice of
cancellaYion imposes no obligation, and to delete the word " endeavor' with reffaa d
to any notioe provisions.
11. 8
The insurance grovided by Consultant shall be primaay to any coverage available
to City. Any insurance or selfinsurance maintained by City and/ or its officers,
employees, agents or voluntecrs, sha11 be in excess aF Coiisultant' s insurance a d
shall not cantribute witl it.
11. 9
A1,1 insurance coverage provided pursuant to this
greement shall not prohibit
Consultant, and Cansultant' s employees, ageuts or subcontractars, from waiving
the right o£ subrogaCion prior to a loss. ConsultanC llereUy waives all rights of
subrogation against the City.
11. 10 Any deductibles or self-insured retentious must be deciared to and appraved by
the City. At the option of City, Cansultanf shall aiUler rednce or elimixiate the
deduotibies or seif-insured retcntions with respc:cf to City, or Cansultant s all
procure a bai d in ihe amount of the deductibie or self-insured retention to
guarantee payinent of losses and expenses.
11. 11
Feocureme xt of 'snsurance by Cansultant sha11 not be construed as a limitazion of
Consuttant' s liability or as fu11 performanca ofConsultanPs duties to indemnify,
hold harmless azzd defend under Section 10 of' this lgreement.
Pa e 6 of I 1 -
95795, 1
Prafessionai Services Agreement
City of Los Alamifos/ Moss, Levy& Nartzheim, LLP
12,
1l FUTUAL COOI' FRATION
City shati
12. 1
irovide Consultant witka all pertinent data, documenCS
nd ofher
requested information as is reasonably available for the proper perfonnance of
Consultant' s services under this Agreement.
12. 2
If any claim or action is brought a ainst City relating to Consultant' s perfm•maxzca
in connectian with this Agreernent, Cansultant shall render any reasonable
asszstance Chat City may require in Che defe n:,e of that claim ar action.
13.
R CORI?S AND INSPECTIQNS
Consultant shall maintaii fu11 and accurate records with respect to all matters covered
under this Agreement for a
eriad of tFu-e
years af er tlae expiration or termination of' tlus
Agreement. City shall have tl,ie right to aecess and examine such reco ds, without charge, during
nomZal business hours. City sha11 further have the right to auc it such recards, to make trauscripts
therefroin and to insp; et all arograsn data, documents, proeeedings, and activilias.
14.
1' ERMITS AND APPROVALS
Consult nC shati obtain, af its sote c st and expen.se, all permits and regulatory approvals
i eccssary for Consultant' s performance of this Agreernent. This includes, but shall not be
limited ta, professional Iicenses, encroachment permits ax7d buiiding and safety perm9ts and
inspections.
Page? of 71 95795. 1
Professionei Services Agreement
City af Los Atamitos/ Moss, Levy& Nartzheim, LLP
IS.
NOTICE;S
Any notices, bills, invoiaes, or reports required by this Agrczment shall Ue deetned
received on: ( i) the day of de}ivery if delivered by hand, facsimile or oveini ht courier service
during Consultai t' s and City' s re ular business hours; ar { ii) on the third business day€ ollowing
deposit in the United Staies mail if deli ered by mail, postage prepaid, to the addresses Iisfed
below (oc Ya such other addresses as the partius may, from tiine to fime, designate in n•iting).
If to
Gity
City
of
Las Alamitos
Tf to Consultant:
Mass,
Levy &
Hartzheim, LI, P
3191 Katella Avenue
Certified Public Account ants
Los Alamitas, CA 90720
5800 Hvinum Ave, Suite F.
Telephone: ( 562) 431- 353&
Culver City, CA 90236
Pacsimiie: ( 562} 493- 1255
Ialephone: ( 31Q) 2' 73- 2745
Fe simile: ( 310) 273- 1689
With court sy copy to:
Sandra J. Levin, Esq.
Las Alainitos City AtCorney
Colantuono & Levin, P. C.
3Q0 S. Gt and Ave., Suite 2700
Los Angeles, CA 9fld71
Telephone: ( 213) 542- 5700
Facsimile: ( 2I3) 542- 5710
16.
SUR TVING COV+ NANT5
The parties agree that the covenants contained in Secvon 9, SecTion 16, Paragraph 12. 2
and Sectioi2 13 of this A recment shall survive tl e expiration or terminaCion o£ tl is Agreameiit.
17.
TERMT1 iATION
17. 1.
Cify may terminate this Ag eement fbr any reason on five cale dar days' written
notice to Consultant Consultult n ay term"rnnCe this Aaeeinent for any reason on
thirty calendar days' written notice to Cify. Consultant agrees to cease all worie
under this Aareeinent on or before the effective date of any noEice of terminatia.
All City data, documents, objecfs, materials or other tangible things shaii be
retun2ed to City upc n the eernlination or expzration of this flgreemei2t.
17. 2
If City terminates this Agreement dtxe to no fautt or failure of performance by
Consultant, 2hen Consuitant shall be paid based an Yhe work satisfactiorily
Page 8 of l 1 -
95795. 1
Professional Services Agreement
City of Los Alamitos/ Moss, Levy& Hartzheim, LLP
performed at the time of termination. In r o event shall Consultant be entitled to
receive inore than the amount that would be paid to ConsuYtant for the ; ull
performance of the services reqnired by this Agrsement.
1.
G
18. 1
N RAL PROVISIONS
Consultant shali not detegate, transfer, subcontract or
ssign its duties or rights
hereunder, either in wliole or in part, without City' s prior wriiten consent, and any
attempt to do so shall be void and of no effect. City shall nc t be nbligaC d or
liable under this Agreement to any party othex than Consultant.
18. 2
In fn
performance of this A
eement, Consultaut shall not discriniinaYe against
any em loyee, subcon,tractoi, or applicant for empl ymenf because c>f raee, color,
creed, religion, sex, marital status, sexual orientaticrn, natic na.1 origin, aneestry,
age, physical or mental disabiiity, medical condztioia or any ather unlawfu] asis.
18. 3
The ca tions appearing at tlae oommencement of the sections hereof, and iu any
paragraph thereof, are descriptive only and for convenietace in reference to this
Agreement. Should ti ere be any ec niIict betweeil such heading, and the seciion
or paragraph thereof at the head of wluch it appears, the section or paragraph
thaxeof, as flie case cnay be, and not such heading, sha11 cc ntrol aud govern i i the
construction
of
this
Agreement.
Masculane or feminine pranouns shal{ be
substituted for the neuter Porm and vice versa, ai d the plural shall be substituted
far the singular farm and vice versa, in any place or places herein in which #he
context requires such substitution( s).
18. 4
The waiver by C9ty or Consultant of any breach of any term, covenant or
conditic n lxerein contai zetl sl all not be deemed to be a waiver of sueh term,
coverrant or condition or of any subsequent breach oi' the same or any other tern,
covenant or c andition l erein cor tained. No texm, covenanC or condition of this
Agreement shall be deemed to have l ecn waived by City or Consultaut unless in
writin;.
18. 5
ConsuJtant shall ot be Iiable for any f'ailure to perform if Consultant presents
acceptable evidence, i,n City' s sote judgmer t, thaY sueli failure was due ta canaes
beyoi d the conlrol and withc ut the Fault ar negligence c f Consultant.
18. 6
Each righC, power and remedy provided for herein or no
or hereafter existing at
law, in equiry, by sCatute, or otherwise shall be ewnulative and shall be in addition
to every ofl er right, power, or remedy rnovided for herein or now or kerealỲer
The exercise, ihe
by statute, or otherwise.
cornmence nent of tl e exercise, or the forUearance of the exercise by auy party of
existing
at
iaw,
in
e
uity,
any one or zvc• e of sucli rights, powars or remedies shall not preclude Che
simultaneons or latcr exereise by suel palrty af any of all of sueh oTher ri
Page 9 of 1 l 95745. 1
ts,
Professional Seroices Agreemen#
City pf Los Alamitas/ Moss, Levy& Hartzheim, LLP
powers
or
reinedies.
If legal act'ron shali be necessary to enforce any ferm,
covena t or condition herein contained, the party prevailing in sucla action,
whether reduced to judgment ox nof, shall be entitIed to ifs xeasot able aourC ac sts,
including accounYants' fees, if any, and aCtorneys' fees expended in sueh aetion.
The venue for any litigation shall be 'Los An eles Cncznly, Caiifornia and
Consultant hereby cansenis to jurisdiction in Los Angeles County fc r purposes of
resaiving any dispute or enfareiug any abligation arising ur der this AgreemenC,
13. 7
If any term or provision af this Agreement or Lhe application thereof to any person
or circumstance shail, to any extent, be invalid or unenforceable, then such term
or provision shail be amended to, aud solely to, the extent necessary to cure such
invalidity or unenforceabili y, and in its amended £or n shail be enforceable. In
such event, tl e remainder af this Agreement, or the application of such term or
provision to persons or circumsCances ofher than those as to which it is he(d
invalid or ulaenfarceable, shall not be affected thereby, ai d each tenn and
provision of this Agreement sha11 be valid and be enforced to the fuliest exteuY
pennitted by law.
18.$
This A.gree nent shall be governed and construed in accardance with the laws of
the State pf CaIifornia.
I&. 9
All docu nents referenced as exhibits in this Agreement are hereby incorporated
info this Agreement. In die event of any material discrepancy hetween the
express provisiol2s of' this Agreeinent and the provisions of any docnment
incorporated herein by reference, The provisioi s af Yhis Agre ment Irall prevail.
This instrument coatains The entire Agraemeni bctween City and Consultant with
respect to tke transactions contemplatad heroin. Na othex p•ior oral c r wrifteia
a
reements
are
hiilding
upon
the
parties.
Amendments hereCo or a viations
herefrom shail be effective and binding only if anade in wri2ing and execuTed by
City and Consultant.
Page 10 af i l es vs. i
Professionai Servicss Agreement
CiYy of Las Atamlfos I Moss, Levy& Nartzheim, LLP
TC3 EFFECTUATE THTS AGREEMENT, ii e parties have caused their duly authorized
representatives to execute this Agreement on the dates set forth below.
City'>
City of Los
Consultant"
iVIoss,
Alainitos
Levy &
Hartzkeim, LL
f
C-
By:
By
% -:.
Craig .
Date:
„
Date:
e%'
Harizheim, CPA, Partner
'
By.
Ron A Levy, ( PA, ParCner
f
Date:
Attest
Sy
Adria M. 3imen z, City Clerk
r
DaYe:
Approved as to form:
S
ra
7. L, evin,
ty
tCon ey
Date:
Page 1 I of 11 95795. 1
a
EXHIBIT A
SCOPE OF WORK
n- 1
95795J.
ITY OF LOS ALANtITOS
PRCDPOSAL FOIZ P1tQFESSTONAL AUDITING SERVICES
For t6e Fiscal Years Ending 3une 30, 2011, 2d42, and 2013
OpYionaf Fiscal S'ears Ending June 30, 2014 and 2015)
Submetted By:
Moss, Levy& Hartzheim, LLP
9107 Wilshire Blvd. Suite 40Q
BeverEy Hills, CA 90210
California CPA License Number: 699$
Pederal Identifieation Numbar: 75- 3 1 4467 1
Phone: ( 310) 273- 2745
Fax: ( 310) 273- 1689
Email: mlhbh(a mlhcpas.com
iX' ebsite: www, mlhepas. com
Submitted (Jn:
April 28, 2011
Contact Person:
Craig A. Hartzl eim, CPA: Fartner
Ron A. Levy, CPA: Pariner
Hadley Y. Hui, CPA: Partner
CTF' pF L(3S ALA?4 Td5rAtJDIT PROPOSAL
TABLE OP CONTEN"I'S
Section and
Page number
in RFP
TransmittalLetter...............................................................................................................
i
VT, B Z,
Pg. 6
Teehnical k*rapasa}:
License to Practice in Califo
mia ........................................................................................
