R24-322 RESOLUTION NO. R24-322
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF BOYNTON
4 BEACH, FLORIDA ACCEPTING THE RECOMMENDATION OF THE CITY
OF BOYNTON BEACH AUDITOR SELECTION COMMITTEE
RECOMMENDING THE AWARD OF REQUEST FOR PROPOSAL # 25FIN-
001 R - FINANCIAL AUDITING SERVICES (AUDITOR) TO THE
PROPOSER RANKED AS THE MOST HIGHLY QUALIFIED FIRM OF ALL
RANKED FIRMS BY THE AUDITOR SELECTION COMMITTEE, CBIZ CPAs
10 P.C; AUTHORIZING THE APPROPRIATE CITY OFFICIALS TO EXECUTE A
11 LETTER OF ENGAGEMENT BETWEEN THE CITY OF BOYNTON BEACH
12 AND CBIZ CPAs P.C., FOR FINANCIAL AUDITING SERVICES FOR A
13 PERIOD OF FIVE (5) YEARS FOR FISCAL YEARS ENDING ON SEPTEMBER
14 30, 2024, SEPTEMBER 30, 2025, SEPTEMBER 30, 2026, SEPTEMBER 30,
15 2027, AND SEPTEMBER 30, 2028 RESPECTIVELY, FOR AN ANNUAL
16 AMOUNT NOT TO EXCEED $130,000 FOR YEAR ONE (1) $132,000 FOR
17 YEAR TWO (2) $134,000 FOR YEAR (3) $136,000 FOR YEAR FOUR (4)
18 AND $138,000 FOR YEAR FIVE (5) FOR AN AGGREGATE FEE OF
19 $670,000; PROVIDING FOR CONFLICTS; PROVIDING FOR
20 SEVERABILITY; AND PROVIDING FOR AN EFFECTIVE DATE; AND FOR
21 ALL OTHER PURPOSES.
22
23 WHEREAS, section 218.391, Florida Statutes, mandates that local governments, including
24 the City of Boynton Beach, conduct independent audits of their financial statements to ensure
25 transparency, accountability, and compliance with state financial regulations; and
26 WHEREAS, on April 16, 2024, the City Commission established an Auditor Selection
27 Committee via Resolution No. R24-078 to oversee the selection of an independent auditor; and
28 WHEREAS, on October 7, 2024, the Auditor Selection Committee convened in a publicly
29 noticed meeting to define the criteria for evaluating proposals, including the qualifications of
30 personnel, relevant experience, capacity to provide required services, and other factors deemed
31 important by the committee; and
32 WHEREAS, on October 16, 2024, the City of Boynton Beach issued Request for Proposal
33 (RFP) No. FIN25-001 R for Financial Auditing Services; and
34 WHEREAS, the City received four proposals in response to the RFP, and the proposals
35 were reviewed and scored by the Auditor Selection Committee during a publicly noticed meeting
36 on November 15, 2024; and
37
38 WHEREAS, the evaluation committee has ranked the proposals as follows:
39 1st - CBIZ CPAs P.C.
40 2nd - Forvis Mazars, LLP
41 3rd - HCT Certified Public Accountants and Consultants, LLC
42 4th - Citrin Cooperman & Company, LLP; and
43 WHEREAS, based on the evaluation committee's recommendations, City staff
44 recommends awarding the contract for Financial Auditing Services to CBIZ CPAs P.C., the highest-
45 ranked proposer.
46 NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF BOYNTON
47 BEACH, FLORIDA, THAT:
48 SECTION 1. The foregoing "Whereas" clauses are hereby ratified and confirmed as
49 being true and correct and are hereby made a specific part of this Resolution upon adoption.
50 SECTION 2. The City Commission of the City of Boynton Beach, Florida, does hereby
51 award Request for Proposal No. FIN25-001 R for Financial Auditing Services to CBIZ CPAs P.C. for
52 the provision of independent auditing services in accordance with the criteria set forth in RFP No.
53 FIN25-001 R.
54 SECTION 3. The City Commission of the City of Boynton Beach, Florida, does hereby
55 approve an Auditor Contract between CBIZ CPAs P.C. and the City for financial auditing services
56 in accordance with the criteria set forth in RFP No. FIN25-001 R for a period of five (5) years for
57 fiscal years ending on September 30, 2024, September 30, 2025, September 30, 2026, September
58 30, 2027, and September 30, 2028 respectively, for an annual amount not to exceed $130,000 for
59 year one (1) $132,000 for year two (2) $134,000 for year(3) $136,000 for year four(4)and $138,000
60 for year five (5) for an aggregate fee of$670,000 (the "Agreement"), in form and substance similar
61 to that attached as Exhibit A.
62 SECTION 4. The City Commission of the City of Boynton Beach, Florida, hereby
63 authorizes the Mayor to execute the Agreement. The Mayor is further authorized to execute any
64 ancillary documents required under the Agreement or necessary to accomplish the purposes of
65 the Agreement and this Resolution.
66 SECTION 5. If any provision of this Resolution is found to be invalid or unconstitutional,
67 such invalidity shall not affect the remaining provisions of this Resolution, which shall continue in
68 full force and effect.
69 SECTION 6. The City Clerk shall retain the fully executed Agreement as a public record
70 of the City. A copy of the fully executed Agreement shall be provided to Andrew Rozwadowski to
71 forward to the Auditor.
72 SECTION 7. This Resolution shall take effect immediately.
73
74 PASSED AND ADOPTED this day of eQrr bpa' 2024.
75 CITY OF BOYNTON BEACH, FLORIDA
76 YE j NO
77 Mayor—Ty Penserga
78
79 Vice Mayor—Aimee Kelley J err
80
81 Commissioner—Angela Cruz
82
83 Commissioner—Woodrow L. Hay
84
85 Commissioner—Thomas Turkin
86 L O
87 VOTE
88 A EST:
89
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90 • I 1r 4)2-1
91 Maylee e "s, MPA, M C T• 'e - •a
92 City Clerk �,,, � May.
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94 �:.%oRPOR4••. F, APPROVED AS TO FORM:
95 (Corporate Seal) f v• ,S' 'v ��
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96 : INCORPO ,_
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97 1920
98 �t► ••... •••'' % Shawna G. Lamb
99 ‘`��FLORIDP_ City Attorney
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City of Boynton Beach Purchasing Division
AUDITOR CONTRACT
AGREEMENT BETWEEN THE CITY OF BOYNTON BEACH AND [CBIZ CPAS P.C.] FOR FINANCIAL
AUDITING SERVICES
THIS AGREEMENT ("Agreement"), is entered into between the City of Boynton Beach, a municipal
corporation organized and existing under the laws of Florida, with a business address of 100 East Ocean
Ave., Boynton Beach, FL 33435, hereinafter referred to as"CITY", and[CBIZ CPAS P.C.]a [Foreign Profit
Corporation:] authorized to do business in the State of Florida, with a business address of [700 WEST
47TH STREET SUITE 1100 KANSAS CITY, MO 64112], hereinafter referred to as the "AUDITOR" or
"CONSULTANT"
WITNESSETH:
In consideration of the mutual terms and conditions, promises, covenants and payments hereinafter set forth,
CITY and AUDITOR agree as follows:
ARTICLE 1 PREAMBLE
In order to establish the background,context and form of reference for this Agreement and to generally express
the objectives, and intentions of the respective Parties herein, the following statements, representations and
explanations shall be accepted as predicates for the undertakings and commitments included within the
provisions which follow and may be relied upon by the Parties as essential elements of the mutual
considerations upon which this Agreement is based.
1.1 In accordance with Florida Statute 218.391, the City Commission established an Auditor Selection
Committee on April 16, 2024, via Resolution#R24-078.
1.2 The committee was composed of five members, with one alternate, and was chaired by the Mayor.
1.3 On October 7, 2024, the committee convened in a publicly noticed open-to-public meeting to define
the criteria for evaluating proposals.
1.4 These criteria included the qualifications of personnel, relevant experience, capacity to provide the
required services, and additional factors as determined by the committee.
1.5 On October 16, 2024, the CITY advertised its notice to Proposers of the CITY's desire to hire a firm
to provide Financial Auditing Services (Auditor) as more particularly described in Exhibit "A"
attached hereto and by this reference made a part hereof, for the said RFP entitled:
RFP No. FIN25-001 R
Financial Auditing Services (Auditor)
1.6 On November 8, 2024, the proposals were opened at the offices of the Purchasing Division publicly
at the City of Boynton Beach the City had received four proposals, which were then submitted to the
evaluation committee for review and scoring.
1.7 On November 15, 2024, the evaluation committee convened in a publicly noticed open to public
meeting to score each of the proposals.
1.8 Negotiations pertaining to the services to be performed by the AUDITOR were undertaken, and this
Agreement incorporates the results of such negotiation.
ARTICLE 2 WORK,SERVICES AND RESPONSIBILITIES
2.1 SERVICES DESIGNATION. The city has retained the Auditor to perform services in connection
with RFP No. 25FIN-001 R—Financial Auditing Services.
2.2 SCOPE OF SERVICES. AUDITOR agrees to perform the services required for the Financial
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Auditing Services.
2.3 AUDITOR agrees to perform the services required for the Financial Auditing Services.The Services
are further described in Exhibit A. The terms and conditions of RFP No. 25FIN-001 R and
AUDITOR's proposal are expressly incorporated into this Agreement by reference. AUDITOR shall
perform all Services in accordance with the Audit Engagement Letter attached to this Agreement
as Exhibit B. Any conflict or discrepancy between the terms of this Agreement, RFP No. 25FIN-
001 R, AUDITOR's proposal, and any Exhibits shall be resolved pursuant to the following order of
precedence (1) this Agreement, (2) RFP No. 25FIN-001 R, (3) the Exhibits, and (4) AUDITOR's
proposal.
2.4 OWNERSHIP AND USE OF DOCUMENTS. All documents, drawings, specifications, and other
materials produced by the AUDITOR in connection with the services rendered under this
Agreement shall be the property of the City,whether the project for which they are made is executed
or not. The Firm shall be permitted to retain copies, including reproducible copies, of drawings and
specifications for information, reference, and use in connection with AUDITOR's endeavors.
ARTICLE 3 TERM AND TERMINATION
3.1 TIME FOR PERFORMANCE. Work under this agreement shall commence upon written notice by
the City to the AUDITOR to proceed. AUDITOR shall perform all services and provide all work
product required pursuant to this agreement upon written notice to proceed.
3.2 TERM. The initial Agreement period shall be for an initial term of five (5) years, commencing on
[December 17, 20241, and shall remain in effect through [December 16, 20291 unless otherwise
terminated in accordance with this Agreement ("Initial Term").
3.3 Termination for Convenience. This Agreement may be terminated by the CITY for convenience,
upon six (6) months of written notice by the CITY to the AUDITOR in which event the AUDITOR
shall be paid its compensation for services performed through the termination date, including
services reasonably related to termination. In the event that the AUDITOR abandons this
Agreement or causes it to be terminated, the AUDITOR shall indemnify the CITY against loss
pertaining to this termination.
3.4 Termination for Cause. This Agreement may be terminated for cause by the aggrieved party if
the party in breach has not corrected the breach within thirty (30) calendar days after receipt of
written notice from the aggrieved party identifying the breach. This Agreement may be terminated
for cause by CITY for reasons including, but not limited to, AUDITOR's failure to suitably or
continuously perform the services in a manner calculated to meet or accomplish the objectives in
this Agreement, or repeated submission (whether negligent or intentional) for payment of false or
incorrect bills or invoices.
3.5 In the event of the death of a member, partner, or officer of the AUDITOR, or any of its supervisory
personnel assigned to the project, the surviving members of the AUDITOR hereby agree to
complete the work under the terms of this Agreement, if requested to do so by the CITY. This
section shall not be a bar to renegotiations of this Agreement between surviving members of the
AUDITOR and the CITY, if the CITY so chooses.
3.6 Notice of termination shall be provided in accordance with the "Notices" section of this Agreement.
3.7 In addition to any termination rights stated in this Agreement, CITY shall be entitled to seek any
and all available contractual or other remedies available at law or in equity, including recovery of
costs incurred by CITY due to AUDITOR's failure to comply with any term(s) of this Agreement.
ARTICLE 4 COMPENSATION AND METHOD OF PAYMENT
4.1 PAYMENT. The AUDITOR shall be paid by the City for completed work and for services rendered
under this agreement in accordance with the Fee Schedule attached to this Agreement as Exhibit
C, and in accordance with the following:
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City of Boynton Beach Purchasing Division
a. The pricing for this contract per year is listed below:
b. Payment for the work provided by AUDITOR shall be made promptly on all invoices
submitted to the City properly, provided that the total amount of payment to AUDITOR shall
not exceed the total annual contract price without express written modification of the
Agreement signed by the Mayor or designee.
c. The AUDITOR may submit invoices to the City once per month during the progress of the
work for partial payment for services completed to date. Invoices must contain sufficient
detail to demonstrate compliance with the terms of this Agreement. Such invoices will be
reviewed by the City, and upon approval thereof, payment will be made to the AUDITOR
in the amount approved.
d. Final payment of any balance due the AUDITOR of the total contract price earned will be
made promptly upon its ascertainment and verification by the City after the completion of
the work under this Agreement and its acceptance by the City.
e. Payment as provided in this section by the City shall be full compensation for work
performed, services rendered, and for all materials, supplies, equipment and incidentals
necessary to complete the work.
f. The AUDITOR's records and accounts pertaining to this agreement are to be kept available
for inspection by representatives of the City and State for a period of three (3) years after
the termination of the Agreement. Copies shall be made available upon request.
g. All payments shall be governed by the Local Government Prompt Payment Act, as set forth
in Part VII, Chapter 218, Florida Statutes.
h. COMPLIANCE WITH LAWS. AUDITOR shall, in performing the services contemplated by
this Agreement, faithfully observe and comply with all federal, state, and local laws,
ordinances, and regulations that are applicable to the services to be rendered under this
agreement.
ARTICLE 5 INDEMNIFICATION
5.1 The AUDITOR shall indemnify and hold harmless the CITY, its officers, employees, agents and
instrumentalities from any and all liability, losses or damages, including attorneys' fees and costs
of defense through the conclusion of any appeals,which the CITY or its officers, employees, agents
or instrumentalities may incur as a result of claims, demands, suits, causes of actions or
proceedings of any kind or nature arising out of, relating to and resulting from the performance of
this Agreement by the AUDITOR, its employees, agents, partners, principals or subcontractors.
The AUDITOR shall pay all claims and losses in connection therewith and shall investigate and
defend all claims, suits or actions of any kind or nature in the name of the CITY, where applicable,
including appellate proceedings, and shall pay all costs,judgments, and attorneys'fees which may
issue thereon. Neither party to this Agreement shall be liable to any third party claiming directly or
through the other respective party, for any special, incidental, indirect, or consequential damages
of any kind, including but not limited to lost profits or use that may result from this Agreement or
out of the services or goods furnished hereunder.
5.2 The parties understand and agree that the covenants and representations relating to this
indemnification provision shall survive the term of this Agreement and continue in full force and
effect as to the party's responsibility to indemnify.
5.3 Nothing contained herein is intended nor shall be construed to waive CITY's rights and immunities
under the common law or§768.28, Fla. Stat., as may be amended from time to time.
ARTICLE 6 INSURANCE
A. During the performance of the Work under this Agreement, AUDITOR shall maintain the following
insurance policies and provide originals or certified copies of all policies to CITY's Risk
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Management. All polices shall be written by an insurance company authorized to do business in
Florida.AUDITOR shall be required to obtain all applicable insurance coverage, as indicated below,
prior to commencing any Work pursuant to this Agreement:
i. Worker's Compensation Insurance: The AUDITOR shall procure and maintain for the
life of this Agreement,Worker's Compensation Insurance covering all employees with limits
meeting all applicable state and federal laws. This coverage shall include Employer's
Liability with limits meeting all applicable state and federal laws. This coverage must
extend to any subcontractor that does not have their own Worker's Compensation and
Employer's Liability Insurance. The policy must contain a waiver of subrogation in favor of
the City of Boynton Beach, executed by the insurance company.
ii. Comprehensive General Liability: The AUDITOR shall procure and maintain for the life
of this Agreement, Comprehensive General Liability Insurance. This coverage shall be on
an "Occurrence" basis. Coverage shall include Premises and Operations; Independent
consultants, Products-Completed Operations and Contractual Liability with specific
reference to Article 8, "Indemnification" of this Agreement. This policy shall provide
coverage for death, personal injury, or property damage that could arise directly or
indirectly from the performance of this Agreement. AUDITOR shall maintain a minimum
coverage of$1,000,000 per occurrence and $1,000,000 aggregate for personal injury/and
$1,000.000 per occurrence/aggregate for property damage. The general liability insurance
shall include the CITY as an additional insured and shall include a provision prohibiting
cancellation of the policy upon thirty (30)days prior written notice to the CITY.
iii. Business Automobile Liability: The AUDITOR shall procure and maintain, for the life of
this Agreement, Business Automobile Liability Insurance. The AUDITOR shall maintain a
minimum amount of$1,000,000 combined single limit for bodily injury and property damage
liability to protect the AUDITOR from claims for damage for bodily and personal injury,
including death, as well as from claims for property damage, which may arise from the
ownership, use of maintenance of owned and non-owned automobile, included rented
automobiles, whether such operations be by the AUDITOR or by anyone directly or
indirectly employed by the AUDITOR.
iv. Professional Liability(Errors and Omissions) Insurance: The AUDITOR shall procure
and maintain for the life of this Agreement in the minimum amount of $1,000,000 per
occurrence.
v. Umbrella/Excess Liability Insurance: in the amount of $1,000,000.00 as determined
appropriate by the CITY depending on the type of job and exposures contemplated.
