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HomeMy WebLinkAboutAgenda 06-18-19 Item 8-f - Audit Contract Renewal with Mauldin & Jenkins, LLC ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: June 18, 2019 Action Agenda Item No. 8-f SUBJECT: Audit Contract Renewal with Mauldin & Jenkins, LLC DEPARTMENT: Finance and Administrative Services ATTACHMENT(S): Attachment 1: Mauldin & Jenkins, LLC Proposal INFORMATION CONTACT: Gary Donaldson, (919) 245-2453 PURPOSE: To: 1) Exercise the first of three one-year renewal options for Mauldin & Jenkins to perform audit services for Orange County pursuant to Request for Proposals (RFP) 5215 of the original audit contract approved by Board of County Commissioners on March 22, 2016; and 2) Authorize the requisite County signatures as required by the North Carolina Local Government Commission. BACKGROUND: The Board approved an audit services contract with Mauldin & Jenkins for a three-year term on March 22, 2016, including the opportunity for three one-year renewal options. The initial three years covered the period from FY 2015-16 through FY 2017-18. Staff proposes to exercise the first audit renewal option for the completion of the FY 2018-19 financial and compliance audit. The audit services will encompass a financial and compliance examination of the County’s Comprehensive Annual Financial Report (CAFR) in accordance with the laws of the State of North Carolina. The financial and compliance audit will cover federal, state and local funding sources in accordance with the Federal and State Single Audit Acts; applicable laws and regulations; and generally accepted auditing standards. FINANCIAL IMPACT: Funds were included in the Manager’s Recommended FY 2019-20 Operating Budget for the audit contract. The cost to conduct the audit services for the first renewal year is $82,500. SOCIAL JUSTICE IMPACT: The following Orange County Social Justice Goal is applicable to this item: • GOAL: ENSURE ECONOMIC SELF-SUFFICIENCY The creation and preservation of infrastructure, policies, programs and funding necessary for residents to provide shelter, food, clothing and medical care for themselves and their dependents. RECOMMENDATION(S): The Manager recommends that the Board: 1) Approve exercising the first renewal option pursuant to original audit contract award; and 2) Authorize the requisite County signatures of the audit renewal contract as required by the North Carolina Local Government Commission. 1 z AULDIN & ENKINS Over 400 Governmental Units Served INSIDE PUBLIC ACCOUNTING To� 100 FIRMS 2018 We Do Things Right & We Do the Right Things 3 MAULDIN Orange County Quote to Provide Auditing Services March 20, 2019 Mr. Gary Donaldson Orange County 200 South Cameron Street Hillsborough, NC 27278 Dear Mr. Donaldson: Mauldin & Jenkins, LLC is very excited about the opportunity to continue to work with the County. We appreciate the opportunity to continue our relationship in providing independent auditing services to Orange County, North Carolina (the "County"). As professionals serving the public sector, specializing in services to all local governments,we believe our firm is eminently qualified to serve the County. As professionals serving the public sector, Mauldin & Jenkins is best qualified to serve the County. We believe that Mauldin & Jenkins is the leader in auditing state and local governments in the Southeast. This leadership was achieved by recognizing that we are an important part of our client's success, with our objective being to ensure that accurate information is reported to the Board of Commissioners, management, and its citizens. Given the complexities of the County's financial operations and the ongoing significant changes in accounting standards, we feel that it is very important that you select an auditing firm that is focused and experienced in the governmental industry. This is experience that cannot be matched by any other firm. We differentiate ourselves from our peers in the following ways: •3 Experience with Governments. As auditors for governments on a ful-time basis, throughout the year, our professionals are thoroughly versed in the complex governmental arena, and have consistently provided the highest quality of service to our government clients. Consider the following: • We audit 55 counties, including five counties in North Carolina. • We audit 116 municipalities, including three muncicpalities in North Carolina and 8 of the largest 10 cities in Georgia. • We serve 120 governments awarded the GFOA's Financial Reporting Certificates. • We are highly involved in various national and state governmental associations. Mauldin & Jenkins provides over 80,000 hours of service to over 400 governmental units in the Southeast on an annual basis. Such experience results in the utilization of over 90 professionals. Mauldin&Jenkins, LLC Page 1 4 MAULDIN Orange County Quote to Provide