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t ; SERVICE AGREEMENT NO. 1975
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Professional Auditing Services
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THIS Professional Auditing Services Agreement ("Agreement") is entered into by
and between the City of Corpus Christi, a Texas home-rule municipal corporation
("City") and Weaver and Tidwell, LLP ("Contractor"), effective upon execution by the
City Manager or the City Manager's designee ("City Manager").
WHEREAS, Contractor has bid to provide Professional Auditing Services in response
to Request for Bid/Proposal No. 1975 ("RFB/RFP"), which RFB/RFP includes the required
scope of work and all specifications and which RFB/RFP and the Contractor's bid or
proposal response, as applicable, are incorporated by reference in this Agreement as
Exhibits 1 and 2, respectively, as if each were fully set out here in its entirety.
NOW, THEREFORE, City and Contractor agree as follows:
1. Scope. Contractor will provide Professional Auditing Services ("Services") in
accordance with the attached Scope of Work, as shown in Attachment A, the
content of which is incorporated by reference into this Agreement as if fully set
out here in its entirety, and in accordance with Exhibit 2.
2. Term. This Agreement is for three years, with performance commencing upon the
date of issuance of a notice to proceed from the Contract Administrator or
Purchasing Division. The parties may mutually extend the term of this Agreement
for up to two additional one-year periods ("Option Period(s)"), provided, the
parties do so in writing and prior to the expiration of the original term or the then-
current Option Period. The City's extension authorization must be executed by
the City Manager or designee.
3. Compensation and Payment. This Agreement is for an amount not to exceed
$608,000.00,subject to approved extensions and changes. Payment will be made
for Services completed and accepted by the City within 30 days of acceptance,
subject to receipt of an acceptable invoice. All pricing must be in accordance
with the attached Bid/Pricing Schedule, as shown in Attachment B, the content
of which is incorporated by reference into this Agreement as if fully set out here in
its entirety. Any amount not expended during the initial term or any option period
may, at the City's discretion, be allocated for use in the next option period.
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Approved as to Legal Form October 1, 2018 SCANNED
Invoices will be mailed to the following address with a copy provided to the
Contract Administrator:
City of Corpus Christi
Attn: Accounts Payable
P.O. Box 9277
Corpus Christi, Texas 78469-9277
4. Contract Administrator. The Contract Administrator designated by the City is
responsible for approval of all phases of performance and operations under this
Agreement, including deductions for non-performance and authorizations for
payment. The City's Contract Administrator for this Agreement is as follows:
Name: Judy Sandroussi
Department: Finance
Phone: 361-826-3669
Email: JudyS@cctexas.com
5. Insurance; Bonds.
(A) Before performance can begin under this Agreement, the Contractor must
deliver a certificate of insurance ("COI"), as proof of the required insurance
coverages, to the City's Risk Manager and the Contract Administrator.
Additionally, the COI must state that the City will be given at least 30 days'
advance written notice of cancellation, material change in coverage, or intent
not to renew any of the policies. The City must be named as an additional insured.
The City Attorney must be given copies of all insurance policies within 10 days of
the City Manager's written request. Insurance requirements are as stated in
Attachment C, the content of which is incorporated by reference into this
Agreement as if fully set out here in its entirety.
(B) In the event that a payment bond, a performance bond, or both, are
required of the Contractor to be provided to the City under this Agreement before
performance can commence, the terms, conditions, and amounts required in the
bonds and appropriate surety information are as included in the RFB/RFP or as
may be added to Attachment C, and such content is incorporated here in this
Agreement by reference as if each bond's terms, conditions, and amounts were
fully set out here in its entirety.
6. Purchase Release Order. For multiple-release purchases of Services to be
provided by the Contractor over a period of time, the City will exercise its right to
specify time, place and quantity of Services to be delivered in the following
manner: any City department or division may send to Contractor a purchase
release order signed by an authorized agent of the department or division. The
purchase release order must refer to this Agreement, and Services will not be
rendered until the Contractor receives the signed purchase release order.
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7. Inspection and Acceptance. City may inspect all Services and products supplied
before acceptance. Any Services or products that are provided but not
accepted by the City must be corrected or re-worked immediately at no charge
to the City. If immediate correction or re-working at no charge cannot be made
by the Contractor, a replacement service may be procured by the City on the
open market and any costs incurred, including additional costs over the item's
bid/proposal price, must be paid by the Contractor within 30 days of receipt of
City's invoice.
8. Warranty.
(A) The Contractor warrants that all products supplied under this Agreement
are new, quality items that are free from defects, fit for their intended purpose,
and of good material and workmanship. The Contractor warrants that it has clear
title to the products and that the products are free of liens or encumbrances.
(B) In addition, the products purchased under this Agreement shall be
warranted by the Contractor or, if indicated in Attachment D by the
manufacturer, for the period stated in Attachment D. Attachment D is attached
to this Agreement and is incorporated by reference into this Agreement as if fully
set out here in its entirety.
(C) Contractor warrants that all Services will be performed in accordance
with the standard of care used by similarly situated contractors performing similar
services.
