HomeMy WebLinkAbout4.8 Agreement with Badawi & Associates for Financial Auditing Servicesr
DUBLIN
CALIFORNIA
STAFF REPORT
CITY COUNCIL
DATE: March 21, 2023
TO: Honorable Mayor and City Councilmembers
FROM: Linda Smith, City Manager
Agenda Item 4.8
SU B.ECT : Agreement with Badawi & Associates for Financial Auditing Services
Prepared by: Wendy Lam, Senior Accountant
EXECUTIVE SUMMARY:
The City Council will consider approving an agreement with Badawi & Associates for annual
financial auditing services.
STAFF RECOMMENDATION:
Adopt the Resolution Approving a Consulting Services Agreement with Badawi & Associates for
Financial Auditing Services.
FINANCIAL IMPACT:
The total cost for five years will not exceed $284,870, which includes a base amount of $264,870
and $20,000 in contingency funds for potential special program audits. The first year's contract
cost is included in Fiscal Year 2022-23 Adopted Budget, while future costs will be included in each
respective annual budget.
DESCRIPTION:
The City's current auditor, Badawi & Associates, located in Berkeley, has provided audit services
to the City of Dublin for the past five years. The City has been well -served by Badawi's team of
professionals and has produced complete, accurate, award -winning annual financial reports.
However, best practices established for public agency finance recommend that agencies
periodically review the provision of these professional services.
A Request for Proposal (RFP) for professional auditing services was issued on November 1, 2022.
The RFP was published on the City website and the California Society of Municipal Finance
Officers website. The City received proposals from the following four qualified firms:
• Badawi & Associates
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• Lance, Soll & Lunghard, LLP
• Maze & Associates
• Vasquez & Company LLP
The proposals were reviewed by an Evaluation Committee comprising City Staff. The evaluation
and selection of the audit firm was based on the following criteria:
• Responsiveness of the proposal in clearly stating and understanding of the work to be
performed
• Technical experience of the firm
• Qualification of the audit team
• Size and structure of the firm
• Quality and completeness of the proposal
• Proposed hours and costs
Based on the evaluation process, Staff recommends continuing to contract with Badawi &
Associates. To provide for a fresh review of the City's finances, the partner who oversaw and
managed the City's past five-year contract will be rotated to another assignment and an alternate
partner will be assigned to the City's new contract.
As part of the audit engagement, the following scope of services will be provided by Badawi &
Associates on an annual basis:
• Annual Comprehensive Financial Report (ACFR)
• Single Audit Report (if the City has expenditures from Federal resources that exceed
$750,000)
• Special Purpose Audits (Required by Alameda County Transportation Commission)
• Appropriation (Gann) Limit Report
• State Controller's Cities Financial Transactions Report
• Dublin Financing Authority's State Controller's Report
• State Controller's Annual Street Report
• Other Auditor Reports ("Management Letter" that includes recommendations for
improvements in internal control and accounting procedures)
Badawi & Associates has presented a total not -to -exceed cost proposal which begins at $49,930 in
the first year and would reach $56,095 in the fifth year. The following table displays the
components of the fees proposed. In the case of Single Audit, if the City does not meet the
expenditure threshold requirement, the cost would not be incurred. All other work is expected to
occur on an annual basis.
Annual Audit Work Cost
Service FY2023 FY2024 FY2025 FY2026 FY2027
City Audit and related reports (ACFR) $31,220 $32,275 $33,055 $33,980 $34,945
Single Audit (if required) 3,100 3,200 3,295 3,400 3,380
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Special Purposes Audit Related Reports 10,020 10,170 10,500 10,755 11,145
(Measure B, Measure BB, and VRF)
GANN Limit Agreed -upon Procedures 600 640 670 705 745
State Controller's Report 2,070 2,015 2,130 2,160 2,165
Dublin Financing Authority's State 1,630 1,735 1,835 1,940 2,060
Controller's Report
State Controller's Street Report 1,290 1,375 1,460 1,550 1,655
Total $49,930 $51,410 $52,945 $54,490 $56,095
STRATEGIC PLAN INITIATIVE:
None.
NOTICING REQUIREMENTS/PUBLIC OUTREACH:
The City Council Agenda was posted.
ATTACHMENTS:
1) Resolution Approving a Consulting Services Agreement with Badawi & Associates for Financial
Auditing Services
2) Exhibit A to the Resolution - Consulting Services Agreement Between the City of Dublin and
Badawi & Associates
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Attachment I
RESOLUTION NO. XX — 23
A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF DUBLIN
APPROVING A CONSULTING SERVICES AGREEMENT
WITH BADAWI & ASSOCIATES FOR FINANCIAL AUDITING SERVICES
WHEREAS, the City desires to annually have an independent audit of its financial reports;
and
WHEREAS, best practices in municipal finance recommend that periodically agencies
should evaluate options available for the provision of audit service; and
WHEREAS, the City issued a Request for Proposals and received four responses; and
WHEREAS, a committee comprising City staff reviewed the proposals and
recommended awarding the contract to Badawi & Associates, the City's most recent audit
firm; and
WHEREAS, Badawi & Associates provided a not -to -exceed fee proposal of $264,870
to complete City audits and specified financial reporting for a five-year period (one three-
year agreement with two one-year extensions); and
WHEREAS, City Staff recommends an additional $20,000 in contingency for
additional audit programs not listed in the scope of services.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Dublin
does hereby authorize the City Manager to execute the agreement with Badawi &
Associates and up to two one-year extensions to this agreement (attached hereto as
Exhibit A), in a contract amount not to exceed $284,870 for a five-year period, which will
be paid in annual increments described in Exhibit A.
{Signatures on the following page}
Reso. No. XX-23, Item X.X, Adopted XX/XX/2023 Page 1 of 2
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PASSED, APPROVED AND ADOPTED this 21 st day of March 2023, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
Mayor
ATTEST:
City Clerk
Reso. No. XX-23, Item X.X, Adopted XX/XX/2023 Page 2 of 2
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Attachment 2
CONSULTING SERVICES AGREEMENT BETWEEN
THE CITY OF DUBLIN AND
BADAWI & ASSOCIATES
FOR AUDIT SERVICES
THIS AGREEMENT for audit consulting services is made by and between the City of Dublin ("City")
and Badawi & Associates ("Consultant") (together sometimes referred to as the "Parties") as of March 21,
2023 (the "Effective Date").
Section 1. SERVICES. Subject to the terms and conditions set forth in this Agreement, Consultant
shall provide to City the services described in the Scope of Work attached as Exhibit A at the time and
place and in the manner specified therein. In the event of a conflict in or inconsistency between the terms
of this Agreement and Exhibit A, the Agreement shall prevail.
1.1
Term of Services. The term of this Agreement shall begin on the Effective Date and shall
end on January 31, 2026, and Consultant shall complete the work described in Exhibit A
on or before that date, unless the term of the Agreement is otherwise terminated or
extended, as provided for in Section 8. The time provided to Consultant to complete the
services required by this Agreement shall not affect the City's right to terminate the
Agreement, as referenced in Section 8. Notwithstanding the foregoing this Agreement may
be extended for 2 one-year extensions upon the written consent of the Consultant and the
City Manager, provided that: a) sufficient funds have been appropriated for such purchase,
b) the price charged by the Consultant for the provision of the serves described in Exhibit
A does not increase. None of the foregoing shall affect the City's right to terminate the
Agreement as provided for in Section 8.
1.2 Standard of Performance. Consultant shall perform all services required pursuant to this
Agreement in the manner and according to the standards observed by a competent
practitioner of the profession in which Consultant is engaged.
1.3 Assignment of Personnel. Consultant shall assign only competent personnel to perform
services pursuant to this Agreement. In the event that City, in its sole discretion, at any
time during the term of this Agreement, desires the reassignment of any such persons,
Consultant shall, immediately upon receiving notice from City of such desire of City,
reassign such person or persons.
1.4 Time. Consultant shall devote such time to the performance of services pursuant to this
Agreement as may be reasonably necessary to meet the standard of performance
provided in Subsection 1.2 above and to satisfy Consultant's obligations hereunder.
1.5 Jlntentionally Deleted].
1.6 Jlntentionally Deleted].
Consulting Services Agreement between City of Dublin and
Badawi & Associates for Audit Services
March 21, 2023
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Section 2. COMPENSATION. City hereby agrees to pay Consultant as per the compensation
schedule in Exhibit B, notwithstanding any contrary indications that may be contained in Consultant's
proposal, for services to be performed and reimbursable costs incurred under this Agreement.
Notwithstanding the foregoing, an additional $20,000 in contingency is available for additional audit
programs not listed in Exhibit B, but only with the City Manager's prior approval, for a total not to exceed
amount of $284,870. In the event of a conflict between this Agreement and Consultant's proposal,
attached as Exhibit D, regarding the amount of compensation, the Agreement shall prevail. City shall pay
Consultant for services rendered pursuant to this Agreement at the time and in the manner set forth herein.
The payments specified below shall be the only payments from City to Consultant for services rendered
pursuant to this Agreement. Consultant shall submit all invoices to City in the manner specified herein.
Except as specifically authorized by City in writing, Consultant shall not bill City for duplicate services
performed by more than one person.
Consultant and City acknowledge and agree that compensation paid by City to Consultant under this
Agreement is based upon Consultant's estimated costs of providing the services required hereunder,
including salaries and benefits of employees and subcontractors of Consultant. Consequently, the Parties
further agree that compensation hereunder is intended to include the costs of contributions to any pensions
and/or annuities to which Consultant and its employees, agents, and subcontractors may be eligible. City
therefore has no responsibility for such contributions beyond compensation required under this Agreement.
2.1 Invoices. Consultant shall submit invoices, not more often than once a month during the
term of this Agreement, based on the cost for services performed and reimbursable costs
incurred prior to the invoice date. No individual performing work under this Agreement shall
bill more than 2,000 hours in a fiscal year unless approved, in writing, by the City Manager
or his/her designee. Invoices shall contain the following information:
■ The beginning and ending dates of the billing period;
■ A Task Summary containing the original contract amount, the amount of prior billings,
the total due this period, the balance available under the Agreement, and the
percentage of completion;
■ A copy of the applicable time entries or time sheets shall be submitted showing the
following:
o Daily logs of total hours worked by each individual performing work under
this Agreement
o Hours must be logged in increments of tenths of an hour or quarter hour
o If this Agreement covers multiple projects, all hours must also be logged
by project assignment
o A brief description of the work, and each reimbursable expense
■ The total number of hours of work performed under the Agreement by Consultant and
each employee, agent, and subcontractor of Consultant performing services
hereunder;
■ The Consultant's signature;
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Badawi & Associates for Audit Services
March 21, 2023
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■ Consultant shall give separate notice to the City when the total number of hours
worked by Consultant and any individual employee, agent, or subcontractor of
Consultant reaches or exceeds 800 hours within a 12-month period under this
Agreement and any other agreement between Consultant and City. Such notice shall
include an estimate of the time necessary to complete work described in Exhibit A and
the estimate of time necessary to complete work under any other agreement between
Consultant and City, if applicable.
2.2 Monthly Payment. City shall make monthly payments, based on invoices received, for
services satisfactorily performed, and for authorized reimbursable costs incurred. City
shall have 30 days from the receipt of an invoice that complies with all of the requirements
above to pay Consultant.
2.3 'Intentionally Deletedl.
2.4 Total Payment. City shall pay for the services to be rendered by Consultant pursuant to
this Agreement. City shall not pay any additional sum for any expense or cost whatsoever
incurred by Consultant in rendering services pursuant to this Agreement. City shall make
no payment for any extra, further, or additional service pursuant to this Agreement.
In no event shall Consultant submit any invoice for an amount in excess of the maximum
amount of compensation provided above either for a task or for the entire Agreement,
unless the Agreement is modified prior to the submission of such an invoice by a properly
executed change order or amendment.
2.5 Jlntentionally Deletedl.
2.6 'Intentionally Deletedl.
2.7 Payment of Taxes. Consultant is solely responsible for the payment of employment taxes
incurred under this Agreement and any similar federal or state taxes.
2.8 Payment upon Termination. In the event that the City or Consultant terminates this
Agreement pursuant to Section 8, the City shall compensate the Consultant for all
outstanding costs and reimbursable expenses incurred for work satisfactorily completed as
of the date of written notice of termination. Consultant shall maintain adequate logs and
timesheets to verify costs incurred to that date.
2.9 Authorization to Perform Services. The Consultant is not authorized to perform any
services or incur any costs whatsoever under the terms of this Agreement until receipt of
authorization from the Contract Administrator.
Section 3. FACILITIES AND EQUIPMENT. Except as set forth herein, Consultant shall, at its sole
cost and expense, provide all facilities and equipment that may be necessary to perform the services
Consulting Services Agreement between City of Dublin and
Badawi & Associates for Audit Services
March 21, 2023
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required by this Agreement. City shall make available to Consultant only the facilities and equipment listed
in this section, and only under the terms and conditions set forth herein.
City shall furnish physical facilities such as desks, filing cabinets, and conference space, as may be
reasonably necessary for Consultant's use while consulting with City employees and reviewing records and
the information in possession of the City. The location, quantity, and time of furnishing those facilities shall
be in the sole discretion of City. In no event shall City be obligated to furnish any facility that may involve
incurring any direct expense, including but not limited to computer, long-distance telephone or other
communication charges, vehicles, and reproduction facilities.
