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HomeMy WebLinkAbout72-79 RESOLUTION• RESOLUTION NO. 79-79 A RESOLUTION AUTHORIZING THE COMMUNITY DEVELOPMENT DEPARTMENT OF THE CITY OF FAYETTEVILLE TO ENTER INTO A CONTRACT FOR AUDITING SERVICES WITH SCARBROUGH & MURTISHAW, CERTIFIED PUBLIC ACCOUNTANTS. BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE CITY OF FAYETTEVILLE, ARKANSAS. That the Community Development Department of the City of Fayetteville, Arkansas, is hereby authorized and directed to enter into a contract for auditing services with Scarbrough & Murtishaw, Certified Public Accountants. A copy of the contract authorized for execution hereby is attached hereto marked Exhibit "A" and made a part hereof. PASSED AND APPROVED this grAs day aarif 1979. �+ ATTEST='' v '`"t� %' CITY to L V'1Q0.XoCJC. K ^.ti ..ti•4 �, ,.n APPROVED: 1 MICROFILMED DATE OCT 3 1919 REEL F CONTRACT BETWEEN LOCAL PUBLIC AGENCY AND INDEPENDENT PUBLIC ACCOUNTANT FOR AUDIT SERVICES • This Agreement, 'entered into as of the 82 day of August , 19 79 EXHIBIT ,.by and between the City of Fayetteville Community Development Department (hereinafter called the Local Public Agency), and Scarbrough, $ Murtishaw : Independent Public Accountant, with offices at Fayetteville, Arkansas (hereinafter called the "Contractor"), WITNESSETH: WHEREAS the Local Public Agency entered into a contract (contracts) with the United States of America ("Government") acting by and through the Secretary of Housing and Urban Development ("Secretary") for financial assistance under Title I of the Housing Act of 1949, as amended, 42 United States Code Section 1450; and WHEREAS, pursuant to said contract(s), the Secretary and the comptroller General of the United States or his duly authorized representatives have the right to audit the books and records of the Local Public Agency pertinent to its operations with respect to such financial assistance; and WHEREAS the Secretary has authorized the Local Public Agency to procure an audit by an Independent Public Accountant in lieu of such audit by the Secretary, subject to his prior approval of the specific contract for audit entered into between the Local Public Agency and the Independent Public Accountant; and WHEREAS the Local Public Agency desires the Contractor to conduct and perform such an audit; NOW, THEREFORE, Local Public Agency and the Contractor do mutually agree as follows: 1. The Contractor shall audit the accounts and records of the Local Public Agency for the 24 month period ending June 30 , 19 79 , in accordance with generally accepted auditing standards and the auditing and reporting provisions of HUD Handbook IG 6505.2, Audit Guide and Standards for Community Development Block Grant Recipients, or such other applicab.le requirements as the secretary may here- after establish for said Program, herein called the Audit Guide. The audit performed shall be sufficient in scope to enable the Contractor to express an opinion in the audit report on the financial statements of the Local Agency. 2. If the Contractor determines that the Local Public Agency's books and records are not in sufficiently satisfactory condition for performing an audit, the Contractor shall disclose this deficiency to the Local Public Agency. If, the Local Public Agency cannot get its books and records ready for audit within 15 days, the Contractor shall notify the Secretary by written communication addressed to the Regional Inspedtor for Audit,. Regional Office, Department of Housing and Urban Development, New Dallas Federal Building, 1100 ComMevpe Street, Dallas, Texas 75242, with a copy to the Area Director, Department of Housing and Urban Development, Union National Bank, n1 Union National Plaza, Little Rock, Arkansas 72201. The Contractor shall await further instructions from the Regional Inspector General for Audit before continuing the audit. 3. upon completion of the audit, an audit report consisting of those elements described in the Audit Guide shall be simultaneously submitted to the Regional Inspector General for Audit (6 copies), and to the Local Public Agency (7 copies to the Area -Director and one copy to the Local Public Agency governing body) as joint addressees. 4. The audit report shall be submitted within 150 days after receipt of notifi- cation from the Local Public Agency to proceed with the audit. MICROFILMED DATE SEP 6 1979 REEL ' _. • • • - 2 • a • 5. The Local Public Agency agrees to pay the Contractor as compensation for the services and report mentioned herein, a lump -sum fee of $ 2,852.00 inclusive of all costs and expenses.- The fee is based on the following: a. Partner (Principal): b. Senior (Manager): Semi -Senior: d. Junior: $ 32.00 per hour; estimated man days 2 $ 512.00 $ 24.00 per hour; estimated man days 6 $ 1,152.00 $ per hour; estimated man days $ 1 $ 17.00 per hour; estimated man days • 8 $ 1,088.00 e. Other: (describe) Administrative - Typing, copying, and $ 100.00 assembling TOTAL $ 2,852.00 It is estimated that 16 man days will be required to perform the audit. Such fee shall be payable after receipt and acceptance by the Secretary of the audit report. 6. changes in the scope of the services of the Contractor to be performed under this Agreement, including any increase or decrease in the amount of the Contractor's compensation and any change in the time limitation for submission of the Contractor's report, which are mutually agreed upon by and between the Local Public Agency and the Contractor, shall be incorporated into written amendments subject to the same concurrence requirements as this Agreement. 7. The Contractor certifies that its principal officer(s) or member(s) is a Certified Public Accountant and/or Licensed or Registered Public Accountant, certified, licensed or registered by a regulatory authority of a State or other political sub- division of the United States. A statement identifying such certification or license shall be attached to this Agreement. 