CITY OF
FARMERSVILLE
Farmersville City Council
Regular Meeting
Tina Hernandez, Mayor
Danny Valdovinos, Mayor Pro Tem Monday, August 12, 2024 6:00 PM Gregorio Gomez, Council Member Meeting held in Civic Center Council Chambers Paul Boyer, Council Member - 909 W. Visalia Road Farmersville, California Armando Hinojosa, Council Member
Pending no technical difficulties, the City Council meeting will also be streamed (for observation only) via Zoom and accessed as follows:
Please dial 1-669-900-6833
Meeting ID: 872 1662 8119
Password: 984759
1. Call to Order:
2. Roll Call:
3. Invocation:
4. Pledge of Allegiance:
5. Public Comment:
Provides an opportunity for members of the public to address the City Council on items of interest to the public within the Council's jurisdiction and which are not already on the agenda this evening. It is the policy of the Council not to answer questions impromptu. Concerns or complaints will be referred to the City Manager's office. Speakers should limit their comments to not more than two (2) minutes. No more than twenty (20) total minutes will be allowed for Public Comment. For items which are on the agenda this evening, members of the public will be provided an opportunity to address the council as each item is brought up for discussion. Comments are to be addressed to the Council as a body and not to any individual Council Member.
6. Presentations:
Recognition of the Public Works Department
Recess 15 minutes
7. Consent Agenda:
Under a CONSENT AGENDA category, a recommended course of action for each item is made. Any Council Member or Member of the Public may remove any item from the CONSENT AGENDA in order to discuss and/or change the recommended course of action, and the Council can approve the remainder of the CONSENT AGENDA.
A. Authorization to waive full reading of ordinances and resolutions and to identify by title only.
Recommend that the City Council approve the full reading of all ordinances and resolutions be waived and to identify by title only.
B. Minutes of Regular City Council Meeting of July 22, 2024 Recommend approval of minutes:
Documents: Draft Action Minutes of July 22, 2024
Draft Action Minutes of August 8, 2024
Engagement Letter for Annual Audit
Recommend that the City Council authorize the Mayor to sign the engagement letter to commission Price Paige & Co. to perform annual financial audit for FY 2024-25
Documents: Engagement Letter
General Business:
A. Street Sweeping Services Contract
Recommend that the City Council approve the contract for Street Sweeping Services with Sweeping Corp of America.
Documents: Street Sweeping Proposal
•
Council Reports
A. City Council Updates and Committee Reports
10. Staff Communications:
A. Staff Updates and Reports
11. Future Agenda Items:
Description Responsible Party Agenda Date
Amend Ordinance- Temporary Outdoor Use Permit City Attorney Site Visits to Woodlake, Exeter, and Lindsay Acting City Manager Watering Restrictions Public Works Director
Update City Ordinance related to Code Enforcement City Attorney Transit Services with Visalia Transit and TCRTA City Attorney Downtown Drinking Fountain Public Works Director
Red Curb @ N. Matthew and W. Walnut City Engineer
Pre-Approved ADU Plans and ADU Flyer City Attorney
Self Help to present RE: Single-Family Low-Income Housing Acting City Manager Community Garden City Attorney
12. Adjournment to Closed Session:
A. CONFERENCE WITH LEGAL COUNSEL - POTENTIAL LITIGATION Significant exposure to litigation pursuant to Government Code Section 54956.9 (d)(2): 5 cases
B. CONFERENCE WITH LEGAL COUNSEL- POTENTIAL LITIGATION
Authorize Litigation County of Tulare for violation of State election law CONFERENCE WITH LEGAL COUNSEL- RE: government tort claim Daniel Padilla
NOTICE TO PUBLIC
The City of Farmersville Civic Center and City Council Chambers comply with the provisions of the Americans with Disabilities Act (ADA). Anyone needing special assistance please contact City Hall at (559) 747-0458 please allow at least six (6) hours prior to the meeting so that staff may make arrangements to accommodate you.
Materials related to an item on this agenda submitted to the Council after distribution of the agenda packet are available for public inspection in the City's offices during normal business hours.
CITY OF
FARMERSVILLE Farmersville City Council
Regular Meeting
Tina Hernandez, Mayor
Danny Valdovinos, Mayor Pro Tem Monday, July 22, 2024 6:00 PM Gregorio Gomez, Council Member Meeting held in Civic Center Council Chambers Paul Boyer, Council Member - 909 W. Visalia Road Farmersville, California Armando Hinojosa, Council Member
Pending no technical difficulties, the City Council meeting will also be streamed (for observation only) via Zoom and accessed as follows:
Please dial 1-669-900-6833
Meeting ID: 876 1725 9778
Password: 261649
Call to Order: 6:00 pm.
Roll Call:
Title Status Arrived
Mayor Hernandez Present 6:00 pm
Mayor Pro Tem Valdovinos Present 6:00 pm.
Council Member Gomez Present 6:00 pm.
Council Member Boyer Absent
Council Member Hinojosa Present 6:00 pm
Invocation: Mayor Hernandez
Pledge of Allegiance: Mayor Hernandez
5. Public Comment:
David Lemeke, a resident of Farmersville, expressed concerns to the Council about cameras in the city not recording and the unavailability of drone footage from the 4th of July. He also reported loose rocks on Farmersville Blvd.
Dennis Anderson, a resident of Farmersville, inquired about the roadwork scheduled for completion on Front Street. City Attorney Mike Schulte informed him that the City is currently working with the City Engineer and noted that the project will cover a larger area than initially projected
Provides an opportunity for members of the public to address the City Council on items of interest to the public within the Council's jurisdiction and which are not already on the agenda this evening. It is the policy of the Council not to answer questions impromptu. Concerns or complaints will be referred to the City Manager's office. Speakers should limit their comments to not more than two (2) minutes. No more than twenty (20) total minutes will be allowed for Public Comment. For items which are on the agenda this evening, members of the public will be provided an opportunity to address the council as each item is brought up for discussion. Comments are to be addressed to the Council as a body and not to any individual Council Member.