Section 4. INSURANCE REQUIREMENTS. Before fully executing this Agreement, Consultant, at its
own cost and expense, unless otherwise specified below, shall procure the types and amounts of insurance
listed below against claims for injuries to persons or damages to property that may arise from or in
connection with the performance of the work hereunder by the Consultant and its agents, representatives,
employees, and subcontractors. Consistent with the following provisions, Consultant shall provide proof
satisfactory to City of such insurance that meets the requirements of this section and under forms of
insurance satisfactory in all respects, and that such insurance is in effect prior to beginning work.
Consultant shall maintain the insurance policies required by this section throughout the term of this
Agreement. The cost of such insurance shall be included in the Consultant's bid or proposal. Consultant
shall not allow any subcontractor to commence work on any subcontract until Consultant has obtained all
insurance required herein for the subcontractor(s) and provided evidence to City that such insurance is in
effect. VERIFICATION OF THE REQUIRED INSURANCE SHALL BE SUBMITTED AND MADE PART OF
THIS AGREEMENT PRIOR TO EXECUTION. Consultant shall maintain all required insurance listed
herein for the duration of this Agreement.
4.1 Workers' Compensation.
4.1.1 General Requirements. Consultant shall, at its sole cost and expense, maintain
Statutory Workers' Compensation Insurance and Employer's Liability Insurance for
any and all persons employed directly or indirectly by Consultant. The Statutory
Workers' Compensation Insurance and Employer's Liability Insurance shall be
provided with limits of not less than $1,000,000 per accident. In the alternative,
Consultant may rely on a self-insurance program to meet these requirements, but
only if the program of self-insurance complies fully with the provisions of the
California Labor Code. Determination of whether a self-insurance program meets
the standards of the California Labor Code shall be solely in the discretion of the
Contract Administrator.
The Workers' Compensation policy shall be endorsed with a waiver of subrogation
in favor of the entity for all work performed by the Consultant, its employees,
agents, and subcontractors.
4.1.2 Submittal Requirements. To comply with Subsection 4.1, Consultant shall
submit the following:
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Badawi & Associates for Audit Services
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a. Certificate of Liability Insurance in the amounts specified in the section;
and
b. Waiver of Subrogation Endorsement as required by the section.
4.2 Commercial General and Automobile Liability Insurance.
4.2.1 General Requirements. Consultant, at its own cost and expense, shall maintain
commercial general liability insurance for the term of this Agreement in an amount
not less than $1,000,000 and automobile liability insurance for the term of this
Agreement in an amount not less than $1,000,000 per occurrence, combined
single limit coverage for risks associated with the work contemplated by this
Agreement. If a Commercial General Liability Insurance or an Automobile Liability
form or other form with a general aggregate limit is used, either the general
aggregate limit shall apply separately to the work to be performed under this
Agreement or the general aggregate limit shall be at least twice the required
occurrence limit. Such coverage shall include but shall not be limited to, protection
against claims arising from bodily and personal injury, including death resulting
therefrom, and damage to property resulting from activities contemplated under
this Agreement, including without limitation, blanket contractual liability and the
use of owned and non -owned automobiles.
4.2.2 Minimum Scope of Coverage. Commercial general coverage shall be at least as
broad as Insurance Services Office Commercial General Liability occurrence form
CG 0001 (most recent edition) covering comprehensive General Liability on an
"occurrence" basis. Automobile coverage shall be at least as broad as Insurance
Services Office Automobile Liability form CA 0001, Code 1 (any auto). No
endorsement shall be attached limiting the coverage.
4.2.3 Additional Requirements. Each of the following shall be included in the
insurance coverage or added as a certified endorsement to the policy:
a. The Insurance shall cover on an occurrence or an accident basis, and not
on a claims -made basis.
b. City, its officers, officials, employees, and volunteers are to be covered as
additional insureds as respects: liability arising out of work or operations
performed by or on behalf of the Consultant; or automobiles owned,
leased, hired, or borrowed by the Consultant.
c. Consultant hereby agrees to waive subrogation which any insurer or
contractor may require from vendor by virtue of the payment of any loss.
Consultant agrees to obtain any endorsements that may be necessary to
effect this waiver of subrogation.
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Badawi & Associates for Audit Services
March 21, 2023
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d. For any claims related to this Agreement or the work hereunder, the
Consultant's insurance coverage shall be primary insurance as respects
the City, its officers, officials, employees, and volunteers. Any insurance
or self-insurance maintained by the City, its officers, officials, employees,
or volunteers shall be excess of the Consultant's insurance and shall not
contribute with it.
4.2.4 Submittal Requirements. To comply with Subsection 4.2, Consultant shall
submit the following:
a. Certificate of Liability Insurance in the amounts specified in the section;
b. Additional Insured Endorsement as required by the section;
c. Waiver of Subrogation Endorsement as required by the section; and
d. Primary Insurance Endorsement as required by the section.
4.3 Professional Liability Insurance.
4.3.1 General Requirements. Consultant, at its own cost and expense, shall maintain
for the period covered by this Agreement professional liability insurance for
licensed professionals performing work pursuant to this Agreement in an amount
not less than $2,000,000 covering the licensed professionals' errors and
omissions. Any deductible or self -insured retention shall not exceed $150,000 per
claim.
4.3.2 Claims -Made Limitations. The following provisions shall apply if the professional
liability coverage is written on a claims -made form:
a. The retroactive date of the policy must be shown and must be before the
date of the Agreement.
b. Insurance must be maintained and evidence of insurance must be
provided for at least 3 years after completion of the Agreement or the
work, so long as commercially available at reasonable rates.
c. If coverage is canceled or not renewed and it is not replaced with another
claims -made policy form with a retroactive date that precedes the date of
this Agreement, Consultant shall purchase an extended period coverage
for a minimum of 3 years after completion of work under this Agreement.
d. A copy of the claim reporting requirements must be submitted to the City
for review prior to the commencement of any work under this Agreement.
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Badawi & Associates for Audit Services
March 21, 2023
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4.3.3 Submittal Requirements. To comply with Subsection 4.3, Consultant shall
submit the Certificate of Liability Insurance in the amounts specified in the section.
4.4 All Policies Requirements.
4.4.1 Acceptability of Insurers. All insurance required by this section is to be placed
with insurers with a Bests' rating of no less than A:VII.
4.4.2 Verification of Coverage. Prior to beginning any work under this Agreement,
Consultant shall furnish City with complete copies of all Certificates of Liability
Insurance delivered to Consultant by the insurer, including complete copies of all
endorsements attached to the policies. All copies of Certificates of Liability
Insurance and certified endorsements shall show the signature of a person
authorized by that insurer to bind coverage on its behalf. If the City does not
receive the required insurance documents prior to the Consultant beginning work,
it shall not waive the Consultant's obligation to provide them. The City reserves
the right to require complete copies of all required insurance policies at any time.
4.4.3 Deductibles and Self -Insured Retentions. Consultant shall disclose to and
obtain the written approval of City for the self -insured retentions and deductibles
before beginning any of the services or work called for by any term of this
Agreement. At the option of the City, either: the insurer shall reduce or eliminate
such deductibles or self -insured retentions as respects the City, its officers,
employees, and volunteers; or the Consultant shall provide a financial guarantee
satisfactory to the City guaranteeing payment of losses and related investigations,
claim administration and defense expenses.
4.4.4 Wasting Policies. No policy required by this Section 4 shall include a "wasting"
policy limit (i.e. limit that is eroded by the cost of defense).
4.4.5 Endorsement Requirements. Each insurance policy required by Section 4 shall
be endorsed to state that coverage shall not be canceled by either party, except
after 30 days' prior written notice has been provided to the City.
4.4.6 Subcontractors. Consultant shall include all subcontractors as insureds under its
policies or shall furnish separate certificates and certified endorsements for each
subcontractor. All coverages for subcontractors shall be subject to all of the
requirements stated herein.
4.5 Remedies. In addition to any other remedies City may have if Consultant fails to provide
or maintain any insurance policies or policy endorsements to the extent and within the time
herein required, City may, at its sole option exercise any of the following remedies, which
are alternatives to other remedies City may have and are not the exclusive remedy for
Consultant's breach:
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■ Obtain such insurance and deduct and retain the amount of the premiums for such
insurance from any sums due under the Agreement;
■ Order Consultant to stop work under this Agreement or withhold any payment that
becomes due to Consultant hereunder, or both stop work and withhold any payment,
until Consultant demonstrates compliance with the requirements hereof; and/or
■ Terminate this Agreement.
Section 5. INDEMNIFICATION AND CONSULTANT'S RESPONSIBILITIES. Refer to the attached
Exhibit C, which is incorporated herein and made a part of this Agreement.
Section 6. STATUS OF CONSULTANT.
6.1 Independent Contractor. At all times during the term of this Agreement, Consultant shall
be an independent contractor and shall not be an employee of City. This Agreement shall
not be construed as an agreement for employment. City shall have the right to control
Consultant only insofar as the results of Consultant's services rendered pursuant to this
Agreement and assignment of personnel pursuant to Subsection 1.3; however, otherwise
City shall not have the right to control the means by which Consultant accomplishes
services rendered pursuant to this Agreement. Consultant further acknowledges that
Consultant performs Services outside the usual course of the City's business; and is
customarily engaged in an independently established trade, occupation, or business of the
same nature as the Consultant performs for the City and has the option to perform such
work for other entities. Notwithstanding any other City, state, or federal policy, rule,
regulation, law, or ordinance to the contrary, Consultant and any of its employees, agents,
and subcontractors providing services under this Agreement shall not qualify for or
become entitled to, and hereby agree to waive any and all claims to, any compensation,
benefit, or any incident of employment by City, including but not limited to eligibility to
enroll in the California Public Employees Retirement System (PERS) as an employee of
City and entitlement to any contribution to be paid by City for employer contributions and/or
employee contributions for PERS benefits.
6.2 Consultant Not an Agent. Except as City may specify in writing, Consultant shall have no
authority, express or implied, to act on behalf of City in any capacity whatsoever as an
agent. Consultant shall have no authority, express or implied, pursuant to this Agreement
to bind City to any obligation whatsoever.
Section 7. LEGAL REQUIREMENTS.
7.1 Governing Law. The laws of the State of California shall govern this Agreement.
7.2 Compliance with Applicable Laws. Consultant and any subcontractors shall comply with
all laws and regulations applicable to the performance of the work hereunder, including but
not limited to, the California Building Code, the Americans with Disabilities Act, and any
copyright, patent or trademark law. Consultant's failure to comply with any law(s) or
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regulation(s) applicable to the performance of the work hereunder shall constitute a breach
of contract.
7.3 Other Governmental Regulations. To the extent that this Agreement may be funded by
fiscal assistance from another governmental entity, Consultant and any subcontractors
shall comply with all applicable rules and regulations to which City is bound by the terms of
such fiscal assistance program.
7.4 Licenses and Permits. Consultant represents and warrants to City that Consultant and
its employees, agents, and any subcontractors have all licenses, permits, qualifications,
and approvals of whatsoever nature that are legally required to practice their respective
professions. Consultant represents and warrants to City that Consultant and its
employees, agents, any subcontractors shall, at their sole cost and expense, keep in effect
at all times during the term of this Agreement any licenses, permits, and approvals that are
legally required to practice their respective professions. In addition to the foregoing,
Consultant and any subcontractors shall obtain and maintain during the term of this
Agreement valid Business Licenses from City.
7.5 Nondiscrimination and Equal Opportunity. Consultant shall not discriminate, on the
basis of a person's race, sex, gender, religion (including religious dress and grooming
practices), national origin, ancestry, physical or mental disability, medical condition
(including cancer and genetic characteristics), marital status, age, sexual orientation, color,
creed, pregnancy, genetic information, gender identity or expression, political affiliation or
belief, military/veteran status, or any other classification protected by applicable local,
state, or federal laws (each a "Protected Characteristic"), against any employee, applicant
for employment, subcontractor, bidder for a subcontract, or participant in, recipient of, or
applicant for any services or programs provided by Consultant under this Agreement.
Consultant shall include the provisions of this Subsection in any subcontract approved by
the Contract Administrator or this Agreement.
Section 8. TERMINATION AND MODIFICATION.
8.1 Termination. City may cancel this Agreement at any time and without cause upon written
notification to Consultant.
Consultant may cancel this Agreement upon 30 days' written notice to City and shall
include in such notice the reasons for cancellation.
In the event of termination, Consultant shall be entitled to compensation for services
performed to the effective date of termination; City, however, may condition payment of
such compensation upon Consultant delivering to City any or all documents, photographs,
computer software, video and audio tapes, and other materials provided to Consultant or
prepared by or for Consultant or the City in connection with this Agreement.
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8.2 Extension. City may, in its sole and exclusive discretion, extend the end date of this
Agreement beyond that provided for in Subsection 1.1. Any such extension shall require a
written amendment to this Agreement, as provided for herein. Consultant understands and
agrees that, if City grants such an extension, City shall have no obligation to provide
Consultant with compensation beyond the maximum amount provided for in this
Agreement. Similarly, unless authorized by the Contract Administrator, City shall have no
obligation to reimburse Consultant for any otherwise reimbursable expenses incurred
during the extension period.
8.3 Amendments. The Parties may amend this Agreement only by a writing signed by all the
Parties.
