AGENDA
ITEM
23 AGENDA
CALEXICO California ITEM
MEXICO MEET
23 CITY COUNCIL
AGENDA STAFF REPORT
DATE: September 2, 2026
TO: Mayor and City Council
Benjamin Martinez, City Manager Ba
APPROVED BY:
PREPARED BY: Karla Chaparo, Finance Director L
SUBJECT: Results of Request for Proposals (RFP) for Forensic Audit of the Finance and Public Works Departments
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Recommendation:
It is recommended that the City Council receive and file this informational report regarding the proposals received in response to the Request for Proposals (RFP) for the forensic audit of the Finance and Public Works Departments of the City of Calexico for the period of July 1, 2014 through June 30, Background:
On February 20, 2025, the City of Calexico issued a Request for Proposals (RFP) seeking qualified and experienced firms to conduct a comprehensive forensic audit of the City's Finance and Public Works Departments for the ten-year period of July 1, 2014 through June 30, 2024.
The RFP was intended to provide an independent review of the City's financial records, financial processes, and financial reporting within both departments. The objectives included identifying potential irregularities, fraud, misappropriation, or noncompliance; evaluating the effectiveness of existing internal controls; and identifying opportunities to strengthen the City's financial practices and procedures.
The scope of the proposed audit was extensive and included numerous areas within Finance and Public Works, including payroll, accounts payable and receivable, general ledger activity, utility billing, investments, grants, capital projects, change orders, solid waste, water and wastewater operations, and compliance with City RFP requirements.
The selected firm would also have been required to provide a preliminary assessment, a comprehensive forensic audit report outlining its findings, conclusions, and recommendations, and a presentation of the results to the City Council and other relevant stakeholders.
Proposals were due to the City by 2:00 p.m. on March 20, 2025.
Discussion and Analysis:
The City received a total of seven (7) proposals in response to the RFP, as summarized below:
Consulting Firm Hourly Rate Proposed Fee / Fee Range
Eide Bailly Fraud & Forensic Advisory Partners $250-5450 $127,500-$197,000 CBIZ Forensic Consulting Group, LLC $195 $234,000-$273,000 RSM US LLP $205-$645 $115,000-$135,000
Carr, Riggs & Ingram CPAs and Advisors $115-$425 $320,025-$479,950 CLA - CliftonLarsonAllen LLP N/A $924,808-$1,609,260
Moss Adams LLP $260 $110,000-$140,000
UHY Advisors Mid-Atlantic, Inc. $130-S450 $93,270-$186,540 The proposals varied significantly in cost, staffing levels, and proposed approach. Proposed costs ranged from approximately $93,000 to $1.6 million, depending on the firm and proposed scope of work.
The RFP provided the City flexibility to modify the scope, including potentially reducing the audit period from ten years to five years in certain areas, to better align the project with the City's priorities and available financial resources.
This report is being presented to the City Council for informational purposes to provide the results of the RFP process and the potential costs associated with conducting the forensic audit. No contract award is being requested as part of this agenda item.
Fiscal Impact:
There is no fiscal impact associated with receiving and filing this informational report Should the City Council direct staff to pursue a forensic audit, the City would need to initiate a new procurement process and issue a new RFP, as the proposals summarized in this report were received in March 2025 and are no longer current. The fiscal impact would therefore be based on the updated proposals received, the final scope of work, period reviewed, and available funding source.
Coordinated With:
City Manager's Office
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