9. Quality/Quantity Adjustments. Any Service quantities indicated on the Bid/Pricing
Schedule are estimates only and do not obligate the City to order or accept more
than the City's actual requirements nor do the estimates restrict the City from
ordering less than its actual needs during the term of the Agreement and including
any Option Period. Substitutions and deviations from the City's product
requirements or specifications are prohibited without the prior written approval of
the Contract Administrator.
10. Non-Appropriation. The continuation of this Agreement after the close of any
fiscal year of the City, which fiscal year ends on September 30th annually, is subject
to appropriations and budget approval specifically covering this Agreement as
an expenditure in said budget, and it is within the sole discretion of the City's City
Council to determine whether or not to fund this Agreement. The City does not
represent that this budget item will be adopted, as said determination is within the
City Council's sole discretion when adopting each budget.
11. Independent Contractor. Contractor will perform the work required by this
Agreement as an independent contractor and will furnish such Services in its own
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manner and method, and under no circumstances or conditions will any agent,
servant or employee of the Contractor be considered an employee of the City.
12. Subcontractors. Contractor may use subcontractors in connection with the work
performed under this Agreement. When using subcontractors, however, the
Contractor must obtain prior written approval from the Contract Administrator
unless the subcontractors were named in the bid or proposal or in an Attachment
to this Agreement, as applicable. In using subcontractors, the Contractor is
responsible for all their acts and omissions to the same extent as if the
subcontractor and its employees were employees of the Contractor. All
requirements set forth as part of this Agreement, including the necessity of
providing a COI in advance to the City, are applicable to all subcontractors and
their employees to the same extent as if the Contractor and its employees had
performed the work. The City may, at the City's sole discretion, choose not to
accept Services performed by a subcontractor that was not approved in
accordance with this paragraph.
13. Amendments. This Agreement may be amended or modified only in writing
executed by authorized representatives of both parties.
14. Waiver. No waiver by either party of any breach of any term or condition of this
Agreement waives any subsequent breach of the same.
15. Taxes. The Contractor covenants to pay payroll taxes, Medicare taxes, FICA
taxes, unemployment taxes and all other applicable taxes. Upon request, the City
Manager shall be provided proof of payment of these taxes within 15 days of such
request.
16. Notice. Any notice required under this Agreement must be given by fax, hand
delivery, or certified mail, postage prepaid, and is deemed received on the day
faxed or hand-delivered or on the third day after postmark if sent by certified mail.
Notice must be sent as follows:
IF TO CITY:
City of Corpus Christi
Attn: Judy Sandroussi
Title: Controller
Address: 1201 Leopard Street, Corpus Christi, Texas 78401
Phone: 361-826-3669
Fax: 361-880-3601
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IF TO CONTRACTOR:
Weaver and Tidwell, LLP
Attn: Laura Lambert
Title: Partner
Address: 24 Greenway Plaza, Suite 1800, Houston, Texas 77046
Phone: 713-850-8787
Fax: 713-850-1673
17. CONTRACTOR SHALL FULLY INDEMNIFY, HOLD HARMLESS AND DEFEND
THE CITY OF CORPUS CHRISTI AND ITS OFFICERS, EMPLOYEES AND
AGENTS ("INDEMNITEES') FROM AND AGAINST ANY AND ALL LIABILITY,
LOSS, CLAIMS, DEMANDS, SUITS, AND CAUSES OF ACTION OF
WHATEVER NATURE, CHARACTER, OR DESCRIPTION ON ACCOUNT OF
PERSONAL INJURIES, PROPERTY LOSS, OR DAMAGE, OR ANY OTHER KIND
OF INJURY, LOSS, OR DAMAGE, INCLUDING ALL EXPENSES OF
LITIGATION, COURT COSTS, ATTORNEYS' FEES AND EXPERT WITNESS FEES,
WHICH ARISE OR ARE CLAIMED TO ARISE OUT OF OR IN CONNECTION
WITH A BREACH OF THIS AGREEMENT OR THE PERFORMANCE OF THIS
AGREEMENT BY THE CONTRACTOR OR RESULTS FROM THE NEGLIGENT
ACT, OMISSION, MISCONDUCT, OR FAULT OF THE CONTRACTOR OR ITS
EMPLOYEES OR AGENTS. CONTRACTOR MUST, AT ITS OWN EXPENSE,
INVESTIGATE ALL CLAIMS AND DEMANDS, ATTEND TO THEIR SETTLEMENT
OR OTHER DISPOSITION, DEFEND ALL ACTIONS BASED THEREON WITH
COUNSEL SATISFACTORY TO THE CITY ATTORNEY, AND PAY ALL
CHARGES OF ATTORNEYS AND ALL OTHER COSTS AND EXPENSES OF
ANY KIND ARISING OR RESULTING FROM ANY SAID LIABILITY, DAMAGE,
LOSS, CLAIMS, DEMANDS, SUITS, OR ACTIONS. THE INDEMNIFICATION
OBLIGATIONS OF CONTRACTOR UNDER THIS SECTION SHALL SURVIVE
THE EXPIRATION OR EARLIER TERMINATION OF THIS AGREEMENT.
