HomeMy WebLinkAboutC-1257 - Audit for 1969-70PURCHASE ORDER
CIAI' OF NEWPORT. BrAC11(
3300 NEWPORT BOULEVARD --
NEWPORT BEACH, CALIFORNIA 92660
PHONE: (714) 673 -2110
VENDOR
Binder, restyanek x Co. _- DAME Nov. 20, 1969
3471 Via Lido
Newport Beach, Calif. 92660, DEPARTMENT City Council
SHIP TO
71
No. 2192
:;.VOICE IN DUPLICATE
TXIa ORDER NVO MUST
G I
APT
R ON ALL NVOICE ICES, LAD -
ING, NOTICES, RECE OF LAD-
ING, EXPRESS 'RECEIPTS- AND
PACKAGES.
DELIVERY TICKETS SMALL IN-
CLUDE UNIT PRICE.
QUANTITY
DESCRIPTION OF ARTICLES OR SERVICES REQUIRED
UNIT PRICE
- TOTAL
1969 -70 independent audit as per contract
5,500.D0
Contract 1257
Resolution 7096
FOR CITY
USE ONLY
-
I M P O R T A N T
-
CITY OF NEWPORT BEACH
CODE
AMOUNT
1416
51500.00
Show as a separate item ¢n,' retail sales tan, use tax
or Federal tax applicable I. this purchase.
"-- - -°
This order subject to California sales tax. -
D. W. MEANS
All ail.wcbl. t,cm por Gition charges must be prepaid
cnd - cho' ,n as c Com on the invoice. Do not
- PURCHASING AGENT
inc iude Ped erd: trans poria'.io -. !az.
-
DEPARTMENT COPY . <°
0 4
November 19, 1969
Binder, Mestyanek E Company
3471 Via Lido
Newport Beach, California 92660
Enclosed is an executed,00py of Agreement for
Auditing services for the City of Newport Beach
for your files.
Laura Lagios
City Clerk
LL:swk
Encl.
9 f
DATE _Nomembep 19T-' 969
TO: FINANCE DIRECTOR
FROM: City Clerk
SUBJECT: Contract No. 8 1267
Description of Contract few, i TndSn@p4=j: 41,44+
Authorized by Resolution No. 7nQA , adopted on rWjWbW '10, 1969
Effective date of Contract wne.her 1Q, 1969
Amount of Contract As -snn_nn
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AGREEMENT FOR INDEPENDENT AUDIT
THIS AGREEMENT is made and entered into thisJf� day
of 1969, by and between the CITY OF NEWPORT
BEACH, a municipal corporation, hereinafter referred to as "City,"
and BINDER, MESTYANEK & CO., a partnership, hereinafter referred to
as "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 follows;
1. The Auditor hereby agrees, at such time or times as
he shall determine, to make an audit and examination of the books,
records, inventories and reports of all officers and employees of
the City who receive, handle or disburse public funds for the fiscal
year beginning concurrently with the date of this contract, in
accordance with Section 1117 of the City Charter, in order to
express an opinion upon the financial statements of the City. 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 statements of the City. If circum-
stances are encountered which, in the judgment of the Auditor, pre-
vent the expression of an unqualified opinion upon the financial
statements taken as a whole, 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
1
;:_
3 Certified Public Accountants.
,4 2,' The Auditor.agrees to render a report on his. audit
5 of the City.for the fiscal year to.which this contract applies,
6 accompanied by condensed financial statements, and also to present
7 a short -form report to accompany the complete fiAancial statements .'
8 submitted by the Finance Director. These reports will.include an
9 unqualified or qualified opinion or a disclaimer,, of opinion-on the
10 financial statements, according to the circumstances encountered,.
11 as described in,paragraph 1. Said report shall be submitted to the
,s
12 City.Council with a copy for.each member and on @.,;,for the City'
13 Manager, Finance Director,. and City Attorney,.and three additional
14 copies to be placed on file in the office of the City Clerk -for
15 public inspection. In addition to the final report, the Auditor
16 shall advise the Council not later than November 15 and a second
t
17 time not later than May 13 of thek fiscal year as,to the conditions
18 found to exist. These interim reports;:shall consist of a short
19 discussion of the performance of the accounting procedures and any
20 other matters the Auditor believes should be called to the
21 attention of the Council.
