1 December 12, 2023
City of Palo Alto
Office of the City Auditor
FY2024 Annual Audit Plan
Contents
Baker Tilly US, LLP, trading as Baker Tilly, is an independent member of Baker Tilly International. Baker Tilly International Limited is an English company. Baker Tilly International provides no professional services to clients. Each member firm is a separate and independent legal entity, and each describes itself as such.
Baker Tilly US, LLP is not Baker Tilly International’s agent and does not have the authority to bind Baker Tilly International or act on Baker Tilly International’s behalf. None of Baker Tilly International, Baker Tilly US, LLP nor any of the other member firms of Baker Tilly International has any liability for each other’s acts or omissions. The name Baker Tilly and its associated logo is used under license from Baker Tilly International Limited.
INTRODUCTION ............................................................................................................. 1 RISK ASSESSMENT RESULTS ..................................................................................... 3 PROPOSED AUDIT PROJECTS FOR FY2024 .............................................................. 4 APPENDICES ................................................................................................................. 6
1 Introduction
Introduction
The purpose of the audit activities performed by the Office of the City Auditor (OCA) for the City of Palo Alto (the City) is “to ensure that city management is using its financial, physical, and informational resources effectively, efficiently, economically, ethically, and equitably, and in compliance with laws, regulations, contract and grant requirements, and city policies and procedures”, according to the Palo Alto Municipal Code (Section 2.08.130).
It requires the City Auditor prepare an annual audit plan for the City Council’s approval at the beginning of each fiscal year.
In accordance with the Task #1 and Task #2 of the Baker Tilly agreement (City of Palo Alto Contract No, C21179340), Baker Tilly US, LLP (Baker Tilly) performed the initial risk assessment after having started to serve as the OCA in October 2020 and submitted in early 2021 the FY21-FY22 annual audit plan. For the second year, the OCA updated the initial risk assessment and submitted the FY22-FY23 audit plan. This report includes the proposed FY23-FY24 audit plan.
The Task #4 of the agreement requires execution of the approved annual audit plans and preparation of a task order for each project listed in the plan. The OCA will seek approval of contract task orders iteratively during FY24 in order to remain agile and accommodate changes to the plan as time passes.
Conformance with Local Ordinances and Standards
Section 2.08.130 of the Palo Alto Municipal Code defines that the mission of the OCA is to promote honest, efficient, effective, economical, and fully accountable and transparent city government. Audits are to be conducted and nonaudit services provided in accordance with Government Auditing Standards, as established by the Comptroller General of the United States, Governmental Accountability Office.
The following duties of the City Auditor exist regarding the plan and scope of internal audits.
Palo Alto City Charter
Article IV Sec. 12 requires the City Auditor to perform the following:
– Conduct audits in accordance with a schedule approved by the City Council and may conduct unscheduled audits from time to time.
– Conducts internal audits of all the fiscal transactions of the City.
Title 2 Administrative Code
Section 2.08.130 requires the City Auditor to perform the following:
– Prepare an annual audit plan for city council approval. – Identify the preliminary objectives of each audit to be performed, reflecting the purpose of the engagement and a preliminary description of the areas that may be addressed. – Conduct performance audits and perform nonaudit services of any city department, program, service, or activity as approved by the city council.
California Government Code
Section 1236 requires all cities that conduct audit activities to conduct their work under the general and specified standards prescribed by the Institute of Internal Auditors (IIA) or the Government Auditing Standards (GAO) issued by the Comptroller General of the United States, as appropriate.
2 INTRODUCTION
Audit Activity Type
The OCA will conduct performance audits and perform financial/operational analyses of any City department, program, service, or activity as approved by the City Council in accordance with the Baker Tilly agreement.