8.4 Assignment and Subcontracting. City and Consultant recognize and agree that this
Agreement contemplates personal performance by Consultant and is based upon a
determination of Consultant's unique personal competence, experience, and specialized
personal knowledge. Moreover, a substantial inducement to City for entering into this
Agreement was and is the professional reputation and competence of Consultant.
Consultant may not assign this Agreement or any interest therein without the prior written
approval of the Contract Administrator. Consultant shall not subcontract any portion of the
performance contemplated and provided for herein, other than to the subcontractors noted
in the proposal, without prior written approval of the Contract Administrator.
8.5 Survival. All obligations arising prior to the termination of this Agreement and all
provisions of this Agreement allocating liability between City and Consultant shall survive
the termination of this Agreement.
8.6 Options upon Breach by Consultant. If Consultant materially breaches any of the terms
of this Agreement, City's remedies shall include, but are not limited to, the following:
8.6.1 Immediately terminate the Agreement;
8.6.2 Retain the plans, specifications, drawings, reports, design documents, and any
other work product prepared by Consultant pursuant to this Agreement;
8.6.3 Retain a different consultant to complete the work described in Exhibit A not
finished by Consultant; or
8.6.4 Charge Consultant the difference between the cost to complete the work
described in Exhibit A that is unfinished at the time of breach and the amount that
City would have paid Consultant pursuant to Section 2 if Consultant had
completed the work.
Section 9. KEEPING AND STATUS OF RECORDS.
9.1 Records Created as Part of Consultant's Performance. Unless such property is
proprietary nature, all reports, data, maps, models, charts, studies, surveys, photographs,
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records, files, or any other documents or materials, in electronic or any other form, that
Consultant prepares or obtains pursuant to this Agreement and that relate to the matters
covered hereunder shall be the property of the City. Consultant hereby agrees to deliver
those documents to the City upon termination of the Agreement. It is understood and
agreed that the documents and other materials, including but not limited to those described
above, prepared pursuant to this Agreement are prepared specifically for the City and are
not necessarily suitable for any future or other use. City and Consultant agree that, until
final approval by City, all data, plans, specifications, reports and other documents are
confidential and will not be released to third parties without prior written consent of both
Parties.
9.2 Consultant's Books and Records. Consultant shall maintain any and all ledgers, books
of account, invoices, vouchers, canceled checks, and other records or documents
evidencing or relating to charges for services or expenditures and disbursements charged
to the City under this Agreement for a minimum of 3 years, or for any longer period
required by law, from the date of final payment to the Consultant to this Agreement.
9.3 Inspection and Audit of Records. Any records or documents that Subsection 9.2 of this
Agreement requires Consultant to maintain shall be made available for inspection, audit,
and/or copying at any time during regular business hours, upon oral or written request of
the City. Under California Government Code Section 8546.7, if the amount of public funds
expended under this Agreement exceeds $10,000.00, the Agreement shall be subject to
the examination and audit of the State Auditor, at the request of City or as part of any audit
of the City, for a period of 3 years after final payment under the Agreement.
Section 10. MISCELLANEOUS PROVISIONS.
10.1 Attorneys' Fees. If a party to this Agreement brings any action, including an action for
declaratory relief, to enforce or interpret the provision of this Agreement, the prevailing
party shall be entitled to reasonable attorneys' fees in addition to any other relief to which
that party may be entitled. The court may set such fees in the same action or in a
separate action brought for that purpose.
10.2 Venue. In the event that either party brings any action against the other under this
Agreement, the Parties agree that trial of such action shall be vested exclusively in the
state courts of California in the County of Alameda or in the United States District Court for
the Northern District of California.
10.3 Severabilitv. If a court of competent jurisdiction finds or rules that any provision of this
Agreement is invalid, void, or unenforceable, the provisions of this Agreement not so
adjudged shall remain in full force and effect. The invalidity in whole or in part of any
provision of this Agreement shall not void or affect the validity of any other provision of this
Agreement.
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10.4 No Implied Waiver of Breach. The waiver of any breach of a specific provision of this
Agreement does not constitute a waiver of any other breach of that term or any other term
of this Agreement.
10.5 Successors and Assigns. The provisions of this Agreement shall inure to the benefit of
and shall apply to and bind the successors and assigns of the Parties.
10.6 Use of Recycled Products. Consultant shall prepare and submit all reports, written
studies and other printed material on recycled paper to the extent it is available at equal or
less cost than virgin paper.
10.7 Conflict of Interest. Consultant may serve other clients, but none whose activities within
the corporate limits of City or whose business, regardless of location, would place
Consultant in a "conflict of interest," as that term is defined in the Political Reform Act,
codified at California Government Code Section 81000 et seq.
Consultant shall not employ any City official in the work performed pursuant to this
Agreement. No officer or employee of City shall have any financial interest in this
Agreement that would violate California Government Code Section 1090 et seq.
Consultant hereby warrants that it is not now, nor has it been in the previous 12 months,
an employee, agent, appointee, or official of the City. If Consultant was an employee,
agent, appointee, or official of the City in the previous 12 months, Consultant warrants that
it did not participate in any manner in the forming of this Agreement. Consultant
understands that, if this Agreement is made in violation of California Government Code
Section 1090 et seq., the entire Agreement is void and Consultant will not be entitled to
any compensation for services performed pursuant to this Agreement, including
reimbursement of expenses, and Consultant will be required to reimburse the City for any
sums paid to the Consultant. Consultant understands that, in addition to the foregoing, it
may be subject to criminal prosecution for a violation of California Government Code
Section 1090 et seq., and, if applicable, will be disqualified from holding public office in the
State of California.
At City's sole discretion, Consultant may be required to file with the City a Form 700 to
identify and document Consultant's economic interests, as defined and regulated by the
California Fair Political Practices Commission. If Consultant is required to file a Form 700,
Consultant is hereby advised to contact the Dublin City Clerk for the Form 700 and
directions on how to prepare it.
10.8 Solicitation. Consultant agrees not to solicit business at any meeting, focus group, or
interview related to this Agreement, either orally or through any written materials.
10.9 Contract Administration. This Agreement shall be administered by the City Manager
("Contract Administrator"). All correspondence shall be directed to or through the Contract
Administrator or his or her designee.
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10.10 Notices. Any written notice to Consultant shall be sent to:
Badawi & Associates
Attn: Ahmed Badawi
2855 Telegraph Avenue, Suite 312
Berkeley, CA 94705
Phone: (510) 768-8244
Fax: (510) 768-8249
Email: abadawi@b-acpa.com
Any written notice to City shall be sent to:
City of Dublin
Attn: Administrative Services Director
100 Civic Plaza
Dublin, CA 94568
10.11 Integration. This Agreement, including the scope of work attached hereto and
incorporated herein as Exhibits A, B, C, and D represents the entire and integrated
agreement between City and Consultant and supersedes all prior negotiations,
representations, or agreements, either written or oral.
Exhibit A Scope of Services
Exhibit B Compensation Schedule & Reimbursable Expenses
Exhibit C Indemnification
Exhibit D Proposal
10.12 Counterparts and Electronic Signatures. This Agreement may be executed in multiple
counterparts, each of which shall be an original and all of which together shall constitute
one agreement. Counterparts delivered and/or signatures executed by City -approved
electronic or digital means shall have the same force and effect as the use of a manual
signature. Both Parties desire this Agreement to be electronically signed in accordance
with applicable federal and California law. Either Party may revoke its agreement to use
electronic signatures at any time by giving notice to the other Party.
10.13 Certification per Iran Contracting Act of 2010. In the event that this contract is for
one million dollars ($1,000,000.00) or more, by Consultant's signature below Consultant
certifies that Consultant, and any parent entities, subsidiaries, successors or subunits of
Consultant are not identified on a list created pursuant to subdivision (b) of Section 2203 of
the California Public Contract Code as a person engaging in investment activities in Iran as
described in subdivision (a) of Section 2202.5, or as a person described in subdivision (b)
of Section 2202.5 of the California Public Contract Code, as applicable.
SIGNATURES ON FOLLOWING PAGE
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March 21, 2023
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The Parties have executed this Agreement as of the Effective Date. The persons whose signatures appear
below certify that they are authorized to sign on behalf of the respective Party.
CITY OF DUBLIN BADAWI & ASSOCIATES
Linda Smith, City Manager
Attest:
Marsha Moore, City Clerk
Approved as to Form:
City Attorney
3070368.1
DocuSigned by:
r
tumt i, j 42Uk/i
Ahmed M. Badawi, Partner
Consultant's DIR Registration Number
(if applicable)
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March 21, 2023
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EXHIBIT A
SCOPE OF SERVICES
As presented in the response to the Request For Proposal submitted by Badawi & Associates dated
November 30, 2022, Badawi & Associates shall provide annually the following services at the fixed not -to -
exceed price shown in Exhibit B.
1. Comprehensive Annual Financial Report (CAFR)
As part of the base scope of work, the auditor will be required to prepare the general purpose
financial statements and combining statements for the City's Comprehensive Annual Financial
Report (CAFR). The auditor will express an opinion on the basic financial statements in
accordance with established accounting standards.
2. Single Audit Report
In the event that the City has expenditures from Federal sources that exceed $750,000, a Single
Audit shall be performed in accordance with the provisions of the Single Audit Act issued by the
Federal government.
3. Special Purpose Audits
Preparation of financial and compliance audits required by Alameda County Transportation
Commission, such as Measure B/BB (transportation sales tax), Measure F (vehicle registration
fee), and Transportation Development Act programs.
4. Appropriation (GANN) Limit Report
Annually the City must obtain a report prepared by Consultant based on agreed upon auditing
procedures related to the City's GANN Limit in compliance with Proposition 111, Article XIII B —
review of Appropriation Limit Calculation.
5. State Controller's Reports
Consultant will prepare and submit to the State Controller the "Annual Report of City Financial
Transactions" and the "Annual Streets and Highways Report".
6. Other Auditor Reports
Consultant will issue as deemed appropriate a separate "Management Letter" that includes
recommendations for improvements in internal control, accounting procedures, and other
significant observations that are considered to be non -reportable conditions.
Consulting Services Agreement between City of Dublin and March 21, 2023
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The full response made by Consultant to the Request for Proposal shall be incorporated by
reference in fully describing the work schedule and performance of tasks by the Consultant (Exhibit
D).
The scope of services is for auditing and financial report preparation over a five-year period. The
term of the agreement is for three years with the option of two one-year extensions.
Consulting Services Agreement between City of Dublin and March 21, 2023
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EXHIBIT B
COMPENSATION SCHEDULE & REIMBURSABLE EXPENSES
The following is the not -to -exceed compensation by scheduled tasks to be performed annually as described
in the Scope of Services.
Annual Cost by Task
1 Tasks FY2023 FY2024 FY2025 FY2026 FY2027
City Audit and related reports (CAFR) 31,220 32,275 33,055 33,980 34,945
1 Single Audit (if required) 3,100 3,200 3,295 3,400 3,380
Special Purposes Audit Related 10,020 10,170 10,500 10,755 11,145
Reports (Measure B, Measure BB,
VRF, and TDA)
GANN Limit 600 640 670 705 745
1 State Controller's Report 2,070 2,015 2,130 2,160 2,165
Dublin Financing Authority's State 1,630 1,735 1,835 1,940 2,060
Controller's Report
State Controller's Street Report 1,290 1,375 1,460 1,550 1,655
1 Total for Fiscal Year (not to exceed)* $49,930 $51,410 $52,945 $54,490 $56,095
* Pricing include printing and binding all City reports and providing PDF files for web posting
Hourly Rates
The following rates are applicable should the City require additional services that are agreed to in writing
prior to being performed and are beyond the fixed price Scope of Services above.
1 Position FY2023 FY2024 FY2025 FY2026 FY2027
Partner $160 $170 $170 $170 $170
1 Auditor Senior $100 $100 $115 $125 $130
1 Professional Audit Staff $80 $90 $90 $95 $105
Administrative $70 $75 $85 $90 $100
Assistant
Consulting Services Agreement between City of Dublin and March 21, 2023
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EXHIBIT C
INDEMNIFICATION
Consultant shall indemnify, defend with counsel acceptable to City, and hold harmless City and its officers,
elected officials, employees, agents and volunteers from and against any and all liability, loss, damage,
claims, expenses, and costs (including without limitation, attorney's fees and costs and fees of litigation)
(collectively, "Liability") of every nature arising out of or in connection with Consultant's performance of the
services called for or its failure to comply with any of its obligations contained in this Agreement, except
such Liability caused by the sole negligence or willful misconduct of City.
Notwithstanding the forgoing, to the extent this Agreement is a "construction contract" as defined by
California Civil Code Section 2782, as may be amended from time to time, such duties of Consultant to
indemnify shall not apply when to do so would be prohibited by California Civil Code Section 2782.
The Consultant's obligation to defend and indemnify shall not be excused because of the Consultant's
inability to evaluate Liability or because the Consultant evaluates Liability and determines that the
Consultant is not liable to the claimant. The Consultant must respond within 30 days to the tender of any
claim for defense and indemnity by the City. If the Consultant fails to accept or reject a tender of defense
and indemnity within 30 days, in addition to any other remedy authorized by law, so much of the money due
the Consultant under and by virtue of this Agreement as shall reasonably be considered necessary by the
City, may be retained by the City until disposition has been made of the claim or suit for damages, or until
the Consultant accepts or rejects the tender of defense, whichever occurs first.
