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SHARPTON, BRUNSON & COMPANY
June 4, 2013 (;erti[ied 1'lti)liC ; \CCO(er)tf )tS & M[SirWss C owitiltan -is One Sowheasl 1 h ud Atenn, S Ile 2100 FL 33131 Tel: (305) 374 -1574 }m:(305)3RSI(1 I O F,a,I 13rowa rd Boulevard 17�� Plooi_ Suil, 170> Frl audcrdelev 1-1, 13',01 lei, (954)4(7 -;490 Fay (9�4i467 -olS4 liwlv.ebccpx.com c/o Ms. Maria M. Mendez, CMC, City Clerk City of South Miami City Hall 6130 Sunset Drive South Miami, FL 33143 Dear Members of the Selection Committee: 215 sou 16 NIo)nroe swel Suit, 710 Ldlahamce FL 32301 '721 iS?01 Z'?Rlbp Please find enclosed one (1) original unbound proposal, nine (9) additional copies and one (1) digital CD copy of our response to the City of South Miami's Request for Proposals RFP #FN- 2013 -5 "External Audit Services ". Should you require additional information, please do not hesitate to contact me at (305)374 -1574. Sincerely, SHARPTON, BRANSON & COMPANY, P.A. I AB /kp 9� Enclosures REQUEST FOR PROPOSALS EXTERNAL AUDrr SERVICES ORIGINAL !."admili.ted Ely: s.m .�k r f i l k ` , MILNIS � , MF-OAN , PA. AM ' ° Certified Publrc Accountants & Bias iness Consultants One Southeast'1 "hirr3 Avenue, Suite 2100 Miami, FL 33131 305.3 74.1574 305.1372.8161. (Fax) Contact: Atiffiony Brunson AB@sbc:cl)a.com Address: One Southeast Third Avenue Suite 2100 Miami. Florida 33131 Contact: Anthony Brunson, CPA Telephone: 305.374.1574 Email address: ab @sbccpa.com Date: June 5, 2013 ' Subject: RFP #FN- 2013 -05 — External Audit Services Submitted to: Maria M. Mendez, CIVIC, City Clerk City of South Miami City Hall 6130 Sunset Drive South Miami, FL 33143 1. Legal Entity in the State of Florida Yes X No 2. Member of American Institute of Certified Public Accountants, Government Audit Quality Center Yes X No 3. Member Florida Institute of Certified Public Accountants (Qualified Staff Members) Yes X No 4. Member Division of CPA Firms Private Companies Practice Section - Yes X No _ S. Is the Firm Protected by Professional Malpractice Insurance ($2,000,000) Yes X No 6. Continuous CPA Service in State of Florida Years 29 REQUEST FOR PROPOSAL (RFP) r RFP4 F-N- 2013 -05 PAGE A. TITLE PAGE C. TRANSMITTAL LETTER.............. ... ....... ........... ....... ........ ......... ................ i 761FROUNTIMMOTMOT "T 2. Independence ................................................................................................................................. ..............................1 3. License to Practice in Florida . ........................................................................... .............................. ..............................2 4. Firm Qualifications and Experience ................................................................................................ ..............................3 Numberand Nature of Staff ........................................................................................................ ..............................4 PeerReview ................................................................................................................................. ..............................5 EngagementTeam ...................................................................................................................... .............................10 OrganizationalChart ................................................................................................................... .............................12 Resumes.................................................................................................................................... ............................... 12 Engagement Team's Audit Experience ..................................................................................... ............................... 16 Engagement Team's Professional Continuing Education ............................................................ .............................17 Rotating Staff & Client Continuity ............................................................................................... .............................18 References.................................................................................................................................. .............................19 State of Florida Department of Management Services .............................................................. .............................20 5. Prior Engagements with the City of South Miami ....................................................................... ............................... 21 6. Similar Engagement with Other Government Entities ................................................................. .............................21 7. Specific Audit Approach ................................................................................................................. .............................25 Understanding the Requirements ............................................................................................... .............................25 Methodology and Rationale for the Proposed A pproach ........................................................... .............................26 ProposedWork Plan ................................................................................................................. ............................... 27 A. Proposed Segmentation of Engagement ............................................................................ .............................30 B. Level of Staff to be Assigned to Each Segment of Engagement .......................................... .............................30 C. Sample Sizes & Extent of Statistical Sampling and Approach to Smnples for Test of Compliance ...................31 D. Extent of Use of EDP Software ...............................................................................:............ .............................31 E. Type and Extent of Analytical Procedures ......................................................................... ............................... 32 F. Approach to be Taken to Gain Document and Understanding of Internal Control Structure ...........................32 G. Approach to Determining Applicable Laws and Regulations ..... ................ ...................... ..............._........__...33 H. Approach to Drawing Audit Sample for Purposes of Test Compliance ............................. ............................... 33 1. Approval to be Token in Seeking Issues to Be Reviewed from City Staff, Elected Officials, and other Appropriate Parties ............................................... .............................33 8. Identification of Anticipated Potential Audit Problems ............................................................... .............................34 Management Letter Recommendations ..................................................................................... ............................. 35 9. City of South Miami Disclosure Affidavit ...................................................................................... .............................35 E. PRICE PROPOSAL 1. Proposed Fees .............................................................................................................................. ............................... 36 2. Rates .................... ............................... ................... ............................... 36 3. Manner of Payment ....................................................................................................................... .............................36 F. ACKNOWLEDGEMENT OF ADDENDLIMS ................................................................................. .............................37 ATTACHMENTS List of References Proof of Liability Insurance Public Entity Cranes and Conflicts of Interest Drug Free Workplace No Conflict of Interest / Non - Collusion Certification Acknowledgement of Conformance with OSHA Standards Related Parties Transaction Verification Form June 4, 2013 �. k CAN' Pf1RON, 131 -tUN O N & C:C)MF)A ` , I A. Certified PLIblic Acc()tizatfIl S & Bt.tSjIWSS (,()I]StlitdHIS One Smtthea,t'Ih Gd A�anue Smile 2100 Tliemi. FL 33131 Tel: 005) 374 -1571 rai (305) 31'-8161 Maria M. Mendez, CIVIC, City Clerk City of South Miami City Hall 6130 Sunset Drive South Miami, FL 33143 1101 ast Bronard Boulomd 17« Flom'..S,,I6 t70S Ft. laudctdale 11. ,33301 IA 0 54 1 467 -5490 1 11 1"4146' -6184 e °�4wAwcp atom Dear Members of the Selection Committee: 2l5 soolh Monmc sti"t Spite 7>0 Ulahmxe 1= 1.32301 RI (b O) '_ - -Si60 Fay (alp ,? -S I8) Sharpton Brunson & Company (SBC) greatly appreciates the opportunity to serve the City of South Miami ( "the City') as its' independent public accountants. Today's operating environment does not make the City a candidate for training inexperienced auditors. As a City which provides the full range of municipal services, SBC professionals have the business acumen, industry experience, and knowledge of municipal operations to satisfy your service requirements and expectations. SBC has guided accounting and finance personnel of governmental entities to achieve compliance with OMB Circulars, Government Auditing Standards, Rules of Florida's Auditor General, as well as regulations of federal, state, and local agencies. SBC understands the work to be done! SBC has accumulated the resources and expertise you demand of firms interested in providing services to the City. Engagement team members have gained substantial experience performing audits of municipalities, special districts, counties and constitutional offices as well as scores of special purpose governmental entities. As a matter of record, SBC logs more than 20,000 hours annually performing audits that satisfy Government Auditing Standards, OMB Circular A -133 and Florida's Single Audit requirements. Our commitment to this industry and the community did not start yesterday; it has been a working vision of our Firm as manifested in our effective support of organizations like the City of South Miami and participation on several governmental boards and committees. SBC is best qualified to serve the City because we understand the complexities of the organization, the community, and the economic challenges you face. V A Our skill set is complemented with over two decades of extensive economic and feasibility analyses experience which has been continuously drawn upon by local, county and state governmental entities seeking a positive impact on operating performance. Likewise, our expertise has been drawn upon for some of the most noteworthy development projects in South Florida. As a matter of record, SBC conducts approximately 80% of all Economic Impact Studies filed by developers for the City of and Miami -Dade County's Major Use Special Permit (MUSE) process. Our professional staff's business expertise allows prompt identification of the critical factors and actions necessary to increase revenues, decrease costs and improve productivity. Very few firms have our economic analyses experience. Moreover, SBC has assembled a team structured to bring the most responsive service available. Our personnel are hands -on and directly involved in performing and supervising the work. Additionally, serving governmental and nonprofit organizations encompasses the core of SEC's audit practice; hence, we have the bench strength to continue planned service levels; an inherent advantage over our competitors. SBC certifies that we have adequate personnel, equipment, technology, and facilities to fulfill the requirements of this RFP within the scheduled time constraints. SBC has reviewed the provisions of pages 3 and 4 of the REP and confirm that our past industry experience, current experience, and professional staff provide SBC with the technical knowledge and expertise to complete the scope of work under the REP. Additionally, this proposal is a firm and irrevocable offer to provide services and successfully execute the engagement in the time frames specified in this REP. Moreover, to the performing the work required under the REP, SBC shall offer, at no expense to the City, an annual government- training seminar to the City's accounting staff. The seminar shall award eight (8) hours of CPE credits per staff member for at least two (2) of the City's Finance Department staff. We trust