Coverage must be following form of the General Liability, Auto Liability, and Employer's
Liability. This coverage shall be maintained for a period of no less than the later of three
(3) years after the delivery of goods/services or final payment pursuant to the Agreement.
B. AUDITOR shall provide the CITY with all Certificates of Insurance required under this section prior
to beginning performance under this Agreement. Failure to maintain the required insurance will be
considered a default of the Agreement.
C. The CITY shall be named as an additional insured. The coverage shall contain no limitations on
the scope of protection afforded the CITY, its officers, officials, employees, or volunteers. A current
valid insurance policy meeting the requirements herein identified shall be maintained during the
duration of this Agreement and shall be endorsed to state that coverage shall not be suspended,
voided, or cancelled by either party, reduced in coverage in limits except after thirty (30) calendar
days prior written notice by either certified mail, return receipt requested, has been given to the
CITY.
D. The CITY reserves the right to reasonably require any additional insurance coverage or increased
limits as determined necessary by the Risk Management. The CITY reserves the right to review,
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modify, reject, or accept any required policies of insurance, including limits, coverage, or
endorsements throughout the Term of the Agreement.
10. INDEPENDENT CONSULTANT. The AUDITOR and the CITY agree that the AUDITOR is an
independent contractor with respect to the Work provided pursuant to this Agreement. Nothing in this
Agreement shall be considered to create the relationship of employer and employee between the
parties hereto. Neither AUDITOR nor any employee of AUDITOR shall be entitled to any benefits
accorded CITY employees by virtue of the services provided under this Agreement. The CITY shall not
be responsible for withholding or otherwise deducting federal income tax or Social Security or for
contributing to the state industrial insurance program, otherwise assuming the duties of an employer
with respect to AUDITOR or any employee of AUDITOR.
11. COVENANT AGAINST CONTINGENT FEES. The AUDITOR warrants that it has not employed or
retained any company or person, other than a bona fide employee working solely for the AUDITOR, to
solicit or secure this Agreement, and that AUDITOR has not paid or agreed to pay any company or
person, other than a bona fide employee working solely for the AUDITOR any fee, commission,
percentage, brokerage fee, gifts, or any other consideration contingent upon or resulting from the award
or making of this Agreement. For breach or violation of this warranty, the CITY shall have the right to
annul this Agreement without liability or, in its discretion to deduct from the contract price or
consideration, or otherwise recover, the full amount of such fee, commission, percentage, brokerage
fee, gift, or contingent fee.
12. DISCRIMINATION PROHIBITED. The AUDITOR, with regard to the work performed by it under this
agreement, will not discriminate on the grounds of race, color, national origin, religion, creed, age, sex,
or the presence of any physical or sensory handicap in the selection and retention of employees or
procurement of materials or supplies.
13. ASSIGNMENT. The AUDITOR shall not sublet or assign any of the Work covered by this Agreement
without the express written consent of the CITY.
14. NON-WAIVER. Waiver by the CITY of any provision of this Agreement or any time limitation provided
for in this Agreement shall not constitute a waiver of any other provision.
15. DISPUTES. Any disputes that arise between the parties with respect to the performance of this
Agreement, which cannot be resolved through negotiations, shall be submitted to a court of competent
jurisdiction exclusively in Palm Beach County, Florida. This Agreement shall be construed under
Florida Law.
16. NOTICE. All notices required in this Contract shall be sent by certified mail, return receipt requested,
and if sent to CITY, shall be mailed to:
Daniel Dugger, City Manager
City of Boynton Beach
100 East Ocean Ave.,
Boynton Beach, FL 33435
Telephone No. (561) 742-6000
Copy to:
Shawna G. Lamb, City Attorney
100 East Ocean Ave.,
Boynton Beach, FL 33435
Telephone No. (561) 742-6000
Notices to AUDITOR shall be sent to the following address:
Registered Agent Name &Address
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CORPORATION SERVICE COMPANY
1201 HAYS STREET
TALLAHASSEE, FL 32301-2525
Phone: 561.653.7300
Email: Moises.Ariza(a marcumllp.com
FIN #: 43-1947695
17. PUBLIC RECORDS. The AUDITOR shall comply with Florida's Public Records Law. Specifically, the
AUDITOR shall:
A. Keep and maintain public records required by the CITY to perform the Work.
B. Upon request from the CITY's custodian of public records, provide the CITY with a copy of the
requested records or allow the records to be inspected or copied within a reasonable time at a cost
that does not exceed the cost provided in Chapter 119, Fla. Stat. or as otherwise provided by law.
C. Ensure that public records that are exempt or that are confidential and exempt from public record
disclosure requirements are not disclosed except as authorized by law for the duration of the
contract term and, following completion of the contract, AUDITOR shall destroy all copies of such
confidential and exempt records remaining in its possession once the AUDITOR transfers the
records in its possession to the CITY; and
D. Upon completion of the contract, AUDITOR shall transfer to the CITY, at no cost to the CITY, all
public records in AUDITOR's possession All records stored electronically by AUDITOR must be
provided to the CITY, upon request from the CITY's custodian of public records, in a format that is
compatible with the information technology systems of the CITY.
IF THE AUDITOR HAS QUESTIONS REGARDING THE
APPLICATION OF CHAPTER 119, FLORIDA STATUTES, TO THE
AUDITOR'S DUTY TO PROVIDE PUBLIC RECORDS RELATING TO
THIS CONTRACT, CONTACT THE CUSTODIAN OF PUBLIC
RECORDS:
CITY CLERK'S OFFICE
100 E. OCEAN AVENUE
BOYNTON BEACH, FLORIDA, 33435
561-742-6060
CityClerk(a�bbfl.us
18. UNCONTROLLABLE FORCES.
A. Neither the CITY nor AUDITOR shall be considered to be in default of this Agreement if delays in
or failure of performance shall be due to Uncontrollable Forces, the effect of which, by the exercise
of reasonable diligence, the non-performing party could not avoid. The term "Uncontrollable
Forces" shall mean any event which results in the prevention or delay of performance by a party of
its obligations under this Agreement and which is beyond the reasonable control of the non-
performing party. It includes, but is not limited to, fire, flood, earthquakes, storms, lightning,
epidemic, war, riot, civil disturbance, sabotage, and governmental actions.
B. Neither party shall, however, be excused from performance if non-performance is due to forces
that are preventable, removable, or remediable and which the non-performing party could have,
with the exercise of reasonable diligence, prevented, removed, or remedied with reasonable
dispatch. The non-performing party shall, within a reasonable time of being prevented or delayed
from performance by an uncontrollable force, give written notice to the other party describing the
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circumstances and uncontrollable forces preventing continued performance of the obligations of
this Agreement.
19. SCRUTINIZED COMPANIES. By execution of this Agreement,AUDITOR certifies that AUDITOR is not
participating in a boycott of Israel. AUDITOR further certifies that AUDITOR is not on the Scrutinized
Companies that Boycott Israel list, not on the Scrutinized Companies with Activities in Sudan List, and
not on the Scrutinized Companies with Activities in the Iran Petroleum Energy Sector List, or has
AUDITOR been engaged in business operations in Syria. Subject to limited exceptions provided in
state law, the CITY will not contract for the provision of goods or services with any scrutinized company
referred to above. Submitting a false certification shall be deemed a material breach of contract. The
CITY shall provide notice, in writing, to AUDITOR of the CITY's determination concerning the false
certification. AUDITOR shall have five (5) days from receipt of notice to refute the false certification
allegation. If such false certification is discovered during the active contract term, AUDITOR shall have
ninety (90) days following receipt of the notice to respond in writing and demonstrate that the
determination of false certification was made in error. If AUDITOR does not demonstrate that the CITY's
determination of false certification was made in error, then the CITY shall have the right to terminate
the contract and seek civil remedies pursuant to Section 287.135, Florida Statutes, as amended from
time to time.
20. E-VERIFY. AUDITOR is used interchangeably with CONTRACTOR throughout this Section.
AUDITOR certifies that it is aware of and complies with the requirements of Section 448.095, Florida
Statutes, as may be amended from time to time and briefly described herein below.
A. Definitions for this Section:
i. "Contractor" means a person or entity that has entered or is attempting to enter into a contract
with a public employer to provide labor, supplies, or services to such employer in exchange for
salary, wages, or other remuneration. "Contractor" includes, but is not limited to, an AUDITOR
or consultant.
ii. "Subcontractor" means a person or entity that provides labor, supplies, or services to or for a
contractor or another subcontractor in exchange for salary, wages, or other remuneration.
iii. "E-Verify system" means an Internet-based system operated by the United States Department
of Homeland Security that allows participating employers to electronically verify the
employment eligibility of newly hired employees.
B. Registration Requirement; Termination. Pursuant to Section 448.095, Florida Statutes, effective
January 1, 2021, Contractors, shall register with and use the E-Verify system in order to verify the
work authorization status of all newly hired employees. Contractor shall register for and utilize the
U.S. Department of Homeland Security's E-Verify System to verify the employment eligibility of:
i. All persons employed by a Contractor to perform employment duties within Florida during the
term of the contract.
ii. All persons (including sub-vendors/sub-consultants/sub-contractors)assigned by Contractor to
perform work pursuant to the contract with the CITY of Boynton Beach. The Contractor
acknowledges and agrees that registration and use of the U.S. Department of Homeland
Security's E-Verify System during the term of the contract is a condition of the contract with the
CITY of Boynton Beach; and
iii. The Contractor shall comply with the provisions of Section 448.095, Fla. Stat., "Employment
Eligibility," as amended from time to time. This includes, but is not limited to, registration and
utilization of the E-Verify System to verify the work authorization status of all newly hired
employees. Contractor shall also require all subcontractors to provide an affidavit attesting that
the subcontractor does not employ, contract with, or subcontract with an unauthorized alien.
The Contractor shall maintain a copy of such affidavit for the duration of the contract. Failure
to comply will lead to termination of this Contract, or if a subcontractor knowingly violates the
statute, the subcontract must be terminated immediately. Any challenge to termination under
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this provision must be filed in the Circuit Court no later than twenty(20)calendar days after the
date of termination. Termination of this Contract under this Section is not a breach of contract
and may not be considered as such. If this contract is terminated for a violation of the statute
by the Contractor, the Contractor may not be awarded a public contract for a period of one (1)
year after the date of termination.
21. MISCELLANEOUS.
A. No assignment by a party hereto of any rights under or interests in this Agreement will be binding
on another party hereto without the written consent of the party sought to be bound; and specifically
but without limitation, moneys that may become due and moneys that are due may not be assigned
without such consent (except to the extent that the effect of this restriction may be limited by law),
and unless specifically stated to the contrary in any written consent to an assignment no
assignment will release or discharge the assignor from any duty or responsibility under this
Agreement.
B. CITY and AUDITOR each binds itself, their partners,successors,assigns and legal representatives
to the other party hereto, their partners, successors, assigns and legal representatives in respect
of all covenants, agreements and obligations contained in this Agreement.
C. In the event that either party brings suit for enforcement of this Agreement, each party shall bear
its own attorney's fees and court costs, except as otherwise provided under the indemnification
provisions set forth herein above.
D. Prior to final payment of the amount due under the terms of this Agreement, to the extent permitted
by law, a final waiver of lien shall be required to be submitted by the AUDITOR, as well as all
suppliers and subcontractors who worked on the project that is the subject of this Agreement.
Payment of the invoice and acceptance of such payment by AUDITOR shall release CITY from all
claims of liability by AUDITOR in connection with this Agreement.
E. At all times during the performance of this Agreement, AUDITOR shall protect CITY's property from
all damage whatsoever on account of the work being carried on under this Agreement.
F. It shall be the AUDITOR's responsibility to be aware of and comply with all statutes, ordinances,
rules, orders, regulations, and requirements of all local, city, state, and federal agencies as
applicable.
G. This Agreement represents the entire and integrated agreement between CITY and AUDITOR and
supersedes all prior negotiations, representations, or agreements, either written or oral. This
Agreement is intended by the parties hereto to be the final expression of this Agreement, and it
constitutes the full and entire understanding between the parties with respect to the subject hereof,
notwithstanding any representations, statements, or agreements to the contrary heretofore made.
In the event of a conflict between this Agreement,the solicitation, and the AUDITOR's bid proposal,
this Agreement shall govern then, the solicitation, and then the bid proposal. This Agreement may
be amended only by written instrument signed by both CITY and AUDITOR.
H. This Agreement will take effect on the Effective Date. This Agreement may be executed by hand
or electronically in multiple originals or counterparts, each of which shall be deemed to be an
original and together shall constitute one and the same agreement. Execution and delivery of this
Agreement by the Parties shall be legally binding, valid and effective upon delivery of the executed
documents to the other party through facsimile transmission, email, or other electronic delivery.
I. Countries of Concern: AUDITOR represents that it is, and for the duration of the Term will remain,
in compliance with Section 286.101, Florida Statutes.
J. Public Entity Crimes Act: AUDITOR represents that it is familiar with the requirements and
prohibitions under the Public Entity Crime Act, Section 287.133, Florida Statutes, and represents
that its entry into this Agreement will not violate that Act. AUDITOR further represents that there
has been no determination that it committed a "public entity crime" as defined by Section 287.133,
Florida Statutes, and that it has not been formally charged with committing an act defined as a
"public entity crime" regardless of the amount of money involved or whether AUDITOR has been
placed on the convicted vendor list.
22. DEFAULT OF CONTRACT & REMEDIES.
A. Correction of Work. If, in the judgment of CITY, Work provided by AUDITOR does not conform
to the requirements of this Agreement, or if the Work exhibits poor workmanship, CITY reserves
the right to require that AUDITOR correct all deficiencies in the Work to bring the work into
conformance without additional cost to CITY, and/or replace any personnel who fail to perform in
accordance with the requirements of this Agreement. CITY shall be the sole judge of non-
conformance and the quality of workmanship.
FIN25-001R-FINANCIAL AUDITING SERVICES(AUDITOR)
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City of Boynton Beach • Purchasing Division
B. Default of Contract. The occurrence of any one or more of the following events shall constitute a
default and breach of this Agreement by AUDITOR:
i The abandonment of the project by AUDITOR for a period of more than seven (7) business
days.
ii The abandonment, unnecessary delay, refusal of, or failure to comply with any of the terms of
this Agreement or neglect, or refusal to comply with the instructions of the CITY's designee.
iii The failure by AUDITOR to observe or perform any of the terms, covenants, or conditions of
this Agreement to be observed or performed by AUDITOR, where such failure shall continue
for a period of seven (7) days after written notice thereof by CITY to AUDITOR; provided,
however, that if the nature of AUDITOR 's default is such that more than seven (7) days are
reasonably required for its cure, then AUDITOR shall not be deemed to be in default if
AUDITOR commences such cure within said seven (7) day period and thereafter diligently
prosecutes such cure to completion.
iv The assignment and/or transfer of this Agreement or execution or attachment thereon by
AUDITOR or any other party in a manner not expressly permitted hereunder.
v The making by AUDITOR of any general assignment or general arrangement for the benefit of
creditors, or the filing by or against AUDITOR of a petition to have AUDITOR adjudged a
bankruptcy,or a petition for reorganization or arrangement under any law relating to bankruptcy
(unless, in the case of a petition filed against AUDITOR, the same is dismissed within sixty(60)
calendar days); or the appointment of a trustee or a receiver to take possession of substantially
all of AUDITOR's assets, or for AUDITOR 's interest in this Agreement, where possession is
not restored to AUDITOR within thirty (30) calendar days; for attachment, execution or other
judicial seizure of substantially all of AUDITOR 's assets, or for AUDITOR 's interest in this
Agreement, where such seizure is not discharged within thirty (30) calendar days.
