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HomeMy WebLinkAboutResolution 2026-05 Auditor Selection CommitteeRESOLUTION NO.2026-05 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF WINTER SPRINGS, FLORIDA, ESTABLISHING AN AUDITOR SELECTION COMMITTEE PURSUANT TO SECTION 218.391, FLORIDA STATUTES; PROVIDING FOR THE AUDITOR SELECTION COMMITTEE'S SCOPE OF DUTIES; PROVIDING FOR AUDITOR SELECTION PROCEDURES; PROVIDING FOR THE REPEAL OF PRIOR INCONSISTENT RESOLUTIONS, SEVERABILITY AND AN EFFECTIVE DATE. WHEREAS, section 218.391(2), Florida Statutes, requires that the City Commission establish an Auditor Selection Committee for the primary purpose of assisting the City Commission in selecting an auditor to conduct the annual financial audit required by section 218.39, Florida Statutes; and WHEREAS, section 218.391(3), Florida Statutes, requires the Auditor Selection Committee to establish factors to use for the evaluation of audit services, to publicly announce requests for proposals, to provide interested firms with requests for proposals, to evaluate proposals provided by qualified firms, and to rank and recommend to the City Commission, in order of preference, no fewer than three (3) firms deemed to be the most highly qualified to perform the required services; and WHEREAS, the City Commission deems that this Resolution is in the best interests of the public health, safety, and welfare of the citizens of Winter Springs. NOW, THEREFORE, BE IT DULY RESOLVED BY THE CITY COMMISSION OF THE CITY OF WINTER SPRINGS, SEIMINOLE COUNTY, FLORIDA, THAT: Section 1. Incorporation of Recitals. The foregoing recitals are deemed true and correct and are hereby fully incorporated herein by reference. Section 2. Committee Established. The City Commission hereby establishes an Auditor Selection Committee ("Committee") which shall consist of three (3) members. Committee members shall include either the Mayor or one member of the City Commission and two other qualified persons selected by the City Manager. City employees shall not serve on the Committee. Members of the Committee should possess or obtain basic understanding of governmental financial reporting and auditing. The Mayor or City Commissioner appointed by majority vote of the City Commission shall serve as the chair of the Committee. City of Winter Springs Resolution No. 2026-05 Page 1 of 6 Section 3. Scope of Duties. The Committee shall serve in an advisory capacity to the City Commission in selecting an auditor to conduct the annual financial audit required by section 218.39, Florida Statutes, and shall serve no other purposes. Specifically, the Committee shall establish factors to use for the evaluation of audit services, publicly announce requests for proposals, provide interested firms with requests for proposals, evaluate proposals provided by qualified firms and such other responsibilities expressly provided under Section 218.391, Florida Statutes. The Committee shall rank and recommend to the City Commission, in order of preference, no fewer than three (3) firms deemed to be the most highly qualified to perform the required services. However, if fewer than three firms respond to the request for proposal, the Committee shall recommend such firms as it deems to be the most highly qualified. The Committee shall not have the authority to expend City funds. Committee members shall not receive compensation for their service on the Committee, but may receive reimbursement for expenses incurred in performing their duties, provided such expenses are approved in advance by the City Commission or City Manager. All meetings of the Committee shall be open to the public in accordance with the Sunshine Law. Section 4. Auditor Selection Procedures. The following requirements and procedures shall be followed by the Committee: A. Guidance. The Committee shall be guided by the City Manager and Finance Director and designees who shall serve as the Committee's technical advisors. In addition, to the extent applicable and consistent with this Resolution, the Committee, when performing the responsibilities required hereunder, shall be guided by the Guidance Manual published by the State of Florida Auditor General, a copy of which is attached hereto for reference purposes. B. RequestforProposal (`RFP'). The Committee, with the assistance of its technical advisors, shall prepare a Request for Proposal, which shall be guided by the GFOA Handbook including the list of 24 information elements that should be considered in designing an RFP for audit services. (See Page 8 of the Florida Auditor General Manual). At such time the RFP is approved by the Committee, the Committee shall then publicly announce, in a uniform and consistent manner, each occasion when independent auditing services are required to be purchased by the City. The public notice shall be published in a newspaper of general circulation in Seminole County, public procurement sites and such other places approved by the City Manager or his designee to solicit a sufficient number of qualified audit firms. The notice shall include a general description of the audit services required and indicate how interested firms can apply for consideration. The Committee shall provide RFP's to firms that have expressed an interest in providing audit services to the City including providing information on how proposals are to be evaluated and such other information the Committee determines is necessary for the firm to prepare a proposal. City of Winter Springs Resolution No. 2026-05 Page 2 of 6 C. Factors. The Committee shall establish factors to use for the evaluation of audit services to be provided by a certified public accounting firm duly licensed under Chapter 473, Florida Statutes and qualified to conduct audits in accordance with government auditing standards as adopted by the Florida Board of Accountancy. Such factors shall include, but not be limited to, ability of personnel, experience, ability to furnish the required services, and such other factors as may be determined by the Committee to be applicable to its particular requirements. D. Proposal Evaluation. 1. Proposals will initially be reviewed by City staff for compliance with bid proposal requirements. Staff will prepare a checklist to reflect proposal compliance with the elements of the RFP. Staff will submit all proposals and the compliance checklist to the Committee, and will provide information as to which proposals it deems responsive and non -responsive. 