Auditing Services ❖ Staff Continuity. Our staff retention rates are considered to be among the best in the profession (and much better than national and other regional firms). This fact, coupled with our vast array of government clients, results in a staff pool highly experienced with governmental entities with the definite capacity to serve the County. We are able to not only provide consistency with the partner and manager on our engagement teams, but seniors as well. We also have enough resources at the partner, manager, and senior levels to provide for periodic rotations as requested by our clients. ❖ Education. Mauldin & Jenkins' clients have the opportunity to register and receive approximately thirty (30) hours of continuing education on an annual basis,free of charge. We take our experience in serving governments, and choose timely and relevant topics to provide ongoing education to our clients. Sessions are limited to clients only. This amounts to a cost savings of approximately$3,000 per individual per year. ❖ Responsiveness. We pride ourselves in responding to the needs of our clients and meeting their deadlines. This responsiveness is not only the ability to meet specified audit deadlines, but also the ability to respond to other requests. Our ability to be responsive is enhanced by the open communications and good working relationship we have with our clients. Our resources provide for the flexibility to meet your needs and to perform our services in an efficient and effective manner. ❖ Organized to Specifically Meet Your Needs. Our partners, managers, and seniors in the Firm's Governmental Practice Division spend 100% of their time serving governments. By structuring the Firm's Governmental Practice Division in such a manner, we are able to create efficiencies in the audit process which typically result in our total hours being significantly less than most other firms. ❖ Nationally Recognized. Mauldin & Jenkins is consistently ranked in the Top 100 by Accounting Today as well as Inside Public Accounting trade associations and magazines as one (1) of the largest certified public accounting firms in the country. Tommye Barie (a governmental audit partner with Mauldin & Jenkins)served as the 2015 Chair of the Board of Directors of the AICPA. Orange County is an important client to Mauldin &Jenkins and one that we would be proud to continue to serve. Again, on behalf of Mauldin & Jenkins, we are excited about this opportunity to continue the relationship with the County and look forward to working to help meet the continuing challenges you face. This proposal represents a firm offer for 120 days from the date of the proposal. As a member of Mauldin & Jenkins, Joel Black is authorized to bind, and make representations for the Firm, and he will be the ultimate party responsible for the quality of the report and working papers. We welcome the opportunity to meet with management and governing board officials to present our proposal and our qualifications. Please contact us at (800) 277-0080, 200 Galleria Parkway SE, Suite 1700, Atlanta, Georgia 30339. Again, on behalf of Mauldin &Jenkins,thank you for the opportunity to serve. Sincerely, MAULDIN &JENKINS, LLC Joel Black, Partner Mauldin&Jenkins,LLC Page 2 5 81-IAULDN ENKINS Orange County Quote to Provide Auditing Services Firm Qualifications and Experience Organization and Size Mauldin &Jenkins was formed in 1918 and has been actively engaged in governmental auditing since its inception. Mauldin & Jenkins is considered to be one of Georgia's largest locally owned provider of audit and accounting services, and one of the largest certified public accounting firms in the country. Mauldin & Jenkins serves clients throughout the Southeastern United States. Mauldin & Jenkins is considered to be a large regional firm. We have offices in the following communities: Atlanta, GA "Albany, GA " Macon, GA "Savannah, GA Birmingham, AL ** Bradenton, FL Columbia, SC ** Chattanooga, TN As noted in our transmittal letter, Mauldin & Jenkins provides and supervises over 80,000 hours of service to governmental entities on an annual basis. The Firm's governmental practice is the largest niche in the Firm and is approximately 27% of the Firm's total practice. However, size and resources alone are not the most meaningful measure of success; in the end, our clients remain the best judges of Mauldin &Jenkins'value. Other key information relative to the size and experience of Mauldin &Jenkins is as follows: • 300,000-approx.total hours of service provided annually to clients of the Firm • 85,000-approx.total hours of service provided annually to governmental clients of the Firm • 40%-percentage of governmental practice as compared to Firm's attestation practice • 25%- percentage of governmental practice as compared to Firm's overall practice • 400-approx.total governmental entities served in past three (3)years • 280-total number of Firm personnel • 120-total clients served who obtain the GFOA/ASBO Certificates • 44-total clients with publicly issued debts in excess of$50 million • 52-total number of Firm partners • 11-total number of full-time governmental partners &directors • 11-total number of full-time governmental managers • 90-total number of professionals with current governmental experience Mauldin&Jenkins,LLC Page 3 6 MAULDN • IENKINS Orange County Quote to Provide Auditing Services Serving Governments For A Century Mauldin & Jenkins' commitment to government began when our Firm was established in 1918. Since then, we have viewed service to governments as significant to the overall success of the Firm. Today, the governmental sector is an industry that has been specifically identified for our continued growth in professional services. Accordingly, all professionals, from entry-level accountants to partners (who select the governmental sector as their focus) are trained to understand the issues and meet the needs of state and local governmental entities. As noted previously, Mauldin &Jenkins employs 22 partners, directors and managers who dedicate 100% of their time serving government clients. We also have numerous additional professionals with current experience in providing services to governmental entities — many of whom spend their time exclusively on government clients. Mauldin & SOL Jenkins' dedicated professionals can bring a comprehensive understanding of the issues that face government entities as a i well as "bench strength" at all levels, allowing us to respond swiftly and effectively to your evolving needs. The goal of our government practice is to help governments improve their financial processes and strategies so that they can in turn achieve their goal of improving the lives of their citizens. This shared commitment to the goals of our clients has resulted in a significant government clientele. As noted in our transmittal letter, we currently serve approximately 400 governments in the Southeast. We know of no other firm that can match our experience. Mauldin & Jenkins has obtained significant relevant experience serving governmental entities over the years by serving a wide variety of governmental entities. Just over the past three (3) years, we have annually served over 150 city/county local governments of all sizes across the Southeast. Additionally, over the past three (3) years, we have served more than 80 school systems and charter schools, approximately 40 state agencies, and another 105 special purpose entities (special districts, authorities, commissions, etc.). We also are currently serving 120 governmental entities who annually obtain the GFOA's Certificate of Achievement for Excellence in Financial Reporting. Mauldin&Jenkins, LLC Page 4 i i 7 81-JAULDIN ENKINS Orange County Quote to Provide Auditing Services Key Members of Proposed Engagement Team In order to provide the highest quality service in the most cost efficient manner, Mauldin &Jenkins has formed a client service team which will function as a cohesive unit, and would represent a superb assortment of talent and experience for the audit of the County. The unit would be assembled as: Joel Black Adam Fraley Engagement Partner Quality Control Partner Az.< Kris Trainor Certified Fraud Examiner ! James Bence Audit Service Partner Audit Engagement Team The above team dedicated to audit the County will include (at a minimum): three (3) partners, one supervisor, and at least two (2)staff professionals. The Audit Service Partner and the staff professionals will be substantially on-site full time throughout the conduct of their role in the audit. Other governmental audit professionals will be available to assist throughout the fieldwork and the preparation of the financial reports. The audit partner in-charge of fieldwork will correspond with County management on financial reporting, audit, and related issues on an ongoing basis, and this individual will also be dedicated to serve the County throughout fieldwork, reporting and conclusion in all respective fiscal years. Mauldin &Jenkins has the depth of resources which allows us to provide you with significant resources of knowledgeable professionals to meet your deadlines. Mauldin&Jenkins, LLC Page 5 8 AULMN 14S_1ENK Orange County Quote to Provide Auditing Services Governments Served in Past Three Years Perhaps the greatest indicator of our reliability as a professional service provider to state and local governments is our list of governmental clients. Counties. Counties we have audited or are in the process of serving within the past three (3)years are: Georgia 16) Forsyth 31) Monroe South Carolina 1) Athens-Clarke 17) Glynn 32) Newton 44) Beaufort 2) Augusta-Richmond 18) Gwinnett 33) Paulding 45) Colleton 3) Columbus-Muscogee 19) Henry 34) Peach 46) Darlington 4) Macon-Bibb 20) Jackson 35) Rockdale 