Performance Audits
According to the Government Auditing Standards (GAO-18-568G, Section 1.21 and 1.22, page 10-12), performance audits provide objective analysis, findings, and conclusions to assist management and those charged with governance and oversight with, among other things, improving program performance and operations, reducing costs, facilitating decision making by parties responsible for overseeing or initiating corrective action, and contributing to public accountability. Performance audits may include the following four (4) audit objectives:
– Program effectiveness and results
– Internal control design and effectiveness
– Compliance with laws, regulations, and policies
– Prospective analysis
Audit Planning Considerations
While maintaining its independence and objectivity in accordance with standards, the City Auditor considers a variety of matters when developing the Annual Audit Plan, including but not limited to:
– Risk assessment – the OCA performed a risk assessment and summarized the results in a separate report (Task #2). Generally speaking, audit activities target high(er) risk areas. The results are shown the following page.
– Ability to add value – audit seeks to add value through independent and objective analysis. – City Council – the City Auditor reports to the City Council and seeks input on audit priorities. – Coverage and Prior Audits – the City Auditor considers prior audits conducted by the OCA, the financial audit, and other audit and consulting reports recently issued. – “Ripeness” and On-Going Initiatives – certain risk areas may be addressed through operational activities, which could mean they are not be ripe for audit to add value. – Scheduling – the City Auditor takes into consideration the timing of an audit and other on-going initiatives that directly relate. Putting an undue burden on City staff may exacerbate the risk at hand or other interrelated risks.
3 Risk Assessment Results
The OCA performed a citywide risk assessment to plan for FY2024 audit activities and documented the methodology and the detailed results in a separate Risk Assessment Report. In summary, we identified the following areas rated as High or Moderate risks. In determining the audit activities to be performed in FY2024, we further reviewed these risks and functional areas and considered the matters listed in the previous page.
Department Function Risk AreaTotal Risk ScorePlanning and Development ServicesBuilding Building Permit & Inspection Process 22.8Public Works Wastewater Treatment Wasterwater Treatment Capital Program 22.4Planning and Development ServicesDevelopment Services Building Permit & Inspection Process 20.5Public Works Structures and Grounds ADA Compliance / Flood protection capital project 20.0Administrative Services Purchasing Purchasing Card Program / Vendor Master File 18.6Police Field Services Psychiatric Emergency Response Team (PERT) Program 18.2Utilities Electric Administration Power Purchase Agreement 18.2Community Services Administration and Human Services Human Services Resource Allocation Process (HSRAP) 18.0Community Services Arts and Sciences Junior Museum and Zoo (JMZ) Operation 18.0Community Services Recreation and Cubberley Contract Management 18.0Police Technical Services 911 Operations 17.2Community Services Animal Shelter Contract Management 16.9Fire Emergency Response Emergency Preparedness (Foothills Fire Master Plan) 15.8City Manager Administration and City Management Citywide Risk Management 15.6Fire Administration Safety and Wellness 15.6Planning and Development ServicesPlanning and Transportation Code Enforcement 15.4Office of Transportation Programs Intersection safety improvements 15.4Utilities Electric Engineering (Operating) Utility Asset Management 15.3Public Works Airport Airport Operations 15.1Human ResourcesAdministration, Employee Org Development and HR SystemsHR Strategy / Succession Planning 15.1Police Police Personnel Selection Recruitment and retention 14.9Administrative ServicesTreasury / Revenue Collection / WarehouseInvestment Management 14.9Administrative Services Real Estate Property Management 14.7Public Works Engineering Services Animal Shelter Renovation 14.3Community Services Open Space, Parks and Golf Emergency Preparedness (Foothills Fire Master Plan) 14.1Information Technology Operations PCI/DSS Compliance 14.1Administrative Services Accounting Grant Management 14.0Office of Emergency Services Emergency Services Emergency preparedness (Foothills Fire Mitigation Program) 13.9Utilities Electric Customer Service Utility Billing 13.9Information Technology Project Services AMI Implementation 13.8Library AdministrationBusiness Operations (Donations and grants; Inventory Management; Fines, Purchasing, etc.)13.8Human ResourcesRisk Mgmt., Safety, Workers' CompensationHR Risk Management / Workplace Safety 13.8Police Law Enforcement Services Evidence 13.8Utilities Water Customer Service Utility Billing 13.6City Manager Economic Development Economic Development 13.4Human Resources Recruitment Recruitment Process 13.3Utilities Electric Resource Management Rate setting and adjustments 13.2Public Works Administration Safety and Wellness 13.0Utilities Gas Customer Service Utility Billing 13.0Utilities Fiber Optics Customer Service Utility Billing 13.0
4 PROPOSED AUDIT PROJECTS FOR FY2024
Proposed Audit Projects for FY2024
Summary
The proposed audits and follow-up project for FY2024 are listed in the next page. The projects were selected from the auditable units that were rated as High or Moderate in the results of our risk assessment and selected based on some factors such as risk rating, the pervasiveness of the process or control, the audit coverage, the timing of projects, and the value-adding activities that help the City enhance the ability to manage risks, strengthen accountability, and improve efficiency and effectiveness.
