ITEM 3.4 A Approval of RFPP
TY OF
Ot C1 ego
MINNESOTA
DEPARTMENT INFORMATION
Request for
City Council Action
ORIGINATING DEPARTMENT,
REQVEST OR-
MEETING DATE:
Administration
Lori Johnson, City Administrator
September 23, 2013
PI ESENTER(s)-
REVIEWED BY:
ITEM #:
Dan Jordet., Administrative
Lori Johnson., City Administrator
3.4 Approval of RFP for
LServices Director
Council's Strategic Goal No. 2 will be addressed in this process by using the RFP responses to "assess the
Professional Auditing Services
AGENDA ITEM DETAILS
POSSIBLE MOTION
Please word motion as you would like it to appear in the minutes.
Moved that the Request for Proposals for Professional Auditing Services dated September 2013 be
adopted and that staff be directed to solicit responses from qualified auditing firms.
RECOMMENDATION:
It is recommended that staff be authorized to distribute the attached Request for Proposal document to
potential audit service providers to solicit proposals for required auditing of the 2013, 2014 and 2015
Comprehensive Annual Financial Reports.
ARE YOU SEEKING APPROVAL OF A CONTRACT?
IS A PUBLIC HEARING REQUIRED?
No
No
I
BACKGROUND/JUSTIFICATION:
Abdo, Eick & Meyers has audited the City's annual financial statements since at least 1993 (as Abdo,
Abdo & Eick). Having reviewed the costs for the past years audits, staff recommends soliciting RFP
responses to benchmark the costs of auditing and hopefully reduce the cost of the annual audit. The
Council's Strategic Goal No. 2 will be addressed in this process by using the RFP responses to "assess the
efficiency and effectiveness of City (contracted] services."
The RFP document details the City's expectations in terms of tirnefrarne, services provided, preparation
expected by both the City and the auditor and cost. The RFP, if approved, will be mailed to no less than
8 firms with a due date for return of proposals of October 17, 2013. This will allow staff to review the
proposals, meet with the Administrative Subcommittee and make a recommendation to the Council at
the October 28, 2013 regular meeting.
SUPPORTING DOCUMENTS: X ATTACHED NONE
Request for Proposals; Professional Auditing Services
POSSIBLE MOTION
Please word motion as you would like it to appear in the minutes.
Moved that the Request for Proposals for Professional Auditing Services dated September 2013 be
adopted and that staff be directed to solicit responses from qualified auditing firms.
BUDGET INFORMATION
FUNDING: BUDGETED: X YES
2013 Budgeted Audit Expense: $33,000
2014 Budgeted Audit Expense: $33.,000 NO
kCTION TAKEN
APPROVED AS REQUESTED u DENIED o TABLED o OTHER (List changes)
COMM ENTS-
tCITY OF
MINNESOTA
City
fOtsego0
Miwtesot(t
Request for Proposals
Professional Auditing Services
September 2013
Daniel Jordet
Director of Administrative Services
13400 9& Street NE
Otsego, Minnesota 55330
(763) 235-3161
d'ordet@ci.otseqo.mn.us
L INTRODUCTION
General Information
The City of Otsego is soliciting proposals from qualified certified public
accounting firms for audit of its financial statements for the three (3) fiscal
years ending December 31, 2013, 2014 and 2015 with the option of auditing
its financial statements for each of the three (3) subsequent fiscal years. These
audits are to be performed in accordance with auditing standards generally
accepted in the United States of America and the standards applicable to
financial audits contained in Go veninvent A uditing Standards, issued by the
Comptroller General of the United States.
Inquiries about the engagement or the request for proposal should be
addressed to:
Daniel Jordet
Administrative Services Dixector
djordet@,ci.,_otsego.mn.us.
7+3 235-3161
235-3161
Eight (8) copies of the proposal must be received at:
13400 90th Street NW
Otsego, Minnesota 55430
by 4:00, PM on Thursday, October 17, 2013.
The City of Otsego reserves the right, where it may serve the City of Otsego's
best interest, to request additional information or clarification fi-om proposers.
Followi
ing a re of the proposals a recommendation for award will be
made by City staff to the City Council. A final decision for award of the work
will be made by majority vote of the City Council.