47) Edgefield 5) Bacon 21) Jeff Davis 36) Spalding 48) Lancaster 6) Barrow 22) Jones 37) Stephens 49) Laurens 7) Chatham 23) Lee 38) Taylor 50) Oconee 8) Cherokee 24) Liberty 39) Toombs 9) Clayton 25) Lincoln 40) Union North Carolina 10) Colquitt 26) Long 41) Walton 51) Gates 11) Crisp 27) Lumpkin 42) Whitfield 52) Halifax 12) DeKalb 28) Macon 53) Madison 13) Dougherty 29) McIntosh Tennessee 54) Orange 14) Douglas 30) Mitchell 43) Hamilton 55) Washington 15) Floyd Mauldin&Jenkins, LLC Page 6 9 • ENKINS • Quotei-ange County Cities. Cities we have audited or are in the process of serving within the past three (3)years are: Georgia 32) Grantville 64) Savannah 94) North Port 1) Albany 33) Griffin 65) Sharpsburg 95) Pensacola 2) Alpharetta 34) Gum Branch 66) Social Circle 96) Pinecrest 3) Americus 35) Hapeville 67) South Fulton 97) Plant City 4) Austell 36) HinesviIIe 68) St.Marys 98) Wildwood 5) Baldwin 37) Jefferson 69) Stockbridge 6) Ball Ground 38) Jeffersonville 70) Stonecrest Alabama 7) Blakely 39) Johns Creek 71) Suwanee 99) Tuscaloosa 8) Bloomingdale 40) Kennesaw 72) Thunderbolt 9) Bradenton 41) Kingsland 73) Tifton North Carolina 10) Brookhaven 42) Lawrenceville 74) Toccoa 100) Garner 11) Brunswick 43) Leesburg 75) Tucker 101) New Bern 12) Cartersville 44) Lilburn 76) Tybee Island 102) Selma 13) Cedartown 45) Ludowici 77) Union City 14) Chamblee 46) Lyons 78) Valdosta South Carolina 15) Chatta hoochee Hi I I s 47) Milledgeville 79) Vernonburg 103)Aiken 16) Clarkston 48) Milton 80) Villa Rica 104)Beaufort 17) Cochran 49) Monroe 105)Chapin 18) College Park 50) Morrow Florida 106)Charleston 19) Conyers 51) Peachtree City 81) Arcadia 107)Clover 20) Cordele 52) Peachtree Corners 82) Bradenton 108) Hardeeville 21) Covington 53) Perry 83) Callaway 109)Hollywood 22) Decatur 54) Pooler 84) Cooper City 110)Goose Creek 23) Doraville 55) Powder Springs 85) Crystal River 111) Loris 24) Douglasville 56) Quitman 86) Ft.Myers Beach 112)Orangeburg 25) Duluth 57) Port Wentworth 87) Haines City 113)Summerville 26) Dunwoody 58) Richmond Hill 88) Hallandale Beach 27) Fairburn 59) Riverdale 89) Islamorada Tennessee 28) Fayetteville 60) Rockmart 90) Lake Placid 114) Bristol 29) Flovilla 61) Rome 91) Long Boat Key 115) Crossville 30) Forest Park 62) Roswell 92) Marco Island 116) Jamestown 31) Garden City 63) Sandy Springs 93) Naples Mauldin&Jenkins, LLC page 7 10 MAULDIN Orange County Quote to Provide Auditing Services State Governmental Entities. The State of Georgia has several agencies, departments and component units that are audited by an independent public accounting firm. We currently audit the majority of the State of Georgia's component units, and we audit approximately $12 billion (or 30%) of the State of Georgia's General Fund. Additionally, we audit several entities that are part of the State of Alabama's financial reporting entity. Please see the following for a listing of State governmental entities we have audited in the past three (3)years: 1) Georgia Building Authority 19) Georgia Military College Foundation 2) Georgia Department of Community Health 20) Georgia Southern University Foundation 3) Georgia Education Authority 21) Kennesaw State University Athletic Association 4) Georgia Environmental Finance Authority 22) Kennesaw State University Foundation 5) Georgia Higher Education Assistance Corp. 23) Kennesaw State University Research Foundation 6) Georgia Higher Education Facilities Auth. 24) Medical College of Georgia Foundation 7) Georgia Lottery Corporation 25) New College of Florida 8) Georgia Ports Authority 26) Northwest Florida College Foundation 9) Georgia State Financing&Investment Commission 27) Southern Polytechnic Applied Research Foundation 10) Georgia Student Finance Authority 28) Southern Polytechnic State University Foundation 11) Georgia Student Finance Commission 29) State College of Florida Foundation 12) Georgia Superior Court Clerks'Coop.Authority 30) State College of Florida Sarasota-Manatee, Inc. 13) Georgia State Road and Tollway Authority 31) Stone Mountain Memorial Association 14) Alabama Higher Education Loan Corporation 32) University of Chattanooga Foundation 15) Alabama Prepaid Affordable College Tuition 33) University of North Georgia Foundation 16) Abraham Baldwin Agricultural College Foundation 34) University of North Georgia Real Estate Foundation 17) College of Coastal Georgia Foundation 35) University of West Georgia Athletic Foundation 18) Georgia College&State University Foundation 36) University of West Georgia Foundation 37) University System of Georgia Foundation Mauldin&Jenkins, LLC Page 8 ' 11 AULDfN ENKINS Orange County Quote to Pi-ovide Auditing Sei-vices School Systems. Boards of Education we have served within the past three (3)years are: Georgia 32) Hancock County Board of Education 1) Atlanta Independent School System 33) Harris County Board of Education 2) Baker County Board of Education 