.22 3. Compensation shall be paid to the Auditor for this
' 23 audit engagement in the total amount of $50540.00, payable .25°6. on
24 January. 1, 25 %'on May 1, and 50% upon delivery of the Auditor's
25
report following
the close of the fiscal
year.
26
4.r. The
audit and examination
specified herein and the
27 fee stipulated contemplate that- .condition$ satis.fctory to the.
28 normal progress and completion of said audit a►d'examination will r
29 be encountered. In the event thatrsctual conditions met are not
30' compatible with the usual and expected progress of the work and if
31 in order to discharge its contractual obligation hereunder,.in the
32. opinion of the Auditor it would.be necessary to do additional-work,
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or to expendl_pnreasonsble amounts of time not contemplated by this
contract because, #f (a) incompleterie'ss of,,r 4
a rds, .(b) abnormal
ry r, r.
errors, (c) misappropriation of funds, (d) lack of cooperation from
City employees,.; or (e) -any otherustifiabJ;e ieasogs, Auditor, upon
reasonable demonstration of ex.istence.of such..conditions, shall
be entitled,to apply - to.the'City Council for supplemental compensa-
tion at the rates specified in.paragraph 6 hereof,.'
S, liv audit and examination specified in paragraph l
hereof is to be based upon tests and:samples of the accounting
records_ and transactions sufficient to sat
sfy tte.Auditor of the.
fairness of presentation of the financial conditiom`.and operating
`results :. of the pity 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
prihe . pal safeguard against. defalcation and other. - irregularities of
the: same genera] nature, and, although Auditor will attempt to
detect any defalcations or similar irregularities,.Audi "tor does.not
assume the responsibility for doing so.
6. It.is contemplated that. the Auditor. maybe requested
to perform services additional to the usual audit work,.such as
advising upon changes in'the.accounting methods: or the,personnel,,
.assisting in accomplishing changes in the recording reportiag,...
investigating the compliance of lessees with the terms of City.
leases, making;: special examinations or audits at the request of
the City Council, at times,,he would not otherwise be conducting. the -
audit or of officers, employees or: departments who. :do not receive,
handle or disburse..public funds and other similar. services. In
such circumstances the City Council or. City manager .may authorize
the Auditor to perform such work or render services.:JA addition to ,.
those which are usual and customary in making an audit and
examination of the accounts and records of the City, and the Audito
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shall receive payment at the following rates per hour for respective
grades of staff members'and partners used in performing such work
or services:
partners ........................$25.00 per hour
Other supervisors......... **.*.$20900 per hour
Senior auditors .................$$15.00 per hour
Assistant auditor 8 ..............$12.00 per hour
Typists and clerical assistants..$5.00 per hour
IN WITNESS WHEREOF, the parties hereto have executed this.
agreement as of the,date first above written.
APPROVED AS TO FORM:
Z/-f�.h.
• ,...
City ttorne
CITY OF NEWPORT BEACH
BY; ,.
mayor
-4-
C1
11
. . • • • • • . • • . .
• ..
. . . . . . . . . . . .
. . . . . . . . . . . . . .
0 •
RESOLUTION NO. M_
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF NEWPORT BEACH AUTHORIZING THE EXECUTION OF
AN AGREEMENT BETWEEN THE CITY OF NEWPORT BEACH
AND MOta 1 & 06 M
WHEREAS, there has been presented to the City Council
of the City of Newport Beach a certain contract between the
City of Newport Beach and OrAWas aNftyw* 6 Oti
for &% awws"s
and
WHEREAS, the City Council has considered the terms and
conditions of said contract and found them to be fair and
equitable;
NOW, THEREFORE, BE IT RESOLVED that said contract for
the services above described is approved, and the Mayor and City
Clerk are hereby authorized and directed to execute the same on
behalf of the City of Newport Beach.
ADOPTED this Uft day of Nowsubw , 19 N .
Mayor
ATTEST:
City Clerk
mah
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