The City of Otsego reserves the right to retain all proposals submitted.
Submission of a proposal indicates acceptance by the firm of the conditions
contained in this request for proposal, unless clearly and specifically noted in
the proposal submitted and confirmed in the letter of engagement between the
City of Otsego and the firm selected.
Term of Engagement
The City's goal is a three-year engagement understanding with three
additional one-year engagements subject to the annual review and the
satisfactory negotiation of terms (including a price acceptable to both the City
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of Otsego and the selected firm), the concurrence of the City Council and the
annual availability of an appropriation,
He SERVICES REQUESTED
A. Scope of Work to be Pei forined
The City of Otsego will retain the accounting firm to audit its financial
processes, records and statements in order to express an opinion on the
fairness of the presentation of its government -wide, governmental major fund,
business -type major fund and aggregate remaining non major governmental
and business -type fund financial statements in conformity with generally
accepted accounting principles.
The auditor shall also perform the tests and procedures involving required
supplementary information required by the Governmental Accounting
Standards Board (GASB) as mandated by generally accepted auditing
standards.
The City of Otsego also desires the firm to review the presentation of the
statistical section of the financial statements insofar as current generally
accepted auditing standards require such review,
The auditor is not required to audit the schedule of expenditares of federal
awards if such audit is not triggered by the threshold of funding received by
the City for the fiscal. period.
B. Atiditi Standards to be Folio cd
To meet the requirements of this request for proposal, the audit shall be
performed in accordance with generally accepting auditing standards as set
forth by the American Institute of Certified Public Accountants, the standards
for financial audits set forth in the US General Accounting Of
Government Auditing Standards (1994), the provisions of the Single Audit
Act of 1996 and the provisions of US Office of Management and Budget
(OMB) Circular A-133. Financial statements will be held to the standards
promulgated by the Government Accounting, Auditing and Financial
Reporting edition effective for the year being audited.
C. Reports to be Issued
Following the completion of the audit of the fiscal year's flnancial statements,
the auditor shall issue the following reports:
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1. An Independent Auditor's Report expressing an opinion on the
presentation of the financial statements in conformity with generally
accepted accounting principles.
2. A Report on Internal Control over Financial Reporting and on
Other Matters based on an Audit of Financial Statements Performed
in Accordance with Government Auditing Standards.
3. An Independent Auditor's Report on Expenditures of Federal
Awards in Accordance with OMB Circular A-1 3, if applicable.
4. A Report on Compliance with Minnesota State Laws and
Regulations.
5. A Management Letter
6. Any other requested or required reports agreed upon in the annual
engagement letter by the City and the Auditor.
In the required Report on Internal Controls, the auditor shall communicate
any reportable conditions found during the audit. Reportable condition(s)
shall be defined using the standards promulgated by the Statements of
Auditing Standards (SAS) in effect for the fiscal year being audited.
Non -reportable conditions discovered by the auditors shall be reported in the
separate Management Letter, which shall be referred to in the Report on
Internal Controls.
Auditors shall be required to make an immediate, written report of all
irregularities and illegal acts or indications of illegal acts of which they
become aware to the City Administrator.
Reporting to the City Council. Auditors shall assure that the City Council of
the City of Otsego is informed of each of the following:
The auditor's responsibility under generally accepted auditing
standards.
0
Significant accounting policies.
0 Management judgments and accounting estimates.
Significant audit adjustments.
► Other information in documents containing audited financial
statements.
• Disagreements with management.
• Management consultation with other accountants.
• Major issues discussed with management prior to retention.
Difficulties encountered in performing the audit.
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D. Special Conditions
1. The City of Otsego will send its comprehensive annual financial report to
the Government Finance Officers Association of the United States and
Canada for review in their Certificate of Achievement for Excellence in
Financial Reporting program. It is anticipated that the auditor will not be
required to provide special assistance to the City of Otsego to meet the
requirements of that program. However, the city will accept suggestions and
assistance in this regard.
2. The schedule of expenditures of federal awards, if applicable, and related
auditor's report, as well as the reports on the internal controls and
compliance, are not to be included in the comprehensive annual financial
report, but are to be issued separately.
