VILLAGE OF HORTONVILLE

Transcription

1 VILLAGE OF HORTONVILLE REQUEST FOR PROPOSALS AUDITING SERVICES October 30, 2013 Patrick M. Vaile Administrator Lynne Mischker Clerk/Treasurer Proposals Due: 3:00 pm, Thursday November 21, 2013 F:\ADMINISTRATOR\RFPAUDITSERVICESHORTONVILLE DOC

2 2 SECTION I - GENERAL INFORMATION The Village of Hortonville, Wisconsin, is requesting proposals for the services of a Certified Public Accounting Firm (also called auditor, audit firm, or firm) to conduct the annual audit of the Village of Hortonville s operations for the fiscal year ending December 31, 2014 with the option of auditing its financial statements for each of the two subsequent fiscal years. These audits are to be performed in accordance with generally accepted auditing standards, the standards set forth for financial audits contained in Government Auditing Standards, issued by the U.S. Comptroller General, the provisions described in the U.S. Office of Management and Budget (OMB) Circular A-133 Compliance Supplement, Audits of States, Local Governments and Non-Profit Organizations, the compliance requirements described in the State Single Audit Guidelines issued by the Wisconsin Department of Administration, statutory requirements, and Village of Hortonville policy. In addition, the proposals shall include consultation services and recommendations to the Village for the remaining calendar year 2014 after the December 31, 2013 audit is completed and for the optional two subsequent calendar years. 1. INFORMATION ON THE VILLAGE AND ITS RECORDS The Village of Hortonville is a municipal entity with a President/Board of Trustees form of government. By Village Charter the financial and accounting functions are under the direction of the Village s Clerk/Treasurer. The Village s operations have been audited by Hawkins Ash CPAs (formerly Habco) since The Village received unqualified opinions for each year during the last contract period of 12/31/2011 to 12/31/2012 and previous contract periods of 12/31/2004 to 12/31/2010. The Village s existing contract ends with the 12/31/2013 audit. The audit will include all Funds and Account groups of the Village of Hortonville including the Tax Incremental District. The accounting records are centralized for all funds. In addition, the Hortonville-Hortonia Fire District is part of the Village s audit. The total Village budget for 2013 is $4,833, including Water and Sewer Utility activities and Tax Incremental Districts #2 and #3. The contracted audit firm is responsible for providing in final typed form, the financial statements, notes, transmittal letter, management s discussion and analysis, and the supplemental information and statistical section, i.e. all the financial information for inclusion in the certified annual financial report (CAFR). The firm also provides the copying and collating of the annual financial report. Since 2002, the Village and the utilities have utilized Caselle Classic as its financial software. The Village utilizes the General Ledger, Accounts Payable, Payroll, Utility Billing, and Utility Electronic Reading modules. J. Mauel programs authorized by the Outagamie County Treasurer s Office are used to process real estate, personal property, and special assessment taxes. The Village of Hortonville maintains the following account groups:

3 FUND 100 GENERAL FUND GENERAL FUND REVENUES LICENSES & PERMITS FINES, FORFEITURES, & PENALTIES PUBLIC CHARGES FOR SERVICES INTERGOVT. CHARGES FOR SERVICE OTHER FINANCING SOURCES GENERAL FUND EXPENDITURES GENERAL GOVERNMENT PUBLIC SAFETY PUBLIC WORKS HEALTH & HUMAN SERVICES CULTURE & RECREATION CONSERVATION & DEVELOPMENT OTHER FINANCING USES FUND 310 DEBT SERVICE DEBT SERVICE REVENUES OTHER FUNDING SOURCES DEBT SERVICE EXPENDITURES DEBT PRINCIPAL DEBT INTEREST OTHER FINANCING USES FUND 430 TIF #2 TIF #2 REVENUES INTERGOVERNMENTAL REVENUE OTHER FINANCING SOURCES TIF #2 EXPENDITURES PUBLIC WORKS PROJECTS CAPITAL OUTLAY DEBT SERVICE FUND 431 TIF #3 TIF #3 REVENUES INTERGOVERNMENTAL REVENUE OTHER FINANCING SOURCES TIF #3 EXPENDITURES PUBLIC WORKS PROJECTS CAPITAL OUTLAY DEBT SERVICE FUND 443 CAPITAL IMPROVEMENTS CAPITAL IMPROVEMENTS REVENUES INTERGOVERNMENTAL REVENUE LICENSES AND PERMITS OTHER FINANCING SOURCES CAPITAL IMPROVEMENTS EXPENDITURES AUDIT CAPITAL OUTLAY OTHER FINANCING USES FUND NOTE CAPITAL PROJECT 2001 NOTE CAPITAL PROJECT REVENUES 2001 NOTE CAPITAL PROJECT EXPENDITURES TRANSFERS FUND 810 LIBRARY DONATION TRUST LIBRARY DONATION TRUST REVENUES MISCELLANEOUR REVENUE LIBRARY DONATION TRUST EXPENDITURES LIBRARY DONATION PROJECTS LIBRARY GRANTS EXPENSED FUND 890 TAX ROLL AGENCY