The preliminary audit objectives are described for each audit listed. These objectives and scope will be further defined based on the result of the engagement level risk assessment performed at the beginning of each audit.
Amendments to this audit plans may need to be proposed during FY2024 in response to changes in the City’s environment such as organizational structure, operations, risks, systems, and controls.
For each audit, a task order is submitted to the City Council for approval before an audit is commenced. We prepared three task orders which are included in Appendix. The OCA is seeking approval from the City Council for three project that are projected to start in January 2024. Those audits are marked “X” in the Seeking Approval column.
5 Proposed Audit Plan for FY2024
Seeking
Approval Function Project Title Audit Objectives Timeline FY24
Estimated
Hours
FY24 Cost
Public Works
Public Safety Building -
Construction Audit
(Task Order 4.8)
? Monthly invoice review
? Change order testing
? Contingency and allowance testing
? Lien waiver control
? Compliance with insurance requirements
? Closeout testing
? Verify the City’s implementation and adherence to documented project controls
March 2021 -
March 2024 87 $19,734
X Administrative
Services Purchasing Card Program
? Determine whether procurement cards are used appropriately in compliance with the City's policy and pertinent laws and regulations ? Evaluate the administration of the Purchasing Card Program for adequate internal controls to safeguard the City from fraud, waste, and abuse
January - June
2024 415 $76,540
X Public Works ADA Compliance
Determine whether improvements have been made to make facilities, programs, and services accessible in accordance with the Transition Plan and Self-Evaluation Final Study to ensure compliance with the Americans with Disabilities Act (ADA) of 1990
January - June
2024 385 $73,110
Human ResourcesRecruitment and Succession
Planning
? Determine the efficiency and effectiveness of the recruitment and hiring process
? Determine whether a formal succession plan and related policies proceudres are in place
January - June
2024 290 $58,890
Citywide Grant Management Determine whether the City has adequate interal controls to efficiently and effectively manage the grant lifecycle
January - June
2024 315 $60,330
Multiple departments Emergency PreparednessDetermine whether the City if working to prevent wildfire and adequately prepared to respond to wildfire
January - June
2024 385 $73,110
Utilities Utility Billing
? Determine whether the internal controls over the utility billing process are adequate and working effectively to ensure billing is accurate and in compliance with the City's policy and regulations.
? Determine whether billing adjustments are properly supported and approved
January - June
2024 385 $72,010
Information
Technology
Payment Card Industry Data
Security Standard (PCI DSS)
Determine whether the internal controls over the payment card processing are adequate and working effectively for the City and any thrid party service providor
January - June
2024 370 $69,680
X Citywide Follow-up on Corrective
Actions
Follow up on previous OCA audit reports to ensure corrective actions included in management responses in each audit report are completed [This activity will be performed under Task 5 (an annual report on the status of recommendations made in completed audits)]
December 2023
- June 2024 140 $30,592
TBD Ad Hoc Requests TBD TBD TBD $0
2,772 $533,996
$534,250
$254
FY23 - FY24 Budget
FY24 Ad Hoc / Contingency
FY24
6 Appendix A: Resumes
Appendices
7 PROFESSIONAL SERVICES TASK ORDER
TASK ORDER FY24-4.21 Purchasing Card Program
Consultant shall perform the Services detailed below in accordance with all the terms and conditions of the Agreement referenced in Item 1A below. All exhibits referencedFY24 in Item 8 below are incorporated into this Task Order by this reference. The Consultant shall furnish the necessary facilities, professional, technical and supporting personnel required by this Task Order as described below.