C. Remedies in Default. In case of default by AUDITOR, CITY shall notify AUDITOR, in writing, of
such abandonment, delay, refusal, failure, neglect, or default and direct AUDITOR to comply with
all provisions of the Agreement. If the abandonment, delay, refusal, failure, neglect or default is
not cured within seven (7) business days of when notice was sent by CITY, CITY may declare a
default of the Agreement and notify AUDITOR of such declaration of default and terminate the
Agreement.
i Upon such declaration of default, all payments remaining due AUDITOR at the time of default,
less all sums due CITY for damages suffered, or expenses incurred by reason of default, shall
be due and payable.
ii CITY may complete the Agreement, or any part thereof, either by day labor, use of a
subcontractor, or by re-letting a contract for the same, and procure the equipment and the
facilities necessary for the completion of the Agreement and charge the cost of same to
AUDITOR the costs incident thereto to such default.
iii In the event CITY completes the Agreement at a lesser cost than would have been payable to
AUDITOR under this Agreement, if the same had been fulfilled by AUDITOR, CITY shall retain
such differences. Should such cost to CITY be greater, AUDITOR shall pay the amount of
such excess to the CITY.
iv Notwithstanding the other provisions in this Article, CITY reserves the right to terminate the
Agreement at any time, whenever the service provided by AUDITOR fails to meet reasonable
standards of the trade after CITY gives written notice to the AUDITOR of the deficiencies.
23. SOVEREIGN IMMUNITY. Nothing contained herein is intended to serve as a waiver of sovereign
immunity by the CITY or as a waiver of limits of liability or rights the CITY may have under the doctrine
of sovereign immunity or under Section 768.28, Florida Statutes.
24. ENTITIES OF FOREIGN CONCERN. AUDITOR will have access to an individual's personal identifying
information under this Agreement. AUDITOR represents and certifies: (i) AUDITOR is not owned by
the government of a foreign country of concern; (ii) the government of a foreign country of concern
does not have a controlling interest in AUDITOR; and (iii) AUDITOR is not organized under the laws of
and does not have its principal place of business in, a foreign country of concern. Prior to AUDITOR
and any subcontractor having access to personal identifying information pursuant to this Agreement,
AUDITOR and any subcontractor shall submit to City executed affidavit(s) under penalty of perjury, in
a form approved by City attesting that the entity does not meet any of the criteria in Section 287.138(2),
Florida Statutes. Compliance with the requirements of this section is included in the requirements of a
FIN25-001R-FINANCIAL AUDITING SERVICES(AUDITOR)
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City of Boynton Beach f Purchasing Division
proper invoice. Terms used in this section that are not otherwise defined in this Agreement shall have
the meanings ascribed to such terms in Section 287.138, Florida Statutes.
25. ANTI-HUMAN TRAFFICKING. On or before the Effective Date of this Agreement, AUDITOR shall
provide CITY with an affidavit attesting that the AUDITOR does not use coercion for labor or services,
in accordance with Section 787.06(13), Florida Statutes.
FIN25-001R-FINANCIAL AUDITING SERVICES(AUDITOR)
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City of Boynton Beach -v' Purchasing Division
IN WITNESS WHEREOF, the parties have hereunto set their hands and seals on the day and year set
forth below their respective signatures.
DATED this /-7443ay of \ lVzn'1.L.- , 2024
CITY OF BOYNTON BEACH AUDITOR
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Moises D. Ariza
Print Name of Authorized Official
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FIN25-001R-FINANCIAL AUDITING SERVICES(AUDITOR)
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CORPORATE ACKNOWLEDGEMENT
STATE OF Florida
COUNTY OF Palm Beach
The foregoing instrument was acknowledged before me by means of physical presence or o online
notarization, this 5th day of December 20_4, by Moises D. Ariz on behalf of
CBIZ CPAS P C. a Professional Corporation .frit; he(s personally known to TO or has
produced as identification
I 1s�� BRANDEN LOPEZ •
OTARY •
•'� `_ Notary Public-State of Florida
�l sCommission#NH 527815
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(Name of Notary Typed, Printed or Stamped)
Title or Rank
Serial number, if any
FIN25-001R-FINANCIAL AUDITING SERVICES(AUDITOR)
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City of Boynton Beach Purchasing Division
EXHIBIT A
SCOPE OF SERVICES
Auditor shall at all times during this agreement be a licensed certified public accounting firm under Chapter 473, Florida
Statutes, and shall be qualified to conduct audits in accordance with government auditing standards as adopted by the
Florida Board of Accountancy. Auditor shall audit the City's financial statements for the fiscal years ending September
30, 2024, through 2028. The audit shall be conducted for the purpose of forming an opinion of the general-purpose
financial statements taken as a whole and to determine whether operations were conducted in accordance with legal
and regulatory requirements. Audits are to be performed in accordance with generally accepted auditing standards
(GAAP), and, the standards for financial audits set forth in the U.S. General Accountability Office's (GAO) Government
Auditing Standards issued by the Comptroller General of the United States,the Title 2 U.S. Code of Federal Regulations
Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform
Guidance), Audits of State and Local Governments (Revised) — AICPA, Section 215.97 and F.S. 218.39, Florida
Statutes, Florida Single Audit Act; and Chapter 10.550 Local Governmental Entity Audits, Rules of the Auditor General,
State of Florida and any other applicable Federal, State and local laws and regulations.
SCOPE OF SERVICES:
The City of Boynton Beach requires the auditor to express an opinion on the fair presentation of its basic financial
statements in conformity with accounting standards generally accepted in the United States GAAP) and reporting
requirements of the Government Accounting Standards Board (GASB).
The Auditor is required to audit the financial statements of the governmental activities,the business-type activities, each
major fund, and the aggregate remaining fund information of the City, which collectively comprise the City's basic
financial statements. The Auditor is not required to audit the introductory section of the Annual Comprehensive Financial
Report (ACFR), its Management's Discussion and Analysis, its required supplementary information, and the statistical
section of the ACFR. However, the auditor is to provide an "in-relation-to" report on the combining and individual fund
financial statements and supporting schedules based on the auditing procedures applied during the audit of the basic
financial statements.
The City expects to file the ACFRs annually with the Government Finance Officers Association of the United States and
Canada (GFOA) for review in the Certificate of Achievement for Excellence in Financial Reporting Program. It is
anticipated that the Auditor will provide special assistance to the City of Boynton Beach to meet the requirements of
that program by providing technical advice to ensure the awarding of certification.
The auditor shall also be responsible for performing certain limited procedures involving required supplementary
information required by the Governmental Accounting Standards Board as mandated by generally accepted auditing
standards.
The Auditor will also assist in the Financial Condition Assessment, including applying any changes to the Auditor
General requirements.
a. The Auditor will assist the City in complying with changes in any reporting requirements to remain in
conformity with GAAP.
b. The auditor may be requested to perform other auditing services at the discretion of the City. Any such
additional work agreed to between the City of Boynton Beach and the selected firm shall be performed only
upon a written agreement and in accordance with provisions specified in the Request for Proposal.
AUDITING STANDARDS TO BE FOLLOWED
The audit shall be performed in accordance with:
a. Generally accepted auditing standards and audits of State and Local government units as set forth by the
American Institute of Certified Public Accountants (AICPA).
b. The Standards set forth for financial audits under Government Auditing Standards issued by the Comptroller
General of the United States.
c. The requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative
Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).
d. The provisions of the Florida Single Audit Act (as amended).
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Cit of Boynton B h
yBeach Purchasing Division
e. Rules of the State of Florida Department of Financial Services Regulations.
f. Rules of the Auditor General for the State of Florida, for form and content of governmental unit audits.
g. The provisions of the Federal Single Audit Act (as Amended).
h. Section 215.97 and 218.39, Florida Statutes, and any other applicable Florida Statutes.
i. State of Florida Department of Banking and Finance Regulations.
j. Any other applicable Federal, state, or local regulations or professional guidance not specifically listed
above as well as any additional requirements that may be adopted by these organizations in the future.
Any updates of, or amendments to, these described auditing standards or applicable laws are to be incorporated in
future audits performed by the selected auditor performing auditing engagements for the City in future fiscal years.
REPORTS TO BE ISSUED
Following the completion of the audit of the fiscal year's financial statements, the auditor shall issue:
a. A report on the fair presentation of the basic financial statements in conformity with accounting principles
generally accepted in the United States (GAAP).
b. A report on internal control over financial reporting based and other matters based on an audit of financial
statements performed in accordance with government auditing standards.
c. A report on compliance with applicable laws and regulations, as required by Government Auditing Standards.
d. A management letter required by Section 11.45(3) (a)4, Florida Statutes.
e. Reports required by the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative
Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), as may be amended,
to include, but not limited to:
i An "in relation to" opinion on the schedules of federal and state financial assistance.
ii A report on compliance on each major program and on internal control over compliance in
accordance with the Uniform Guidance.
iii A schedule of expenditures of federal awards and notes to schedule of federal awards.
iv A schedule of findings and questioned costs.
v A schedule of prior audit findings.
vi A report on compliance with requirements applicable to State Financial Assistance.
vii Reports as may be required to comply with Florida Statutes, Sections 215.97, and 218.39.
f. Other required disclosures required by relevant Rules of the Auditor General.
g. Irregularities and Illegal Acts—auditors shall be required to make an immediate,written report of all irregularities
and illegal acts or indications of illegal acts of which they become aware to the Director of Financial Services, the City
Manager, and City Commission as appropriate.
h. In the required report(s) on internal controls, the auditor shall communicate any reportable conditions found
during the audit. A reportable condition shall be defined as a significant deficiency in the design or operation of the
internal control structure, which could adversely affect the organization's ability to record, process, summarize and
report financial data consistent with the assertions of management in the financial statements.
Reportable conditions that are also material weaknesses shall be identified as such in the report.
Non-reportable conditions and other matters discovered by the auditors shall be reported in a separate letter to
management, which shall be referred to in the reports on internal controls.
The report on compliance shall include all material instances of noncompliance. All nonmaterial instances of
noncompliance shall be reported in a separate management letter, which shall be referred to in the report on
compliance.
Use of the audited financial statements, opinions or any of the above-named reports will not result in additional
compensation unless their use requires additional certification or services on the part of the firm.
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City of Boynton Beach Purchasing Division
• Coordinate with City staff in the production of an ACFR in compliance with GFOA guidelines (to the extent
desired by City staff).
• Annual Comprehensive Financial Report (ACFR), the City desires the auditor to publish the ACFR using the
City's format and provide (15) bound copies for distribution and a .pdf file that can be used for electronic
submission.
• Use of the audited financial statements, opinions or any of the above-named reports will not result in additional
compensation unless their use requires additional certification or services on the part of the firm. The auditor
shall submit a signed audit report on the fair presentation of the financial statements in conformity with GAAP
no later than March 31, for the previous fiscal year ending September 30, along with the required reports on
internal control structure and compliance with laws and regulations.
SPECIAL CONSIDERATIONS
• The City of Boynton Beach will send its Annual Comprehensive Financial Report (ACFR), to the Government
Finance Officers Association of the United States and Canada for meritorious review in their Certificate of
Achievement for Excellence in Financial Reporting program. It is anticipated that the auditor will be required to
provide special assistance to the City to meet the requirements of that program by providing technical advice to
ensure award of certification.
• During the contract period, the City may prepare one or more official statements in connection with the sale of debt
securities that will contain the basic financial statements and the auditor's report thereon. The auditor shall be
required, if requested by the financial advisor and /or the underwriter, to issue a "consent and citation of expertise"
as the auditor and any necessary "comfort letters".
• The schedules of federal and state financial assistance and related auditor's report, as well as the reports on the
internal control structure and compliance, are to be issued in conjunction with the ACFR.
• The auditor will assist the City in complying with changes in reporting requirements to remain in conformity with
GAAP.
• The Auditor will prepare the Financial Condition Assessment.
• The auditor will assist the City with the physical production of up to fifteen (15) printed and bound color copies and
a PDF formatted electronic copy of the ACFR.
• The selected firm will make a "good faith effort" that any employee that works on the City of Boynton Beach audit
will return each year to the City of Boynton Beach audit if they are employed by the Firm in their Municipal Audit
Section of the Firm.
• The City may periodically require an Electronic Data Processing (EDP) audit of its Information Systems. A detailed
scope of services will be developed, and prices will be negotiated when services are requested.
WORKING PAPER RETENTION AND ACCESS TO WORKING PAPERS
All working papers and reports must be retained, at the auditor's expense, in accordance with requirements and
procedures set forth by the General Records Schedule for State and Local Government Agencies as promulgated by
the Division of Library and Information Services (a division of the Florida Department of State), unless the firm is notified
in writing by the City of Boynton Beach of the need to extend the retention period. City management and their
representatives shall be entitled at any time during the contract period to inspect and reproduce such documents as
deemed necessary.
The auditor will be required to make working papers available, upon request, to the following parties or their designees:
1. City Boynton Beach
2. U.S. General Accountability Office (U.S. GAO)
3. Cognizant Agency
4. Parties designated by the federal or state governments or by the City of Boynton Beach as part of an audit quality
review process.
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City of Boynton Beach .' _••`� Purchasing Division
In addition, the Auditor shall respond to the reasonable inquiries of successor auditors and allow successor auditors to
review working papers relating to matters of continuing accounting significance. As requests for copies of working
papers are fulfilled,the auditor will be required to notify the Director of Financial Services of the request, as appropriate.
ADDITIONAL SERVICES
If, during the contractual period, additional auditing or accounting services are needed, the Auditor may be engaged to
perform these services. The Auditor shall, upon receipt of a written request from the City, perform such additional
services. Such services, if offered by the Auditor, may include, but not be limited to:
A. Management advisory services
B. Arbitrage calculations
C. Extended audit services or special audits
D. Assistance in the preparation of any Official Statements required by Bond Counsel
All additional work will be documented by engagement memoranda to be approved by the City in accordance with the
procurement policies of the City. The Auditor will be compensated in accordance with the Fee Schedule. The total
amount for additional services shall be separately negotiated at the time of the engagement for a not-to-exceed amount
calculated in accordance with the rates of this Agreement. In addition, the audit firm will be responsible for ensuring that
any additional services provided do not impair the firm's independence as prescribed in Amendment 3 to Government
Auditing Standards.
ASSISTANCE TO BE PROVIDED TO THE AUDITOR AND REPORT PREPARATION
Finance and Administrative Services Department
The Finance and Administrative Services Department staff and responsible management personnel will be available
during the audit to assist the firm by providing information, documentation, and explanations. The preparation of
confirmations will be the responsibility of the City of Boynton Beach. Finance and Administrative Services Department
staff will provide all data as requested, but the audit firm is responsible for formatting the data to accommodate their
required schedules and work papers.
The Financial Services staff will be available during the audit to assist the firm by providing information, documentation,
and explanations. In addition, staff will provide the following:
• Preparation of the confirmations and lead schedules.
• Assistance in providing paid invoices, canceled checks, and other supporting documentation as requested
by the firm.
• Year-end closing of the books of account and preparation of necessary adjusting journal entries.
• Preparation of schedules and related materials as requested by the firm.
• Preparation of all financial statements including related notes and required supplemental financial
information.
• Preparation of the annual local government financial report submitted to the Florida Department of Banking
and Finance.
• Information Technology (IT) Assistance
Certain IT personnel will be available to assist the auditor in performing the engagement. IT personnel will also be
available to provide systems documentation and explanations. The Auditor will not be provided with computer time or
the use of the City of Boynton Beach's computer hardware and software.
• Work Area, Network, Telephones, Photocopying and Fax Machines
The City of Boynton Beach will provide the auditor with reasonable workspace, desks and chairs. The auditor will also
be provided access to telephone lines, photocopying facilities, facsimile machines and internet for the on-site audit staff.
The auditors will provide their own laptop computers and necessary peripheral devices. Any cost or charge incurred not
associated with the engagement will be paid by the Auditor.
• Report Preparation
Auditor shall prepare all individual, combining, and entity-wide Financial Statements, and issue the Independent
Auditor's Report. The City will provide the front covers, back covers, and tab inserts, as well as the transmittal letter,
MDA, and statistical tables, and update the notes to the financial statements. Preparation color printing and binding (up
to 15 copies)of the ACFR shall be the responsibility of the Auditor. The Auditor shall also provide an electronic copy of
the ACFR in PDF format. The cost of the physical production (printing)of the ACFR should be listed separately.
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City of Boynton Beach Purchasing Division
EXHIBIT B
ENGAGEMENT LETTER
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City of Boynton Beach Purchasing Division
November 22, 2024
City of Boynton Beach, Florida
Attn: Mr. Dan Dugger, City Manager and Mr. Peter V. Kajokas, Finance Director
100 E. Ocean Avenue
Boynton Beach, Florida 33435
You have requested that we audit the financial statements of the governmental activities,
the business-type activities, each major fund, and the aggregate remaining fund
information of the City of Boynton Beach, Florida ("the City", "Client," "you" or "your"), as
of September 30, 2024, and for the fiscal year then ended, and the related notes to the
financial statements, which collectively comprise the City's basic financial statements as
listed in the table of contents. We are pleased to confirm our understanding of the terms
and objectives of our engagement and the nature and limitations of the services CBIZ
CPAs P.C. ("CBIZ CPAs," the "Firm," "we," "us" or "our") will provide for the fiscal years
ended September 30, 2024 through September 30, 2028.