Consulting Services Agreement between City of Dublin and March 21, 2023
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EXHIBIT D
PROPOSAL
Please see attached.
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Exhibit D
Cityof
Dublin
TECHNICAL PROPOSAL
For Professional Auditing Services for
the City of Dublin
For fiscal years ending June 30, 2023 through 2027.
November 30, 2022
Contact Person:
Ahmed Badawi, CPA
Badawi & Associates
Certified Public Accountants
2855 Telegraph Avenue, Suite 312
Berkeley, CA 94705
Phone: (510) 768-8244
Fax: (510) 768-8249
E-mail: abadawi(&b-acpa.com
ba
BADAWI &ASSOCIATES
RTIFIED PUBLIC ACCOUNTANTS
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City of Dublin
Table of Contents
Page
Letter of Transmittal 1
Firm Qualifications and Experience 3
Insurance 3
License to Practice in California 3
Firm Qualifications 3
Technical Approach 4
Firm Experience 5
Additional Activities 5
Client Training Seminar 6
GASB 68 Firm Developed Tools and Assistance 6
Flowcharting Documentation 6
Quality Control Review 6
Federal or State Desk Reviews 9
Disciplinary Action 9
Litigations 9
Partner, Supervisory, and Staff Qualifications and Experiences 10
Similar Engagements with Other Governmental Entities 15
Understanding of Services to be Provided 19
Specific Audit Approach 20
Objectives of Our Services 20
Audit Approach 20
Technical Approach 21
Use of Technology in the Audit 24
Audit Schedule 26
Discussion of Relevant Accounting Issues 29
Comprehensive Cost Bid 30
Conclusion 31
Appendix A 32
References 32
Appendix B 33
Exceptions to the Contract 33
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im
NIV
BADAWI &ASSOCIATES
CERTIFIED PUBLIC ACCOUNTANTS
November 30, 2022
Wendy Lam
Senior Accountant
City of Dublin
100 Civic Plaza
Dublin, CA 94568
Dear Wendy Lam:
Badawi & Associates (B&A), Certified Public Accountants (the "Firm") is pleased to have the opportunity to
respond to your request for a proposal to provide external audit services and to submit its qualifications to
perform an independent audit of the financial statements of the City of Dublin (the "City") for the fiscal years
ending June 30, 2023 through 2027. The objective of our audits is to issue opinions regarding the fairness of
presentation of the financial position of the City in accordance with generally accepted accounting principles.
These audits are to be performed in accordance with generally accepted auditing standards, the standards set
forth for financial audits in the Government Accountability Office's (GAO) Government Auditing Standards, the
provisions of the federal Single Audit Act of 1984, as amended in 1996, and the Uniform Guidance, Audits of
States, Local Governments and Non -Profit Organizations, Uniform Administrative Requirements, as well as
any other applicable federal, state, local or programmatic audit requirements.
We will also perform the following as part of our engagement:
- Single Audit
- Measure B Audit
- Measure BB Audit
- Measure F Audit
- GANN Limit Agreed -upon Procedures
- City's State Controller's Report
- Dublin Financing Authority's State Controller's Report
- Annual Street Report
We will also apply limited audit procedures to Management's Discussion and Analysis (MD&A) and required
supplementary information. In addition, we will prepare the management letter containing comments and
recommendations regarding our review and evaluation of the systems of internal control and accounting
procedures.
This proposal will highlight the background of the partners and staff assigned to the engagement, summarize
our experience in the governmental area, and describe our approach to auditing the City.
This proposal demonstrates our ability to render the quality examination and to perform the necessary
accounting and auditing services requested by the City on a timely basis.
As a partner of the Firm, I will be the primary contact for negotiation of the contract. Additionally, I have been
authorized to legally bind the Firm. You may contact me at the following address and phone number:
Ahmed Badawi, CPA
Badawi & Associates
Certified Public Accountants
2855 Telegraph Avenue, Suite 312
Berkeley, CA 94705
Telephone: (510)768-8244
E-mail: abadawi(a b-acoa.com
Address: 2855 Telegraph Avenue, Suite 312 Berkeley, CA 94705 • Phone: ' 0.768.8251 • Fax: 510.768.8249
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Wendy Lam
Senior Accountant
City of Dublin
Page 2
We are committed to performing the required work, completing the audit, and issuing the necessary auditors'
reports.
We believe we are the best qualified to perform the audit because our audit staff includes individuals well versed
in municipal auditing and reporting requirements. We have performed auditing and consulting engagements for
numerous cities throughout California. We will be responsive to the needs of the City, we understand the City's
operational environment, and pledge to you our complete commitment to providing a quality product that meets
the City's requirements.
The approach to the audit has been designed to meet the audit requirements of the various authorities with the
least disruption to the City's office operations. The foundation of the audit approach is based on communication
coupled with a strong knowledge of City operations and detailed planning at the initial stages of the audit. Open
communication lines with all parties of the Engagement Team and City Management and staff throughout the
engagement eliminate "surprises". Initial planning and proper assignment of duties to experienced personnel
provide for an effective and efficient audit process. Consequently, inefficiencies and disruptions are kept to a
minimum. In addition, we perform almost half of the audit tasks during the interim phase to minimize any
unforeseen delays during the year-end phase and to ensure a smooth and timely audit process.
The Firm maintains liability insurance coverage for professional liability, Workers' Compensation, Comprehensive
General Liability and Auto as part of our comprehensive insurance policy.
The Firm is an Equal Opportunity employer and complies with all Federal and State hiring requirements. The Firm
also supports Affirmative Action philosophies and works hard to provide disadvantaged groups with opportunities
for self enhancement.
This proposal is a firm and irrevocable offer for 180 days.
We are confident that you will find our organization offers the required expertise, technical knowledge, and
business understanding to perform an audit of the City. Our past experience provides us with a thorough
understanding of the needs and requirements of the City, as well as the technical knowledge to perform such
services in accordance with the accounting and auditing guidelines as published by the various authoritative
entities.
We welcome your inquiries and look forward to further discussions with you.
Sincerely,
AkA--J\3.ce
Ahmed Badawi
Partner
Badawi & Associates
Certified Public Accountants
1
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CLR A; OUN•AN,S
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City of Dublin Technical Proposal
Firm Independence
Qualifications The Firm is independent of the City of Dublin as defined by the GAO's Standards for Audit of
and Experience Governmental Organizations, Programs, Activities and Functions, and the AICPA and
California State Society of Certified Public Accountants as promulgated in various auditing
and professional standards.
Insurance
The Firm maintains professional liability insurance and other coverage as part of our
comprehensive insurance policy. Upon selection as the City's independent auditor, the Firm
and our insurance provider will provide a certificate of insurance to the City which shows the
minimum requirements identified by City have been met.
License to Practice in California
The Firm and all key professional staff assigned to the City's audit are properly licensed to
practice as Certified Public Accountants in the State of California and comply with GAO
Government Auditing Standards.
The Firm is registered with the California State Board of Accountancy. Its State number is
COR6823.
The Firm has met all required State and local laws, rules, and regulations.
Firm Qualifications
Badawi & Associates was founded by Mr. Ahmed Badawi. Mr. Badawi has over 20 years of
experience working with state and local government with a special focus on cities. Prior to
founding B&A, Mr. Badawi was a partner with several local and national firms, where he
headed their government practice in Northern California. Mr. Badawi founded Badawi &
Associates to serve the fast -paced needs of California's local governments. The goal is to
build a proactive, client -focused culture from the ground up and to eliminate the entrenched
bureaucratic culture and intrinsic limitations of the big audit firms.
Located in Berkeley, CA, the Firm serves a variety of cities and towns throughout California
as well as conducting financial related services for numerous special districts and authorities.
Names and phone numbers of several of our current and past clients and other references are
provided for your inquiries. We encourage you to contact these individuals to obtain
information on the quality of the audit and the ability of the audit staff.
Our Berkeley office will be the Engagement Office assigned to the City.
In addition to specific City financial statements, the Firm members have also audited
numerous redevelopment agencies, public financing authorities, hospitals, housing
authorities, transportation authorities, special districts, water districts, OCJP grants, self-
insurance pools, joint power authorities and has also performed numerous compliance audits
in accordance with the Single Audit Act, childcare regulations, TOT regulations, AQMD
regulations, franchise requirements.
The Engagement Partner assigned to the City will be Mitesh Desai, CPA. Mr. Desai's
background includes fourteen years of experience in municipal auditing. Mr. Desai has
participated in the audits of numerous governmental agencies, assisted in their efforts to
publish their Annual Comprehensive Financial Reports in compliance with GASB 34, and a
volunteer member of the GFOA Special Review Committee. Mr. Desai has also achieved the
Advanced Single Audit Certificate offered by the AICPA.
The professional staffs assigned to the Engagement are qualified and experienced. Each
individual of the Engagement Team has several years of experience and has conducted or
participated in numerous municipal audits of various sizes. Their understanding of
governmental operations and the various authoritative guidelines will provide the where -with -
all to perform the audit in an efficient and effective manner with minimal disruption to the City's
finance department.
ba
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LK..1 •LL A;.CCJuV.AN•S
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City of Dublin Technical Proposal
Technical Approach
The approach to the audit has been designed to meet the audit requirements of the various
authorities with the least disruption to the City's operations. The foundation of the audit
approach is based on communication coupled with a strong knowledge of City operations and
detailed planning at the initial stages of the audit. Open communication lines with all parties of
the Engagement Team and City Management and staff throughout the engagement eliminate
"surprises". Initial planning and proper assignment of duties to experienced personnel provide
for an effective and efficient audit process. Consequently, inefficiencies, disruptions, and lack
of understanding are kept to a minimum.
The audit approach will consist of four phases:
1) Initial Planning Meeting:
The Engagement Partner will meet with City Management to discuss the audit approach,
identify specific needs of City Management, and familiarize themselves with City policies
and practices.
2) Interim:
The Engagement Team members including the Engagement Team Partner will perform
the internal control reviews, test transactions, evaluate compliance with Single Audit Act
requirements, identify potential audit issues that need to be addressed, perform limited
confirmation procedures, and develop a clear understanding between the Engagement
Team and City Management of the year-end audit responsibilities and assignments. In
addition, we strive to complete many of the year-end audit tasks during the interim
phase to ensure a smoother audit process. We will work with the City on providing
a list of those tasks that we will target to complete during interim and work with the
City on how to complete them to minimize the amount of effort and time needed at
year-end which in turn will assist the City in meeting its goal of issuing the Annual
Comprehensive Financial Report.
3) Year-end:
The Engagement Team members including the Engagement Team Partner will conduct
validation procedures on general ledger account balances, complete confirmation
procedures, perform analytical procedures on revenue and expenditures, perform search
for unrecorded liabilities, complete compliance work on Federal Assistance, and wrap up
audit field work.
4) Reporting:
Auditor's reports for all City reporting entities and compliance requirements will be finalized
along with Single Audit Reports and Management Letter comments. The Partner will be
available to make presentations to the City Council and/or designated bodies.
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City of Dublin
Technical Proposal
Firm Experience
The Firm is located in Berkeley and provides a full range of accounting services to
governmental agencies throughout California, including audit, tax and accounting. The Firm's
professional staff members provide the financial background and specific experience to meet
the City's operational needs. Additionally, this situation provides the City with an auditing firm
that has depth in capabilities to address any financial issue the City may need assistance with,
and the quality audit approach that you expect.
Our Berkeley office will be the Engagement Office assigned to the City.
Firm policy requires that the Engagement Partner, during the first year of the engagement, be
actively involved in the daily fieldwork. This means to the City that Mr. Badawi will actually be
on -site during the audit coordinating the audit process, supervising the audit staff, gaining a
hands-on understanding of City processes, and benefiting the City with his broad municipal
experience. We have found that this effort benefits the City and the Firm through developing
a thorough knowledge of the City's practices and issues and establishing a close working
relationship with the City's Management. Additionally, continuity of audit personnel is assured
because of the hands on involvement of the Partner.
We are committed to providing appropriate and related experience, personal involvement, and
a broad business perspective to produce a quality end product within the time frames required.
The Firm provides financial and compliance auditing services to governmental agencies
throughout California. We are a governmental agency auditing firm and our professional staff
members have been performing these services for many years. As a result, we have
performed financial and compliance audits on most, if not all, types of governmental agencies
and operations including:
• Cities
• Redevelopment
Agencies
• Financing
Authorities
• Housing Authorities
• Special Districts
• Water Districts
Additional Activities
• Waste Management
Authorities and
Operations
• Pension Plans
• Child Care
Operations
• Joint Power
Authorities
• Investment Activities
• Landfills
• Enterprise Funds
• Airports
• Transportation
Operations
• Federal and State
Grants
We offer a full range of accounting and finance services to the governmental sector. These
services include:
• Financial audits
• Compliance audits
• Tax advice
• Development of financial and
accounting policies and procedures
• Investment review and compliance
evaluation
• Operational reviews
• Technical guidance on existing and
upcoming accounting issues
• Training seminars
• Pension/profit-sharing plans
• Performance audits
• Business consulting
Consequently, Firm personnel are well qualified to perform the services expected by the City.
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City of Dublin Technical Proposal
Client Training Seminar
The Firm hosts an annual update on recent technical accounting and finance issues affecting
the governmental area. This all day session reviews new and anticipated pronouncements
from GASB, discusses future issues under consideration by GASB, reviews accounting
treatment of various transactions where issues may arise, and provides a general overview of
state and federal compliance issues. All of our clients are invited to attend, free of charge. The
one day session qualifies for CPE under the rules of the State Board of Accountancy and is
held in the Bay Area.
