CITY OF RICHMOND
CONTRACT AMENDMENT
Department: Project Manager:
Project Manager E-mail: Project Manager Phone No:
P.R. No: Vendor No: P.O./Contract No:
Description of Services:
Amendment No. ___ modifies the: (2nd or subsequent amendments attach Amendment History page) Term, Payment Limit and Service Plan Payment Limit and Service Plan Term and Service Plan Service Plan
The parties to this Contract Amendment do mutually agree and promise as follows:
1. Parties. The parties to this Contract Amendment are the City of Richmond, California, a municipal corporation (City), and the following named Contractor:
Company Name:
Street Address:
City, State, Zip Code:
Contact Person:
Telephone: Email:
Business License No: / Expiration Date:
A California [ ] corporation, [ ] limited liability corporation [ ] general partnership, [ ] limited partnership, [ ] individual, [ ] non-profit corporation, [ ] individual dba as [specify:]
[ ] other [specify:]
2. Purpose . This Contract Amendment is being entered into to amend the Contract between City and Contractor which was approved by the City Council of the City of Richmond or executed by the City Manager on , which original term commenced on and terminates with an original contract payment limit of $ . Said contract shall hereinafter be referred to as the "Original Contract" and is incorporated herein by reference.
3. Original Contract Provisions . The parties hereto agree to continue to abide by those terms and conditions of the Original Contract, and any amendments thereto, which are unaffected by this Contract Amendment.
Finance Department Jerry Chak
[email protected] (510) 620-6569
14373 5117
Audit service for the City of Richmond's California Violence Intervention and Prevention Grant Program, administered by Board of State and Community Corrections, for the period from October 1, 2020, to June 30, 2023. 2 Badawi & Associates
2855 Telegraph Avenue, Suite 312
Berkeley, CA 94705
Ahmed Badawi
(510) 768-8244 [email protected]
40059976 December 21, 2023
April 20, 2020
July 1, 2020 June 30, 2023
910,820.00
Contract Amendment/EJ/TE 09-26-07
4. Amendment Provisions. This Contract Amendment is subject to the Amendment Provisions attached hereto, which are incorporated herein by reference, and which control over any conflicting provisions of the Original Contract, or any amendment thereto. 5. City of Richmond Business License Active Status Maintained. Pursuant to Municipal Code Section 7.04.030, the Contractor must maintain its City of Richmond business license for this Contract Amendment to be deemed to be in effect. 6. Insurance Coverage Updated and Maintained. Pursuant to the Original Contract, the Contractor shall provide the City with updated insurance certificates, and the Contractor shall maintain insurance coverage, for this Contract Amendment to be deemed to be in effect. 7. Signatures. These signatures attest the parties’ agreement hereto: CITY OF RICHMOND, CALIFORNIA a municipal corporation By _______________________ Title:I hereby certify that the Original Contract and this Amendment have been approved by the City Council or executed by the City Manager.By _______________________ City Clerk Approved as to form: By_______________________ City Attorney List of Attachments: 1. Amendment Provisions 2. Updated Insurance Certificates CONTRACTOR: ______________________________(*The Corporation Chairperson of the Board, President or Vice-President should sign on the line below.)By____________________________ Title:________________________ (*The Corporation Chief Financial Officer, Secretary or Assistant Secretary should sign on the line below.)By:___________________________ Title:________________________ (NOTE: Pursuant to California Corporations Code Section 313, if Contractor is a corporation or nonprofit organization, this Contract (1) should be signed by the Chairperson of the Board, President or Vice-President and the Chief Financial Officer, Secretary or Assistant Secretary; (2) should have both signatures conform to designated representative groups pursuant to Corporations Code Section 313.
Badawi & Associates
Contract Amendment between the City of Richmond and
Amendment No. P.O./Contract No.
AMENDMENT PROVISIONS (PAYMENT LIMIT AND SERVICE PLAN)
1. Paragraph 3 (Payment Limit) of the Original Contract is hereby amended to increase the payment limit by $ . Paragraph 3 of the Original Contract is amended to read as follows:
"3. Payment Limit. City's total payments to Contractor under this Contract Amendment shall not exceed $ including expenses." “The City of Richmond shall not pay for services that exceed the Contract Payment Limit without the prior written approval of the City Manager if the total Contract amount does not exceed $10,000 or without the prior approval of the City Council if the total Contract amount is over $10,000.”
2. The Service Plan (Exhibit A) of the Original Contract is hereby amended to include the following tasks and/or services:
Contract Amendment/EJ/TE 9-26-07
Badawi & Associates
2 5117
18,000.00
1,548,370.00
Contractor shall conduct an audit of the City of Richmond's California Violence Intervention and Prevention Grant Program, administered by Board of State and Community Corrections, for the period from October 1, 2020, to June 30, 2023.
Contract Amendment between the City of Richmond and
Amendment No. P.O./Contract No.
AMENDMENT PROVISIONS (AMENDMENT HISTORY)
The first Contract Amendment was approved by City Council of the City of Richmond or executed by the City Manager on for one or more of the following provisions (check those that apply):
The s
econd Contract Amendment was approved by City Council of the City of Richmond or executed by the City Manager on for one or more of the following provisions (check those that apply):
The t
hird Contract Amendment was approved by City Council of the City of Richmond or executed by the City Manager on for one or more of the following provisions (check those that apply):
The f
ourth Contract Amendment was approved by City Council of the City of Richmond or executed by the City Manager on for one or more of the following provisions (check those that apply):
The f
ifth Contract Amendment was approved by City Council of the City of Richmond or executed by the City Manager on for one or more of the following provisions (check those that apply):
Badawi & Associates
2 5117
July 11, 2023
Increased contract payment limit by $ 6_1_9_,_5_5_0_.0_0________for a payment limit not to exceed $ _1,_5_3_0_,_3_7_0._0_0_______________.
