96-045 RESOLUTION NO. 96-45
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF AVENTURA, FLORIDA, APPOINTING THE FIRM OF
RACHLIN COHEN & HOLTZ TO PERFORM AUDITING
SERVICES; AUTHORIZING THE CITY MANAGER TO
EXECUTE THE ATTACHED ENGAGEMENT LETTER;
AND PROVIDING AN EFFECTIVE DATE.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF AVENTURA, FLORIDA, THAT:
Section 1. The firm of Rachlin Cohen & Holtz be and the same is hereby
appointed to perform independent auditing services for the City of Aventura.
Section 2. The City Manager of the City of Aventura, Florida, is hereby
authorized to execute the Engagement Letter, attached hereto as Exhibit WA", for
auditing services by and between the City and Rachlin Cohen & Holtz, and the City
agrees to the negotiated scope of services and fees.
Section 3. This Resolution shall become effective immediately upon its
adoption.
The foregoing Resolution was offered by Vice Mayor Rogers-Libert, who moved
its adoption. The motion was seconded by Councilmember Berger, and upon being put
to a vote, the vote was as follows:
Councilmember Arthur Berger yes
Councilmember Jay R. Beskin yes
Councilmember Ken Cohen yes
Councilmember Harry Holzberg yes
Councilmember Jeffrey M. Perlow yes
Vice Mayor Patricia Rogers-Libert yes
Mayor Arthur I. Snyder yes
Resolution NogR-z~5
Page 2
PASSED AND ADOPTED this :~6 day of October, 1996.
ARTHUR I SNy-DI~R, rv~AYOR
ATTEST:
TERESA M. SMITH, CMC
CITY CLERK
APPROVED AS TO LEGAL SUFFICIENCY:
CITY ATTORNEY
EMS/tms
CER~FIED PUBHC ACCOUNTANTS & CONSULTANTS G. Jer~ Chiocca, CPA
A Partnership Including Professional Associations Director - Miami
October 15, 1996
RECEIVED
0 C T 1 7 {996
Mr. Eric Soroka, City Manager
City of Aventura c~v
Government Center
2999 N.E. 191'~ Street, Suite 500
Aventura, Florida 33180
Dear Mr. Soroka:
This is our proposed engagement letter reflecting our understanding of the services that are to be
provided to the City of Aventura for the years ending September 30, 1996 and 1997. We will
audit the general purpose financial statements of the City of Aventura for the years ending
September 30, 1996 and 1997.
Our audit will be conducted in accordance with generally accepted auditing standards and
· Government Auditin~ Standards. issued by the Comptroller General of the United States, the
Single Audit Act of 1984, and the provisions of OiVEB Circular A-128, "Audits of State and Local
Governments," and will include such tests of the accounting records and other auditing
procedures as we consider necessary, for the purpose of rendering an unqualified opinion that the
financial statements are fairly presented, in all material respects, in conformity with generally
accepted accounting principles and to report on the City of Aventura's compliance with laws and
regulations and its internal controls as required.
Our procedures will incinde tests of do~'ume,',tary evidence supporting the transactioas recocded
in the accounts, and may include direct confirmation of. receivables and certain other assets and
liabilities by correspondence with selected individuals, creditors and financial institutions. We will
request written representations from your attorney ns part of. the engagement. At the conclusion
of' our audit, we will also request certain written representations from you about the financial
statements and related matters.
An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in
the financial statements; therefore, our audit will involve judgement about the number of
transactions to be examined and the areas to be tested. Also, we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of material
misstatement. However, because of. the concept of. reasonable assurance and because we will not
One Southeast Third Avenue, Tenth Floor, Miami, Florida 33131 * Dade (305) 3?74?-28 * Fax (305) 377-8331
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RCH
Mr. Eric Soroka, City Manager
October 15, 1996
Page 2
perform a detailed examination of all transactions, there is a risk that material errors, irregularities,
or illegal acts, including fraud or defalcations, may exist and not be detected by us. We will advise
the City Council and you, however, of any matters of that nature that come to our attention,
unless they are clearly inconsequential.
We understand that you will provide us with the basic information required for our audit and that
you are responsible for the accuracy and completeness &that information. We will advise the City
Council and you about the appropriate accounting' principles and their application and will assist
in the preparation of your financial statements, but the responsibility for the financial statements
remains with you. This responsibility includes the maintenance of adequate records and related
internal control structure policies and procedures, the selection and application of accounting
principles, and the safeguarding of assets.
We understand that your employees will type all cash and other confirmations we request and will
locate any invoices or supporting documentation selected by us for testing. In addition, we
understand that we are responsible for the preparation and typing of the financial statements and
related notes.
Our audit is not specifically designed and cannot be relied on to disclose reportable conditions,
that is, significant deficiencies in the design or operation of the internal control structure.
However, during the audit, if we become aware of such reportable conditions or ways that we
believe management practices can be improved, we will communicate them to you in a separate
letter.
Our fees for the services we provide will be charged to you in accordance with the various
services rendered and the levels of skill and responsibility required for these services up to a
maximum as set forth below, plus out of pocket costs, if any. These bills are payable upon receipt
by you. We reserve the right to stop work on clients where an amount is past due.
FISCAL YEAR ENDING SEPTEMBER 30:
1996 $5_000
1997 SJJ~Q~Q
Our fee estimate is based on anticipated cooperation from your personnel and the assumption that
unexpected circumstances will not be encountered during the audit. Changes in governmental
accounting standards or increases in the number of funds included in the City's Comprehensive
RCH
Mr. Eric Soroka, City Manager
October 15, 1996
Page 3
Annual Financial Report may necessitate additional fees. Should services other than those
covered by the RFP and this letter be required or requested, the extent of such services and the
basis for additional fees will be discussed in advance of the performance of the work. The fees we
propose will be at our standard hourly rates at the time of the work and will be agreed to prior to
the commencement of the engagement.
The second year of this engagement is renewable at the sole discretion of the City. The City has
the option to extend the agreement on a yearly basis at terms to be mutually agreeable to both
parties.
We thank you for the opportunity to present this proposal and are looking forward to your
engaging us as your independent certified public accountants.
If this letter contains a correct understanding of our arrangements, please indicate your
acceptance by signing, dating and returning an enclosed copy to us.
Sincerely,
G. J~e~ Chio~
Enclosure
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