1
VT, B 4, Pg. 6
Independence ......................................................................................................................
1
VI, B 4, Pg. 6
BusinessI icense ................................................................................................................
I
VI, B 4, Pg. 6
Insurance ..............................:.............................................................................................
1
VI, B 4, Pg. 6
Firm'
1
VI, B 4, Pg. 7
Experience........................................... 2
VI, B 4, Pg. 7
s
Qualifications
Partner,
5upervisory
and
and
Experience.................................................................................
Staff Qvalifications
and
Loca] Government Client References ................................................................................
Capabilities in General
Approach, Scope
and
Consulfing
and
Timing of the
Compliance
3
VI, B 5; Pg. 7
Auditing...........................................5
VI, B 6, Pg. 8
Audit..........................................................................
8
VI, B 7, Pg. 8
Appendiees:
Appendix A—Peer Qual'aty Review Report........................................................................ 13
AppendixB— Resumes.......................................................................................................
Appendix C— Cixrrent
ancUor
Appendix E— Segmentatian
Recently
and
VT, $
4, Pg. 7
14
VT, B 4, Pg. 7
Completed Govemmental Audits.........................23
VI, B 6, Pg. 8
Budgeted Hours
by
Segment.......................................... 25
VI, B 7,
Pg.
8
MOSS, LEVY & HARTZHE
4 LLP
CERTIFIED PUBUC ACCOUNTANTS
97
PARFNERS
RDNALb R LEW, CPA
7 WIL5HIRc BIVD., SUITE 400
BEVERIY HILLS, CA 90210
TEL: 310. 2732745
FAX: 310. 273. 1689
CRA1G A HARTZHEIM, CPA
HADtEY Y HUI, CPA
v v u. mihcpas. com
Anita Agramonte
Finance; Vianager
3I91 Katella Avenue
Los Alamitos, CA 90720
Dear Ms. Agramonte,
We are pleased to respond to the City of Los Alamitos' ( City) Request for Proposal for independent auditing services.
We have prepared our proposal to address each oftl e specifications inoluded in the City' s Request for Proposal.
Aftar 54 years in public acconnting and 34 years of performing € ocal governmental and non- profit audits, it 'rs
extremely
gra5fyit
g tQ
witness
the
continued growth of
Moss,
Levy & Hartzheim, LLP. The firm is a regional ftxll
service pubIic accounring firm with offices in Beverly Hil]s and Sa rta Maria and clients throughout the State af
Cali£ornia, as well as thirty-one oYher states.
We and the entire staff aze pleased with not only the continuing
development of the firm but also the progress and economic heaith of our clients. We undarstand that govemmental
accounting is a specialized industry with ifs own accouuting standards and requiremenis, and that is why cee strive to
constantly improve the quality of our professional sarvices. This degree of dadacation, coupled with our ability to
inform our clients of any new aecounting and auditing issues, is paramonnt to our suocess.
We fee3 that our size is such that we are large enough ta provide a broad spectrum of servlces and experier.ce backed
by an in-house training program, professipnal development caurses, and an extensive professional lihrary, yet not so
large as to become impersonat and rigid. Our informal style allows us Yo be fle
ble enough to wmplete our
angagements in a timely manner that is the most convenient for eaoh client. Also, this style allows us ta be more
accessible to our clients whan our clients have yuesfians or concerns,
Moss, L,evy& Hartzheim, LLP is independent of the City of Los Alamitas and its component units and has not entered
into a profess onal relationship involving the City of Los Alarnitos or ifs component units in the last five years.
It is our understanding that we will perform an audit of the City' s basic financial in accordance with auditing standards
generally accepted in the United States of America with the objeetive of expressing an opinipn on the fair presetttation
of the basic financial statements, which will be in full cornpliance with Governmenta! Aecounting Standards Board
GASB} Statement No. 34, 45, 54 and the GFOA' s Blue Book. We will also express an " in-relation-td' opinion on the
combining and individual fund financial statements and supporting scheduies based on tUe auditing procedures applied
during the audit of tha basic fnaaacial statements. Additionally, we wilt test compliance with the Single Audit Act as
amended in 1496, and applicabie laws and regulations.
tn addition to khe procedures deemed necessary to express our opinion on the basic financial stataments, we understand
that we wi] 3 also be responsibte far parforming oertain limited procedures invalving tha managemenYs discussion and
analysis { MD& A} and the required supplementary information ( RSI) required by the Governmental Accounting
Standards Boarfl, as mandated by auditing standards generally accepted in the TJnitad States of America.
Oux audits would be conducted in accordance with auditing standards generatIy acceptefl in the Unitad Sta#es of
Amar3ca; Government Auditing Standards, issued by the Compirollar Genaral of the United States; tha provisions of
the Federal SingIe Aud'at Act Amendments of 1996; U. S. C7f ee of Mana ement and Budget ( OMB) Circular A- 133,
Audits of State, Local Gover zmenfs, and Nonprafrt OrgantzaCdons; and ArtScle XTITB of tlae Galifomia Consti ution—
AppropriaSions Limit.
i
It is
our
understanding that
we e
'
for
e responsible
issuing
the
following
an indepandent auditor' s report on
re
the fair presentation af the Ciiy s basfc financial statements in conformity with aocounting principles genera]ly
accepted it the United States of America; an independent auditor' s report on intemal controi over fanancial reporting
and on compliance and ather matters based on an audit of financia] sfatements performed in accordance with
Government Auditing Standards; an ii- relation- ta report and notes on the sehedule of expenditures of federa( financial
assistance in accordance with all requirements of the Federal Single Audit Act of 1996; an indepandent auditor' s report
or compliance with requirements applicable to each major program and on internal controf over compliance in
accordance with OMB Ciroular A- 133; a summary schedule of findings and questioned costs; a report on agreed- upon
procedures applied to the GANN Limit (Appropriations Limiz); a letter of Communication to the Financial Oversi hY
Body; and a management letier.
Additiona[ty, we will review and evaluate fhe City's exclusive franchise solid waste hauler contract aiid examine fhe
assets of Los Alarnitos 7"elevision as part of our evaluation of the City"s fixed assets.
We understand that we wif] be responsihle for preparing, efliting, and typing the City' s Comprehensive Annua!
Financial Report ( CAFR) for review in the Government Finance Offcers Association' s ( GFOA) Certifaeate of
Aahievement for Excellence in Financial Reporting Prograrn.
All significant deficiencies found during the audit will be aommunicated in rvriting. In the required reports on
compliance and internal controts, we shaf] eommuniaate any signi8cant deficieneies foand dixring the audaY. SigniSeant
deficiencies that are also maTerial weaknesses w'rll be identified as such in the report. Non-reportable condifions
discovered wil] be reported in a separate teher to managarnent, which wilt be referred to in the reports on compliance
and inTarnai controls. AIi irregularities and i] tegal acts or indications of illegal acts of which we become aware during
the course of our audit wiI] be immediately reported, in writing, to the Administrative Servaces Director, the City
Council, the City Manager, and the City Attor»ey.
Mass,
Levy & Hartzheim, LLP will perforrn the audit
circnmsYances which the City imposes on our work.
work within the specified time period, panding no unforeseen
The percentage of the audit work we expect to accornpl'rsh for the 2071 audit yeaz, by month, is shown below:
June
Septumber
Octobe
Totat
40%
3S°/ n
25%
100%
This proposal for audifing services is an Srrevocable offer until July 28, 2011.
Thank you for your consideration a id please do not hesitate to contacY the authorized representatives listed below with
any questions, probtems, or concems.
1)
Craig A. Hartzheim, CPA
t2) Ro
A.
Levy,
CPA
3) Hadley Y. Hui, CPA
Partner
Partner
Partner
9107 Wilshire Blvd.,
9107 Wilshire BTvd.,
9107 Wilshire Bivd.,
Suite 400
Suite 400
Suite 400
Beverly T ills, CA 90210
310) 273- 2745
Beverly
Hilfs, CA 90210
31Q) 273- 2745
[email protected] com
Beverly I3i1ts, CA 90210
310) 213- 2745
[email protected] com
[email protected] cam
Sincerel
Craig
A. Hartzheim, C. P.
q
Parmer
Mass, Levy& F[ artr,heim, LLP is an Equai Opportunity Employer.
ii
c Tx o
Los ,.
n zTas ,
ECHIVICAL PI POSAL
d. TCENSE TO PFTACTICE Il!' CALIFOR v'TA
3oss; Le ry& Hartzheim, LLF is a properly licensed certified public accounting firm in the State of Cafifornia.
All certified public accountancs engaged in the audit of tha Ci£y of Los Alamitos ( City) are licensed to pracYice
in the State of Califomia and have received at least the minimum number of governmental continuing
pF ofessional educatian hours required by the State Board of Accountancy and Government Auditing Standards
to perform governmentat audits.
INL3EPEN£1ENCE
Moss,
Levy &
Hartzheirn, LLP is independent of the Ciry of Los Alamitos ( City} and its camponent units as
defined by auditing standards generatly accepted in the Unitad States of America, the U.S. General Accaunting
Jffice' s Governn¢enf Auditing Stanclards, the II.S. Securities and Exchange Commiss'ron, and atl other
authoriYative bodies with standard or rnle making authoritq over the auditing professron.
The firm ases checklisfs and questionnaires to datarmine that staff inembers are independent af each efient
bein auditad. We also have each staff inember si n a personal independenca declaration prrar to commencing
work on an audit clrent. The partner in charge of the audrt raviews all independence work papers prior to
sfaffing aach andif.
BLTSTlVESS , ICENSE
Moss,
Levy &
Hartzheim, LLP will obtain a City busanass license priar to conducting any work under this
contractfor each year ofthe contractterm.
INSLTI2ANCE
Mass, Levy 8z Harkzheirn, LLP has tha required insurance poIicies in force in amounts of coverage for noT less
than $ 1, 006,000 for Prafessional Liability, Workers Compensation, Comprehensive Genaral Liability and Auto
Owned and Non-Owned). Prior to commencement of audit services, we will provide certificates of insixrance
coverage to the City.
FIRM' S C UALIFICATI4NS
Moss,
N
EXPERIEIVC+
Levy & Hartzheim, LLP is a regional firm that performs audits of govemmental and non- profit antities
throughout the Sta#e of California, from the Oregon border to the Mexico border. We also perform review and
compilation engagements as wetl as tax and consulting services to clients thronghout the United States. The
firm ourrent3y employs 30 professi nals, al] of wfiom are trained in governmental auditing, and has annual gross
revenues in excess of 3J miltion dotiars. The firm has two o ces in Caiifornia: Heverly Hiils and SanYa Maria.
The audit 4vork will be com leted by staff From our Beveriy Hilfs ofgce.
Nine certified public accountants { three partners, three mana ars, and diree sanior accaanYants) cixrrently staff
the Beverly Hills office. In addition, the Beverly Hills affice employs ten managers, seniors, and staff
accountants. AII cerYified public accountants, managers, senior accountants, and staff accountants are part of
tha governmental and non- profit andit practice.