6. Presentations:
Introduction and Swearing in for new Public Works Director-Steven Thompson.
Police Chief Jay Brock introduced the new Public Works Director, Steven Thompson, and gave a brief background. Steven Thompson introduced himself, stating he is excited about working for the City of Farmersville. City Clerk Rochelle Giovani sworn him in with the Oath of Office.
Consent Agenda:
Under a CONSENT AGENDA category, a recommended course of action for each item is made. Any Council Member or Member of the Public may remove any item from the CONSENT AGENDA in order to discuss and/or change the recommended course of action, and the Council can approve the remainder of the CONSENT AGENDA.
A. Authorization to waive full reading of ordinances and resolutions and to identify by title only.
Recommend that the City Council approve the full reading of all ordinances and resolutions be waived and to identify by title only.
B. Minutes of Regular City Council Meeting of June 24, 2024 Recommend approval of minutes.
Documents: Draft Action Minutes of June 24, 2024
Finance Update for June 2024: Warrant Register and Investment Recommend that the City Council:
1. Approve the Warrant Register as presented for the period. This report Period represent warrants issued for the current Fiscal Year (2024/2025).
2. Accept the Investment Summary as presented for the period. This reporting period represents an investment summary for the previous month.
Documents: Warrant Register
Treasurer Report
Self Help Revised Contract for Loan Portfolio Management Services Recommend that the City Council approve and direct the Acting Interim City Manager to execute the agreement with Self Help Enterprise Housing Program and Loan Portfolio Management.
Documents: Agreement
E. Department Head Employment Contracts
Recommend that the City Council execute the addendums to the employment agreements for Dept. Heads.
1. Director of Finance and Administration
2. Chief of Police
Documents: Addendums
Resolution 2024-048
CSET Contract for Senior Services
Recommend that the City Council approve the contract with CSET for Senior Services in the amount of $60,000.
Documents: Agreement
City Attorney Mike Schulte pulled item F- SET Contract for Senior Services, for clarification of dollar amount.
Motion to approve as presented.
RESULT APPROVED (UNANIMOUS)
MOVER Councilmember Gomez
SECONDER Mayor Pro Tem Valdovinos
•
AYES Hernandez, Valdovinos, Gomez, Hinojosa
ABSENT Boyer
ABSTAIN none
8. General Business
A. Contract for Public Works Director
: Recommend that the City Council authorize the Acting Interim City Managers to hire the Public Works Director.
Documents: Contract
Resolution 2024-049
City Attorney Mike Schulte informed the Council that the Public Works Director contract had been included in the agenda for their review. He also confirmed with Steven Thompson that he had read and agreed to the contract. Mr. Thompson confirmed that he had reviewed the contract and agreed with its terms.
Councilmember Gomez asked about the procedure for handling issues that arise after hours when Public Works needs to be contacted. Chief Brock advised the Council to call the police department in such situations. The police would assess the situation and then contact Public Works.
Motion to approve as presented.
RESULT APPROVED (UNANIMOUS)
MOVER Councilmember Gomez
SECONDER' Mayor Pro Tem Valdovinos
AYES Hernandez, Valdovinos, Gomez, Hinojosa
ABSENT Boyer
ABSTAIN none
B. Farmersville Boulevard Speed Limit
Recommend that the City Council review the updated information regarding the attached Farmersville Boulevard engineering and traffic survey memorandum, dated Jan. 4, 2023, and accept the 45-mph recommended speed zone for N.
Farmersville Blvd. between Walnut Ave. and Noble Ave.
Documents: Engineering Traffic Survey.
City Engineer Lisa Wallis-Durtra gave a presentation on the speed limit change to 45 mph between Walnut Ave. and Noble Ave. She reminded the Council that the City had requested an engineering and traffic survey to determine the appropriate speed zone for this corridor, completed by QK in January 2023. In March 2024, 4Creeks was asked to review the necessary changes to update the speed limit as previously approved by the Council. Ms. Wallis-Durtra answered questions from the Council.
Councilmember Gomez expressed concerns about using a speed study completed in November 2022 and inquired about the scientific basis of the study. Ms. Wallis -Durtra explained that traffic studies are valid for five years, and after reviewing the study, 4Creeks confirmed its continued relevance. She also advised the Council that traffic studies are conducted during periods of free traffic flow and not in front of schools.
Additionally, she mentioned that various factors are taken into consideration during these studies.
Public Comment- Mr. Lemeke, a resident of Farmersville does not agree with the speed change.
Motion to approve as presented.
RESULT APPROVED (UNANIMOUS)
MOVER Councilmember Hinojosa
SECONDER Councilmember Gomez
AYES Hernandez, Valdovinos, Gomez, Hinojosa
ABSENT Boyer
ABSTAIN None
C. Public Hearing:
asti Astor 202412 62r andscape and Lighting Assessment
Recommend that the City Council conduct the Public Hearing and adopts Resolutions 2024-035- 2024-047 that accept the engineer's report and levy the Assessments for Farmersville's Landscape and Lighting Assessment Districts.
Documents: Resolutions 2024-035-047
City Engineer Lisa Wallis-Dutra reviewed the current 13 landscape and lighting districts with the Council, reminding them that the City maintains the turf, shrubs, trees, irrigation systems, lighting in some districts, and walls in some districts. She mentioned that there are several steps to this process, including the Engineer's Report, advertising in the newspaper for a public hearing, and adopting resolutions.
Mayor Hernandez opened the public hearing at 6:30pm and closed it at 6:30pm. no comment was given.
Motion to approve as presented.
RESULT APPROVED (UNANIMOUS)
MOVER Councilmember Gomez
SECONDER Mayor Pro Tem Valdovinos
AYES Hernandez, Valdovinos, Gomez, Hinojosa
ABSENT Boyer
ABSTAIN none
Council Reports
A. City Council Updates and Committee Reports
Councilmember Hinojosa had concerns regarding a power outage in the City. He also inquired about how many public work employees have been hired in the past couple of months. Chief Brock informed the Council that five people have been hired or promoted.