3. The City currently anticipates it will prepare one or more official
statements in connection with the sale of debt securities which will contain
the general purpose financial statements and the auditor's report thereon. The
auditor shall be required, if requested by the fiscal advisor and/or the
underwriter, to issue a "consent and citation of expertise" as the auditor and
any necessary "comfort letters" as maybe required or requested.
E. Wor g Paper Retention and Access to Working Papers
All working papers and reports must be retained, at the Auditor's expense, for
a minimum of three (3) years following the 'issuance of an opinion, unless the
firm is notified in writing by the City of Otsego of the need to extend the
retention period. The auditor will. be required to make working papers
available, upon request, to the following parties or their designees:
City of Otsego
Federal Cognizant Agency
US General Accounting Office (GAO)
Parties designated by the federal or state governments or by the City of
Otsego as part of an audit quality review process.
• Auditors of entities of which the City of Otsego is a sub -recipient of
grant funds.
In addition, the firm shall respond to the reasonable inquiries of successor
auditors and allow successor auditors to review working papers relating to
matters of continuing accounting significance.
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Ill. DESCRI[PTION OF THE GOVERNMMNT
A. Prm"cipal Contact
The Auditor's principal contact with the City of Otsego will be the
Administrative Services Director, who will coordinate the assistance to be
provided by the City of Otsego to the auditor.
B. Background Wox-ination
The City of Otsego is located at the confluence of the Mississippi and Crow
Rivers about 30 miles northwest of Minneapolis in Wright County. The City
limits encompass approximately 29.4 square miles, The 2012 population of
the City is 14,138.
Investors Service has assigned an AA rating for city debt instruments.
Otsego is a municipal corporation under Minnesota Statutes "Plan A" form
of government. The City's governing body consists of a Mayor and four
Council members, all elected at large. Council members serve overlapping
terms of office.
The present Mayor and Council members and their respective terms are:
Jessica Stockamp
Vern Heidner
Tom Darkenwald
Doug Schroeder
Jason Warehime
Mayor
Council Member
Council Member
Council Member
Council Member
December 31, 2016
December 3 1t 2014
December 31, 2014
December 31 , 2016
December 31, 2016
The City Administrator is responsible for the daily management of city
business and the administration of operations as directed by the Council,
Lori Johnson is the City Administrator and has served in this capacity since
2011. Prior to this she had served as the City Administrator for the City of
Elk River.
Daniel Jordet is the newly appointed Administrative Services Director
position with the City of Otsego as of 19 August 2013. He was previously
with the City of Brooklyn Center as the Finance Director. He has also served
as City Administrator for the City of Saint Peter and Deputy City Manager
for the City of Mankato.
C. Budgetai-y Basis of Accounting
The City of Otsego prepares its budgets on a basis consistent with generally
accepted accounting principles.
D. Pension Plans
The City of Otsego participates in PERA - A defined benefit program with
employer and employee contributions.
E. Component Units
The City of Otsego is defined, for financial reporting purposes, in conformity
with the Governmental Accounting Standards Board's Codification of
Go ernmentai Accounting and Financial Reporting Standards, Section 2100.
Using these criteria, two component units are included in the City of Otsego
financial statements.
The management of the City of Otsego identified the following component
units for inclusion in the City of Otsego's financial statements:
• Economic ]Development Authority of Otsego, Minnesota (EDS.),
which is treated as a blended component unit.
F. Personnel Assigned.
The Finance Department is headed by the Administrative Services Director
and consists of four employees. The principal functions performed and the
number of employees assigned to each is as follows:
Function Number of Employees
Finance Technician 111 1
Finance Technician II I
Utility Billing Technician 1
7
G. Technology Inftastnichim,
%-� %F
Otsego runs Caselle Clarity software for A/R, A/P, general ledger and utility
billing. Payroll is run offsite through ADP.
H. to al Audit Function
The City of Otsego does not maintain an independent internal audit fanction
other than internal checks performed by the Finance Department.
1. Availability of Prior Audit Reports and Working Papers
Interested proposer's who wish to review prior years' audit reports and
management letters should contact:
Daniel Jordet, Administrative Services Director
13400 90"' Street NE
Otsego Minnesota 55330
jordet ci. o ts ego. nm. u s.