The City of Los Aia nitos will have one partner and one manager assigned to the audit on a full-time basis. In
addition, one senior accountant and one staff accountant wi11 be assigned Yo the audit on a full-time basis. These
employees wi11 not be changed except due to anforeseen circumscances.
I
CIT1' Ok LCDS ALAlYIIT _
7BC3iiVICAL PROPOSAL
FIRM € iALIFIf:r TIC3NS r4NI3 EXPERIEI a' CE ( CC3PdTI1 IiJE1})
Our firm currenUy provides the follow'tng services:
Auflits:
Govemmental( oities, single audits, school districts, and special distrzcts}
Nan- Profit
Commercial
Compfiance
Transieat Occupancy Tax
Pensions
Accounting Services:
Reviews
Compilations
Managernent Advisory Services( I on-Audit Ciients):
Data Processing Services
Business Cansuitation
Pension and Profit Sharing PIan Assrstance
Acquisikion and Tvlergers
Income Tax Services:
Preparation
Plann'rng
Tax t udits and Negotiations with Internal Re enue Service and Otlier Taxing Authprities
P3ease see Appenrli.r A—Peer OuaCrty Review Report for a copy of our firm' s I3ecember 31, 200& quality review
report, which includes a raview of governmentai and non-pmfit engagements.
Our fiim has never been die object of aaiy disciplinary acrion frorn any federal or state reguiatory 6ody or
professionaI organization, nor is there any discaplinary action pending during the past three years.
Moss,
Levy & Hartzheisu, LLP or any employee o£ the firm, has never had a record of substandard audii work,
nor is there any ouYstandiiig claim of substandard work or unsatisfied performance pending ith the State Board
of Accountancy or any other professional organization.
PAY2TNET2, SLTPERVISORY AND STAFF Q? ALIFTCATIQNS ANT7 EXPEStTENCE
It is khe firm' s policy to have our partners and audaY managers involved in the managing function of onr
govemmental audits. I3aving both the partnar and andit manager invalved in the engagement aliows the City to
tecezve irnrnediate response to questions aboat accounung and audif topics, concarns, and fittdings.
Tk is expected that Mr, Ron Levy would be the technical ( concurring) parfner in charge of the Ciry' s audit. He
will be responsable far reviewing the Ciry' s basic financial statements and all other required statements and
reports. He may also be responsihle for addressing any City questions or concems that arisa during the year.
He has assisted numerous citias and has a[ so prepazed award-winning CAFRs.
Mr. Craig Hartzheim will be the engagement partner assigned to the audit. As engacemant partner, he will
oversee the day-to- day operadons of the audit, review ai2 audit areas, and ke on- site for a majority of the
fieldwork. He has assisted many cities and has pre ared numerous award- winning CAFRs. It is the firrn' s
policy during the first year on the audiY engagement lo have a partner on-site for a majority af the fieldwork.
Tkris policy enables the partner to become acquainted with the City' s daily operations and key personnel.
2
TY fl
L(3S ALAMITOS
7'ECH' VIC"AI FROPOSAL
P
C
RTNEI2,
iJP
I2VISf9RY A1 TI3 S'!' AFF QUALIFICATIC}NS rtNTJ EXPEI2IENCE
NT'YNiJEi))
Mr. Derek Bui witl be the mana er assigned to the audit. He wii] oversee the day- to- day operations of the audit
and } arform more di
cult audit sections.
Mr. Wilsoi3 Lam wilt be the senior auditor assigned to the audit. As seniar azaditor, it wi(1 6e his responsibitity
to oversee t1 e staff accountants, do preliminary reviaws of audit sections, and perform more difficult audit
sections.
Mr. David drtiz will be the computer speoialisf assigned to the audit, when needed. Mr. Ortiz has extei sive
knowledge in auditing EDP funetions. Mr. ( rtiz may also perform the sYatisticai sampling procedures for the
audit and also document and test the intemal control strucfisre of the computar systems.
Sn addition to the aforementioned supervisory staff, ane staff accountant will be assigned to the audit. All staff
accountants have degrees from accredited colleges or universities, have received in-house govemmental audit
training, and at present, have at Ieast ona year of governmental auditing experience. All staff accountants will
be directly supervised by the sanior accountants and manager assigned to the audit at al1 times. All partners,
managers, and staff rnembers have worked on numarons governmental engagements together. Consister tty
working tagether will provide the City with a knowledgeable, proficient, and efficient audit taam.
The firm co»ducts an annual firm-wide fwo-day training setninar to update all governmental auditors on new
pronouncements and improved andrt techniques. In addition to tlais firn2 sponsored seminar, each governmental
auditor attends the aranual
avernmental accounting conference and many other continuing education courses
and is updated on cuzrant accounting/ auditing issnes through our journals and supp} ements, which we receive
on a regular basis.
All certified publ'rc accountants engaged in Yhe audits of tha City are lieensed to practice in the Stata of
California and have received at least the minimum number of govemmental contii uing professionaJ eduoafion
hours required by the State Board of Accountancy and Government Auditing Standards to perforrn a
governmental audit.
Moss, T.,evy & T-Fartzheim, LLP is an aqual appartunity employer who empIoys peop(e of many different ethnic
back rounds. We staff our aud'rts accordins to qnalifications of personnel and the needs of our clients.
Please see Appendix B— Resumes for each individual' s qualificaYions and experience.
The firm will maintain staff continuity on the engagement thronghout the term of the contract, barring any
Lerminations, illnesses, or other unforesaen ciroumstances( departare fram flie finn, promotion, or assignment to
another affice). At the written reqaest of tha City, any Moss, Lavy& Hartzheim, LLP ernployee assigned to the
andit can be remaved and replaced by anather qualified empIoyee. The City of Los Alamitos retains ehe right ta
approva or reject replacements.
Our firm experiences relatively low turnaver in employees as can ba saen on individual resumes, so that even
our staff auditors have more experience than most other firms oan offer. The rm will not use the City as a
trainiag grovnd for 6ts empEayees.
LOCAL G'
Moss,
ERNMENT CLI NT IZ FEItt N ES
Levy & Hartzheim, LLP has an extensive background in auditing governmental and non- profit entities
with over thirty-four years of experience in this specialized field.
3
CITY f)T LC?5 ALA?dLITOS(
TECHNICALPROPOSAL
z. oc.,
c
v
ffarrn z
vT c,
Era r
u
re s {cc vT
ruE}
The frm currently audits Ehe Connty Sanitaeion Dishicts of Los Angeles Connty ( ali 2S districts), the County of
San Diego' s Redevelopment Agency, thirYy Ciry audits, thirty-fiive school district and related audiCs, and over
seventy- five speeial distriet atzdits. We have recenfly compie[ed monitoring of over Lwo hunclred ( 200}
contractors for the Connty of Las Angeles, for contract compliance and fiscal monitorzng. Additionally, we are
a(so on the master lists and have signed master eontracts with the County of San Diego and the County of Los
Angeles for Compliance and Financial Audits. Therefore, our farm has experience in auditing and preparing
financial statements for ali types af governmenta] agencias.
We have selected the foliowing five significant engagemants of'ours that we feet are most similar to the City of
Los Alamitos:
Total
Fiscal
s
Governmental
Agency
I-lours
Years
Soope
of
Work
Contact and Telephone
Audited
number
Ciri of Tracy
Basic Pirtancial Statements/ CAFR
Tracy Redevelopment Ageney
Audit Partner- Craig A. Hartzheim,
i00
Financial Audit, Single Audit,
State Controllar' s Report,
C. P. A
antl
GANTJ Limit
2004
Ms. Linda Biscocho
through
Accounting Officer
2010
(
209) 831- 6828
GFOA Certifioation
n accordance wit0 GASB 34
Ciri of Santa vlaria
Bas
ePittancial Statements/ CAFR
Santa Muia Redevelopment Ageney
675
GPdA Certification
Transportatian Development
Audit Partner-
Agency
Ron A. Levy, C. P A
CountV Sanitation DisVicts
of
In
aecordanoa wit8
Los Aneeles
Sfatements/ CAFR
Cammerce Refuse to
GASH 34
Financial Andit, Single Audit,
and
cia1
20Q3
Lynda Snodgrass
through
Administrative Servicas
20i0
Director
805) 425- 0951 Bxt 215
Coun
Basic Fina
Finanoial AudiY, Single AudiC,
6Q
Energy AuThority
Public
Financing Author4Ty
CREA
2003
Thomas Mueller
Chief Accountant
tivough
2010
(
562) 699- 74t 1, ext. 1103
GFOA Certification
Finaneing Aufhor'rty
Audit Partner- Craig A. Hartzheim, C.P. A.
Hadley Hui, C.P.A.
In accordance with GAS& 34
City of Bellfiower
Basic Financial StatementslCAFR
Beliflower Redevelopment
Audit ParYner•
446
Aganoy
Financial Audit, Single Audit,
State Controller"s Report,
Hadley kIui, C.P. A
and
GANN Limit
1994
Taa Rhee
Direotat of Pinance
through
2Q30
(
310) 80A- 3424, Ext 2234
GFOA Certification
In accordance with GASB 34
City of Caiabasas
Basic Financial StatemenlslCAFR
Audit Partner-
Craig
A. Hartzheim, C.P. A.
390
Financial Audit, Single Audit,
and
State Controller' s Report
GFOA Certification
In accosdance with GASB 34
4
2004
Gary Lysik
Chief Financial0fficer
through
2010
(
818) 878- 4255
CIB'Y F LOS t I.A I'T' E!
TECHN1Cr1L PROPOSAL
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Al\ D COil2i'LIAl CE AT7I$' i'I2QTG
In addirian to those auditing experiences listed in the previaus sectian, the firm' s recent 1oca1 audi6ng
experience anctudes the following:
1.
CS'
O and
FOA Award Yrograrns
The firm has ar is currently auditing the following entifies that have participaYed in and have
received the CSMFO and/ or GPOA Award Programs:
City of Bellflowcr
City of Brawiey
CSty of Calabasas
City of Campbetl
City of Dinuba
City af El Ceatro
City of Eureka
City of Hercules
Ciry of Laguna Hills
Ci#y of Lathrop
Ciiy of Lompoc
City of Lynwood
City of Pacifica
2.
City of Paso Robles
City of Scotts 17alley
City of Sueanvllle
City of Tracy
City of Watsanville
City of Wesflake Village
City oP Whittier
City of Winters
City of Yuba City
County Sanitation Districts of
L,os Angeles County
Encina Wastewater Authority
Los Angeles Counry Ploofl Conirql Aistrict
ON£f3 Circular A- 133
We have performed compIiance audits in accordance with Uff'aoe of Management and Budget
OMB) Circular A- 133, Audits of State, Local Government and Nonproftt Organizations, for
our municipal clients who are required to have compliance audits ( which is the majority of our
municipal clients} and for all of our scl ool district ciients.
3.
F+'ederal and State Grant Programs and the Single Audit
Each of our municipal clients, fhe majority of our sgecial district cIients, and all of our school
district clients receive federal and stata grants which require compIiance audits. Some af our
most cornmonly audited prograrns are as follows:
Municipal Major Prograrns:
Communiry Development Block Grant Funds ( CDBG}
Federal Emergency Manageraent Act Funds ( FEMA)
Section 8 Housing AssisTance Payments
Transportation
nhancement Act( TEA)
Airpart Improvement Program( AIP)
Eaonamic Development Grants ( EDA)
HOME
Capitalization Grants for State Revolv3ng Funds
Surveys, Studies, InvestigaTions, and Special Purpose Grfuits
Other Com non Municipal Programs:
COPS Grants ( including LLEBG)
Asset Seizure Fnnds
Retired Seniar Volunteer Program
5
CI7'Y OF LOS ALAMITO("_
TFCHNICAT PROPOSAL
CAPAI3ILITZES II T GEl Ei2AI Cf} NSfTLTIlVG A.iVIl COMI' A, IAIVC:C ATJDI'L'ING {[email protected]' IPd€J+ D}
The firm' s reeent local auditing axpezience inclndes the foilowing ( Continued):
3.