this letter conveys our enthusiastic desire to serve as independent certified public accountants to the City of South Miami. This proposal is a firrn and irrevocable offer for ninety (90) days. Given the opportunity, SBC will not only meet but exceed your expectations! We want to serve you! P REQUEST FOR PROPOSAL (RFP) A. , r s. 1-,11, ',)s RFP# FN- 2013 -05 Y S"` z C. The second general standard of the AICPA requires that the auditor be independent; aside from being in private practice, he must be without bias with respect to the client since otherwise he would lack that impartiality necessary for the dependability of his findings, however excellent his technical proficiency may be. Independence recognizes an obligation for fairness not only to management and owners of a business but also to creditors and those who may otherwise rely upon the independent auditor's report. To be independent, the auditor must be intellectually honest. To be recognized as independent, he must be free from any obligations to or interest in the client, its management, or its owners. Pursuant to the standard promulgated by the AICPA and SBC guidelines, we are independent of the City of South Miami, Florida and all of its component units. Sharpton, Brunson & Company, P.A. affirms that it and its officers are independent of the City of South Miami, Florida as defined by generally accepted auditing standards and the U.S. General Accounting Office's Government Auditing Standards. In the past five (5) years SBC has not had any relationships involving the City of South Miami and therefore do not constitute a conflict of interest relative to performing the proposed audit. In addition, SBC shall give the City written notice within five (5) days of any professional relationship entered into during the period of the agreement. SHARPT0N, RRUNS0N 8 C't)T0, PA N Y, P.A. Ati6C2 s i REQUEST FOR PROPOSAL (RFP) RFP# M-2013-0 MIMSIP1011041M. a 3. UCE:,,NSE'ro PRACTICE' W F"'LOMDA SBC affirms that the firm and all assigned key senior professional staff are properly licensed to conduct audits in the State of Florida, SHARPION. BRUNSON & P.A, P A G k. I "'? REQUEST FOR PROPOSAL (RFP) RFP# FN- 2013 -05 4. f°IRiF,(i QCfa"tllf'It,.A°bIi)Nti.AND EXPE.RIENCE Ranked among South Florida's top 25 full- service accounting and consulting firms, SBC is a 100% minority owned corporation. SBC has built a 28 + year legacy of providing high quality advisory and compliance services at competitive values to our clients on a timely basis. During the past year, our distinguished professionals logged more than 20,000 hours performing audits that satisfy GAGAS. SBC is a leading provider of compliance, auditing, and consulting services for many of the State's largest agencies. Based in Miami, with additional offices in Fort Lauderdale and Tallahassee, our firm maintains a staff of over 30 professionals, 11 of which are certified public accountants. Our innovative, entrepreneurial approach to client service sets us apart from our competition. We go beyond the basic routine to provide an extra dimension in quality service. The firm and its principals have been honored as "Outstanding Entrepreneurs" in South Florida as well as "Company of the Year" on numerous occasions. SBC's core audit and consulting practice represents servicing public sector clients. SBC is a member of the AICPA Government Audit Quality Center, the Government Finance Officers Association (GFOA), and FCPA Nonprofit Committees. The SBC team has accumulated extensive experience preparing governmental financial statements pursuant to GASB pronouncements, statements, and interpretations; performing Federal Single Audits and Florida Single Audits, as well as providing assistance to clients preparing the Comprehensive Annual Financial Report (CAFR) for submission to the GFOA. Supported by a strong tradition of continuing education, our in -house programs are designed to implement pragmatic approaches to learning and problem - solving. Improvement of technical knowledge, creative thinking, and analytical abilities are critical to continuing our exceptional record of performance. Additionally, seminars are sponsored by the Firm annually addressing issues which impact the governmental and nonprofit community. Adequate professional continuing training has been provided for the past three (3) years. , H €RPTON, SRUNSON 8, COMPANY. F.A. P A G E � ; REQUEST FOR PROPOSAL (RFP) RFP4 FN- 2013 -05 , Fffvl`vfl QUALB Ci.w{'t "Plfi1NS AND [ :XPERlP.:d U,`,' ilmrx'R ANN) NATURE OF STAFF 51 , SBC's governmental audit staff comprises thirteen (13) full time members which are inter- changeable among our South Florida offices. Our downtown Miami home office will be responsible for performing the services described in the RFP's Scope of Work. Specifically, at least 80% of these team members' time is spent servicing public sector organizations. This engagement requires assignment of an audit senior, a staff consultant, with the supervision of the engagement partner and audit manager. There will be no subcontractors assigned to this project. All tasks will be performed by SBC employees. The Quality Control and Resource Partners serves as a technical resource and ensures client service needs are full satisfied. Responsible for overall client service delivery and Individuals must have at least 12 engagement management. Partners have oversight years of industry specific 1 responsibility for adherence to code of ethics and quality of business experience, firm services, firm growth, independence, and require a high level of technical expertise. CPA or industry equivalent Individuals must have at least 12 Responsible for ensuring that client objectives are adhered to years of industry specific 1 and the audit reporting and related documentation satisfies business experience, firm and industry standards. CPA or industry equivalent Responsible for client relationships for clients assigned to them and specific depth of knowledge in their area of expertise. Managers direct the work of assigned staff, research and document all critical issues impacting engagements, supervise engagement planning and staff. Responsible for the timely execution and completion of assigned tasks. Expected to remain current and be familiar with industry pronouncements, rules, regulations, and code of ethics. Individuals must have at feast 6 years of relevant auditing, consulting or industry experience, CPA or industry equivalent Individuals must have at least 2 years of financial experience or hold an MBA from an accredited university. `.IHARIPTON, 11PUa'SRON & COMPANY, P.A, P A G E '.4 REQUEST FOR PROPOSAL (RFP) RFP#! FN- 2013 -05 . 6Futim Qi., @AHAC:?! "R'iONS LAND E}bM:M NCE-,, }i SBC is devoted to quality, and we have taken extra steps to ensure we meet the highest professional standards of quality. Every three years, our quality controls are examined by specially trained CPAs from other firms. SBC is pleased that we received an unqualified report of our review, meaning that our firm adheres to the most rigorous standards of our profession. Since the core of our practice serves governmental/ nonprofit entities, our firm's review comprised almost entirely governmental organizations. SBC has successfully participated in the AICPA's peer review for over 28+ years. We have always met or exceeded the required professional quality control standards for an accounting and auditing practice established by the AICPA. Additionally, our firm has a quality control partner who ensures our work product meets internal and regulatory technical standards as well as quality compliance on an annual basis. A copy of our firm's three most recent peer reviews follows. HARPT0N.. R P U N 5 0 N 8, C0fA PA NY, P.A. PAGL � � t s ,uw k At V�ik i V t, (� BUSINESS CONSULTANTS OERTIFIED PUBLIC ACCOUNTANTS Cod$, G. Favor, CPA,PFS; CFP? G9rpar W. Ndil CPA � C. Weyne nampe, CPA, OVA aichail A Stelvay, CPA 3208 Wiidwood Plantation Drive , Poai Office BOX 1867 - Valdotaa, GA 31608 1887 - (226) 244755$ 1806) 360 -3723 - Fax (228) 245.7a59 System Review Report Judy 25, 2012 To the Partners of Sharpton, Brunson & Company, P. A. and the National Peer Review Committee We have reviewed the system of quality control for the accounting and auditing practice of Sharpton, Brunson & Company, P. A. (the firm) in effect for the year ended February 29, 2012. Our peer review was conducted in accordance with the Standards for Performing acrd Reporting on Peer Reviews established by the Peer Review Board of the American Institute of Certified Public Accountants. The firm is responsible for designing a system of quality control and complying with it to provide the firm with reasonable assurance of performing and reporting in conformity with applicable professional standards in all material respects. Our responsibility is to express an opinion on the design of the system of quality control and the firm's compliance therewith based on our review. no nature, objectives, scope, limitations of, and tire procedures performed in a System Review are described in the standards at WAW -AigPa Org[prsrunmm . As required by the standards, engagements selected for review included engagements performed under Government Auditing Standards and an audit of an employee benefit plan. In our opinion, the system of quality control for the accounting and auditing practice of Sharpton, Brunson & Company, P. A. in effect for the year ended February 29, 2012, has been suitably designed and complied with to provide the firm with reasonable assurance of performing and reporting in conformity with applicable professional standards in all material respects. Firms can receive a rating of pass, pass with defictencyfles) or fall. Sharpton, Brunson & Company, P. A. has received a peer review rating of pass. F 1 Fowler, Jolley, R nbo & Stalvey, P.C. SERVING VAIDOSTA AND 5OVrN GEORCIA 51NCF 19$6 James E Cone, CPA MAnNnnaLOadt,Jr, CPA ROWRERMECPA DoMo WA&MCPA Emky A,BEorna,CFkGFFA P.&roq UtDACAA 1ORAyA -000 CA RetsyQ SrzuN, Ci^A ww vOIJ*MtpAtoz MEMBER Of AGN INTERNATIONAt ,SFi F1F26 TON, BS(UNSON a COIAP iNi F.A. €'` -A G, f, � C� REQUEST FOR PROPOSAL (2FP) =lira ft.ur -,d , r RFPH FN- 2013 -05 D. TECHNICAL PROPOSAL growler, fjolt yy Rallitho fiedv ;y, PC. C 73N1'IF CFC PLMLIO ACCOUNTANT "$ BUSINESS CONSULAANTS CIIIII, n. rrlr CIA, FPe, GW GnAtnaWAr CPA C ,CPA,Gtd Kd ldA.MaW, CPA 1208M'3., df4nnlellnn Gem Pa,tOil Pix1897•Val6aan,(I A31603- 1881 ' (09) N 11559 , (800) '160 3I 21 le (29)24S7354 Sys'te'm Rmvicw Ropol't August 12, 2009 'fo the Partners of edeurpton, Bronson & Company, P. A. are the Peer Review Committee of the Florida Institute of CPA's We have reviewed the system of quality control #'or the necounlhrg and .tUdiiir[3 Practice of Yentito❑, Brunson & Company,. P. A• (the limn) in affect for the year ended Februmy 28, 2009. Om peer review was conducted in accordance Willi [lie Standards foe Performing and Reporting oil Peer Reviews established by the Peer Review Board of the Amencar Institute of Certified Public Accountants, 'tile firm is responsible for designing a system of quality control and complying Willi it to provide the firm with reasonable assurance of pertffiiming and reporting In contmrnity will applicable professional standads in all material respects Omr reapcnrsibility is to mpresx an opinion on the design of tilt system of quality control and the firm's eomphince therewdih based on our review. "Elie nature, objectives, scope, limitations of, and the. procedures perrim!ed in a System Review are described in Ore standards at svtqu +,a }t^y>a.crry�r.stanir(plr y. As rerinned lay fire standards, ciegagements selected far review included engagements performed under the (7overamern 11110 ap, S/andards and audits, of employee benefit plans. In our opinion, the system of 9unlity control for the accounting and audilhtg practice of Shapton, Brunson & Company, P. A. in effect for the year ended I'ebruary 28, 2009, lens been eunably designed and complied with to provide the firm with reasonable assurance of pePforming and reporting in conformity will applicable professional standards in all materiat respects. Hine can receive It orin(; of Press, pass• lotlh rleJta +cncy(ies) or firi7. SiciIs0n, Brunson & Company, P. A. his received it peer review ratittgo£plem jf t 1µ1,t, i 51 G A. trot lrr lluflep,Viambn&Stew scat) ✓Ataosrn. Nr, 5 RnMr pz• r a',,IfE J,v f+",.