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Agenda Item: 7(b) |
Prepared By: Lina Upham, Purchasing & Risk Manager/Deputy City Clerk |
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Business: Discussion Item |
Department: Finance |
Subject:
Title
Award of Auditing Services Contract to Mauldin & Jenkins, LLC for Auditing of the City of Marco Island Financial Statements
Body
BACKGROUND:
The current 5-year contract with Mauldin & Jenkins, LLC is set to expire this year. The current fee for the single audit is $60,500.
Per Chapter 218.391, Florida Statutes, it is the Audit Advisory Committee’s (AAC) duty to establish factors to use for the evaluation of audit services as well as to publicly announce a Request for Proposals (RFP) to solicit professional auditing services, as well as evaluating, ranking, and recommending in order of preference no fewer than three firms. On February 19, 2019 the AAC reviewed and approved the RFP #19-010 document.
The City received eight (8) responses to this solicitation that were subsequently reviewed and ranked by the AAC members at a public meeting on April 25, 2019. Submittals were evaluated based on the following criteria:
Ability and experience of the assigned personnel -- 25 points
Experience of the firm -- 25 points
Ability to furnish required services -- 25 points
Total compensation proposed -- 25 points
Total available -- 100 points
The top three-ranked firms were: 1st - Mauldin & Jenkins with 439 points, 2nd - Moore Stephens Lovelace with 422 points, and 3rd - Keefe McCullough with 414 points.
The AAC voted to invite the top-three ranked firms for in-person presentations on May 21, 2019, after which the AAC voted to accept the following ranking and recommend that the City Council award the contract to the highest ranking firm, Mauldin & Jenkins, LLC.
RFP #19-010 final ranking:
1. Mauldin & Jenkins
2. Moore Stephens Lovelace
3. Keefe McCullough
ACC deliberations when making final recommendation to the City Council were related primarily to two topics - highest ranked firm’s fee, which is higher than the 2nd and 3rd ranked firms’, as well as pros and cons of switching to a new firm versus remaining with the same one.
Chapter 218.391, Sec. 4 (b), Florida Statutes, states that if compensation is one of the factors in the evaluation of the proposals (it was in this RFP), the governing body (City Council) shall select the highest-ranked qualified firm or must document in its public records the reason for not selecting the highest-ranked qualified firm.
FUNDING SOURCE / FISCAL IMPACT: Mauldin & Jenkins, LLC proposed fees are as follows :
1st year - $62,000.00; 2nd and 3rd years - $63,500.00; 4th year - $65,000; 5th and 6th years $66,500. Funding for this service has been historically split 30/70 between the general fund and utilities enterprise fund.
RECOMMENDATION: Authorize the City Manager to execute the contract with Mauldin & Jenkins, LLC for professional auditing services.
POTENTIAL MOTION: “I move to authorize the City Manager to execute the contract with Mauldin & Jenkins, LLC for professional auditing services of the City of Marco Island financial statements for three fiscal years commencing with the fiscal year ending September 30, 2019, with an option for three, one-year renewals.”