Feder l and "state Grant Programs and the Singie r, udit( Continued)
Other Major Programs:
Senior NutriTion Programs
Child Nutrition Programs
I'itIe T
Title VT
Migrant Education
Vocatianal Education
Speciat fiducation
4.
Redeveiopment Agencies
We have audited the Redevelopment Agency of the Counry of San biego for Che fiscal years
ended June 30, 2004-2016. We have also perforrned audits of redevelopmeni agencies for
all of our municipal clients.
Each redevelopment agency audit is conducted 'an
nearIy
accordanee with Guidedines for Compliance Audits of Californfa Redevedapment Agencies
issued by the Stata Controller, Division of Local Government Fiscal Affairs and Section
33080. 1( a) of the Heaith and Safety Coda and Title 2. 5, Chapter 6 of the California
Administrative Code.
5.
State CautralIer' s Report anaE Street Re orfs
We have prapared State ControlIer' s Raports, Transit, and Street Reports for numerous cities,
redeveIopment agencies, and special districts. We feel this experience allows us to assist our
cIients in their preparation of the State Controller' s Reports or prepare the reporis as a saparate
engagement for our clients.
6.
Scteool Districts
Currently our firm audits thirty-five school districts aad related schools throughout the State of
California, inc]udin four cl arter schools. We have also performed audits of student bodies for
nearly all of our school district clients.
7.
Speciad I}istricfs
Currently our firm audits in excess af seventy-five special districts including the County
Sax xtation bistricts of Los Angeles County { all 25 Dish-icts}, recrearion districts, utility
distriets, cemetery districts, eammuniry services districts, sanitary districts, water districts, fire
districts, ambuiance services districts, airport districts, and vector control districts.
8.
ond Reporting
The firm has assisted many of our clients in properiy reportin; and accounting far bond
issuance costs and discounts or premiums, as well as reviewing debt covenant requirements.
Many of our clients' audited statements have been included in official debt issuance statements.
6
C'I'i'Y OF' LOS AL.4iYI3T S,'_.
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The firm' s recent local auditing experience includes the following: ( Continued)
9.
Other Aud'ats
The firrn has recentfy concluded auditing lease agreemenfs between the County of Los Angeles
and a lessee Por a paziod of 15 years. The firm has assisted several cities in reviewing franchise
financial statements as part of reviewing franchise requests for rate increases. In addition, the
firm has parforrned transienT oceupancy audits for ten municipalities and has performed various
audits of operatin lease charges ( such as use of a sewage treahnent plant based on percentage
of use by our client and actual expense as recorded by the treatment plant operator). The firm
has also performed franchise audits of Comcast, AT& T, a local sports park, and others for
municipal clients who have requested them.
1a.
JoEnt Powers Authorities
We have audited the foilowing joint powers authorities( 7PAs):
County of San Diega—Emergency Services drganization
Encina Wastewater Aufhority
Exc2usive Risk Management Authoriry of Califorstia
North Coast Emergency Medical Services
Puhlic Agency Self 7nsurance System
San Diego Geographic Znformation System
Santa Barbara Water Purveyors 7oint Powers Agency
Santa$ arbara County Special Education Local Fian Area Joint Powers Agency
Transportation Authority of Marii County
Txacy Area Public Facilities Financing Authori#y
West Confra Costa Lategrated Waste Management Authority
In addition to the joint powers authorities listed above, the vast majority of our governmental
clients ara meinbers of jaint powers aufliorities. As such, our rm has experience in reviewing
JPA statements and disclosing tiie appropriate JPA infonnation in the financial statements for
each governrnental client.
ll.
Inveshnent Compliance
Tn addition to f'mancial statement audits, we also ravieu our clients' cornpliance with their
investment policies and examine investrnent types, including, but not limited to, an evaluation
of maturity dates ( short-term or long- term), types and category, and collateral to ensure proper
disclosure of risk in the basic financial statements.
12.
Ineome Tax Services
The firm
provides
t
servicas such as piannu g, preparation, and Yax audits as weIl as
negotiatzons with the Internal Revenue Service and other taacing autharities on behalf of our
clients.
Plsasa
sea .
4ppendra C --
Current and/ar Recently Campleted Cxovernmental Audits for a list of recent
governmantal audits performed by the firm.
7
CTTY OF LQS ALANIITOS ;
T CHNICAiPROPO AL
APPROAC'H, SCdPE
D TTNTING E3F TFFE AUI3I'£
Please see, 4ppendix D-- Segmentation and Budgeted Hours by Segnzent for a schedule of the Ievel of staff and
number of hours to be assigned to each se nent of the engagement.
During the first year of the engagement, we will atilize the prior year' s financial statemenfs, the curren# year' s
budget, and aur knowledge o£ the City' s sysYems to dotermine maYeriality for the different audif sections, Eacl
year, we will select a sample of transactions to detennine to what axtent the systems are funetioning as
dascribed to us. The extent of our sample size will depend upon our assessment of the intemal cantrol strueture
and the results of our assessment in acoordance with Auditing Standards. These standards require auditors to
perfonn test of controls a d transactions based on a risk appraach.
The selection of fransactions for testing will be made using a combination of random, systematic, and haphazard
sampling techniques. We will identify the strength of the systems upon which we can rely in planning our
svbstantive tesCs. Our internal control review will meef a(] the requirements of AICPA Staternent on Auditing
Standards ( SAS) No. S5, Consideration of ilae Internal Condrol Structurs in a Financtal Statemant Audit, as
a nended by SAS No. 78, SAS No. 9 Consfderatlon of Fraud i a Financdal StaZemetzt Audit, SAS No. 106,
4udit Fvider ce, SAS No. 107, Audit Risk arrd Materiaiiry in Conducting cm Audit, SAS No. 108, Planning and
Supeivislon, SAS No. 109, Understanding the Fntit and Its Environment and Assessi»g the Rfsks ofMateriaZ
Misstatement, and SAS No. 110, Performing rludxt Procedures in Re.rponse to Assessed Risks and Evaluating
the Audit Eviderzce Obdained.
It is estimated that the sampling size for transaction testng for comptiance with systems as actually
implemented would bs as fbllows:
I.
II.
III.
Minimurn of 60 drsbursement items, including autornatic aud manual checks and bank debits
Minimum of 40 payrolf checks, including direct deposits
Minimum of 6Q receipt items
We have extensive know]edge in aut{91ing compater systems. t' e have assisted uumerous clients with the
imp] ementation of accouarting softwara and database business systems. This assistaztoe has provided our firm
wiYh a thorough background in cornputer systams in both the software applications aspect and alsa the insight
into auditing such systems. It is our policy to have a aomputer specialist as part of the audit team. This
individual assists the audit team in documenting the computer system internat control struciure and highlighting
streng87s and weaknesses relating to the computer skucTure of the City.
Mr. C7avid Ortiz witl be Ehe computer specialist assigned to the audat, when needed. Mr. C} rtiz has extensive
knowtedge in auditing EDP functions. Mr. Ortiz may atso perform the statistical sampling procedures for the
audit and also document and test the internal control structure of the compnter systems.
In addition, all of our staff is equipped with networked natehook computers. These computers are equipped
with not only word processing and spreadsheet capabilities, but various funotional software, such as Adobe
Aarobat, the Gaventrnental Accounting Reseazch System Program, the GFdA Blue Book, random sampling
sofiware, Lacarte Tax Program, Easy Accounting Software, which cantains amortization programs and
depreciation programs, and ather applications as well.
As part of our audit procedures we usually request a working trial balance in excel format and access to view
generai ledger detail c irectly from the so€tware system.
We wil3 also perform preliminary analykiaal revzew prncedures using the prior year' s audited staYements and the
current year' s budget. In the preliminary stage, we will adopt ratia analysis procedures to campare the
relationships between account balancas and classes of transactions between prior periods and against budgets
and industry statistics. This will help us to identify the source of individual fluctuations. This may include
bodgets, trail balance, and/ or draft financial statements. Then, we will adopt trend analysis to compare current
data with prior periods. This method is particularly useful for analyzing revenue and expenditures. Any
unexpected trends or deviations will be discussed with relevant City staff to obtaiu exptanations.
8
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3F LC3S mZ. A:VIIT() 5
TECI-DVICAL PROPO .
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We will also review the following docaments in order to detennine compliance with applicable laws and
reg€itations:
L
Minutes of the gove ing bady with special attention to: indications of new revenue sauraes,
including federal and state grai ts; expenditure authorizations and reiaYed appropriations,
including any special or restrictive provisions; appropriation transfars; authorization far bank ar
other debt incurred; awazds to suceessful biddars; authorization for new leases entered into;
cl anges in Iicenses; fines, or fees; authorization for fund balance designations or reservations in
accordance with GASB Statement No. 54; and authorizaYion for significant new employees hired.
2.
New agreements and amendments to agreements including but not lirn'rted to: , n-ai t agreements;
debt and lease agreements; labor agreements; jaint venture agreements; disposition and
develapment agreements; and oti er miscellaneous agreements.
3.
Adminish-ative Code
4.
Tnvestment Poliey
The main extent of aur wark would be iuhat is required to enable us to express an opinion on the basic financial
statemwnts in accordance with:
f17CPA Indusuy Audit Cruide for Siate and Local Governmental Units
2.
AICPA Audit Standards
3.
Guidelinesfor Comp7iance Audrts of Calffornia Redevelopment Agencies
4.
National Cornmittee on Gover mental AccounPing, Ruditing and Financfal Reporting
5.
Laws ofthe State of California
Amended) Fu8lieatdon
6.
Reqairements of Office of Management and Budget' s ( OMB) Cire¢laz A- 133, ffudits of State,
Local Governmenls and Nonprofit Organ9zatians
7.
GAO Slundards for udit of Governmental Organizations, , 4ctivities and Functions, the
Guzdelinesfor FinanciaZ and Compliance Audits ofFederally, 4ssisted Programs
8.
Requirements of the Transportation Development Act
Our firm' s own additional standards and procedures
9.
The audit wili be conducted in accordance vriYh auditing standards generally accepted in ti e United States of
America. The primary pus}>ose of the auc3it is to express opinions an the basic financial statements, and such an
audit is subject to the inherent risk that material errors or fraud may exist and not be detected by us. If
canditions are discovared which tead to the be[ ief that material errors, defalcations, or fraud may exisf, or if any
a2her circumstances are encountered that require exYended services, we will promptly advise the City.
If convenient for the City' s staff, the approximate target dates for Yhe fiscal year 2011 City aud'rt wauld be as
foilows:
I)
Planningmeetingandentranceconferance— June13`"
2)
Interim field work—week of June 13`h
Exit conference with tlie City for the interim field work— 7une 17'
3)
4)
5)
Entrance conference and yeaz-end field work—Week af September 12`
Exif canference— No later than September lb°i
6)
Draft Audit Reports and Managemant Letter—No later than Oetober 27`n
7)
Final Audit Reports— I o later than November 30`"
8)
Counoil Presentatian— Open
9
CITY C8F LOS ALA.zVtIT S
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Our audit would begin when it is convenient for the City' s staff. We estimate that in the second week of June
we will perfoan intericn work.
