Summary of Specifications:
CITY OF HAMTRAMCK REQUEST FOR PROPOSALS AUDIT SERVICES ADVERTISE DATE August 10, 2015 QUESTION DEADLINE August 18, 2015 Submitted in writing via email to the attention of: Bhama Cairns Hamtramck City Controller E-mail: bcairns@hamtramckcity.com PROPOSAL DUE DATE August 31, 2015 3:00 P.M. local time Hamtramck City Clerk’s Office 3401 Evaline Hamtramck, Michigan 48212 PUBLIC RECORDING September 1, 2015 at 10:00 a.m. To be held in the City Council Chambers 2nd Floor, Hamtramck City Hall 3401 Evaline Hamtramck, Michigan 48212 BIDS SUBMITTED WILL NOT BE AVAILABLE FOR REVIEW. THE PUBLIC RECORDING WILL BE THE CONTRACTORS’ OPPORTUNITY TO BE INFORMED AS TO THE CONTRACTORS SUBMITTING PROPOSALS IN RESPONSE TO THIS RFP. TABLE OF CONTENTS DESCRIPTION PAGE NO. Introduction 3 Minimum Qualifications 4 Scope of Work 4 - 5 Insurance Requirements 6 - 7 Price Proposal 8 Evaluation Criteria 8 Evaluation Procedure 9 Proposal Content Requirements 9 - 10 Proposal Disclaimers and Conditions 11 Rejections, Modifications and Cancellations 11 News release and other communications 11 Confidentiality of Proposals 11 Signature Page 12 - 13 Bid Sheet 14 1. INTRODUCTION The City of Hamtramck, Wayne County, Michigan, hereinafter called "City", is seeking proposals from certified public accounting firms, hereinafter called “Contractor”, to submit proposals for the performance of an audit of its financial accounts and records covering fiscal years 2014/15, 2015/2016 and 2016/2017 for the purpose of rendering an auditor's opinion regarding the fairness of applicable financial statements and compliance with applicable legal provisions, in accordance with generally accepted auditing standards. The auditor’s examination will be conducted in accordance with the standards for financial audits contained in Audits of State and Local Governments (and if necessary, compliance audit standards contained in the Government Auditing Standards, issued by the U.S. General Accounting Office, the Federal Single Audit Act and the provision of the Office of Management and Budget’s (OMB) Circular A – 133) and, accordingly, will include any other tests of the accounting records and such other auditing procedures the auditors consider necessary in the circumstances, including the requirements of Michigan Act #2, PA of 1968, as amended. The successful Respondent will be required to obtain approved clearances and affidavits (and insurances) from the Income Tax Division, Revenue Collections Division and the City Clerk prior to approval of a contract. Approved clearances and insurances are not required when submitting a response to the RFP but will be required of the successful Respondent prior to approval of a contract. • The City expressly reserves the right to modify, add, or delete, any item(s) from the proposal it deems necessary prior to the issuance of an award. • The term of the contract will be for three (3) years, with two (2), one-year renewal options. Any renewal option exercised under this contract is effective only after the approval of the City Manager and the Receivership Advisory Transition Board. • The relationship of the Contractor to the City of Hamtramck is to be that of an independent Contractor and no liability or benefits, such as retirement benefits or liabilities, pension rights or liabilities, insurance rights or liabilities, holiday pay, sick pay, vacation pay, personal injury or property insurance rights or liabilities, or such other rights, provisions or liabilities arising out of a contract of hire or employer-employee relationship either express or implied shall arise or accrue to either party as the result of this agreement and undertaking. The Contractor shall, under no circumstances, represent himself/(herself) as an employee of the City of Hamtramck. 2. MINIMUM QUALIFICATIONS Proposals will only be accepted from certified public accounting firms demonstrating a minimum of five (5) years of experience providing the services requested in this RFP for projects of similar scope and size and possessing additional professional licenses and/or certifications, if any, required by the State of Michigan. 3. SCOPE OF WORK The City of Hamtramck, Wayne County, Michigan is seeking proposals from certified public accounting firms to submit proposals for the performance of an audit of its financial accounts and records covering fiscal years 2014/15, 2015/2016 and 2016/2017 for the purpose of rendering an auditor's opinion regarding the fairness of applicable financial statements and compliance with applicable legal provisions, in accordance with generally accepted auditing standards. The services to be performed through the contract pursuant to this RFP shall include the following: 1. The audit shall be conducted in accordance with generally accepted auditing standards. 2. The audit shall be a financial and compliance review of all accounts and funds of the City of Hamtramck. 3. The audit firm shall submit a written report, containing an expression of opinion regarding the financial statements of the City of Hamtramck. 4. The audit firm shall provide “Annual Independent Financial Auditing Services” for a term of three (3) fiscal years starting fiscal year 2014/2015 and ending with fiscal year 2016/2017. 5. The audit firm shall submit a management letter, which shall identify management and internal control weaknesses, if any, and propose steps to correct them. 6. The audit firm is also expected to assist the City of Hamtramck in the preparation of the Management Discussion and Analysis. The audit firm will also provide all work in preparation of the financial statements and supplementary schedules in accordance with generally accepted accounting principles. 7. The City of Hamtramck views its engagement of an audit firm as an ongoing