34) Henry County Board of Education 3) Bartow County Board of Education 35) Marion County Board of Education 4) Bibb County Board of Education 36) Oconee County Board of Education 5) Bleckley County Board of Education 37) Paulding County Board of Education 6) Brooks County Board of Education 38) Peach County Board of Education 7) Butts County Board of Education 39) Polk County Board of Education 8) Camden County Board of Education 40) Putnam County Board of Education 9) Carroll County Board of Education 41) Rockdale County Board of Education 10) Cherokee County School District 42) Savannah-Chatham Co.Public School System 11) City of Buford Board of Education 43) Thomas County Board of Education 12) City of Carrollton Board of Education 44) Troup County Board of Education 13) City of Cartersville Board of Education 45) Twiggs County Board of Education 14) City of Decatur Board of Education 46) Walton County Board of Education 15) City of Gainesville Board of Education 47) Ware County Board of Education 16) City of Jefferson Board of Education 17) City of Marietta Board of Education Florida 18) City of Rome Board of Education 48) School Board of Highlands County 19) Clay County Board of Education 49) School Board of Manatee County 20) Clayton County Board of Education 50) School District of Lee County 21) Cobb County Board of Education 22) Coweta County Board of Education Tennessee 23) DeKalb County Board of Education 51) City of Bristol Board of Education 24) Dodge County Board of Education 52) Hamilton County Department of Education 25) Douglas County Board of Education 26) Emanuel County Board of Education South Carolina 27) Fayette County Board of Education 53) Lexington School District Four 28) Forsyth County Board of Education 54) Marlboro County School District 29) Fulton County Board of Education 55) Richland County School District One 30) Glynn County Board of Education 56) Sumter County School District 31) Gwinnett County Board of Education Mauldin&Jenkins,LLC Page 9 12 MAULDIN Quote to Provide Auditing Services Other Governments. Other governmental entities we have audited within the past three (3)years are: 1) Academy for Classical Education(ACE) 66) Gwinnett County Water and Sewerage Auth. 2) Albany-Dougherty Inner City Auth. 67) Gwinnett Online Campus 3) Atlanta Development Auth. 68) Hamilton Co.Water&Wastewater Treatment Auth. 4) Atlanta Economic Renaissance Corporation 69) Hamilton County Election Commission 5) Atlanta Heights Charter Academy 70) Heart of Georgia Altamaha Regional Commission 6) Atlanta Housing Opportunity 71) Henry County Water Authority 7) Austell Natural Gas System 72) Historic Roswell Convention&Visitors Bureau 8) Barrow County Water&Sewer Authority 73) Housing Authority of Clayton County 9) Bartram Trail Regional Library 74) Houston County Library System 10) Bayshore Gardens Park&Recreation District 75) Imagine School at North Port 11) Birmingham-Jefferson County Transit Auth. 76) Imagine School at Palmer Ranch 12) Bradenton Downtown Development Auth. 77) Imagine-East Manatee County,LLC 13) Brighten Academy 78) Imagine-Manatee County,LLC 14) Bristol Joint Sewer System 79) Islamorada,Village of Islands,Florida 15) Bristol Public Library 80) Ivy Preparatory Academy at Gwinnett 16) Central Community Redevelopment Agency 81) Ivy Preparatory Academy for Girls 17) Central Midlands Regional Transit Auth. 82) Ivy Preparatory Young Men's Leadership Academy 18) Central Savannah River Area Regional Comm. 83)Jefferson Co.Economic and Industrial Dev Auth. 19) Charleston Water System 84)Just for Girls Academy 20) Chatsworth Water Works Commission 85) Keep Peachtree City Beautiful Commission 21) Chattahoochee River 911 Auth. 86) Kendezi School 22) Chattanooga Area Reg.Transportation Auth. 87) Kennesaw State University Athletic Department 23) Chattanooga Area Regional Council of Govts. 88) KIPP Metro Atlanta Collaborative 24) Cherokee Charter Academy 89) KIPP Opportunity Fund 25) Cherokee County Airport Auth. 90) KIPP South Fulton Academy 26) City of Albany-Chehaw Park Auth. 91) Lumpkin County Hospital Auth. 27) City of Albany-Water,Gas&Light Comm. 92) Lumpkin County Water&Sewerage Auth. 28) City of East Point Retirement Plan 93) Macon Water Authority 29) City of North Port,FI.