4 4 The Village has a 2013 total annual payroll of $979, covering 17 full-time employees, 36 part-time and seasonal employees, and a part-time municipal judge and seven (part-time) Village Board members on the payroll. The payroll is processed bi-weekly. The Village has two active tax increment financing districts. The Tax Incremental District #2 and #3 accounting records are maintained by the Village Clerk/Treasurer. Tax Increment District #3 was formed in The Village annually provides the required reports to participating governmental entities. Any and all compliance testing or procedures necessary to fulfill statutory compliance audits required for the Tax Increment Districts are to be performed in conjunction with the annual audit and should be included within this RFP. The Village does not expect a separate audit report or additional billing. The Village of Hortonville annually contributes funds to the Hortonville-Hortonia Fire District, a special purpose district in Wisconsin. The Fire District is a discretely presented component unit. The Administration Department provides the centralized cash collection function for the Village. In addition, the Village utilizes the services of Bank Mutual for direct deposit and Wolf River Community Bank, BMO Harris, and Bank Mutual for deposits, real estate taxes, personal property taxes, special assessments and utility collections. In addition, the Village utilizes Official Payment Corp for credit card payments of taxes, utilities, court fines, and parking tickets. Village staff will make all financial records and related information available to the audit firm. Village staff will prepare, in advance or during fieldwork, work papers requested by the audit firm. Staff will be available for questions and other assistance during fieldwork. The approximate number of annual transactions (including the Tax Incremental District) processed are: Journal Entries 358 Receipts 1884 village (including property tax receipts); 4,100 sewer and water utility Accounts Payable Checks 1,427 Payroll Checks 872 Invoices SCOPE OF SERVICES The auditor shall provide an annual financial and compliance audit of all funds and account groups of the Village of Hortonville including the Sewer and Water Utilities, the Village of Hortonville Tax Incremental District, and the Hortonville-Hortonia Fire District, a discretely presented component unit. The opinion should cover the governmental activities, the business type activities, the discretely presented component unit, each major fund and the aggregate remaining fund information. The opinion should further express whether or not the Village s general purpose financial statements are fairly represented in all material respects and are in conformity with generally accepted accounting principles.

5 5 The auditor shall also be responsible for compliance with all applicable audit standards prescribed by the U.S. or State of Wisconsin regulators and professional organizations and is responsible to issue all required compliance reports. The auditor shall i n clude i n t h e financial report the Hortonville Tax Incremental Districts #2 and #3. The financial statements, therefore, shall be issued in conformance with Generally Accepted Accounting Principles and the U.S. Department of Housing and Urban Development guidelines. The auditor shall also include in the financial report the Village utilities and the Hortonville-Hortonia Fire District. The auditor shall compile the Wisconsin Public Service Commission Annual Report, the annual Municipal Report Form C, and the annual financial reports for the general fund, water utility, and sewer utility and file the reports with the appropriate State authorities. The auditor will provide advice and counsel throughout the year concerning any changes that would affect the annual report and any other financial questions the Village staff may have. Work papers will remain the property of the auditor but will be made available to any U.S. or State agencies requesting information, the Village of Hortonville, and any antecessor audit firms. The Village typically issues debt, but not on an annual basis. In the past we have included our financial statements and the audit opinion within our official statement and expect to continue this practice in the future. The proposal shall include assistance related to account reconciliations and schedules and adjusting significant journal entries. Accounting procedures will include tests of documentary evidence supporting all transactions recorded in the Village s accounts and may include tests of the physical evidence of inventories and direct confirmation of receivables and certain other assets and liabilities. If any circumstances are encountered that require additional procedures outside the normal scope of the project, the firm must advise the Village, and provide a written cost proposal prior to beginning the procedures. The firm shall submit one client representation letter to be signed by the Clerk/Treasurer and Administrator covering all activity surrounding the Village of Hortonville. Fieldwork and Audit Completion shall be scheduled as follows: Work Product Preliminary Fieldwork Completion Date December/January