GASB 68 Firm Developed Tools and Assistance
The Firm has developed tools to assist our clients with preparation of GASB 68 journal entries
for the CalPERS' Cost Sharing Plans (for which individualized actuarial valuations are no
longer prepared) and the CalPERS' Agent Multiple Employer Plans. In addition to providing
our clients with these tools and instructions on how to use them, we are available to answer
any questions on how to prepare and complete the GASB 68 journal entries.
Flowcharting Documentation
As part of our risk assessment procedures, we prepare flowcharts for documenting our
understanding of the City's significant accounting and financial processes. Flowcharts are
updated annually for any changes in the City's processes and copies can be provided upon
request for the City's internal use. Flowcharted processes may include:
• Financial Reporting, Closing, and Manual Journal Entries
• Cash Receipts, Billing, and Accounts Receivable/Revenues
• Cash Disbursements, Purchasing, and Accounts Payable/Expenditures
• Payroll and Human Resources
Quality Control Review
According to Government Auditing Standards, firms who perform audits under the Yellow Book
are required to have a peer review once every three years. We received a report with a rating
of pass with no deficiencies which we attached for your review.
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City of Dublin Technical Proposal
GM -
Report on the Firm's System of Oualitv Control
Badawi & Associates
Berkeley, California;
and the Peer Review Committee of the California Society of CPAs
We have reviewed the system of quality control for the accounting and auditing practice of Badawi &
Associates (the firm) in effect for the year ended February 28, 2022. Our peer review was conducted in
accordance with the Standards for Performing and Reporting on Peer Reviews established by the Peer Review
Board of the American Institute of Certified Public Accountants (Standards).
A summary of the nature, objectives, scope, limitations of, and the procedures performed in a System Review
as described in the Standards may be found at www.aicoa.ora/prsummarv. The summary also includes an
explanation of how engagements identified as not performed or reported in conformity with applicable
professional standards, if any, are evaluated by a peer reviewer to determine a peer review rating.
Firm's Responsibility
The firm is responsible for designing a system of quality control and complying with it to provide the firm
with reasonable assurance of performing and reporting in conformity with applicable professional standards
in all material respects. The firm is also responsible for evaluating actions to promptly remediate
engagements deemed as not performed or reported in conformity with professional standards, when
appropriate, and for remediating weaknesses in its system of quality control, if any.
Peer Reviewer's Responsibility
Our responsibility is to express an opinion on the design of the system of quality control and the firm's
compliance therewith based on our review.
Required Selections and Considerations
Engagements selected for review included engagements performed under Government Auditing Standards,
including compliance audits under the Single Audit Act.
As part of our peer review, we considered reviews by regulatory entities as communicated by the firm, if
applicable, in determining the nature and extent of our procedures.
CPAs • Advisors
9 4120 Concours, Suite 100, Ontario, CA 91764
t. 909.948.9990 / 800.644.0696 / FAX 909.948.9633
'I gyl@gylcpa.com
@ www.gylcpa.com
CPAmerica
Member Crowe Global
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City of Dublin Technical Proposal
Peer Review Report
Page 2 of 2
Opinion
In our opinion, the system of quality control for the accounting and auditing practice of Badawi & Associates
in effect for the year ended February 28, 2022, has been suitably designed and complied with to provide the
firm with reasonable assurance of performing and reporting in conformity with applicable professional
standards in all material respects. Firms can receive a rating of pass, pass with deficiency(ies) or fail. Badawi
& Associates has received a peer review rating of pass.
671 LLP
Ontario, California
June 14, 2022
GYL
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City of Dublin Technical Proposal
The Firm has policies and procedures to ensure it hires only qualified people, that it properly
supervises them and provides professional training, that it advances them to responsibilities
they are capable of handling, and that it provides them with necessary technical resources. All
members of the Firm are very familiar with the stringent quality control standards established
by the AICPA.
The Firm is a member of the AICPA Government Audit Quality Center.
The Firm is a member of the AICPA Private Companies Practice Section.
Federal or State Desk Reviews
The Firm has had no negative federal or state reviews in the past three (3) years.
Disciplinary Action
There has not been any state or federal disciplinary actions taken or pending against the Firm
nor any findings to report.
Litigations
The Firm has not experienced any lawsuits or legal actions that have been resolved or are
currently pending in the prior five years.
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City of Dublin
Technical Proposal
Partner,
Supervisory,
and Staff
Qualifications
and Experiences
The Engagement Team will normally consist of six individuals who provide a broad business
perspective and significant experience in governmental auditing. This team will provide access
to a wide range of technical capabilities which will provide the City with not only the technical
support necessary to perform the audit, but also the broad business background to interpret
findings and observations to offer effective solutions to issues, and the personal involvement
of the Engagement and Compliance Partners of the Firm.
(
Professional
Audit Staff
Engagement Partner
Mitesh Desai
CPA j
/
Audit Senior
Edward Peszewski
CPA
� J
Professional
Audit Staff
Engagement Quality
Reviewer
Monica Singhai
CPA
Professional
Audit Staff
d
The Engagement Team will be led by Mitesh Desai, CPA. Mr. Desai's background includes
fourteen years of experience in municipal auditing. Mr. Desai has participated in the audits of
numerous governmental agencies, assisted in their efforts to publish their Annual
Comprehensive Financial Reports in compliance with GASB 34, and a volunteer member of
the GFOA Special Review Committee. Mr. Desai has also achieved the Advanced Single Audit
Certificate offered by the AICPA.
The second member of the Engagement Team will Edward Peszewski, CPA. Mr. Peszewski's
background includes seven years of accounting and auditing experience. He has participated
in the audits of numerous governmental entities and assisted in their efforts to publish their
financial statements in compliance with various regulations, and is a volunteer member of the
GFOA Special Review Committee. Mr. Peszewski will be the Audit Senior of this engagement.
The third member of the Engagement Team will be Monica Singhai, CPA. Mrs. Singhai's
background includes over seventeen years of experience in municipal auditing. She has
participated in the audits of numerous governmental agencies and assisted in their efforts to
publish their financial statements in compliance with various regulations. Mrs. Singhai will be
the Engagement Quality Reviewer of this engagement.
Each member of the Engagement Team participates in continuing education programs offered
by the AICPA and California State Society of Certified Public Accountants, and each has met
the continuing education requirements for municipalities. In addition, the firm offers at least 60
hours of in-house CPE annually focused mainly on municipal audits.
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City of Dublin Technical Proposal
Professional Development:
The Firm maintains a comprehensive training program targeted at appropriate professional
staff levels. It utilizes in-house developed educational programs, AICPA and California CPA
Foundation educational programs, and on-the-job training.
The Firm's annual training schedule which officially begins in April for all professional staff and
administrative staff includes comprehensive in-house training sessions on such topics as:
• Review of principles of accounting and financial reporting for state and local
governments
• Review of governmental fund types and account groups
• Review of newly issued generally accepted auditing standards and GAO auditing
standards
• Review of Internal Control evaluation approaches including COSO principles
• Updates on recent governmental accounting and reporting guidelines
• Review of Single Audit requirements and approaches
• Review of financial audit approaches
• Overview of audit and internal control work paper techniques
• Review of GASB reporting requirements
• Review of current issues facing the governmental community
During the year, professional staff members are sent to various educational sessions
sponsored by the AICPA and California State Society of CPAs, as considered appropriate for
the level and need of the individual. These classes include, among others:
• Governmental Financial Reporting Standards and Practices
• Yellow Book: Government Auditing Standards
• Financial Accounting Standards: Comprehensive Review
• Single Audit
• Governmental Auditing & Accounting Update
• Governmental Accounting Principles
• Comprehensive Review of Generally Accepted Auditing Standards
The result of the Firm's training program is the production of a highly educated and competent
municipal audit group capable of performing an efficient and effective audit for the City.
The Engagement Team members will continue their professional development efforts.
Staff Retention and Continuity:
The Firm's policy on providing service to our clients includes a commitment to maintaining
continuity of audit personnel. We cannot guarantee that our staff will remain with the Firm.
However, to encourage our staff to remain with us, we pay competitive wage rates; offer
promotional opportunities; provide state-of-the-art equipment and excellent working
conditions; and offer various benefits, such as retirement plans, medical plans, profit sharing
programs, educational benefits, and other such benefits. We can also guarantee that the
partner will be involved in future years. Continuity of audit staff is of prime concern to us and
because of the hands-on involvement of the partner; we can assure you that future years'
audits will be conducted in an efficient and effective manner with qualified and experienced
professionals.
The Firm is an Equal Opportunity employer and complies with all Federal and State hiring
requirements. The Firm also supports Affirmative Action philosophies and works hard to
provide disadvantaged groups with opportunities for self enhancement.
Resumes of each member of the Engagement Team follow.
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City of Dublin Technical Proposal
Mitesh Desai, Certified Public Accountant — Engagement Partner
Length of Career
• Fourteen years experience in municipal auditing with a special focus on cities
• Certified Public Accountant for the State of California
Professional Experience
• Has performed numerous financial audits, Single Audits, RDA audits, PFA audits, Transportation
Development Act audits, and housing audits
Services Provided
Financial Single RDA PFA Enterprise
Audit Audit Audit Audit Fund Other
Cities:
Dublin X X X
Albany X
Antioch X X X
Azusa X X X X
Berkeley X X X X X
Buena Park X X X X
Calimesa X X X
Crescent City X X X X X
East Palo Alto X X X X
El Cerrito X X X X X
Foster City X X X X X
Fremont X X X X X
Lemon Grove X X
Lindsay X X X
Menlo Park X X X
Millbrae X X X X X
Newark X X X X
Oakdale X X X X
Pittsburg X X X X X
Placerville X X X X
Rio Vista X X X X
San Mateo X X X X X
Sebastopol X X X X
Solvang X X
Susanville X
Turlock X X X
Union City X X X X
Vacaville X X X X X
Waterford X X X X
Yountville X X X
Yuba City X X X X
Child Care Programs:
Menlo Park Child Care X X
Stanislaus County Childcare X X
Non -profits:
Housing Endowment and Regional Trust X
Special Districts and Other:
Castro Valley Sanitary District X
Cosumnes Community Services District X
Marin Municipal Water District X
West CountyWastewater District X X
Contra Costa Child Development Programs X X
Education
• BS Degree in Business Economics with an emphasis in Accounting from University of California,
Santa Barbara
Professional Activities
• Member, American Institute of Certified Public Accountants
• Member, California Society of Certified Public Accountants
• Volunteer Member, GFOA Special Review Committee
Continuing Education
• Various municipal accounting courses offered by the California Society of CPAs and local
universities including:
- Governmental Financial Reporting Standards and Practices
- Yellow Book: Government Auditing Standards
- Municipal Accounting
- Single Audit
• Has met the current CPE educational requirements to perform audits on governmental agencies
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City of Dublin Technical Proposal
Edward Peszewski, Certified Public Accountant - Professional Audit Senior
Lenoth of Career
• Nine years of experience in auditing.
• Certified Public Accountant for the State of California.
Professional Experience
• Has performed numerous financial audits, Single Audits, RDA audits, PFA audits, Transportation
Development Act audits, and housing audits
Services Provided
Financial Single RDA PFA Enterprise
Audit Audit Audit Audit Fund Other
Cities:
Albany X X X
Barstow X X X
Berkeley X X X
Buena Park
Dublin X X X X
East Palo Alto X X X
El Cerrito X X X
Folsom X X
Foster City X X X X
Guadalupe X X
Lindsay X X X
Merced X X X
Oakdale X X X
Ontario X X X X
Petaluma X
Pinole X X
Scotts Valley X X
Sebastopol X X X
Susanville X X
Yuba City X X X
Towns:
Yountville X X X
Special Districts:
Aptos/La Selva Fire Protection District X
Cosumnes CommunitySenAces District X
Elk Grove Water District X
Hayward Area Recreation and Park District X
Marin County Parks X
Monterey Bay Unified Air Pollution X
Control District
Sutter Animal Services Authority X
Sutter Butte Flood Control Agency X
Non -profits:
Building IndustryAssociation of
the Bay Area X
Girls Incorporated of Alameda County X
Education
• BA, University of California, Santa Barbara
• Certificate in Accounting from University of California, Berkeley - Extension
Professional Activities
• Member, American Institute of Certified Public Accountants.
• Volunteer Member, GFOA Special Review Committee.
Continuing Education
• Various municipal accounting courses offered by the California Society of CPAs and local
universities including:
- Governmental Financial Reporting Standards and Practices
- Yellow Book: Government Auditing Standards
- Municipal Accounting
- Single Audit
• Has met the current CPE educational requirements to perform audits on governmental agencies
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City of Dublin Technical Proposal
Monica Singhai, Certified Public Accountant — Engagement Quality Reviewer
Length of Career
• Seventeen years of experience in auditing with special focus on municipalities.
• Certified Public Accountant for the State of California.
