AGENDA
ITEM
7 AGENDA STAFF REPORT
CALEXICO
DATE: May 17, 2023
TO: Mayor and City Council
APPROVED BY: Esperanza Colo Waren, City Manager a Cale a PREPARED BY: Sandra L. Fonseca, Interim Finance Director X SUBJECT: Approve Extension of The Pun Group Accountants & Advisors Contract for Financial Audit Services for the City of Calexico for Options Approved on May 2022 for Fiscal Years Ending 2023 and 2024
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Recommendation:
Recommend that the City Council approve the extension of The Pun Group Accountants & Advisors contract for Financial Audit Services for the City of Calexico for Option Approved on May 18, 2022, for Fiscal Years Ending 2023 and 2024.
Background:
The Pun Group has been working with the City of Calexico for several years, providing financial audits and assistance, in addition to working closely with staff and the financial contract representative.
The professional quality of The Pun Group is commendable, and the familiarity and track record with the City of Calexico is excellent; all good reason to continue with this firm.
City Council approved The Pun Group's contract for Year Ended 2022, with Options for Years Ended 2023 and 2024, to continued with Audit Services for two (2) additional years, (2023 & 2024).
Discussion & Analysis:
The Pun Group is familiar with the City of Calexico's financial struggles, and has diligently guided the City of Calexico through their audits and recommendations.
AGENDA
ITEM
7 Fiscal Impact:
1. $79,000 for FY 2023
2. $81,850 for FY 2024
Coordinated with:
None.
Attachment:
The Pun Group May 5, 2022 Audit Services Contract Extension - Fiscal Year Ending June 30, 2022 with the Option to Extend for two (2) Additional Fiscal Years 2 FUN GROUP
ACCOUNTANTS & ADVISORS
May S. 2022
City of Calexico
Ms. Sandra L. Fonseca, Interim Finance Manager
420 Heber Ave
Calexico, CA 92231
Audit Services Contract Extension - Fiscal Year Ending June 30, 2022, with the option to extend for two (2) additional fiscal years
Dear Ms. Fonseca:
I would like to take this opportunity to thank you for the confidence and support the City of Calexico (the "City") has provided to us over the past years and present this letter for your consideration regarding exfending The Pun Group, Lup's contract with the City.
We have developed an understanding of the City's operations that has aided us in providing quality Audit Services.
With that knowledge, we have been able to expand our audit efforts and provide observations that have assisted the City's staff. We have also demonstrated our ability to respond to requests of the City and our ability to deliver quality services. It is our understanding the City of Calexico has been satisfied with our efforts.
We would like to propose an extension of our Audit Services contract to include Fiscal Year Ending June 30, 2022. with the option to extend for two (2) additional fiscal years. The objective of our audits is to issuc an opinion regarding the fairness of the presentation of the City's financial statements in accordance with generally accepted accounting principles. The proposed total all-inclusive maximum price ('2) is presented as follows:
FY 2022 $77,250
FY 2023 (Optional) $79,500
FY 2024 (Optional) $81,850
• Above quote includes Single Audit services based on up to one (1) major program. The fces to audit additional major programs will be $5.000 cach. The number of programs determined to be "major" will be based on OMB Uniform Guidance. The Engagement Team will discuss this with the City's Managemeht before starting Single Audit work.
i Supplemental reports, audits, or agreed-upon procedures must be added in a written agreement prior to commencing audit work. The Firm and the City will discuss and approve the scope and associated costs of these lasks.
If the City agrees with the foregoing, please sign the copy of this letter in the space provided and return it to us. serial er on the continue nue ta ta tip i te i d. lei and sane a pre e all me at (949) 777- 8801.
Sincerely,
The Pun Group, LLP
Kenneth H. Pun, CPA, CGMA | Managing Partner
4660 La Jolla Village Drive, Suite 100, San Diego, California 92122 www.pungroup.cpa
City of Calexico
Audit Services Contract Extension
***
This letter correctly sets forth the understanding of the City of Calexico as described Acknowledged by:
Diego Favila. Interim City Manager
City of Calexico
Signature
05-26-2022
Date
CITY OF CALEXICO
MINUTE ORDER
CALEXICO
DATE OF MEETING: May 18. 2022
THE CITY COUNCIL OF THE CITY OF CALEXICO on motion by Mayor Pro Tem Garcia. seconded by Council Member Ureña.
Approved the following: Approve an Extension of the Pun Group Accountants & Advisors Contract to Provide Annual Financial Audit Services for the City of Calexico for Fiscal Years Ended June 30. 2022. with Options for 2023 and 2024
Voting was follows:
AYES: Moreno, Garcia, Ureña, Romo. Arreola-Fernandez.
NOES: None
ABSENT: None
ABSTAIN: None
AGENDA ITEM NO. : 17
Davie
OFFICE OF THE CITY CLERK
GABRIELAT. GARCIA. CITY CLERK