�r,us^h rt .cGrt it l,XrA H" "INIt,_C,W T,!;1 M.W1o11Y,,.t..Cpn S .F,.,il,,. „CPA cam ASL ,txtR er Ie d( SN ^34JNltf itttAR1'1 0 N. itRttN;41'iN ur C 0 M P A N Y F,A, Pfttse t' Fowler, Holley, Rambo & Staftney, CC, CC Ill IPtC=q P`libUlLi ACCOUe Nt.S HOSINF-rS OtONSUL.TANT. Caere O.( i 1vPn .PFk,,(l k','VC"W o'111ACIA, U.Wall n aa,1, tPd. CIA I R.ciurtl A.sc&cy, CPA a2C1?widwmtl Manlebon nrnn Pnsi llHlq, ROx alai V.Ii0VC4,GA31GkYVon i39aI Y41d5',y iUOpY 9flO anti Gu 1229)2a &736a June 28, 2006 To One Painters Sharplon, Bronson & Company, P,A. We have reviewed the system of quality .control but the accounting and auditing practice of Shaulon, Bannon & Ctnnpany, P. A, (the fin n) in effect for Iheyear ended February 23, 2006. A System of quality control encompasses the firm's orgamiational structure, the . policies adopted and procedureti established Io provide it will) reasonable issuance of eon luring 'NAll professional standards. The elements of quality control are dean'ibed in the Snicmcots on Quality Control Standards issued by the American Institute of CPA's (ATCPA). The four is responsible far designing a system of quality control and oouplying with it to provide the lira reasonable assurance of conforming with professional standards in all material ieslrerts, Our responsibility, is to express an opinion on doe, des'igm of the system of quality control and the firm's compliance with its system of quality control based oil our review. Our review Was Conducted in accordance with standards established by the Pecr Rev ow Ticard of ncc AICPA. During our review, we read required representations from the firne interviewed firm personnel and obtained an understandung of the nature of the fin's accouoing and nodding Practice, and the design of the firm's system of quality control sufficient to assess the risks implicit in its practice_ Based on our assessments; we selected engagements and adndntstrative files to test for confomvty with professional standards and compliance with the firm's system of quality control. The engage ne ris selected i'cpi'esenied a reasonable cros - Section of the firm's accounting and auditing practice with emphasis on highera'isk engagements, 'The cngagemeaus selected included aroong others, audit; of Employee Benefit Plans and engagements performed under Gowrrnnent Andifing Standards, Prior to concluding the review, we reassessed the adequacy of the scope of the peer review procedures rand rea with fine management to discuss the. results of our review. We belolve that the Procedures we performed provide a reasonable basis for our opinion. In Performing our review, we obtained an understanding of the system of quality control for the fimr's acconting and auditing practom In addition, we tested compliance with the firm's quality control policies and procedures to the extent we considered appropriate, 'These kesis covered fire application of the ohm's Policies and procedures on selected engagements. Don r'cviev was based on selected tests therefore it would not necessarily detect alt wealmcsses lnflic system of q ei3al control or all instances of ❑opcomptiance with it there are into reant lnnellorns in file effec6v ell ess of any system of quality c unit it and tire tons e noncompiIonce with the sysem of quality eo. rh'o4 ma}•nCCUr urd alit t>L daEecfed :'sojertian oL rty e ++aF.nahan ofa:ysiern nfqualitiy control to inane periods is subject to the, r wk that tine sysrern of quality control may baconre SCIIW "nsucrsta , r Y ,„r rr.SEakr. z yIIL6 rr.56 . 9,rvsF a,tI...+A ...rh11?1kR1 RR . +?!asx n..,CIA , 1k,11111,e1+A. fir. $Ii e [ ff 914+`:kt ;HAf2 €'T0N. tt k, it N8 CtN & COMPANY, P.A.. IT o e � �� REQUEST FOR PROPOSAL (RFP) _ ,.(➢Dht.1'•, r,,.... REP# FN- 2013 -05 MON. Holley, Rambo U gia]wy, t:C, To till, ]'minces ShnrPton, 71110reon a& Company, P.A. Page Two madectucte because of changes in conditions, or because the uegree of emnp ^ianct: aviltt the policies and procedures may dolcvlomte. In Out opinion. the syetem of quality control for the eocounting and auditing p actiee of Shalpion, Bruns m it Compmiy, P.A. in effeot for the yell, ended 1'ebruay 28, 2006, hae been designed to meet the requircnrcnts of ¶r pnality control standards for all accounting and auditing praotice established by the AICPA and w9s, cmnplieel with dunes, tile yeir then ended it) proviilc the firm wlth rensonable assura ce of conforming with profesl-iorrals standards. hx,�Iw- t_Ifi�IL h I �?n�.db:� a Sti�.lw� to C . S HA(2 P10hl, IT RU Ng0N Ea :O LA PANY. P.. +A .. P A G F �`' 4 REQUEST FOR PROPOSAL (RFP) „ }. RFP4 FN- 2013 -05 D. TECHNICAL PROPOSAL 4„ FIR L)AL14 i€;A7.10NS AND 9 "XPEM NC E — t (; NTr0 ENGAGEMENT TEAM Sharpton, Brunson & Company, P.A., with a 25+ year track record of service excellence, is recognized as in industry leader in serving governmental entities receiving funding from multiple federal, state and local agencies. Our core audit practice provides services to many of South Florida's largest governmental entities and not - for - profit organizations. Furthermore, we are ranked among South Florida's top 25 full- service CPA firms and among the top 100 Small Businesses in South Florida. All professional staff members are full -time employees of SBC. More importantly, SBC can assure the City that any firm member assigned to the engagement currently meet mandatory continuing professional education (CPE) requirements of GAAS. Our office regularly conducts technical seminars to provide professional staff with updates in recent developments in accounting and auditing. Recent FASB and GASB pronouncements are presented to client team members and provided to client personnel. Our engagement team is led by audit partner Anthony Brunson, CPA and quality control partner Kevin Adderley, CPA. All Team Members hold CPA licenses in the state of Florida. Engagement team members are as follows: ANTHONY BRUNSON, CPA ( "Tony ") is a member of AICPA, FICPA, and the GFOA. Tony is a certified public accountant in Florida and Mississippi. Tony is an audit partner and SBC's government industry specialist. He has 30 years experience working with publicly funded programs, counties, municipalities, special districts and scores of governmental organizations throughout the state of Florida. He is a former governmental industry expert for a big 4 accounting firm. In addition, Tony has instructed a number of industry courses to industry personnel and served as proctor and grader of finance personnel seeking governmental industry designations. Tony shall serve as Engagement Partner. ,SHARP C)Nl BRUlNSON & COMPANY, P.A. RAGL k to REQUEST FOR PROPOSAL (RFP) =mi '! =a' ,! �i,. I _. RFP4 FN- 2013 -05 4, FMM C'jU LI11WA1`I0N(sf -ND EXP1::M(fECE ... . :Oi` T'D ENGAGEMENT TEAM - CONT'D n KEVIN ADDERLEY, CPA is a member of the AICPA, FICPA, and Florida Government Finance Officers Association ( FGFOA). Kevin is a graduate of Florida A &M University with a degree in Business Administration. He is a licensed CPA in the state of Florida with over 20 years of experience. Kevin has served in FGFOA and FICPA Governmental and Nonprofit committees. Moreover, he holds the AICPA governmental Certificate of Educational Achievement. He has instructed numerous governmental, accounting and auditing as well as other professional development courses and seminars over the past several years which satisfy governmental continuing education requirements. Kevin shall serve as Quality Control Partner. KATHELYN MOLINARES, CPA, is an MBA graduate of Florida Atlantic University and holds a Florida CPA license. She is a member of FICPA and the National Society of Hispanic MBAs. Kathy serves the firms governmental, health care and other non - profit clientele. Kathy has over seven (7) years of accounting and auditing experience. Her engagement duties include execution of audit tasks and supervision of staff members. She has reviewed and analyzed internal controls of assigned clients, reviewed cost allocation methods and evaluated allowable costs and compliance with federal and state cost reimbursement principles. Among the clients Kathy has served are Jacksonville Transportation Authority, Housing Finance Authority of Broward County, City of Miami Beach, Miami -Dade and Broward County Public Schools, and Miami -Dade and Broward County Clerk of Courts Kathy shall serve as Audit Supervisor. All of our staff accountants are all graduates of accredited universities, most are MBAs. All are full time employees of SBC and currently satisfy relevant continuing education requirements. +HARPTON.. BRUNSON A COMPANY, P.A. Sr AGF j ii REQUEST FOR PROPOSAL (RFP) VS ., RFPt FN- 2013 -05 ' D. TECHNICAL PROPOSAL `MIA QL)A sfICA "1' &CANS AND ExPt:'Ma NCE- -CONT' ORGANIZATIONAL CHART Engagement team resumes follow. iHM14PTt".fv, iTI2UYVfiC'xN & T;CiA"=i'AiVY, P.A. Fn.AGPu >. Anthony (Tony) Brunson, CPA Engagement Partner Education and Certifications: B.S., Jackson State University MBE, Dartmouth College Certified Public Accountant, Florida and Mississippi Professional History: Sharpton, Brunson and Company, P.A., 1985— Present Price Waterhouse 1978 - 1984 Professional and Business Experience: Tony is the firm's state and local government specialist with over 30 years of public accounting experience working with public entities. He manages the firm's audit practice, which incurs over 20,000 audit hours annually. Tony ensures the quality and fiscal compliance of all governmental and non - profit clientele service delivery. In addition, he manages scores of audits encompassing the industries of non - profit /government, housing, transportation, education, and construction. .. ., Moreover, Tony serves as expert witness in matters involving n construction claims and cost allocation methods due to his in -depth knowledge of federal and state cost theories and practices. Additionally, Tony has been appointed by Florida courts as a Receiver and /or Trustee as a result of various bankruptcy proceedings and /or guardianship matters. Professional and Community Affiliations: • Member, American Institute of Certified Public Accountants • Member, Florida Institute of Certified Public Accountants • Member, Florida Government Finance Officers Association • Member, Mississippi Society of Certified Public Accountants • Member, Our Kids of Miami - Dade /Monroe, Inc. • Chairman, Carol City Community Center Foundation • Former Treasurer, Women in Distress • Former Chairman, Historical Overtown Folklife Village Foundation • Former Director, Friends of Gusman • Former President, National Association of Black Accountants • Former Board Member, Miami -Dade County Housing ® Former Treasurer, Dade Community Foundation Finance Authority • Member, Leadership Broward Class of XVII • Member, Leadership Miami Alumni Association • Past Member, Broward Community Foundation SHARPION, BPUNSON & c::c>vv: ANY, P..n,. P A U E 3 Professional History: Kevin Adderley, CPA Quality Control Partner Education and Certifications: B.S., Florida A &M University A.A., Broward Community College Certified Public Accountant, Florida AICPA Government /Not- for - Profit Certificate of Educational Achievement Sharpton, Brunson & Company, P.A., 1989 — Present Burger King Corporation 1986 —1988 Price Waterhouse 1980 -1985 Professional and Business Experience: Kevin has held managerial responsibilities for Miami - Dade County, Florida, Broward County Schools, South Florida Regional Transportation Authority (Tri- Rail), and South Florida Workforce Investment Board & Workforce One audits. He is principally responsible for the quality control of v'n reports issued pursuant to the Government Auditing �f r Standards, Single Audit requirements, Florida Rules of the Auditor General and other compliance requirements pursuant to laws, regulations, policies and procedures. Kevin has conducted planning and developed audit programs for a variety of governmental industries including labor, education, transportation, and general government. Also, Kevin serves as an instructor for Continuing Professional Education (CPE) Technical Sessions sponsored by the Firm. Professional and Community Activities: • Member, American Institute of Certified Public Accountants • Member, Florida Government Finance Officers Association • Member, Florida Institute of Certified Public Accountants • Finance Committee Member, Miami -Dade Branch of NAACP HHAP PTO N, B RUN SON R'. CC)MPA.NY, P. A. PAGE, 614 Kathelyn Molinares, CPA Audit Supervisor Education and Certificates: MBA, Florida Atlantic University B.S., University of Florida Certified Public Accountant, Florida Professional and Business Experience: Sharpton, Brunson & Company, P.A. 2010 - Present Professional and Business Experience: Kathy has over seven (7) years of accounting and finance experience. Her responsibilities at Sharpton, Brunson & Company include working on assigned segments of attestation or consulting engagements and assuming substantial responsibility for smaller engagements. Prior to joining the firm, Kathy worked as the Assistant Controller for Palm Beach International Raceway, where she participated in the implementation/ migration of old accounting systems into new accounting systems. She also worked at GlobeCast North America, a Subsidiary of France Telecom, as a senior accountant. Her responsibilities there included performing general accounting entries, reconciliations, compilation, and variance analysis of Profit and Loss and Balance Sheet items. Additionally she prepared budget forecast and off - balance sheet commitment reports. Professional and Business Affiliations: M Member, American Institute of Certified Public Accountants Member, Florida Institute of Certified Public Accountants ® Member, National Society of Hispanic MBAs SHAkPiON, BRUN1ON F + +,. C.OM;P,ANY, P.A PAe; 6' y 1,4t '`t, Fif1R"ta'i QUAu rit:l"s`k°BONS,AlND (,} PERit 9NCE, . -, s?6ii.f.v9) R,.NM3Altt »dY EN t Y A'.:Ai is AUD i 9.mxpf.