763-235-3161
The City of Otsego will assert its best efforts to make prior audit reports and
supporting working papers available to proposers if requested.
IFV, TIME REQUIREMENTS
A. Proposal Calendar
Thursday, October 2, 2013:
Thursday, October 17, 2013:
Monday, October 28, 2013:
Last date for submission of questions.
Proposals to be submitted to the City.
City Council Determines Successful Proposer
B. Schedule for the 2013 Fiscal Year Andit
Detailed Audit Plan: The auditor shall provide City of Otsego both a
detailed audit plan and a list of all schedules to be prepared by the City
of Otsego no later than December 10, 2013.
• Fieldwork: The auditor shall complete all fieldwork by April 15, 2014.
A schedule for interim work, fieldwork and draft reports will be
determined upon completion of the auditor selection process.
X1
C. Entrance Conference and Exit Conferences
At a minimum the following conferences should be held by the dates
indicated on the schedule. These dates may be changed by mutual agreement
between the City of Otsego and the selected auditor.
No Later than the Week of March 31, 2014: Entrance conference with
Administrative Sei-vice Director and finance staff to commence field audit
work.
No Later than the Week of April 29, 2014: Exit conference with City
Administrator and Administrative Services Director. The purpose of this
meeting will be to summarize the results of the field work and to review
results and findings.
A time schedule will be developed for audits of future fiscal years.
D. Date Final Report is Due
The Finance Department shall prepare draft financial statements, notes and
all required supplementary schedules and statistical data for the 2013 Fiscal
Year by or before March 25, 2014. The auditor shall provide all
recommendations, revisions and suggestions for improvement to the
Administrative Services Director no later than April 23, 2014 for the audit of
the 2013 Fiscal Year. A revised report, including draft auditor's re-port(s),
shall be delivered to the Administrative Services Director no later than May I
of each year.
The final report should be delivered to the Administrative Services Director at
13400 90t" Street NE, Otsego, Minnesota 55330. Such report(s) may be
delivered in Microsoft Word 2010 form or Adobe Aro, bat.pdf form via e-
mail.
The Auditor shall make at least one of its senior staff available for an evening
meeting of approximately two hours to review the reports and findings with
the City Council and the Financial Commission of the City. City staff will
assist with preparations for this meeting.
V ASSISTANCE TO BE PROVIDED TO THE AUDITOR AND
REPORT PREPAILATION
A. City Staff Assistance
The City of Otsego Finance staff and responsible management personnel will
be available during the audit to assist the firm by providing information,
documentation and explanations. The preparation of confirmations will be
0
the responsibility of the City of Otsego using the for mat provided by the
auditor.
B. Work Area
The City of Otsego will provide the auditor with reasonable workspace, table
and chairs. The auditor will also be provided with access to the Internet and
to appropriate files on the City's internal network for conduct of the audit, a
telephone, photocopying facilities and a fax machine. Access to the auditor's
working network may be arranged with the Information Technology staff
during field or.
C. Report Preparation
COMPREHENSWE ANNUAL FINANCIAL REPORT: Report
preparation, editing, printing and binding shall be the responsibility of the
City of Otsego.
ALL OTHER REPORTS: Report preparation and editing shall be the
responsibility of the Auditor. Digital copies of these reports will be delivered
to the Administrative Services Director for reproduction and distribution.
V1, PROPOSAL REQUIREMENTS
A. General Requirements
Responses to this Request should include the following information in the
order prescribed. Submissions must be received by 4:00 p.m. on Thursday,
October 17, 2013 for a proposal/response to be considered by the City:
Title Page: Title page showing the request for proposal subject; the
firm's name; the name, address and telephone number of the contact
person; and the date of the proposal.
* Table of Contents
Transmittal Letter: A signed letter of transmittal which briefly states
the proposers' understanding of the work to be done, the commitment
to perform the work within the time period, a statement why the fff m
believes itself to be best qualified to perform the engagement and a
statement that the proposal is a firm and irrevocable offer for the three
year period.
Technical Proposal: The Technical Proposal should follow the order
set forth in Section VI — B (below).
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Dollar Cost Proposal: The Dollar Cost Proposal should follow the
order set forth in Section V1. — C (below).
An executed copy of Proposer Warranties, attached to this Request for
Proposal (Appendix A.