Term Amendment (insert new termination date):________________________ Service Plan
Increased contract payment limit by $ ________________for a payment limit not to exceed $______________________.
Term Amendment (insert new termination date):________________________ Service Plan
Increased contract payment limit by $ ________________for a payment limit not to exceed $___________________.
Term Amendment (insert new termination date):________________________ Service Plan
Increased contract payment limit by $ ________________for a payment limit not to exceed $____________________.
Term Amendment (insert new termination date):________________________ Service Plan
Increased contract payment limit by $ ________________for a payment limit not to exceed $___________________.
Term Amendment (insert new termination date):________________________ Service Plan
June 30, 2025
City of
Richmond
TECHNICAL PROPOSAL
For Professional Auditing Services for
the City of Richmond
For the period from October 1, 2020 to June 30, 2023.
August 18, 2023
Contact Person:
Ahmed Badawi, CPA
Badawi & Associates
Certified Public Accountants
2855 Telegraph Avenue, Suite 312
Berkeley, CA 94705
Phone: (510) 768-8244
Fax: (510) 768-8249
E-mail: [email protected]
City of Richmond
Table of Contents
Page
Letter of Transmittal ................................................................................................................................................... 1 Firm Qualifications and Experience .......................................................................................................................... 3 Independence ........................................................................................................................................................... 3 Insurance .................................................................................................................................................................. 3 License to Practice in California................................................................................................................................ 3 Conflict of Interest ..................................................................................................................................................... 3 Firm Qualifications .................................................................................................................................................... 3 Technical Approach .................................................................................................................................................. 4 Firm Experience ........................................................................................................................................................ 5 Additional Activities ................................................................................................................................................... 5 Client Training Seminar ............................................................................................................................................ 6 Quality Control Review ............................................................................................................................................. 6 Federal or State Desk Reviews ................................................................................................................................ 9 Disciplinary Action ..................................................................................................................................................... 9 Litigations .................................................................................................................................................................. 9 Partner, Supervisory, and Staff Qualifications and Experiences ........................................................................ 10 Engagements with Other Governmental Entities .................................................................................................. 14 Understanding of Services to be Provided ............................................................................................................ 18 Audit Schedule .......................................................................................................................................................... 19 Comprehensive Cost Bid ......................................................................................................................................... 20 Conclusion ................................................................................................................................................................. 22 Appendix .................................................................................................................................................................... 23 References .............................................................................................................................................................. 23
August 18, 2023
Letter of Transmittal
Mr. Mubeen Qader
Acting Director of Finance
City of Richmond
450 Civic Center Plaza
Richmond, CA 94804
Dear Mr. Qader:
Badawi & Associates (B&A), Certified Public Accountants (the “Firm”) is pleased to have the opportunity to respond to your request for a proposal to provide external audit services and to submit its qualifications to perform an independent audit of the City of Rich mond (the “City”)’s compliance over the California Violence Intervention and Prevention Grant Program, administered by the Board of State and Community Corrections (BSCC), (the “Grant Program”), for the period from October 1, 2020 to June 30, 2023. The objective of our audit is to issue an opinion on compliance regarding the City’s Grant Program in accordan ce with generally accepted accounting principles. This audit is to be performed in accordance with generally accepted auditing standards, the standards set forth for financial audits in the Government Accountability Office’s (GAO) Government Auditing Standards, the provisions of the federal Single Audit Act of 1984, as amended in 1996, and the Uniform Guidance, Audits of States, Local Governments and Non-Profit Organizations, Uniform Administrative Requirements, as well as any other applicable federal, state, local or programmatic audit requirements.
This proposal will highlight the background of the part ners and staff assigned to the engagement, summarize our experience in the governmental area, and describe our approach to auditing the Grant Program.
This proposal demonstrates our ability to render the qualit y examination and to perform the necessary accounting and auditing services requested by the City on a timely basis.
As a partner of the Firm, I will be the primary contac t for negotiation of the contract. Additionally, I have been authorized to legally bind the Firm. You may contact me at the following address and phone number:
Ahmed Badawi, CPA
Badawi & Associates
Certified Public Accountants
2855 Telegraph Avenue, Suite 312
Berkeley, CA 94705
Telephone: (510)768-8244
E-mail: [email protected]
Mr. Mubeen Qader
Acting Director of Finance
City of Richmond
2 We are committed to performing the required work, completing the audit, and issuing the necessary auditors’ reports.
We believe we are the best qualified to perform the audit bec ause our audit staff includes individuals well versed in municipal auditing and reporting requirements. We have performed auditing and consulting engagements for numerous cities throughout Ca lifornia. We will be responsive to the need s of the City, we understand the City’s operational environment, and pledge to you our complete commi tment to providing a quality product that meets the City’s requirements.
The approach to the audit has been designed to meet the audit requirements of the City with the least disruption to the City’s office operations. The foundation of the audit approach is based on communication coupled with a strong knowledge of City operations and detailed planning at the initial stages of the audit. Open communication lines with all parties of the Engagement Team and City Management and staff throughout the engagement eliminate “surprises”.
Initial planning and proper assignment of duties to experienced personnel provide for an effective and efficient audit process. Consequently, inefficiencies and disruptions are kept to a minimum.