8. The Contractor covenants that during the period to be covered by audit he shall have no interest, direct or indirect, with respect to the Local Public Agency which creates a conflict of interest. The Contractor further covenants that in the performance of this Agreement no person having such interest shall be employed. Conflicts of interest include, but are not limited to - a. Family relationships with officials of the Local Public Agency. b. Where the accountant during the period covered by the audit was connected as an officer or employee of the Local Public Agency. c. Where the Contractor has an interest in the Community Development project areas, or any parcels therein, covered by the audit. 9. No member, officer or employee of the Local Public Agency, no member of the governing body of the locality in which the Local Public Agency's project is situated, and no other public official of such locality or localities who exercises any responsi- bilities or functions with respect to the Local Public Agency's project, during this tenure or for one year thereafter, shall have any interest, direct or indirect, in this Agreement or the proceeds thereof. 10. No member of or Delegate to Congress of the United States shall be admitted to any share or part of this Agreement or to any benefit that may arise therefrom. 11. The Contractor warrants that he has not employed any person to solicit or secure this Agreement upon any agreement for a commission, percentage, brokerage, or contingent fee. Breach of this warranty shall give the Local Public Agency the right to terminate this Agreement, or, in its.discretion, to deduct from the Contractor's fee the amount of such commission, percentage, brokerage, or contingent fee. • • - 3 4 12. The Contractor shall not assign or transfer any interest in this Agreement except that claims for monies due or to become due from the Local Public Agency under the Agreement may be assigned to a bank, trust company, or other financial institution. If the Contractor is a partnership, this Agreement shall inure to the benefit of the surviving or remaining members of such partnership. 13. The Contractor shall not discriminate against any employee or applicant for employment because of race, color, religion, sex, age, or national origin. The Contractor shall take affirmative action to ensure that applicants are employed, and employees are treated during employment, without regard to race, color, religion, sex, age, or national origin. Such action shall include, but not be limited to, the following: employment, upgrading, demotion, or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. The Contractor agrees to post in conspicuous places, available to employees and applicants for employment, notice to be provided by -the Local Public Agency setting forth the provisions of this nondiscri- mination clause. The Contractor will, in all solicitations or advertisments for employees placed by or on behalf of the Contractor, state that all qualified applicants will receive consideration for employment without regard, to race, color, religion, sex, or national origin. 14. For a period of three years -after final payment under this Agreement, the Contractor shall make its workpapers, records, and ^•'-'r evidence of audit available to the Secretary and to the Comptroller General of - nited States or his duly authorized representatives. The Secretary and the :roller 'General shall be entitled to reproduce any or all of such(5ocuments = :eir expense for which provision shall be made at the time the need for reproduction - :es. 15. All of the reports, information, data, etc., -+repared or assembled by the Contractor under this Agreement are confidential and .the Contractor agrees that they 'shall not be made available to any individual or organization -without the prior written approval of the Local Public Agency. 16. The Contractor shall comply with all applicable laws, ordinances-, or codes of the State or local governments, in performing any of the work embraced by this Agreement. 17. If, through any clause, the Contractor shall fail to fulfill in timely and proper manner his obligations under this Agreement, or if the Contractor shall violate any of the covenants, agreements, or stipulations of this Agreement, the Local Public Agency shall thereupon have the right to terminate this Agreement by giving written notice to the Contractor of such termination and specifying the effective date thereof, at least five days before the effective date of such termination. In such event, all finished or unfinished documents, data, and reports prepared by the Contractor under this Agreement, shall, at the option of the Local Public Agency, become its property and the Contractor shall be entitled to receive just and equitable compensation for any satisfactory work completed on such documents Notwithstanding the above, the Contractor shall not be relieved of liability to the Local Public Agency for damages sustained by the Local Public Agency by virtue of any breach -of the Agreement by the Contractor, and the Local Public Agency may withhold any payments to the Contractor for the purpose of setoff until such time as the exact amount of damages due the Local Public Agency from the Contractor is determined. 18. The Secretary's approval of this Agreement shall be evidenced by the signature of the Area Director at the end thereof. This Agreement shall not be in full force and effect until and unless the Secretary's approval of this Agreement has been obtained. 0 • • • - 4 .1N WITNESS WI-IEREOF, the Local Public Agency and the Contractor have executed this Agreement -the day and year first above written. BY BY 0 COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM CITY OF Fayetteville, Arkansas. SCARBROUGH $ Murtishaw Certified Public Accountants