HomeMy WebLinkAbout36-15 RESOLUTIONRESOLUTION NO. 36-15
A RESOLUTION TO APPROVE A CONTRACT WITH GRANT THORNTON
LLP IN THE AMOUNT OF $87,500.00 TO PROVIDE INDEPENDENT AUDIT
SERVICES TO THE CITY OF FAYETTEVILLE
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
FAYETTEVILLE, ARKANSAS:
Section 1: That the City Council of the City of Fayetteville, Arkansas hereby approves a
contract with Grant Thornton LLP in the amount of $87,500.00 to provide independent audit
services to the City of Fayetteville. A copy of the engagement letter for services is attached to
this Resolution and made a part hereof.
PASSED and APPROVED this 3rd day of February, 2015.
ATTEST:
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SONDRA E. SMITH, City Clerk/Trea�s`ueg,,,,rf�o`�s
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City of Fayetteville, Arkansas 113 West Mountain Street
Fayetteville, AR 72701
479-575-8323
Text File
File Number: 2015-0020
Agenda Date: 2/3/2015 Version: 1 Status: Passed
In Control: City Council File Type: Resolution
Agenda Number: A. 14
GRANT THORNTON LLP CONTRACT:
A RESOLUTION TO APPROVE A CONTRACT WITH GRANT THORNTON LLP IN THE
AMOUNT OF $87,500.00 TO PROVIDE INDEPENDENT AUDIT SERVICES TO THE CITY OF
FAYETTEVILLE
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE,
ARKANSAS:
Section 1: That the City Council of the City of Fayetteville, Arkansas hereby approves a contract with
Grant Thornton LLP in the amount of $87,500.00 to provide independent audit services to the City of
Fayetteville. A copy of the engagement letter for services is attached to this Resolution and made a part
hereof.
City of Fayetteville, Arkansas Page 1 Printed on 21412015
City of Fayetteville Staff Review Form
2015-0020
Legistar File ID
2/3/2015
City Council Meeting Date - Agenda Item Only
N/A for Non -Agenda Item
Accounting & Audit /
Marsha Hertweck 1/13/2015 Finance & Internal Services Department
Submitted By Submitted Date Division / Department
Action Recommendation:
Approval of the engagement of Grant Thornton for the City's 2014 annual audit. The 2014 audit cost has been
budgeted in the 2015 budget.
Account Number
Project Number
Budgeted Item? Yes
Does item have a cost? Yes
Budget Adjustment Attached? NA
Budget Impact:
Current Budget
Funds Obligated
Current Balance
Item Cost
Budget Adjustment
Remaining Budget
Fund
Project Title
V20140710
Previous Ordinance or Resolution #
Original Contract Number:
Comments:
Approval Date:
To: Mayor Lioneld Jordan and the Fayetteville City Council
Thru: Paul Becker, Finance Director
From: Marsha Hertweck, Accounting Director
Date: January 12, 2015
Subject: Annual Audit
Recommendation
Approval of the third year of a five year contract with Grant Thornton for annual audit
services for the 2014 audit.
Discussion
The City is required, under Arkansas statutes and applicable bond issues, to have an
annual financial audit conducted by either Legislative Audit or a Certified Public
Accounting firm licensed in Arkansas. Because of the requirements of bond indentures,
the City has for the past thirty plus years utilized the services of a private CPA firm to
perform these mandated financial audits.
Grant Thornton was selected by the City following the applicable rules and regulations
concerning the procurement of auditing services for a five year contract beginning with
the 2012 audit. Under this contract Grant Thornton will provide an annual audit of the
City's financial statements and a review of the City's internal control system as required
by state law. In addition to the financial audit, Grant Thornton will issue a report on
internal control and compliance requirements for major federal award programs as
required by the Single Audit Act. The single audit is the primary mechanism used by
federal agencies to ensure accountability for federal awards to non-federal entities.
Finally, Grant Thornton will also provide technical assistance to the City in producing the
Comprehensive Annual Financial Report (CAFR). The CAFR includes the City's
financial statements as well as statistical information required by the City's bond
covenants.
Budget Impact
The cost of the 2014 audit is $87,500. The audit has been budgeted in General Fund and
various other funds in the 2015 budget.
Mailing Address:
113 W. Mountain Street www.fayetteville-argev
Fayetteville, AR 72701