The Firm maintains liability insurance coverage for profes sional liability, Workers’ Compensation, Comprehensive General Liability and Auto as part of our comprehensive insurance policy.
The Firm is an Equal Opportunity employer and complies wi th all Federal and State hiring requirements. The Firm also supports Affirmative Action philosophies and works hard to provide disadvantaged groups with opportunities for self enhancement.
This proposal is a firm and irrevocable offer for 180 days.
We are confident that you will find our organization offers the required expertise, technical knowledge, and business understanding to perform an audit of the Grant Program. Our past experi ence provides us with a thorough understanding of the needs and requirements of the City, as well as the technical knowledge to perform such services in accordance with the accounting and auditing guidelines as published by the various authoritative entities.
We welcome your inquiries and look forward to further discussions with you.
Sincerely,
Ahmed Badawi
Partner
Badawi & Associates
Certified Public Accountants
City of Richmond Technical Proposal
3 Independence
The Firm is independent of the City of Richmond as defined by the GAO’s Standards for Audit of Governmental Organizations, Programs, Ac tivities and Functions, and the AICPA and California State Society of Certified Public Accountants as promulgated in various auditing and professional standards.
Insurance
The Firm maintains professional liability insurance and other coverage as part of our comprehensive insurance policy. Upon selection as the City’s Grant Program independent auditor, the Firm and our insurance provider will pr ovide a certificate of insurance to the City which shows the minimum requirements identified by City have been met.
License to Practice in California
The Firm and all key professional staff assigned to the City’s Grant Program audit are properly licensed to practice as Certified Public Account ants in the State of California and comply with GAO Government Auditing Standards.
The Firm is registered with the California Stat e Board of Accountancy. Its state number is COR6823.
The Firm has met all required State and local laws, rules, and regulations.
Conflict of Interest
The Firm has no conflicts of interest in connection with providing the services described in this proposal. The Firm does not have any financial, business, or other professional relationships with the City or any member of City staff.
Firm Qualifications
Badawi & Associates was founded by Mr. Ahmed Badawi. Mr. Badawi has over 20 years of experience working with state and local government with a special focus on cities. Prior to founding B&A, Mr. Badawi was a partner with several local and national firms, where he headed their government practice in Nort hern California. Mr. Badawi founded Badawi & Associates to serve the fast-paced needs of California's local go vernments. The goal is to build a proactive, client-focused culture from the ground up and to eliminate the entrenched bureaucratic culture and intrinsic limitations of the big audit firms.
Located in Berkeley, CA, the Firm serves a variety of cities and towns throughout California as well as conducting financial related services for numerous special districts and authorities.
Names and phone numbers of several of our current and past clients and other references are provided for your inquiries. We encourage you to contact these individuals to obtain information on the quality of the audit and the ability of the audit staff.
Our Berkeley office will be the Engagement Office assigned to the City.
In addition to specific City financial statements, the Firm members have also audited numerous redevelopment agencies, public financing autho rities, hospitals, housing authorities, transportation authorities, special districts, water districts, OCJP grants, self-insurance pools, joint power authorities and has also performed numerous compliance audits in accordance with the Single Audit Act, childcare regulations, TOT regulations, AQMD regulations, franchise requirements.
The Engagement Partner assigned to the City will be Mr. Ahmed Badawi. Mr. Badawi has over 20 years of government audit experience. He is a member of various governmental committees, has actively participated in the development of accounting and audit guidelines for the governmental sector, and is an instructor for the California Society of Municipal Finance Officers.
Firm
Qualifications
and
Experience
City of Richmond Technical Proposal
4 The professional staffs assigned to the E ngagement are qualified and experienced. Each individual of the Engagement Team has severa l years of experience and has conducted or participated in numerous municipal audits of various sizes. Their understanding of governmental operations and the various authoritative guidelines will provide the where-with-all to perform the audit in an efficient and effective manner with minimal disruption to the City’s finance department.
Technical Approach
The approach to the audit has been designed to meet the audit requirements of the various authorities with the least disruption to the City’s operations. The foundation of the audit approach is based on communication coupled with a strong knowledge of City operations and detailed planning at the initial stages of the audit. Open co mmunication lines with all parties of the Engagement Team and City Management and staff throughout the engagement eliminate “surprises”. Initial planning and proper assignment of duties to experienced personnel provide for an effective and efficient audit process. Consequently, inefficiencies, disruptions, and lack of understanding are kept to a minimum.
City of Richmond Technical Proposal
5 Firm Experience
The Firm is located in Berkeley and provides a full range of accounting services to governmental agencies throughout California, including audit, ta x and accounting. The Firm’s professional staff members provide the financial background and specific experience to meet the City’s operational needs. Additionally, this situation prov ides the City with an auditing firm that has depth in capabilities to address any financial issue the City may need assistance with, and the quality audit approach that you expect.
Our Berkeley office will be the Engagement Office assigned to the City.
Firm policy requires that the Engag ement Partner be actively involved in the daily fieldwork.
This means to the City that Mr. Badawi will actually be on-site during the audit coordinating the audit process, supervising the audit staff, gaining a hands-on understanding of City processes, and benefiting the City with his broad municipal experience. We have found that this effort benefits the City and the Firm through developing a thorough knowledge of the City’s practices and issues and establishing a close working relationship with the City’s Management.
Additionally, continuity of audit personnel is assured because of the hands-on involvement of the Partner.
We are committed to providing appropriate and related experience, personal involvement, and a broad business perspective to produce a quality end product within the time frames required.