Our audit will be conducted with the objectives of our expressing an opinion on each
opinion unit.
The objectives of our audit of the financial statements are to obtain reasonable assurance
about whether the financial statements as a whole are free from material misstatement,
whether due to fraud or error, and to issue an auditors' report that includes our opinion.
The procedures selected depend on the auditors' judgment, including the assessment of
the risks of material misstatement of the financial statements, whether due to error,
fraudulent financial reporting, misappropriation of assets, or violations of laws,
governmental regulations, grant agreements, or contractual agreements. Reasonable
assurance is a high level of assurance but is not absolute assurance and therefore is not
a guarantee that an audit conducted in accordance with auditing standards generally
accepted in the United States of America (GAAS) and in accordance with Government
Auditing Standards will always detect a material misstatement when it exists.
Misstatements, including omissions, can arise from fraud or error and are considered
material if there is a substantial likelihood that, individually or in the aggregate, they would
influence the judgment made by a reasonable user based on the financial statements.
Accounting principles generally accepted in the United States of America, (U.S. GAAP,)
as promulgated by the Governmental Accounting Standards Board (GASB) require that
management's discussion and analysis (MD&A), the budgetary comparison schedules for
6 City of � �
C ty Boynton Beach Purchasing Division
the General Fund and Boynton Beach CRA Special Revenue Fund, and various pension
and other post-employment benefits (OPEB) schedules, be presented to supplement the
basic financial statements. Such information, although not a part of the basic financial
statements, is required by the Governmental Accounting Standards Board, who considers
it to be an essential part of financial reporting for placing the basic financial statements in
an appropriate operational, economic, or historical context. As part of our engagement,
we will apply certain limited procedures to the required supplementary information (RSI)
in accordance with auditing standards generally accepted in the United States of America.
These limited procedures will consist primarily of inquiries of management regarding their
methods of measurement and presentation, and comparing the information for
consistency with management's responses to our inquiries. We will not express an
opinion or provide any form of assurance on the RSI. The following RSI is required by
accounting principles generally accepted in the United States of America. This RSI will
be subjected to certain limited procedures but will not be audited:
• Management's Discussion and Analysis
• Budget Comparison Schedule — General Fund
• Budget Comparison Schedule — CRA Special Revenue Fund
• Pension Information (Schedule of Changes in Net Pension Liability (Asset) and
Related Ratios, Schedule of City Contributions, Schedule of Investment Returns)
• Other Postemployment Benefit (OPEB) Information (Schedule of Changes in the Total
OPEB Liability and Related Ratios)
Supplementary information other than RSI will accompany the City's basic financial
statements. We will subject the following supplementary information to the auditing
procedures applied in our audit of the basic financial statements and certain additional
procedures, including comparing and reconciling the supplementary information to the
underlying accounting and other records used to prepare the financial statements or to
the financial statements themselves, and additional procedures in accordance with
auditing standards generally accepted in the United States of America. We intend to
provide an opinion on the following supplementary information in relation to the financial
statements as a whole:
• Combining and individual fund financial statements
• Schedule of expenditures of federal awards and state financial assistance, if
applicable
Also, the document we submit to you will include the following other additional information
that will not be subjected to the auditing procedures applied in our audit of the financial
statements. Management of the City is responsible for the other information included in
the annual report. Our opinions on the basic financial statements do not cover the other
information listed below, and we do not express an opinion or any form of assurance
thereon:
•
City of Boynton Beach Purchasing Division
• Introductory Section
• Statistical Section
It is our understanding that our auditors' report will be included in your annual report which
is comprised of the annual comprehensive financial report (ACFR) and that this annual
report will be issued by within nine (9) months after fiscal year end.
Audit of the Financial Statements
We will conduct our audits in accordance GAAS, the standards applicable to financial
audits contained in Government Auditing Standards, issued by the Comptroller General
of the United States of America; and the audit requirements of Title 2 U.S. Code of Federal
Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and
Audit Requirements for Federal Awards (Uniform Guidance) and in accordance with
Chapter 10.550, Rules of the Auditor General. As part of an audit of financial statements
in accordance with GAAS, Government Auditing Standards, and Chapter 10.550, Rules
of the Auditor General, we exercise professional judgment and maintain professional
skepticism throughout the audit. We also:
• Identify and assess the risks of material misstatement of the financial statements,
whether due to fraud or error, design and perform audit procedures responsive to
those risks, and obtain audit evidence that is sufficient and appropriate to provide a
basis for our opinion. The risk of not detecting a material misstatement resulting from
fraud is higher than for one resulting from error, as fraud may involve collusion,
forgery, intentional omissions, misrepresentations, or the override of internal control.
• Obtain an understanding of internal control relevant to the audit in order to design
audit procedures that are appropriate in the circumstances, but not for the purpose of
expressing an opinion on the effectiveness of the entity's internal control. However,
we will communicate to you in writing concerning any significant deficiencies or
material weaknesses in internal control relevant to the audit of the financial statements
that we have identified during the audit.
• Evaluate the appropriateness of accounting policies used and the reasonableness of
significant accounting estimates made by management, as well as evaluate the
overall presentation of the financial statements, including the disclosures, and
whether the financial statements represent the underlying transactions and events in
a manner that achieves fair presentation.
• Conclude, based on the audit evidence obtained, whether there are conditions or
events, considered in the aggregate, that raise substantial doubt about the Client's
ability to continue as a going concern for a reasonable period of time.
Because of the inherent limitations of an audit, together with the inherent limitations of
internal control, an unavoidable risk that some material misstatements or noncompliance
may not be detected exists, even though the audit is properly planned and performed in
accordance with GAAS, Government Auditing Standards of the Comptroller General of
the United States of America and in accordance with Chapter 10.550, Rules of the Auditor
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City of Boynton Beach Purchasing Division
General. Please note that the determination of abuse is subjective and Government
Auditing Standards does not require auditors to detect abuse.
Our responsibility as auditors is limited to the period covered by our audit and does not
extend to any other periods.
We will issue a written report upon completion of our audit of the City's basic financial
statements. Our report will be addressed to the governing body of the City. Circumstances
may arise in which our report may differ from its expected form and content based on the
results of our audit. Depending on the nature of these circumstances, it may be necessary
for us to modify our opinions, add an emphasis-of-matter or other-matter paragraph(s) to
our auditors' report, or if necessary, withdraw from the engagement. If our opinions on
the basic financial statements are other than unmodified, we will discuss the reasons with
you in advance. If, for any reason, we are unable to complete the audit or are unable to
form or have not formed opinions, we may decline to express opinions or to issue a report
as a result of this engagement.
In accordance with the requirements of Government Auditing Standards, we will also
issue a written report describing the scope of our testing over internal control over
financial reporting and over compliance with laws, regulations, and provisions of grants
and contracts, including the results of that testing. However, providing an opinion on
internal control and compliance over financial reporting will not be an objective of the audit
and, therefore, no such opinion will be expressed.
In addition, if the auditing thresholds are met, we will audit the City's compliance over
major federal award and state programs for the fiscal years ended September 30, 2024
through September 30, 2028. Our audit will be conducted with the objectives of our
expressing an and an opinion on compliance regarding the entity's major federal and state
awards.
The objectives of our compliance audit is to obtain sufficient appropriate audit evidence
to form an opinion and report at the level specified in the governmental audit requirement
about whether the entity complied in all material respects with the applicable compliance
requirements and identify audit and reporting requirements specified in the governmental
audit requirement that are supplementary to GAAS and Government Auditing Standards,
if any, and perform procedures to address those requirements.
Audit of Major Program Compliance
If auditing thresholds are met, our audit of the City's major federal and state award
programs compliance will be conducted in accordance with the requirements of the
Florida Single Audit Act, as amended; and the Uniform Guidance, and will include tests
of accounting records, a determination of major programs in accordance with the Uniform
Guidance, Florida Single Audit Act and other procedures we consider necessary to
enable us to express such an opinion on major federal and state award program
compliance and to render the required reports. We cannot provide assurance that an
unmodified opinion on compliance will be expressed. Circumstances may arise in which
it is necessary for us to modify our opinion or withdraw from the engagement.
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City of Boynton Beach Purchasing Division
The Uniform Guidance and the Florida Single Audit Act requires that we also plan and
perform the audit to obtain reasonable assurance about whether material noncompliance
with applicable laws and regulations, the provisions of contracts and grant agreements
applicable to major federal and state award programs, and the applicable compliance
requirements occurred, whether due to fraud or error, and express an opinion on the
entity's compliance based on the audit. Reasonable assurance is a high level of
assurance but is not absolute assurance and therefore is not a guarantee that an audit
conducted in accordance with GAAS, Government Auditing Standards, the Uniform
Guidance, and Florida Single Audit Act, will always detect material noncompliance when
it exists. The risk of not detecting material noncompliance resulting from fraud is higher
than for that resulting from error, as fraud may involve collusion, forgery, intentional
omissions, misrepresentations, or the override of internal control. Noncompliance with the
compliance requirements is considered material if there is a substantial likelihood that,
individually or in the aggregate, it would influence the judgment made by a reasonable
user of the report on compliance about the entity's compliance with the requirements of
the federal and state programs as a whole.
As part of a compliance audit in accordance with GAAS, Government Auditing Standards,
and the Florida Single Audit Act, we exercise professional judgment and maintain
professional skepticism throughout the audit. We also identify and assess the risks of
material noncompliance, whether due to fraud or error, and design and perform audit
procedures responsive to those risks.
Our procedures will consist of determining major federal and state programs and,
performing the applicable procedures described in the U.S. Office of Management and
Budget OMB Compliance Supplement for the types of compliance requirements that
could have a direct and material effect on each of the entity's major programs, and
performing such other procedures as we considers necessary in the circumstances. The
purpose of those procedures will be to express an opinion on the entity's compliance with
requirements applicable to each of its major programs in our report on compliance issued
pursuant to the Uniform Guidance and Florida Single Audit Act.
Also, as required by the Uniform Guidance and Florida Single Audit Act, we will obtain an
understanding of the entity's internal control over compliance relevant to the audit in order
to design and perform tests of controls to evaluate the effectiveness of the design and
operation of controls that we consider relevant to preventing or detecting material
noncompliance with compliance requirements applicable to each of the entity's major
federal and state award programs. Our tests will be less in scope than would be necessary
to render an opinion on these controls and, accordingly, no opinion will be expressed in
our report. However, we will communicate to you, regarding, among other matters, the
planned scope and timing of the audit and any significant deficiencies and material
weaknesses in internal control over compliance that we have identified during the audit.
We will issue a report on compliance that will include an opinion or disclaimer of opinion
regarding the entity's major federal and state award programs, and a report on internal
controls over compliance that will report any significant deficiencies and material
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weaknesses identified; however, such report will not express an opinion on internal
control.
Significant Risks
AU-C Section 260, prescribed by the American Institute of Certified Public Accountants,
is a comprehensive guide for the auditor's communication with those charged with
governance. AU-C Section 260 points out that communicating significant risks, including
fraud risks, helps those charged with governance understand those matters and better
allows them to perform their oversight duties with regard to the financial reporting process.
We have identified the following significant risks of material misstatement as part of our
audit planning, and are available to discuss these with you during the course of our audit:
• Management override of internal controls.
• Improper revenue recognition.
Management's Responsibilities
Our audit will be conducted on the basis that management and, when appropriate, those
charged with governance acknowledge and understand that they have responsibility:
1. For the preparation and fair presentation of the financial statements in accordance
with accounting principles generally accepted in the United States of America;
2. For the design, implementation, and maintenance of internal control relevant to the
preparation and fair presentation of financial statements that are free from material
misstatement, whether due to fraud or error;
3. For identifying, in its accounts, all federal awards and state received and expended
during the period and the federal and state programs under which they were
received;
4. For maintaining records that adequately identify the source and application of
funds for federally funded activities;
5. For preparing the schedule of expenditures of federal and state awards (including
notes and noncash assistance received) in accordance with the Uniform Guidance
and Florida Single Audit Act;
6. For designing, implementing, and maintaining effective internal control over federal
awards that provides reasonable assurance that the entity is managing federal
awards in compliance with federal statutes, regulations, and the terms and
conditions of the federal awards;
7. For identifying and ensuring that the entity complies with federal laws, statutes,
regulations, rules, provisions of contracts or grant agreements, and the terms and
conditions of federal and state award programs, and implementing systems
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designed to achieve compliance with applicable federal and state statutes,
regulations, and the terms and conditions of federal award and state programs;
8. For disclosing accurately, currently, and completely the financial results of each
federal award and state in accordance with the requirements of the award;
9. For identifying and providing report copies of previous audits, attestation
engagements, or other studies that directly relate to the objectives of the audit,
including whether related recommendations have been implemented;
10.For taking prompt action when instances of noncompliance are identified;
11. For addressing the findings and recommendations of auditors, for establishing and
maintaining a process to track the status of such findings and recommendations
and taking corrective action on reported audit findings from prior periods and
preparing a summary schedule of prior audit findings;
12.For following up and taking corrective action on current year audit findings and
preparing a corrective action plan for such findings;
13.For submitting the reporting package and data collection form to the appropriate
parties;
14.For making the auditor aware of any significant contractor relationships where the
contractor is responsible for program compliance;
15.To provide us with:
a. Access to all information of which management is aware that is relevant to
the preparation and fair presentation of the financial statements including the
disclosures, and relevant to federal and state award programs, such as
records, documentation, and other matters;
b. Additional information that we may request from management for the
purpose of the audit;
c. Unrestricted access to persons within the entity and others from whom we
determine it necessary to obtain audit evidence;
d. A written acknowledgement of all the documents that management expects to
issue that will be included in the annual report and the planned timing and
method of issuance of that annual report; and
e. A final version of the annual report (including all the documents that, together,
comprise the annual report) in a timely manner prior to the date of the auditors'
report.
16.For adjusting the financial statements to correct material misstatements and
confirming to us in the management representation letter that the effects of any
uncorrected misstatements aggregated by us during the current engagement and
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City of Boynton Beach Purchasing Division
pertaining to the current year period(s) under audit are immaterial, both individually
and in the aggregate, to the financial statements as a whole;
17.For acceptance of non-attest services, including identifying the proper party to
oversee non-attest work;
18.For maintaining adequate records, selecting and applying accounting principles,
and safeguarding assets;
19. For informing us of any known or suspected fraud affecting the entity involving
management, employees with significant role in internal control and others where
fraud could have a material effect on compliance;
20.For the accuracy and completeness of all information provided;
21.For taking reasonable measures to safeguard protected personally identifiable and
other sensitive information; and
22.For confirming your understanding of your responsibilities as defined in this letter
to us in your management representation letter.
With regard to the schedule of expenditures of federal awards and state financial
assistance, you acknowledge and understand your responsibility (a) for the preparation
of the schedule of expenditures of federal awards and state financial assistance in
accordance with the Uniform Guidance and Florida Single Audit Act, (b)to provide us with
the appropriate written representations regarding the schedule of expenditures of federal
awards and state financial assistance, (c) to include our report on the schedule of
expenditures of federal awards and state financial assistance in any document that
contains the schedule of expenditures of federal awards and state financial assistance
and that indicates that we have reported on such schedule, and (d) to present the
schedule of expenditures of federal awards and state financial assistance with the audited
financial statements, or if the schedule will not be presented with the audited financial
statements, to make the audited financial statements readily available to the intended
users of the schedule of expenditures of federal awards and state financial assistance no
later than the date of issuance by you of the schedule and our report thereon.
As part of our audit process, we will request from management and, when appropriate,
those charged with governance, written confirmation concerning representations made to
us in connection with the audit.
We understand that your employees will prepare all confirmations we request and will
locate any documents or invoices selected by us for testing.
Professional standards prohibit us from being the sole host and/or the sole storage for
your financial and non-financial data. As such, it is your responsibility to maintain your
original data and records and we cannot be responsible to maintain such original
information. If you are missing any documents or workpapers from our prior years'
engagements (if applicable), it is your responsibility to inform us. By signing this
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Purchasing Division
engagement letter, you affirm that you have all the data and records required to make
your books and records complete.
You agree to inform us of facts that may affect the financial statements of which you may
become aware during the period from the date of the auditors' report to the date the
financial statements are issued.
Schedule of Expenditures of Federal Awards and State Financial Assistance
We will subject the schedule of expenditures of federal awards and state financial
assistance to the auditing procedures applied in our audit of the basic financial statements
and certain additional procedures, including comparing and reconciling the schedule to
the underlying accounting and other records used to prepare the financial statements or
to the financial statements themselves, and additional procedures in accordance with
auditing standards generally accepted in the United States of America. We intend to
provide an opinion on whether the schedule of expenditures of federal awards and state
financial assistance is presented fairly in all material respects in relation to the financial
statements as a whole.
