City of
East Palo Alto
PRICING PROPOSAL
For Professional Auditing Services
for the City of East Palo Alto
For fiscal year ending June 30, 2022
January 31, 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: [email protected]
City of East Palo Alto Pricing Proposal
1 Name of Firm and Certification
Name of Firm: Badawi & Associates
Address: 2855 Telegraph Avenue, Suite 312
City, State, Zip: Berkeley, CA 94705
Contact Name: Ahmed Badawi
Contact Telephone Number(s): 510-768-8244
Contact Fax Number(s): 510-768-8249
Contact E-mail Address: [email protected]
I, the undersigned, certify I am duly authorized to represent the above named firm and am empowered to submit this bid. In addition, I certify I am authorized to contract with the City of East Palo Alto on behalf of the above named firm.
President January 31, 2022
Signature Title Date
Ahmed M. Badawi
___________________________________
Name (print)
City of East Palo Alto Pricing Proposal
2 Our fees are firm fixed prices that are based on an estimate of 528 hours to perform procedures necessary to provide the requested services. In determining our fees, we understand that the City’s records will be in condition to be audited; that is, transactions will be properly recorded in the general ledger and subsidiary records, these accounting records and the original source documents will be readily available to use, we will be furnished with copies of bank reconciliations, and other reconciliations and analyses prepared by the City and City personnel will be reasonably available to explain procedures, prepare audit correspondence and obtain files and records.
Circumstances may arise during the engagement that may significantly affect the targeted completion dates and our fee estimate. As a result, additional fees may be necessary, which we will communicate and discuss with the City. Such circumstances include but are not limited to the following:
1. Changes to the timing of the engagement at your request. Changes to the timing of the engagement usually require reassignment of personnel used by Badawi & Associates (“the Firm”) in the performance of services hereunder. However, because it is often difficult to reassign individuals to other engagements, the Firm may incur significant unanticipated costs Service
2022
Hours 2022
City Audit and Related Reports 366 $ 47,105
Single Audit and Related Reports 83 10,650
Measure A 12 1,540
Measure C 6 800
Measure HH 12 1,500
Measure W 12 1,500
GANN Limit Review Report 3 390
State Controller's Reports 34 4,300
Total Cost 528 $ 67,785
Audit Work Cost Proposal Form
Position Hours
Standard
Hourly
Rates
Quoted
Hourly
Rates
Quoted
Fee
Partner 52 250 $ 200$ 10,400 $
Audit Manager 114 200 180 20,520
Audit Senior 154 160 120 18,480
Professional Audit Staff 173 130 95 16,435
Administrative Assistant 26 100 75 1,950
Total 528 $ 67,785
Schedule of Rates and Estimated Hours of Each Labor Class For Fiscal Year 2021/22 Professional Audit Services
City of East Palo Alto Pricing Proposal
3 2. All requested schedules are not (a) provided by the accounting personnel on the date requested, (b) completed in a format acceptable to the Firm (c) mathematically correct, or (d) in agreement with the appropriate underlying records (e.g., general ledger accounts). The Firm will provide the accounting personnel with a separate listing of required schedules and deadlines.
3. Weaknesses in the internal control structure.
4. Significant new issues or unforeseen circumstances as follows:
a. New accounting issues that require an unusual amount of time to resolve. b. Changes or transactions that occur prior to the issuance of our report. c. Changes in the City’s accounting personnel, their responsibilities, or their availability. d. Changes in auditing requirements set by regulators.
5. Significant delays in the accounting personnel’s assistance in the engagement or delays by them in reconciling variances as requested by the Firm. All invoices, contracts and other documents which we will identify for the City, are not located by the accounting personnel or made ready for our easy access.
6. A significant level of proposed audit adjustments is identified during our audit.
7. Changes in audit scope caused by events that are beyond our control.
8. Untimely payment of our invoices as they are rendered.
City of East Palo Alto Pricing Proposal
4 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 $ 250
EQR 220
Manager 200
Senior 160
Staff 130
Admin. 100
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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