CONTRACT NO. C21179340
OR PURCHASE ORDER REQUISITION NO. (AS APPLICABLE)
1A. MASTER AGREEMENT NO. (MAY BE SAME AS CONTRACT / P.O. NO. ABOVE): C21179340 1B. TASK O RDER NO.: FY23-4.22
2. CONSULTANT NAME: Baker Tilly US, LLP
3. PERIOD OF PERFORMANCE: START: January 1, 2024 COMPLETION: June 30, 2024 4 TOTAL TASK ORDER PRICE: $69,940
BALANCE REMAINING IN MASTER AGREEMENT/CONTRACT TBD
5. BUDGET CODE_______________
COST CENTER________________
COST ELEMENT______________
WBS/CIP__________
PHASE__________
6. CITY PROJECT MANAGER’S NAME & DEPARTMENT:
Greg Tanaka, Chair of the City Council’s Policy and Services Committee
7. DESCRIPTION OF SCOPE OF SERVICES (Attachment A)
MUST INCLUDE:
SERVICES AND DELIVERABLES TO BE PROVIDED
SCHEDULE OF PERFORMANCE
MAXIMUM COMPENSATION AMOUNT AND RATE SCHEDULE (as applicable) REIMBURSABLE EXPENSES, if any (with “not to exceed” amount)
8. ATTACHMENTS: A: Task Order Scope of Services B (if any): N/A
I hereby authorize the performance of the
work described in this Task Order.
APPROVED:
CITY OF PALO ALTO
BY:____________________________________
Name __________________________________
Title___________________________________
Date ___________________________________
I hereby acknowledge receipt and acceptance of
this Task Order and warrant that I have authority to
sign on behalf of Consultant.
APPROVED:
COMPANY NAME: ______________________
BY:____________________________________
Name __________________________________
Title___________________________________
Date ___________________________________
8 Attachment A
DESCRIPTION OF SCOPE OF SERVICES
Introduction
Attachment A, the Description of Scope of Services, contains the following four (4) elements:
Services and Deliverables To Be Provided
Schedule of Performance
Maximum Compensation Amount and Rate Schedule (As Applicable) Reimbursable Expenses, if any (With “Not To Exceed” Amount) Services & Deliverables
Baker Tilly’s approach to conducting an internal audit of Purchasing Card Program involves three (3) primary steps:
Step 1: Audit Planning
Step 2: Control Review and Testing
Step 3: Reporting
Step 1 – Audit Planning
This step consists of the tasks performed to adequately plan the work necessary to address the overall audit objective and to solidify mutual understanding of the audit scope, objectives, audit process, and timing between stakeholders and auditors. Tasks include:
Gather information to understand the environment under review o Understand the organizational structure and objectives o Review the City code, regulations, and other standards and expectations o Review prior audit results, as applicable
o Review additional documentation and conduct interviews as necessary Assess the audit risk
Write an audit planning memo and audit program
o Refine audit objectives and scope
o Identify the audit procedures to be performed and the evidence to be obtained and examined
Announce the initiation of the audit and conduct kick-off meeting with key stakeholders
o Discuss audit objectives, scope, audit process, timing, resources, and expectations
o Discuss documentation and interview requests for the audit
9 Step 2 – Control Review and Testing
This step involves executing the procedures in the audit program to gather information, interview individuals, and analyze the data and information to obtain sufficient evidence to address the audit objectives. The preliminary audit objective is to determine whether (1) Determine whether procurement cards are used appropriately in compliance with the City's policy and pertinent laws and regulations; (2) Evaluate the administration of the Purchasing Card Program for adequate internal controls to safeguard the City from fraud, waste, and abuse. Procedures include, but not limited to:
Interview the appropriate individuals to gain an understanding of the organizational structure, processes, and controls related to the Purchasing Card Program. Review policies and procedures as well as the legislative and regulatory requirements to identify the criteria to be used for evaluation of control design and effectiveness. Select a sample of the P-Card transactions
Compare the process and controls against the best practices.