Data Collection Form
Prior to the completion of our engagement, we will complete the sections of the Data
Collection Form that are our responsibility. The form will summarize our audit findings,
amounts and conclusions. It is management's responsibility to submit a reporting package
including financial statements, schedule of expenditure of federal awards, summary
schedule of prior audit findings and corrective action plan along with the Data Collection
Form to the federal audit clearinghouse. The financial reporting package must be text
searchable, unencrypted, and unlocked. Otherwise, the reporting package will not be
accepted by the federal audit clearinghouse. We will assist you in the electronic
submission and certification. You may request from us copies of our report for you to
include with the reporting package submitted to pass-through entities.
Per federal requirements, the Data Collection Form is required to be submitted within the
earlier of 30 days after receipt of our auditors' reports or nine months after the end of the
audit period, unless specifically waived by a federal cognizant or oversight agency for
audits. Data Collection Forms submitted untimely are one of the factors in assessing
programs at a higher risk.
Group Audit Considerations
Our audit will be a group audit as defined by AU-C Section 600. We have identified the
Boynton Beach Community Redevelopment Agency, the City of Boynton Beach General
Employees' Pension Fund, the City of Boynton Beach Police Officers' Pension Fund, and
the City of Boynton Beach Firefighters' Pension Fund, as components of our group audit.
Our report will not include the results of the other auditors' testing of internal control over
financial reporting or compliance and other matters that are reported separately by those
auditors. Those financial statements will be audited by other auditors whose reports will
City of Boynton Beach Purchasing Division
be furnished to us, and our opinions, insofar as they relate to the component units will be
based solely on the reports of the other auditors.
Communication with Those Charged with Governance
At the conclusion of our audit engagement, we will communicate to those charged with
governance the following significant findings from the audit:
• Our view about the qualitative aspects of the entity's significant accounting practices;
• Significant difficulties, if any, encountered during the audit;
• Uncorrected misstatements, other than those we believe are trivial, if any;
• Disagreements with management, if any;
• Other findings or issues, if any, arising from the audit that are, in our professional
judgment, significant and relevant to those charged with governance regarding their
oversight of the financial reporting process;
• Material, corrected misstatements that were brought to the attention of management
as a result of our audit procedures;
• Representations we requested from management;
• Management's consultations with other accountants, if any; and
• Significant issues, if any, arising from the audit that were discussed, or the subject of
correspondence, with management.
Auditors' Report and Reproduction
We will issue a written report upon completion of our audit of the City's financial
statements. Our report will be addressed to those charged with governance.
Circumstances may arise in which our report may differ from its expected form and
content based on the results of our audit. Depending on the nature of these
circumstances, it may be necessary for us to modify our opinion, add an emphasis-of-
matter or other-matter paragraph(s) to our auditors' report. If for any reason, we are
unable to complete the audit or we are unable to form or have not formed an opinion, we
may decline to express an opinion or decline to issue a report as a result of the
engagement. If, in our professional judgment, the circumstances require us to do so, we
may resign from the engagement prior to completion.
Except to the extent prohibited by law, if you intend to publish or otherwise reproduce the
financial statements and/or make reference to our Firm, you agree that the City's
management will provide us with a draft for our review and approval before disclosure,
inclusion or incorporation by reference of any of our reports or the reference to CBIZ
CPAs before such document or information is published, printed or distributed. You also
agree to provide us with the final reproduced material for our approval before it is
distributed. In addition, to avoid unnecessary delay or misunderstanding, you agree to
provide us timely notice of your intention to issue any such document. Notwithstanding
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City of Boynton Beach `�»•` Purchasing Division
the foregoing, you may distribute the financial statements "as is," without our written
consent; provided such financial statements are not inserted in any other document or
are not altered or revised in any manner, including without limitation, the alteration,
addition or removal of data or information to or from such financial statements.
With regard to the electronic dissemination of the City's financial statements, including
financial statements published electronically on the City's website, we are not required to
read the information contained in those sites or to consider the consistency of other
information in the electronic site with the original document. However, you agree that,
except to the extent prohibited by law, you will notify CBIZ CPAs and obtain our approval
prior to including any of our reports on any electronic site.
Assistance By Your Personnel
We will ask that your personnel, to the extent possible, prepare required schedules and
analyses, and make selected invoices and other required documents available to our
staff. This assistance by your personnel will serve to facilitate the progress of our work
and minimize our time requirements.
You agree to inform us as soon as possible, but no later than the effective date of change,
of any changes to the organization structure as a result of a sale, merger, acquisition
transfer or other disposition, reorganization or transaction, and any changes to individuals
in directors, officers and financial reporting oversight roles. Note that in order to ensure
CBIZ CPAs maintains independence with respect any new entities or individuals
associated with the City, you should provide information of the upcoming change as early
as possible in the process.
You acknowledge that the City's confidential information may be transmitted to us through
an information portal or delivery system established by us or on our behalf. You shall
notify us in writing of your employees, representatives, or other agents to be provided
access to such portal or system; upon the termination of such status, you shall
immediately notify us in writing.
Background Checks
As a matter of our Firm policy, we perform background checks on potential clients and/or
on existing clients, on an as-determined basis. The terms and conditions of this
engagement are expressly contingent upon the satisfactory completion of our
investigatory procedures and we reserve the right to withdraw from any relationship
should information which we deem to be adverse come to our attention. The results of
all background checks and other investigatory procedures are submitted to, and reviewed
by, our firm's Client Acceptance Committee.
Independence
Professional standards require that a firm and its members maintain independence
throughout the duration of the professional relationship with a client. CBIZ CPAs will
periodically reevaluate the Firm's independence as part of our customary client
continuance process or more frequently, should circumstances arise that may require us
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City of Boynton Beach Purchasing Division
to investigate whether CBIZ CPAs' independence may have been impaired in which case
CBIZ CPAs may terminate and resign from this engagement in our sole and absolute
discretion. You agree to promptly advise us of any matters or changes in circumstances
that could affect our independence or give rise to conflicts including, changes in senior
management or the Elected Body, or entities that may have preexisting relationships with
CBIZ CPAs or conflicts that could affect our independence.
Also, in order to preserve the integrity of our relationship, no offer of employment shall be
discussed with any CBIZ CPAs professionals assigned to the audit, including within the
one-year period prior to the commencement of the year-end audit, and through the date
of issuance of our audit report. Pursuant to professional standards, should such an offer
of employment be made, or employment commences during the indicated time period,
we will consider this an indication that our independence has been compromised. As
such, we may be required to recall our auditors' report due to our lack of independence.
In the event additional work is required to satisfy independence requirements, such work
will be billed at our standard hourly rates.
Access to Working Papers; Confidentiality
CBIZ CPAs is periodically required to undergo inspection processes in accordance with
legal, regulatory, professional and/or administrative bodies or authorities. During the
course of these processes, selected working papers and financial reports, on a sample
basis, will be inspected by an outside party on a confidential basis. Consequently, the
accounting work we performed for you may be selected. Your signature below represents
your acknowledgement and permission to allow such access should your engagement be
selected for review. The City acknowledges and agrees that CBIZ CPAs may disclose
confidential information as permitted herein, as requested or directed by you or consistent
with applicable law, rule, regulation, professional standards or guidelines or in connection
with or to respond to its professional obligations. You authorize CBIZ CPAs to participate
in discussions with and to disclose your information to your agents, representatives,
administrators or professional advisors (including accountants, attorneys, financial and
other professional advisors), their respective officers, directors or employees, and other
parties as you may direct.
Notwithstanding any other provision of this agreement, CBIZ CPAs and the CBIZ CPAs
subcontractors (defined below) may use confidential information received hereunder, to
develop, enhance, modify and improve technologies, tools, methodologies, services and
offerings, and/or for development or performance of data analysis or other insight
generation. Information developed in connection with these purposes may be used or
disclosed to you or current or prospective clients to provide them services or offerings.
CBIZ CPAs and the CBIZ CPAs subcontractors will not use or disclose confidential
information in a way that would permit you to be identified by third parties without your
consent. The foregoing consents are valid until further notice by you.
As a result of our prior or future services to you, we may be required or requested to
provide information or documents to you or a third-party in connection with a legal or
administrative proceeding (including a grand jury investigation) in which we are not a
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City of Boynton Beach Purchasing Division
party. If this occurs, we shall be entitled to compensation for our time and reimbursement
for our reasonable out-of-pocket expenditures (including legal fees) in complying with
such request or demand. This is not intended, however, to relieve us of our duty to
observe the confidentiality requirements of our profession.
Nothing in this letter is intended to limit your rights and obligations pursuant to the Florida
"Sunshine Law", Florida Statute 286.011.
The audit documentation and working papers prepared in conjunction with our
engagement are the property of CBIZ CPAs and constitute confidential information.
These working papers will be retained by us in accordance with applicable laws and with
our Firm's policies and procedures. However, we may be required, by law or regulation,
to make certain working papers available to regulatory authorities, federal agencies
and/or the U.S. Government Accountability Office, for their review, and upon request, we
may be required to provide such authorities with photocopies of selected working papers.
If requested, access to such audit documentation will be provided under the supervision
of CBIZ CPAs' personnel. The regulators and agencies may intend, or decide, to
distribute the copies of information contained therein to others, including other
governmental agencies. We agree to retain our audit documentation or work papers for
a period of at least seven (7) years from the date of our report.
Regarding the application of Chapter 119 (Public Records), Florida Statutes, the
Custodian of public records for this contract is:
City Clerk
City of Boynton Beach
100 E. Ocean Avenue, Boynton Beach, FL 33435
(561) 742-6060
Third-Party Service Providers
CBIZ CPAs may use or subcontract the services to its affiliates, subsidiaries, CBIZ CPAs
related parties and/or third parties, including contractors, subcontractors and cloud-based
service providers, in each case within or outside of the United States (each, a
"subcontractor") in connection with the provision of services and/or for internal,
administrative and/or regulatory compliance purposes. You agree that CBIZ CPAs may
provide confidential and other information CBIZ CPAs receives in connection with this
agreement to subcontractors for such purposes. CBIZ CPAs maintains internal policies,
procedures and safeguards to protect the confidentiality of your information and CBIZ
CPAs will remain responsible to you for the protection of such information and services
performed by such subcontractors as provided herein.
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City of Boynton Beach Purchasing Division
Termination
CBIZ CPAs' engagement ends on the earlier of termination or resignation (including
without limitation, our declining to issue a report or other work product) or CBIZ CPAs'
delivery of its report. We acknowledge your right to terminate our services at any time,
and you acknowledge our right to terminate our services and this agreement and resign
at any time in our sole and absolute discretion, subject in either case to our right to
payment for all direct and indirect charges including out-of-pocket expenses incurred
through the date of termination or resignation or thereafter as circumstances and this
agreement may require, plus applicable interest, costs, fees and attorneys' fees. All terms
which by their nature are reasonably intended to survive will survive termination,
resignation or expiration.
Dispute Resolution Procedure, Waiver of Jury Trial and Jurisdiction and Venue for Any
and All Disputes Under This Engagement Letter and Governing Law
AS A MATERIAL INDUCEMENT FOR US TO ACCEPT THIS ENGAGEMENT AND/OR
RENDER THE SERVICES TO THE CITY OF BOYNTON BEACH IN ACCORDANCE
WITH THE PROVISIONS OF THIS ENGAGEMENT LETTER:
The Firm and the Client each hereby knowingly, voluntarily and intentionally waive any
right either may have to a trial by jury with respect to any litigation based hereon, or arising
out of, under or in connection with this engagement letter and/or the services provided
hereunder, or any course of conduct, course of dealing, statements (whether verbal or
written) or actions of either party.
In any litigation brought by either the Firm or the Client, the prevailing party shall be
entitled to an award of its reasonable attorneys' fees and costs incurred, including through
all appeals.
Limitation of Liability
You agree that our liability arising from or relating to our services shall not exceed the
total amount paid by you for the services described herein. This shall be your exclusive
remedy.
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City of Boynton Beach Purchasing Division
No action, regardless of form, arising out of the services under this agreement may be
brought by you more than one year after the date the last services are provided under
this agreement.
The Client hereby indemnifies CBIZ CPAs and its shareholders, principals, and
employees, and holds them harmless from all claims, liabilities, losses and costs arising
in circumstances where there has been a known misrepresentation by a member of the
Client's management, regardless of whether such person was acting in the Client's
interest. This indemnification will survive completion or termination of this agreement.
Non-Attest Services
We will not assume management responsibilities on behalf of the City. However, we will
provide advice and recommendations to assist management of the City in performing its
responsibilities.
The City's management is responsible for (a) making all management decisions and
performing all management functions; (b) assigning a competent individual to oversee the
services; (c) evaluating the adequacy of the services performed; (d) evaluating and
accepting responsibility for the results of the services performed; and (e) establishing and
maintaining internal controls, including monitoring ongoing activities.
We are prohibited by professional standards from preparing source documents and
authorizing or approving transactions. Accordingly, management must determine and
approve all transactions including appropriate account classifications. As part of our
engagement, we may propose standard, adjusting or correcting journal entries to the
financial statements. You are responsible for reviewing the entries and understanding
the nature of any proposed entries and the impact they have on the financial statements.
The services cannot be relied on to detect errors, fraud or illegal acts that may exist.
However, we will inform you of any material errors, fraud or illegal acts that come to our
attention, unless they are clearly inconsequential. In addition, we have no responsibility
to identify and communicate significant deficiencies or material weaknesses in the City's
internal control as part of a non-attest/non-audit service engagement.
We will perform the following services that are considered non-attest services:
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City of Boynton Beach ��.•• Purchasing Division
• Assistance with the preparation of the financial statements.
• Preparation of the Data Collection Form (DCF)
Our responsibilities and limitations of the non-attest services are as follows:
• We will perform the services in accordance with applicable
professional standards.
• The non-attest services are limited to the services previously
outlined. Our firm, in its sole professional judgment, reserves the
right to refuse to do any procedure or take any action that could be
construed as making management decisions or assuming
management responsibilities, including determining account coding
and approving journal entries.
• These nonaudit services do not constitute an audit under
Government Auditing Standards and such services will not be
conducted in accordance with Government Auditing Standards.
Other Services
We are always available to meet with you and/or other executives at various times
throughout the year to discuss current business, operational, accounting and auditing
matters affecting the City. Whenever you feel such meetings are desirable please let us
know; we are prepared to provide services to assist you in any of these areas. We will
also be pleased, at your request, to attend the meetings of the City.
During the course of this engagement, CBIZ CPAs may offer certain value-added
resources to the City, including without limitation, local and national educational webinars
and events, subscription to CBIZ CPAs thought leadership publications such as industry
and insights newsletters, industry surveys and trend analysis, and academic reports into
the prevailing economic outlook. The use, receipt of, and payment for (where applicable)
these resources will be subject to the mutual agreement of CBIZ CPAs and the City. The
City confirms that the use and receipt of these resources, as applicable, is approved by
those charged with governance.
You acknowledge that you are responsible for the actions of your current and former
employees, representatives, or other agents in connection with the transmission of your
ro
City of Boynton Beach Purchasing Division
information. During the course of the engagement, we may communicate with you or your
personnel via fax or e-mail, and you understand that communication in those mediums
involves a risk of misdirected or intercepted communications.
CBIZ CPAs shall be obligated only for the services or work specified in this agreement.
Any other services that may be required or requested by City will be agreed upon by the
parties in a separate, new specific engagement letter for such service or work.
218.415, Florida Statutes, Local Government Investment Policies
We will perform, in accordance with Chapter 10.550, Rules of the Auditor General of the
State of Florida, an examination pursuant to AICPA Professional Standards, promulgated
by the American Institute of Certified Public Accountants regarding the compliance of the
City with 218.415, Florida Statutes, Local Government Investment Policies. There is no
additional cost for this service.
Because of the inherent limitations of an examination engagement, together with the
inherent limitations of internal control, an unavoidable risk exists that some material
misstatements may not be detected, even though the examination is properly planned
and performed in accordance with the attestation standards.
At the conclusion of the examination engagement, you agree to provide us with certain
written representations in the form of a representation letter.
Fees
Our fees will be based on the services to be provided hereunder, the timeliness and
completeness of the information and documentation provided to us, firm technology, firm
processes, and time required of personnel at our standard hourly rates. Our hourly rates
vary according to the level of the personnel assigned to your audit. Fees for this
engagement are noted on Appendix B.
%64,.
V
City of Boynton Beach Purchasing Division
Our invoices for these fees will be rendered as the work progresses, and are due and
payable upon presentation. In the event that you dispute any of the fees or expenses on
a specific invoice, you agree to notify us within twenty (20) days of receipt of the invoice
of such dispute. If you fail to notify us within the twenty (20) day period, your right to
dispute such invoice will be waived. Prior to the commencement of the services described
above, any past due balances are required to be paid in full. In accordance with our Firm
policies, should any invoice remain unpaid for more than thirty (30) days, we reserve the
right to defer providing any additional services until all outstanding invoices are paid in
full. Invoice amounts due past sixty (60) days will incur a finance charge of 1% per
month. Nothing herein shall be construed as extending the due date of payments required
under this agreement, and you agree that we are not responsible for the impact on the
City of any delay that results from such non-payment by you.
