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Res. No. 198-09-13007RESOLUTION NO. 198-09-13007 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF SOUTH MIAMI, FLORIDA, CREATING AN AUDIT COMMITTEE TO ESTABLISH CRITERIA, REVIEW AND ASSIST IN THE PROCESS OF SELECTING AN AUDITOR; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, Section 218.391, Fla. Stat., requires the establishment of an audit committee to select an individual or firm to conduct the annual audit of the City's books and records. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND THE CITY COMMISSION OF THE CITY OF SOUTH MIAMI, FLORIDA, AS FOLLOWS: Section 1. The City Commission hereby creates an Audit Committee. The Committee shall consist of five members, appointed by the Mayor, with the advice and consent of the City Commission. Section 2. The Committee members shall serve for a twelve month term, or until a recommendation is accepted by the Commission, whichever date is sooner. The Committee members shall serve without compensation; provided, however, the City will reimburse expenses incurred. Section 3. Meetings of the Audit Committee shall be subject to the Florida Sunshine laws, including the public meeting law and the public records law. All meetings of the committee shall be advertised and open to the public. Section 4. The Audit Committee shall: (a) Establish factors to use for the evaluation of audit services to be provided by a certified public accounting firm duly licensed under chapter 473 and qualified to conduct audits in accordance with government auditing standards as adopted by the Florida Board of Accountancy. Such factors shall include, but are not limited to, ability of personnel, experience, ability to furnish the required services, and such other factors as may be determined by the committee to be applicable to its particular requirements. Pg. 2 of Res. No. 198 -09 -13007 (b) Publicly announce requests for proposals. Public announcements must include, at a minimum, a brief description of the audit and indicate how interested firms can apply for consideration. (c) Provide interested firms with a request for proposal. The request for proposal shall include information on how proposals are to be evaluated and such other information the committee detennines is necessary for the firm to prepare a proposal. (d) Evaluate proposals provided by qualified firms. If compensation is one of the factors established pursuant to paragraph (a), it shall not be the sole or predominant factor used to evaluate proposals. (e) Rank and recommend in order of preference no fewer than three firms deemed to be the most highly qualified to perform the required services after considering the factors established pursuant to paragraph (a). If fewer than three firms respond to the request for proposal, the committee shall recommend such firms as it deems to be the most highly qualified. Section 5. The Commission shall inquire of qualified firms as to the basis of compensation and select one of the firms recommended by the audit committee. Section 6. This Resolution shall take effect immediately upon adoption. PASSED and ADOPTED on this November 3 , 2009. ATTEST: APPROVED: eO Y CLERK A OR COMMIS-0 READ D APPROVED AS ORM: Mayor Feliu: Yea n Vice Mayor Beasley: Yea Commissioner Newman: Yea CI ATTORNEY Commissioner Palmer: Yea Commissioner Sellars: Yea South Miami Ali•pmelicaCtly CITY OF SOUTH MIAMI OFFICE OF THE CITY MANAGER INTER - OFFICE MEMORANDUM 2001 To: The Honorable Mayor, Vice Mayor arA Members of the City Commission Via: Roger M. Carlton, City Manager '(A/&4'= From: Matilde G. Menendez, Finance Director 'n5 `4 Date: November 3, 2009 Agenda Item: Subject: Creation of Audit Committee Request: RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF SOUTH MIAMI, FLORIDA, CREATING AN AUDIT COMMITTEE TO ESTABLISH CRITERIA, REVIEW AND ASSIST IN THE PROCESS OF SELECTING AN AUDITOR Background: State Statute 218.391(2) requires municipalities to establish an audit committee to assist in selecting an auditor to conduct the annual financial audit. The creation of an audit committee will give the City the ability to move rapidly in the Request for Proposal process for the next Fiscal Year 2009 -2010. This would allow for a smooth transition between auditors. Recommendation: It is recommended that to comply with State Statutes the City Commission approve the creation of an Audit Committee