Professional Experience
• Has performed numerous financial audits, Single Audits, RDA audits and PFA audits
Services Provided
Financial Single RDA PFA Enterprise
Audit Audit Audit Audit Fund Other
Cities:
Berkeley X X X
East Palo Alto X X
Menlo Park X X X
Redwood City X X X
Special District:
Alameda County Fire District X
Alameda County Law Library X
Burbank Sanitary District X X
Lions Gate Community Service District X
Los Medanos Community Health Care District X
Oakland -Alameda County Coliseum Authority X
School District:
Bayshore Elementary School District X
Belmont -Redwood Shores School District X X X
Brisbane School District X
Jefferson Elementary School District X X
La Honda-Pescadero Unified School District X X X
Pacifica School District X X
Ravenswood City School District X X X
Redwood City School District X X
San Mateo -Foster City School District X X X
Charter schools:
Oakland Military Institute College Preparatory
Academy X X
Sacramento Valley Charter School X
West Sacramento College Prep Charter School X
First 5:
First 5 Alameda County X X
First 5 Inyo County X
First 5 Marin County X
First 5 Monterey County X
First 5 Santa Cruz County X
Others:
Alameda County Housing Community
Development Agency X X X
Alameda County Redevelopment Agency X X
Alameda County Successor Agency X
City of Oakland - Measure C X
City of Oakland - Measure Y X
City of Oakland - Child Care and
Development Program X
City of Oakland - Wildfire Prevention
Assessment District X
Education
• Bachelor of Science in Accounting from Jabalpur University, India.
Professional Activities
• Member, California Society of Certified Public Accountants.
• Member, Institute of Chartered Accountants of India.
Continuing Education
• Various local governments and not for profit accounting courses offered by the California Society
of CPAs and AICPA including:
- Governmental Financial Reporting Standards and Practices
- Yellow Book: Government Auditing Standards
- Single Audit
• Has met the current CPE educational requirements to perform audits on governmental agencies.
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City of Dublin Technical Proposal
Similar The tables below and on the following page are a partial listing of our clients similar to the City,
Engagements and illustrates the many different types of components involved in each audit engagement that
present very difficult and complex auditing and accounting challenges (in order of audit hours).
with Other * Indicates cities with population over 50,000
Governmental ** Indicates cities with governmental revenues over $100 million and population over 50,000
Entities
r
v
Client Since
Hours
Engagement Partner
Principal Contact
Annual Comprehensive
Financial Report
GFOA Award
RDA/Successor Agency
Single Audit
TDA
Water Fund
Sewer Fund
Child Care Audit
Housing Authority
Enterprise Funds
Pension Trust Fund
"" Richmond 2020
"" Berkeley 2008
"" Ontario 2021
" Union City 2006
** Folsom 2019
* Petaluma 2019
" San Luis 2019
Obispo
* Antioch 2005
Lafayette 2020
East Palo Alto 2014
** Dublin 2018
3,160
1,850
1,012
850
807
691
638
586
586
560
546
Delmy Cuellar
Ahmed Finance Manager
Badawi (510)620-6790
Delmy_Cuellar@ci.richmond.ca.us
Henry Oyekanmi
Mitesh Finance Director
Desai (510)981-7300
hoyekanmi@ci.berkeley.ca.us
Jialuan Ning
Ahmed Acting Accounting Manager
Badawi (909) 395-2096
JNing@ontarioca.gov
Jackie Acosta
Mitesh Finance Director
Desai (510)675-5345
jackiea@unioncity.org
Stacey Tamagni
Ahmed Finance Director
Badawi (916)461-6712
stamagni@folsom.ca.us
Corey Garberolio
Ahmed Finance Director
Badawi (707)778-4357
cgarbero@cityofpetaluma.org
Brigitte Bke
Ahmed Finance Director
Badawi (805)781-7125
belke@slocity.org
Dawn Merchant
Mitesh Finance Director
Desai (925)779-6135
dmerchant@ci.antioch.ca.us
Tracy Robinson
Ahmed Administrative Services Director
Badawi (925)299-3227
trobinson@lovelafayette.org
Tomohito Oku
Mitesh Finance Director
Desai (650)853-3122
toku@cityofepa.org
Lisa Hisatomi
Ahmed Director of Finance & Admin. Services
Badaw i (925)833-6640
Lisa.Hisatomi@dublin.ca.gov
X
XXX
X
XXX
X
XXXX
X
X
X
X
X
X
X
X
X
X
X
XXXX
X
X
X
X
X
X
X
X
X
XXXXX
X
X
XXXX
X
XXXXXX
X
X
X
X
X
X
XXX
X
X
X
X
X
X
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City of Dublin Technical Proposal
r
v
Client Since
Hours
Engagement Partner
Principal Contact
Annual Comprehensive
Financial Report
GFOA Award
RDA/Successor Agency
Single Audit
TDA
Water Fund
Sewer Fund
Child Care Audit
Housing Authority
Enterprise Funds
Pension Trust Fund
Talika Johnson
Azusa 2017 540 Ahmed Adrninistrative Services Director
Badaw i (626)812-5202
tjohnson@AzusaCa.Gov
Mike Sung
Millbrae 2015 524 Ahmed Finance Director
Badaw i (650)259-2433
msung@ci.millbrae.ca.us
Spencer Morrison
* Yuba City 2017 450 Ahmed Finance Director
Badaw i (530)822-4615
smorrison@yubacity.net
Isarel Perez -Hernandez
Wasco 2021 428 Ahmed Finance Director
Badawi (661)758-7230
isperez@cityofw asco.org
Markisha Guillory
Anole 2018 419 Ahmed Finance Director
Badaw i (510)724-9823
MGuillory@ci.pinole.ca.us
Cathy Orme
Larkspur 2019 382 Ahmed Administrative Services Director
Badaw i (415) 927-5019
Finance@cityoflarkspur.org
Kellie Jacobs -Hunter
Atwater 2021 380 Ahmed Finance Director
Badaw i (209)357-6347
Igacobshunter@atw ater.org
Tina Envia
Waterford 2018 311 Ahmed Finance Manager
Badaw i (209)874-2328 Ext: 104
tenvia@cityofw aterford.org
Xenia Bradford
Solvang 2019 308 Ahmed City Manager
Badaw i (805)688-5575
xeniab@cityofsolvang.com
Albert Avila
Oakdale 2016 306 Ahmed Finance Director
Badaw i (209)845-3584
aavila@ci.oakdale.ca.us
Lorena Zarate
Guadalupe 2017 303 Ahmed Finance Director
Badaw i (805)356-3895
ccooper@ci.guadalupe.ca.us
Ana Kwong
Sebastopol 2017 275 Mitesh Finance Director
Desai (707)824-4879
akw ong@cityofsebastopol.org
X
XXX
X
X
X
X
XXX
X
X
X
X
XXX
X
X
X
X
X
XXX
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
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City of Dublin Technical Proposal
y
V
Client Since
Hours
Engagement Partner
Principal Contact
Annual Comprehensive
Financial Report
GFOA Award
RDA/Successor Agency
Single Audit
TDA
Water Fund
Sewer Fund
Child Care Audit
Housing Authority
Enterprise Funds
Pension Trust Fund
Angela Courter
Cotati 2020 265 Ahmed Director of Administrative Services
Badaw i (707)665-4236
acourter@cotaticity.org
Linda Leaver
Crescent City 2014 227 Mitesh Finance Director
Desai (707)464-7483 x224
(leaver crescentcity.org
Selina Andrew s
Scotts Valley 2019 202 Ahmed Finance Manager
Badaw i (831)440-5614
sandrew s@scottsvalley.org
Bonnie Johnson
Calimesa 2013 193 Mitesh City Manager
Desai (909)795-9801 ext 231
bjohnson@cityofcalimesa.net
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
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City of Dublin Technical Proposal
The table below lists all special district engagements (in order of audit hours):
Special District
Florin Resource Conservation District/
Elk Grove Water District
Client Since
0
0
x
2015 350
Solano County Water Agency 2020 243
Alameda County Waste Management
Authority (Stop Waste)
2018 154
San Gabriel Valley Council of Governments 2021 618
County of Contra Costa Community
Services Bureau Child Development
Program
Hayward Area Recreation
and Park District
Amador County
Transportation Commission
San Mateo Mosquito and
Vector Control District
Monterey Bay Unified Air
Pollution Control District
Southern Marin Fire
Protection District
Port of San Luis
Harbor District
Aptos La Selva
Fire District
Central County
Fire Department
Central Fire Protection District of
Santa Cruz County
Resource Conservation
District of Santa Cruz
County
Santa Cruz
Regional 9 - 1 - 1
Zayante Fire
Protection District
2013 450
2017 350
2019 260
2018 228
2016 200
2020 160
2017 150
2016 150
2012 150
2018 150
2017 150
2016 150
2017 150
C
E
ar
CO
W
Principal Contact
Patrick Lee
Mitesh Finance Manager/Treasurer
Desai (916)685-3556
plee@egwd.org
Roland Sanford
Ahmed General Manager
Badawi (707)455-1103
rsanford@scwa2.com
Jennifer Luong
Ahmed Finance Services Manager
Badawi (510)891-6500
iluong@stopwaste.org
I?ey imoren,
Ahmed Director of Finance
Badawi (626) 962-9292
ralimoren@sgvcog•org
Nancy Benavides
Mitesh Fiscal Officer
Desai (925)681-4268
nbenavidas@ehsd.cccounty.us
Anne Maze
Ahmed Interim Finance Manager
Badawi (510)881-6707
mam@haywardrec.org
John Gedney
Ahmed Executive Director
Badawi (209)267-2282
Iohn@actc-amador.org
12ichard Arrow
Ahmed Finance Director
Badawi (650)344-8592
rarrow_ smcmvcd.org
Rosa Rosales
Mitesh Administrative Services Manager
Desai (831)718-8019
rrosales mbard.orq
Alyssa gcliiffmann
Ahmed Finance Manager
Badawi (415)388-8182
aschiffmann@smfd.org
Kristen Stout
Ahmed Business Manager
Badawi (805)595-5413
kristens@portsanluis.com
Nancy Dannhauser
Mitesh Finance Director
Desai (831)685-6690
nancyd@,centralfpd.com
Jan Cooke
Mitesh Finance Director
Desai (650)375-7408
jcooke@hillsborough.net
Nancy Dannhauser
Mitesh Finance Director
Desai (831)479-6842
nancyd@centralfpd.com
Sharon Corkrean
Director of Finance
s corkrea n @rcdsantacruz.org
Dennis Kidd
Mitesh General Manager
Desai (831)471-1038
dennis.kidd@scr911.org
John Stipes
Mitesh Fire Chief
Desai (831)335-5100
chief2401 @cwncast.net
Mites h
Desai
N .,
i
S Q
d
E g
O
U R
m c
C LL
C
Yes Yes
No N/A
No N/A
No N/A
No N/A
No N/A
No N/A
Yes Yes
No N/A
No N/A
Yes Yes
No N/A
Yes Yes
No N/A
No N/A
No N/A
No N/A
GFOA Award
X
X
Enterprise Funds
X
X
X
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DocuSign Envelope ID: EBB930E7-4839-427C-A559-18DA8B474EDE
City of Dublin Technical Proposal
Understanding
of Services to be
Provided
The City desires an audit of the financial records for the City and an expression of an opinion
in accordance with generally accepted accounting principles on the fairness of presentation of
financial statements for the fiscal years ending June 30, 2023 through 2027.
The Firm will:
• Express an opinion on the fair presentation of its basic financial statements which
includes but is not limited to the financial statements of governmental activities, the
business -type activities, each major fund and all aggregate remaining fund information
in conformity with generally accepted accounting principles in the United States of
America.
• Express an in -relation -to opinion on the fair presentation of its combining and individual
non -major and fiduciary fund financial statements and schedules in conformity with
generally accepted accounting principles. The Firm will provide an "in -relation -to" report
on the supporting schedules contained in the Annual Comprehensive Financial Report
based on the auditing procedures applied during the audit of the basic financial
statements and schedules.
• Provide an "in -relation -to" report on the schedule of expenditures of federal awards
based on the auditing procedures applied during the audit of the financial statements.
• Perform the audit in accordance with generally accepted auditing standards accepted
in the United States of America, applicable to the financial audit contained in the
Government Auditing Standards issued by the Comptroller General of the United States
and the provisions of the Uniform Guidance, Audits of States, Local Governments and
Non -Profit Organizations.
• Perform limited procedures on supplementary information required by the Government
Accounting Standards Board.
• Issue the following reports, following the completion of the audit of the fiscal year's
financial statements:
➢ Independent Auditor's Report on Financial Statements and Schedule of
Expenditure of Federal Awards
➢ Report on Internal Control over Financial Reporting and on Compliance and
Other Matters Based on an Audit of Financial Statements Performed in
Accordance with Government Auditing Standards
➢ Independent Auditor's Report on Compliance with Requirements Applicable
to Each Major Program and Internal Control over Compliance in Accordance
with the Uniform Guidance
➢ Schedule of Findings and Questioned Costs
➢ Auditor's Communication with Those Charged with Governance
➢ Annual Comprehensive Financial Report following the requirements and
guidelines of the GFOA award program
➢ Measure B Audit
➢ Measure BB Audit
➢ Measure F Audit
➢ GANN Limit Agreed -upon Procedures
➢ City's State Controller's Report
➢ Dublin Financing Authority's State Controller's Report
➢ Annual Street Report
• Provide special assistance to the City as needed.
• Retain all working papers and reports at the audit firm's expense for a minimum of 7
years. In addition, make working papers available to the City and/or any government
agency as appropriate.
Should any conditions be discovered requiring corrective action, the Firm will provide a
detailed description of the findings and recommended actions as to their resolution.