The Firm provides financial and compliance auditing services to governmental agencies throughout California. We are a governmental agency auditing firm and ou r professional staff members have been performing these services for many years. As a result, we have performed financial and compliance audits on most, if not all, types of governmental agencies and operations including:
Cities
Redevelopment
Agencies
Financing
Authorities
Housing Authorities
Special Districts
Water Districts
Waste Management
Authorities and
Operations
Pension Plans
Child Care
Operations
Joint Power
Authorities
Investment Activities
Landfills
Enterprise Funds
Airports
Transportation
Operations
Federal and State
Grants
Additional Activities
We offer a full range of accounting and finance services to the governmental sector. These services include:
Financial audits
Compliance audits
Tax advice
Development of financial and
accounting policies and procedures
Investment review and compliance
evaluation
Operational reviews
Technical guidance on existing and
upcoming accounting issues
Training seminars
Pension/profit-sharing plans
Performance audits
Business consulting
Consequently, Firm personnel are well qualified to perform the services expected by the City.
City of Richmond Technical Proposal
6 Client Training Seminar
The Firm hosts an annual update on recent technical accounting and finance issues affecting the governmental area. This all-day session reviews new and anticipated pronouncements from GASB, discusses future issues under consideration by GASB, reviews accounting treatment of various transactions where issues may arise, and provides a general overview of state and federal compliance issues. All of our clients are invited to attend, free of charge. The one-day session qualifies for CPE under the rules of the St ate Board of Accountancy and is held in the Bay Area.
Quality Control Review
According to Government Auditing Standards, firms who perform audits under the Yellow Book are required to have a peer review once every three years. We received a report with a rating of pass with no deficiencies which we attached for your review.
City of Richmond Technical Proposal
7 City of Richmond Technical Proposal
8 City of Richmond Technical Proposal
9 The Firm has policies and procedures to ensure it hires only qualified people, that it properly supervises them and provides professional traini ng, that it advances them to responsibilities they are capable of handling, and that it provides them with necessary technical resources. All members of the Firm are very familiar with t he stringent quality control standards established by the AICPA.
The Firm is a member of the AICPA Government Audit Quality Center.
The Firm is a member of the AICPA Private Companies Practice Section.
Federal or State Desk Reviews
The Firm has had no negative federal or state reviews in the past three (3) years.
Disciplinary Action
There have not been any state or federal disciplinary actions taken or pending against the Firm nor any findings to report.
Litigations
The Firm has not experienced any lawsuits or legal actions that have been resolved or are currently pending in the prior five years.
City of Richmond Technical Proposal
10 The Engagement Team will norma lly consist of four individual s who provide a broad business perspective and significant experience in governmental auditing. This team will provide access to a wide range of technical capabilities which will provide the City with not only the technical support necessary to perform the Grant Program audit, but also the broad business background to interpret findings and observations to offer effective solutions to issues, and the personal involvement of the Engagement and Compliance Partners of the Firm.
The Engagement Team will be led by Ahmed Badawi, CPA. Mr. Badawi’s background includes over twenty years of municipal auditing experience with a special focus on cities. He is the instructor of the CSMF O “Introduction to Governmental Accounting” training classes. Mr.
Badawi is a member of the Government Acco unting and Auditing Committee of the California Society of Certified Public A ccountants. He has participated in the audits of numerous City, county and special district governments, as we ll as non-profit entities. His diversified background offers the technical qualities required of the governmental and non-profit areas and the necessary wherewithal to properly evaluate the entire accounting process, develop opportunities to improve the accounting pr ocess, and to offer practical business recommendations.
The second member of the Engagement Team will be Wenwei Zhao, CPA. Ms. Zhao’s background includes six years of accounting and auditing experience. She has participated in the audits of numerous government al entities and assisted in their efforts to publish their financial statements in compliance with various r egulations, and is a volunteer member of the GFOA Special Review Committee. Ms. Zhao will be the Audit Manager of this engagement.
Each member of the Engagement Team participates in continuing education programs offered by the AICPA and California Stat e Society of Certified Public Accountants, and each has met the continuing education requirements for municipalit ies. In addition, the firm offers at least 60 hours of in-house CPE annually focused mainly on municipal audits.
Professional Development:
The Firm maintains a comprehensive training program targeted at appropriate professional staff levels. It utilizes in-house developed education al programs, AICPA and California CPA Foundation educational programs, and on-the-job training.
The Firm’s annual training schedule which officially begins in April for all professional staff and administrative staff includes comprehensive in-house training sessions on such topics as:
Engagement Partner
Ahmed Badawi
CPA
Audit Manager
Wenwei Zhao
CPA
Professional
Audit Staff
Professional
Audit Staff
Partner,
Supervisory,
and Staff
Qualifications
and
Experiences
City of Richmond Technical Proposal
11 Review of principles of accounting and financial reporting for state and local governments Review of governmental fund types and account groups
Review of newly issued generally ac cepted auditing standards and GAO auditing standards
Review of Internal Control evaluation approaches including COSO principles Updates on recent governmental accounting and reporting guidelines Review of Single Audit requirements and approaches
Review of financial audit approaches
Overview of audit and internal control work paper techniques Review of GASB reporting requirements
Review of current issues facing the governmental community During the year, professional staff members are sent to various educational sessions sponsored by the AICPA and California State Society of CPAs, as considered appropriate for the level and need of the individual. These classes include, among others:
Governmental Financial Reporting Standards and Practices Yellow Book: Government Auditing Standards
Financial Accounting Standards: Comprehensive Review
Single Audit
Governmental Auditing & Accounting Update
Governmental Accounting Principles
Comprehensive Review of Generally Accepted Auditing Standards The result of the Firm’s training program is the production of a highly educated and competent municipal audit group capable of performing an efficient and effective audit for the City.