Each yeas, t3ie partner or manager af the firm will contact the Fuiance
Department personnel. The purpose of this contact wiil be to discuss the saope and timing of the annnaf audit,
to review any accounting issues known aY that time, and to address any City personnel' s concerns abouti the
impending audit.
e will schedule approximately one week of 'rnterim work each year. During the first year, we will prepare
nanative flow charts and ofher documentation of the internal control structure and of the major systems, such as
revenue and cash receipts, purchasing and cas3 disbursements, payroll and personnel, inventory, propetly and
equipment, ga•ant coznpliance, investmeni activities, and the budget process. We will gaiir this information
through discussions with appropriaie City staff and tlie reviaw of available documeni:ed policies, organizational
aharts, manuals, programs, and procedures. Once we obtain this information, we will evaluate the systems of
intamal controls and revise aur standard governmental audit programs.
In August, we will contact you to provide anr detailed audit plan For the } rear-and iteidwork. We will also
discuss witl you any metters that may impact aur audit procedures or your financial reporting. Before year-end
fieldwork, we wi11 disouss with you any assistance the City may need with the year-end closing.
Our year-end fieldwork wouId begrn on Septembee 12'. The year-end audif work wi11 begin with an analytical
review of alf significant balance sheet and revenues and expenditures%xpense accounts for each fund, which
includes a camparison of prior yeaz' s financial statements and current year' s budget to the year-end tria}
balance. It is our firm' s po3icy to perfarm substantive teses on all balance shee4 accounts. Analyticai
pracedures will be used to supptement the subseantive tests, uot suppiant them. Wa will perform analytical
procedures during interim and year-and fieidwork on ail balance sheet and revanne and expenseJexgandrtura
aconants.
The primary objective of the yr:ar- and audit work is to audit the finat numbers that will appear in the City' s
basic financial statements and re rort on complia ice with ] aws, regulations, and grant agreements. Our
field> ork would also cons'rst of procedures required under SAS No. 99, Consideratzon of Fraud rn a Financial
Statement Audit.
We will perform proceduras such as:
a)
Confirmations by positive and negative circularizaYion including but not limited to all cash and
investment accounts; selected receivable and revenue balances; all bonds, ( oans, notes payable,
and capital teases; all notes receivable; all rnsurance camers; all legal firms employed on Ciry
business; and other miscellaneous confirmations deemed necessary
b)
c)
d)
1' hysical verifications and observations
Anaiysis and review af evident'ral material
Interviews and invastigative efforts
e)
Electronic data pracessing testing for computer and software reliability
f)
Numaraus other proeedures
During the entire engagement, onr audit team will be determrning whether an aadit in compliance with OMB
CircuXar A- X33 is required through raview of the City Council minutes, examination of tha general ledger, and
discussion with finance personnel.
If a compliance audit is required, we would perforrn tests of: specific
requirements; claims far advanaes and reimbursements; and amounts claimed or used for rnatching in
compliance wiTh the Singte Audit Act. The compliance, audit will be conducted in accordanee with auditing
standards generally accepted in the Unifed States af America, the GAO Standards for Audits of Governmental
Oi°ganization,r, Programs, Activities, and Functions, and the GAO Guidelines for Financiat and Conapliance
Audits ofFederally Assisted Programs.
The year-end fieldwork should be completed no later than September 16`h.
10
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F Las ALANrr ros `
1-T1vICAL PROPdSAL
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The Governmental Accounting, Auditing and Financial Keporting ( GAAFR}, issued by the Government
Finance Officers Associatian ( tfae` Blue Book") and other GFOA pubiicatians are often used as additionat foois
when preparang and reviewing the financiat statements of our governmentai clients. The firrn has and uses its
extensive] ibrary of etrrrent AICPA; GFOA, and GASB puhlications and pronouirceme ats.
As part of our audit engagements we issue our clients rnanagement letters if we nate certain observatians ov
raoommendations that we feei need to be disclosad. Our firm' s philosophy regarding the managament lettar is
that EI e management letter is tn help management 'rmprove its internal eontrol and accounting procedures a ad
not to criticize the management in charge. This is why we present our management letters to mana emeni in
drafi form for open discussion prior To issna ace.
It is o r understanding that we wi1( perfarm an audit af' the City' s basic financial in accordance wlth auditing
standards generally accepted in the UniYed States af Arnerica with the objective of expressing an opinron on the
fair presantation of the basic
na cial staterraents, which will be in ftill complianoe w'rth Goverome tal
Accounting Standards Board ( GASH) 5taternent No. 34, 45, 54 a d tha GFOA' s Blue Hook, We wiil afso
express an " in- relatian-to" opinion on tl a combining and indiv'rdnal £ und financial statements and supporting
schedules based on the auditing procedures applied during the audit of the basic financial statements,
AddiYionally, we will tes compHaiace with the Single Audit Act as ameFided in 1996, and applicable l ws and
regulations.
I addition to the procedures deemed necessary to express our opin'ron on the basic financial statements, we
understand that we wi]t also be responsible for performing certain limited procedures involving the
management' s discussion and analysis ( MD& A) and the required supplementary information ( RSI) required by
the Governmentat Accounting Standards Board, as mandateci by anditin; standards generally accapted in the
Uivted States
f America.
Our audits would be canducted in accordance with auditing standards genarally accepted in the United Statas af
America; Governmenr AudiCing Stundards, issued by the Comgtroller Genera] of the United 3tates; the
provisions of the Fedaral Single Audit Act Amendments of 1996; U. S. O
ce of Management an6 Budget
OMB) Circalar A- 133, Audlts ofState, Loeal Governments, and Nonprofit Orgar izatdons; and Article XIFIB of
the Calafornia Constitution— Appropriations Limit
It is our understatrding tl at we will be responsible for issuing the foliowing reports: an independent auditor' s
report on the fair presez5tation of the City' s basic finanezat statements in conformity wifl accounting principles
generaily accepted in the linited Staees of America; an independent auditas' s report o
internaI control over
financial reporting and on compliance and other matters based an an audit of financial statements performed in
accordance with Government Auditing Standards; an in- relation-to raport and notes on the schedule of
expenditures oF federal financial assistance in accordance with all requiremen#s of the Federal Single Audit t4ct
of 3996; an independent auditor' s report on compliance with requirements applicable to each inajar program
and on internal control aver compliance in accordance with OMB Circular A- 133; a summary schedule af
findings and questioned aosts; a report an agreed- upon procedures applied to the GANN Limit( Appropriations
Limit}; a letter of Communication to the Pinaocial C3versight Body; and a management letter.
Addieionally, w will review and evaluate tlae Cify's exclusive franch9se solid waste hanler eontract and examine
the assets of Los Alamitos Television.
We understand that we will be responsible for preparing, editing, and typing the City' s Comprahensive Annual
Financ'ral Report ( CAFR) for review in the Government Finance Offcers Association' s ( GFOA} Certificate of
Achievement for Excellence in Financial Reporting Program.
r1
CITY OI' LOS ALANiITO '''
CI-1NICA1 PROPOSAL
APP€2€
CH, SCOP
Ate L4 T'gMll!' G OF TI
ALi13IT { CC7IVTINLJED)
The workpapers for this engagement are the propertu of Moss, Levy c4z T-Tartzheim, LLP and constitute
confidential information.
However, we Fnay be requested to make certain workpapers available to any
Cognizant Agency pursuant to auChority given to it by Iaw or regulation.
workpapers
wilt
be
provided
under
the
supervisian
of
Moss,
Levy &
If requested, access to such
Hartzheim,
LLP' s personnal.
Furthermore, upon request we may provide photocapies of selected workpapers to the Cognizant Agency. The
Cognizant Agency may intend, or decide, to distribnte the phatocapies or information contained therein to
others, including other governmental agencies.
The workpapers and re3ated audit reports for this engagement wili be retained for a minimum of seven( 7) years
after the date the auditor' s report is issued ar for any additional period requested by the partias designated by
tl e Federal or State governmenf ar by the City foe audiL If we are aware that the audiYee is eontesting an a dit
finding, we will contact the auditee for guidance prior to destroying the workpapers.
We do not antieipate any problems with the audit exoept for items listed in past managament lettars. In ths
event of a problem, the Administrative Services Director, the City Cauncil, the City Manager, and the C'rty Attomey
will be immediately notified in writin; of any fraud, other illegal acts, or indicatiox s of i] legaI acts foand during
the course af our audit wark. All other discrepancies or weaknesses irt the internal contro] system that we
beooine aware of will be communicated to management througfi discussion, the management recommendation
letter, andlar Sf it is a reportable condition, as part of the single audit report, if necessary.
MinimaI assistance of the City' s staff is required daring the course o£ the audit; however, we da ask tI at tl e
Cit}+pro ida the following: cooparation in answering questions, requested confirmations, bank reconciliations,
an electranio trail balance and general ledger, and other miscellaneous items.
Under penalties of perjury, I dcdare thaf I am an authos-ized signer and that there are na and have i ever been
any fenanciai interests between any afficials ar ernployees of the City of Los Alamitos and Moss, Levy &
Hartzheim, LLP.
Respectfully su6 i.nad
A _.._.._„_„
Craig A. T-Tartzheim, C. P.A.
Partner
Vloss, Levy c& T$ artzheim, i, P is an Equat Oppmrtunity Employer,
12
CITl' 4F LOS ALAl4'LITf _
P' NDIX A—PEER OUALITY REVIFW RFPORT
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Sysfem Revfew RepoR
Ta the Partners of
Moss, Levy& Hartztieim, LLP
and tbe Peer Review Committee of t!re State ot`Califontia
We have reviewed the system o€ quality contrai for tt e necounting and audring pc•actice af Ivinss,' I,eyy& .
Ha tzheim, LLP( the f n) in effect for the year ended Decea ber 3l, 2008. Ovr review wes conducted in
accordance with stantlarrls for Performing and Reparting on Peer Reviews es#a6lis2 ed by the Peer Raview
Board of the. 4merican[ nstitute of Certifred Public Acenuntants. The fi m is responsible For designing a
system of qua(i1y couh•ol and complying wfth ' rt to provide t6e firm wJth raasonahle assutance of
erfonning and reporti zg in r, nformity with applioabte professional stattdards in a2! ma#erial iespects.
Qur responsihifity-is to express azs op'tnion. on tl e desig t of the system of quality conno3 and fhe firm' s .
compliance therewitb based on our review. Ti e nature, objectives, scope, iimitations of, :and fl e
procedures perFormed in a System Review are described in the sYandardg at ix ww.a'rcna orglprsummarv.- .-
As required by dte standards, engagements selectect for revinw inctuded engagements performeit imder
Governnentsluditing$ tanddrds and audits of emp3oyee benefit plans.
In our opinion, the system of quality control. for fhe , ecovnting a 7d auditi g practice of Moss, Levy &
Hartzheim, LLP ih effect for the year ended December 31, 2608, has bean suitabiy designad and compl ed
witii to provfde the finn witl7 reasonsble pss iranca of perfonning and rapaning in confonnity wiilr
applicable professional skandards in all inaterial respacts. Firms can recaiye a rating ofyass, ppas H ith
defectenay( ies) or fnil. Moss, Levy& Hartzheim, LLP has raceived a peer review ratin ofpass.