18. Termination.
(A) The City Manager may terminate this Agreement for Contractor's failure to
perform the work specified in this Agreement or to keep any required insurance
policies in force during the entire term of this Agreement. The Contract
Administrator must give the Contractor written notice of the breach and set out a
reasonable opportunity to cure. If the Contractor has not cured within the cure
period, the City Manager may terminate this Agreement immediately thereafter.
(B) Alternatively, the City Manager may terminate this Agreement for
convenience upon 30 days advance written notice to the Contractor. The City
Manager may also terminate this Agreement upon 24 hours written notice to the
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Contractor for failure to pay or provide proof of payment of taxes as set out in this
Agreement.
19. Assignment. No assignment of this Agreement by the Contractor, or of any right
or interest contained herein, is effective unless the City Manager first gives written
consent to such assignment. The performance of this Agreement by the
Contractor is of the essence of this Agreement, and the City Manager's right to
withhold consent to such assignment is within the sole discretion of the City
Manager on any ground whatsoever.
20. Severability. Each provision of this Agreement is considered to be severable and,
if, for any reason, any provision or part of this Agreement is determined to be
invalid and contrary to applicable law, such invalidity shall not impair the
operation of nor affect those portions of this Agreement that are valid, but this
Agreement shall be construed and enforced in all respects as if the invalid or
unenforceable provision or part had been omitted.
21. Order of Precedence. In the event of any conflicts or inconsistencies between this
Agreement, its attachments, and exhibits, such conflicts and inconsistencies will
be resolved by reference to the documents in the following order of priority:
A. this Agreement (excluding attachments and exhibits);
B. its attachments;
C. the bid solicitation document including any addenda (Exhibit 1); then,
D. the Contractor's bid response (Exhibit 2).
22. Certificate of Interested Parties. Contractor agrees to comply with Texas
Government Code Section 2252.908, as it may be amended, and to complete
Form 1295 "Certificate of Interested Parties" as part of this Agreement if required
by said statute.
23. Verification Regarding Israel. In accordance with Chapter 2270, Texas
Government Code, the City may not enter into a contract with a company for
goods or services unless the contract contains a written verification from the
company that it: (1) does not boycott Israel; and (2) will not boycott Israel during
the term of the contract. The signatory executing this Agreement on behalf of the
Contractor verifies that the company does not boycott Israel and will not boycott
Israel during the term of this Agreement.
24. Governing Law. This Agreement is subject to all federal, State, and local laws, rules,
and regulations. The applicable law for any legal disputes arising out of this
Agreement is the law of the State of Texas, and such form and venue for such
disputes is the appropriate district, county, or justice court in and for Nueces
County, Texas.
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25. Entire Agreement. This Agreement constitutes the entire agreement between the
parties concerning the subject matter of this Agreement and supersedes all prior
negotiations, arrangements, agreements and understandings, either oral or
written, between the parties
CONTRACTOR
Signature: u-- M
Printed Name: Laura M. Lambert
Title: Partner
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Date: May 7, 2019 �l
IT CeCIL
SECRETARY ' j 3
CITY OF CORPUS CHRISTI
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Kim Baker
Director of Contracts and Procurement ATTEST:1-.) "L" A PIA
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Date: . LZ. Q CITY SECRETARY
Attached and Incorporated by Reference:
Attachment A: Scope of Work
Attachment B: Bid/Pricing Schedule
Attachment C: Insurance and Bond Requirements
Attachment D: Warranty Requirements
Incorporated by Reference Only:
Exhibit 1: RFB/RFP No. 1975
Exhibit 2: Contractor's Bid/Proposal Response
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ATTACHMENT A: SCOPE OF WORK
1.1. Background and Description of the City
A. General
1. The City of Corpus Christi is comprised of a 504 square mile area with an
estimated population of 325,605. The City of Corpus Christi's fiscal year begins
on October 1 and ends on September 30.
2. The City of Corpus Christi operates under a Council-Manager form of
government and provides such services as are authorized by its charter to
advance the welfare, health, morale, comfort, safety, and convenience of
the City and its inhabitants.
3. The City of Corpus Christi provides the following services to its citizens:
a. Public Safety (police and fire protection, building inspection, street lighting
and traffic signals, and civil defense)
b. Public Services (water, wastewater collection and disposal, gas, garbage
collection and disposal, maintenance of streets, and storm water
drainage)
c. Community Enrichment (libraries, parks, recreational facilities, marina,
municipal beaches, golf courses, swimming pools, tennis courts, baseball
and softball diamonds, and senior citizen centers)
d. Airport
e. Preventative Health Facilities
f. Convention Center and Arena
4. The City of Corpus Christi has a total payroll of$165,717,689 in Fiscal Year 2017,
covering 3,105 employees.
5. The City of Corpus Christi is organized into 31 departments and agencies. See
Attachment Al for an organizational chart. The accounting and financial
reporting functions of the City of Corpus Christi are centralized.