Councilmember Gomez informed the Council that he attended a TCRTA meeting. He also inquired if information about TCRTA could be posted on social media and the City webpage, including flyers mailed out with utility bills, so that residents would be informed. Mr. Gomez was concerned about the electricity going out, affecting his water pressure. Additionally, he mentioned a Taco Truck set up across the street from the High School and asked about zoning and permits.
Mayor Pro Tem Valdovinos informed the Council that he recently saw Animal Control in town. He also mentioned that he is still collecting back to school items until August 2nd.
Mayor Hernandez inquired about the Road Diet and requested another Survey Monkey survey be given to residents, asking basic questions about the number of traffic lanes they would like to see on Farmersville Blvd. City Attorney Mike Schulte informed the Council that the report is almost complete and will be on the agenda at the end of August. Mayor Hernandez also expressed concerns regarding the canal at Freedom Field. City Attorney Schulte advised that a meeting took place today about the canal, and the Public Works Director is already working on a solution. Additionally, Mayor Hernandez thanked Commander Evrett for his hard work in bringing Public Works up to standard.
10. Staff Communications:
A. Staff Updates and Reports
City Attorney Mike Schulte informed the Council that the search for a new City Manager is still underway, with 7 qualified applicants currently in the running. He also mentioned that Human Resources will be forming a search committee to review the City Manager applications. Mr. Schulte noted that he recently met with the Public Works Director to discuss the next steps for Roy's Park. Additionally, he shared that he met with Freddy Espinoza and his mother to get input on the Park Reservation system, and he will be working with staff to update the application and reservation process. Mr. Schulte also announced plans to implement a Pre-Development Process/Application in collaboration with the City Planner and Planning Coordinator.
Battalion Chief Thomas informed the Council that the Water Tender and Type 6 have been on several assignments making the City $74,000 so far this fire season. Chief Thomas also noted that there have been a lot of heat related calls. Chief Thomas also mentioned that he had a recent meeting with Code Enforcement to get a list of codes that need to be updated.
Mayor Hernandez inquired about a cooling center or the possibility of a service helping residents with air conditioning units. City Attorney Mike Schulte advised the Council that he is currently talking to Boys and Girls Club, CSET and the Library to assist in accommodating their facilities as a cooling center.
Chief Brock let the Council know that National Night Out is going to be Aug fih from 6- 8:30.
11. Future Agenda Items:
Description Responsible Party Agenda Date
Amend Ordinance- Temporary Outdoor Use Permit City Attorney Site Visits to Woodlake, Exeter, and Lindsay Acting City Manager Water Restrictions Acting PW Director
Update City Ordinance related to Code Enforcement City Attorney Transit Services with Visalia Transit and TCRTA City Attorney Downtown Drinking Fountain Acting PW Director
Red curb @ N. Matthew and W. Wainut City Engineer
Pre-Approved ADU Plans and ADU Flyer City Attorney
Invite Self Help to present RE: Single-Family Low-
Income Housing
Community Garden City Attorney
Mayor Hernandez adjourned to closed session at 7:16pm.
12. Adjournment to Closed Session:
A. CONFERENCE WITH LEGAL COUNSEL - POTENTIAL LITIGATION Significant exposure to litigation pursuant to Government Code Section 54956.9 (d)(2): 5 cases
Mayor Hernandez adjourned closed session at 8:40 pm with nothing to report.
Mayor Hemandez adjourned the meeting at 8:40 pm.
NOTICE TO PUBLIC
The City of Farmersville Civic Center and City Council Chambers comply with the provisions of the Americans with Disabilities Act (ADA). Anyone needing special assistance please contact City Hall at (559) 747-0458 please allow at least six (6) hours prior to the meeting so that staff may make arrangements to accommodate you.
Materials related to an item on this agenda submitted to the Council after distribution of the agenda packet are available for public inspection in the City's offices during normal business hours.
CITY DF
FARMERSVILLE Farmersville City Council
Special Meeting
Tina Hernandez, Mayor
Danny Valdovinos, Mayor Pro Tem Thursday August 8, 2024 2:00 PM Gregorio Gomez, Council Member Meeting held in Civic Center Council Chambers Paul Boyer, Council Member - 909 W. Visalia Road Farmersville, California Armando Hinojosa, Council Member
Pending no technical difficulties, the City Council meeting will also be streamed (for observation only) via Zoom and accessed as follows:
Please dial 1-669-900-6833
Meeting ID: 830 3355 6932
Password: 431600
1. Call to Order: 2:03 pm
Roll Call:
Title Status Arrived
Mayor Hernandez present 2:00 pm
Mayor Pro Tem Valdovinos absent
Council Member Gomez present 2:00 pm
Council Member Boyer present 2:00 pm
Council Member Hinojosa Present 2:00 pm
3. Invocation: (Reserved)
4. Pledge of Allegiance: (Reserved)
5. Public Comment: (Reserved)
Provides an opportunity for members of the public to address the City Council on items of interest to the public within the Council's jurisdiction and which are not already on the agenda this evening. It is the policy of the Council not to answer questions impromptu. Concerns or complaints will be referred to the City Manager's office. Speakers should limit their comments to not more than two (2) minutes. No more than twenty (20) total minutes will be allowed for Public Comment. For items which are on the agenda this evening, members of the public will be provided an opportunity to address the council as each item is brought up for discussion. Comments are to be addressed to the Council as a body and not to any individual Council Member.
6. Presentations: (Reserved)
7. Consent Agenda: (Reserved)
•
Inder a CONSENT AGENDA category, a recommended course of action for each item is made. An jouncil Member or Member of the Public may remove any item from the CONSENT AGENDA in order t discuss and/or change the recommended course of action, and the Council can approve the remainder of the CONSENT AGENDA.
A. Authorization to waive full reading of ordinances and resolutions and to identify by title only.
Recommend that the City Council approve the full reading of all ordinances and resolutions be waived and to identify by title only.
