TITLE
Recommendation to adopt Specifications No. RFP AU13-033 and award a contract to KPMG, LLC, of Irvine, CA (not an MBE, WBE, SBE, or Local) for external audit services for the audit of the Comprehensive Annual Financial Report (CAFR), the Federal Single Audit and related reporting entities, in an annual amount not to exceed $995,825, for a period of two years, with the option to renew for two additional one-year periods, at the discretion of the City Auditor. (Citywide)
DISCUSSION
City Council approval is requested to enter in an annual contract with KPMG, LLC, for external audit services for the audit of the Comprehensive Annual Financial Report (CAFR), the Federal Single Audit and related reporting entities.
Pursuant to Section 803 of the City Charter, the Office of the City Auditor is charged with causing “an annual audit of the City’s financial records” and rendering an appropriate auditor’s opinion thereon in accordance with auditing standards generally accepted in the United States.
In March 2013, the Office of the City Auditor issued a Request for Proposal (RFP) to provide external audit services for the audit of the CAFR and the Federal Single Audit for the City of Long Beach and related reporting entities. The RFP was posted on the City’s website and sent to several CPA firms, with five firms submitting proposals.
A six-member steering committee comprised of representatives from the Department of Financial Management, the Harbor Department, the Water Department, Development Services, the Aquarium of the Pacific, and the City Auditor’s Office reviewed the proposals in depth and conducted interviews of the finalists. Firms were evaluated based on criteria identified in the RFP, which included reputation and
stability of the firm, experience auditing government agencies, availability and expertise of key personnel assigned to the audit, conformance with the terms of the RFP, and cost.
Following deliberations and interviews, the comm...
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