6. More detailed information on the government and its finances, including the
City's Comprehensive Annual Financial Reports, can be found at the City's
website located at http://www.cctexas.com/financial-transparency, as well
as the Official Statements available on Municipal Securities Rulemaking
Board (www.msrb.org).
7. Prior year's audit reports can be viewed at the following link, under the
section titled "Financial Reports (CAFR)": http://www.cctexas.com/financial-
transparency.
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B. Fund Structure
The City of Corpus Christi uses the following fund types and account groups in its
financial reporting:
Number of Number with Legally
Fund Type/Account Group Individual Funds Adopted Annual Budgets
General Fund 1 1
Special Revenue Funds 17 11
Debt Service Funds 3 3
Capital Projects Funds 13 0
Enterprise Funds 6 6
Internal Service Funds 6 6
Expendable Trust Funds 2 0
Blended Component Units 7 4
C. Budgetary Basis of Accounting
Annual budgets are legally adopted on a basis consistent with generally
accepted accounting principles for all governmental funds except the
Federal/State Grant Fund, capital project funds, community enrichment fund,
infrastructure fund, the Corpus Christi Community Improvement Corporation
Fund (CCCIC), the Corpus Christi Housing Finance Corporation Fund (CCHFC),
the Corpus Christi Industrial Development Corporation Fund (CCIDC), and the
Corpus Christi Health Facilities Development Corporation (CCHFDC). The
Federal/State Grant Funds and the capital projects funds adopt project-length
budgets. Budgets were not adopted for the CCCIC, CCHFC, CCIDC, and the
CCHFDC.
D. Federal and State Awards
During the fiscal year to be audited, the City of Corpus Christi received or will
receive Federal and State awards.
E. Pension Plans
The City participates in funding two retirement plans: (1) all City employees,
except firefighters, are provided benefits through a non-institutional, joint
contributory, defined benefit plan in the state-wide Texas Municipal Retirement
System (TMRS), an agent multiple-employer public employee retirement system;
and (2) all firefighters are covered by the Fire Fighters Retirement System of
Corpus Christi, a single-employer defined benefit pension plan.
F. Component Units
Management of the City of Corpus Christi has addressed all potential
component units for which the City may be financially accountable and, as
such, have been included within the City's financial statements. The City (the
primary government) is financially accountable if it appoints a voting majority of
the organization's governing board and (1) it is able to impose its will on the
organization, or (2) there is a potential for the organization to provide specific
financial benefits to or burdens on the City. In doing so, management has
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considered other organizations for which the nature and significance of their
relationship with the City of Corpus Christi are such that exclusion would cause
the City of Corpus Christi's financial statements to be misleading or incomplete.
G. Blended Component Units
1. The following entities have been identified as blended component units due
to the closeness of their relationship with the City of Corpus Christi: Corpus
Christi Community Improvement Corporation, Corpus Christi Housing Finance
Corporation, Corpus Christi Industrial Development Corporation, Corpus
Christi Crime Control and Prevention District, Corpus Christi Business and Job
Development Corporation, Corpus Christi Type B Corporation, and the North
Padre Island Development Corporation.
2. The blended component units are included in the government fund
statements as non-major government funds.
H. Related Organizations and Jointly Governed Organizations
1. Related organizations and jointly governed organizations provide services
within the City that are administered by separate boards or commissions, but
the City is not financially accountable, and such organizations are therefore
not component units of the City, even though the City Council may appoint
a voting majority of an organization's board members. Consequently,
financial information for the Coastal Bend Council of Governments, the
Regional Transit Authority, the Corpus Christi Housing Authority, and the
Corpus Christi Regional Economic Development Corporation are not
included in the City's financial statements.
2. The City of Corpus Christi does not participate in joint ventures with other
governments.
I. Magnitude of Financial Operations
The financial services department is headed by Constance Sanchez, Director of
Financial Services, and consists of 97 employees. The principal functions
performed and the number of employees assigned to each are as follows:
Function Number of Employees
Finance Administration 4
Accounting 28
Treasury 15
Collections 31
Purchasing/Inventory 19
Total 97
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J. Computer Systems
SOFTWARE
Make Major Applications
INFOR Financials General Ledger, Accounts Payable, Accounts
Receivable, Activities, Asset Management, Purchasing,
Travel and Expense, Flex Budgeting (Commitment
Control) and Inventory
INFOR CPM Budget
INFOR HR & Payroll Human Resources, Benefits Administration, e-Recruit, &
Payroll
Sympro Debt Service & Investments
INFOR IPS Utility Systems
• Customer Billing
• Work Orders
INFOR CDR Community Development
• Building Permits
• Business Licenses
• Code Enforcement
• Health Permits
RCS Cash Receipts
DATABASES
Type Uses
Hosted Managed Services INFOR
K. Working Papers
1. All working papers and reports must be retained, at the Contractor's expense,
for a minimum of three years, unless the firm is notified in writing by the City of
Corpus Christi of the need to extend the retention period. The Contractor will
be required to make working papers available, upon request, to the following
parties or their designees:
a. United States Department of Housing and Urban Development,
b. U.S. General Accounting Office (GAO),
c. Parties designated by the federal or state governments or by the City of
Corpus Christi as part of an audit quality review process, and
d. Auditors of entities of which the City of Corpus Christi is a sub-recipient of
grant funds.