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DocuSign Envelope ID: EBB930E7-4839-427C-A559-18DA8B474EDE
City of Dublin Technical Proposal
The Firm will submit a report to the City's Council and management detailing auditor's
responsibility under generally accepted auditing standards, significant accounting policies,
management judgments and accounting statements, significant audit adjustments, other
information in documents containing audited financial statements, disagreements with
management, management consultations with other accountants, major issues discussed with
management prior to retention, difficulties encountered during the audit, and any significant
deficiencies or material weaknesses found during the audit. Non -material instances of
noncompliance will be reported in a separate management letter, if appropriate, along with
any other observations or recommendations determined to be informative to City
Management.
The Firm will be available to provide advice and counsel regarding significant matters during
the year.
The Firm's Partner and Staff welcome the opportunity to make presentations to the City
Council and will be ready to respond to questions from the Council and citizens of the City.
Specific Audit Obiectives of Our Services
Approach The basic objective of our audit of the City is to conduct an examination of the financial
statements in accordance with generally accepted auditing standards and to express our
opinion on the fairness of presentation of such financial statements in conformity with generally
accepted accounting principles.
Additionally, we believe that another real value of our audit lies in meeting other objectives at
no additional cost. The following are other objectives of our services that have important
benefits to the City:
• To offer substantive observations and recommendations relating to accounting and
operating control policies and procedures.
• To identify opportunities for operating efficiencies and isolate candidate activities for
cost reduction opportunities.
• To perform a professional audit in an efficient and effective way to minimize disruption
to the office operations.
• To offer ongoing advisory services to assist in the running of the operation and
implementation of improved operating procedures.
The engagement will be conducted within the framework of the Firm's quality control program
which includes the use of audit programs, careful planning, use of computerized audit software
and internal control evaluation and documentation software, and objective review procedures.
On -site staff will use Firm supplied portable computers and printers.
Audit Approach
The specific audit approach has been designed to efficiently and effectively address the audit
requirements of the City, to perform the audit of the City's financial records in a timely manner
with minimal disruptions to office operations, and to meet the City's timeline.
The audit will be conducted in accordance with:
1) Generally accepted auditing standards established by the AICPA
2) The standards contained in Government Auditing Standards issued by the GAO
3) Provisions of the Single Audit Act and the Uniform Guidance
4) Requirements issued by the California State Controller's office
5) Other requirements as required
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DocuSign Envelope ID: EBB930E7-4839-427C-A559-18DA8B474EDE
City of Dublin Technical Proposal
We will conduct the necessary audit steps to perform:
• Planning of the engagement
• Evaluation of the existing internal control environment to determine degree of risk of
material misstatement
• Determination of degree of compliance with laws, regulations, grant provisions, and City
approved policies
• Assessment of potential fraudulent issues
• Validation of account balances
• Verification of reasonableness of management estimates
Technical Approach
We use an industry specific audit approach tailored to governmental entities. Our
governmental audit approach addresses the special risks and circumstances of local
governments. As a result, the audit is conducted efficiently and effectively with minimal
disruption to your staff.
The core of our governmental technical audit approach can be summarized as follows:
1. Planning. Understanding and Communication:
Based on our previous audit experience, using the budget, organizational charts, manuals
and other financial information systems and our knowledge of how governments work, we
will obtain an insight to the specific concerns and sensitivities of the City. Our
understanding is updated continuously through our year-round contact and
communication efforts. We will agree on common audit objectives and expectations with
management before audit work begins and, throughout the audit, will meet regularly with
management to discuss audit issues and to gather feedback.
2. In -Depth Review of Systems and Controls:
We have developed diagnostic reviews which enable us to evaluate your systems and
controls, and to provide management with constructive feedback. Combined with our
knowledge of the City and understanding and experience with the City's accounting
software, our control review will form the basis of our audit risk assessment. We will utilize
the COSO approach in our evaluation of the City's internal processes to identify potential
control deficiencies. In future years, we will update our understanding through similar
procedures.
3. Risk -Based Customized Testing Program:
Our audit approach is tailored to governmental applications. We will use audit programs
specifically designed to address the operational environment of governmental entities. Our
approach will identify potential control risks and the opportunities for risk of material
misstatements and fraud. We will evaluate the various risk assessments and identify the
potential risks relating to the:
• Balance Sheets / Statement of Net Position
• Statement of Revenues and Expenditures / Statement of Activities
• Presentation
• Disclosure
Our audit procedures will then be developed to address these risk areas.
4. Expanded Interim Fieldwork:
Timeliness and audit efficiency is enhanced by performing extensive interim work.
Partners, managers and senior staff work with City staff to identify and resolve potential
audit issues early. Accordingly, the amount of audit work to perform at year end is
minimized. Because our audit staff is familiar with the operations before year-end fieldwork
begins, disruption of accounting staff is minimized.
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DocuSign Envelope ID: EBB930E7-4839-427C-A559-18DA8B474EDE
City of Dublin Technical Proposal
5. Smooth Transition:
Our testing program focuses on audit risks identified by our understanding of the City's
operations. We will work with the accounting staff to identify the most effective ways to
address our objectives. Communication between the members of the audit engagement
team and City staff will be fluid and continuous.
6. Sample Size and Sampling Techniques:
Our audit approach will include sampling activities. Population size and the level of
assurance to be derived from a particular test will dictate the sample size. We use
sampling in our audit approach to compliment skilled judgment and knowledge of the
particular situation. Our sample size will range normally from 25 to 60 items.
7. Automated Systems:
We will evaluate controls over the IT functions to assess control risk. We intend to test
controls for purposes of reliance. Our review procedures will evaluate controls over:
• Security Management
• Logical and Physical Access
• Configuration Management
• Segregation of Duties
• Contingency Planning
In addition, we will review controls over:
• Input, processing, output, master data
• Application interface
• Data management system interface
8. Analytical Procedures:
We use analytical procedures in several aspects of our audit. Extensive knowledge and
industry background are required for effective analytics, and our staff possesses the
appropriate experience and knowledge for the City to benefit from these procedures.
9. Approach to be Taken in Determining Laws and Regulations Subiect to Audit Test
Work:
We continuously refer to specific regulations, compliance supplements, state guidelines
and contracts currently in force. We perform the procedures required related to laws and
regulations, using inquiries, observations and sampling techniques. Some of the laws and
regulations that we believe may be applicable to the City are the requirements of the
California Public Utilities Commission, Single Audit Act and other applicable laws and
regulations, including the California Government Code, provisions of applicable Grant
guidelines, California Constitution GANN Limit requirements, requirements of local
measures, Child Care Program compliance requirements, etc.
10. Report Format:
We will meet with City Management to review report formats. Any report format changes
will be made in conjunction with approval from the City Management.
11. Work Plans:
The detailed work plans will be designed to efficiently and effectively address the audit
requirements of the City in accordance with generally accepted auditing standards, to
perform the audit of the City's financial records in a timely manner with minimal disruptions
to office operations, and to meet the City's timeline.
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DocuSign Envelope ID: EBB930E7-4839-427C-A559-18DA8B474EDE
City of Dublin
Technical Proposal
12. Adiustina Journal Entries:
We will discuss and explain proposed audit adjusting entries with the City's designated
Finance Department personnel prior to recording. Audit adjusting entries will be provided
in a format showing the lowest level of posting detail needed for data entry on the City's
general ledger system.
13. Listinci of Schedules and Tables (anticipated to be prepared by the City):
Based on preliminary inquiries made with management and City staff and review of
documents, we will tailor a list of schedules, tables, and other reconciliations required for
the audit. We will take into account as much as possible reconciliations already prepared
by the City for day to day operations and reporting, as well as any reports that are system
generated to limit the need for additional City staff hours.
The following is a listing of some of the significant reconciliations and schedules that we
would normally expect the City to provide to us in assisting us in conducting our fieldwork.
• Trial Balance
• Annual Comprehensive Financial
Report Account Roll Up
Schedules
• Budget to Actual Reports
• Bank Reconciliations
• Listing of manually prepared
journal entries posted
• Summary of Investments held by
the City
• Capital Asset Schedules
• Long Term Debt Schedules
• Debt amortization schedules &
Calculations of deferred amounts
• Calculations of any debt
covenants amounts or
percentages
• Schedule of Leases
• Schedule of Expenditures of
Federal Awards
• Analysis of Deferred Inflows of
Resources and Deferred
Outflows of Resources
• Reconciliation of Receivables to
subsidiary ledgers
• Calculations for estimate of
allowance for uncollectible
accounts
• Loans Receivable Schedules
• Reconciliation of Significant
Revenue Accounts
• Fee schedules
• Compensated Absences
Schedules and Copies of Related
Policies
• Claims Payable Schedules
• Pension and OPEB Roll Forward &
Supporting Schedules
• GASB 54 Fund Balance Roll
Forward Schedule
• Interfund Transaction Schedules
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DocuSign Envelope ID: EBB930E7-4839-427C-A559-18DA8B474EDE
City of Dublin Technical Proposal
Use of
Technology in
the Audit
The Firm maintains a variety of specialized software packages during the audit that enable us
to perform an efficient, thorough, and timely audit and keeping time demands on City staff to
a minimum.
Trial Balance Management and Financial Statement Preparation
ProSystem Fx Engagement allows us to import and manage multiple years of trial balance
data including budgetary information, create multiple account groupings, generate reports,
post journal entries proposed during the audit (including GASB 34 conversion entries), and
link information directly to the financial statements. This gives us the ability to:
➢ Generate immediate trend and other comparative analysis of trial balance and budget
data prior to the start of the audit. This allows us to identify potential issues and make
inquiries early in the audit
➢ Link the financial statements and footnotes prior to the start of the audit allowing us to
have majority of the financial statements (including budgetary comparison schedules
and other supplementary information) prepared at the time the trial balance is
uploaded
➢ Audit adjustments or City adjustments provided during the audit are automatically
reflected in the financial statements
Audit Request Management and Document Exchange
CCH Engagement Organizer ("Organizer") is a virtual "Prepared by Client (PBC) List" that
streamlines the process of requesting, receiving, and keeping track of documents. The
Organizer is an integrated cloud -based request list that helps to facilitate the engagement
through more seamless collaboration between the Firm and our clients. By utilizing the
Organizer, the City can do all of the following in one secure virtual environment:
➢ Attach files of any type to document requests
➢ Easily track the status of document requests that are either pending, completed by
the City, accepted by us, or rejected by us
➢ Access templates and documents from us that require completion
➢ Have multiple City staff get involved and assist in the audit process
➢ Participate in a dialog with us for questions and notes
Especially with having to perform a large part of the audit remotely in 2020, and anticipated
for the upcoming year, we have found that the use of the Organizer has helped our clients be
always informed as to the status of their audit, and not be surprised with new requests or follow
up on outstanding requests previously provided.
Computer Aided Audit Tools (CAATs)
The Firm's data analytics software enables our Engagement Team to perform more than 150
Computer Aided Audit Tools (or "CAATs"). CCH Teammate Analytics gives us the ability to
perform advanced data analysis and increase efficiency. By utilizing this software, we can:
➢ Immediately visualize and analyze 100% of account populations with graphs, charts
and statistics to identify anomalies
➢ Make fewer sample selections that are targeted to problematic areas
➢ Quickly analyze transactional data for:
o Duplicate records
o Missing transactions
o Transaction sequence
o Unusual items
➢ Compare excel worksheets for changes or differences
➢ Generate immediate testing samples
➢ Perform regression analysis
➢ Filter and extract data from City reports
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DocuSign Envelope ID: EBB930E7-4839-427C-A559-18DA8B474EDE
City of Dublin Technical Proposal
Audit Planning, Risk Assessment, and Audit Programs
Our firm utilizes CCH Knowledge Coach, which is an expert system that adapts and
customizes our audit approach specifically based on the City's structure, operating
environment, specific transactions, and identified risks or matters to be addressed in the audit.
The software is frequently updated for new industry trends and audit requirements. Included
in the software is a continuous diagnosis of audit forms that identifies missing information,
procedures, or any conflicts that need to be addressed prior to issuance of the audit report.
We have found that this audit tool greatly benefits our audit clients in the following ways:
➢ Removal of standardized audit steps and procedures that do not add value to the audit
➢ Targeted audit procedures focusing on risks and accounts specific to the City's
operations
➢ Audit is always performed in accordance with audit standards especially the risk
assessment standards
➢ Maximizing audit efficiency having less City staff time dedicated to gathering
information or responding to inquiries by focusing on material issues
➢ Automatic self -diagnostics ensure no audit steps are missed, guaranteeing a quality
audit
Research Tools
We maintain multiple research software packages that are always kept up to date to ensure
compliance with accounting and auditing standards, and are also a resources for us to provide
guidance to our clients. In addition to accounting and audit literature, we have access to
interactive disclosure checklists that include sample footnote disclosures and financial
statements.
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DocuSign Envelope ID: EBB930E7-4839-427C-A559-18DA8B474EDE
City of Dublin Technical Proposal
Audit Schedule
2023
Period Audit Tasks
April - May Planning and Administration
► The entrance conference shall be held with City staff. The purpose
of this meeting will be to discuss prior audits and the interim work
to be performed. This meeting will also be used to establish overall
liaison for the audits and to make arrangements for work space and
other needs
► Review and evaluate the City's accounting and financial reporting.