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885-772,1 • ('
13
3 a7 @ ( 2« llo d, C 9:1'375
ox JC-`J- Sti5-75<ki
i,,,,
6, w,: E: f C, n, i.. l G„ i,im A... o, io„ b
'
CITY( 7F LbS ALANNYTTTE
PFE' VDIX B— RFSUMES
ion A. Levy, C. F.A.—Partner
Califorraia licensed C. P. A. with 34 years of audit exparience wiin governmental and noizpiofit entities.
Tecluiical pariner { concuning) in chazge of akl govemrnantal and non-profit avdits,
currently including 33 municipal audits, 75 special distrlet audits, and 35 school districts
and related audit.
Has assisted governmental ctients with year-end closang, key positron interviews,
preparation of award winning CAFRs, and preparation of State Contraller' s Ttaports.
Has met or exceeded all continuing educaYion requirernents, 3ncInding recent courses in
the following:
2010, 20Q9, and 2008 Governmental Recounting Conferenee
2070, 2d09, and ZOd8 School Distriet Confer-ence
GASB 34 Training Seminars
PJanning a Governmental Audit E agagement
Auditor' s Reports on Rudits ofLocal Govern nents
Governmental Accounting Update
Audit.r ofStaze and Local Governments
Cam liance Auditin
ffuditing Sampling, and ConcZuding the AudiE
The Single Audit rlcc
w
A ember of the following:
American I€7stitute of Certified Publie Accountants
California Saciety of Municipal Finance Officers
Califomia Society of Certified Public Accountants
California Association of School Business Officials
Kiwanis Club
Bachelor of Science degzae frarn Oregon State University conferred in I9 J7.
Taught acconnting courses at a branch pf LaVeme Col2ege and Chapman ColIege.
o
Knowledgeable about a1I areas of tax law including non- profit t
bSr. Levy' s ancestry is af Hispanic desceut.
14
issues.
CITY OF LOS ALAIvIITf
APPENLTT
B—
ESUME
CraFg A. IIiartzheim, C.P.A.—Partner
California licensed C.P.A. with 27 years of audit experience wieh governmental, nonprofit, avd eommeroiai antities.
Engagement partner for governmental and non-profit audits ( Beverly Hills office),
currently including 17 municipal audits , 40 special district audits ( including Los Angeles
County Flood Control District and the County Sanitafion Districts o£ Los Angates
County), and 12 school disCriets and related audits.
Ias assisted governmental clients with year-end closings, key positian interviews,
preparation of award winning CAFRs, and preparatian of State Coniroller' s Reports.
Has met or exceeded aIl continuing education requirements ineluding recent courses in
the following:
201Q, 2009, and 2008 Governmental ftccounting Canference
2010, 2009, and 2008 SchaoZ District Conference
Audits afStates and Local Governments
Preparzng Governmental Financial Statemends
Yedlow Book, Government Auditing Standards
GAAS Guide
Other Comprehensive Basis ofAccounting( OCB0 2) Statements
rludit Standards update
Implementing SAS 112
Implementing SAS 114
Auditing update
Grants Managernent
BacheIor of Science degree in Accounting from Marquette Unaversity confarred in 1982.
s
Member of the following:
American Institute of Certified Public Aecountants
Californza Society of Certified Publie Aecountants
Knowledgeable about all areas of tax taw inclading non-proft and payroll tax issues.
IS
czTY o
Los
An r c
APPENDIX B— RES77MES
Haaltey Y. Iiui, C.I'.A.—Partner
e
California licensed C.P. A. with 23 years of audit experience with governmental, nonprofit, and commercial entities.
Partner in chazge o£ t 1 municigaI audits, 26 special district aixdits, 20 school districts and
related audits, and 8 special audits far the County of San Diego.
Supervisor for the CSS and DPSS Monitoring Projects for T. os Angeles Counry.
I-Tas met or exceeded ati continuing edncation requirements including recent courses in
the following:
2010, 2009, and 2008 Governmerital Accounting Conference
20I0, 2Q09, and 2008 School District Conference
20Q6& 2005 Single Audit Compliance
GASB 34 Truining Se ninars
Risk-Based Ruditing Parf l, Parf 2
2009 Accountzng ttnd Auditing Update
Guide ro Auditfng Control Course I, Course 2
Extensive lmo ledge of da#abase systems, networking, and varions acconnting software.
Bachelor of Arts degree in Economics with a nxinor in Accounting from UnSversity of
Califomia—Los Angeles was conferred in 199Z
e
Member of the following:
Amarican Institute of Certi
ed Pubiic Accountants
California Sooiety oP Certified Public AccountanCs
Knowladgeable abont all areas of tax] aw including non-profit and payroil tax issuas.
16
e r
cs
ti'
vos a.
APP]=NDIX B—RFSUMES
Y3erek R
e
mpo
e—
Ianager
Manager with ] 3
years
of audit eaperience
with governmental, non-profit, and
commercial entities.
Manager for 9 municipal audits, 21 special district audiES ( including Los Angeles Couztty
F1ood Cantrol District), 4 school distrsct audaTS, avd 5 joint pawer authority audits.
Supervtsor for the CSS and AAA Monitoring Prajects, and Rancho Business Park Lease
Audit.
o
PaeId Supervisor for all County af Los Angeles engagements.
T3as met or exceeded all continuing educatinn requirements including racent courses in
the followrng:
2010, 20D9, and 2008 GovernmenfaT Accounting Conference
2010, 2G09, and 2008 School Districr Conference
2008 Accounting and fludii Update
A Bachelor of Arts degree in Business Eoonomics with an emphasis in Accountuig from
University of Califomia— Santa Barbara was confened in 1499.
I3avid Yang, C.P.A.—Manager
R
Cal'rfomia licensed C. P. A. with 9 years of audit experience with gavernmentai, nonprofit, and commercial entities.
Manager for 14 municipal audits, 27 specia] district audits, and f0 school disuict audits.
S'upervisar for the County of Los Angeles DMH, CSS, and DPSS Monitoring Projects,
and the Rancho Business Park Lease Revenue audit,
Has met or exceedad all continuing education requirements including recent courses in
the following:
2d1 Q 2009, and 2008 Governmental Accounting Conference
201Q 2009, and 2008 School District Conference
2Dd9 Accounting and guditing Standards update: RiskAssessment Standards
2009 Advanced Audit Standards Workshop: Understanding Rtsk Assessment
Bachelor of Arts degree in Business Economics with a minor in Accounting from
University of California— Los Angeles was confened in 2043.
1' 7
CITY
FL
5 AI.AMd'F('
APPrNIIIX B— RESUMES
Derek
Vnong Bna,
C. P. A. —t I nager
California licensed C.P. A. with S years of audit experience with governmental and
commercial entivas.
Auditor for 3 municipal audits, 3 special district audits, and 5 school district audits.
Staff accauntant For the Las Angeles County DMH, CSS and T3PSS Manitoring ProjecYs.
I-Jas met or exceeded all continuing education requizements including recent caurses in
the foliowing:
2P70, 2009, and 2008 Governmental Accounting Conference
2008. 4ccounizng and, 4udii ITpdate
201D, 2009, and 2008 SchoolDistrict Confe ence
Bachalor
of
Arts Aegree in Finance from California State
IJniversity — Fullerton
was
conferred in 20d2.
Edward R. Eisenha er, C.P. A.—Senior Accountant
California licensed CPA w'tfh 25 years af experience, and 7 years of audit experience
with gavernmentai, non- prafit, and commercial entities.
Auditor for 7 mvnacxpal audits and 3 special district audits.
T-Tas met or exceeded atl continuing education requiraments includ'rng recent-caurses an
the following:
2010 and 2009 Governmental Accounting Conference
2010 and 2009 School District Conference
2009 Accounting and Auditing Standards Update: Risk Assessment Standards
2009 Advanced fludit Standards N/orlrshop; IJnderstanding Risk Assessment
2009 G AS Update
Auditors' Responsibilifies for Detection ofFraud
Internal Control and Fraud tn Governmental Engagements
Government AucTzting Standards— Yellow Book
ImplementingSAS112 & 114
Advanced Fraud Techniques
Grants Alanagenzent
Bachelar of Science degree in Accounting from University of Wisconsin— Whitewater
conferred in 1982.
Knowiedgeable about all areas of tax law including non-profit and payroll tax issues.
I8
CITY OF LQS ALAMITG'
PPF;NI7TX B— RESI TiV%ES
Peari Tsui, . P.A.—Seniar Accouutanf
California licensed C. P. A, wiEh 5 years of audit experience with gpvermnental and
commercial entities.
o
Auditor for 9 munzcipal audits, 6 specia2 district audits, and 4 school district audits.
a
Staff accountant for the Los Angeles County bMH and CSS Monitvring Projects.
Has met or exceeded all continuing edncation requirements includrng recant courses in
flae following:
2010, 2009, and 2008 Governmental Accounting Canference
2010, 20Q9, and 200& SchooZ District Conference
20d9 Accounting and Auditing Standards update: Risk Assessment Standards
2009AdvancedAudizStandardsWorkshop: UnderstandingRiskAssessment
v
Bachelor af Science degree in Management Science from Universiry of California— San
Diego was conferred in I999.
MichaeT Pei— Senior Accountant
Auditor with 5 years of audit experience with governmentat and cotnmercial entities.
Auditor for I 1 municipal audits, 8 special disirict audits, and 6 school district audits.
Passed all 4 parts of the C.P. A. examination.
Staff accauntant for the Los AngeIes County DMH, CSS and DPSS Monitaring Pra}acts.
Has met or exceeded all continurng education requirements including racent courses in
the foitowing:
201D, 2009, a id 2008 GovernmentaZAccounfing Conference
2Q08 Accounting and Audzt Update
2010, 2009, and 2008 School Dfstrzct Conference
Bachelor of Arts degree in Business Economics with a minor in Accounting frpm
University of California— Los Angeles was conferred in 2005.
In Sook Iian—Senior Accountant
m
Auditor with 5 years of audiY experience with governmental and cammercial entities.
m
Auditor for 9 municipal audits, 7 spacial distrzct audits, and S school district andits.
Staff accountant for the Counry af Los Angeles Rancho Business Park Lease Revenue
audit.
Staff accountant for the Los Angeles County DMH, CSS and DPSS Monitoring Projects.
Has met or axceeded all continuing education requirements incIuding recent courses in
the Pollowing:
201D, 2009, and 2008 Governmental Accounting Conference
2010, 2009, and 2008 School District Conference
Bachelor of Social Science from In- Ha University in Korea was conferred in 2002.
Master of Business Administration in Accounting from Pacific State University was
cpnferred in 2006.
t9
C'I'1' Y f?F LCBS AZ,flMIT<
P NI71X B— RESi
E
Ricky Tzu-Wei Kno—Seniar Accou¢ tant
Auditor witlt 4 years of audit experience with govemrnentaI and comn ercial entities.
Auditor for 6 muz7ic'rpat audits, 3 special district audits, and 4 schooI distrzct audit.
Staff accoixntant for the Los Angeles Counry DMH Monitoring Projects.
Has mat or exceeded aIl continuing education requirements includulg recent courses in
tlie followSng:
2010, 2t}09, and 2/ 8 Governmental Aeeounting Conference
2010, 2009, and 20b8 Schaot Dzstries Canference
Bachelor of Science in Business Administration with an emphasis in Accounting from
California State Universiry—Los Ange3es, was conferred in 2005.
Bin Zeng— Senior Accountant
Auditor wath 3 years of audit expea-ience with governmental and commercial entities.
Anditor for 6 municipal audits, 4 special dis2rict audits, and 8 school disfricf avdits.