The Engagement Team members will continue their professional development efforts.
Staff Retention and Continuity:
The Firm's policy on providing service to our clients includes a commitment to maintaining continuity of audit personnel. We cannot guarantee that our staff will remain with the Firm.
However, to encourage our staff to remain with us, we pay competitive wage rates; offer promotional opportunities; provide state-of-the-art equipment and excellent working conditions; and offer various benefits, such as retirement pl ans, medical plans, profit sharing programs, educational benefits, and other such benefits. We can also guarantee that the partner will be involved in future years. Continuity of audit st aff is of prime concern to us and because of the hands-on involvement of the partner; we can as sure you that future years’ audits will be conducted in an efficient and effective manner with qualified and experienced professionals.
The Firm is an Equal Opportunity employer a nd complies with all Federal and State hiring requirements. The Firm also supports Affirmative Action philosophies and works hard to provide disadvantaged groups with opportunities for self enhancement.
Resumes of each member of the Engagement Team follow.
City of Richmond Technical Proposal
12 Ahmed Badawi, Certified Public Accountant – Engagement Partner Length of Career
Over twenty years’ experience in municipal auditing and accounting with a special focus on cities Certified Public Accountant for the State of California Professional Experience
Partial listing of clients served:
Has performed numerous financial audits, Single Audits, Transportation Development Act audits, housing audits, electrical utility audits, RDA audits, PFA audits, and Trust Fund audits, and has prepared numerous Annual Comprehensive Financial Reports Education
BS Degree in Accounting from the University of Alexandria, Egypt Professional Activities
Instructor, CSMFO’s “Introduction to Governmental Accounting” training class Member, CALCPA Government Accounting and Auditing Committee Member, American Institute of Certified Public Accountants Member, California Society of Certified Public Accountants Member, Government Fina nce Officers Association
Member, California Society of Municipal Finance Officers Continuing Education
Has met the current CPE educational requir ements to perform audits on governmental agencies Financial Single RDA PFA Enterprise
Audit Audit Audit Audit Fund Other
Cities:
Albany X X X X
A n t i o c h XX XXX
Atwater X X X
Azus a X X X X
B e r k e l e y XXX XX
Buena Park X X X X X
Burlingame X X X
Cotati X X X
Dublin X X X
East Palo Alto X X X X
E l C e r r i t o XXX XX
F o l s o m XX XX
F o s t e r C i t y XXX XX
Fremont X X X X
Guadalupe X X X X X
Lafayette X X X X
Larkspur X X X X
Lindsay X X X
Menlo Park X X X X X
Newark X X X X
O a k d a l e XXX XX
Ontario X X X X
Petaluma X X
Pinole X X X X
Pleasanton X X X X
R i c h m o n d XXXXXX
San Bruno X X X X X
San Leandro X X X X
San Luis Obispo X X X
S a n M a t e o XXX XX
Scotts Valley X X X X
Solvang X X
Susanville X X
T u r l o c k XXXXXX
U n i o n C i t y XXX XX
V a c a v i l l e XXXX X
Walnut Creek X X X X X
Counties:
Santa Cruz County XXXXXX
Contra Costa County XXXXXX
Special Districts and Other:
Alameda County Water District X X X
East Bay Regional Park District X X X
Services Provided
City of Richmond Technical Proposal
13 Wenwei Zhao, Certified Public Accountant – Professional Audit Manager Length of Career
Six years’ experience in auditing
Certified Public Accountant for the State of California Professional Experience
Has performed numerous financial audits, Single Audits, RDA audits, PFA audits, Transportation Development Act audits, and housing audits
Education
Master of Accounting from University of Pittsburgh, PA Professional Activities
Volunteer Member, GFOA Special Review Committee
Continuing Education
Various municipal accounting courses offered by the California Society of CPAs and local universities including:
- Governmental Financial Reporting Standards and Practices - Yellow Book: Government Auditing Standards
- Municipal Accounting
- Single Audit
Has met the current CPE educational requir ements to perform audits on governmental agencies Services Provided
Financial Single SCO RDA PFA Enterprise
Audit Audit Report Audit Audit Fund Other
Cities:
Barstow X
Berkeley X X X
Crescent City X X X X
East Palo Alto X X
El Cerrito X X X
Folsom X X X X
Lafayette X X X X X
Larkspur X
Menlo Park X X X
Millbrae X
Newark X X X X
Oakdale X X X
Pinole X X
Redwood City X
R i c h m o n d XXXXX X X
San Luis Obispo X X X
San Mateo X X
Susanville X X
Town of Los Gatos X
Town of Yountville X X
Union City X X X X
Waterford X
Yuba City X X X X
Towns:
Los Gatos X
Child Care Programs:
Contra Costa County Child Care X X
Special Districts:
San Gabriel Valley Council of Governments X X
Cosumnes Services District X
Elk Grove Water District X
Hayward Area Recreation and Park District X
Marin Municipal Water District X
Resource Conservation District of Santa
Cruz County
X
San Mateo County Mosquito and Vector
