4.4. SR 10-03-2016 City of
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Request for Action
R�,..iver
To Item Number
Mayor and City Council 4.4
Agenda Section Meeting Date Prepared by
Consent October 3, 2016 Lori Ziemer, Finance Director
Item Description Reviewed by
Approve Proposal for Audit Services with Cal Portner, City Administrator
CliftonLarsonAllen Reviewed by
Action Requested
Approve,by motion, an agreement for audit services with CliftonLarsonAllen for the fiscal years ending
December 31, 2016 —December 31, 2020.
Background/Discussion
The city's contract for auditing services ended with the 2015 audit. The City of Elk River, the Elk River
Fire Relief, and the Elk River Municipal Utilities solicited proposals for auditing services for the fiscal
year ending December 31, 2016,with renewal options for 2017-2020. Through the RFP process, the city
received three proposals from well qualified firms experienced in governmental auditing.
A committee consisting of city, fire relief, and utilities staff interviewed and evaluated the three firms
based on the following criteria:
■ Firm Qualifications and Experience
■ Staff Qualifications and Experience
■ Similar Government Engagement Experience
■ Specific Audit Approach
■ Proposed Fee
After careful review, city staff chose CliftonLarsonAllen based on the determining factor of the proposed
fee. Over the five-year term, the fee proposal from CliftonLarsonAllen was 8%lower than our current
firm. Some of their municipal audit clients include the cities of Brooklyn Park, Stillwater, and St. Cloud.
The Fire Relief also chose CliftonLarsonAllen,whereas Elk River Municipal Utilities chose to stay with
their current audit firm.
Financial Impact
The fee proposed for the city for audit services by CliftonLarsonAllen is as follows:
Year Audit Fee
2016 $30,550
2017 $30,900
2018 $31,250
2019 $31,600
2020 $31,950
Total $156,250
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Template Updoted 4/14 INAWRE1
The proposed audit fees average $31,250 per year as compared to our 2011-2015 average audit fees of
$30,966,resulting in audit fees remaining basically unchanged over a ten year period (2011-2020).
Attachments
■ 2016 Audit RFP Comparison
N:APublic Bodies\Agenda Packets\10-03-2016\x4.4 sr Audit Services Agreement.docx
City o Elk River
2016 Audit RFP Comparison
Abd Eick'&
Y r 'Meyers' R 00ath
2016 $31,800 $30,550 $33,025
2017 $33,400 $30,900 $33,600
2018 $34,100 $31,250 $34,300
2019 $34,800 $31,600 $34,900
2020 $35,500 $31,950 $35,600
TOTAL $169,600 $156,250 $171,425