4
Staff accountant for the Las Angeles County DMH Manitoring Projects,
a
Has met or exceeded all cantinuing education requireanents including recent courses in
tha folIowing:
2010, Z009, and 200$ Governmental Accounting Conference
2010, 2009, and 200$ 5chool District Conference
Bachelor
of
Arts degree in Business Econamics from
University
of
California — Los
Angeles was conferred in 2067.
Wilson Lam, C.F.r4.— Senior Aecnunfant
o
California licensed C.P. A. with 3 years of audit experience with gpvernmental and
cammercial entities.
a
Auditor for 3 municipal audiTS, 3 speciai district audits, and 6 schoo[ district audits.
a
Has met or exceeded all continuing education requiremenzs inclnding recenT courses Sn
the following:
2010 and 2009 Goverrsmental Accounring Conference
20I0 and 2009 School District Conference
Bachelar of Arks in Accounting and Finance from California State TJniversity- Fullerton
was confened in 2065.
20
CTTY€) F L S AL.4MITG
PPENDTX B— RESI7MES
Susan Chin— Staffl' Aecous tazat
Auditor w9th 4 years of andit experience wiUi governmental and commercial entities.
m
Auditor for 3 municipal audits, 3 speciai distriot andits, and 4 school district audits.
e
Staff accauntant for tha Los Ange2es County DMH Monitoring Projects.
Has met or exceeded all con6nuing educaYion requiremen#s including recent courses in
the following:
20ID, 2D09, and 2008 GnvernmenlaZAccounting Conference
2070, 2009, and 2pp$ SchooZ Distrrct Conference
Bachelor of Arts from Univarsity of California— Los Angeles was conferred in 1942.
Jumy Chan— Staff el.ecountant
Auditor with 3 years of audit experience with gavernmental and commerciai entities.
Auditox far 6 municipal audits, 2 special district audits, and 2 school clistrlct audits.
Has met or exceeded ail continuing education requirernents inctuding recent couxses in
tlie followin;
2010 Governmental, 4ccounling Conference
201 D SchoaC District Canference
Master of Acconntancy fram Golden Gate Universiry was conferred in 2009.
Bachelor of Science degree in MatHematics/ Econamics from Universiry of California—
Los AngeIes was conferred an 2006.
Thieng Hanh Lam— Staff Accountanf
a
Auditor with I year of audit experience with governanenta] and commercial entities.
s
Bachelor of Arts degree in wnomics from University of California— Los Angeles was
canferred in 2010.
ed Lin— Staft Accountant
Auditor with I year of audit experience with governmental and oommercial entities.
e
Bachelor of Arts degree in Intemational Studies with a minor in Accounting from
University of California— Irvine was canferred in 2009.
21
c
o
s a, a' _
APPE DIX B— R
Da id
IJt
rtiz—Compater Speciainst
Auditor witl 21 years audit experienca witla govemmental and cornmercial entities.
Computer specia] ist—wiCh emphasis in fund accounting saffware.
Extensive knowledge of database systems, networking, and accounting software.
A Bachelor of Science degree in Business Administratiou with an emphasis in
Accounting from California Polytechnic State University, San Luis Obaspo.
22
rr.
c1 r c F os.,.
APPENDIX C- CURRENT t11v'D/ dR RBCEN7' L Y CONIPLETED GOVERNMENTAL AUl7IT5
CTTIES AND REDEVEi,6Pi tENT AGENCIES
SCFTOCIL DTS' PRICTS
Adetanto, CA
Acton-Agua Dulce L7nified Schoa} Disvict
Angels, CA
Ballazd School Dist rict
Aieata, CA
Bellflower Un
Ano} ro Grande, CA
Beverly F{ Ills Unified 5chool Distcict
Beaumont, CA
SIochman Union School Disuict
Aellflower, CA
Bradley Elementary Schoal Dishict
Brawley,
CA
ed SchooL Dis[ ricV
Bucllton Union School Districi
Catabasas, CA
Calaveras County Schools
Calexico, CA
Calipatria Unified School Disfrict
Campbell, CA
Carpinteria Unified Schoo] District
Camarillo, CA- Internal Control AvdiCS
Casmalia School Disirict
Capitola, CA
Castaic Union Schoot Dishict
Clayton, CA
Cayucos Elemernary School District
Coast Unified School Dish ict
Cloverdale, CA
County
of
Sen Diego Redevelopmept
Agenoy,
CA
Dinuba, CA
Cold Springs School Bistrict
College Llementazy School District
EI Centro, CA
Eastside School Bistrict
Eureka, CA
EI Segundo Unified Schoof District
Fillmore, CA
Garvey School District
Fort
Goleta Union Schoo3 District
Bragg,
CA
Grover Beaeh, CA
Graves Schoo] Distriot
Gustine, CA
Heber Schoai Disrtiet
Healdsburg, CA
Aughes- Elizabeth Lakes Unlon School Dish ict
Hercules, CA
Keppel Unian School Distriot
Rolroille, CA
I.ancaster Sahool Distrfat
I3ughson, CA
Magnoiia Union 3ohool Disiric#
Imperial, CA
Manhatcan Beach Unified Schoo3 Districc
Iaguna Hifls, CA
Mark Tuzin Union Elesnentary School District
Lathrop,
Meadows L'nion School District
CA
Lemon Grove, CA
Mission Schaol Bistrici
Lompoc, CA
Monrovia L'nified 3chooS BSstrict
Lynwood, CA
Montecito Union School Bishiet
Mocgan Tilll, CA
Mulberry School Dishict
Qakdale, CA
Novato Unified School bistrict
Ojai, CA
Oreutt Union School Distriot
Pacifica, CA
Pacific Unified School District
Paso Robles, CA
Paimdale School D'ashicY
Santa Maria, CA
Pleasant Valley Union School District
San Ardo Elementary Sqhool District
usanville,
CA
San Lucas Schoo! Distriat
Taft, CA
Town
ofParad'ase,
San Miguel Joint Union Schoo! Distrlot
CA
Santa.Maria Joint Union High School District
Shandon Unified Schopl Dishict
Itacy, CA
Watsonville, CA
Westlake Viliage, CA
Wtrittier, CA
Solvang Elemenfary Schonl District
Tample City Unified School Distriot
Winters, CA
Torzance Unified Sohool District
Yuba
Vallecito Union School Disirict
City, CA
Westmoreland S3ementary School District
Wilsona School Bistrict
OTHER SCHOOL ENTITiES
PUBLIC H' INANCING AUTHCIRITTFS
The majoriry
so
of our
Municipatities issue debt
thxongh an astablished Public
and
do
Finanaing AuthoriTy.
Academia Semillas del Pueblo Charter Sohool
Antelope VaIley Sohonls Transportstion District
Bright Star Secondary Charter Academy
East Bay Regional Occupational Peogam
Ga¢ Academy of Mathematies and Enterpreneurial 6tudies
Pacouna CharterSehool
Santa Ynez Valiey C'harter Sohool
Souihem Califbrnia Regiona3 Oceupationat Center
Ste31a Middle Chatter Academy
Synergy Chartcr Academy
Tri-Valley RegionaS Occupational Program
23
cz
z..
oF Lc s.
r
APPENDIX C— CURRENa , iNb/OR RECENTLY CO_'
v FL£:TED GOU RN:NIEVTAL A€T3ITS
COLJNTI
S
FIRE PI24TGCTION riTSTRICTS
Los A.ngeles
Cayucos Firs Protection Distrlct, CA
San Drego
Lakeporf Fire Protecrion DistxicC, CA
OrouGt Pire Protection Drstnct, CA
Covnty, CA( Masfer I..isk}
CounYy, CA( Masrer List)
3ANSTATION D2S' I`RICTS
OTH
R DISTRICTS
Carp3nteria Sanitation District, CA
Cayucos Sanitalion District, CA
County
Saaitation Dishicts
of
Beaeh Cicies Hea7th District
Los Angefes
County,
CA
County of 9an Diego Einergency Services Organization
AS] 25 I} istricts
Encina Wastewatei
Authority,
Covnty of San Diego First 5 Commission
Covnty of San Diego In-Home Supportive Services
Public Authority
CA
Montecito Sanitarion District, CA
Orange
Covnty
Sanitation District, CA- Intemal Audits
County of San Diego Health and Human Services Agency
Child Development Pmgram Gra st
UTILdT' Y BYSTIYICTS
Georgetown Divide Public
Urility
Couniy of San Diego MI6CR Grant
County of San Diego RLETC Grant
Connty of Los Angeles Delta Sigma Theta, Head Start
District
Program, Tnc.
WATER/IRIiIGATIQN DI87`ILICTS
County of Sau Diego DA Office of Auto Ins. Fraud
Grant, Urban Auto Fraud Grant, WC Ins Fraud Grant
Los Angeles Counry Fiood Control District
Aldercro#Y Heights County Water District, CA
Foothill 4tunieipal WaTer I}istriet, CA
Marin/ Sonoma A IosgviYO and Vector ConTrol DisVict
San Diego Geographic Informafion Source
Main San Gabriet Sasin Watermastez, CA
Marina Water District, CA
Tracy Area PubIic Facilties Flnancing Agency
North Mazin Water DistricX, CA.
West Contra Costa 7ntegrated Waste Management
Sweetwater Spxings Water IJisCriot, CA
Valley Coun#y Water D'asis'rct, CA
Valley af the Moon Wafer L7istrict,
Authority
CA
TRANSPQRTATION DEVELOPMENT AC'R'
AIiBULANCE 6ERVTCES DI;STFLiCT
Arroyo Grande, CA
Beaumont, CA
Casnbria
Srawiey, CA
North
Calexico, CA
Community fiealfhcare I)r"strict
Coast Emergency Medical Services
El Centro, CA
C
METERY DISTRTCI'S
Grover Beach, CA
HoltvilFe, CA
Arroyo Grande Cemete[ y District, CA
Atascadero Cemetery District, CA
Paso Robles, CA
Gridley- Biggs Cemetery Disaict, CA
Council:
San Luis Ohispo Counry and Cities Area Plazming
Sxn Miguel Cemeteiy District, CA
Santa Maria Cemetery D3strict, CA
Looal Transportation Fund
State Transit Assistance Fund
South County Area Transit, CA
L'OMMUN3T7' SERVICES DISTRICTS
Souffi County/ San Lu'rs pbispo Transit, CA
Cambria
Transportation Agency£ or Monterey County, CA
Transportation Au[ hority of Marin
Community Services Distdct, CA
Cuyama Community Services I7istrict, CA
Association of Monterey Bay Area Governments
Groveland
Community Services District, CA
Heritage Ranch Community Services District, CA
Los Alarnos Community Services District, CA
Nice Community Services Districl, CA
Rancho Murieta Community Services Distzict, CA
Santa Ynez Cominunity Services Disiriet, CA
Vandenberg Village Community Services District, CA
Santa Cruz Ttegiona! Transportation Commission
TR.4NSIENT QCCUPANCY TAR AUDITS
Represented tha following muniaipalities and/ or eounties
in the audit of the hatal " bed tax" rer,ords:
Arroyo Grande, CA
ItECREAT1tlJN ANI?PAItK I3ISTRTCTS
Bellflower. CA
Bishop, CA
Conajo Recreaeion
and
Isla Vista Recreation
Pazk District, CA
and
Calexico, CA
Park District, CA
Carmel, CA
Mountains Reereation and Conservation Authority, CA
Itaneho Simi Recreafion and Park District, CA
Hayward Recreation and Park Disirict, CA
Ojai, CA
Pismo Beach, CA
Santa Mazia, CA
Soath Lake Tahoe, CA
BUILI}YNG AIJT'IIORITY
Whittier, CA
County oF San Diego Regionai Building Authority, CA
24
CFtY
F Zl3U HL.È_'rAlB VP
..