2. The Committee shall evaluate proposals submitted by qualified firms. If compensation is one of the factors established by the Committee, compensation shall not be the sole or predominant factor used to evaluate the proposals. When establishing the factors, the Committee is encouraged to consider the following requirements and criteria: a. The audit firm shall not otherwise be currently affiliated with the City. Past services to the City shall not be considered an affiliation. b. The audit firm shall be duly licensed to practice in the State of Florida pursuant to chapter 473, Florida Statutes. C. The audit firm's professional personnel shall be current in all continuing professional education credits for the two (2) years preceding the proposed contract effective date. d. Any other audits being performed by the audit firm shall not create a conflict of interest with respect to the firm's audit of the City. e. The audit firm shall have a history of performing quality audits as demonstrated by recent external quality control reviews. f. The audit firm shall adhere to the instructions in the RFP in preparing and submitting the proposal. City of Winter Springs Resolution No. 2026-05 Page 3 of 6 g. The audit firm shall demonstrate its past experience and performance with the City, if applicable, and other comparable government engagements. h. The audit firm shall demonstrate the quality and competency of its professional personnel to be assigned to the engagement, and the quality of its management support personnel available for technical consultation. i. The audit firm shall demonstrate its ability to furnish the required services to the City based upon its recent, current and projected workload. j. The audit firm shall demonstrate experience with applicable state and federal grant programs. k. The audit firm shall demonstrate the adequacy of its proposed staffing for various segments of the engagement. 1. The audit firm shall demonstrate the adequacy of its analytical procedures to be used in the engagement. in. The compensation proposed by the audit firm for its audit services. However, if considered, such fees will not be the sole or predominant factor used to evaluate proposals. n. Any other recommendations provided by the Florida Auditor General (See Pages 6 and 7 of the attached Manual). E. Oral Presentations (optional). After evaluation of the written proposals, the Committee at its discretion decide to interview a list of three (3) audit firms which it determines to be the best qualified to perform the requested audit services. Each of those firms shall be invited to make an oral presentation of the firm's qualifications to the Committee. F. Audit Firm Ranking and Recommendation After evaluating the written proposals submitted under the RFP, and conducting any oral presentations required by the Committee under subsection E, the Committee shall rank and recommend in order of preference based on the established evaluation factors no fewer than three firms deemed to be the most highly qualified to perform the required services after considering the factors established pursuant to this Resolution. If fewer than three firms respond to the RFP, the Committee shall recommend such firms as it deems to be the most highly qualified. The Committee City of Winter Springs Resolution No. 2026-05 Page 4 of 6 shall submit, in writing, its rankings and recommendation to the City Commission. G. Final Selection and Contract Approval. The City Commission shall inquire of qualified firms as to the basis of compensation, if further inquiry is necessary beyond the proposed compensation stated in any submittal, select one of the firms recommended by the Committee, and negotiate through the City Manager a written contract using one of the methods set forth in Section 218.391(4), Florida Statutes. If the City Commission is unable to negotiate a satisfactory contract with any of the recommended firms, the Committee shall recommend additional firms, and negotiations shall continue in accordance with this procedure until an agreement for auditing services is reached. H. The procurement of audit services under this Resolution shall be evidenced by a written contract, as approved by the City Commission, embodying all provisions and conditions of the procurement of such services. An engagement letter, signed and executed by both parties, shall constitute a written contract. At a minimum, the contract shall include the following: a. The services to be provided and the fees or other compensation for such services. b. A requirement that invoices for fees or other compensation be submitted in sufficient detail to demonstrate compliance with the terms of the contract. C. The term of the contract, including renewals, and conditions under which the contract may be terminated or renewed. d. The contract entered into pursuant to this Resolution may be renewed without the use of the auditor selection procedures set forth herein; however, such renewals shall be in writing and approved by the City Commission. Section 5. Severability. If any section, subsection, sentence, clause, phrase, word, or portion of this Resolution is for any reason held invalid or unconstitutional by a court of competent jurisdiction, whether for substantive or procedural reasons, such portion shall be deemed a separate, distinct, and independent provision, and such holding shall not affect the validity of the remaining portions of this Resolution. Section 6. Repeal of Prior Inconsistent Resolutions. All prior resolutions or parts of resolutions in conflict herewith are hereby repealed to the extent of the conflict. Section 7. Effective Date. This Resolution shall become effective immediately upon its adoption by the City Commission of Winter Springs, Florida. City of Winter Springs Resolution No. 2026-05 Page 5 of 6 ADOPTED by the City Commission of the City of Winter Springs, Florida, in a Regular Meeting duly assembled on the 91h Day of March 2026. L KEVIN McCANN, Mayor ATTEST: CHRISTIAN GOWAN, City Clerk Approved as to legal form and sufficiency for the City of�Wjinter Springs, Florida only: ANTHONY A. GARGANESE, City Attorney City of Winter Springs Resolution No. 2026-05 Page 6 of 6 of W in ter. `cGot Po���� ✓ a /959 1*0