Control District
X
Santa Cruz Regional 9-1-1 X
City of Richmond Technical Proposal
14 The tables below and on the following page are a partial listing of our clients similar to the City, and illustrates the many different types of components involved in each audit engagement that present very difficult and complex auditing and accounting challenges (in order of audit hours). ** Indicates cities with population over 50,000
** Indicates cities with governmental revenues over $100 million and population over 50,000
City
Client Since
Hours
Engagement Partner
Principal Contact
Annual Comprehensive
Financial Report
GFOA Award
RDA/Successor Agency
Single Audit
TDA
Water Fund
Sewer Fund
SCO Report
Housing Authority
Enterprise Funds
Pension Trust Fund
** Richmond 2020 3,160 Ahmed
Badawi
Mubeen Qader
Acting Director of Finance
(510)412-2077
[email protected]
X XXX XXXXX
** Berkeley 2008 1,505 Mitesh
Desai
Henry Oyekanmi
Finance Director
(510)981-7300
[email protected]
X XXXX X XX
** Ontario 2021 1,012 Ahmed
Badawi
Armen Harkalyan
Executive Director of Finance
(909)395-2019
[email protected]
X XXX XXXXX
* Union City 2006 850 Mitesh
Desai
Jackie Acosta
Finance Director
(510)675-5345
[email protected]
X XXXX X X
** Folsom 2019 807 Ahmed
Badawi
Stacey Tamagni
Finance Director
(916)461-6712
[email protected]
X XXX XX X
* Petaluma 2019 691 Ahmed
Badawi
Corey Garberolio
Finance Director
(707)778-4357
[email protected]
X XXXXXXX
* San Luis
Obispo 2019 638 Ahmed
Badawi
Emily Jackson
Finance Director
(805)781-7125
[email protected]
X X XXXX
* Antioch 2005 586 Mitesh
Desai
Dawn Merchant
Finance Director
(925)779-6135
[email protected]
X XXXXXX X
Lafayette 2020 586 Ahmed
Badawi
Jennifer Wakeman
Assis. Administrative Services Director
(925)299-3213
[email protected]
XX X X X
** Dublin 2018 546 Ahmed
Badawi
Jay Baksa
Director of Finance & Admin. Services
(925)833-6640
[email protected]
XX X X X
Azusa 2017 540 Ahmed
Badawi
Talika Johnson
Administrative Services Director
(626)812-5202
[email protected]
X XXX XX X
Engagements
with Other
Governmental
Entities
City of Richmond Technical Proposal
15 City
Client Since
Hours
Engagement Partner
Principal Contact
Annual Comprehensive
Financial Report
GFOA Award
RDA/Successor Agency
Single Audit
TDA
Water Fund
Sewer Fund
SCO Report
Housing Authority
Enterprise Funds
Pension Trust Fund
Millbrae 2015 524 Mitesh
Desai
Mike Sung
Finance Director
(650)259-2433
[email protected]
X XXX XX X
Glendora 2022 487 Ahmed
Badawi
Kyle Johnson
Assistant Finance Director
(626)914-8245
[email protected]
X XXX X XXX
San Bruno 2022 486 Ahmed
Badawi
Bobby Magee
Interim Finance Director
(650)616-7054
[email protected]
X X XXXXX X
* Yuba City 2017 450 Mitesh
Desai
Spencer Morrison
Finance Director
(530)822-4615
[email protected]
X XXX XXX X
Wasco 2021 428 Ahmed
Badawi
Isarel Perez-Hernandez
Finance Director
(661)758-7230
[email protected]
X XXXXXX
Pismo Beach 2022 389 Ahmed
Badawi
Nadia Feeser
Administrative Services Director
(805)773-7010
[email protected]
X XXX XXX X
Larkspur 2019 382 Ahmed
Badawi
Cathy Orme
Administrative Services Director
(415)927-5019
[email protected]
XX X
Atwater 2021 380 Ahmed
Badawi
Delilah Youmara
Finance Director
(209)357-6347
[email protected]
XX XXXX
Lemon Grove 2022 377 Ahmed
Badawi
Joseph Ware
Finance Director
(619)825-3803
[email protected]
XX X X
Waterford 2018 311 Mitesh
Desai
Tina Envia
Finance Manager
(209)874-2328 Ext: 104
[email protected]
XX XX
Solvang 2019 308 Ahmed
Badawi
Brad Vidro
Interim City Manager
(805)688-5575 ext 204
[email protected]
X X XXX
Oakdale 2016 306 Mitesh
Desai
Albert Avila
Finance Director
(209)845-3584
[email protected]
XXXXX X
City of Richmond Technical Proposal
16 City
Client Since
Hours
Engagement Partner
Principal Contact
Annual Comprehensive
Financial Report
GFOA Award
RDA/Successor Agency
Single Audit
TDA
Water Fund
Sewer Fund
SCO Report
Housing Authority
Enterprise Funds
Pension Trust Fund
Guadalupe 2017 303 Mitesh
Desai
Janice Davis
Finance Director
(805)356-3895
[email protected]
XX XX X
Sebastopol 2017 275 Mitesh
Desai
Ana Kwong
Finance Director
(707)824-4879
[email protected]
X XX XXX X
Cotati 2020 265 Ahmed
Badawi
Angela Courter
Director of Administrative Services
(707)665-4236
[email protected]
XX X X X
Crescent City 2014 227 Mitesh
Desai
Linda Leaver
Finance Director
(707)464-7483 x224
[email protected]
XX XX XX
Scotts Valley 2019 202 Ahmed
Badawi
Selina Andrews
Finance Manager
(831)440-5614
[email protected]
XX X X X
City of Richmond Technical Proposal
17 The table below lists all special district engagements (in order of audit hours):
Special District
Client Since
Hours
Engagement
Partner
Principal Contact
Annual Comprehensive
Financial Report
GFOA Award
Single Audit
Enterprise Funds
San Gabriel Valley Council of Governments 2021 618 Ahm ed Badawi
Rey Alimoren,
Director of Finance
(626) 962-9292
[email protected]
No N/A X X
County of Contra Costa Community
Services Bureau Child Development
Program
2013 450 Mites h
Desai
Nancy Benavides
Fiscal Officer
(925)681-4268
[email protected]
No N/A
Florin Resource Conservation District/