Step 3 – Reporting
In Step 3, the project team will perform tasks necessary to finalize audit working papers, prepare and review a draft report with the stakeholders, and submit a final audit report. Tasks include:
Develop findings, conclusions, and recommendations based on the supporting evidence gathered
Validate findings with the appropriate individuals and discuss the root cause of the identified findings
Complete supervisory review of working papers and a draft audit report Distribute a draft audit report and conduct a closing meeting with key stakeholders o Discuss the audit results, finings, conclusions, and recommendations o Discuss management responses
Obtain written management responses and finalize a report Review report with members of City Council and/or the appropriate Council Committee
Deliverables:
The following deliverable will be prepared as part of this engagement:
Audit Report
Schedule of Performance
Anticipated Start Date: January 1, 2024
Anticipated End Date: June 30, 2024
10 Maximum Compensation Amount and Rate Schedule
The not-to-exceed maximum, inclusive of reimbursable expenses (as summarized below) for this Task is $69,940. The not-to-exceed budget is based on an estimate of 375 total project hours, of which 15 are estimated to be completed by the City Auditor.
Reimbursable Expenses
We plan to complete all work remote including all interviews and documentation review.
However, during the planning and fieldwork phases of this audit, the City and Baker Tilly may mutually determine it will be beneficial to perform a portion of the work on-site. Given this possibility, Baker Tilly could incur reimbursable expenses for this Task.
The not-to-exceed maximum for reimbursable expenses for this Task is $6,500.
The following summarizes anticipated reimbursable expenses:
Round-trip Airfare – $2,000 (1 round trip flights x 2 auditors) Ground Transportation (car rental or Uber/taxi) - $800 Hotel accommodation - $3,000 (2 rooms x 4 nights)
Food and incidentals – $2,100
11 PROFESSIONAL SERVICES TASK ORDER
TASK ORDER FY24-4.22 ADA Compliance Review
Consultant shall perform the Services detailed below in accordance with all the terms and conditions of the Agreement referenced in Item 1A below. All exhibits referenced FY24 in Item 8 below are incorporated into this Task Order by this reference. The Consultant shall furnish the necessary facilities, professional, technical and supporting personnel required by this Task Order as described below.
CONTRACT NO. C21179340
OR PURCHASE ORDER REQUISITION NO. (AS APPLICABLE)
1A. MASTER AGREEMENT NO. (MAY BE SAME AS CONTRACT / P.O. NO. ABOVE): C21179340 1B. TASK O RDER NO.: FY23-4.23
2. CONSULTANT NAME: Baker Tilly US, LLP
3. PERIOD OF PERFORMANCE: START: January 1, 2024 COMPLETION: June 30, 2024 4 TOTAL TASK ORDER PRICE: $73,110
BALANCE REMAINING IN MASTER AGREEMENT/CONTRACT TBD
5. BUDGET CODE_______________
COST CENTER________________
COST ELEMENT______________
WBS/CIP__________
PHASE__________
6. CITY PROJECT MANAGER’S NAME & DEPARTMENT:
Greg Tanaka, Chair of the City Council’s Policy and Services Committee
7. DESCRIPTION OF SCOPE OF SERVICES (Attachment A)
MUST INCLUDE:
SERVICES AND DELIVERABLES TO BE PROVIDED
SCHEDULE OF PERFORMANCE
MAXIMUM COMPENSATION AMOUNT AND RATE SCHEDULE (as applicable) REIMBURSABLE EXPENSES, if any (with “not to exceed” amount)
8. ATTACHMENTS: A: Task Order Scope of Services B (if any): N/A
I hereby authorize the performance of the
work described in this Task Order.
APPROVED:
CITY OF PALO ALTO
BY:____________________________________
Name __________________________________
Title___________________________________
Date ___________________________________
I hereby acknowledge receipt and acceptance of
this Task Order and warrant that I have authority to
sign on behalf of Consultant.