Agreement
This letter comprises the complete and exclusive statement of the agreement between
the parties, superseding all proposals oral or written and all other communications
between the parties. If it is determined that any provision of this letter is unenforceable,
all other provisions shall remain in full force and effect. This letter comprises the complete
and exclusive statement of the agreement between the parties, superseding all proposals
oral or written and all other communications between the parties. The City may not assign
or transfer this agreement, or any rights, licenses, obligations, claims or proceeds from
claims arising out of or in any way relating to this agreement, any services provided
hereunder, or any fees for services to anyone, by operation of law or otherwise without
CBIZ CPAs' prior written consent and any assignment without consent shall be void and
invalid. CBIZ CPAs may assign this agreement, including all the rights and benefits
hereunder, to any affiliate or acquirer of or successor to its business, or purchaser of all
or substantially all of its assets, stock or interests or in the event of a reorganization or
restructuring, and by your signature hereto, you consent to such assignment and the
transfer of the City's files and information.
It is hereby understood and agreed that this engagement is being undertaken solely for
the benefit of the Client and that no other person or entity shall be authorized to enforce
the terms of this engagement. The undersigned represents and warrants that it has the
requisite authority and consents to enter into and perform this Agreement and the
obligations herein for and on behalf of the City.
By executing this Agreement, you confirm, represent and warrant that (i) no person who
is the target of sanctions imposed by the United States, European Union, or United
Kingdom owns, directly or indirectly, 5% or more of any type of stock or other ownership
0016
City of Boynton Beach Purchasing Division
interest of the Company and (ii) the Company is not, and does not have subsidiaries that
are, located or organized under the laws of Russia, and CBIZ CPAs' Services are not
performed for the benefit or use of or reliance on by any of the foregoing.
City of Boynton Beach - Purchasing Division
If you agree with the terms of our engagement, as described in this letter, please
sign this PDF version of the engagement letter and return it to us by email and we
will send you a fully executed copy.
Moises D. Ariza, CPA, CGMA is the Shareholder and is responsible for
supervising the engagement and signing the report or authorizing another
individual to sign it.
In accordance with the requirements of Government Auditing Standards, our
latest external peer review report of our Firm is available upon request.
Very truly yours,
CBIZ CPAs P.C.
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Moises D. Ariza, CPA, CGMA
Shareholder
City of Boynton Beach Purchasing Division
ACCEPTED
This letter correctly sets forth the agreement of City of Boynton Beach, Florida
Authorized signature: -11 ' -ammb !7///2(.. Zy
Name: Ty ?cr -gam
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CITY ATTORNEY'S OFFICE
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Cit of Boynton Beach 0y
City y e Purchasing Division
APPENDIX A
City of Boynton Beach, Florida
Circumstances Affecting Timing and Fee Estimate
The estimated fee is based on certain assumptions. Circumstances may arise during
the engagement that may significantly affect the targeted completion dates and our
fee estimate. As a result, additional fees may be necessary. Such circumstances
include but are not limited to the following:
1. Changes to the timing of the engagement at your request. Changes to the
timing of the engagement usually require reassignment of personnel used by
CBIZ CPAs in the performance of services hereunder. However, because it is
often difficult to reassign individuals to other engagements, CBIZ CPAs may
incur significant unanticipated costs.
2. All requested schedules are not (a) provided by the accounting personnel on
the date requested, (b) completed in a format acceptable to CBIZ CPAs (c)
mathematically correct, or (d) in agreement with the appropriate underlying
records (e.g., general ledger accounts). CBIZ CPAs will provide the accounting
personnel with a separate listing of required schedules and deadlines.
3. Weaknesses in the internal control structure.
4. Significant new issues or unforeseen circumstances as follows:
a. New accounting issues that require an unusual amount of time to
resolve.
b. Changes or transactions that occur prior to the issuance of our report.
c. Changes in the City's accounting personnel, their responsibilities, or
their availability.
d. Changes in auditing requirements set by regulators.
5. Significant delays in the accounting personnel's assistance in the engagement
or delays by them in reconciling variances as requested by CBIZ CPAs. All
invoices, contracts and other documents which we will identify for the City, are
not located by the accounting personnel or made ready for our easy access.
6. A significant level of proposed audit adjustments are identified during our
audit.
7. Changes in audit scope caused by events that are beyond our control.
8. Untimely payment of our invoices as they are rendered.
City of Boynton Beach Purchasing Division
APPENDIX B
ANNUAL PRICE FOR AUDIT SERVICES
Proposers should use this form for submitting its Fee Proposal.The following pncing is submitted
as-all inclusive`to provide financial advisory,services in accordance with the requirements
identified in this Scope of Work and as set forth in this RFP document
'The grand total price will be used to calculate the number of points using the formula described in SECTION IV—
EVALUATION OF PROPOSALS.
Audit Estimated Fee Estimated Fee Estimated Fee Estimated Fee Estimated Fee Grand Total
2024-2025 2025-2026 2026-2027 2027-2028 2028-2029
Financial Statement Aud: $130.000.0000 $132,000.0000 $134,000.0000 $136.000.0000 $136.000.0000 $670.000.00
Federal and state single audits 50.0000 $0.0000 $0.0000 $00000 $0.0000 $0.00
Subtotal: $670,000.00
Schedule of Professional Hourly Fees for Auditing Services
Proposers should use this form for submitting its Fee Proposal The following pricing is submitted
as'all inclusive-to provide financial advisory services in accordance with the requirements
identified in this Scope of Work and as set forth in this RFP document.
r We will not be submitting for Schedule of Professional Hourly Fees for Auditing Services
Line Item AUDIT STAFF POSRION Hourly Rates Comments
1 Partners $400.0000
2 Managers 3300.0000
3 Supervisory Staff 5200.0000
4 Staff $150.0000
5 Other $375D000 Duality Cont% Director
(specify in comments)
Summary Table
Bid Fonn Amount
ANNUAL PRICE FOR AUDIT SERVICES $670.000.00
Subtotal Contract Arnoutt: $670.000.00
Bid Number FIN25-001R Vendor Name Marcum LLP
City of Boynton Beach •`" Purchasing Division
EXHIBIT C
FEE SCHEDULE
ANNUAL PRICE FOR AUDIT SERVICES
Proposers should use this fomi for submitting its Fee Proposal The following pricing is submitted
as"all inclusive`to provide financial advisory services in accordance with the requirements
identified in this Scope of Work and as set forth in this RFP document.
•The grand total price will be used to calculate the number of points using the formula described in SECTION IV—
EVALUATION OF PROPOSALS.
Audit Services Estimated Fee Estimated Fee Estimated Fee Estimated Fee Estimated Fee Grand Total
2024-2025 2025-2026 2026-2027 2027-2028 2028-2029
Financial Statement Audit S130,000.0000 $132,000.0000 $134,000.0000 $136.000.0000 $138.000.0000 $670,000.00
Federal and state single audits $0.0000 $0.0000 $0.0000 $0.0000 $0.0000 $0.00
Subtotal: $670.000.00
Schedule of Professional Hourly Fees for Auditing Services
Proposers should use this form for submitting its Fee Proposal.The following pricing is submitted
as"all inclusive"to provide financial advisory services in accordance with the requirements
identified in this Scope of Work and as set forth in this RFP document.
r We will not be submitting for Schedule of Professional Hourly Fees for Auditing Services
Lk*Item AUDIT STAFF POSITION Hourly Rates' Comments
1 Partners $400.0000
2 Managers $300.0000
3 Supervisory Staff $200.0000
4 Staff $150.0000
5 Other $375.0000 Ouaity Contra' Director
(specify in comments)
Summary Table
Bid Form ,Amount
ANNUAL PRICE FOR AUDIT SERVICES $670.000.00
Subtotal Contract Amount: $670,000.00
Bid Number FIN25-001 R Vendor Name: Marcum LLP
� 'Cit of Boynton Beach
Purchasing Division
City of Boynton Beach
Risk Management
INSURANCE ADVISORY FORM
Under the terms and conditions of all contracts, leases, and agreements, the City requires appropriate coverages listing the City of
Boynton Beach as Additional Insured. This is done by providing a Certificate of Insurance listing the City as "Certificate Holder"and"The
City of Boynton Beach is Additional Insured as respect to coverages noted." Insurance companies providing insurance coverages must
have a current rating by A.M. Best Co.of"B+"or higher. (NOTE:An insurance contract or binder may be accepted as proof of insurance
if Certificate is provided upon selection of vendor.) Thefollowing is a list of types of insurance required of contractors, lessees, etc., and
the limits required by the City: (NOTE: This list is not all inclusive, and the City reserves the right to require additional types
of insurance, or to raise orlower the stated limits, based upon identified risk.)
TYPE(Occurrence Based Only) MINIMUM LIMITS REQUIRED
General Liability General Aggregate $ 1,000,000.00
Commercial General Liability Products-Comp/Op Agg. $ 1,000,000.00
Owners &Contractor's Protective (OCP) Personal&Adv. Injury $ 1,000,000.00
Asbestos Abatement Each Occurrence $ 1,000,000.00
Lead Abatement Fire Damage(any one fire) $ 50,000.00
Broad Form Vendors Med. Expense(any one person) $ 5,000.00
Premises Operations
Underground Explosion&CollapseProducts Completed
Operations Contractual
Independent Contractors
Fire Legal Liability
Professional Liability Aggregate-$1,000,000.00
Automobile Liability Combined Single Limit $ 1,000,000.00
Any Auto
All Owned Autos
Hired Autos
Non-Owned Autos
Excess Liability Each Occurrence to be determined Property:
Umbrella Form Aggregate to be determined Revocable
Permit
Worker's Compensation Statutory Limits $
Employer's Liability Each Accident $ 1,000,000.00
Disease, Policy Limit $ 1,000,000.00
Disease Each Employee $ 1,000,000.00
300,000.00
Builder's Risk Limits based on Project Cost
Installation Floater Limits based on Project Cost
Other-As Risk Identified to be determined
Revised 04
CBIZ CPAs P.C.
iC B I Z CPAs 525 Okeechobee Boulevard
Suite 750
West Palm Beach, FL 33401
P.561.653.7300
November 22, 2024
City of Boynton Beach, Florida
Attn: Mr. Dan Dugger, City Manager and Mr. Peter V. Kajokas, Finance Director
100 E. Ocean Avenue
Boynton Beach, Florida 33435
You have requested that we audit the financial statements of the governmental activities, the
business-type activities, each major fund, and the aggregate remaining fund information of the
City of Boynton Beach, Florida("the City", "Client,""you"or"your"), as of September 30, 2024,
and for the fiscal year then ended, and the related notes to the financial statements, which
collectively comprise the City's basic financial statements as listed in the table of contents. We are
pleased to confirm our understanding of the terms and objectives of our engagement and the nature
and limitations of the services CBIZ CPAs P.C. ("CBIZ CPAs," the "Firm,""we," "us" or"our")
will provide for the fiscal years ended September 30, 2024 through September 30, 2028.
Our audit will be conducted with the objectives of our expressing an opinion on each opinion unit.
The objectives of our audit of the financial statements are to obtain reasonable assurance about
whether the financial statements as a whole are free from material misstatement, whether due to
fraud or error, and to issue an auditors' report that includes our opinion. The procedures selected
depend on the auditors'judgment, including the assessment of the risks of material misstatement
of the financial statements, whether due to error, fraudulent financial reporting, misappropriation
of assets, or violations of laws, governmental regulations, grant agreements, or contractual
agreements. Reasonable assurance is a high level of assurance but is not absolute assurance and
therefore is not a guarantee that an audit conducted in accordance with auditing standards generally
accepted in the United States of America (GAAS) and in accordance with Government Auditing
Standards will always detect a material misstatement when it exists. Misstatements, including
omissions, can arise from fraud or error and are considered material if there is a substantial
likelihood that, individually or in the aggregate, they would influence the judgment made by a
reasonable user based on the financial statements.
Accounting principles generally accepted in the United States of America, (U.S. GAAP,) as
promulgated by the Governmental Accounting Standards Board (GASB) require that
management's discussion and analysis (MD&A), the budgetary comparison schedules for the
General Fund and Boynton Beach CRA Special Revenue Fund, and various pension and other
post-employment benefits (OPEB) schedules, be presented to supplement the basic financial
statements. Such information, although not a part of the basic financial statements, is required by
the Governmental Accounting Standards Board,who considers it to be an essential part of financial
reporting for placing the basic financial statements in an appropriate operational, economic, or
historical context. As part of our engagement, we will apply certain limited procedures to the
required supplementary information (RSI) in accordance with auditing standards generally
In certain jurisdictions,CBIZ CPAs P.0 operates under its previous name,Mayer Hoffman McCann P.0 CBIZCPAS.COM
City of Boynton Beach, Florida
November 22, 2024
Page 2
accepted in the United States of America. These limited procedures will consist primarily of
inquiries of management regarding their methods of measurement and presentation, and
comparing the information for consistency with management's responses to our inquiries. We will
not express an opinion or provide any form of assurance on the RSI. The following RSI is required
by accounting principles generally accepted in the United States of America. This RSI will be
subjected to certain limited procedures but will not be audited:
• Management's Discussion and Analysis
• Budget Comparison Schedule—General Fund
• Budget Comparison Schedule—CRA Special Revenue Fund
• Pension Information (Schedule of Changes in Net Pension Liability (Asset) and Related
Ratios, Schedule of City Contributions, Schedule of Investment Returns)
• Other Postemployment Benefit(OPEB) Information (Schedule of Changes in the Total OPEB
Liability and Related Ratios)
Supplementary information other than RSI will accompany the City's basic financial statements.
We will subject the following supplementary information to the auditing procedures applied in our
audit of the basic financial statements and certain additional procedures, including comparing and
reconciling the supplementary information to the underlying accounting and other records used to
prepare the financial statements or to the financial statements themselves, and additional
procedures in accordance with auditing standards generally accepted in the United States of
America. We intend to provide an opinion on the following supplementary information in relation
to the financial statements as a whole:
• Combining and individual fund financial statements
• Schedule of expenditures of federal awards and state financial assistance, if applicable
Also, the document we submit to you will include the following other additional information that
will not be subjected to the auditing procedures applied in our audit of the financial statements.
Management of the City is responsible for the other information included in the annual report. Our
opinions on the basic financial statements do not cover the other information listed below, and we
do not express an opinion or any form of assurance thereon:
• Introductory Section
• Statistical Section
It is our understanding that our auditors' report will be included in your annual report which is
comprised of the annual comprehensive financial report (ACFR) and that this annual report will
be issued by within nine (9) months after fiscal year end.
Audit of the Financial Statements
We will conduct our audits in accordance GAAS, the standards applicable to financial audits
contained in Government Auditing Standards, issued by the Comptroller General of the United
States of America; and the audit requirements of Title 2 U.S. Code of Federal Regulations (CFR)
City of Boynton Beach, Florida
November 22, 2024
Page 3
Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for
Federal Awards(Uniform Guidance)and in accordance with Chapter 10.550,Rules of the Auditor
General. As part of an audit of financial statements in accordance with GAAS, Government
Auditing Standards, and Chapter 10.550, Rules of the Auditor General, we exercise professional
judgment and maintain professional skepticism throughout the audit. We also:
• Identify and assess the risks of material misstatement of the financial statements, whether due
to fraud or error, design and perform audit procedures responsive to those risks, and obtain
audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of
not detecting a material misstatement resulting from fraud is higher than for one resulting from
error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or
the override of internal control.
• Obtain an understanding of internal control relevant to the audit in order to design audit
procedures that are appropriate in the circumstances, but not for the purpose of expressing an
opinion on the effectiveness of the entity's internal control. However,we will communicate to
you in writing concerning any significant deficiencies or material weaknesses in internal
control relevant to the audit of the financial statements that we have identified during the audit.
• Evaluate the appropriateness of accounting policies used and the reasonableness of significant
accounting estimates made by management, as well as evaluate the overall presentation of the
financial statements, including the disclosures, and whether the financial statements represent
the underlying transactions and events in a manner that achieves fair presentation.
• Conclude, based on the audit evidence obtained, whether there are conditions or events,
considered in the aggregate, that raise substantial doubt about the Client's ability to continue
as a going concern for a reasonable period of time.
Because of the inherent limitations of an audit, together with the inherent limitations of internal
control, an unavoidable risk that some material misstatements or noncompliance may not be
detected exists, even though the audit is properly planned and performed in accordance with
GAAS, Government Auditing Standards of the Comptroller General of the United States of
America and in accordance with Chapter 10.550, Rules of the Auditor General. Please note that
the determination of abuse is subjective and Government Auditing Standards does not require
auditors to detect abuse.
Our responsibility as auditors is limited to the period covered by our audit and does not extend to
any other periods.
We will issue a written report upon completion of our audit of the City's basic financial statements.
Our report will be addressed to the governing body of the City. Circumstances may arise in which
our report may differ from its expected form and content based on the results of our audit.