-Firefighters'Pension 94) Macon-Bibb County Land Bank Authority 30) City of Sandy Springs Development Auth. 95) Manatee County Mosquito Control Dist 31) Classic Center Auth.of Clarke County 96) Manatee Technical Institute 32) Clayton Co.Pension Fund 97) MARTA/ATU Local 732 Employees Retirement 33) Clayton County Water&Sewer Authority 98) McIntosh Trail Community Service Board 34) Cobb County-Marietta Water Authority 99) McPherson Implementing Local Redev.Auth. 35) Cobb County-Marietta Water Auth.Pension 100) McPherson Planning Local Redevelopment Auth. 36) Columbia County Board of Health 101) Middle Georgia Community Service Board 37) Convention and Visitors Bureau of Dunwoody 102) Milledgeville-Baldwin County Dev.Auth. 38) Coweta Charter Academy 103) Mount Pleasant Waterworks 39) Crisp County-Cordele Industrial Development 104) NE Corridor,LLC 40) Crisp County Power Commission 105) Newton County Water&Sewerage Auth. 41) DeKalb County Public Library 106) North Fulton Regional Radio Auth. 42) Dev.Auth.of City of Jeffersonville&Twiggs Co. 107) Northeast Georgia Regional Commission 43) Development Auth.of Cherokee County 108) Northwest Florida State College-Collegiate High School 44) Development Auth.of City of Roswell,GA 109) Northwest Florida State College Foundation 45) Development Auth.of Lumpkin County 110) Ocean Highway and Port Auth.of Nassau County 46) Development Auth.of Peachtree City 111) Oconee Center Community Service Board 47) Downtown Atlanta Revitalization 112) Pataula Charter Academy 48) Eatonton-Putnam Water&Sewer Authority 113) Peace River/Manasota Reg Water Supply Auth. 49) Electric Power Board of Chattanooga 114) Peachtree City Convention&Visitor's Bureau 50) Forsyth County Public Library 115) Peachtree City Water&Sewerage Auth. 51) Friends of Bulloch 116) Phoenix Center Community Service Board 52) Georgia Charter Educational Foundation 117) Phoenix Center Community Service Board 53) Georgia Charter Educational Foundation 118) Provost Academy Georgia 54) Georgia Online Academy 119) Public Bldg.Auth.of Knox Co.&City of Knoxville 55) Georgia Ports Auth.DB&OPEB Plan 120) Riverdale Downtown Development Auth. 56) Georgia Ports Auth.Defined Contribution Plan 121) River's Edge Community Service Board 57) Griffin Spalding County Land Bank Auth. 122) Sandy Springs Hospitality Board 58) Gwinnett Civic/Cultural Center Operations 123) Sarasota School of Arts&Sciences 59) Gwinnett Convention and Visitors Bureau 124) Southeast Tennessee Development District 60) Gwinnett County Airport Auth. 125) SOWEGA Council on Aging 61) Gwinnett County BOE Charter Schools 126) State College of Florida-Collegiate High School 62) Gwinnett County Development Auth. 127) Student Leadership Academy of Venice 63) Gwinnett County Public Facilities Auth. 128)Toccoa-Stephens County Public Library 64) Gwinnett County Public Library 129)Town Center Area Community Imp.District 65) Gwinnett County Recreation Auth. 130)Troup County College&Career Academy 131) Walton County Water&Sewerage Auth. Mauldin&Jenkins, LLC Page 10 13 aiAULDIN ENKINS Ot-ange County Quote to Pi-ovide Auditing Set-vices CAFR Certificates of Achievement& Excellence Mauldin &Jenkins has served approximately 400 governments in the past several years, and 120 governmental units who obtain the GFOA's Certificate of Achievement for Excellence in Financial Reporting. Mauldin &Jenkins'clients have never failed to obtain the Certificate! Mauldin & Jenkins is batting 100%. Every CAFR submitted has received the award. The following are current clients: Counties: 24) Oconee Co.,SC 46) Chamblee 70) Longboat Key,FL 1) Athens-Clarke Co. 25) Orange Co.,NC 47) Cha rl eston,SC 71) Milledgeville 2) Augusta-Richmond Co. 26) Paulding Co. 48) Chamblee 72) Milton 3) Barrow Co. 27) Rockdale Co. 49) College Park 73) Monroe 4) Beaufort Co.,SC 28) Spalding Co. 50) Conyers 74) Morrow 5) Chatham Co. 29) Walton Co. 51) Cooper City,FL 75) Naples, FL 6) Cherokee Co. 30) Washington Co.,NC 52) Covington 76) New Bern,NC 7) Clayton Co. 31) Whitfield Co. 53) Decatur 77) North Port,FL 8) Co I I eto n Co.,SC 54) Douglasville 78) Peachtree City 9) Columbus-MuscogeeCo. Cities: 55) Dunwoody 79) Pensacola,FL 10) Deka I b Co. 32) Aiken,SC 56) Fayettevi I I e 80) Perry 11) Douglas Co. 33) Albany 57) Fairburn 81) Pinecrest,FL 12) Edgefield Co.,SC 34) Alpharetta 58) Forest Park 82) Pooler 13) Floyd Co. 35) Americus 59) Garden City 83) Port Wentworth 14) Forsyth Co. 36) Austell 60) Griffin 84) Riverdale 15) Glynn Co. 37) Ball Ground 61) Haines City,FL 85) Rockmart 16) GwinnettCo. 38) Beaufort,SC 62) Hallandale Bch,FL 86) Rome 17) Halifax Co.,NC 39) Bluffton,SC 63) Hapeville 87) Roswell 18) Ha mi[ton Co.,TN 40) Bradenton,FL 64) Ha rdeevi I I e,SC 88) Sandy Springs 19) Henry Co. 41) Bristol,TN 65) Hinesville 89) Savannah 20) Jackson Co. 42) Brookhaven 66) John's Creek 90) Suwanee 21) Lancaster Co.,SC 43) Brunswick 67) Kennesaw 91) Tuscaloosa,AL 22) Liberty Co. 44) Callaway,FL 68) Kingsland 92) Union City 23) Macon-Bibb Co. 45) Cartersville 69) Marco Island,FL 93) Valdosta Boards of Education: Other Governmental Entities: 94) Atlanta Public Schools 108) Central Savannah River Area Regional Comm. 95) Bibb County Schools 109) Charleston Water System 96) Cartersville City Schools 110) Clayton County Water Auth. 97) Clayton County Schools 111) Cobb County-Marietta Water Authority 98) Cobb County Schools 112) Greenwood Commissioners of Public Works 99) Fayette County Schools 113) Greer Commission of Public Works 100) Fulton County Schools 114) Henry County Water Auth. 101) GwinnettCounty Schools 115) Lowcountry Regional Transportation Authority 102) Lee County School District 116) Macon Water Authority 103) Marietta City Schools 117) Mount Pleasant Waterworks 104) Richland Co.School District One 118) Public Building Authority of Knox Co.