APPROVED:
COMPANY NAME: ______________________
BY:____________________________________
Name __________________________________
Title___________________________________
Date ___________________________________
12 Attachment A
DESCRIPTION OF SCOPE OF SERVICES
Introduction
Attachment A, the Description of Scope of Services, contains the following four (4) elements:
Services and Deliverables To Be Provided
Schedule of Performance
Maximum Compensation Amount and Rate Schedule (As Applicable) Reimbursable Expenses, if any (With “Not To Exceed” Amount) Services & Deliverables
Baker Tilly’s approach to conducting an internal audit of ADA (Americans Disabilities Act) Compliance involves three (3) primary steps:
Step 1: Audit Planning
Step 2: Control Review and Testing
Step 3: Reporting
Step 1 – Audit Planning
This step consists of the tasks performed to adequately plan the work necessary to address the overall audit objective and to solidify mutual understanding of the audit scope, objectives, audit process, and timing between stakeholders and auditors. Tasks include:
Gather information to understand the environment under review o Understand the organizational structure and objectives o Review the City code, regulations, and other standards and expectations o Review prior audit results, as applicable
o Review additional documentation and conduct interviews as necessary Assess the audit risk
Write an audit planning memo and audit program
o Refine audit objectives and scope
o Identify the audit procedures to be performed and the evidence to be obtained and examined
Announce the initiation of the audit and conduct kick-off meeting with key stakeholders
o Discuss audit objectives, scope, audit process, timing, resources, and expectations
o Discuss documentation and interview requests for the audit
13 Step 2 – Control Review and Testing
This step involves executing the procedures in the audit program to gather information, interview individuals, and analyze the data and information to obtain sufficient evidence to address the audit objectives. The preliminary audit objective is to determine whether improvements have been made to make facilities, programs, and services accessible in accordance with the Transition Plan and Self-Evaluation Final Study to ensure compliance with the Americans with Disabilities Act (ADA) of 1990. Specifically, we will determine whether (1) necessary remediation work, projects, or programs are included in the annual capital budget to meet the ADA Transition Plan Schedules; (2) the progress of the remediation efforts and any change in laws and regulations are assessed periodically to ensure continued improvements in ADA compliance; (3) the City monitors the contractor’s compliance with the contractual requirements to ensure that the City receives necessary services. Procedures include, but not limited to:
Interview the appropriate individuals to gain an understanding of the organizational structure, processes, and controls related to the ADA compliance efforts. Review policies and procedures as well as the legislative and regulatory requirements to identify the criteria to be used for evaluation of control design and effectiveness. Review the relevant documents such as ADA Transition Plan, ADA Self-Evaluation Report, the Transition Plan Schedule, progress assessment reports, and the contract with the consultants.
Compare the process and controls against the best practices.
Step 3 – Reporting
In Step 3, the project team will perform tasks necessary to finalize audit working papers, prepare and review a draft report with the stakeholders, and submit a final audit report. Tasks include:
Develop findings, conclusions, and recommendations based on the supporting evidence gathered
Validate findings with the appropriate individuals and discuss the root cause of the identified findings
Complete supervisory review of working papers and a draft audit report Distribute a draft audit report and conduct a closing meeting with key stakeholders o Discuss the audit results, finings, conclusions, and recommendations o Discuss management responses
Obtain written management responses and finalize a report Review report with members of City Council and/or the appropriate Council Committee
Deliverables:
The following deliverable will be prepared as part of this engagement:
Audit Report
14 Schedule of Performance
Anticipated Start Date: January 1, 2024
Anticipated End Date: June 30, 2024
Maximum Compensation Amount and Rate Schedule
The not-to-exceed maximum, inclusive of reimbursable expenses (as summarized below) for this Task is $73,110. The not-to-exceed budget is based on an estimate of 385 total project hours, of which 15 are estimated to be completed by the City Auditor.
Reimbursable Expenses
We plan to complete all work remote including all interviews and documentation review.
However, during the planning and fieldwork phases of this audit, the City and Baker Tilly may mutually determine it will be beneficial to perform a portion of the work on-site. Given this possibility, Baker Tilly could incur reimbursable expenses for this Task.
The not-to-exceed maximum for reimbursable expenses for this Task is $6,500.