B. Amended authorizing resolutions for County Elections, re administrative edits.
2024-014-Amended Requesting and Consenting to Consolidation of Elections and Setting Specifications of the Elections Order. 2024-015-Amended Requesting the Tulare County Board of Supervisors permit the County Registrar of voters to render specified services to the City.
Motion to approve as presented.
RESULT APPROVED (UNANIMOUS)
MOVER Councilmember Boyer
SECONDER Councilmember Gomez
AYES Hernandez, Gomez, Boyer, Hinojosa
ABSENT Valdovinos
ABSTAIN None
General Business:
A. Homelessness Meeting
City Attorney Michael Schulte addressed concerns about potential solutions and strategies for addressing homelessness. The meeting highlighted the importance of collaboration between various stakeholders, including social services, law enforcement, and non-profits, to create a comprehensive plan that would not only offer immediate relief but also work towards long-term solutions. Araceli Ochoa from Kaweah Health spoke about the many services Kaweah Delta offers and how they assist the homeless.
Councilmember Boyer left meeting at 2:45pm.
Mayor Hemandez adjourned the meeting at 3:29 pm.
•
9. Adjournment to Closed Session: no closed session
10. Reconvene to Open Session:
NOTICE TO PUBLIC
The City of Farmersville Civic Center and City Council Chambers comply with the provisions of the Americans with Disabilities Act (ADA). Anyone needing special assistance please contact City Hall at (559) 747-0458 please allow at least six (6) hours prior to the meeting so that staff may make arrangements to accommodate you.
Materials related to an item on this agenda submitted to the Council after distribution of the agenda packet are available for public inspection in the Cit-y's offices during normal business hours.
CITY OF
FARMERSVILLE
City Council
Staff Report 7C
TO: Honorable Mayor and City Council
FROM: Steve Huntley, CPFO, IPMA-SCP
Director of Finance and Administration
DATE: August 12, 2024
SUBJECT: Engagement Letter for Annual Audit
RECOMMENDED ACTION:
It is respectfully recommended that the City Council authorize the Mayor to sign the engagement letter to commission Price Paige & Co. to perform annual financial audit for FY 2023-24.
BACKGROUND and DISCUSSION:
Each year the City is required to conduct a financial audit of all accounts with an independing auditing firm that is qualified and licensed to do this specific work. The Engagement Letter requires a signature by Governance and by Management. The City Manager has signed this letter as a routine matter of administration and the Mayor seeks the City Council's authorization to sign the engagement letter on behalf of the City Council.
GOA best practices states that, "While there is some belief that auditor independence is enhanced by a practice requiring that the independent audit firm be replaced at the end of each multiyear agreement, unfortunately, the frequent lack of competition among audit firms fully qualified to perform public-sector audits could make a practice of mandatory audit firm rotation counterproductive."
The current audit firm engaged with the City of Farmersville is highly qualified and in recent years, the audit partner, audit manager, and even audit staff working with the City has completely rotated thus reducing risk to the City while maintaining the very beneficial history and year-to-year experience and familiarity keeping the audit process timely and effective.
Price, Paige & Company have proven themselves to be invaluable partners to the City with a great track record of high-quality work that allows the City to be confident in the audit process and therefore continue to function at the highest levels of financial responsibility and openness. •
COORDINATION & REVIEW:
The recommended action has been coordinated and reviewed with the Acting Interim City Manager, Director of Finance and Administration, and Price Paige & Co.
ALTERNATIVES:
Prepare a Request for Proposals and seek out an alternative vendor to perform the Audit.
This alternative is not recommended because it would delay the start and completion of the audit and a new firm is likely to take longer to acclimate to the City's financial system and other requirements, therefore, ultimately costing the City more in the long-run.
FISCAL IMPACT:
The estimate cost of the audit services is included in the FY 2023-24 Budget and is projected at $51,500, a small increase from last year's contract of $49,990 (about 3%).
CONCLUSION:
It is respectfully recommended that the City Council authorize the Mayor to sign the engagement letter for audit services regarding Fiscal Year 2023-24..
ATTACHMENTS(S):
1) Engagement Letter
2 PRICE PAIGE & COMPANY
Certified Public Accountants
The Place to Be
August 8, 2024
Mayor Tina Hernandez
Steve Huntley, City Manager
City of Farmersville
09 W. Visalia Roac
Farmersville, California 93223
We are pleased to confirm our understanding of the services we are to provide for the City of Farmersville, California (the City) for the year ended June 30, 2024.
Audit Scope and Objectives
We will audit the financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information, including the disclosures, which collectively comprise the basic financial statements, of the City as of and for the year ended June 30, 2024. Accounting standards generally accepted in the United States of America (GAAP) provide for certain required supplementary information (RSI), such as management's discussion and analysis (MD&A), to supplement the City's basic financial statements. Such information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. As part of our engagement, we will apply certain limited procedures to the City's RSI in accordance with auditing standards generally accepted in the United States of America (GAAS). These limited procedures will consist of inquiries of management regarding the methods of preparing the information and comparing the information for consistency with management's responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We will not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient appropriate evidence to express an opinion or provide any assurance. The following RSI is required by GAAP and will be subjected to certain limited procedures, but will not be audited:
1) Management's Discussion and Analysis
2) Budgetary Comparison Schedules
3) Cost-Sharing Multiple-Employer Plan Schedule of Proportionate Share of Net Pension Liability (Asset) and Related Ratios as of the Measurement Date and Schedule of Contributions We have also been engaged to report on supplementary information other than RSi that accompanies the City's financial statements. We will subject the following supplementary information to the auditing procedures applied in our opinion on it in relation to the financial statements as a whole in a report combined with our auditor's report on the 1) Schedule of Expenditures of Federal Awards
2) Combining and Individual Fund Statements
The objectives of our audit are to obtain reasonable assurance about whether the financial statements as a whole are report on the fairness of the supplementary information referred to in the second paragraph when considered in 570 N. Magnolia Avenue, Suite 100
Clovis, CA 93611
tel 559.299.9540
fax 559.299.2344
www.ppc.cpa
August 8, 2024
relation to the financial statements as a whole. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with GAAS and Government Auditing Standards will always detect a material misstatement when it exists. Misstatements, including omissions, can arise from fraud or error and are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment of a reasonable user made based on the financial statements. The objectives also include reporting on:
• Internal control over financial reporting and compliance with provisions of laws, regulations, contracts, and award agreements, noncompliance with which could have a material effect on the financial statements in accordance with Govemment Auditing Standards.