APPENDtX D- SEGIvSENTfl 10N AND BUDGETED FIOURS 8Y SEGTVIENT
Fstimafed Iioops
Pzrtner/
Teehnical
AUBIT SEGMENTS
Cterical
Sta{ p/
pe
iAfist
Senior
Planning
1Manager
Partner
TaEat
4
4
8
t2
6
20
4
4
g
2
4
4
6
0
2
t8
12
IS
4
31
Risk Assessment
2
Audit Corrferences
Preliminary, Progress,
aod
Exit)
Correspondenec
4
4
7$
Review/ Documentation of
internal ConVOls( including Singte Audit):
Dooumenfationqfsystems
Testingofsystems
Compliance
Testing( inctuding
Year End Balances
Single Audit}
32
Testing
22
38
I4
6
40
25
17
IO2
4
26
Revenue and Expanditure/ Expense
Analysis{ Analylical
Preparation, Review,
Proceduresj
and
Findings
GRAND TOTAL
.
14
16
76
IQ
I3
26
b9
20
80
8S
90
65
340
25
EXHIBIT B
APPR.OVE'D FEE SCHLDULE
sa
45795. 1
CITY dF LOS ALAi3ITC3S
CCiST PRO OSAI
b'or the Ffsesl Years Ending June 3( 1, 20I1, 20I2, and 2613
O tionai Tiscat Years Ending Juue 30, 20i4 aud 2015)
3ubmitted I3y:
Mass, T, evy& HarCZheam, LLP
9107 Wilshire Blvd. Suite 400
Beverly Hills, CA 40210
California CPA License Number: 6998
Federal Identrfication Nnmber: 75- 31940I t
Phone: ( 310) 273- 2745
Fax: ( 310) 273- 1689
Email: mihbh(a mlhcpas. com
Website: www.mlhcpas. com
Submitted On:
Apri128, 202 2
Contaet Person:
Craig A. Haztzheim, CPA: Partner
Ron A. Lavy, CPA: Partner
TIadlsy H. Hui, CPA: Partner
crr r c
vos a,.
ros
cosT rxon,_
l.
ToTAL r L,L-1Sr-cLUSivE iV
X]1t FCrivi PzucE
Al1 aut-of-pocket expenses are included in the fee. Na costs will be passed on to the City.
ALTI} IT W C3RK Ct3ST PIdOPOSAL
Service
Ci4y
Audit
and
Related Re
GANN Limit Review Re
Siu Ie Audit
and
20I0l11
20, Od0 $
orts
ort
Related Re
2031/ 12
ort
20,000
2012/ 13
$
2013/ 2014
20, 000 $
20,000
2014/ 2015
$
20, 000
500
500
500
500
500
3, 306
3, 3d6
3, 300
3 900
3, 300
1, 975
1, 975
1, 975
1, 975
1 975
1, 975
1, 975
1, 975
1; 975
1, 975
2, 775
775
2, 775
2, 775
2, 775
Eva3uation of Solid Waste Hauler Franchise
Fees
Assessment of Los Alamitos Television Fixed
Asse
S
Discount- IO"/ a
Todalfor Fiscai Year
pot-#o- exceed)
24,975 $
24, 975
$
24, 975
$
24, 975 $
24, 975
ISCOTJN' T
Due to the current economic environment, Moss, Levy& Hartzheim, LLP has accepted the fact that
in order for government entities to survive some of the revenue cntbacks, contractors will need to
reassess their hourly fees or total estimate of costs. Therefore, we are reducing our total esrimate fee
by 10% to assistthe City in these challenging economic times.
Name
of Fimi:
Address:
Moss, Levy& T artzheim. LLP
9107 Wilshire Blvd Suite 400
Beeerly Hills CA 90210
Contact Name:
Contact Fhone#:
Contapt EanaiL•
Craie A. Hai tzheim C.P A. Pardter
310) 273- 2745
Pax#:
chartzheimfcr mlhcuas. com
I
31Q 273- 1689
CI'PY OF I,QS A, Ai4[ TOS
COST PROPE?SAL
2.
[email protected]'
S 9'PANL
FOSI3'ION
I2T1 BILI YN
ZATES
2010lll
201llI2
Partner
it Iana
140 $
140 $
2012/ 2013
14
2013/ 2014
i$
14Q $
2014/ 20T5
140
90
90
90
90
90
Senior Accountant
70
70
70
7p
70
Staff Accountant
Sp
0
50
50
50
30
30
30
30
30
er
C' lerieal
3.
I
NI
NNER OF 1' AYN[ENT
Progress payments will be made on tha bas3s of hours c f work completed during the course of the
engagement and out-of-packet axpenses inourred in accordance with the £arm' s dollar cost bid proposal.
Interim billings shall cover a period of not less than one calendar rnonth.
Under penalties of perjury, I declare that I am cntztlad to represent the finn, empowered to submit fhe bid
and I azn an authorized signer. There are no and have naver been any financial interests between airy
officials or amployees of the City of Los Alamitos and Moss, Levy& Hartzheim LLP.
Re peotifuliy submitted,
ti.-
j,,,
t.
Craig A. Hartzheirn, C.P. A.
Partner
Moss, f.evy S FIartaheira, L7.,P is ars equa opporfiunity emp[ayer
2
ATIO tAL If SURANCE COMPANY
r
P O Box 1 354
mford, Connec#icut t36904
ACCOUNTANTS PROFESStp6VAL L9ABfLITY Ih6SURAN E PC3. lCY
DECLARATiQNS PAGE
This is a cFaims made and repnrted policy.
Plesse read ihis policy and aIl endorsements and attachments carefuily,
Policy Number:
NTA612351A
Renewel pf Number:
NJA612351
Moss Lery& Aartzheim, LLP
1,
2.
NAMECS. tNSUREb:
926iWitshireBlvd Sic406
MAII. ING Af36RESS:
Bevczi,y HiYs, GA 90216
POLtlCY PERIOD:
Incepvor Date:
10/ QIl20ib
-
Expiraiinn Date:
ZDl01/ 201I
Effective 12: 01 a. m. Standard Time at the mailing address of fhe Named lnsured.
3.
4.
Utv1tT L1F LIABI4. ITY:
Each Cleim:
S 2, OOO, D00
Aggrega[e:
S 4,OOp,000
CLAIM EXP NSES:
b. Have a& epazate 7imit of lia6ility.
5.
DEDUCTIBLE:
Each Claim:
5 25,000
b. The dedueti6le amount spec ed above applies to boCh Damages and Cla.ims Lxpenses.
6.
ANNUAL PREMIUM:
7.
RETROACT2VE DATE: 01t41/ 1997
g 46,058. 00
If a daYe is indicated, this insurance v ill not appiy! a ny regular acf, error, omiaslon or' personal inJury
which necurred before such date.
8.
ENDORSEMENTS:
Thfs poticy fs made and accepted such to the printe J conditions in this policy together with the provisions,
stipulatians and agreemens cont2ined in tho following form( s) or erdarsement(s).
GSN- s G- Ar'-130( 08P2003)
GS1- 07- PL- 375{ 6?./20 6
9.
GSN-07-AG901.( 10I2008)
MAM1dAGING AGENT
Herbert H. Landy Insurance Agency, tnc.
75 Seaond Avenue, Suite A10
S
f'
y,,,.-
L
Needham, Massachusetts 02484-2876
i
f
Authorized Representative
GSN- 06- AC- 73D( 06l2003)
Pxoducer Code: OOtr26230
Class Cad:
Dste: 09129l2010
SLAii:
Class Code; 73102
ZZ3) 626- 9625
(
Associates
Aihara &
256
E.
Las
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t213) 626- 5852
FAX:
Insurance
Services,
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5612017.
ONLY At3p CON!' ERS Np RIGHTS UPOR THE CERTIFICRTE
HOLDER. THIS CERTIFICATE DOES NO? AMEND, EXTEND- OR
AL7ER THE CQVERAGE AFFORDED BY THE POLICIES BELO A'.
900
I
40012
CA
Angeles
INSURED
AARTZHEIM,
LEVY &
1KOSS,
580
i
THIS CERTiFICATE 15 ISSUED AS A MATTER OF INFORMA`I' IOP2
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INSURER D'.
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CSTY
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INSURERS AFfORDiNG COVERAGE
iNSUReRe
COVERAC ES
THE POIICIES OF INSURANCE LISTED eElOW HAVE BEEN ISSUED TO l"NE IN5URED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NONJ THSTAN DING
ANY REQUIREMENT, TERM OR GONDiTION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIPICA7E MAY BE ISSUED OR
MAY PERTAIN, 7HE INSURANCE AFFOR6ED BYTHE POLICIES DESCRIBEP HEREIN IS SUBJECT TO ALL THE 7ERMS, EXCLUSICNS AND CONDITIONS OFSUCH
POLiC1ES. AGGREGATE LIIv9iTS SHOWN MAY HAVc SEEN REDUCED 8Y PAID CLAIMS.
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ISPECIA! PftOViSiONSbelow
tSEASE-
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DESCRIPTION OP OPERAT10N51 LOCATIONS i VEHICLE51 F.%CLUS30N5 AOOEO BY ENDORSEMENT/ SPECIAL PftOVIStONS
The city of A2amitas and its oEficers,
employees,
agents and volunteers are named as Additional Tneured.
poSicies coverage ' xs primary and not contibsskory to any coverage avaiiable to the additional lnsssred.
Subrogation
in
favor
of
Che
addiCionai
insu[ ed
is
included.
CANCELLATION
CERTIFICATE H4LRER
SHOULD ANY OFTHE A60VE DESCRIBE
Cl. y'
aYtm:
3191
Los
OE
LOS
The above
Waiver of
A,LdiR1t.OS
Aaaita
TCatella
Alamitos,
Agramonte,
POLICIES BE CANCELLEO BEFORE TNE EXPIRATION
pATETHEREOF, THEi55UMGiNSURERWILL ^
Finance
Bis.
No-sice
orneceRTiF cnre' ta
QErewanseotorHe
t
A9AtL3
e,
Avenue
CA
pAYSWRIi? EN
j(y.,
i
i;(
d'''"`'
9Q720
d# s2
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AUTHORIZED REPAESENTATIVE
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Tokuko Hndujo/' i'A
ACORD 25( 2009tQ1)
INS625( 2ooaci)
OO 1988•2009 ACOftD CORPORATI6N.
The ACORD name and togo are registered marks of ACORD
AII righYS reserved.
in
o
T
If the certificate holder is an ADDiTiONAL INSURED, tl7e policy(ies) must be endnrsed. A sEatement
on this certificate does nat confer rights ta the cerfificate holder in iieu af such endorsement{s).
If SUBROGATfON IS WAIVED, su6ject to the terrns and conditions of the goflcy, certain poiicies may
require an
endorsement. A staEement on this eerEificate does not confer rights to the certificafe
hoider in lieu of such endorsement(s).
DISCLAiMER
ihis Certificate of insurance does not constitute a confract between the issuing insurer(s), authorized
representafive or producer, and the certificate holder, nor does it affirmafively or negatively amend,
extend or a(ter the coverage afforded by the po[icies listed thereon.
ACCH2p 25( 2609/ D1
SfUS026( zoo oi