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HomeMy WebLinkAbout4512 - Agreement with Ira N. Frisbee & Co.1 • 3 4 5 6 7 8 9 10 11 12 13 14' 16 16 17 PUI 19 BO' 21 22 a. 23•, 24 25 26 27 • 28 • 29 30 31 32 RES=TION No. WHEREAS, there has been presented to the City Council of the City of Newport Beach a certain Agreement between the City of Newport Beach and Ira N. Frisbee & Co,; and WHEREAS, It appears to be for the best interests of the citizens of the City of Newport Beach that said agreement be entered into; NOW, TMWOREv BE IT RESMVED that the Mayor and the City Clerk be, and they are hereby, authorized and directed to execute said Agreement on behalf of the City. The above and foregoing resolution was duly and regularly passed and adopted by the City Council of the City of Newport Beach at a regular meeting thereof held on the _,day of : 1956* by the following vote, to wits AYES, COUNCILMN: 1. n _ D O ATTBSTs`. /'M 141 between C1W OF NBWPWT BEACH, CALUMMIA O IRA N. PRISMS do CO., a partnership TUS A( NT is made and entered into this day of 1956, by and between the City of Newport Beach, a municipal corporation, hereinafter referred to as "city", and Ira N. Frisbee & Co., hereinafter referred to as the "Auditor ". In consideration of the premises and the agreements, covenants and conditions hereinafter contained and to be kept and performed by the respective parties hereto, it is agreed as followas 1. The Auditor hereby agre" to make an audit and examination of the accounts and records aW financial statements of the City for the fiscal year beginning July 1, 1956 and ending June 30, 1957. The audit shall embrace all funds of the City, including the 1911 Act Improvement Bond Funds. The audit shall be conducted In accordance with generally accepted auditing standards and shall include such tests of the accounting records and such other auditing procedures applicable in the circumstances as to enable the Auditor to express an opinion upon the financial state- ments of the City. If circumstances are encountered which, in the judgment of the Auditor, prevent the expression of an unqualified opinion upon the financial statements taken as a oPhole, such opinion shall be qualified or omitted but the Auditor's report shall contain a statement of the reasons for the qualification or omission. To the extent applicable, the audit shall include the audit procedures recommended in the booklet entitled "Check List For the Audit of the Financial Records of a California City" which was published in March, 1956, by the League of Californa Cities and the California Society of Certified Public Accountants. The auditor also agrees to give assistance and supervision in bringing about the changes in the accounting system and records which were recommended in his letter of March 7, 1956, addressed to the City Council. a. The Auditor agrees to render a report on his audit of the City covering the fiscal year ending June 30, 1957s acccqpanied by condensed financial statements, and also to pre- sent a short -form report to accompany the complete financial statements submitted by the Director of Finance. These reports I q Y will include an unqualified or qualified opinion or a die - 014,1=r of opinion On the financial statements, according to the circumstances encountered, as described in paragraph 1. In addition, Auditor agrees to submit three quarterly letters describing 1n general the auditing procedures performed dur- ing the first three quarterly periods of the fiscal year, and commenting an findings which the Auditor believes should be brought to the attention of the City Council. 3. Compensation shall be paid to the Auditor on a quarterly basis, following the delivery of his quarterly letters and annual report, based upon the following rates per hour for respective grades of staff members and partners used on the engagements: Partners, . . . . . . . . . . . . . . $12.50 per hour Other supervisors. 9.50 per hour Senior auditors. 4.50 pair hour Assistant auditors. . . . . . . . . 4.50 per hour Typists and clerical assistants. . . 4.00 per hour The payment to the Auditor for his services shall not exceed a maximum of $4,500.00. 4. The audit and examination specified herein and the fee stipulated contemplate th6t conditions satisfactory to the normal progress and awVletion of said audit and examination will be encountered. In the event that actual conditions "met are not compatible with the usual and expected progress of the work and if, in order to discharge his contractual obligation, hereunder, in the opinion of the Auditor it would be necessary to do additional work or to expend unreasonable amounts of time not contemplated by this contract because of (a) incompleteness of records, (b) abnormal errors, (c) misappropriation of funds, (d) lack of cooperation from city employees, or (e) any other ,tustifiable reasons, Auditor shall report such conditions to the City VAnager and, upon reasonable demonstration of the existence of such conditions, shall be entitled to apply to the City Coun- cil for supplemental compensation at the rates specified In Paragraph 3 hereof, without regard to the general fee limitation of P ,500.00 set forth herein. 5. In the event the City shall require the Auditor to perform work or render services in addition to those which are usual and customary in making an audit and examination of the accounts and records of the City, the Auditor shall receive payment at the rates specified in Paragraph 3 hereof for such additional work done and for such additional services rendered, without regard to the general fee limitation of $4,500.00 set forth thereia. 6. The audit and examination specified in Paragraph 1 hereof is to be based upon tests and samples of the accounting records and transactions sufficient to satisfy the Auditor of the fairness of presentation of the financial condition and operating results of the City and is not to comprise a detailed examination Of all transactions. It is understood that, owing to the test character of the examination, reliance must be placed on the adequacy of the systems of internal check and control as the principal safeguard against defalcations and other irregularities of the same general nature, and the Auditor does not assume the responsibility, of detecting defalcations and other similar irregularities. 7. This agreement may be canceled, amended, altered or extended on terms mutually agreed upon by the parties hereto, IN WrfNR93 WHBRBO', the City has caused its corporate name to be signed and its corporate seal to be affixed by resolution of the City Council, adopted on the day of , 1956, by its Nayor and Ciiy�erk thereunto My a—uthorlzed, and the Auditor has hereunto subscribed his name the day and year first above written. CITY of ZZff RT BEACH III city clerk 6Ci....e IRA Ni PRISM & CO. -3- "Auditor" 10 0 STATE OF CALIFORNIA ) COUNTY OF ORANGE ) CITY OF NEWPORT BEACH ) SS I, MARGERY SCHROUDER, City Clerk of the City of Newport Beach, California, do hereby certify that according to the records of the City of Newport Beach filed and maintained in,my office, the foregoing Resolution No. 4512 was duly and regularly adopted, passed, and approved by the City Council of the City of Newport Beach, California, at a regular meeting of said City Council held at the regular meeting place thereof, on the 9th day of July 19 56, by the following vote, to wit: AYES, COUNCILMEN: Hart, Wilder, MacKay, Higbie, Ridderhof, Hill NOES, COUNCILM!Ii: None ABSENT, COUNCILMEN: Stoddard Dated this 19th day of • November , �9 56 9 IA 9�,�, S City Clerk' and Ex- Officio Clerk of the City Council, City of Newport Beach, State of California.