Internal control over compliance related to major programs and an opinion (or disclaimer of opinion) on compliance with federal statutes, regulations, and the terms and conditions of federal awards that could have a direct and material effect on each major program in accordance with the Single Audit Act Amendments of 1996 and Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).
Auditor's Responsibilities for the Audit of the Financial Statements and Single Audit We will conduct our audit in accordance with GAAS; the standards for financial audits contained in Govemment Auditing Standards, issued by the Comptroller General of the United States; the Single Audit Act Amendments of 1996; and the provisions of the Uniform Guidance, and will include tests of accounting records, a determination of major programs) in accordance with Uniform Guidance, and other procedures we consider necessary to enable us to express such opinions. As part of an audit in accordance with GAAS and Goverment Auditing Standards, we exercise professional judgment and maintain professiönal skepticism throughout the audit. manner that achieves fair presentation. We will plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether from (1) errors, (2) fraudulent financia! reporting, (3) misappropriation of assets, or (4) violations of laws or governmental regulations that are attributable to the government or to acts by management or employees acting on behalf of the government. Because the determination of waste and abuse is subjective, Govemment Auditing Standards do not expect auditors to perform specific procedures to detect waste or abuse in financial audits nor do they expect auditors to provide reasonable assurance of detecting waste or abuse.
Because of the inherent limitations of an audit, combined with the inherent limitations of internal control, and because we will not perform a detailed examination of all transactions, there is an unavoidable risk that some material misstatements or noncompliance may not be detected by us, even though the audit is properly planned and performed in accordance with GAAS and Goverment Auditing Standards. In addition, an audit is not designed to detect immaterial misstatements or violations of laws or governmental regulations that do not have a direct and material effect on the financial statements or on major programs. However, we will inform the appropriate level of management of any material errors, any fraudulent financial reporting, or misappropriation of assets that come to our extend to any later periods for which we are not engaged as auditors.
We will also conclude, based on the audit evidence obtained, whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the government's ability to continue as a going concern for a reasonable period of time.
Our procedures will include tests of documentary evidence supporting the transactions recorded in the accounts, tests of the physical existence of inventories, and direct confirmation of receivables and certain assets and liabilities by correspondence with selected individuals, funding sources, creditors, and financial institutions. We will also request vritten representations from vour attorneys as part of the engagement We have identified the following significant risks of material misstatement as part of our audit planning:
• Management override of controls
• Improper revenue recognition due to fraud
2024
FARMERSV
August 8, 2024
Our audit of the financial statements does not relieve you of your responsibilities.
Audit Procedures-Internal Control
We will obtain an understanding of the government and its environment, including the system of internal control, sufficient to identify and assess the risks of material misstatement of the financial statements, whether due to error or fraud, and to design and perform audit procedures responsive to those risks and obtain evidence that is sufficient and appropriate to provide a basis for our opinions. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional nisrepresentation, or the overide of internal conta. Tests of control may be performed to test the effectivenesses, certain controls that we consider relevant to preventing and detecting errors and fraud that are material to the financial statements and to preventing and detecting misstatements resulting from illegal acts and other noncompliance matters that have a direct and material effect on the financial statements. Our tests, if performed, will be less in scope than would be necessary to render an opinion on internal control and, accordingly, no opinion will be expressed in our report on internal control issued pursuant to Government Auditing Standards. scope than would be necessary to render an opinion on those controls and, accordingly, no opinion will be expressed in our report on internal control issued pursuant to the Uniform Guidance.
An audit is not designed to provide assurance on internal control or to identify significant deficiencies or material management and those charged with governance internal control related matters that are required to be communicated under AICPA professional standards, Government Auditing Standards, and the Uniform Guidance.
Audit Procedures-Compliance
As part of obtaining reasonable assurance about whether the financial statements are free of material misstatement, we will perform tests of the City's compliance with provisions of applicable laws, regulations, contracts, and agreements, including grant agreements. However, the objective of those procedures will not be to provide an opinion on overall compliance, and we will not express such an opinion in our report on compliance issued pursuant to Government Auditing Standards.
The Uniform Guidance requires that we also plan and perform the audit to obtain reasonable assurance about whether the auditee has complied with federal statutes, regulations, and the terms and conditions of federal awards applicable to major programs. Our procedures will consist of tests of transactions and other applicable procedures described in the OMB Compliance Supplement for the types of compliance requirements that could have a direct and material effect on each of the City's major programs. For federal programs that are included in the Compliance Supplement, our compliance and internal control procedures will relate to the compliance requirements that the Compliance Supplement identifies as being subject to audit. The purpose of these procedures will be to express an • opinion on the City's compliance with requirements applicable to each of its major programs in our report on compliance issued pursuant to the Uniform Guidance.
Responsibilities of Management for the Financial Statements and Single Audit Our audit will be conducted on the basis that you acknowledge and understand your responsibility for (1) designing, implementing, establishing, and maintaining effective internal controls relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error, including internal controls over federal awards, and for evaluating and monitoring ongoing activities to help ensure that appropriate goals and objectives are met; (2) following laws and regulations; (3) ensuring that there is reasonable assurance that government programs are administered compliance with . compliance requirements; and (4) ensuring that management and financial information is reliable and properly reported. Management is also responsible for implementing systems designed to achieve compliance with applicable laws, regulations, contracts, and grant agreements. You are also responsible for the selection and application of accounting principles; for the preparation and fair presentation of the financial statements, schedule of expenditures of federal awards, and all accompanying information in conformity with accounting principles generally accepted in the United States of America; and for compliance with applicable laws and regulations (including federal statutes), rules, and the provisions of contracts and grant agreements (including award agreements). Your responsibilities also include identifying significant contractor relationships in which the contractor has responsibility for program compliance and for the accuracy and completeness of that information.