Depending on the nature of these circumstances,it may be necessary for us to modify our opinions,
add an emphasis-of-matter or other-matter paragraph(s) to our auditors' report, or if necessary,
withdraw from the engagement. If our opinions on the basic financial statements are other than
unmodified, we will discuss the reasons with you in advance. If, for any reason, we are unable to
City of Boynton Beach, Florida
November 22, 2024
Page 4
complete the audit or are unable to form or have not formed opinions, we may decline to express
opinions or to issue a report as a result of this engagement.
In accordance with the requirements of Government Auditing Standards, we will also issue a
written report describing the scope of our testing over internal control over financial reporting and
over compliance with laws, regulations, and provisions of grants and contracts, including the
results of that testing. However, providing an opinion on internal control and compliance over
financial reporting will not be an objective of the audit and, therefore, no such opinion will be
expressed.
In addition, if the auditing thresholds are met, we will audit the City's compliance over major
federal award and state programs for the fiscal years ended September 30,2024 through September
30, 2028. Our audit will be conducted with the objectives of our expressing an and an opinion on
compliance regarding the entity's major federal and state awards.
The objectives of our compliance audit is to obtain sufficient appropriate audit evidence to form
an opinion and report at the level specified in the governmental audit requirement about whether
the entity complied in all material respects with the applicable compliance requirements and
identify audit and reporting requirements specified in the governmental audit requirement that are
supplementary to GAAS and Government Auditing Standards, if any, and perform procedures to
address those requirements.
Audit of Major Program Compliance
If auditing thresholds are met, our audit of the City's major federal and state award programs
compliance will be conducted in accordance with the requirements of the Florida Single Audit
Act, as amended; and the Uniform Guidance, and will include tests of accounting records, a
determination of major programs in accordance with the Uniform Guidance, Florida Single Audit
Act and other procedures we consider necessary to enable us to express such an opinion on major
federal and state award program compliance and to render the required reports. We cannot provide
assurance that an unmodified opinion on compliance will be expressed. Circumstances may arise
in which it is necessary for us to modify our opinion or withdraw from the engagement.
The Uniform Guidance and the Florida Single Audit Act requires that we also plan and perform
the audit to obtain reasonable assurance about whether material noncompliance with applicable
laws and regulations, the provisions of contracts and grant agreements applicable to major federal
and state award programs, and the applicable compliance requirements occurred, whether due to
fraud or error, and express an opinion on the entity's compliance based on the audit. Reasonable
assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee
that an audit conducted in accordance with GAAS, Government Auditing Standards, the Uniform
Guidance, and Florida Single Audit Act,will always detect material noncompliance when it exists.
The risk of not detecting material noncompliance resulting from fraud is higher than for that
resulting from error, as fraud may involve collusion, forgery, intentional omissions,
misrepresentations, or the override of internal control. Noncompliance with the compliance
requirements is considered material if there is a substantial likelihood that, individually or in the
City of Boynton Beach, Florida
November 22, 2024
Page 5
aggregate, it would influence the judgment made by a reasonable user of the report on compliance
about the entity's compliance with the requirements of the federal and state programs as a whole.
As part of a compliance audit in accordance with GAAS, Government Auditing Standards, and the
Florida Single Audit Act,we exercise professional judgment and maintain professional skepticism
throughout the audit. We also identify and assess the risks of material noncompliance, whether
due to fraud or error, and design and perform audit procedures responsive to those risks.
Our procedures will consist of determining major federal and state programs and, performing the
applicable procedures described in the U.S. Office of Management and Budget OMB Compliance
Supplement for the types of compliance requirements that could have a direct and material effect
on each of the entity's major programs, and performing such other procedures as we considers
necessary in the circumstances. The purpose of those procedures will be to express an opinion on
the entity's compliance with requirements applicable to each of its major programs in our report
on compliance issued pursuant to the Uniform Guidance and Florida Single Audit Act.
Also, as required by the Uniform Guidance and Florida Single Audit Act, we will obtain an
understanding of the entity's internal control over compliance relevant to the audit in order to
design and perform tests of controls to evaluate the effectiveness of the design and operation of
controls that we consider relevant to preventing or detecting material noncompliance with
compliance requirements applicable to each of the entity's major federal and state award programs.
Our tests will be less in scope than would be necessary to render an opinion on these controls and,
accordingly, no opinion will be expressed in our report. However, we will communicate to you,
regarding, among other matters, the planned scope and timing of the audit and any significant
deficiencies and material weaknesses in internal control over compliance that we have identified
during the audit.
We will issue a report on compliance that will include an opinion or disclaimer of opinion
regarding the entity's major federal and state award programs, and a report on internal controls
over compliance that will report any significant deficiencies and material weaknesses identified;
however, such report will not express an opinion on internal control.
Significant Risks
AU-C Section 260, prescribed by the American Institute of Certified Public Accountants, is a
comprehensive guide for the auditor's communication with those charged with governance. AU-
C Section 260 points out that communicating significant risks, including fraud risks, helps those
charged with governance understand those matters and better allows them to perform their
oversight duties with regard to the financial reporting process. We have identified the following
significant risks of material misstatement as part of our audit planning, and are available to discuss
these with you during the course of our audit:
• Management override of internal controls.
• Improper revenue recognition.
City of Boynton Beach, Florida
November 22, 2024
Page 6
Management's Responsibilities
Our audit will be conducted on the basis that management and, when appropriate, those charged
with governance acknowledge and understand that they have responsibility:
1. For the preparation and fair presentation of the financial statements in accordance with
accounting principles generally accepted in the United States of America;
2. For the design, implementation,and maintenance of internal control relevant to the preparation
and fair presentation of financial statements that are free from material misstatement, whether
due to fraud or error;
3. For identifying, in its accounts, all federal awards and state received and expended during the
period and the federal and state programs under which they were received;
4. For maintaining records that adequately identify the source and application of funds for
federally funded activities;
5. For preparing the schedule of expenditures of federal and state awards (including notes and
noncash assistance received) in accordance with the Uniform Guidance and Florida Single
Audit Act;
6. For designing, implementing, and maintaining effective internal control over federal awards
that provides reasonable assurance that the entity is managing federal awards in compliance
with federal statutes, regulations, and the terms and conditions of the federal awards;
7. For identifying and ensuring that the entity complies with federal laws, statutes, regulations,
rules, provisions of contracts or grant agreements, and the terms and conditions of federal and
state award programs, and implementing systems designed to achieve compliance with
applicable federal and state statutes,regulations, and the terms and conditions of federal award
and state programs;
8. For disclosing accurately, currently, and completely the financial results of each federal award
and state in accordance with the requirements of the award;
9. For identifying and providing report copies of previous audits, attestation engagements, or
other studies that directly relate to the objectives of the audit, including whether related
recommendations have been implemented;
10. For taking prompt action when instances of noncompliance are identified;
11. For addressing the findings and recommendations of auditors,for establishing and maintaining
a process to track the status of such findings and recommendations and taking corrective action
on reported audit findings from prior periods and preparing a summary schedule of prior audit
findings;
12. For following up and taking corrective action on current year audit findings and preparing a
corrective action plan for such findings;
13. For submitting the reporting package and data collection form to the appropriate parties;
14. For making the auditor aware of any significant contractor relationships where the contractor
is responsible for program compliance;
15. To provide us with:
a. Access to all information of which management is aware that is relevant to the preparation
and fair presentation of the financial statements including the disclosures, and relevant to
federal and state award programs, such as records, documentation, and other matters;
b. Additional information that we may request from management for the purpose of the
audit;
City of Boynton Beach, Florida
November 22, 2024
Page 7
c. Unrestricted access to persons within the entity and others from whom we determine it
necessary to obtain audit evidence;
d. A written acknowledgement of all the documents that management expects to issue that
will be included in the annual report and the planned timing and method of issuance of that
annual report;and
e. A final version of the annual report (including all the documents that, together, comprise
the annual report) in a timely manner prior to the date of the auditors' report.
16. For adjusting the financial statements to correct material misstatements and confirming to us
in the management representation letter that the effects of any uncorrected misstatements
aggregated by us during the current engagement and pertaining to the current year period(s)
under audit are immaterial, both individually and in the aggregate, to the financial statements
as a whole;
17. For acceptance of non-attest services, including identifying the proper party to oversee non-
attest work;
18. For maintaining adequate records, selecting and applying accounting principles, and
safeguarding assets;
19. For informing us of any known or suspected fraud affecting the entity involving management,
employees with significant role in internal control and others where fraud could have a
material effect on compliance;
20. For the accuracy and completeness of all information provided;
21. For taking reasonable measures to safeguard protected personally identifiable and other
sensitive information; and
22. For confirming your understanding of your responsibilities as defined in this letter to us in
your management representation letter.
With regard to the schedule of expenditures of federal awards and state financial assistance, you
acknowledge and understand your responsibility (a) for the preparation of the schedule of
expenditures of federal awards and state financial assistance in accordance with the Uniform
Guidance and Florida Single Audit Act, (b) to provide us with the appropriate written
representations regarding the schedule of expenditures of federal awards and state financial
assistance, (c) to include our report on the schedule of expenditures of federal awards and state
financial assistance in any document that contains the schedule of expenditures of federal awards
and state financial assistance and that indicates that we have reported on such schedule, and (d) to
present the schedule of expenditures of federal awards and state financial assistance with the
audited financial statements, or if the schedule will not be presented with the audited financial
statements, to make the audited financial statements readily available to the intended users of the
schedule of expenditures of federal awards and state financial assistance no later than the date of
issuance by you of the schedule and our report thereon.
As part of our audit process, we will request from management and, when appropriate, those
charged with governance, written confirmation concerning representations made to us in
connection with the audit.
City of Boynton Beach, Florida
November 22, 2024
Page 8
We understand that your employees will prepare all confirmations we request and will locate any
documents or invoices selected by us for testing.
Professional standards prohibit us from being the sole host and/or the sole storage for your
financial and non-financial data. As such, it is your responsibility to maintain your original data
and records and we cannot be responsible to maintain such original information. If you are missing
any documents or workpapers from our prior years' engagements (if applicable), it is your
responsibility to inform us. By signing this engagement letter, you affirm that you have all the
data and records required to make your books and records complete.
You agree to inform us of facts that may affect the financial statements of which you may become
aware during the period from the date of the auditors' report to the date the financial statements
are issued.
Schedule of Expenditures of Federal Awards and State Financial Assistance
We will subject the schedule of expenditures of federal awards and state financial assistance to the
auditing procedures applied in our audit of the basic financial statements and certain additional
procedures, including comparing and reconciling the schedule to the underlying accounting and
other records used to prepare the financial statements or to the financial statements themselves,
and additional procedures in accordance with auditing standards generally accepted in the United
States of America. We intend to provide an opinion on whether the schedule of expenditures of
federal awards and state financial assistance is presented fairly in all material respects in relation
to the financial statements as a whole.
Data Collection Form
Prior to the completion of our engagement, we will complete the sections of the Data Collection
Form that are our responsibility. The form will summarize our audit findings, amounts and
conclusions. It is management's responsibility to submit a reporting package including
financial statements, schedule of expenditure of federal awards, summary schedule of prior
audit findings and corrective action plan along with the Data Collection Form to the federal
audit clearinghouse. The financial reporting package must be text searchable, unencrypted, and
unlocked. Otherwise,the reporting package will not be accepted by the federal audit clearinghouse.
We will assist you in the electronic submission and certification. You may request from us copies
of our report for you to include with the reporting package submitted to pass-through entities.
Per federal requirements, the Data Collection Form is required to be submitted within the earlier
of 30 days after receipt of our auditors' reports or nine months after the end of the audit period,
unless specifically waived by a federal cognizant or oversight agency for audits. Data Collection
Forms submitted untimely are one of the factors in assessing programs at a higher risk.
City of Boynton Beach, Florida
November 22, 2024
Page 9
Group Audit Considerations
Our audit will be a group audit as defined by AU-C Section 600. We have identified the Boynton
Beach Community Redevelopment Agency, the City of Boynton Beach General Employees'
Pension Fund, the City of Boynton Beach Police Officers' Pension Fund, and the City of Boynton
Beach Firefighters' Pension Fund, as components of our group audit. Our report will not include
the results of the other auditors' testing of internal control over financial reporting or compliance
and other matters that are reported separately by those auditors. Those financial statements will be
audited by other auditors whose reports will be furnished to us, and our opinions, insofar as they
relate to the component units will be based solely on the reports of the other auditors.
Communication with Those Charged with Governance
At the conclusion of our audit engagement,we will communicate to those charged with governance
the following significant findings from the audit:
• Our view about the qualitative aspects of the entity's significant accounting practices;
• Significant difficulties, if any, encountered during the audit;
• Uncorrected misstatements, other than those we believe are trivial, if any;
• Disagreements with management, if any;
• Other findings or issues, if any, arising from the audit that are, in our professional judgment,
significant and relevant to those charged with governance regarding their oversight of the
financial reporting process;
• Material, corrected misstatements that were brought to the attention of management as a result
of our audit procedures;
• Representations we requested from management;
• Management's consultations with other accountants, if any; and
• Significant issues, if any, arising from the audit that were discussed, or the subject of
correspondence, with management.
Auditors' Report and Reproduction
We will issue a written report upon completion of our audit of the City's financial statements. Our
report will be addressed to those charged with governance. Circumstances may arise in which our
report may differ from its expected form and content based on the results of our audit. Depending
on the nature of these circumstances, it may be necessary for us to modify our opinion, add an
emphasis-of-matter or other-matter paragraph(s) to our auditors' report. If for any reason, we are
unable to complete the audit or we are unable to form or have not formed an opinion, we may
decline to express an opinion or decline to issue a report as a result of the engagement. If, in our
professional judgment, the circumstances require us to do so, we may resign from the engagement
prior to completion.
City of Boynton Beach, Florida
November 22, 2024
Page 10
Except to the extent prohibited by law, if you intend to publish or otherwise reproduce the financial
statements and/or make reference to our Firm, you agree that the City's management will provide
us with a draft for our review and approval before disclosure, inclusion or incorporation by
reference of any of our reports or the reference to CBIZ CPAs before such document or information
is published,printed or distributed. You also agree to provide us with the final reproduced material
for our approval before it is distributed. In addition, to avoid unnecessary delay or
misunderstanding, you agree to provide us timely notice of your intention to issue any such
document. Notwithstanding the foregoing, you may distribute the financial statements "as is,"
without our written consent; provided such financial statements are not inserted in any other
document or are not altered or revised in any manner, including without limitation, the alteration,
addition or removal of data or information to or from such financial statements.
With regard to the electronic dissemination of the City's financial statements, including financial
statements published electronically on the City's website, we are not required to read the
information contained in those sites or to consider the consistency of other information in the
electronic site with the original document. However,you agree that,except to the extent prohibited
by law, you will notify CBIZ CPAs and obtain our approval prior to including any of our reports
on any electronic site.
Assistance By Your Personnel
We will ask that your personnel, to the extent possible, prepare required schedules and analyses,
and make selected invoices and other required documents available to our staff. This assistance
by your personnel will serve to facilitate the progress of our work and minimize our time
requirements.
You agree to inform us as soon as possible, but no later than the effective date of change, of any
changes to the organization structure as a result of a sale, merger, acquisition transfer or other
disposition,reorganization or transaction, and any changes to individuals in directors, officers and
financial reporting oversight roles. Note that in order to ensure CBIZ CPAs maintains
independence with respect any new entities or individuals associated with the City, you should
provide information of the upcoming change as early as possible in the process.
You acknowledge that the City's confidential information may be transmitted to us through an
information portal or delivery system established by us or on our behalf. You shall notify us in
writing of your employees, representatives, or other agents to be provided access to such portal or
system; upon the termination of such status, you shall immediately notify us in writing.
Background Checks
As a matter of our Firm policy, we perform background checks on potential clients and/or on
existing clients, on an as-determined basis. The terms and conditions of this engagement are
expressly contingent upon the satisfactory completion of our investigatory procedures and we
reserve the right to withdraw from any relationship should information which we deem to be
adverse come to our attention. The results of all background checks and other investigatory
procedures are submitted to, and reviewed by, our firm's Client Acceptance Committee.
City of Boynton Beach, Florida
November 22, 2024
Page 11
Independence
Professional standards require that a firm and its members maintain independence throughout the
duration of the professional relationship with a client. CBIZ CPAs will periodically reevaluate the
Firm's independence as part of our customary client continuance process or more frequently,
should circumstances arise that may require us to investigate whether CBIZ CPAs' independence
may have been impaired in which case CBIZ CPAs may terminate and resign from this
engagement in our sole and absolute discretion. You agree to promptly advise us of any matters or
changes in circumstances that could affect our independence or give rise to conflicts including,
changes in senior management or the Elected Body, or entities that may have preexisting
relationships with CBIZ CPAs or conflicts that could affect our independence.