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2. In addition, the Contractor shall respond to the reasonable inquiries of
successor auditors and allow successor auditors to review working papers
relating to matters of continuing accounting significance.
L. The Schedule of Expenditures of Federal Awards and related auditor's report, as
well as the reports on compliance and internal controls, are to be issued along
with the CAFR. In the future, the City may decide to issue the Schedule of
Expenditures of Federal Awards separately. Prior year Schedule of Expenditure
can be found on the yearly Comprehensive Annual Reports (CAFR) located
online at: http://www.cctexas.com/financial-transparency.
1.2. Scope of Work
A. The Contractor shall audit financial statements for the fiscal years ending
September 30, 2019, 2020, and 2021 . These audits are to be performed in
accordance with auditing standards generally accepted in the United States of
America, the standards applicable to financial audits contained in Government
Auditing Standards issued by the Comptroller General of the United States, the
provisions of the federal Single Audit Act Amendments of 1996, U.S. Office of
Management and Budget (OBM), Uniform Guidance for Federal Awards, OMB
Circular A-133, Audits of States, Local Governments, and Non-Profit
Organizations, and/or the State of Texas Single Audit Circular, as applicable.
B. The Contractor shall express an opinion on the fair presentation of its basic
financial statements and the fair representation of the financial statements of
individual funds and component units in conformity with auditing standards
generally accepted in the United States of America as included in Statements
on Auditing Standards, published by the American Institute of Certified Public
Accountants and Government Auditing Standards issued by the Comptroller
General of the United States. The Contractor is required to perform tests of
compliance and internal control based on the audit of the basic financial
statements and is also required to audit the compliance of the City with the types
of compliance requirements described in the U.S. Office of Management and
Budget (OMB) Uniform Guidance for Federal Awards and Circular A-133
Compliance Supplement and/or the State of Texas Single Audit Curicular that
are applicable to each of its major federal and/or state programs. The
Contractor is not required to audit the statistical section of the report.
C. The Contractor must issue an independent auditor's report on compliance and
internal controls based on an audit of the basic financial statements performed
in accordance with Government Auditing Standards, as well as an independent
auditor's report on compliance with requirements applicable to each major
program and internal control over compliance in accordance with OMB Circular
A-133 and State of Texas Single Audit Circular.
D. The Contractor must complete the Audit no later than six months after the City's
fiscal year end unless an extension is mutually agreed upon by both parties.
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E. The Contractor will submit a list of findings and other internal control weaknesses
from the City of Corpus Christi's financial statement audit.
F. The Contractor will perform the Passenger Facility Charge (PFC) audit annually
as required by the Federal Aviation Administration (FAA) in accordance with the
compliance requirements described in the Passenger Facility Charge Audit
Guide for Public Agencies (the "Guide), issued by the Federal Aviation
Administration.
G. The Contractor will perform a separate agreed-upon procedures engagement
annually related to the City's financial assurances to the Texas Commission on
Environmental Quality (TCEQ) required by the Texas Administrative Code Title 30,
Part 1, Chapter 37.
H. The Contractor will provide eight hours of continuing education for City Staff's
Certified Public Accountant continuing education hours annually. Continuing
education topics will include but are not limited to: new or changing accounting
rules and regulations for the yearly audits, addressing issues that arose during
prior audits, training for grant program managers, or any other training that will
be beneficial to the financial health of the City of Corpus Christi. Continuing
education training will take place face-to-face. Dates, times, and topics will be
approved by the Contractor Administrator prior to scheduling.
1.3. Requirements
Following the completion of the Audit of the fiscal year's financial statements, the
Contractor shall issue the following:
A. A report on the fair presentation of the financial statements in conformity with the
accounting principles generally accepted in the United States of America,
including an opinion of the fair presentation of the supplementary schedule of
expenditures of federal awards in relation to the audited financial statements.
B. A report on compliance and internal control over financial reporting based on
an audit of the basic financial statements.
C. A report on compliance and internal control over compliance applicable to
each major federal program and each major state program.
D. A schedule of findings and questioned costs for each major federal program and
each major state program.
E. A letter to management addressing any reportable conditions found during the
audit. A reportable condition shall be defined as a significant deficiency in the
design of operation of the internal control structure,which could adversely affect
the organization's ability to record, process, summarize, and report financial data
consistent with the assertions of management in the financial statements.
F. The report on compliance and internal controls shall include all material
instances of noncompliance. All nonmaterial instances of noncompliance shall
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be reported in a separate management letter, which shall be referred to in the
report on compliance and internal controls.