&Knoxville 105) Savannah-Chatham County Schools 119) South Florida Transportation Authority 120) Tampa Bay Water Authority State Governmental Entities: 106) Ga.Environ.Fin.Auth.(GEFA) 107) Ga. Ports Authority Mauldin&Jenkins, LLC Page 11 14 MAULDIN ENKINS Audits of Federally Funded Programs (Single Audits) Relative to audits of calendar year 2017, Mauldin &Jenkins audits 170 entities representing approximately $1.8 billion in federal expenditures for state, local government, and non-profit clients which ` is the: • 35t" highest among public accounting firms in the nation as it relates to total expenditures audited under the Single Audit Act; and, • 19th highest among public accounting firms in the nation as it 41 relates to number of Single Audits conducted. Mauldin and Jenkins serves a significant amount of clients who require substantial single audits. In January 2008, as part of the Federal Department of Education's random testing of the audits of local boards of education, a review was performed by the Federal Office of Inspector General (OIG) regarding a Single Audit engagement of a local board of education. We are quite pleased to note the examiner provided Mauldin & Jenkins a letter of high marks for the performance of the respective Single Audit and this comes at a time when Federal regulators are condemning the profession for poor performance of such Single Audits. Unofficially and orally provided, the examiner noted this Single Audit engagement to be the best such engagement reviewed in his experience. Mauldin&Jenkins, LLC Page 12 15 MAULDIN JENKINS Orange County Quote to Provide Auditing Services Additional Information of Value Added Services Free Continuing Education for Governmental Clients We provide free quarterly continuing education for all of our governmental clients. Each quarter, we pick a couple of significant topics tailored to be of interest to governmental entities, and offer the sessions several times per quarter at a variety of client provided locations resulting in greater networking among our governmental clients. We normally see approximately 100 people per quarter. We obtain the input and services of experienced outside speakers along with providing the instruction utilizing our in-house professionals. "I've been a CPA for 32 years. Today's CPE class by Mauldin&Jenkins has been the best of my career". Terry Nall, CPA, City of Dunwoody(GA) M Council Member p "They are always on top of new accounting pronouncements and provide training well before implementation deadlines. This is a very valuable go E ` resource for our organization'. Laurie Puckett, CPA, CPFO, Gwinnett - County(GA),Accounting Director Examples of subjects addressed in the past few quarters include: • Accounting for Debt Issuances • Best Budgeting Practices, Policies and Processes • CAFR Preparation (several times including a two(2) day hands-on course) • Capital Asset Accounting Processes and Controls • Collateralization of Deposits and Investments • Evaluating Financial and Non-Financial Health of a Local Government • GASB No. 51, Intangible Assets • GASB No. 54, Governmental Fund Balance (subject addressed twice) • GASB No. 60, Service Concession Arrangements(webcast) • GASB No. 61,the Financial Reporting Entity(webcast) • GASB No.'s 63 &65, Deferred Inflows and Outflows (webcast) • GASB No.'s 67 &68, New Pension Standards (presented several occassions) • GASB No. 72, Fair Value Measurement and Application • GASB No. 77,Tax Abatement Disclosures • GASB Updates (ongoing and several sessions) • Grant Accounting Processes and Controls • Internal Controls Over Accounts Payable, Payroll and Cash Disbursements • Internal Controls Over Receivables&the Revenue Cycle • Internal Revenue Service (IRS) Compliance Issues, Primarily Payroll Matters • Legal Considerations for Debt Issuances & Disclosure Requirements • Policies and Procedures Manuals • Segregation of Duties • Single Audits for Auditees • SPLOST Accounting, Reporting&Compliance • Uniform Grant Reporting Requirements and the New Single Audit Mauldin&Jenkins, LLC Page 13 16 MAULMN • • range County Governmental Newsletters We produce newsletters tailored to meet the needs of governments. The newsletters have addressed a variety of subjects and are intended to be timely in their subject matter. The newsletters are authored by Mauldin & Jenkins partners and managers, and are not purchased from an outside agency. The newsletters are produced and delivered periodically, and are intended to keep you informed of current developments in the government finance environment. In the past several years, the following topics have been addressed in