Also, in order to preserve the integrity of our relationship, no offer of employment shall be
discussed with any CBIZ CPAs professionals assigned to the audit, including within the one-year
period prior to the commencement of the year-end audit, and through the date of issuance of our
audit report. Pursuant to professional standards, should such an offer of employment be made, or
employment commences during the indicated time period, we will consider this an indication that
our independence has been compromised. As such, we may be required to recall our auditors'
report due to our lack of independence. In the event additional work is required to satisfy
independence requirements, such work will be billed at our standard hourly rates.
Access to Working Papers; Confidentiality
CBIZ CPAs is periodically required to undergo inspection processes in accordance with legal,
regulatory, professional and/or administrative bodies or authorities. During the course of these
processes, selected working papers and financial reports, on a sample basis, will be inspected by
an outside party on a confidential basis. Consequently,the accounting work we performed for you
may be selected. Your signature below represents your acknowledgement and permission to allow
such access should your engagement be selected for review. The City acknowledges and agrees
that CBIZ CPAs may disclose confidential information as permitted herein, as requested or
directed by you or consistent with applicable law, rule, regulation, professional standards or
guidelines or in connection with or to respond to its professional obligations. You authorize CBIZ
CPAs to participate in discussions with and to disclose your information to your agents,
representatives, administrators or professional advisors (including accountants, attorneys,
financial and other professional advisors), their respective officers, directors or employees, and
other parties as you may direct.
Notwithstanding any other provision of this agreement, CBIZ CPAs and the CBIZ CPAs
subcontractors (defined below) may use confidential information received hereunder, to develop,
enhance, modify and improve technologies, tools, methodologies, services and offerings, and/or
for development or performance of data analysis or other insight generation. Information
developed in connection with these purposes may be used or disclosed to you or current or
prospective clients to provide them services or offerings. CBIZ CPAs and the CBIZ CPAs
subcontractors will not use or disclose confidential information in a way that would permit you to
be identified by third parties without your consent. The foregoing consents are valid until further
notice by you.
City of Boynton Beach, Florida
November 22, 2024
Page 12
As a result of our prior or future services to you, we may be required or requested to provide
information or documents to you or a third-party in connection with a legal or administrative
proceeding (including a grand jury investigation) in which we are not a party. If this occurs, we
shall be entitled to compensation for our time and reimbursement for our reasonable out-of-pocket
expenditures (including legal fees) in complying with such request or demand. This is not
intended, however, to relieve us of our duty to observe the confidentiality requirements of our
profession.
Nothing in this letter is intended to limit your rights and obligations pursuant to the Florida
"Sunshine Law", Florida Statute 286.011.
The audit documentation and working papers prepared in conjunction with our engagement are the
property of CBIZ CPAs and constitute confidential information. These working papers will be
retained by us in accordance with applicable laws and with our Firm's policies and procedures.
However, we may be required, by law or regulation, to make certain working papers available to
regulatory authorities, federal agencies and/or the U.S. Government Accountability Office, for
their review, and upon request, we may be required to provide such authorities with photocopies
of selected working papers. If requested, access to such audit documentation will be provided
under the supervision of CBIZ CPAs' personnel. The regulators and agencies may intend, or
decide, to distribute the copies of information contained therein to others, including other
governmental agencies. We agree to retain our audit documentation or work papers for a period
of at least seven (7) years from the date of our report.
Regarding the application of Chapter 119 (Public Records), Florida Statutes, the Custodian of
public records for this contract is:
City Clerk
City of Boynton Beach
100 E. Ocean Avenue, Boynton Beach, FL 33435
(561) 742-6060
Third-Party Service Providers
CBIZ CPAs may use or subcontract the services to its affiliates, subsidiaries, CBIZ CPAs related
parties and/or third parties, including contractors, subcontractors and cloud-based service
providers, in each case within or outside of the United States (each, a "subcontractor") in
connection with the provision of services and/or for internal, administrative and/or regulatory
compliance purposes. You agree that CBIZ CPAs may provide confidential and other information
CBIZ CPAs receives in connection with this agreement to subcontractors for such purposes. CBIZ
CPAs maintains internal policies, procedures and safeguards to protect the confidentiality of your
information and CBIZ CPAs will remain responsible to you for the protection of such information
and services performed by such subcontractors as provided herein.
City of Boynton Beach, Florida
November 22, 2024
Page 13
Termination
CBIZ CPAs' engagement ends on the earlier of termination or resignation (including without
limitation, our declining to issue a report or other work product) or CBIZ CPAs' delivery of its
report. We acknowledge your right to terminate our services at any time, and you acknowledge
our right to terminate our services and this agreement and resign at any time in our sole and
absolute discretion, subject in either case to our right to payment for all direct and indirect charges
including out-of-pocket expenses incurred through the date of termination or resignation or
thereafter as circumstances and this agreement may require, plus applicable interest, costs, fees
and attorneys' fees. All terms which by their nature are reasonably intended to survive will survive
termination, resignation or expiration.
Dispute Resolution Procedure, Waiver of Jury Trial and Jurisdiction and Venue for Any
and All Disputes Under This Engagement Letter and Governing Law
AS A MATERIAL INDUCEMENT FOR US TO ACCEPT THIS ENGAGEMENT AND/OR
RENDER THE SERVICES TO THE CITY OF BOYNTON BEACH IN ACCORDANCE
WITH THE PROVISIONS OF THIS ENGAGEMENT LETTER:
The Firm and the Client each hereby knowingly, voluntarily and intentionally waive
any right either may have to a trial by jury with respect to any litigation based hereon,
or arising out of, under or in connection with this engagement letter and/or the
services provided hereunder, or any course of conduct, course of dealing, statements
(whether verbal or written) or actions of either party.
In any litigation brought by either the Firm or the Client, the prevailing party shall
be entitled to an award of its reasonable attorneys' fees and costs incurred, including
through all appeals.
Limitation of Liability
You agree that our liability arising from or relating to our services shall not exceed
the total amount paid by you for the services described herein. This shall be your
exclusive remedy.
No action, regardless of form, arising out of the services under this agreement may
be brought by you more than one year after the date the last services are provided
under this agreement.
The Client hereby indemnifies CBIZ CPAs and its shareholders, principals, and
employees, and holds them harmless from all claims, liabilities, losses and costs
arising in circumstances where there has been a known misrepresentation by a
member of the Client's management, regardless of whether such person was acting
in the Client's interest. This indemnification will survive completion or termination
of this agreement.
City of Boynton Beach, Florida
November 22, 2024
Page 14
Non-Attest Services
We will not assume management responsibilities on behalf of the City. However, we will provide
advice and recommendations to assist management of the City in performing its responsibilities.
The City's management is responsible for (a) making all management decisions and performing
all management functions; (b) assigning a competent individual to oversee the services; (c)
evaluating the adequacy of the services performed; (d) evaluating and accepting responsibility for
the results of the services performed; and (e) establishing and maintaining internal controls,
including monitoring ongoing activities.
We are prohibited by professional standards from preparing source documents and authorizing or
approving transactions. Accordingly, management must determine and approve all transactions
including appropriate account classifications. As part of our engagement, we may propose
standard, adjusting or correcting journal entries to the financial statements. You are responsible
for reviewing the entries and understanding the nature of any proposed entries and the impact they
have on the financial statements.
The services cannot be relied on to detect errors, fraud or illegal acts that may exist. However, we
will inform you of any material errors, fraud or illegal acts that come to our attention, unless they
are clearly inconsequential. In addition, we have no responsibility to identify and communicate
significant deficiencies or material weaknesses in the City's internal control as part of a non-
attest/non-audit service engagement.
We will perform the following services that are considered non-attest services:
• Assistance with the preparation of the financial statements.
• Preparation of the Data Collection Form (DCF)
Our responsibilities and limitations of the non-attest services are as follows:
• We will perform the services in accordance with applicable professional standards.
• The non-attest services are limited to the services previously outlined. Our firm, in its sole
professional judgment, reserves the right to refuse to do any procedure or take any action that
could be construed as making management decisions or assuming management
responsibilities, including determining account coding and approving journal entries.
• These nonaudit services do not constitute an audit under Government Auditing Standards and
such services will not be conducted in accordance with Government Auditing Standards.
Other Services
We are always available to meet with you and/or other executives at various times throughout the
year to discuss current business, operational, accounting and auditing matters affecting the City.
Whenever you feel such meetings are desirable please let us know; we are prepared to provide
City of Boynton Beach, Florida
November 22, 2024
Page 15
services to assist you in any of these areas. We will also be pleased, at your request, to attend the
meetings of the City.
During the course of this engagement, CBIZ CPAs may offer certain value-added resources to the
City,including without limitation,local and national educational webinars and events,subscription
to CBIZ CPAs thought leadership publications such as industry and insights newsletters, industry
surveys and trend analysis, and academic reports into the prevailing economic outlook. The use,
receipt of, and payment for (where applicable) these resources will be subject to the mutual
agreement of CBIZ CPAs and the City. The City confirms that the use and receipt of these
resources, as applicable, is approved by those charged with governance.
You acknowledge that you are responsible for the actions of your current and former employees,
representatives, or other agents in connection with the transmission of your information. During
the course of the engagement, we may communicate with you or your personnel via fax or e-mail,
and you understand that communication in those mediums involves a risk of misdirected or
intercepted communications.
CBIZ CPAs shall be obligated only for the services or work specified in this agreement. Any other
services that may be required or requested by City will be agreed upon by the parties in a separate,
new specific engagement letter for such service or work.
218.415, Florida Statutes, Local Government Investment Policies
We will perform, in accordance with Chapter 10.550, Rules of the Auditor General of the State of
Florida,an examination pursuant to AICPA Professional Standards,promulgated by the American
Institute of Certified Public Accountants regarding the compliance of the City with 218.415,
Florida Statutes, Local Government Investment Policies. There is no additional cost for this
service.
Because of the inherent limitations of an examination engagement, together with the inherent
limitations of internal control, an unavoidable risk exists that some material misstatements may
not be detected, even though the examination is properly planned and performed in accordance
with the attestation standards.
At the conclusion of the examination engagement, you agree to provide us with certain written
representations in the form of a representation letter.
Fees
Our fees will be based on the services to be provided hereunder, the timeliness and completeness
of the information and documentation provided to us, firm technology, firm processes, and time
required of personnel at our standard hourly rates. Our hourly rates vary according to the level of
the personnel assigned to your audit. Fees for this engagement are noted on Appendix B.
City of Boynton Beach, Florida
November 22, 2024
Page 16
Our invoices for these fees will be rendered as the work progresses, and are due and payable upon
presentation. In the event that you dispute any of the fees or expenses on a specific invoice, you
agree to notify us within twenty (20) days of receipt of the invoice of such dispute. If you fail to
notify us within the twenty (20) day period, your right to dispute such invoice will be waived.
Prior to the commencement of the services described above, any past due balances are required to
be paid in full. In accordance with our Firm policies, should any invoice remain unpaid for more
than thirty (30) days, we reserve the right to defer providing any additional services until all
outstanding invoices are paid in full. Invoice amounts due past sixty(60)days will incur a finance
charge of 1%per month. Nothing herein shall be construed as extending the due date of payments
required under this agreement,and you agree that we are not responsible for the impact on the City
of any delay that results from such non-payment by you.
Agreement
This letter comprises the complete and exclusive statement of the agreement between the parties,
superseding all proposals oral or written and all other communications between the parties. If it is
determined that any provision of this letter is unenforceable, all other provisions shall remain in
full force and effect. This letter comprises the complete and exclusive statement of the agreement
between the parties, superseding all proposals oral or written and all other communications
between the parties. The City may not assign or transfer this agreement, or any rights, licenses,
obligations,claims or proceeds from claims arising out of or in any way relating to this agreement,
any services provided hereunder, or any fees for services to anyone, by operation of law or
otherwise without CBIZ CPAs' prior written consent and any assignment without consent shall be
void and invalid. CBIZ CPAs may assign this agreement, including all the rights and benefits
hereunder, to any affiliate or acquirer of or successor to its business, or purchaser of all or
substantially all of its assets, stock or interests or in the event of a reorganization or restructuring,
and by your signature hereto, you consent to such assignment and the transfer of the City's files
and information.
It is hereby understood and agreed that this engagement is being undertaken solely for the benefit of
the Client and that no other person or entity shall be authorized to enforce the terms of this
engagement. The undersigned represents and warrants that it has the requisite authority and consents
to enter into and perform this Agreement and the obligations herein for and on behalf of the City.
By executing this Agreement, you confirm, represent and warrant that (i) no person who is the
target of sanctions imposed by the United States, European Union, or United Kingdom owns,
directly or indirectly, 5%or more of any type of stock or other ownership interest of the Company
and (ii) the Company is not, and does not have subsidiaries that are, located or organized under
the laws of Russia,and CBIZ CPAs' Services are not performed for the benefit or use of or reliance
on by any of the foregoing.
City of Boynton Beach, Florida
November 22, 2024
Page 17
If you agree with the terms of our engagement,as described in this letter,please sign this PDF version
of the engagement letter and return it to us by email and we will send you a fully executed copy.
Moises D.Ariza,CPA, CGMA is the Shareholder and is responsible for supervising the engagement
and signing the report or authorizing another individual to sign it.
In accordance with the requirements of Government Auditing Standards, our latest external peer
review report of our Firm is available upon request.
Very truly yours,
CBIZ CPAs P.C.
_0~
Moises D. Ariza, CPA, CGMA
Shareholder
City of Boynton Beach, Florida
November 22, 2024
Page 18
ACCEPTED
This letter correctly sets forth the agreement of City of Boynton Beach, Florida
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APPENDIX A
City of Boynton Beach, Florida
Circumstances Affecting Timing and Fee Estimate
The estimated fee is based on certain assumptions. Circumstances may arise during the
engagement that may significantly affect the targeted completion dates and our fee estimate. As a
result, additional fees may be necessary. Such circumstances include but are not limited to the
following:
•
1. Changes to the timing of the engagement at your request. Changes to the timing of the
engagement usually require reassignment of personnel used by CBIZ CPAs in the
performance of services hereunder. However, because it is often difficult to reassign
individuals to other engagements, CBIZ CPAs may incur significant unanticipated costs.
2. All requested schedules are not (a) provided by the accounting personnel on the date
requested, (b) completed in a format acceptable to CBIZ CPAs (c) mathematically correct,
or (d) in agreement with the appropriate underlying records (e.g., general ledger accounts).
CBIZ CPAs will provide the accounting personnel with a separate listing of required
schedules and deadlines.
3. Weaknesses in the internal control structure.
4. Significant new issues or unforeseen circumstances as follows:
a. New accounting issues that require an unusual amount of time to resolve.
b. Changes or transactions that occur prior to the issuance of our report.
c. Changes in the City's accounting personnel, their responsibilities, or their availability.
d. Changes in auditing requirements set by regulators.
5. Significant delays in the accounting personnel's assistance in the engagement or delays by
them in reconciling variances as requested by CBIZ CPAs. All invoices, contracts and other
documents which we will identify for the City, are not located by the accounting personnel
or made ready for our easy access.
6. A significant level of proposed audit adjustments are identified during our audit.
7. Changes in audit scope caused by events that are beyond our control.
8. Untimely payment of our invoices as they are rendered.
City of Boynton Beach, Florida
November 22, 2024
Page 20
APPENDIX B
ANNUAL PRICE FOR AUDIT SERVICES
Proposers should use this form for submitting its Fee Proposal. The following pncing is submitted
as"all inclusive'to provide financial advisory services in accordance with the requirements
identified in this Scope of Work and as set forth in this RFP document.
'The grand total price will be used to calculate the number of points using the formula described in SECTION IV—
EVALUATION OF PROPOSALS.
Audit Estimated Fee Estimated Fee Estimated Fee Estimated Fee Estimated Fee Grand Total
2024-2025 2025-2026 2026-2027 2027-2028 2028-2029
Fundal Statement Audit $130.000.0000 $132.000.0000 $134,000.0000 $136.000.0000 $138.000.0000 $670.000.00
Federal and state single audits $0.0000 $0.0000 $0.0000 $0.0000 $0.0000 $0.00
Subtotal: $670.000.00
Schedule of Professional Hourly Fees for Auditing Services
Proposers should use this form for submitting its Fee Proposal_ The following pricing is submitted
as"all inclusive"to provide financial advisory services in accordance with the requirements
identified in this Scope of Work and as set forth in this RFP document.
r We will not be submitting for Schedule of Professional Hourly Fees for Auditing Services
line Item AUDIT STAFF POSITION Hourly Rates • Comments
1 Partners $400.0000
2 Managers $300.0000
3 Supervisory Staff 5200.0000
4 Staff $150.0000
5 Other $375.0000 Qua it, _n c :rect_,r
(specify in comments)
Summary Table
Bid Form Amount
ANNJ.AL PRICE FOR AUDIT SERVICES $670,000.00
..Ir.ota1 Contract Amount: $670.000.00
Bid Number: FIN25-001R Vendor Name- Marcum LLP