G. Irregularities and Illegal Acts. The Contractor must make an immediate, written
report of all irregularities and illegal acts or indications of illegal acts of which they
become aware to the City Manager and Audit Committee who will report to the
City Council.
H. During the term of the engagement, Contractor shall assure themselves that the
City Council through the Audit Committee is informed of each of the following:
1. The auditor's responsibility under generally accepted auditing standards
2. Significant accounting policies
3. Management judgements and accounting estimates
4. Significant audit adjustments
5. Other information in documents containing audited financial statements
6. Disagreements with management
7. Management consultation with other accountants
8. Major issues discussed with management
9. Difficulties encountered in performing the audit
1.4. Special Considerations
The City of Corpus Christi will perform the following tasks:
A. The City of Corpus Christi will send its comprehensive annual financial report to
the Government Finance Officers Association of the United States and Canada
for review in their Certificate of Achievement for Excellence in Financial
Reporting Program. It is anticipated that the Contractor will be required to
provide special assistance to the City of Corpus Christi to meet the requirements
of that program.
B. The City of Corpus Christi currently anticipates it will prepare one or more official
statements per year in connection with the sale of debt securities which will
contain the government-wide financial statements and the auditor's report
thereon. The Contractor shall be required, if requested by the financial advisor
and/or the underwriter, to issue a "consent and citation of expertise" as the
auditor and any necessary "comfort letters". The Contractor performs agreed
upon procedures with respect to the City's computation of pro forma annual
debt service coverage and provides a certificate to that effect, at no additional
cost.
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1.5. Compensation and Payment
The Contractor shall provide the following deliverables:
A. The Contractor shall complete the audit planning and risk assessment.
B. The Contractor shall complete the audit interim fieldwork.
C. The Contractor shall complete the audit year-end fieldwork.
D. The Contractor shall review the single audit and CAFR and issue all relevant
reports and audit opinions.
E. The Contractor shall provide the Passenger Facility Audit and issue all relevant
reports and audit opinions.
F. The Contractor shall provide the TCEQ Financial Assurances and issue all
relevant reports.
G. The Contractor shall provide Continuing Education Training for City Staff
Certified Public Accountants.
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Scope of Work Attachment Al
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Rick Man--,gement _conomic Osvelepmeni
alibied Sanchez 881.1418 6
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\ 82d-J 0-3709 tJ9 / DoVlydovn
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Heenan Relations ` 682-2353 /
Sylvia Killeen f
Ad nlon&Leedom Dioreau
\ 826-7126-31 alar Conoe76 / 881-1868
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Mark Van NeckSylvia Trevino .
828.3062 826.3547 Inferno
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Police ChieConstance, Constance Sanchez tllk<Mafkle
Street Operations 8264227 888-2503
4 Public Works \ Andy Leal J
Valerie Gray 887.1872 6tanegemem&Budget a
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Director Engineering Services, 626479 625.5602
\ 8283729 Jeffrey Edmoncs
8263Management 500 Strategic Magement Code Enforcement
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Saundra Thaston opt Alimony Sanders
Assistant 686-0691
Solid Waste Operations , 8264682 l
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Lawrence czyk 1 Flen Chief \
825.1972-1972 Human Resources Robert Rocha
Skive Vera 826-3932
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4 . Bill Mahaney /7 information Technology \ Health District
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605{92d / Belinda totrirdo
Annette Rodriguez
8263)30 l /
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/ Gltberl Hernandez rel
Ulil Ilius 826-187d
Executive Director / 826-2618
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828-1718 -III\
Wastewater Airport \ Jay EIIingten
\ l Fred Segundo 8264483
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AmiScorn Water Jan Davis 826-3980
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Laura Garcia
8267070 y
Page 9 of 9
ATTACHMENT B: PRICING SCHEDULE
ce5I
illi:11N
111 ACiTY OF CORPUS CHRISTI
Pricing Form
PURCHASING DIVISION
rasa
RFP No. 1975
Professional Auditing Services
PAGE 1 OF 3
DATE: 12/17/2018
Weaver and Tidwell, L.L.P. ` tempt
PROPOSER CAUTNORIZED SIGNATURE
1. Refer to "Instructions to Proposers"and Contract Terms and Conditions before completing
proposal.
2. Provide your best price for each Item.
3. In submitting this proposal,Proposer certifies that:
n. the prices In this proposal have been arrived at Independently,without consultation,
communication,or agreement with any other Proposer or competitor, for the purpose
of restricting competition with regard to prices;
b. Proposer is an Equal Opportunity Employer;and the Disclosure of interest information
on file with City's purchasing office, pursuant to the Code of Ordinances,is current
and true.
c. Proposer has incorporated any changes issue through Addenda to the RFP in this
pricing.