our monthly newsletters: • Accounting for Debt Issuances • American Recovery&Reinvestment Act (ARRA) Updates • Best Budgeting Practices, Policies and Processes • CAFR Preparation (several times including a two (2)day hands-on course) • Capital Asset Accounting Processes and Controls • Collateralization of Deposits and Investments • Evaluating Financial and Non-Financial Health of a Local Government • GASB No. 51, Intangible Assets • GASB No. 54, Governmental Fund Balance (subject addressed twice) • GASB No. 60, Service Concession Arrangements(webcast) • GASB No. 61,the Financial Reporting Entity(webcast) • GASB No.'s 63 &65, Deferred Inflows and Outflows (webcast) • GASB No.'s 67&68, New Pension Stds. (presented several occasions) • GASB No. 72, Fair Value Measurement and Application • GASB No.'s 74&75, OPEB • GASB No. 77,Tax Abatement Disclosures • GASB Updates (ongoing and several sessions) • Grant Accounting Processes and Controls • Internal Controls Over Accounts Payable, Payroll and Cash Disbursements • Internal Controls Over Receivables&the Revenue Cycle • Internal Revenue Service (IRS) Issues, Primarily Payroll Matters • Legal Considerations for Debt Issuances& Disclosure Requirements • Policies and Procedures Manuals • Segregation of Duties • Single Audits for Auditees the Uniform Guidance for New Single Audits • SPLOST Accounting, Reporting&Compliance Mauldin&Jenkins, LLC Page 14 17 MAULDIN Orange County Quote to Provide Auditing Set-vices Auditor's Discussion & Analysis During the course of serving our clients, we stress the importance of timely and frequent communication. Such communication takes place • throughout the audit and throughout the year, and ► �/ includes proactive communications regarding new ► jaw z` and upcoming accounting standards and auditing standards, as well as, the availability to answer Z r questions and provide advice to the government. We believe such communication is a key to providing timely value-added service to our clients. At the conclusion of the audit process, Mauldin & Jenkins prepares an Auditor's Discussion & Analysis (formerly called the Audit Agenda) which provides auditor insight and summarizes the audit process, conclusions, and year end financial analysis all under one cover. Elements of the Auditor's Discussion &Analysis include the following: • Information about the Firm, and the respective personnel serving the government; • Results of the audit and other matters which should be emphasized to the governing board; • An overview of the governments year-end financial results and auditor insights relative to key financial elements of the government; • An understanding of the internal control / compliance audit reports and the results of our testing of internal controls and compliance with laws and regulations; • A summary of certain audit scopes and procedures utilized by Mauldin &Jenkins during the audit process; • Documentation of certain required communications as required by auditing standards; • If applicable, a summary of any findings (material weaknesses and / or significant deficiencies) and management recommendations resulting from the audit; • Practical information regarding upcoming new financial reporting and auditing standards and pronouncements affecting the government;and, • A summary of the free continuing education and newsletters made available to the government during the past year. Mauldin&Jenkins, LLC Page 15 18 ENKINS Ot-ange County Quote to Provide Auditing Sei-vices Proposed Fees Mauldin &Jenkins, LLC is pleased to submit cost estimates to provide annual financial and compliance auditing services for the County. At the request of managmenet, we have prepred the following extension quotes for a three year extension. Fiscal year-end Not to Exceed June 30, 2019 $ 82,500 June 30, 2020 84,500 June 30, 2021 86,500 The above fees include the following considerations based on discussions with management: • The testing and reporting of six (6) major programs (mixed of federal and state funding) on an annual basis, in accordance with the Uniform Guidance and State Single Audit Implementation Act; and • The preparation of the County's Comprehensive Annual Financial Report; Closing . We appreciate the opportunity to continue to build our relationshipo and serve Orange County. We believe Mauldin & Jenkins is the "right" Firm for the County. Our experience and knowledge in the governmental sector of accounting, is vast, unmatched, and ever-improving. We would be very pleased to continue to share our experience and understanding of governmental accounting and operations for the benefit of the County. We would greatly appreciate your recommending us for your audit, accounting, and financial reporting needs. Should you or anyone at the County have any questions with regards to this proposal or about Mauldin &Jenkins, please feel free to contact us. Mauldin&Jenkins, LLC Page 16