2024
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You are also responsible for making drafts of financial statements, schedule of expenditures of federal awards, all financial records, and related information available to us; for the accuracy and completeness of that information (including information from outside of the general and subsidiary ledgers); and for the evaluation of whether there are any conditions or events, considered in the aggregate, that raise substantial doubt about the government's ability to continue as a going concern for the 12 months after the financial statements date or shortly thereafter (for example, within an additional three months if currently known). You are also responsible for providing us with (1) access to all information of which you are aware that is relevant to the preparation and fair presentation of the financial statements, such as records, documentation, identification of all related parties and all related-party relationships and transactions, and other matters; (2) access to personnel, accounts, books, records, supporting documentation, and other information as needed to perform an audit under the Uniform Guidance; (3) additional information that we may request for the purpose of the audit; and (4) unrestricted access to persons within the government from whom we determine it necessary to obtain audit evidence. At the conclusion of our audit, we will require certain written representations from you about the financial statements; schedule of expenditures of federal awards; federal award programs; compliance with laws, regulations, contracts, and grant agreements; and related matters.
Your responsibilities include adjusting the finarcial statements to correct material misstatements and confirming to us in the management representation letter that the effects of any uncorrected misstatements aggregated by us during the current engagement and pertaining to the latest period presented are immaterial, both individually and in the aggregate, to the financial statements of each opinion unit taken as a whole.
You are responsible for the design and implementation of programs and controls to prevent and detect fraud, and for informing us about all known or suspected fraud affecting the government involving (1) management, (2) employees who have significant roles in internal control, and (3) others where the fraud could have a material effect on the financial statements. Your responsibilities include informing us of your knowledge of any allegations of fraud or suspected fraud affecting the government received in communications from employees, former employees, grantors, regulators, or others. In addition, you are responsible for identifying and ensuring that the government complies with applicable laws, regulations, contracts, agreements, and grants. You are also responsible for taking timely and appropriate steps to remedy fraud and noncompliance with provisions of laws, regulations, contracts, and grant agreements that we report. Additionally, as required by the Uniform Guidance, it is management's responsibility to evaluate and monitor noncompliance with federal statutes, regulations, and the terms and conditions of federal awards; take prompt action when instances of noncompliance are identified including noncompliance identified in audit findings; promptly follow up and take corrective action on reported audit findings; and prepare a summary schedule of prior audit findings and a separate corrective action plan.
You are responsible for identifying all federal awards received and understanding and complying with the compliance requirements and for the preparation of the schedule of expenditures of federal awards (including notes and noncash assistance received, and COVID-19-related concepts, such as lost revenues, if applicable) in conformity with the Uniform Guidance. You agree to include our report on the schedule of expenditures of federal awards in any document that contains, and indicates that we have reported on, the schedule of expenditures of federal awards. You also agree to include the audited financial statements with any presentation of the schedule of expenditures of federal awards that includes our report thereon. Your responsibilities include acknowledging to us in the written representation letter that (1) you are responsible for presentation of the schedule of expenditures of federal awards in accordance with the Uniform Guidance; (2) you believe the schedule of expenditures of federal awards, including its form and content, is stated fairly in accordance with the Uniform Guidance; (3) the methods of measurement or presentation have not changed from those used in the prior period (or, if they have changed, the reasons for such changes); and (4) you have disclosed to us any significant assumptions or interpretations underlying the measurement or presentation of the schedule of expenditures of federal awards.
You are also responsible for the preparation of the other supplementary information, which we have been engaged to report on, in conformity with U.S. generally accepted accounting principles (GAAP). You agree to include our report on the supplementary information in any document that contains, and indicates that we have reported on, the supplementary information. You also agree to include the audited financial statements with any presentation of the supplementary information that includes our report. Your responsibilities include acknowiedging to us in the written representation letter that (1) you are responsible for presentation of the supplementary information in accordance with GAAP; (2) you believe the supplementary information, including its form and content, is fairly presented in accordance with GAAP: (3) the methods of measurement or presentation have not changed from those used in the prior period (or, if they have changed, the reasons for such changes); and (4) you have disclosed to us any significant assumptions or interpretations underlying the measurement or presentation of the supplementary information. 2024
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Management is responsible for establishing and maintaining a process for tracking the status of audit findings and recommendations. Management is also responsible for identifying and providing report copies of previous financial audits, attestation engagements, performance audits, or other studies related to the objectives discussed in the Audit Scope and Objectives section of this letter. This responsibility includes relaying to us corrective actions taken to address significant findings and recommendations resulting from those audits, attestation engagements, performance audits, or studies. You are also responsible for providing management's views on our current findings, conclusions, and recommendations, as well as your planned corrective actions for the report, and for the timing and format for providing that information.
Other Services
We will also assist in preparing the financial statements, schedule of expenditures of federal awards, and related notes of the City in conformity with accounting principles generally açcepted in the United States of America and the Uniform Guidance based on information provided by you. These nonaudit services do not constitute an audit under Govemment Auditing Standards and such services will not be conducted in accordance with Govemment Auditing Standards. We will perform the services in accordance with applicable professional standards. We, in our sole professional judgment, reserve the right to refuse to perform any procedure or take any action that could be construed as assuming management responsibilities.
You agree to assume all management responsibilities for the financial statements, schedule of expenditures of federal awards, and related notes, and any other nonaudit services we provide. You will be required to acknowledge in the management representation letter our assistance with all nonaudit services we provide and have accepted responsibility for them. Further, you agree to oversee the nonaudit services by designating an individual, preferably from senior management, with suitable skill, knowledge, or experience; evaluate the adequacy and results of those services; and accept responsibility for them.