Proposers should send eight (8) completed proposal packets to the following
address:
Daniel Jordet
AdmMistratie Services Director
City of Otsego
13400 90"' Street NE
Otsego, Minnesota 55330
Please mark the package as an "Audit RFP".
B. Tenet Proposal
General Requirements: The purpose of the Technical Proposal is to
demonstrate the qualifications, competence and capacity of the firms seeking
to undertake an independent audit of the City of Otsego in conformity with
the requirements of this request for proposal. As such, the substance of
proposals will carry more weight than their form or manner of presentation.
The Technical Proposal should demonstrate the qualifications of the firm and
of the particular staff to be assigned. to this engagement, It should also specify
an audit approach that will meet the request for proposal requirements.
The Technical Proposal should address all the points outlined in the request
for proposal (excluding any cost information which should only be included
in the sealed dollar cost bid), The proposal should be prepared simply and
economically, providing a straightfoiward, concise description of the
proposer' s capabilities to satisfy the requirements of the request for proposal.
While additional data may be presented, the following items must be
included. They represent the criteria against which the proposal will be
evaluated.
Independence: The firm should provide an affirmative statement that it is
independent of the City of Otsego as defined by generally accepted auditing
standards the US General Accounting Office's Government Auditing
Standards (1994).
The firm also should provide an affirmative statement that it is independent of
all of the component units of the City of Otsego as defined by those same
standards.
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The fffm should also list and describe the firm's professional relationships
involving the City of Otsego or its component unit for the past five years,
together with a statement explaining why such relationships do not constitute
a conflict of interest relative to performing the proposed audit.
In addition, the firm shall give the City of Otsego written notice of any
professional relationships entered into during the period of this agreement.
License to Practice in Minnesota: An affirmative statement should be
included that the firm and all assigned key professional staff are properly
licensed to practice in Minnesota.
Firm Qualifications and Experience: The proposer should state the size of the
firm, the size of the firm's governmental audit staff, the location of the office
fi-om which the work on this engagement is to be performed and the number
and nature of the professional staff to be employed in this engagement on a
full-time basis and the number and nature of the staff to be so employed on a
part-time basis.
The firm shall also provide information on the results of any federal or state
desk review of field reviews of its audits during the past three (3) years, In
addition, the firm shall provide information on the cjxcumstances and status
of any disciplinary action taken or pending against the firm during the past
three (3) years with state regulatory bodies or professional organizations.
Partner, Supervisory and Staff Qualifications and Experience;. Identify the
principal supervisory and management staff, including engagement partner,
managers, other supervisors and specialists, who would be assigned to the
engagement. Indicate whether each such person is licensed to practice as a
certified public accountant in Minnesota. Provide information on the
government auditing experience of each person.
Provide information regarding the number, qualifications and experience of
the specific staff to be assigned to this engagement. Indicate how the quality
of the staff, over the term of the engagement, will be assured.
The proposer should identify the extent to which staff to be assigned to the
audit reflect the City of Otsego's commitment to Affirmative Action.
Engagement partners, managers, other supervisory staff and specialists may
be changed if those personnel leave the firm, are promoted or are assigned to
another office.
Consultants and firm specialists mentioned in response to this request for
proposal can only be changed with the expressed prior written permission of
the City of Otsego, which retains the right to approve or reject replacements.
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Other audit personnel may be changed at the discretion of the proposer
provided that replacements have substantially the same or better
qualifications or experience.
Prior Engagements with the City of Otsego. List separately all engagements
within the last five years, ranked on the basis of total staff hours, for the City
of Otsego by type of engagement (i.e., audit, management advisory services,
other). Indicate the scope of work, date, engagement partners, total hours, the
location of the firm's office fi-om which the engagement was performed and
the name and telephone number of the principal client contact.
similarngamemcnts with Other Government Entities: For the firm's office
that will be assigned responsibility for the audit, list the most significant
engagements (maximum -five) performed in the last five years that are similar
to the engagement described in this request for proposal. These engagements
should be ranked on the basis of total staff hours. Indicate the scope of work,
date, engagement partners, total hours and the name and telephone number
of the principal client contact. For city engagements, indicate whether or not
the Comprehensive Annual Financial Report received the GFOA Certificate
of Achievement for the most recent audit
Specific Audit Approach: The proposal should set forth a work plan,
including an explanation of the audit methodology to be followed to perform
the set -vices required in Section Il of this request for proposal. In developing
the work plan, reference should be made to such sources of information as the
City of Otsego's budget and related materials, organizational charts, manuals
and programs, and financial and other management information systems.