�d'Aimcr The SBC engagement partners have served the following engagements a minimum of five (5) years. The audit supervisor served the following engagements a minimum of two (2) years: Y r � Frwoalos N', Wmaw"In"oolka F� ..'t.A 4 s , ktY <� -�� Y �� s mix - n..�sd , li, An thony Brunson, CPA '. 30+ years •City of Miami Partner • City of North Miami Beach Partner • Miami -Dade County Partner • Miami -Dade Clerk of Courts Partner + Broward County, Florida Partner • Housing Finance Authority of Broward County Partner * City of Ft. Lauderdale, South Miami and others Partner e South Florida Water Management District Partner • Tri -Rail Partner Kevin Adderley, CPA 25+ years > Village of El Portal Sr, Manager • Broward County, Florida Sr. Manager Miami Dade County Sr. Manager . Tri -Rail Sr. Manager • Miami -Dade Schools Sr. Manager o City of Miami Sr. Manager e South Florida Workforce Investment Board Partner e City of North Miami Beach Partner • South Florida Water Management District Partner KathelynMolinares, CPA ' 4+ years • Broward County Housing Finance Authority Senior • Miami-Dade County Clerk of Courts Senior e Broward County Clerk of Courts Senior • Opa -Locka Community Development Corporation Senior + Miami -Dade County Public Schools Senior • Broward County Public Schools Senior The staff and senior will be on -site 100% of the time during the fieldwork phase. >HARPFON, BRUNSON & COMPANY, P,A. P A G 1 16 4,� 4w. FM QSSAL ICATif: NS AM) ) Expt "RI G1 (J CON k "D f.NGACi&:M N'r TEAM'S PROFESSIONAL CON 6'INUIN6 EDLJCA' iON Supported by a strong tradition of continuing education, our in -house programs are designed to implement pragmatic approaches to learning and problem - solving. Improvement of technical knowledge, creative thinking, and analytical abilities are critical to continuing our exceptional record of performance. In conjunction with our membership in the Private Companies Practice Section of the AICPA, and GAO Standards on Continuing Education, our professionals are required to have a minimum of 80 credit hours of formal, firm - approved professional education every two years, with a minimum of 24 hours a year. Our office regularly conducts technical seminars to provide the professional staff with updates in recent developments in accounting and auditing. Our training plan ensures that personnel attend the required member hours of Governmental CPE. Additionally, SBC sponsors annual seminars addressing topics that impact public sector clients. Generally, during the planning phase of the engagements, impacts of current year pronouncements are discussed with senior management. Recent FASB and GASB pronouncements are presented to client team members and provided to client personnel. Listed below is the number of continuing professional auditing completed by key members assigned to the engagement during the last three calendar years. Anthony Brunson, CPA 165 103 12 Kevin E. Adderley, CPA 183 159 12 Kathelyn Molinares, CPA 144 81 8 All key staff assigned to this engagement have met the continuing education requirements, as set forth in the GAGAS issued by the Comptroller of the United States. HdoRPrJiN. BRUN ON <w COMPANY, P.A. PA�G'f„ 17 4. FIRNA QUALI it: ATIONS AND Exa:)r_rUt`,,`NCJ CONT'F) ROIATING STAFF& CUENT CONTINU17Y SEC's approach to assigning individuals to an engagement is to identify a team to perform the assignment in an efficient and quality-oriented manner. A major factor is the assignment of personnel who are experienced in the field. SHAIMON, BRUN$iWq & C'C)i,APANY, P.A, P A G F 1 18 REQUEST FOR PROPOSAL (RFP) q RFP# FN- 2.013 -05 -- n D. TECHNICAL PROPOSAL FlRNA F' S,IALII It;A'I`It1it,S AND .ifi''I`FiIF NCF. - -- < F ?N`I'D ROTATMG STAFF- 4t CUENT CONTINUITY -00N F'D SEC's staff turnover is substantially less than industry average. SBC certifies to City that professional staff members will remain assigned to the engagement as long as they are employees of SEC. We ensure the quality of staff over the term of the engagement by keeping the engagement staffed with highly skilled and competent professionals. Our assigned staff shall remain on the engagement throughout the agreement term. SEC attests that principal supervisory and management staff will not be changed without the express prior written permission of the City. However, if staff should leave the firm, we shall provide a replacement with substantially equivalent or better qualifications and experience. SBC's staff turnover is substantially less than industry average. Mr. Norman Howard Deputy Director Housing Finance Authority of Broward County 110 NE 3rd St., Ste. 300 Fort Lauderdale, FL 33301 (954) 357 -4925 nhoward @broward.org Mr. Edward T. McGann Director of Finance & Budget South Florida Regional Planning Council 3440 Hollywood Blvd., Ste. 140 Hollywood, FL 33021 (954) 985 -4416 intern @sfrpc.com Mr. Edward Woods Director of Finance South Florida Regional Transportation Authority (Tri -Rail) 800 NW 33`d St. Pompano Beach, FL 33064 (954) 788 -7881 wood se @sfrta.fLgov Mr. J. Timothy Beirnes Inspector General South Florida Water Management District 3301 Gun Club Road, MSC 1310 West Palm Beach, FL 33406 (561) 682 -6398 tbeirnes @sfwmd.gov Ms. Janette Smith Finance Director City of North Miami Beach 17011 NE 19 Ave. North Miami Beach, FL 33162 (305)948 -2930 janette.smith @citynmb.com sHARPTON, DIOUNSON & <.OMPANY, P.A. P A (, E 119 4, FWM QUA UIt A`f'8C3NS AND EXPENII I CI=. — CC1N` PD STA`L or FLORIDA DEPA1d "d"9ViENT OF MANAGEMENT SERVICES The State of Florida, Department of Management Services, Division of State Purchasing administers statewide contracts and agreements for use by Florida State agencies, local governments, educational institutions, and other entities as defined in 60A- 1.005, Florida Administrative Code. The agency sought proposals from firms statewide and nationally, providers of governmental auditing and consulting services. Sharpton, Brunson & Company, P.A. ranked 4th out of 21 respondents in the audit category and 10 1h out of 62 respondents in the consulting category. These results were obtained after extensive vetting procedures conducted by Florida State management representatives. This independent ranking serves as a testimony on Sharpton, Brunson & Company P.A.'s standing on service delivery and ability in the governmental sector. A copy of the results follows. SHtARP_ O N. BRUNSC}.N & (COMPANY, IP,A PACE 120 REQUEST FOR PROPOSAL(RFP) RFP# FN- 2013 -05 u Pfaif:?ff ENt A(� ,i=KOldk' NT!,, rn-i i iE Ci l y or St. si.i ri` W" @iw 'dxy t Y Y • s • , Within the past five (S) years, SBC has not worked on any engagements for the City of South Miami. a 54MEiaAR E£11(AfeE.NEN`iS WiTH ,j"i`HER (301(k;FaNG4+IENk (:.N1 '6'f'Ii:::$ Existing governmental contracts similar in scope to those requested in the RFP are referenced below: Staff turnover has occurred in municipal clients previously audited; hence references do not exist for the following past municipal clients: City of South Miami; City of Opa- Locka; and Village of El Portal. Team Members' governmental audit experience spans from South Florida Water Management District, whose assets total $2.8 billion and operating budget, totaled $610 million to smaller clients whose asset bases and revenues range in the tens of millions. The following references have been provided for your review or feel free to contact any client included in this proposal. City of North Miami Beach 17011 NE 19 Ave. North Miami Beach, FL 33162 Contact: Ms. Janette Smith Finance Director T: 305.948.2930 E: janette.smith @citynmb.com Dates of Service: 2009 to Present The City of North Miami Beach was incorporated in 1926. It operates under a Council- Manager form of government and provides complete government services including police, sanitation, and general government. Additionally, the City operates water, sewer, and utilities services as well as maintains trust and agency funds. NMB assets total $280 million. Their operating budget is approximately $105 million. Scope: SBC performs annual audit examinations pursuant to GALAS, GAS, OMB Circular A -133, and Florida's Single Audit Act. Partner: Anthony Brunson, CPA Total Hours: 1100 SNAR PT0N, RRU CISON & C:OMPAN Y, P A, PA G, C; 21 REQUEST FOR PROPOSAL (RFP) RFP# FN- 2013 -05 CJs SWUAR E'AGiri9,.ii ik' ENTS Wi; i{ OTHi. &C Housing Finance Authority of Broward County (HFA) 110 NE 3rd St., Ste. 300 Fort Lauderdale, FL 33301 Contact: Mr. Norman Howard Deputy Director T: 954.357.4925 E: nhoward @broward.org Dates of Service: 1995 to Present The Housing Finance Authority of Broward County was established in 1979 by the Broward County Commissioners for the purpose of encouraging the investment of private capital and stimulating the construction of single family and multi- family housing for low and medium income families through public financing. HFA has constructed over 3,000 units and issued bonds exceeding $1.8 billion. Scope: SBC performs annual audit examinations pursuant to GAGAS, GARS, and the Rules of the Auditor General and Florida Statutes for the private activity housing bonds issued by the Authority. Partner: Kevin E. Adderley, CPA Total Hours: 1000 South Florida Water Management SFWMD serves the needs of south and central Florida's District growing agricultural and urban populations and protects and 3301 Gun Club Road manages water resources. NMB assets total $2.764 billion West Palm Beach, FL 33406 and their operating budget was $571 million in 2004. Contact: SBC successfully maintained SFWMD's Certificate of Mr. J. Timothy Beirnes Achievement for Excellence in Financial Reporting and Director of Auditing deliver auditing reports six weeks earlier than past T: (561)682 -6398 engagements. E: tbeirnes @sfwmd.gov Scope: SBC performed annual audit examinations pursuant Dates of Service: to Generally Accepted Government Auditing Standards 2004 to 2008 (Prime) (GAGAS), GAS, OMB Circular A -133, and Florida's Single 2000 to 2004 (Subcontractor Audit Act. Partner: Kevin E. Adderley, CPA Total Hours: 1000 8 HAR PTO1N, R R U NSON & Cf:) N!P,A PN Y. €'. A. 11 A G F � 22 REQUEST FOR PROPOSAL (RFP) RFP4 FN- 2013 -05 f f^ dig ,xF . (5» Sfl4ffil.Ai'k PzN&.afff£i`ItJii:N"i`,$ ffi'i'fii Gl" i rl'i Gt VEANME r {.: -MT,f) Client Description of Services Miami -Dade County Clerk of Courts The Clerk of the Circuit and County Courts of Miami -Dade 73 W. Flagler Street County, Florida, Eleventh Judicial Circuit of Florida (the Suite 242 Clerk), is an elected official pursuant to Article V of the Miami, FL 33131 Florida Constitution. The Clerk serves in two capacities: Clerk of the Circuit and County Courts and Clerk, Ex- Officio Contact: of the Board of County Commissioners. Under the first Mr. Harvey RLwin function the Clerk provides support to the Courts (Civil, Clerk Family, Criminal and Traffic). His ex- officio functions include T: 305.349.7333 Clerk of the Board of County Commissioners, County E: clerk @ miami- dadeclerk.com Auditor, Custodian of Public Funds and County Recorder. Total Assets are 1$85 million, with an operating budget Dates of Service: exceeding $93 million. 