ADMINISTRATIVE REPORT
MEETING DATE: July 9, 2025 AGENDA CATEGORY: Consent - PSVS TO: Honorable Mayor and City Council
FROM: Christian Clegg, City Manager
DATE: June 13, 2025
SUBJECT: Agreement with Baker Tilly Advisory Group, LP (not to exceed $200,000) for multidisciplinary internal audit and specialization services
[Document Description]
RECOMMENDATION:
Staff recommends approval of agreement.
BACKGROUND:
In July 2021, the City of Bakersfield engaged Moss Adams LLP to conduct an independent enterprise risk assessment (“risk assessment”) and internal control review to analyze the City’s overarching areas of risk.
Moss Adams LLP evaluated 19 categories of risk and business processes within each category, that collectively comprise operations across the organization. The risk assessment identified current levels of risk, the likelihood of occurrence and impact of a negative event, and the level of preparedness in terms of mitigating negative events.
On Monday, February 28, 2022, the City of Bakersfield issued a request for proposal (RFP) for organizational audit and optimization services . These services include the development of an Internal Audit and Optimization Plan that would implement improvements recommended by the risk assessment and identify changes needed for the City to optimize services related to the recommendations. The City received proposals from two firms and moved forward with a contract with Moss Adams LLP. Moss Adams LLP best met the needs of the City to provide multidisciplinary internal audit and optimization services.
In May 2022, the City entered into a three -year agreement with Moss Adams LLP (2022 -0870) with the option to renew for two consecutive, one-year terms. Since 2022, Moss Adams LLP has provided the city with several projects and deliverables such as: a Technology Services Department Assessment; Capital Planning and Best Practice Review; the devel opment of policies and procedures for Economic & Community Development and Technology Services; a Space Needs Assessment; a Grants Management Performance Assessment; and several others.
In June 2025, Moss Adams LLP notified the City that effective June 3, 2025, Moss Adams LLP entered into an equity purchase agreement under which Moss Adams LLP combined with Baker Tilly Advisory Group, LP (Baker Tilly). Baker Tilly is a leading advisory, tax, and assurance firm in the US that has a global network of clients and business advisory firms.
Staff recommends approval of a new, one-year agreement with Baker Tilly, not to exceed $200,000, with the option to renew annually thereafter for one (1) consecutive one-year periods for $150,000 per year, for organizational audit and optimization services. Renewal options shall be at the sole discretion of the City.
FISCAL IMPACT:
Funding for this agreement comes from the Public Safety & Vital Services Measure.
COUNCIL GOAL:
Innovative and Efficient City Government
ATTACHMENTS:
(1) Exhibit A