Elk Grove Water District 2015 350 Mites h
Desai
Patrick Lee
Finance Manager / Treasurer
(916)685-3556
[email protected]
Yes Yes X
Hayward Area Recreation
and Park District 2017 350 Mites h
Desai
Anne Maze
Administrative Services Director
(510)881-6707
[email protected]
No N/A
Amador County
Transportation Commission 2019 260 Ahm ed
Badawi
John Gedne
y
Executive Director
(209)267-2282
[email protected]
No N/A
Solano County Water Agency 2020 243 Ahm ed
Badawi
Roland Sanford
General Manager
(707) 455-1103
[email protected]
No N/A
San Mateo Mosquito and
Vector Control District 2018 228 Ahm ed
Badawi
Richard Arrow
Finance Director
(650)344-8592
[email protected]
Yes Yes
Monterey Bay Unified Air
Pollution Control District 2016 200 Mites h
Desai
Rosa Rosales
Administrative Services Manager
(831)718-8019
[email protected]
No N/A
Southern Marin Fire
Protection District 2020 160 Ahm ed
Badawi
Alyssa Schiffmann
Finance Manager
(415)388-8182
[email protected]
No N/A
Alameda County Waste Management
Authority (StopWaste) 2018 154 Ahm ed
Badawi
Jennifer Luong
Finance Services Manager
(510)891-6500
[email protected]
Yes Yes
Central County
Fire Department 2012 150 Mites h
Desai
Jan Cooke
Finance Director
(650)375-7408
[email protected]
Yes Yes
Central Fire Protection District of
Santa Cruz County 2018 150 Mites h
Desai
Nancy Dannhause
r
Finance Director
(831)479-6842
[email protected]
No N/A
Port of San Luis
Harbor District 2017 150 Mites h
Desai
Kristen Stout
Business Manager
(805)595-5413
[email protected]
Yes Yes X
Resource Conservation
District of Santa Cruz
County
2017 150 Mites h
Desai
Sharon Corkrean
Director of Finance
[email protected]
No N/A X
Santa Cruz
Regional 9 - 1 - 1 2016 150 Mites h
Desai
Dennis Kidd
General Manager
(831)471-1038
[email protected]
No N/A
Zayante Fire
Protection District 2017 150 Mites h
Desai
John Stipes
Fire Chief
(831) 335-5100
[email protected]
No N/A
City of Richmond Technical Proposal
18 The City desires an audit of the City’s Grant Program compliance in accordance with generally accepted accounting principles for the period from October 1, 2020 to June 30, 2023.
The Firm will:
Express an opinion on the Grant Program in conformity with generally accepted accounting principles in the United States of America.
Perform the audit in accordance with ge nerally accepted auditing standards accepted in the United States of America, applicable to the financial audit contained in the Government Auditing Standards issued by the Comptroller General of the United States and the provisions of the Uniform Guidance, Audits of States, Local Governments and Non-Profit Organizations.
Issue the following reports, following the comp letion of the audit of the fiscal year’s financial statements:
Independent Auditor’s Repo rt on the Grant Program
Report on Internal Control over Financial Reporting and on Compliance and Other Matters Based on an Audit of the Grant Program Performed in Accordance with Government Auditing Standards
Independent Auditor’s Report on Compliance with Requirements Applicable to the Grant Program and Internal Control over Compliance in Accordance with the Uniform Guidance
Scheduled of findings and quest ioned costs (if required) Provide special assistance to the City as needed.
Retain all working papers and reports at the audit firm’s expense for a minimum of 7 years.
In addition, make working papers available to the City and/or any government agency as appropriate.
Should any conditions be discovered requiring corrective action, the Firm will provide a detailed description of the findings and recommended actions as to their resolution.
The Firm will submit a report to the City’s Council and management detailing auditor’s responsibility under generally accepted auditing standards, significant accounting policies, management judgments and accounting statement s, significant audit adjustments, other information in documents containing audited financial statements, disagreements with management, management consultations with other accountants, major issues discussed with management prior to retention, difficulties encountered during the audit, and any significant deficiencies or material weaknesses found during the audit. Non-material instances of noncompliance will be reported in a separate management letter, if appropriate, along with any other observations or recommendations determined to be informative to City Management.
The Firm will be available to provide advice and counsel regarding significant matters during the year.
The Firm’s Partner and Staff welcome the opportunity to make presentations to the City Council and will be ready to respond to questions from the Council and citizens of the City.
Understanding
of Services to
be Provided
City of Richmond Technical Proposal
19 2023
Period
Audit Tasks
September - Grant Program Audit Planning
Prepare detailed audit work plan and audit programs, audit budget, staffing schedule, and list of schedules to be prepared by City staff. Coordinate Grant Program audit planning efforts with efforts for the City’s Single Audit and Financial audit efforts.