Prepare an overall memo of recommendations, potential issues,
and suggestions for improvements
► Prepare overall memo to the City confirming audit procedures,
timing, and assistance
► Prepare detailed audit work plan and audit programs, audit budget
and staffing schedule, and list of schedules to be prepared by the
City staff
► Send the Organizer to the City that will include all request items
considered to be necessary for the audit
May - Internal Control Evaluation
► Meeting with City Manager and Department Heads of other
departments with large operating budgets or which have significant
federal grant expenditures
► Attending City Council meetings
► Meeting with off -site locations
► Meeting with key Finance Department personnel
► Obtain and document understanding of key internal control
systems through walk-throughs, interviews of staff, and review of
supporting documentation
o General ledger system
o Budgeting system
o Revenue, accounts receivable, and cash collections
o Purchasing, expenditures, accounts payable, and cash
disbursements
o Payroll
o Federal Financial Assistance
o Other systems
► Identify control risks
► Evaluate IT control environment
► Perform testing of the internal control system and evaluate the
effectiveness of the City's systems. Select large dollar and random
samples of transactions in key operating systems. Sample size to
meet required level for determined degree of risk. Review
supporting documentation of selected transactions, evaluate
adequacy of support and approvals, and conclude on degree of
adherence to accuracy and compliance with City policies
► Conduct fraud assessment procedures
► Assess degree of risk for material misstatement
► Provide to the City's management a memo concerning
management letter points and identify issues, if any
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DocuSign Envelope ID: EBB930E7-4839-427C-A559-18DA8B474EDE
City of Dublin Technical Proposal
2023
Period Audit Tasks
May - Other Tasks
► Review minutes of City Council meetings and other key committees
► Perform preliminary substantive procedures, which would include
tests of:
o Vendor and contractor payments
o Payroll expense
o Pension and OPEB testing
o Capital asset acquisitions
o Journal entries
o Retrospective review of accounting estimates
► Financial statement database management and other setup, in
addition to drafting of all necessary report templates
► Preliminary Single Audit and other compliance testing
► Coordinate with City staff and prepare of all appropriate
confirmation requests including:
o Bank accounts
o Investment pool accounts
o Accounts receivable
o Federal grants
o Revenue from governmental agencies
o Bond and other debts
o Pension plan
o Attorney letters
o Others, as required
► Update the Organizer with any additional requests that will be
needed for the City's audit
► Provide the City with audit plan and list of year-end audit schedules
► Hold progress conference with City Management
► Hold exit conference with City Management
October Final Fieldwork
► Entrance conference with City Management
► Follow-up on all outstanding confirmations
► Verify and validate account balances by reviewing supporting
documentation including invoices, vouchers, council resolutions,
minutes, and other documents, as required
► Perform analytical review of revenue and expenditures. Determine
reason for material differences between budget and actual
► Perform a search for unrecorded liabilities by reviewing
disbursements subsequent to June 30, testing terms of contractual
obligations, and interviewing City staff
► Perform review of subsequent events by discussions with City
Management and update all minutes of City Council and key
committees
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DocuSign Envelope ID: EBB930E7-4839-427C-A559-18DA8B474EDE
City of Dublin Technical Proposal
2023
Period Audit Tasks
- Single Audit Compliance
► Entrance conference with City Management
► Obtain Federal Financial Assistance Schedule
► Determine grants to be considered as major programs including
clusters
► Perform audit tests of major grant programs and compliance with
Federal Law and Regulations
► Review grant documents, select sufficient number of transactions
to test for compliance of Federal Requirements
► Coordinate Single Audit efforts with the Financial Audit efforts
► Communicate findings to City Management
► Other Compliance
November Audit Reports
► Complete drafts of City's Annual Comprehensive Financial Report
► Prepare draft of Single Audit Reports concerning internal control
structure, compliance with laws and regulations, and administering
of federal financial assistance programs
► Prepare other reports as required
► Provide revised final drafts of all required reports to the City for
approval no later than 11/13/2023
December - Final City Audit Reports, Financial Statements, Single Audit
Reports, and other reports delivered no later than 12/4/2023.
Presentation to Audit Committee and Council
January 2024 - State Controller's Reports delivered and submitted
- Single Audit Report package submitted to Federal Audit
Clearinghouse
Estimated Hours by Audit Phase
Position
Planning
Interim
Fieldwork
Year End
Fieldwork
Reporting
Total
Partner
Audit Senior
Professional Audit Staff
Administrative Assistant
Total
9
21
6
24
75
128
10
16
80
117
5
10
15
11
54
186
260
27
36
237
213
41
527
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DocuSign Envelope ID: EBB930E7-4839-427C-A559-18DA8B474EDE
City of Dublin
Technical Proposal
Discussion of
Relevant
Accounting
Issues
Identification of Anticipated Potential Audit Problems
We do not anticipate that there will be any audit problems at the City. However, the following
are some areas that we will carefully investigate and monitor during our audit procedures:
• Financial Reporting:
➢ Review and evaluate that the City's Annual Comprehensive Financial Report are in
compliance with current reporting and disclosures requirements issued by the GASB
and GFOA.
➢ Review the Annual Comprehensive Financial Report for financial reporting
conformance awards issued by CSMFO and GFOA.
➢ Review and evaluate degree of compliance with the various GASBs in effect.
➢ Review degree of compliance with infrastructure obligations and regulatory
provisions.
• Internal Control Structure:
➢ Review and evaluate the City's internal control functions and ascertain compliance
with proper internal control philosophies.
➢ Review computer system processes and controls and evaluate adequacy of the
control environment.
Several new GASB pronouncements will become effective over the time period of this
proposal. As such, specific attention will be provided to determine the proper implementation
of these new pronouncements. A list of known new pronouncements with implementation
dates that fall within this proposal period are as follows:
2023
• Statement 91 — Conduit Debt
• Statement 94 — Public -private Partnerships
• Statement 96 — Subscription -Based Information Technology Arrangements
2024
• Statement100 — Accounting Changes and Error Corrections —an amendment of
GASB Statement No. 62
2025
• Statement101 — Compensated Absences
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DocuSign Envelope ID: EBB930E7-4839-427C-A559-18DA8B474EDE
City of Dublin Technical Proposal
Comprehensive Schedule of Professional Fees
Cost Bid
AUDIT WORK COST PROPOSAL FORM
Service
2023
Hours
2023
2024
2025
2026
2027
City Audit and Related Reports
Single Audit and Related Reports
Measure B Audit
Measure BB Audit
Measure F Audit
GANN Limit Agreed -upon Procedures
City's State Controller's Report
Dublin Financing Authority's State
Controller's Report
Annual Street Report
330
33
35
35
35
6
22
$31,220
3,100
3,340
3,340
3,340
600
2,070
$ 32,275
3,200
3,390
3,390
3,390
640
2,015
$ 33, 055
3,295
3,500
3,500
3,500
670
2,130
$ 33, 980
3,400
3,585
3,585
3,585
705
2,160
$ 34, 945
3,380
3,715
3,715
3,715
745
2,165
17 1,630 1,735 1,835 1,940 2,060
14
1,290
1,375
1,460
1,550
1,655
Total
527
$49,930
$51,410
$52,945
$54,490
$56,095
CERTIFICATION
I, the undersigned, certify that I am duly authorized to represent Badawi & Associate CPAs
and am empowered to submit this bid. In addition, I certify I am authorized to contract with the
City of Dublin on behalf of Badawi & Associates, CPAs
Print Name Ahmed Badawi
Tittle President
�
�_
Signature r
Date November 30, 2022
ESTIMATE OF COST
Position
2023
2024
2025
2026
2027
Hours Rates
Hours Rates
Hours Rates
Hours Rates
Hours Rates
Partner 54 $160 50 $170 49 $170 48 $170 47 $170
Audit Senior 186 100 181 100 177 115 171 125 165 130
Professional Audit Staff 260 80 254
Administrative Assistant 27 70 26 75
Total Hours 527 I 511
Total Cost $ 49,930 $ 51,410
Print Name Ahmed Badawi
Tittle President
90
245 90 239 95 231 105
26 85 25 90 24 100
497 I 483 I 467 I
$ 52,945 $ 54,490 $ 56,095
Signature
Date November 30, 2022
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City of Dublin Technical Proposal
Conclusion
Manner of Payment:
Each Engagement Team member maintains detailed time sheets describing work performed,
date of work, and amount of time spent on each task for the Engagement. The Firm will bill
the City after completion of each phase of the audit and bill the City up to a maximum of
90%. The remaining 10% of the proposal amount will not be due until all final reports are
delivered and accepted by the City. The City can anticipate three billings as follows:
Work Performed
% of Proposal
Amount
For interim work 45%
For year-end work 45%
At presentation and acceptance of final reports 10%
Total 100%
Rates for Additional Professional Services:
Any services outside the scope of our engagement will be promptly identified before the
services are rendered. Upon mutual agreement, the out -of -scope services will be separately
billed at our standard hourly rates. While it can be difficult to simply state hourly rates, as often
times the needs of the client and the specific tasks directly impact the billing rates for our
services, we want to provide the following information regarding our published billing rates:
Position Hourly Rate
Partner $ 200
EQR 200
Manager 150
Senior 125
Staff 100
Admin. 75
Our Standard Hourly Rates are adjusted annually by 3% for Cost of Living and Inflation
Adjustments
A client relationship with the City will be of great value to our Firm and we welcome the
opportunity to develop a long-term relationship with the City. We are committed to:
• Rendering the highest standard of service
• Developing a long-term working relationship dedicated to meeting the needs of the City
• Assisting the City in operational issues
• Producing a quality end -product
We have the technical qualifications and experience to provide the level of service desired
and expected by the City and stand ready to provide our knowledge and experience for the
benefit of your organization.
We would like to express our appreciation to the City and to its Staff for allowing us the
opportunity to submit a proposal to perform professional auditing services. We are available,
at your convenience, to discuss any aspects of our proposal.
Thank you for allowing us to present our Firm to you.
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City of Dublin Technical Proposal
Appendix A References
1) City of Berkeley
• Scope of Work: Annual Comprehensive Financial Report, Gann Limit, SAS114, Measure
B (Alameda County), Vehicle Registration Fee Audit (Alameda County), Due Diligence
Reviews for the RDA Successor Agency
• Engagement Partner: Ahmed Badawi (2008 — 2019), Mitesh Desai (2020- Present)
• Address: 2180 Milvia Street, Berkeley, CA 94704
• Principal Contact:
Henry Oyekanmi
Finance Director
(510)981-7332
hovekanmi( ci.berkelev.ca.us
2) City of Antioch
• Scope of Work: Annual Comprehensive Financial Report, SAS 114, GANN Limit, Single
Audit, Antioch Public Financing Authority, Antioch Area Public Facilities Financing Agency
• Engagement Partner: Ahmed Badawi (2005 — 2019), Mitesh Desai (2020- Present)
• Address: 200 H Street, Antioch, CA 94509
• Principal Contact:
Dawn Merchant
Finance Director
(925)779-6135
dmerchantaci.antioch.ca.us
3) City of San Luis Obispo
• Scope of Work: Annual Comprehensive Financial Report, Single Audit, Gann Limit,
SAS114, Whale Rock Commission
• Engagement Partner: Ahmed Badawi (2019 — Present)
• Address: 990 Palm Street, San Luis Obispo, CA 93401
• Principal Contact:
Brigitte Elke
Finance Director
(805)781-7125
belke anslocitv.ora
4) City of Petaluma
• Scope of Work: Annual Comprehensive Financial Report, Transportation Development Act
Fund, SAS 114
• Engagement Partner: Ahmed Badawi (2019 — Present)
• Address: 11 English St, Petaluma, CA 94952
• Principal Contact:
Corey Garberolio
Finance Director
(707)778-4357
caarberot citvofpetaluma.ora
5) City of Lafayette
• Scope of Work: Annual Comprehensive Financial Report, Single Audit, Gann Limit, TDA,
Lamorinda Fee and Finance Authority Report, Lamorinda School Bus Transportation
Agency Report
• Engagement Partner: Ahmed Badawi (2020 — Present)
• Address: 3675 Mount Diablo Blvd., #210, Lafayette, CA 94549
• Principal Contact:
Tracy Robinson
Administrative Services Director
(925)299-3227
trobinson aalovelafavette.ora
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City of Dublin Technical Proposal
Appendix B Exceptions to the Contract
With regard to the Standard Consulting Services Agreement, we would like the following items
to be edited:
Appendix A, Consulting Services Agreement, Section 9. Keeping and Status of Records,
9.1 Records Created as Part of Consultant's Performance, we would like to edit the paragraph
as follows:
Section 9. KEEPING AND STATUS OF RECORDS.
9.1 Records Created as Part of Consultant's Performance. Unless such
property is proprietary in nature, all reports, data, maps, models, charts,
studies, surveys, photographs, memoranda, plans, studies, specifications,
records, files, or any other documents or materials, in electronic or any other
form, that Consultant prepares or obtains pursuant to this Agreement and that
relate to the matters covered hereunder shall be the property of the City.
Consultant hereby agrees to deliver those documents to the City upon
termination of the Agreement. It is understood and agreed that the documents
and other materials, including but not limited to those described above,
prepared pursuant to this Agreement are prepared specifically for the City and
are not necessarily suitable for any future or other use. City and Consultant
agree that, until final approval by City, all data, plans, specifications, reports
and other documents are confidential and will not be released to third parties
without prior written consent of both Parties.
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