2000 to Present Scope: SEC performs annual audit examinations pursuant to Generally Accepted Auditing Standards (GAAS), Generally Accepted Government Auditing Standards (GAGAS), and OMB Circular A -133. Partner: Kevin Adderley, CPA Total Hours: 900 South Florida Regional Transportation Tri -Rail was created with a vision to provide greater mobility Authority (Tri -Rail) in South Florida. The Authority's mission is to coordinate, 800 N.W. 33rd St. develop, and implement a viable regional transportation in Suite 100 South Florida. The Authority was created pursuant to Pompano Beach, FL 33064 Chapter 343 of Florida Statues. Tri - Rail's assets total $610 million. Their operating budget is approximately $65 million. Contact: Mr. Edward Woods Scope: SBC performed annual audit examinations pursuant Director of Finance to GAGAS, GAAS, OMB Circular A -133, Florida's Single Audit and Information Technology Act, and Rules of Florida's Auditor General. T:(954)788 -7881 E: woodse@sfrta.fl.gov Partner: Anthony Brunson, CPA Dates of Service: Total Hours: 800 2012 to Present 2002 to 2007 SHARPY()N, BI.'UNSON & COMPANY, P.A, PAGE 2 Broward County Clerk of Courts Broward County is the second largest government in the 201 S.E. 6`h Street State of Florida and provides a full range of services with an Ft. Lauderdale, FL 33301 annual operating budget of approximately $3.6 billion and total assets of $2.3 billion. SBC has served as prime auditor Contact: for the County's property appraisal office, elections division, Mr. Jeffrey Sutton housing department, port authority, and scores of special Chief Financial Officer projects and studies. 201 S.E. 6`h Street SBC is currently servicing Broward County Clerk of Courts. T: (954) 831 -6784 E: Is utton bipwarciclerk.org Scope: SBC performs annual audit examinations pursuant to Generally Accepted Auditing Standards (GAAS), Generally Dates of Service: Accepted Government Auditing Standards (GAGAS), OMB 2004 to Present Circular A -133, and Florida's Single Audit Act. Partner: Anthony Brunson Total Hours: 600 4H. €f RPTti'.N, :BRUNSON tar ('C)rMPANY, P.A. VAS F 24 REQUEST FOR PROPOSAL (RFP) RFP# FN- 2013 -05 7. Spf a c At.liti l" M&rfoOAT f£ T;t:2NT'D UNDERSTANDING THE REQUIREMENTS EtvTENTS Government auditing is unique in many respects. Its multi -fund structure, extensive reporting requirements, basis of accounting, and budgetary and other legal compliance requirements present an environment that is significantly different from that encountered in the audit of a commercial organization. As a result thereof, the audit of the City shall be conducted under three (3) different levels of audit standards or requirements. I) Generally Accepted Auditing Standards (GRAS) GARS captures standards promulgated by the AICPA, grouped into general standards, fieldwork and reporting standards. 11) Generally Accepted Government Auditing Standards (GALAS or Yellow Book) GALAS capture standards continued in the 2011 revision to Government Auditing Standards, as amended, issued by the Comptroller General of the United States. Moreover, GAGAS scope considerations include Florida Statutes and other applicable rules and regulations. III) Compliance with Florida Statutes, and Other Legal Requirements The Single Audit Act encompasses OMB Circulars, compliance supplements outlining the general requirements and state grant awards. Every single Audit Act must meet and a number of specific requirements that apply to the City's single audit. The scope of the City's examination will also encompass the rules and guidelines of Florida's Auditor General and the City's Charter. Specific emphasis shall be given to Chapter 10.550 that contain Florida Single Audit guidelines and rules that govern auditing Florida's governmental entities. SBC asserts that our team will fully comply with the statement of work and related performance requirements illustrated on pages 3 and 4 in the Request for Proposal. S 11 A V ()N, B P U N 5 0 N & c..0 M PA.N t", €_, A. P A.('tE � 5 REQUEST FOR PROPOSAL (RFP) RFPN FN- 2013 -05 P R. H(", AUDIT APPROACH .,w CONT'D UNDERSTANDING THE fiEQUIRFMFNTS (T;oNT'D) III) Compliance with Florida Statutes, and Other Legal Requirements SBC's primary objective will be: To express an opinion that the basic financial statements of the City are fairly presented in conformance with generally accepted accounting principles. Moreover, the standards governing single audit engagements and Florida's single audit requirements expand our objective to satisfy special audits of federal and state grantor agencies. As a result of thereof, we shall render reports on the City's internal control environment, compliance with legal requirements and other requirements regarding the City's administration of federal awards. MEiS i•iOLiC3EC; GY AND t riFIONALE FOOD `(`Hr PROPOSED APPROACH SBC welcomes the opportunity to earn a vote of confidence from members of the selection committee, particularly one of the prestige and importance of the City of South Miami. We can assure you that should you select SBC as your independent accountants; all resources of the Firms shall support this engagement to ensure timely and quality services. SBC's audit plan reflects our interest in providing the City with the highest quality of professional services available. Our partners, supervisors, and staff will be dedicated to providing you with Personalized Service, wherever and whenever needed. We will bring our technical expertise and industry experience to bear on the engagement and use the most advanced approaches and techniques in conducting the examinations. Moreover, we will provide timely responses on all technical matters, having the full support of our Firm, so that we are fully responsive to your needs and expectations. These are commitments and promises we have continually delivered to governmental organizations we have referenced in this proposal. The aforementioned philosophy drives our client service process, which involves planning all activities carefully and identifying key people and issues early. SBC understands that the City requires an audit designed for its specific expectations, environment, business operations, and risks, in addition to complying with all relevant professional requirements. S I°1AU'10N, SRUNSON N, COMPANY, P.A. P.A(3E 6 REQUEST FOR PROPOSAL (RFP) } rq RFP4 FN- 2013 -05 METHODOLOGY AND RATIONALE FOR THE f ROPOSED AE >PR OACH (CONY''U( Our audit will be effective due to the experience we have obtained through our familiarity with many public sector entities, governmental policies and procedures, public sector financial reporting and other relevant business industries. Consistent with our client service process which requires a complete understanding of client expectations and consistent with our business risk driven audit approach, we will identify risk material to the audit and, in addition, we will identify risk in which you have a particular interest. These risks could exist anywhere in your operations. We will then assess the processes you have in place to reduce these risks to an acceptable level. SBC's goal is not only to cover the financial information but also seeks to understand the operations behind them. Our assessment of each risk control process strives to produce a benchmark that our experienced team of professionals can measure industry best practices against. Moreover, the key driver of our service philosophy is providing professional staff members with greater experience levels than nationally recognized firms. We employ professionals whose core competencies directly involve servicing governmental clientele. SBC believes the combined 60+ years of specific governmental experience of our engagement team members, hands -on involved in performing and supervising the work, provide an inherent advantage over our competitors. PROPOSED WORK PLAN The principles of our audit methodology and the development of the work plan entail these processes. Organization and Industry Information SBC shall begin building upon its existing information base of the governmental environment and operating characteristics. SBC will initiate discussion with senior management and begin to understand your legal requirements, review the City's mission statement and strategic plans. Additionally, we shall assess the status of the City's policy and procedures manuals, review prior audit workpapers, and evaluate economic characteristics, in Florida, as well as research operating statistics of Florida's other municipalities. SBC professionals will review debt covenants, property value trends and budgetary controls. Industry impacts are reviewed with management and timetables established. O;HAR1PTC)N, eRUNS()N & C0E4PANt, P.A. r1A {;E � 27 REQUEST FOR PROPOSAL (R!P) RFP# FN- 2013 -05 7. Sii8 d:ii'Rf'.`. Auirr AiaEafdf ACM — t ffidN'D PROPOSED WORK PLAN (t ON7'D) Understanding Control Environment and Assess Its Overall Effectiveness ,A I'€ e -Au dad Confrre € nce A Cfnderszrand the i sty s tsliss ion tasted nfji ae Indif.str,b= Conditions Nz Fdentrf t :dTr'sP Practices within the Industry Assess ActiviNes and the CRY's Ch rr €ae%eristir's , f;le dnMe A eras,apeiate..d Characteristics and Inf lend ,, over the Cotarol F'riviP'onmenl �F* hst ebfislt'd ine l abler awards, and EDP systems. G t y k i k his ** During this phase, SBC will focus on establishing a thorough understanding of the internal administrative and accounting controls that relate directly to the accuracy and reliability with which information in the general ledger is compiled from other sources, and procedures used to prepare financial reports. Additionally, we will evaluate the City's systems that monitor compliance with laws, regulations, grant The SBC Team will build upon its understanding of the control environment via review of the City's organizational structure, policy and procedures manuals, documentation of compliance matters for grants received from the State of Florida's Departments, and other U. S. agencies, as well as varied other activities to capture management's philosophy and operating style. � date° r�rrtrif.¢ ztrarvdL7ear °raretarr €terta'crt A. dusk Assessme nts Z;c?rrrrrasraak ati era and is wtitorhky Process ocess a Pinaanvial Rep orliaaa;.d'awtopt Audit Procedures Senior audit team members will concurrently conduct interviews with applicable key city management personnel. Once the information base is developed, the internal control environment is documented in flowcharts, memorandum and checklist format. During this phase, SBC team members execute 0, Over till lloeaame =nbationof the Ci u. Control the audit plan. Team members shall be focused e'ratsle 0EPnwnt upon two (2) distinctive audit tasks. One team RiskAsmss¢raraad P aczaaaza�nhili0n shall concentrate on audit objectives related to t5, MihnedAnde't Work 'M? financial statements and related account ,A balances. Concurrently, other team members shall primarily direct their efforts to compliance matters required for the Single Audit Act and rules required by Florida Auditor General and Florida statutes. SHAR'PiON,. lBRUNSON Ea COMPANY, 6'.11. "'t1 c;. E: y28 REQUEST FOR PROPOSAL(RFP) RFP4 FN- 2013 -05 , SPE.0Hf', AUDIT At)PRf°fAf:H -f:ffNT'D PROPOSED WORK PLAN (CON'Y'D) Communication and Reporting a< , It Responsive timely communication with the City's management is a key feature of SBC's audit service. We fully expect to satisfy all time commitments proposed by the City's management and its Board of Commissioners. .'a; R' ayr�oarrr72r�rascitrr `r�r�fd €r¢id1 RaFSPasrzatrf t'n'f) {'f'ai €1E'ek h"vi u are9'r"t1dhkf ° rarr[ An(iR Hiilerenc€s A, Review t indin as and StaFaaPamti ate Rejn € d "etaciraq],v Deliverables. Continuous Assessment SBC will share audit results, opportunities to improve operations and obtain adherence to generally accepted accounting principles. During this phase, SBC will settle responses to all audit issues with management. We will discuss significant matters noted during the audit and recommend potential resolutions. Thereafter, we shall issue final reports and Other Required A key aspect of our client service approach hkxa €a`a,eagea<r,r` -s requires on -going communication throughout the A, artar >rt d F ,ae r.; daaPraaaaraaaa