Proposers will be required to provide the following information on they audit
approach:
• Proposed segmentation of the engagement
Level of staff and number of hours to be assigned to each proposed
segment of the engagement
Sample size and the extent to which statistical sampling is to be used
in the engagement
0 Extent of use of EDP software in the engagement
0 Type and extent of analytical procedures to be used in the engagement
0 Approach to be taken to gain and document an understanding of the
City of Otsego's internal control structure
0 Approach to be taken in determining laws and regulations that will be
subject to audit test work
Approach to be taken in drawing audit samples for purposes of tests of
compliance
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Identification of Anticipated Potential Audit Problems: The proposal should
identify and describe any anticipated potential audit problems, the firm's
approach to resolving these problems and any special assistance that will be
requested fi-om the City of Otsego.
Report Format: The proposal should include sample formats for required
reports.
C. Sealed Dollar Cost Proposal
Total All -Inclusive Maximum Price: The sealed dollar cost proposed should
contain all pricing information relative to performing the audit engagement as
described in this request for proposal. The total all-inclusive maximum price
to be bid is to contain all direct and indirect costs including all out-of-pocket
expenses.
The City of Otsego will not be responsible for expenses incurred in preparing
and submitting the technical proposal or the sealed dollar cost bid. Such costs
should not be included in the proposal.
The following information should be included the Dollar Cost Proposal:
0 Name of Firm
0 Certification that the person signing the proposal is empowered to
submit the bid, and authorized to sign a contract with the City of
Otsego.
* A total all-inclusive Maximum Price for each year of the three (3) year
engagement which shall include:
Rates by Partner, Specialist, Supervisory -and Staff Level Times Hours
Anticipated for Each
A schedule of professional fees and expenses, presented in the format
provided in the attachment Appendix B, which supports the total all-
inclusive maximum price for each year. The cost of special services
should be disclosed as separate components of the total all- inclusive
maximum price.
o Out-of-pocket Expenses Included in the Total All-inclusive Maximum
0 Price and Reimbursement Rates: All reimbursable expenses by
category as included in the total all-inclusive maximum price
submitted by the firm.
Rates for Additional Professional Services: If it should become
necessary for City of Otsego to request the auditor to render any
14
additional services to either supplement the services requested in this
RFP or to perform additional work as a result of the specific
recommendations included in any report issued on this engagement,
then such additional work shall be performed only if set forth in an
addendum to the contract between City of Otsego and the firm. Any
such additional work agreed to between City of Otsego and the firm
shall be performed at the same rates set forth in the schedule of fees
and expenses included in the sealed dollar cost bid.
Manner of Payment: The City expects that progress payments will be
made on the basis of hours of or completed during the course of the
engagement and out-of-pocket expenses incurred in accordance with
the fff m's dollar cost proposal. Interim billing shall cover a period of
not less than a calendar month. Payment of the final billing will be
held by the City pending the delivery of the firm's final reports.
VH. EVALUATION PROCEDURES
A. Review of Proposal
The City of Otsego reserves the right to retain all proposals submitted and use
any idea in a proposal regardless of whether that proposal is selected.
B. Evaluation Criteria
Proposals will be evaluated using three sets of criteria. Firms meeting the
mandatory criteria will have their proposals evaluated for both technical
qualifications and price. The selection process will include, but not be limited
to, the following criteria:
1. Mandatory Elements
The audit firm is independent and licensed to practice in
Minnesota.
The firm has no conflict of interest with regard to any other
work performed by the it for the City of Otsego.
The fffm adheres to the instructions in this request for proposal
on preparing and submitting the proposal.
The firm submits a copy of its last external quality control
review report and the firm has a record of quality audit work.
