Loading...
HomeMy WebLinkAboutPR 22361: AMENDMENT TO PROFESSIONAL SERVICES CONTRACT WITH WEAVER AND TIDWELL, LLP FOR AUDITING SERVICES City of urt t'tlttc— www.PortArthurTx.gov INTEROFFICE MEMORANDUM Date: 1/24/22 To: The Honorable Mayor and City Council Through: Ron Burton, City Manager From: Kandy Daniel, Interim Director of Finance RE: PR No. 22361 Amendment to Professional Services Contract with Weaver and Tidwell, LLP for Auditing Services Introduction: The intent of this Agenda Item is to request approval for the City Manager to amend the professional services contract with Weaver and Tidwell, LLP, increasing the contract amount by$77,000,to a new total contract amount not to exceed$243,000 in order to complete the FY2020 audit. Background: On December 22, 2020,the City Council approved Resolution 20-463 which authorized the City Manager to execute an engagement letter between the City of Port Arthur and Weaver and Tidwell, LLP, for an independent audit of all accounts of the City and the Port Arthur Economic Development Corporation for fiscal year ending September 30, 2020. The original contract was estimated to take 730 hours and a cost of$136,000. On April 27, 2021, City Council approved Resolution 21-163 which amended the contract by$30,000 for a total amount not to exceed $166,000. Based on remaining open items, Weaver now estimates that an additional 250-350 hours will be required to complete the 2020 audit engagement which will increase the cost by $55,000 - $77,000, bringing the total contract to an amount not to exceed$243,000. Budget Impact: Funds are available in Finance Department account#001-07-015-5420-00- 10-000. "Remember,we are here to serve the Citizens of Port Arthur" P.O.Box 1089 X Port Arthur,Texas 77641-1089 X 409.983.8101 X FAX 409.982.6743 „- City of rill rthu -- www.PortArthurTx.gov Recommendation: The attached proposed resolution No. 22361 authorizes the City Manager to amend resolution 21-163 for the audit services contract with Weaver and Tidwell, LLP, for an amount not to exceed $77,000 and a total contract amount not to exceed $243,000 in order to complete the FY2020 audit. We recommend that the City Council approve it as presented. "Remember,we are here to serve the Citizens of Port Arthur” P.O.Box 1089 X Port Arthur,Texas 77641-1089 X 409.983.8101 X FAX 409.982.6743 weaver Assurance•Tax•Advisory City of Port Arthur,Texas Finance Dept.—Kandy Daniel P.O. Box 1089 Port Arthur,TX 77641 P.O.#219248 Change Order#2 Based on the remaining open items we estimate an additional 250—350 hours will be required to complete the 2020 audit engagement. These hours will be comprised of non-attest services for assistance with preparing Federal and State grant reconciliations and report preparation and attest services for Federal and State single audits. Original Fee Proposal Hours: 715 Fee: $136,000 Change Order#1 Additional Hours: 160 Additional Fees: $30,000 Change Order#2 Additional Hours: 250-350 Additional Fees: $55,000-$77,000 Weaver and Tidwell, L.L.P. 1406 Wilson Road, Suite 100 I Conroe,Texas 77304 Main: 936.756.8127 CPAs AND ADVISORS I WEAVER.COM P. R. No.22361 KD: 1/24/22 RESOLUTION NO. A RESOLUTION AUTHORIZING THE CITY MANAGER TO AMEND THE PROFESSIONAL SERVICES CONTRACT WITH WEAVER AND TIDWELL, LLP, FOR AUDITING SERVICES, INCREASING THE CONTRACT AMOUNT BY $77,000.00 TO A NEW CONTRACT AMOUNT NOT TO EXCEED $243,000.00; FUNDING IS AVAILABLE IN THE FINANCE DEPARTMENT PROFESSIONAL SERVICES ACCOUNT #001-07-015-5420-00-10-000. WHEREAS, on December 22, 2020, the City Council approved Resolution 20-463 which authorized the City Manager to execute an engagement letter between the City of Port Arthur and Weaver and Tidwell, LLP, for professional services relating to an independent audit of all accounts of the City and the Port Arthur Economic Development Corporation for fiscal year ending September 30, 2020, with a projected budgetary impact$136,000; and WHEREAS, on April 27, 2021, the City Council approved Resolution 21-163 which authorized the City Manager to amend the audit services contract with Weaver and Tidwell, LLP, for an additional $30,000.00 to a new total contract amount of$166,000.00; and WHEREAS, due to unexpected circumstances, an additional $77,000.00 is needed to cover the cost of the audit. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PORT ARTHUR: Section 1. That the facts and opinions in the preamble are true and correct. Section 2. That the City Manager of the City of Port Arthur is hereby authorized and directed to execute an amendment to the audit services contract with Weaver and Tidwell, LLP, for an additional increase of$77,000, to a new total contract amount not to exceed $243,000.00, in order to complete the FY2020 audit. Section 3. That Weaver and Tidwell, LLP will sign this resolution agreeing to the terms herein. Section 4. That a copy of the caption of this Resolution shall be spread upon the Minutes of the City Council. READ, ADOPTED, AND APPROVED, this day of February, 2022, AD, at a Regular Meeting of the City Council of the City of Port Arthur, Texas by the following vote: AYES: Mayor: Councilmembers: NOES: Thurman"Bill"Bartie, Mayor ATTEST: Sherri Bellard, City Secretary APP VED AS TO FORM: (I,a-ai 4:606.1 Val Tizeno, City Attorney APPROVED FOR AVAILABILITY OF FUNDS: Kandy Dani , Interim Director of Finance APPROVED FOR ADMINISTRATION: Ron Burton. City Manager AGREED TO: Weaver and Tidwell, LLP By: Date Attest: Date