I course of the year to ensure that management daraiaa €r eztaerais eri ttctat i "d'etetas e! needs are met timely and our senior professionals remain knowledgeable of your business operations Deliverables Include a= City's financial statements and related audit opinion pursuant to yellow book requirements cA Single audit reports in compliance with federal and state requirements, if applicable A Management letters required by Florida Statutes and Rules of the Auditor General =: (;npri;)l rpnnrt- rpnlllrprl hV Flnrir♦a`c 4iirlitnr C;anaral ac Inial) nc anw nthor nannrioc nr Inral governments SHAIRPION, €)RUNSON 8, C C)bAPAFJY:, P,A, PAG, E � 2ria REQUEST FOR PROPOSAL (RFP) RFP# FN- 2013 -05 .Sf'f C °fnc AL)Dfk APPROACH ..H e:fffr €T'D A. PROPOSED SEGMENTATION of P',NGAf3EMENI 1. Organization & Industry Information 2. Understanding Control Environment & Assessments 3. Execution of Audit Procedures 4. Communication & Reporting 5. Final Report 6. Continuous Assessment SBC takes pride in exceeding client expectations, which include adhering to timetables established with the client in order to meet third party deadlines. A key aspect of our audit approach requires on -going communication before and during the engagement to ensure that management needs are met timely and that our efforts are coordinated properly. SBC as a matter of record, hold conferences bi- weekly with key personnel that focus on the progress of the engagement, discussion of our findings and any other special requirements. All parties concerned are knowledgeable of the plans and timetable, the preparing for the audit and problems encountered along the way. Potential audit risks, accounting issues, internal control concerns, etc., identified during the planning phase are reviewed with the audit engagement team members at the start of field work. Monitoring the audit process ensures all deliverables are issued on time. 13a LEVEL OF STAFF "ro BE ASSIGNED To EACH SEGMENT OF ENGAGEMENT SBC key team members are hands -on involved in executing the engagement and routinely the estimated percentage spent servicing the engagement by senior management exceed industry norms. R HA,RP1 0 N, BRUN.o�QN & C. 0 1M, PA NY, P A, �• •�•�• RAG,€ �30 REQUEST FOR PROPOSAL FRFP) Au, 1r RFPN FN- 2013 -05 }L C. SAMPLE CS'i2Ls & EXTENT OF STAT ISTICAL SAMPLING AND APPROACH H TO SAMPLES FOR 'TEST tit COMPLIANCE Sampling allows an auditor to measure the level of risk achieved. SEC employs all three methods generally accepted within the industry; statistical, judgmental and random techniques. Generally, the larger the risk, the larger the required sample size. Based upon the determination of certain risk factors, SBC employs sample sizes of 25, 40, or 60 items for detail testing. Population sizes and the nature of populations usually is the most important factor in determining sample sizes for statistical or non - statistical methods. SBC uses RandomBots, random number generator, for the selection of statistical samples. It is likely that a combination of statistical sampling and judgmental sampling will be used in this engagement. D. EXTENT OF USE OF EDP SOF T11btARE SBC will conduct an analysis of the operating systems, applications, communication systems, internal controls and interview key information technology and financial users to implement an EDP review plan. SBC will analyze: Security .. ^:,. nata Intpvrity A, Internal Control Procedures ,A, Contingency Planning and Testing A, Daily Processes to Ensure Uninterrupted Operations SBC will utilize a strategic approach when employing EDP audit techniques in the examination of City's financial statements. This approach will include an analysis of key elements of materiality, control, and points of failure, which can impact the integrity of the data and the ultimate presentation of financial information. Based on our analysis of the operating systems, applications, communication systems, internal controls and interviews with key information technology and financial users, an EDP review plan will be implemented. S H A RP10h, B R 0 N<0N s2 CF0KAPANY. P.A. PAGt 1:31 . SPf4.:iFic AItS: rr APPROACH n` t`fTfl,r' E. TYPE AND EXTENT or ANALYTICAL PROCEDURES SBC employs analytical procedures in the planning and substantive stages of the audit. During the planning stage, analytical procedures are primarily used to gather information to identify risks. Initial analytical procedures would include analysis of trends in revenue and expenses. Liquidity, solvency, and unexpected changes in balances or relationships are also identified. Analytical tasks are also used in year -end substantive procedures attempting to identify potential audit issues and to reach conclusions about the reasonableness of a specific account balance. Procedures could include budget versus actual results, turnover ratios of accounts receivables or annualization of certain expense accounts as well as debt covenant analysis. F. APPROACH TO BE TAKEN TO GAM L"ft}t;lJMENT AND UNDERSTANDING OF INTERNAL CONTROL STRUCTURE As described previously, SBC will focus on obtaining a through understanding of the internal control environment via City policy documents and manual interviews with appropriate staff members and review of the City's ordinances and Florida Statues, if applicable. The key focus is "What are the documentation requirements maintained by the City related to its internal controls and how can SBC document the City's environment ?." SBC takes a top down approach beginning with the financial statements and identifying the significant accounts and disclosures. Thereafter, SBC identifies significant transaction classes and processes that result in those accounts and disclosures. Thus, SBC will identify the controls individually or in combination with other controls to minimize the risk of error, fraud, or general misstatement. S I °i A !; F ' i c "r f V , L I P U N S O N & c.. <1 Ni !' }t N Y : F' . F\ . PAGE I ;.1 REQUEST FOR PROPOSAL (RFP) 01 f �kk g.. RFP# FN- 2013 -05 7. S I t;If Ic Ai. &i.in, AP@ "itd'3B" CIi f::C:fN'T'D G. APPROACH T O DETERMINING APPLICABLE LAWS AM) REGULATIONS In determining laws and regulations that the City is required to comply with, SBC will review the minutes of Commission meetings; review prior year Compliance and Financial Reports for specific grant awards and other compliance requirements. Procedures will be developed to ascertain the City's compliance with such requirements using single audit guides, contracts, and program laws and regulations. H. APPROACH ro DRMAIINci AUDIT SARAPLEJOR PURPOSES OF TEST OF COMPLIANCE SBC's approach to selecting samples is derived for the nature of a transactions system's population; i.e. the selection of materially significant items are drawn first; thereafter, samples are drawn judgmentally or statistically given the nature of source documents. I, APPROVAL TO BE TAKEN IN SEEKING ISSUES 'ro BE REVIEWED FRUM CITY ST "Arrp ELECTED OFFICIALS, AND OTHER APPiSoPRIATE PARTIES SBC begins each engagement with a pre -audit conference. The primary purpose of this session will be to reconfirm scope of work, audit timetables, and key contact person for varied audit phases. All findings or other major issues are shared with the key contact person prior to communicating with other parties. Our history proves this process eliminates surprises. SNARPT()N, B P U NS 0 q tk t:;<: +RE PA NY, r,,A1 P A G [ 133 REQUEST FOR PROPOSAL_ (RFP) RFP# FN- 2013 -05 8, 8, 1DF, F RCA114S94 'A,J'F A&k" t lOP'A B tl.".D .PO O E @ W, AUDIT PRt.1'tIY 4'.,:N"w" S F� #1 A key aspect of our audit approach requires on -going communication before and during the engagement to ensure that management's needs are met timely and that our efforts are coordinated properly. SBC as a matter of record shall hold conferences with key personnel that focus on the progress of the engagement, discussion of our findings and any other special requirements. All parties concerned will be knowledgeable of the plans and timetable, the preparation for the audit and problems encountered along the way. Potential audit risks, accounting issues, internal control concerns, etc., identified during the planning phase are reviewed with the audit engagement team members at the start of the fieldwork. Potential audit issues include the following: • ECONOMIC ENVIRONMENT Assess the availability of revenue sources to fund the City's objectives given shrinking federal and state tax revenues, as well as declines in the real estate market. In addition, use of funds for restricted purposes poses significant audit risk. Increase working capital and operating deficits are heightened in the present economic environment. Specific to the City, fund deficits have occurred over four of the last five years. ® NEW GASB IMPLEMENTATIONS The introduction of recent GASB 63 — 68 and their required implementation, address presentation issues associated with a new financial models, as well as accounting and financial reporting for pensions. SHARPI "ON,. BRUNSON & COMPANY, t,A, P A Gt �34 8. R)E N R WICA"k E k0N c.,) AN 4 @CWA, r,,, PO ENTML Atn.)a PFUF6k0.aE i4°RS Cam N 'D MANAGEMENT LETTER aR"Et,l.iBViM NOATIONM A key aspect of the development of management letter comments involves the hands -on involvement of senior executives throughout the audit process. Our emphasis of going beyond the basic routine to provide an extra dimension in quality service serves as a springboard for more insightful and a meaningful management letter comments. Our professionals are trained to focus on understanding the clients business, an understanding much deeper than gaining the knowledge of routine accounting system and records. We emphasize matters such as the manner in which the business operates, the principal concerns and objectives of management as well as the techniques used by management to evaluate operations. Throughout the engagement, our professional staff will be accumulating discussion points. Our findings and recommendations will be discussed thoroughly with the City's staff at all levels to ensure that there are "no surprises." Thereafter, we will prepare a draft report of the final recommendations. This draft will be reviewed with appropriate operating and financial personnel. A final memorandum will be delivered on a timely basis so that problems can be addressed as soon as possible. 9. f,..HN Or: SOUTH WAAhAt );. i f @wtiStfftir AFFWAVff (Please see attachment) . +HARP €ON, CARUNSON & COMPANY,. P.A. PA{";.( 5' REQUEST FOR PROPOSAL (RFP) r RFP# FN- 2013 -05 Please see the attached Price Proposal Sheet. n RATFS L � E. PRICE PROPOSAL SBC is available throughout the year as a sounding board for issues, which potentially impact your organizational needs at no costs. SBC's pricing for additional services requested by the City beyond the scope of the audit contract will be based on hourly rates times estimated engagement hours. All fees ore agreed upon prior to onytasks progressing. Proposed rates are as follows: Partner $275 Manager $175 Senior $125 Staff $ 90 . NUW 11 OF PAYMENT Billings will be made monthly, but less frequent for limited activity, and are payable in full upon submission. SHARPTON, BRUNSON & (;.t: MP7aNV... P.A. P A G F. 36 PRICE PROPOSAL SHEET AUDIT ITEM FY 2013 FY 2014 Comprehensive Annual Financial Report $48,000 $48,000 Single Audit (Per Audit) FY 2015 $48,000 4,500 $ 4,500 S 4,500 General Employee & Police Pension SEPARATE REPORT & PRESENTATION $ 8,000 $ 8,000 $ 8,000 Florida 185 Share Plan Pension SEPARATE REPORT & PRESENTATION $ 5,000 $ 5,000 $ 5,000 Community Redevelopment Agency SEPARATE REPORT & PRESENTATION Date: 6 -4 -2013 Name /Title: Anthony B uns , vice President e Signature: FAILURE TO COMPLETE, SIGN A D R TURN THIS SECTION MAY DISQUALIFY THE BIDDER ON THIS PR SAL City of South Miami Page 23 2013 External Audit RFP $ 9,000 $ 9,000 $ 91000 Company Name: Sharpton, Brunson & Company Date: 6 -4 -2013 Name /Title: Anthony B uns , vice President e Signature: FAILURE TO COMPLETE, SIGN A D R TURN THIS SECTION MAY DISQUALIFY THE BIDDER ON THIS PR SAL City of South Miami Page 23 2013 External Audit RFP REQUEST FOR PROPOSAL (RFP) RFP# FN-2013-05 F. Acknowledging Receipt of Addendum --- --- ---------- ------ - ------- ACKN0WH:',',DGw(.i or ADDENDUM SBC acknowledges and has received Addendum 1 and Addendum 2 issued by the City. SHARPfON, 8RUNSON & COMPANY, P.A. FIA(4E, 1,;1? REQUEST FOR PROPOSAL (RFP) RFP# FN-2013-05 