2. Technical Quality
Expertise and Experience
o The firm's past experience and performance on
comparable government engagements.
o The quality of the firm's professional personnel to be
assigned to the engagement and the quality of the firm's
15
management support personnel to be available for
technical consultation
o The firm's expertise with the HPOA Certificate of
Achievement in Financial Reporting,
Audit Approach
o Adequacy of proposed staffing plan for various segments
of the engagement
o Adequacy of sampling techniques
o Adequacy of analytical procedures
3. Price
Cost will be a factor in the selection of an audit firm.
However, price will not be the dominating factor in the
selection process.
C. Oral Prcsentation
During the evaluation process, the City may, at its, discretion, request any or
all firms to make oral presentations. Such presentation will provide firms with
an opportunity to answer any questions the City Council or staff may have on
a firm's proposal. Not all firms may be asked to make such oral presentations.
D. Right toRei ect Proposals
Submission of a proposal indicates acceptance by the firm of the conditions
contained in this request for proposal unless clearly and specifically noted in
the proposal submitted and confirmed in the contract between the City of
Otsego and the firm selected.
The City of Otsego reserves the right without prejudice to reject any or all
proposals.
E. Disclahner
There is no expressed or implied obligation for the City of Otsego to
reimburse responding firms for any expenses incurred in preparing proposals
in response to this request.
WS,
APPENDIX A
CITY OF TSEGO
PROPOSER WARRANTIES
A. Proposer warrants that it is willing and able to comply with State of Minnesota
laws with respect to foreign (non -state of Minnesota) corporations.
B. Proposer warrants that it is willing and able to obtain an errors and omissions
insurance policy providing a prudent amount of coverage for the willful or
negligent acts or omissions of any officers, employees or agents thereof,
C. Proposer warrants that it will not delegate or subcontract its responsibilities
under an agreement without the prior written permission of the City of Otsego.
D. Proposer warrants that all information provided in coimection with this
proposal is true and accurate.
E. The proposer certifies that it can and will provide and make available at a
minimum, all services set forth in Section II, Nattire of Services Required.
Signature of Official:
Name (typed):
Title:
Firm:
Date:
17
APPENDIX B
CITY OF TSE, GO
SCHEDULE OF PROFESSIONAL FEES AND EXPENSES
FOR THE AUDIT OF THE 2013 FINANCIAL STATEMENTS
NOTE: The rate quoted should not be presented as a general percentage of the
standard hourly rate or as a gross deduction from the total all-inclusive maximum
price.
18
Standard
Quoted
Hourly
Hourly
Hours
Rates
Rates
Total
Partners
$
Managers
$
Supervisory
Staff
$
Other
(specify)
Subtotal
$
Out -of -Pocket
Expenses
Meals and
Lodging
Transportation
Other
(Specify)
Total All-
inclusive Price
for 2013 Audit
Services
18
APPENDIX B
CITY OF OTSEGO
SCHEDULE OF PROFESSIONAL FEES AND EXPENSES
FOR THE, AUDIT OF THE 2014 FINANCIAL STATEMENTS
NOTE: The rate quoted should not be presented as a general percentage of the
standard hourly rate or as a gross deduction ftom the total all-inclusive maxinium
price.
19
Standard
Quoted
Hourly
Hourly
Hours
Rates
Rates
Total
Partners
Managers
$
$
Supei-visory
Staff
$
$
$
Other
Self
( I
$
$
Subtotal
$
$
Out -of -Pocket
Expenses
IS -
Meals and
Lodging
Transportation
Other
(specify)
Total All-
inclusive Price
for 2014 Audit
Services
19
APPENDIX B
CITY OF OTSE GO
SCHEDULE OF PROFESSIONAL FEES AND EXPENSES
FOR THE AUDIT OF THE 2015 FINANCIAL STATEMENTS
NOTE: The rate quoted should not be presented as a general percentage of the
standard hourly rate or as a gross deduction from the total all-inclusive niaximuni
price.
20
Standai-d
Quoted
Houdy
Hourly
Hour- S
Rates
Rates
Total
Pailne-i-s
Managei-s
S,
duper
Staff
$
$
Othei-
(Specify)
$
$
Subtotal
$
Out -of -Pocket
Expenses
Meals and
Lodging
Ti,ansport ation
other,
(Specify)
Total All-
inclusive POce
for 2015 Audit
sel-vices
20