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Item L5M C ounty of f Monroe ELj » °o � BOARD OF COUNTY COMMISSIONERS /� r i � �� Mayor George Neugent, District 2 The Florida. Ke Se y I Mayor Pro Tern David Rice, District 4 Danny L. Kolhage, District I Heather Carruthers, District 3 Sylvia J. Murphy, District 5 County Commission Meeting July 19, 2017 Agenda Item Number: L.5 Agenda Item Summary #3159 BULK ITEM: No DEPARTMENT: County Clerk of Court TIME APPROXIMATE: STAFF CONTACT: Veronica Herrera (305) 292 -3411 N/A AGENDA ITEM WORDING: Approval of request from the Audit Selection Committee to authorize a negotiating team consisting of a designate from the Board of County Commissioners (BOCC) and representatives from the Clerk and the County Attorney's Office to negotiate a fixed fee contract with the top ranked firm in accordance with Section 218.391(4)(a), Florida Statutes; also, approval of request from the Audit Selection Committee that the BOCC allow the term of the contract to be negotiable rather than requiring a three year contract with two -one year renewals with the audit firm as in the prior contract. ITEM BACKGROUND: In April 2017, the Monroe County Audit Selection Committee (composed of Tax Collector Danise D. Henriquez, Chair; Property Appraiser Scott Russell, Vice - Chair; Commissioner Danny Kolhage; Clerk of Court & Comptroller Kevin Madok; Supervisor of Elections R. Joyce Griffin; and Monroe County Sheriff Office's Administrative Chief Mike Rice) issued a Request for Proposals (RFP) from interested audit firms, for performing the annual external audits of Monroe County, the Constitutional Officers and the Monroe County Land Authority. The process for forming the Audit Selection Committee and issuing the RFP is laid out in Section 218.391(3)(c), Florida Statutes. Ten firms submitted proposals to perform external auditing services. Of the ten firms, seven came to Key West on June 26, 2017 to present to the Committee why their firm should be selected. At the June 26 meeting, the Committee evaluated and ranked qualified firms (final scores attached). Section 218.391(3)(e), Florida Statutes, requires the Audit Selection Committee to rank the firms in order of preference and forward the names of at least three firms to the BOCC in order of preference. The three firms with the highest scores, deemed to be the most highly qualified to perform the auditing services, in order of preference, were: (1) Cherry Bekaert (2) Clifton, Larson, Allen (3) Carr, Riggs & Ingram The Selection Committee did not ask proposers about desired compensation in the RFP. Under Section 218.391(4)(a), the names of the recommended firms in order of preference are forwarded to the governing body (the BOCC), which then attempts to negotiate a contract, including compensation, with the top ranked firm. If the BOCC is unable to reach a contract with that firm, it concludes negotiations with the first ranked firm and undertakes negotiations with the second firm, and similarly goes t the third firm if necessary. Under F.S. 218.391(4)(c), the governing body may appoint one or more designees to conduct negotiations on its behalf. When Monroe County last sought audit services in 2012, the County Clerk and the County Attorney worked together to negotiate the contract. It is recommended that the same team again be designated to negotiate the contract as required by s. 218.391(4)(a), Florida Statutes, together with a designate from the BOCC, if it so desires. The Selection Committee also recommended that the negotiations include consideration of a contract term that is less than the three year term with two -one year renewals that Monroe County previously entered into with the audit firm. PREVIOUS RELEVANT BOCC ACTION: At the July 18, 2012 meeting, the BOCC approved the execution of a contract with audit firm Cherry Bekaert & Holland to provide auditing services to Monroe County, its Constitutional Offices, and the Monroe County Land Authority. At the BOCC meeting on December 11, 2013, the BOCC approved the First Amendment to the Audit Contract. At the BOCC meeting on June 10, 2015, the BOCC approved the Second Amendment to the Audit Contract. CONTRACT /AGREEMENT CHANGES: N/A STAFF RECOMMENDATION: Approval of request to authorize the County Attorney and a BOCC- designee to proceed with negotiating a fixed fee audit contract in accordance with Section 218.391, Florida Statutes based on the recommendations made by the Audit Selection Committee. DOCUMENTATION: 2017 Ranking Form - FINAL 06 -26 -2017 FINANCIAL IMPACT: Effective Date: Expiration Date: Total Dollar Value of Contract: Total Cost to County: Current Year Portion: Budgeted: Source of Funds: CPI: Indirect Costs: Estimated Ongoing Costs Not Included in above dollar amounts: Revenue Producing: Grant: County Match: Insurance Required: Additional Details: If yes, amount: N/A REVIEWED BY: Kevin Madok Skipped Cynthia Hall Completed Kathy Peters Completed Board of County Commissioners Pending 06/29/2017 11:27 AM 07/03/2017 10:29 AM 07/03/2017 1:32 PM 07/19/2017 9:00 AM MONROE COUNTY, FLORIDA AUDIT COMMITTEE SUMMARY OF RANKING FORM MONROE COUNTY AUDIT SELECITON COMMITTEE - MEETING JUNE 26, 2017 FINAL SCORES - 2017 RFP FOR AUDITING SERVICES Committee Member' Crowe Horwath Marcum' Cherry Bekaert Rehmann Robson Clifton Larson Allen Carr, Riggs & Ingram Moore, Stephens, Lovelace RSM Lanigan & Associates' Mauldin & Jenkins Danise D. Henriquez (Tax Coll) 60 80 90 65 100 85 82 65 60 55 Scott Russell (Prop App) 94 92 96 84 90 89 88 90 84 88 Danny L. Kolhage (BOCC) 95 85 100 80 100 98 85 91 75 80 Kevin Madok (Clerk) 74 80 96 61 87 83 87 84 52 64 Joyce Griffin (SOE) UNABLE TO ATTEND DUE TO ILLNESS - NO SCORE SHEET Mike Rice (MCSO) 90 95 100 80 98 99 85 93 55 65 Total 413 432 482 370 475 454 427 423 326 352 Committee Rankings: 1 2 3