A,rrACHl'AEN'r,s Lis,r or, RCrERENCES PROOF OF LIABILITY INSURANCE PUBLIc ENTITY CRIMES AND CONFLICTS OF INTEREST DRUG FREE WORKPLACE No CONrUCT OF: INTEREST / NON-COLLUSION CERT IFICATION ACKSIC)MILEDGEMENT Or CONFORMANCE WITH 0SHA STANDARDS RELA'T'ED PARTIES TRANSACTION VERIFICATION Fow SHARPION, RRUNSCM 4 C',OMPANY, P.A. ATTACHMENTS Mr. Norman Howard Deputy Director Housing Finance Authority nfBrovvxnd County 110NE3 m SC, Ste. 300 Fort Lauderdale, Fi33301 (954) 357-4925 Mr. Edward T.McGann Director nf Finance 8'Budget South Florida Regional Planning Council 3440 Hollywood Blvd., Ste. 140 Hollywood, FL]3021 (9S4) 985-4416 Mr. Edward Woods Director 0fFinance South Florida Regional Transportation Authnrity(Tri'Rai8 880NVV33'"St. Pompano Beach, FL3]864 /954\788-7881 Mr. 1 Timothy 8mirnes Inspector General South Florida Water Management District 3301 Gun Club Road, MSC 131O West Palm Beach, FL33406 (561) 682-6398 Ms. Janette Smith Finance Director City ufNorth Miami Beach 1701lNE1AAve. North Miami Beach, FL33162 (30S)948-2930 PUBLIC ENTITY CRIMES AND CONFLICTS OF INTEREST Pursuant to the provisions of Paragraph (2) (a) of Section 287.133, Florida State Statutes — "A person or affiliate who has been placed on the convicted vendor list following a conviction for a public entity crime may not submit a Bid on a Contract to provide any goods or services to a public entity, may not submit a Bid on a Contract with a public entity for the construction or repair of a public building or public work, may not submit bids on leases of real property to a public entity, may not be awarded to perform work as a Contractor, supplier, Subcontractor, or Consultant under a Contract with any public entity, and may not transact business with any public entity in excess of the threshold amount Category Two of Section 287.017, Florida Statutes, for thirty six (36) months from the date of being placed on the convicted vendor list ". The award of any contract hereunder is subject to the provisions of Chapter 112, Florida State Statutes. BIDDERS must disclose with their Bids, the name of any officer, director, partner, associate or agent who is also an officer or employee of the City of South Miami or it's agencies. SWORN STATEMENT PURSUANT TO SECTION 287.133 (3)(a), FLORIDA STATUTES, ON PUBLIC ENTITY CRIMES THIS FORM MUST BE SIGNED AND SWORN TO IN THE PRESENCE OF A NOTARY PUBLIC OR OTHER OFFICIAL AUTHORIZED TO ADMINISTER OATHS. This sworn statement is submitted to City of South Miami [print name of the public entity] by Anthony Brunson, Vice President [print individual's name and title] for Sharpton, Brunson & Company, P.A. [print name of entity submitting sworn statement] whose business address is 1 S.E. 3rd Avenue, Suites 2100 Miami, FL 33131 and (if applicable) its Federal Employer Identification Number (FEIN) is 59- 2471070 (If the entity has no FEIN, include the Social Security Number of the individual signing this sworn statement: ) 2. 1 understand that a "public entity crime" as defined in Paragraph 287.133 (1)(g), Florida Statutes, means a violation of any state or federal law by a person with respect to and directly related to the transaction of business with any public entity or with an agency or political subdivision of any other state or of the United States, including, but not limited to , any bid or contract for goods or services to be provided to any public entity or an agency or political subdivision of any other state or of the United States and involving antitrust, fraud, theft, bribery, collusion, racketeering, conspiracy, or material misrepresentation. City of South Miami Page 33 2013 External Audit RFP 3. 1 understand that "convicted" or "conviction" as defined in Paragraph 287.133 (1)(b), Florida Statutes, means a finding of guilt or a conviction of a public entity crime, with or without an adjudication of guilt, in any federal or state trial court of record relating to charges brought by indictment or information after July 1, 1989, as a result of a jury verdict, non -jury trial, or entry of a plea of guilty or nolo contendere. 4. 1 understand that an "affiliate" as defined in Paragraph 287.133 (1)(a), Florida Statutes, means: (a) A predecessor or successor of a person convicted of a public entity crime; or (b) An entity under the control of any natural person who is active in the management of the entity and who has been convicted of a public entity crime. The term "affiliate" includes those officers, directors, executives, partners, shareholders, employees, members, and agents who are active in the management of an affiliate. The ownership by one person of shares constituting a controlling interest in any person, or a pooling of equipment or income among persons when not for fair market value under an arm's length agreement, shall be a prima facie case that one person controls another person. A person who knowingly enters into a joint venture with a person who has been convicted of a public entity crime in Florida during the preceding 36 months shall be considered an affiliate. 5. 1 understand that a "person" as defined in Paragraph 287.133 (1)(e), Florida Statutes, means any natural person or entity organized under the laws of any state or of the United States with the legal power to enter into a binding contract and which bids or applies to bid on contracts for the provision of goods or services led by a public entity, or which otherwise transacts or applies to transact business with a public entity. The term "person" includes those officers, directors, executives, partners, shareholders, employees, members, and agents who are active in management of an entity. 6. Based on information and belief, the statement which I have marked below is true in relation to the entity submitting this sworn statement. [Indicate which statement applies.] X Neither the entity submitting this sworn statement, nor any of its officers, directors, executives, partners, shareholders, employees, members, or agents who are active in the management of the entity, nor any affiliate of the entity has been charged with and convicted of a public entity crime subsequent to July 1, 1989. The entity submitting this sworn statement, or one or more of its officers, directors, executives, partners, shareholders, employees, members, or agents who are active in the management of the entity, or an affiliate of the entity has been charged with and convicted of a public entity crime subsequent to July 1, 1989. The entity submitting this sworn statement, or one or more of its officers, directors, executives, partners, shareholders, employees, members, or agents who are active in the management of the entity, or an affiliate of the entity has been charged with and convicted of a public entity crime subsequent of July I, 1989. However, there has City of South Miami Page 34 2013 External Audit RFP been a subsequent proceeding before a Hearing Officer of the State of Florida, Division of Administrative Hearings and the Final Order entered by the Hearing Officer determined that it was not in the public interest to place the entity submitting this sworn statement on the convicted vendor list. {attach a copy of the final order.] Continuation of Attachment #2 Public Entity Crimes and Conflicts I UNDERSTAND THAT THE SUBMISSION OF THIS FORM TO THE CONTRACTING OFFICER FOR THE PUBLIC ENTITY INDENTIFIED IN PARAGRAPH I (ONE) ABOVE IS FOR THAT PUBLIC ENTITY ONLY, AND THAT THIS FORM IS VALID THROUGH DECEMBER 31 OF THE CALENDAR YEAR IN WHICH IT IS FILED. I ALSO UNDERSTAND THAT I AM REQUIRED TO INFORM THE PUBLIC ENTITY PRIOR TO ENTERING INTO A CONTRACT IN EXCESS OF THE THRESHOLD AMOUNT PROVIDEq IN SECTION 287.017, FLORIDA STATUTES, FOR CATEGORY TWO OF VY ANGE IN THE INFORMATION CONTAINED IN THIS FORM. I hit Sworn to and subscribed before me this 4th day of June X Personally known or Produced identification Notary Public — State of My commission expires U 20 13 Florida 4 -18 -2017 (Type of identification) (Printed, typed or stamped commissioned name of notary public) Form FUR 7068 (Rev.06 /11/92) Helen E. Robinson ' �.... I CA E. ROBINSON ??; .s MY COMMISSION RFF 009627 =y' EXPIRES: ApAI 18, 2017 BoMed Thm Notary Publk Undemrkem City of South Miami Page 35 2013 External Audit RFP DRUG FREE WORKPLACE Whenever two or more Bids which are equal with respect to price, quality and service are received by the State or by any political subdivisions for the procurement of commodities or contractual services, a Bid received from a business that certifies that it has implemented a drug -free workplace program shall be given preference in the award process. Established procedures for processing tie Bids will be followed if none of the tied vendors have a drug -free workplace program. In order to have a drug -free workplace program, a business shall: I. Publish a statement notifying employees that the unlawful manufacture, distribution, dispensing, possession, or use of a controlled substance is prohibited in the workplace and specifying the actions that will be taken against employees for violations of such prohibition. 2. Inform employees about the dangers of drug abuse in the workplace, the business' policy of maintaining a drug -free workplace, any available drug counseling, rehabilitation, and employee assistance programs, and the penalties that may be imposed upon employees for drug abuse violations. 3. Give each employee engaged in providing the commodities or contractual services that are under Bid a copy of the statement specified in Subsection (1). 4. In the statement specified in Subsection (1), notify the employees, that, as a condition of working on the commodities or contractual services that are under Bid, the employee will abide by the terms of the statement and will notify the employer of any conviction of, or plea of guilty or nolo contendere to, any violation of Chapter 893 or of any controlled substance law of the United States or any state, for a violation occurring in the workplace no later than five (5) days after such conviction. S. Impose a sanction on, or require the satisfactory participation in a drug abuse assistance or rehabilitation program, if such is available in the employee's community, by any employee who is so convicted. 6. Make a good faith effort to continue to maintain a drug -free workplace through implementation of this section. As the person authorized to sign the statement,h certify that this firm complies fully with the above requirements. I� fl! // PROPOSER's Signature: Print Name: Anthony u $on Date: F _ City of South Miami Page 36 2013 External Audit RFP NOTARY PUBLIC: STATE OF Florida COUNTY OF Miami —Dade The foregoing instrument was acknowledged before me this 4th day of June 1,2013 by Anthony Brunson (name of person whose signature is being notarized) who is X P rs ' Ily k n to me, or P I id ca on: Type of Iden ific i oduced D Did tak an o th, or X X Did Not take an oath. IL; SEAL H Helen E. Robinson(Name o of Notary Public: Print, S Stamp or type as commissioned.) FAILURE TO COMPLETE, SIGN, & RETURN THIS FORM MAY DISQUALIFY YOUR RESPONSE City of South Miami Page 38 2013 External Audit RFP ACKNOWLEDGEMENT OF CONFORMANCE WITH OSHA STANDARDS TO THE CITY OF SOUTH MIAMI We, Sharpton , Brunson & Co . , (Name of Contractor), hereby acknowledge and agree that as Contractors for the External Audit RFP, as specified have the sole responsibility for compliance with all the requirements of the Federal Occupational Safety and Health Act of 1970, and all State and local safety and health regulations, and agree to indemnify and hold harmless the City of South Miami against any and all liability, claims, damages, losses and expenses they may incur due to the failure of (subcontractor's names): to comply with such act or regulation. CONTRACTOR Sharpton, Brunson & Compan/ P.A. Taj(Waite BY, Anthony Brunson Name Vice President Title FAILURE TO COMPLETE, SIGN, & RETURN THIS FORM MAY DISQUALIFY YOUR RESPONSE City of South Miami Page 39 2013 External Audit RFP RELATED PARTIES TRANSACTION VERIFICATION FORM I Anthony Brunson , individually and on behalf ofSharpton, B runs on( "Firm ") Name o(RepresentaGve CompanylVendarlEntity have read the City of South Miami ( "CSM ")'s Code of Ethics, Section 8A -I of the CSM's Code of Ordinances and I hereby certify, under penalty of perjury that to the best of my knowledge, information and belief: (1) neither I nor the Firm have any conflict