UNIT
ITEM DESCRIPTION QTY UNIT PRICE
1.0 Audit Planning and Risk Assessment Year One J 1 Lump $14,700
Sum
2.0 Audit interim Fieldwork Year One 1 Lump $23,500
Sum
3.0 Audit Year-end Fieldwork Year One 1 Lump $108,000
Sum
4.0 Review of Single Audit and CAFR Year One 1 Lump $41 600
Sum
5.0 Passenger Facility Audit Year One 1 Lump $3,500
Sum
Page 1 of 5
UNIT
ITEM DESCRIPTION QTY UNIT PRICE
6.0 TCEQ Financial Assurances Year One 1 Lump $2,500
Sum
7.0 Continuing Education Training for City Staff 1 Lump 000
Certified Public Accountants Year One (8 hrs) Sum
8.0 Audit Planning and Risk Assessment Year Two 1 Lump
$15,100
Sum
9.0 Audit Interim Fieldwork Year Two 1 Lump $24,200
Sum
10.0 Audit Year-end Fieldwork Year Two 1 Lump $111,300
Sum
11.0 Review of Single Audit and CAFR Year Two 1 Lump $42,800
Sum
12.0 Passenger Facility Audit Year Two 1 Lump $3,700
Sum
13.0 TCEQ Financial Assurances Year Two 1 Lump $2,500
Sum
14.0 Continuing Education Training for City Staff 1 Lump $3,000
Certified Public Accountants Year Two (8 hrs) Sum
15.0 Audit Planning and Risk Assessment Year 1 Lump
$15,600
Three Sum
16.0 Audit Interim Fieldwork Year Three 1 Lump $24,900
Sum
Page 2 of 5
UNIT
ITEM DESCRIPTION QTY UNIT PRICE
Lump $114,60fl
17.0 Audit Year-end Fieldwork Year Three 1 Sum
Lump $44,100
18.0 Review of Single Audit and CAFR Year Three 1 Sum
Lump $3,900
19.0 Passenger Facility Audit Year Three 1 Sum
Lump $2,500
20.0 TCEQ Financial Assurances Year Three 1 Sum
21.0 Continuing Education Training for City Staff 1 Sump X3'000
Certified Public Accountants Year Three (8 hrs)
TOTAL $608,000
Page 3 of 5
,: -03.
: c z ti 8
O i.: CITY OF CORPUS CHRISTI
p "
Pricing Form - Extension Year 1 & 2
g' PURCHASING DIVISION
1si8
RFP No. 1975
Professional Auditing Services
PAGE 1 OF 2
DATE: 4/17/2019
Weaver and Tidwell, L.L.P. A- 711 -L 4
(
PROPOSER UTHORIZED SIGNATURE
1. Refer to "Instructions to Proposers"and Contract Terms and Conditions before completing
proposal.
2. Provide your best price for each item.
3. In submitting this proposal,Proposer certifies that:
a. the prices in this proposal have been arrived at independently,without consultation,
communication, or agreement with any other Proposer or competitor, for the purpose
of restricting competition with regard to prices;
b. Proposer is an Equal Opportunity Employer;and the Disclosure of Interest information
on file with City's purchasing office, pursuant to the Code of Ordinances, is current
and true.
c. Proposer has incorporated any changes issue through Addenda to the RFP in this
pricing.
UNIT
ITEM DESCRIPTION QTY UNIT _ PRICE
22.0 Audit Planning and Risk Assessment Extension 1 Lump $16,100
Year One Sum
23.0 Audit Interim Fieldwork Extension Year One 1 Lump 25,600
Sum
24.0 Audit Year-end Fieldwork Extension Year One 1 Lump 118,000
Sum
25.0 Review of Single Audit and CAFR Extension 1 Lump 45,400
Year One Sum
Lump
26.0 Passenger Facility Audit Extension Year One 1 Sum I 4,000
Page 4 of 5
UNIT
ITEM DESCRIPTION QTY UNIT PRICE
Lump
27.0 TCEQ Financial Assurances Extension Year 1 Sum
One 2,600
Lump
28.0 Continuing Education Training for City Staff 1 Sum
Certified Public Accountants Extension Year 3,000
One
Lump
29.0 Audit Planning and Risk Assessment Extension 1 Sum 16,600
Year Two
Lump
30.0 Audit Interim Fieldwork Extension Year Two 1 Sum 26,400
Lump
31.0 Audit Year-end Fieldwork Extension Year Two 1 Sum 121,500
Lump
32.0 Review of Single Audit and CAFR Extension 1 Sum 46,800
Year Two
Lump
33.0 Passenger Facility Audit Extension Year Two 1 Sum 4,100
Lump
34.0 TCEQ Financial Assurances Extension Year 1 Sum 2,600
Two
Lump
35.0 Continuing Education Training for City Staff 1 Sum 3,000
Certified Public Accountants Extension Year
Two
TOTAL 435,7
Page 5 of 5
ATTACHMENT C: INSURANCE AND BOND REQUIREMENTS
I. CONTRACTOR'S LIABILITY INSURANCE
A. Contractor must not commence work under this agreement until all insurance
required has been obtained and such insurance has been approved by the
City. Contractor must not allow any subcontractor Agency to commence
work until all similar insurance required of any subcontractor Agency has been
obtained.
