HomeMy WebLinkAbout1988-050 Audit Contract-G.BurnsGERA LD tV. B URNS
CERTIFII<D PUBLIC ACCOUNTANT
1744-B E. McANDREWS RD. - MEDFORD, OR 97504
503-773-2011
CONTRACT FOR AUDIT OF OREGON MUNICIPALITY
THIS CONTRACT, made this ~ day of ~,Revised ' 19~, in405
accordance with the requirements of Oregon atutes 297. through
297.555 between Gerald W. Burns, CPA and Municipal Auditor, of Medfo~d,
Oregon, hereinafter referred to as "CPA" and the City of Ashland, Oregon
hereinafter referred to as "City" provides as follows:
1. It is hereby agreed that CPA shall conduct an audit of the
accounts and fiscal affairs of City, as of and for the three (3) years
ended June 30, 1988, jUne 30, 1989, and JUne 30, 1990. The audit wil'l be
made in accordance with generally accepted auditing standards, and the
Minimmn Standards for Audits of Municipal Corporations, and will include
tests of the accounting records of City and other procedures CPA considers
necessary to express an unqualified opinion that the financial statements
are fairly presented in conformity with generally accepted accounting
principles consistently applied. If CPA's opinion is other than
unqualified, CPA will fully discuss the reasons with City in advance.
2. It is understood and agreed that services performed under this
contract shall be rendered under CPA's personal supervision, and that the
work will be performed with care and diligence.
3. It is hereby agreed that City employees will type all cash or
other confirmations CPA requests and will locate any invoices selected by
CPA for testing. If CPA performs these procedures, City shall be billed
for the additional time required at CPA's hourly rates as stated in
Paragraph 4.
CONTRACT FOR AUDIT OF OREGON MUNICIPALITY -
CITY OF ASHLAND, OREGON
Page 2
4. In consideration for the faithful perform,ance of the conditions,
covenants, and undertakings herein set forth, City agrees to pay CPA. an
approximate fee for fiscal years 1987-88, 1988-89, m~d 1989-90, as follows:
1987-8~
City. ACH APRC
Hours 736 352 100
Rate $ 34.00 $ 34.00 $ 34.00
Fee $ 25,024 $ 11,968 $ 3,400
1988-89
IIours' 736 352 100
Rate $ 35.00 $ 35.00 $ 35.00
Fee $ 25,760 $ 12,320 $ 3,500
1989-90
Hours 736 352 100
Rate $ 36.00 $ 36.00 $ 36.00
Fee $ 26,496 $ 12,672 $ 3,600
City agrees to pay CPA other out-of-pocket costs such as report production
for a report submitted for the Governmental Finance Officers Association
(GFOA) Certificate of Achievement Program, postage, business licenses, etc.
5. It is understood that the estimate as set forth in Paragraph 4 is
based on anticipated cooperation from City personnel and the assm,iption
that unexpected circumstances will not be encountered durin~ the audit. If
additional time required is ten percent (10%) in excess of the estimated
fee as set forth in Paragraph 4, City agrees to pay CPA for these services.
If significant additional time is necessary which causes the fee to be ill
excess of ten percent (10%) of the estimate, CPA shall report the reasons
that additional time was required and will submit a billing for the
additional hours to City for approval.
CONTRACT FOH AUDIT OF OREGON MUNICIPALITY -
CITY OF ASHLAND, OREGON
Page
6. It is understood and agreed that this contract shall include
consulting services that may be performed by CPA concerning fiscal matters,
budge'Ling, mhd accounting procedures for City. The fee for such
consulting services shall be based upon the total number of hours expended
at the rate of Forty Dollars ($40.00) per hour for 1987-88, 1988-89, and
1989-90, and is not included in the maximum fee referred to in Paragraph 4.
?. It is understood that the audit shall be started as soon after
this contract is executed as is agreeable to the parties hereto and that
CPA shall deliver a written report thereon to City within a reasonable
time, but in any event not laLer than December 31s~ of each year unless an
approved extension is granted by the Secretary of State.
8. It is understood and agreed that City will provide CPA With the
preliminary financial statements for the audit and that City is responsible
for the accuracy and completeness of such financial statements. It is
understood that CPA Shall prepare the annual financial report, including
the auditor's opinion, .general purpose financial statements, and
disclosures required to fully disclose and fairly present the results of
operations for the period, under audit'. Ten (10) copies of such report
shall be delivered to the City, and its form and content shall be in
accordance w~th and not less than that required by the Minim~n Standards
for Audits of Oregon Municipal Corporations. The cost of preparing and
delivering such annual financial report shall be included in the fee for
conducting the audit as set forth in Paragraph 4.
9. It is understood and agreed that this contract shall be effective
for the audits of the fi§cml years endin~ june 30, 1988, June 30, 1989, and
June 30, 1990, unless it is determined by the Oregon Secretary of State,
Ore~on State Board of Accountancy, or the Federal cognizant audit agency
mssigned to City that the audit wms not performed'with care and diligence
as required by Paragraph 2.
CONTRACT FOR AUDIT OF OREGON MUNICIPALITY -
CITY OF ASHLAND, OREGON
Page 4
10. It is understood that the estimate as set forth in Paragraph 4
does include tests of transactions related to Federal assistance programs
for compliance with applicable laws and reffulations as required by the
Single Audit Act of 1984. It also includes time to review City's
compliance with terms of agreements relating to participation in programs
funded by Other governmental agencies to assure the grantin~agency that
reports filed with them agree to the accounting records of City.
Therefore, the fee for the audit relating to the Single Audit Act of 1984
and compliance relating to participation in programs funded by other
go%ernmental agencies is included in the fee as set forth in Paragraph 0.
11. It is understood and agreed that CPA shall be required to obtain
a city business license to conduct the audit of the City.
12. City hereby affirms that proper provision for the pa~nent of such
fee has been, or will be, duly made as work progresses, based on monthly
'stat~,ents rendered by CPA. Payments will be made within thirty (30) days
of billinff. Late payment fees of one and one-half percent (1 1/2%) of
m, ount unpaid shall be due and payable if payment, is made after thirty (30)
days of billing.
GERALD W. BURNS, CPA
CITY OF ASHLAND, OREGON