October -
November
- Grant Program Compliance Fieldwork
Entrance conference with City Management
Obtain Grant Program Schedule of Expenditures
Perform audit tests of the Grant Program and compliance with requirements and Regulations applicable to the Grant Program. Review grant documents, select sufficient number of transactions to test for compliance with Grant Program requirements
Coordinate Grant Program efforts with the City’s Single Audit and Financial Audit efforts
Communicate findin gs to City Management
November -
December
- Audit Reports
Prepare draft of Grant Program Audit Reports concerning internal control structure, compliance with laws and regulations, and administering of Grant Program
Prepare other reports as required
Provide revised final drafts of a ll required reports to the City for approval
December
- Final Grant Program Audit Reports delivered for the City to submit to the BSCC by no later than December 31, 2023.
Estimated Hours by Audit Phase
Position Planning Fieldwork Reporting Total
Partner 4 17 1 22
Audit Manager 3 34 3 40 Professional Audit Staff - 117 6 123 Administrative Assistant - - 1 1 Total 7 168 11 186
Audit
Schedule
City of Richmond Technical Proposal
20 Schedule of Professional Fees
Note: The above is an all-inclusive maximum price, including services, out-of-pocket expenses, meals, lodging, transportation, printing, and other costs.
Service
2023
Hours 2023
Grant Program Audit, including related Audit Reports 186 18,000$ Total 186 18,000$
Position Hours
Standard
Hourly
Rates
Quoted
Hourly
Rates
Quoted
Fee
Partner 22 200 $ 150 $ 3,300 $
Audit Manager 40 150 120 4,800
Professional Audit Staff 123 100 80 9,840 Administrative Assistant 1 75 60 60 Total 186 18,000 $
Comprehensive
Cost Bid
City of Richmond Technical Proposal
21 Manner of Payment:
Each Engagement Team member maintains deta iled time sheets describing work performed, date of work, and amount of time spent on each task for the Engagement. The Firm will bill the City after completion of each phase of the audit and bill the City up to a maximum of 90%. The remaining 10% of the proposal amount will not be due until all final reports are delivered and accepted by the City. The City can anticipate three billings as follows:
Work Performed
% of Proposal
Amount
For interim work 45%
For year-end work 45%
At presentation and acceptance of final reports 10%
Total 100%
Rates for Additional Professional Services:
Any services outside the scope of our engagement will be promptly identified before the services are rendered. Upon mutual agreement, the out-of-scope services will be separately billed at our standard hourly rates. While it can be difficult to simply state hourly rates, as often times the needs of the client and the specific tasks directly impact the billing rates for our services, we want to provide the following information regarding our published billing rates:
Position Hourly Rate
Partner $ 200
EQR 200
Mana ger 150
Senior 125
Staff 100
Admin. 75
Our Standard Hourly Rates are adjusted annually by 3% for Cost of Living and Inflation Adjustments
City of Richmond Technical Proposal
22 A client relationship with the City will be of great value to our Firm and we welcome the opportunity to develop a long-term relationship with the City. We are committed to:
Rendering the highest standard of service
Developing a long-term working relationship dedicated to meeting the needs of the City Assisting the City in operational issues
Producing a quality end-product
We have the technical qualifications and experience to provide the level of service desired and expected by the City and stand ready to provide our knowledge and experience for the benefit of your organization.
We would like to express our appreciation to the City and to its Staff for allowing us the opportunity to submit a proposal to perform professional auditing services. We are available, at your convenience, to discuss any aspects of our proposal.
Thank you for allowing us to present our Firm to you.
* * * * * * * * * * * * * * * * *
Conclusion
City of Richmond Technical Proposal
23 References
1) City of Berkeley
Scope of Work: Annual Comprehensive Financial Report, Gann Limit, SAS114, Measure B (Alameda County), Vehicle Regist ration Fee Audit (Alameda County), Due Diligence Reviews for the RDA Successor Agency
Engagement Partner: Ahmed Badawi (2008 – 2019), Mitesh Desai (2020 – Present) Address: 2180 Milvia Street, Berkeley, CA 94704
Principal Contact:
Mr. Henry Oyekanmi
Finance Director
(510) 981-7332
[email protected]
2) City of Antioch
Scope of Work: Annual Comprehensive Financial Report, SAS 114, GANN Limit, Single Audit, TDA
Engagement Partner: Ahmed Badawi (2005 – Present)
Address: Third and H Streets, Antioch, CA 94509
Principal Contact:
Ms. Dawn Merchant
Finance Director
(925) 779-6135
[email protected]
3) City of Ontario
Scope of Work: Annual Comprehensive Financial Report, SAS 114, GANN Limit, Single Audit, Housing Successor, West End Communications Authority, West End Fire and Emergency Response Commission, Air Quality Management District Engagement Partner: Ahmed Badawi (2021 - Present)
Address: 303 East B Street, Ontario, CA 91764
Principal Contact:
Mr. Armen Harkalyan
Executive Director of Finance
(909) 395-2019
[email protected]
4) City of Lafayette
Scope of Work: Annual Comprehensive Financial Report, Single Audit, Gann Limit, TDA, Lamorinda Fee and Finance Authority Report, Lamorinda School Bus Transportation Agency Report
Engagement Partner: Ahmed Badawi (2020 – Present)
Address: 3675 Mount Diablo Blvd., #210, Lafayette, CA 94549 Principal Contact:
Ms. Jennifer Wakeman
Assistant Administrative Services Director
(925) 299-3213
[email protected]
5) City of Dublin
Scope of Work: Annual Comprehensive Financial Report, SAS 114, GANN Limit, Single Audit, Measure B, Measure BB, Measure F
Engagement Partner: Ahmed Badawi (2018 – Present)
Address: 100 Civic Plaza, Dublin, CA 94568
Principal Contact:
Mr. Jay Baksa
Director of Finance & Admin. Services
(925) 833-6640
[email protected]
Appendix