B. Contractor must furnish to the City's Risk Manager and Director Human
Resources, 2 copies of Certificates of Insurance (COI) with applicable policy
endorsements showing the following minimum coverage by an insurance
company(s) acceptable to the City's Risk Manager. The City must be listed as
an additional insured on the General liability and Auto Liability policies by
endorsement, and a waiver of subrogation is required on all applicable
policies. Endorsements must be provided with COI. Project name and or
number must be listed in Description Box of COI.
TYPE OF INSURANCE MINIMUM INSURANCE COVERAGE
30-written day notice of cancellation, Bodily Injury and Property Damage
required on all certificates or by Per occurrence - aggregate
applicable policy endorsements
Commercial General Liability $1,000,000 Per Occurrence
including:
1. Commercial Broad Form
2. Premises- Operations
3. Products/ Completed Operations
4. Contractual Liability
5. Independent Contractors
6. Personal Injury- Advertising Injury
AUTO LIABILITY (including) $1,000,000 Combined Single Limit
1. Owned
2. Hired and Non-Owned
3. Rented/Leased
PROFESSIONAL LIABILITY $1,000,000 Per Claim
(Errors and Omissions) (Defense costs not included in
face value of the policy)
If claims made policy, retro date
must be prior to inception of
agreement, have extended
reporting period provisions and
identify any limitations regarding
who is insured.
Page 1 of 3
WORKERS'S COMPENSATION Statutory and complies with Part II
(All States Endorsement if Company is of this
not domiciled in Texas) Exhibit.
Employers Liability $500,000/$500,000/$500,000
C. In the event of accidents of any kind related to this agreement, Contractor
must furnish the Risk Manager with copies of all reports of any accidents within
10 days of the accident.
II. ADDITIONAL REQUIREMENTS
A. Applicable for paid employees, Contractor must obtain workers'
compensation coverage through a licensed insurance company. The
coverage must be written on a policy and endorsements approved by the
Texas Department of Insurance. The workers' compensation coverage
provided must be in an amount sufficient to assure that all workers'
compensation obligations incurred by the Contractor will be promptly met.
B. Contractor shall obtain and maintain in full force and effect for the duration
of this Contract, and any extension hereof, at Contractor's sole expense,
insurance coverage written on an occurrence basis, by companies authorized
and admitted to do business in the State of Texas and with an A.M. Best's rating
of no less than A- VII.
C. Contractor shall be required to submit a copy of the replacement certificate
of insurance to City at the address provided below within 10 days of the
requested change. Contractor shall pay any costs incurred resulting from said
changes. All notices under this Article shall be given to City at the following
address:
City of Corpus Christi
Attn: Risk Manager
P.O. Box 9277
Corpus Christi, TX 78469-9277
D. Contractor agrees that with respect to the above required insurance, all
insurance policies are to contain or be endorsed to contain the following
required provisions:
• List the City and its officers, officials, employees, volunteers, and elected
representatives as additional insured by endorsement, as respects
operations, completed operation and activities of, or on behalf of, the
named insured performed under contract with the City, with the exception
of the workers' compensation policy;
Page 2 of 3
• Provide for an endorsement that the "other insurance" clause shall not
apply to the City of Corpus Christi where the City is an additional insured
shown on the policy;
• Workers' compensation and employers' liability policies will provide a waiver
of subrogation in favor of the City; and
• Provide thirty (30) calendar days advance written notice directly to City of
any suspension, cancellation, non-renewal or material change in
coverage, and not less than ten (10) calendar days advance written notice
for nonpayment of premium.
E. Within five (5) calendar days of a suspension, cancellation, or non-renewal of
coverage, Contractor shall provide a replacement Certificate of Insurance
and applicable endorsements to City. City shall have the option to suspend
Contractor's performance should there be a lapse in coverage at any time
during this contract. Failure to provide and to maintain the required insurance
shall constitute a material breach of this contract.
F. In addition to any other remedies the City may have upon Contractor's failure
to provide and maintain any insurance or policy endorsements to the extent
and within the time herein required, the City shall have the right to order
Contractor to remove the exhibit hereunder, and/or withhold any payment(s)
if any, which become due to Contractor hereunder until Contractor
demonstrates compliance with the requirements hereof.
G. Nothing herein contained shall be construed as limiting in any way the extent
to which Contractor may be held responsible for payments of damages to
persons or property resulting from Contractor's or its subcontractor's
performance of the work covered under this agreement.
H. It is agreed that Contractor's insurance shall be deemed primary and non-
contributory with respect to any insurance or self insurance carried by the City
of Corpus Christi for liability arising out of operations under this agreement.
It is understood and agreed that the insurance required is in addition to and
separate from any other obligation contained in this agreement.
2018 Insurance Requirements
Purchasing - Finance
Professional Auditing Services RFP
11/07/2018 sw Risk Management
BOND REQUIREMENTS:
There are no bonds required, therefore Section 5 (B) is null for this agreement.
Page 3 of 3
ATTACHMENT D: WARRANTY REQUIREMENTS
Section 8 (A) and (B) are null for this agreement.
Page 1 of 1