Electronic Data Communication and Storage and Use of Third-Party Service Provider In the interest of facilitating our services to the entity, we may communicate by facsimile transmission, send data over the Internet, store electronic data via computer software applications hosted remotely on the Internet, or allow access to data through third-party vendors' secured portals or clouds. Electronic data that is confidential to the entity may be transmitted or stored using these methods. We may use third-party service providers to store or transmit this data, such as providers of tax return preparation and document management software. In using these data communication and storage methods, our firm employs measures designed to maintain data security. We use reasonable efforts to keép such communications and data access secure in accordance with our obligations under applicable laws and professional standards. We also require all of our third-party vendors to do the same.
You recognize and accept that we have no control over the unauthorized interception or breach of any communications or data once it has been sent or has been subject to unauthorized access, notwithstanding all reasonable security measures employed by us or our third-party vendors, and consent to our use of these electronic devices and applications and submission of confidential client information to third-party service providers during this engagement.
With regard to the electronic dissemination of audited financial statements, including financial statements published electronically on your website, you understand that electronic sites are a means to distribute information and, therefore, we are not required to read the information contained in these sites or to consider the consistency of other information in the electronic site with the original document.
Engagement Administration, Fees, and Other
We understand that your employees will prepare all cash, accounts receivable, or other confirmations we request and will locate any documents selected by us for testing.
We will schedule the engagement based in part on deadlines, working conditions, and the availability of your key personnel. We will plan the engagement based on the assumption that your personnel will cooperate and provide assistance by performing tasks such as preparing requested schedules, retrieving supporting documents, and preparing confirmations. If, for whatever reason, your personnel are unavailable to provide the necessary assistance in a timely manner, it may substantially increase the work we have to do to complete the engagement within the established deadlines, resulting in an increase in fees over our original fee estimate.
At the conclusion of the engagement, we will complete the appropriate sections of the Data Collection Form that summarizes our audit findings. It is management's responsibility to electronically submit the reporting package (including financial statements, schedule of expenditures of federal awards, summary schedule of prior audit findings, 2024
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auditor's reports, and corrective action plan) along with the Data Collection Form to the Federal Audit Clearinghouse.
We will coordinate with you the electronic submission and certification. The Data Collection Form and the reporting package must be submitted within the earlier of 30 calendar days after receipt of the auditor's reports or nine months after the end of the audit period.
We will provide copies of our reports to the City; however, management is responsible for distribution of the reports and the financial statements. Unless restricted by law or regulation, or containing privileged and confidential The audit documentation for this engagement is the property of Price Paige & Company and constitutes confidential information. However, subject to applicable laws and regulations, audit documentation and appropriate individuals will be made available upon request and in a timely manner to your cognizant agency or its designee, a federal agency providing direct or indirect funding, or the U.S. Government Accountability Office for purposes of a quality review of the audit, to resolve audit findings, or to carry out oversight responsibilities. We will notify you of any such request. If requested, access to such audit documentation will be provided under the supervision of Price Paige & Company personnel. Furthermore, upon request, we may provide copies of selected audit documentation to the aforementioned parties. These parties may intend, or decide, to distribute the copies or information contained therein to others, including other governmental agencies.
The audit documentation for this engagement will be retained for a minimum of seven years after the report release date.
ShareFile is used solely as a method of exchanging information and is not intended to store the City's information.
Upon completion of the engagement, data and other content will be removed from ShareFile in accordance with Price Paige & Company's policy.
Fausto Hinojosa, CPA, CFE is the engagement partner and is responsible for supervising the engagement and signing the reports or authorizing another individual to sign them. To ensure that Price Paige & Company's independence is not impaired under the AICPA Code of Professional Conduct, you agree to inform the engagement partner before entering into any substantive employment discussions with any of our personnel.
Our fees for the 2024 audit for the City are summarized below:
City Financial Statement Audit with Single Audit* $ 51.500 *The fee estimate for the single audit is for one major program. If there are additional major programs, there will be an additional fee of $7,500 for each program.
Our fee estimate is based on anticipated cooperation from your personnel and the assumption that unexpected circumstances will not be encountered during the audit. If significant additional time is necessary, we will discuss it with you before we incur the additional costs. Our fees for these services will be billed at the hourly billing rates for the individual involved, plus out-of-pocket expenses. Our standard hourly rates vary according to the degree of responsibility involved and the experience level of the personnel assigned to your audit. Our billing rates are reviewed annually and, where appropriate, adjusted for any increases due to inflation and other factors. We will issue a monthlv billing statement for the work completed in that month. Payments for services are due when rendered and interim billings may be submitted as work progresses and expenses are incurred. and Sands Disple blor song to kipton the rods of any ned tor proceeding shall be shared equally by all parties.
All work will be suspended if your account becomes 90 days past due. No work will be resumed until your account is fully paid. You acknowledge and agree that in the event we stop work or withdraw from this engagement as, a result of your failure to pay on a timely basis for services rendered as required by this engagement letter, we shall not be liable for any damages that occur as a result of our ceasing to render services. Client and accountant both agree that any dispute over fees charged by the accountant to the client will be submitted for resolution by arbitration in accordance with the Rules for Professional Accounting and Related Services Disputes of the American Arbitration Association. Such arbitration shall be binding and final. IN AGREEING TO ARBITRATION, WE BOTH
ACKNOWLEDGE THAT, IN THE EVENT OF A DISPUTE OVER FEES CHARGED BY THE ACCOUNTANT, EACH
OF US IS GIVING UP THE RIGHT TO HAVE THE DISPUTE DECIDED IN A COURT OF LAW BEFORE A JUDGE OR JURY AND INSTEAD WE ARE ACCEPTING THE USE OF ARBITRATION FOR RESOLUTION. 2024
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Reporting
We will issue written reports upon completion of our Single Audit. Our reports will be addressed to the Honorable Mayor and City Council of Farmersville, California. Circumstances may arise in which our report may differ from its expected form and content based on the results of our audit. Depending on the nature of these circumstances, it may be necessary for us to modify our opinions, add a separate section, or add an emphasis-of-matter or other-matter paragraph to our auditor's report, or if necessary, withdraw from this engagement. If our opinions are other than unmodified, we will discuss the reasons with you in advance. If, for any reason, we are unable to complete the audit or are unable to form or have not formed opinions, we may decline to express opinions or issue reports, or we may withdraw from this engagement.