6 6 Yearend Fieldwork TID Fieldwork Financial Statements Final Review of CAFR Issue Compliance Reports, Statement of Accounting Standards, Management Letter, Tax Rules, and Opinion of CAFR. 1 st or 2 nd Week of March 1 st or 2 nd Week of March 2 nd Week of April End of April 2 nd Week of May The proposal shall include the presentation of a Summary Report to the Village Board. SECTION II - INSTRUCTIONS AND CONDITIONS FOR PROPOSAL SUBMISSION 1. RFP ADMINISTRATORS The individuals responsible for administering this RFP are: Lynne Mischker Patrick Vaile Clerk/Treasurer Administrator Village of Hortonville Village of Hortonville 118 N. Mill Street 118 N. Mill Street P.O. Box 99 P.O. Box 99 Hortonville, WI Hortonville, WI (920) (920) Inquiries and correspondence may be addressed to either one. 2. RFP MODIFICATIONS The Village of Hortonville reserves the right to amend, alter, or revoke this RFP in any manner at any time. Any modifications, clarifications, or additions to the RFP will be distributed as written addenda to all vendors. 3. PROPOSED PREPARATION COSTS All costs incurred in the preparation and presentation of this proposal shall be wholly absorbed by the vendor. 4. INSTRUCTIONS ON SUBMITTING PROPOSALS Proposal Due Date: November 21, 2013 Time Due: 3:00 P.M.

7 7 Place: Accepted Forms Administration Building Village of Hortonville 118 N. Mill Street Hortonville, WI Three hard copies and one digital copy -OR- One digital copy by to: PROPOSALS SHOULD INCLUDE THE FOLLOWING INFORMATION. WE APPRECIATE PROPOSALS THAT ARE CONCISE AND DO NOT REPEAT INFORMATION. Provide name and address of the Certified Public Accounting Firm. Provide a concise summary of the work to be completed and your work plan or audit approach. Provide resumes of the audit team. Indicate name, title, number of years of governmental experience. Include resumes of all partners within the office performing the audit engagement. Indicate whether the audit team will be staffed from one or several office locations. Provide information regarding the firm s experience and commitment to providing services to the governmental sector. Provide references for not less than three government clients, preferably small villages, for whom services have been provided within the last year. Include a contact name and telephone number. Provide a listing of other services provided by your firm to governmental clients. Provide detailed information about the size of your firm. Provide detailed information about the government section of your firm. Describe any situations where you have failed to complete work awarded to you or defaulted on a contract. Provide information on the circumstances and status of any disciplinary action taken or pending against the firm during the last three years with federal or state regulatory bodies or professional organizations. Provide your understanding of the fieldwork schedule, list of reports to be completed, and final submission dates. Provide the name, title, address and telephone number of the individual to whom all inquiries about the proposal should be addressed. Indicate the total cost of the audit engagement along with an allocation of the portion of the audit pertaining to the Tax Incremental Districts. The fee quoted should be the ANNUAL total all-inclusive maximum price, including out of pocket expenses, for each year to provide the services requested in the RFP, including consultation throughout the calendar year. Include affirmation that the fees will include necessary TID District compliance procedures as dictated by Wisconsin Statute. The Clerk/Treasurer and Administrator will review the proposals, contact references and consider

8 8 the necessity of interviews. It is expected that a recommendation will be presented to the Village Board on December 5, 2013 or as soon thereafter as reasonably practical. 5. REPORT SUBMISSIONS All reports issued shall be addressed to the President and the Board of Trustees of the Village of Hortonville. The completion dates for the various reports are: preliminary Village financial statements approximately April 10 and final Village financial statements approximately May THE VILLAGE S OPTION The Village of Hortonville reserves the right to reject any or all proposals, to waive any informality in the proposals received, and to accept the proposal deemed in the best interests of the Village. *** END OF REQUEST FOR PROPOSALS ***