Agenda Date: 08/21/2018
Subject:
Title
A motion to approve a contract (engagement letter) with Clifton, Larson, Allen LLP for the 2018 Fiscal Year Audit
Body
Presented By:
Tiffany Hooten, Finance Director
REQUESTED COUNCIL ACTION:
Does city council support a motion approving the selection of Clifton, Larson, Allen, LLP (CLA) to conduct the city's 2018 fiscal year audit?
BACKGROUND:
Per City Charter Section 33, the city council selects certified public accountants to conduct an annual audit. The same accountants shall not serve more than five consecutive years. For the last five years, Anton Collins Mitchell LLP (ACM) has conducted the audit so a new auditor must be selected for the 2018 audit. The city issued a Request for Proposals (RFP) for selection of a new auditing firm. Council Members Schlachter and Driscoll assisted staff in reviewing the RFPs and the interview process. CLA is recommended by the review committee.
On an annual basis, staff will request council reaffirm the audit contract (engagement letter) with CLA.
OPTIONS/ALTERNATIVES:
A new auditor must be selected as stated in Section 33 of the Littleton Charter:
"An independent audit shall be made annually of all city accounts and more frequent audits may be made if deemed necessary by the council. Such audits shall be made by public, registered or certified public accountants selected by the council, provided the same accountants shall not serve more than five consecutive years."
FISCAL IMPACTS:
In 2017, the city paid ACM $56,200 (which included a single audit). CLA's fee for the 2018 audit will be $51,000 (which includes a single audit should it be necessary). It is anticipated that the audit fee will increase by approximately 3% annually.
STAFF RECOMMENDATION:
Council members Schlachter and Driscoll, along with staff, recommend approving the motion.
PROPOSED MOTION:
Proposed Motion
I move to approve a contract with Clifton, Larson, Allen LLP as auditors for the city's 201...
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