The Government Auditing Standards report on internal control over financial reporting and on compliance and other matters will state that (1) the purpose of the report is solely to describe the scope of testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the entity's internal control or on compliance, and (2) the report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity's internal control and compliance. The Uniform Guidance report on internal control over compliance will state that the purpose of the report on internal control over compliance is solely to describe the scope of testing of internal control over compliance and the results of that testing based on the requirements of the Uniform Guidance. Both reports will state that the report is not suitable for any other purpose.
We appreciate the opportunity to be of service to the City and believe this letter accurately summarizes the significant terms of our engagement. If you have any questions, please let us know. If you agree with the terms of our engagement as described in this letter, please return a signed copy to us at your earliest convenience.
Very truly yours,
Fausto Hinojosa, CPA, CFE
Price Paige & Company
- - - - -
RESPONSE:
This letter correctly sets forth the understanding of the City of Farmersville.
MAting Inferin City manager 87-2024
Management Signature
Governance Signature Title Date
2024
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CITY OF
FARMERSVILLE
City Council
Staff Report 8A
TO: Honorable Mayor and City Council
FROM: Steve Huntley, CPFO, IPMA-SCP
Director of Finance & Administration
DATE: August 12, 2024
SUBJECT: Approval of Contract with Sweeping Corp of America for Street Sweeping Services.
RECOMMENDED ACTION:
Staff recommends that the City Council approve a contract with Sweeping Corp of America (SCA) for street sweeping services at a monthly cost of $3,700 ($44,400 annually).
BACKGROUND and DISCUSSION:
The City of Farmersville needs to contract with a street sweeping company because the City currently has no licensed employees qualified to operate our existing street sweeper but services need to be provided regularly throughout the City. Street sweeping requires specialized training and certification. This shortage impacts staff's ability to maintain the cleanliness and safety of the City streets, as well as compliance with environmental regulations.
By contracting with Sweeping Corp of America, the City can ensure that street sweeping is performed regularly and efficiently, leveraging their expertise and resources to meet our community's needs without the staffing constraints currently faced by the City. Transferring the risk of these operations to a third party is advantageous for the City but will also allow for a higher level of service than what is currently available in-house until internal staffing conditions of the City are settled and Street Sweeping operations can be re-evaluated.
The City of Farmersville has previously worked with Sweeping Corp of America (formerly known as Central Valley Sweep), and the past experiences have been very positive. Their professionalism, reliability, and high standards of service have consistently met expectations.
During previous contracts, Sweeping Corp demonstrated a strong commitment to maintaining the cleanliness and safety of our streets. Given their proven track record and familiarity with the community's needs, we are confident that renewing the partnership with Sweeping Corp will continue to benefit the City of Farmersville.
Staff have determined that Sweeping Corp of America provides the best value and service quality and is really the only option in the area available at this time. All other agencies in the area with outsourced street sweeping are contracted with SCA currently.
The proposed contract with SCA includes two options and additional add-on options for on- demand services such as fall clean-up and special events for consideration.
FISCAL IMPACT:
The annual cost for the street sweeping services for once-a-month services is about $44,400, and the annual cost for twice-a-month services is about $76,800. The City estimates, based on projected revenue carved-out from refuse collection bills, that there is about $56,000 available annually to pay for this service. This means, that the City can afford the once-a-month services •and allow for some additional work for one-time on-demand services such as special events and fall leaf clean-up.
This revenue is existing already in the City Budget within the Refuse Utility Fund but the expense would need to be added to the budget in the next revision to account for this new contract cost, if approved. Any cost over the $56,000 would either start depleting the fund balance of the Refuse Utility Fund, and therefore threaten other services provided in the future, or be backstopped by the General Fund, but given the fiscal status of the current year would likely push the General Fund into a deficit and/or deplete existing General Fund balance and is not recommended by CONCLUSION:
It is respectfully recommended that the City Council direct the Acting Interim City Manager to execute a contract with Sweeping Corp of America (SCA) at a monthly cost of $3,700 ($44,400 "annually).
Attachments):
with Sweeping Corp of America (SCA) proposal
2 Sweeping Corp of America
City of Farmersville 7/16/24
Street Sweeping Proposal
This proposal for municipal street sweeping maintenance for the City of Farmersville is being made by Sweeping Corporation of America LLC Ca.
SCA will sweep all assigned streets, gutters and curblines utilizing the latest technology Tyco brand Regenerative Air Sweepers, these sweepers meet all San Joaquin Valley Air Board and CARB regulations and are certified as Pm 10 compliant.
Proposal #1 Twice monthly sweeping (Reccomended as the best option for cleanliness and to help maintain NDES and Air Board Compliance)
Two scheduled sweep cycles per month sweeping of the city SCA would sweep the East side on the 2nd & 4th Mondays and the West side on the 1 & 3r° Mondays of each month. $6,400 per month
Proposal # 2 Once a month scheduled sweep cycle.
The city would be divided into the East & West side.
The early AM & Downtown would be split with half of the area swept with the East Side and the other half swept with the West side (see maps attached). The scheduled sweep day would be the 2d Monday for the East side of the city with the AM/Downtown and 4" Monday would be the West side of the city with the AM/Downtown.
$3,700 per month
Additional sweeping if requested such as during the heavy leaf fall season $225 per hour.
All pricing is non prevailing wage.
Sweeping debris to be dumped at city public works yard.
Dust control water system refills done at city public works ya
TERRY ROBERTS
District Sales Manager
Sweeping Corp. of America
16251 Construction Cir W
Irvine, CA 92606
Direct: 714.620.4740
troberts@sweepingcorp
STREET SWEEPING
RESIDENTIAL ROUTE I
EAST SIDE EARLY MORNING - Both Curb Lines (before: 6:00am) 2ª Monday
11 I
Farmersville bloc
calduall
5 19
STREET SWEEPING
"ESIDENTIAL ROUTE I
WEST SIDE EARLY MORNING - Both Curb Lines (before: 6:00am) 4'" Monday
Mayer's Chiel