professional relationship in which the firm is expected to provide consultation services as required on auditing, accounting and other financial management concerns throughout the year. 8. The audit shall be completed prior to December 31 of each audit year. 9. The audit firm shall provide twenty (20) hard copies and one (1) digital copy in PDF format of the auditor's report, the financial statements and schedules, and the management letter no later than December 31. 10. The audit firm shal include a meeting with the City Manager after the draft has been proofed by the
City Manager. The audit firm will make a brief presentation of the final audit at a public City Council and/or Receivership Advisory Transition Board meeting. The audit firm shall include any other informational meetings requested by the City. 11. The audit firm shall provide annual financial reporting including, but limited to, the following: o Independent Auditors’ Report o Management’s Discussion and Analysis o Basic Financial Statements • Government-wide Financial Statements • Statement of Net Position (Deficit) • Statement of Activities • Fund Financial Statements • Governmental Funds o Balance Sheet o Reconciliation of the Balance Sheet to the Statement of Net Position (Deficit) o Statement of Revenue, Expenditures and Changes in Fund Balances (Deficit) o Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances (Deficit) of Governmental Funds to the Statement of Activities • Proprietary Funds o Statement of Net Position (Deficit) o Statement of Revenue, Expenditures and Changes in Fund Net Position (Deficit) o Statement of Cash Flows • Fiduciary Funds o Statement of Fiduciary Net Position o Statement of Changes in Fiduciary Net Position – Pension Trust Funds • Component Unit o Statement of Net Position o Statement of Activities o Notes to Financial Statements These items are not meant to be all inclusive/exclusive of the services to be provided. The successful Contractor shall operate in accordance with established City policies and procedures. 4. INSURANCE REQUIREMENTS The Contractor shall comply with the following insurance requirements: A. The Contractor shall purchase from and maintain in a company or companies lawfully authorized to do business in the State of Michigan such insurance as will protect the City of Hamtramck, it’s officers, directors, employees, agents, consultants, and volunteers from claims involving the Contractor’s contractual obligations under this agreement including, but not limited to, the following hold-harmless agreement: • The Contractor herein agrees to indemnify, defend and hold harmless the City of Hamtramck, its officers, directors, employees, agents, consultants and volunteers, from all losses, claims, liabilities, injuries, damages and expenses, including attorneys’ fees that the City of Hamtramck, its officers, directors, employees, agents, consultants and volunteers may incur by reason of any injury or damage sustained to any person or property (including loss of use) arising out of or occurring in connection with the negligent performance or lack of performance of the Contractor’s duties and obligations. B. The Contractor shall obtain and maintain, at the Contractor’s own expense, Contractor’s professional liability insurance in the amount of two million dollars ($2,000,000.00) (including a broad form contractual liability coverage with all coverage retroactive to the earlier date of the agreement or commencement of the Contractor’s services in relation to the project) covering personal injury, bodily injury and property damages, said coverage to cover claims filed during a period of three (3) years after the date of final payment hereunder. C. The Contractor shall maintain at the Contractor’s own expense comprehensive general liability insurance (including a broad form contractual liability and completed operations, explosions and collapse) in the amount of two million dollars ($2,000,000.00) covering personal injury, bodily injury and property damage. D. The Contractor shall maintain at the Contractor’s own expense comprehensive automobile liability insurance, including hired and non-owned vehicles, if any, in the amount of two million dollars ($2,000,000.00) covering personal injury, bodily injury and property damage. E. The Contractor shall maintain at the Contractor’s own expense workers’ compensation insurance in the amount of the statutory minimum with an employer’s liability coverage of at least two hundred thousand dollars ($200,000.00). F. The City of Hamtramck and its officers and employees shall be named as additional insured on the Contractor’s comprehensive general liability and automobile insurance policies. G. All insurance required by the Contractor shall be maintained
