July 11, 2023
Finance Department
DATE: July 11, 2023
TO: Mayor Martinez and Members of the City Council
FROM:
Mubeen Qader, Deputy Director of Finance
Jerry Chak, Accounting Manager
Subject:
Contract Amendment with Badawi and Associates for
Audit Services
FINANCIAL IMPACT: The cost of this amendment is not to exceed $309,775 per fiscal year. This amount is included in the approved Fiscal Year 2023-2024 budget. Subsequent payments
will be budgeted annually within the subsequent fiscal
year budgets. Funding to cover auditing services is
budgeted within 01172015-400215.
PREVIOUS COUNCIL
ACTION:
March 17, 2020
STATEMENT OF THE
ISSUE:
City staff is seeking approval to amend its contract with Badawi and Associates to extend for two additional fiscal years to audit the City’s financial statements for the fiscal years ending June 30, 2023, and June 30, 2024.
RECOMMENDED ACTION:
APPROVE an amendment to the contract with Badawi
and Associates to continue providing annual audit
services to the City and its related entities for Fiscal Years 2022-2023 and 2023-2024, for an amount not to
exceed $309,775 per fiscal year – Finance Department
(Mubeen Qader/Jerry Chak 510-620-6569).
AGENDA
REPORT
July 11, 2023
DISCUSSION:
On March 17, 2020, City Council approved a contract with Badawi and Associates to audit the City’s financial statements and financial statements of component entities, including the Richmond Housing Authority, for the fiscal years ending June 30, 2020, June 30, 2021, and June 30, 2022, with an option to extend the contract in one-year periods, not to exceed a total of two additional fiscal years. The performance of Badawi and Associates has been satisfactory; therefore, City staff is seeking a contract amendment for Badawi and Associates to provide annual audit services to the City and its related entities extending to Fiscal Years 2022-2023 and 2023-2024. The amendment extends the contract period by an additional two years and increases the contract amount by $619,550 from $910,820 to $1,530,370 in an amount not to exceed $309,775 per fiscal year.
DOCUMENTS ATTACHED:
Attachment 1 – Contract Amendment 1
Attachment 2 – Original Contract