The following summarizes anticipated reimbursable expenses:
Round-trip Airfare – $2,000 (1 round trip flights x 2 auditors) Ground Transportation (car rental or Uber/taxi) - $800 Hotel accommodation - $3,000 (2 rooms x 4 nights)
Food and incidentals – $2,100
15 PROFESSIONAL SERVICES TASK ORDER
TASK ORDER FY24-05 Various Reporting & City Hotline (Modified) Consultant shall perform the Services detailed below in accordance with all the terms and conditions of the Agreement referenced in Item 1A below. All exhibits referenced in Item 8 below are incorporated into this Task Order by this reference. The Consultant shall furnish the necessary facilities, professional, technical and supporting personnel required by this Task Order as described below.
CONTRACT NO. C21179340
OR PURCHASE ORDER REQUISITION NO. (AS APPLICABLE)
1A. MASTER AGREEMENT NO. (MAY BE SAME AS CONTRACT / P.O. NO. ABOVE): C21179340 1B. TASK O RDER NO.: FY24-05
2. CONSULTANT NAME: Baker Tilly US, LLP
3. PERIOD OF PERFORMANCE: START: July 1, 2023 COMPLETION: June 30, 2024 4 TOTAL TASK ORDER PRICE: $120,592 90,000
BALANCE REMAINING IN MASTER AGREEMENT/CONTRACT TBD
5. BUDGET CODE_______________
COST CENTER________________
COST ELEMENT______________
WBS/CIP__________
PHASE__________
6. CITY PROJECT MANAGER’S NAME & DEPARTMENT:
Greg Tanaka, Chair of the City Council’s Policy and Services Committee
7. DESCRIPTION OF SCOPE OF SERVICES (Attachment A)
MUST INCLUDE:
SERVICES AND DELIVERABLES TO BE PROVIDED
SCHEDULE OF PERFORMANCE
MAXIMUM COMPENSATION AMOUNT AND RATE SCHEDULE (as applicable) REIMBURSABLE EXPENSES, if any (with “not to exceed” amount)
8. ATTACHMENTS: A: Task Order Scope of Services B (if any): N/A
I hereby authorize the performance of the
work described in this Task Order.
APPROVED:
CITY OF PALO ALTO
BY:____________________________________
Name __________________________________
Title___________________________________
Date ___________________________________
I hereby acknowledge receipt and acceptance of
this Task Order and warrant that I have authority to
sign on behalf of Consultant.
APPROVED:
COMPANY NAME: ______________________
BY:____________________________________
Name __________________________________
Title___________________________________
Date ___________________________________
16 Attachment A
DESCRIPTION OF SCOPE OF SERVICES
Introduction
Attachment A, the Description of Scope of Services, contains the following four (4) elements:
Services and Deliverables To Be Provided
Schedule of Performance
Maximum Compensation Amount and Rate Schedule (As Applicable) Reimbursable Expenses, if any (With “Not To Exceed” Amount) Services & Deliverables
Baker Tilly will provide the following services in Task 5:
Quarterly Reports
Annual Status Report
Provision of the City Hotline
Office Administrative Functions, including quarterly follow-up activities and testing of corrective actions for the completed audits
Deliverables:
Legislative documents will be prepared to present the financial statements and reports prepared by an external auditor to the Finance Committee Quarterly Reports (4 in FY24)
Annual Status Report
Schedule of Performance
Anticipated Start Date: July 1, 2023
Anticipated End Date: June 30, 2024
Maximum Compensation Amount and Rate Schedule
The not-to-exceed maximum, inclusive of reimbursable expenses (as summarized below) for this Task is $120,592 90,000. The not-to-exceed budget is based on an estimate of 440 300 total project hours, of which 170 are estimated to be completed by the City Auditor.
Reimbursable Expenses
Baker Tilly anticipates several site visits by the City Auditor throughout FY2024 planning one on-site fieldwork week. Given this possibility, Baker Tilly could incur reimbursable expenses for this Task.
17 The not-to-exceed maximum for reimbursable expenses for this Task is $19,500 19,000.
The following summarizes anticipated reimbursable expenses:
Round-trip Airfare – $6,000 (6 round trip flights)
Ground Transportation (car rental or Uber/taxi) - $2,400 Hotel accommodation - $9,000 (24 nights)
Food and incidentals – $2,100 1,600