of interest (as defined in section 8A -1) with regard to the contract or business that I, and /or the Firm, am(are) about to perform for, or to transact with, the CSM, and (2) neither I nor any employees, officers, directors of the Firm, nor anyone who has a financial interest greater than 5% in the Firm, has any relative(s), as defined in section 8A -I, who is an employee of the CSM or who is(are) an appointed or elected official of the CSM, or who is(are) a member of any public body created by the City Commission, i.e., a board or committee of the CSM, and (3) neither I nor the Firm, nor anyone who has a financial interest greater than 5% in the Firm, nor any member of those persons' immediate family (i.e., spouse, parents, children, brothers and sisters) has transacted or entered into any contract(s) with the CSM or has a financial interest, direct or indirect, in any business being transacted with the CSM, or with any person or agency acting for the CSM, other than as follows: (use a separate sheet to supply additional information that will not fit on this line but make reference to the additional sheet which must be signed under oath). (4) no elected and /or appointed official or employee of the City of South Miami, or any of their immediate family members (i.e., spouse, parents, children, brothers and sisters) has a financially interest, directly or indirectly, in the contract between you and /or your Firm and the CSM other than the following individuals whose interest is set forth following their names: (use a separate sheet to supply additional information that will not fit on this line but make reference to the additional sheet which must be signed under oath). The names of all CSM employees and that of all elected and /or appointed CSM officials or board members, who own, directly or indirectly, an interest of five percent (57.) or more of the total assets of capital stock in the firm are as follows: (use a separate sheet to supply additional information that will not fit on this line but make reference to the additional sheet which must be signed under oath). (5) 1 and the Firm further agree not to use or attempt to use any knowledge, property or resource which may come to us through our position of trust, or through our performance of our duties under the terms of the contract with the CSM, to secure a special privilege, benefit, or exemption for ourselves, or others. We agree that we may not disclose or use information, not available to members of the general public, for our personal gain or benefit or for the personal gain or benefit of any other person or business entity, outside of the normal gain or benefit anticipated through the performance of the contract. (6) 1 and the Firm hereby acknowledge that we have not contracted or transacted any business with the CSM or any person or agency acting for the CSM, and that we have not appeared in representation of any third party before any board, commission or agency of the CSM within the past two years other than as follows: (use a City of South Miami Page 40 2013 External Audit RFP separate sheet to supply additional information that will not ft on this line but make reference to the additional sheet which must be signed under oath). Neither I nor any employees, officers, or directors of the Firm, nor any of their immediate family (i.e., as a spouse, son, daughter, parent, brother or sister) is related by blood or marriage to: (i) any member of the City Commission; (ii) any city employee; or (iii) any member of any board or agency of the CSM other than as follows: (use a separate sheet to supply additional information that will not fit on this line but make reference to the additional sheet which must be signed under oath). (7) No Other Firm, nor any officers or directors of that Other Firm or anyone who has a financial interest greater than 5% in that Other Firm, nor any member of those persons' immediate family (i.e., spouse, parents, children, brothers and sisters) nor any of my immediate family members (hereinafter referred to as "Related Parties ") has responded to a solicitation by the CSM in which I or the Firm that I represent or anyone who has a financial interest greater than 5% in the Firm, or any member of those persons' immediate family (i.e. spouse, parents, children, brothers and sisters) have also responded, other than the following: (use a separate sheet to supply additional information that will not fit on this line but make reference to the additional sheet which must be signed under oath). (8) 1 and the Firm agree that we are obligated to supplement this Verification Form and inform the City of any change in circumstances that would change our answers to this document. Specifically, after the opening of any responses to a solicitation, I and the Firm have an obligation to supplement this Verification Form with the name of all Related Parties who have also responded to the same solicitation and to disclose the relationship of those parties to me and the Firm. (9) A violation of the CSM's Ethics Code, the giving of any false information or the failure to supplement this Verification Form, may subject me or the Firm to immediate termination of any agreement with the CSM, and the imposition of the maximum fine and /or any penalties allowed by law. Additionally, violations may be considered by and subject to action by the Miami -Dade County Commission on Ethics. Under penalty of perjury, I declare that I,,,hhhave made a diligent effort to investigate the matters to which I am attesting hereinabove and that t]? ; statemis made herein above true and correct to the best of my knowledge, information and beli /I // Signature: Print Name &Title: Anthony Brunson, Vice President Date: 6 -4 -2013 ATTACHED: Sec. 8A- I - Conflict of interest and code of ethics ordinance. City of South Miami Page 41 2013 External Audit RFP NO CONFLICT OF INTEREST /NON- COLLUSION CERTIFICATION Submitted this 4th day of June , 20 13 The undersigned, as Bidder /Proposer, declares that the only persons interested in this RFP are named herein; that no other person has any interest in this RFP or in the Contract to which this RFP pertains; that this response is made without connection or arrangement with any other person; and that this response is in every respect fair and made in good faith, without collusion or fraud. The Bidder /Proposer agrees if this response /submission is accepted, to execute an appropriate CSM document for the purpose of establishing a formal contractual relationship between the Bidder /Proposer and the CSM, for the performance of all requirements to which the response /submission pertains. The Bidder /Proposer states that this response is based upon the documents identified by the following number: Bid /RFP The full -names and residences of persons and firms interested in the foregoing bid /proposal, as principals, are as follows: Name Street Address Kevin Adderlez 1 SE 3rd Ave. Suite 2100 Miami FL 33131 Anthony Bruns 1SE 3rd Ave. n Suite 2100 Miami FL 33131 The Bidder /Proposer further certifies that this response /submission complies with section 4(c) of the Charter of the City of Miami, Florida, that, to the best of its knowledge and belief, no Commissioner, Mayor, or other officer or employee of the CSM has an interest directly or indirectly ectly in the profits or emoluments of the�C�pntract job, work or service to which the response/submission ertains.I II'' Signature: Printed Name: Anthbny Title: Vice Pre Company Name Sharpton, Brunson & Company, P.A. City of South Miami Page 37 2013 External Audit RFP A� °® CERTIFICATE OF LIABILITY INSURANCE DATE (MM /DD/YYVY) 4/3/2013 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the pollcy(les) must be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder In lieu of such endorsement(s). PRODUCER Corporate Insurance Advisors 100 NE 3rd Avenue Suite 1000 Ft. Lauderdale FL 33301 CONTACT Felice Vlnarub, AAI Ii� PNGNE (954)315 -5000 FAX .(954)315 -5050 IA MAIL .FVinarub @ciafl.net EIR INSURER(S) AFFORDING COVERAGE NAIC# INSURER A:Nationwide Insurance Company 25453 INSURED Sharpton Brunson & Company, P.A. & Sharpton, One SE 3rd Avenue Suite #2100 Miami FL 33131 INSURER B;COntinental Casualty Co. 20443 INSURERC:United States Fire Ins. Co. 21113 INSURER D: INSURER E: $ 1,000,000 INSURER F: X COMMERCIAL GENERAL LIABILITY COVERAGES CERTIFICATE NUMBER ?013/14 Liability REVISION NUMBER: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR TR TYPE OF INSURANCE A R POLICY NUMBER MM /DDYEFF MMIDDYEXP LIMITS GENERA-LIABILITY EACH OCCURRENCE $ 1,000,000 X COMMERCIAL GENERAL LIABILITY PREMISETERENTED $ 300,000 A CLAIMS-MADE FX OCCUft kCP591557G579 /6/2013 /6/2014 MED EXP(Any one person) $ 5,000 PERSONAL &ADV INJURY $ 1,000,000 GENERAL AGGREGATE $ 2,000,000 GEN'L AGGREGATE LIMIT APPLIES PER: PRODUCTS AGG S 2,000,000 $ X POLICY PRO LOC AUTOMOBILE LIABILITY COMBINED BINEDtSINGLE LIMIT 1100 000 BODILY I NJURY(Per person) $ A ANY AUTO ALL OWNED SCHEDULED AUTS X HIRE00 AUTOS X NON-OW WNED NCPS915570579 4/6/2013 4/6/2014 BODILY INJURY (Per accident) $ PPROPERTY DAMAGE S X UMBRELLA LIAE OCCUR EACH OCCURRENCE $ 1,000,000 AGGREGATE S 1,000,000 A EXCESS LIAB Cl.AIMS-MADE DEO X ETENTIONS 10,00 $ NCP5915570579 /6/2013 9/6/2014 B WORKERS COMPENSATION AND EMPLOYERS' LIABILITY ANY PROPRIETOR/PARTNERIEXECUTIVE YIN X I WC STATU- OTH- E.L. EACH ACCIDENT $ 500,00 OFFICERIMEMBER EXCLUDED? (Mandatory in NN) NIA 0588112724 1/1/2013 /1/2019 E.L. DISEASE EA EMPLOYE $ 500,000 E.L. DISEASE - POLICY LIMIT $ 500,000 If yes, describe under DESCRIPTION OF OPERATIONS below Each Claim $ 2,000,000 C Professional Liability 57- 100201 -6 /1/2013 /1/2014 Aggregate $ 2,000,000 DESCRIPTION OF OPERATIONS [LOCATIONS [VEHICLES (Attach ACORD 101, Additional Remarks Schedule, if more space is required) Sharpton Brunson & One BE 3rd Avenue Suite #2100 Miami. FL 33131 ACORD 25 (20101051 SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN Company, P.A. ACCORDANCE WITH THE POLICY PROVISIONS. AUTHORIZED REPRESENTATIVE Schwartz * * ** /FSLIC : /Vllru -,E: �• ©1988.2010 INR025 romnne, m The Arnlan neme enH Innn ern roniofercd mv4< of ArnRn reserved. 4 O® CERTIFICATE OF LIABILITY INSURANCE DATE (MM /DDIYYYV) 4/3/2013 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER Corporate Insurance Advisors 100 NE 3rd Avenue suite 1000 Ft. Lauderdale FL 33301 ACT Felice vinarub, AAI NAME PHONE (954)315 -5000 AAC No: (954)315 -5050 noDalESS:FVinarub@ciafl.net INSURERS AFFORDING COVERAGE NAIC# INSURERANationwide Insurance Com an 25453 INSURED Sharpton Brunson & Company, P.A. & Sharpton, One SE 3rd Avenue spite #2100 Miami FL 33131 INSURERB:Continental Casualt Co. 20443 INSURER C: EACH OCCURRENCE INSURER D: DA ET NTED PREMISES Ea occurrence INSU RER E: A INSURER F: ^OVERAGES CERTIFICATENUMBER•2013 /14 Liability REVISION NUMBER: v THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR LTR TYPEOFINSURANCE DOL INSIR BR POLICY NUMBER POLICY EFF MMIDDIYYYY POLICY EXP MMIDDIYYYY LIMITS GENERAL LIABILITY EACH OCCURRENCE $ 1,000,000 DA ET NTED PREMISES Ea occurrence $ 300,000 A X COMMERCIAL GENERAL LIABILITY CLAIMS -MADE OCCUR kCP5915570579 /6/2013 /6/2014 MED EXP(Any one person) $ 5,000 PERSONAL& ADV INJURY $ 11000,000 GENERAL AGGREGATE $ 2,000,000 GENT AGGREGATE LIMIT APPLIES PER PRODUCTS - COMP /OP AGG $ 2,000,000 lSINGLE LIMIT $ X POLICY PRO LOG AUTOMOBILE LIABILITY INJURY person) A ANY AUTO ALL OWNED SCHEDULED CP5915570579 /6/2013 /6/2014 JURY (Per accident) AUTOS NON OWNED X HIRED AUTOS X AUTOS DAMAGE nt WCEOM WOO, X UMBRELLA LIAB OCCUR URRENCE TE A B EXCESS LIAB CLAIMS MADE CP5915570579 /6/20 13 /6/2014 DED X RETENTION$ 10,110 WORKERS COMPENSATION ANDEMPLOYERS'LIABILITY YIN ANY PROPRIETORIPARTNER /EXECUTIVE❑ X WC STATU- OTH- E.L. EACH ACCIDENT $ 500,000 E.L. DISEASE -EA EMPLOYE $ 500,000 (Mandatory OFFIGER)MEMBER H)E %CLUOED7 (Mandatory In NH) NIA C588112724 1/1/2013 1/1/2014 E. L. DISEASE - POLICY LIMIT $ 500,000 If yes, descnbeunder DESCRIPTION OF OPERATIONS below DESCRIPTION OF OPERATIONS I LOCATIONS I VEHICLES (Attach ACORD 101, Additional Remarks Schedule, if more space is required) SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. Sharpton Brunson & Company, P.A. One BE 3rd Avenue AUTHORIZED REPRESENTATIVE Suite #2100 Miami, FL 33131 M Schwartz * * * * /FELIC 25( . 2010105) ©1988 -2010 ACORD CORPORATION. All rights reserved. N5025 nmmn5lm The Anni ,,snn- -nH loran =rn n. n, .r ....