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Moss, Levy & Hartzheim LLP - Cost ProposalCITY OF LA QUINTA COST PROPOSAL FOR PROFESSIONAL AUDITING SERVICES RFP For the Fiscal Years Ending June 30,2017 through 2019 (Optional Fiscal Years Ending June 30,2020 and 2021) Submitted By: Moss, Levy & Hartzheim, LLP 5800 Hannum Avenue, Suite E Culver City, California 90230 Phone: (310) 670-2745 Fax: (310) 670-1689 Submitted On: February 28, 2017 Contact Person: Craig A. Hartzheim, CPA: Partner Ron A. Levy, CPA: Partner Hadley Y. Hui, CPA: Partner SCHEDULE OF PROFESSIONAL FEES AND EXPENSES FOR THE AUDIT OF THE FISCAL YEAR JUNE 30. 2017 FINANCIAL STATEMENTS Standard Hourly Rates Quoted Hourly Rates Total 2017Hours Partner 94 $ 225 $ 175 $ 16,450 Manager 134 175 16,750125 Senior Accountant 115 115 100 11,500 Staff Accountant 153 95 80 12,240 Other: Clerical 52 75 65 3,380 Subtotal 548 $ 60,320 Total for services described ' in Section 9-G,H,I the request for proposals, (detail on subsequent pages) Out-of-pocket expenses: Meals and lodging Transportation Other: Discount (6,635) Total all-inclusive maximum price for 2016/2017 financial statement audit $ 53,685 Note: Single Audit may not occur in each year ofthe contract term - subject to City's expending of current federal awards granted and any new additional awards received and expended in future years. It appears that the City has one major program which it is included in this price; therefore, for any additional major program required to be tested will be $2,750. SCHEDULE OF PROFESSIONAL FEES AND EXPENSES FOR TPIE AUDIT OF THE FISCAL YEAR JUNE 30. 2018 FINANCIAL STATEMENTS Standard Hourly Rates Quoted Hourly Rates Total 2018Hours Partner 94 $. 225 $ 178 $ 16,732 Manager 134 175 128 17,152 Senior Accountant 115 115 102 11,730 Staff Accountant 153 95 81 12,393 Other: Clerical 52 75 66 3,432 Subtotal 548 $ 61,439 Total for services described in Section 9-G,H,I the request for proposals, (detail on subsequent pages) Out-of-pocket expenses: Meals and lodging Transportation Other: Discount (6,758) Total all-inclusive maximum price for 2017/2018 financial statement audit $ 54,681 Note: Single Audit may not occur in each year of the contract term - subject to City's expending of current federal awards granted and any new additional awards received and expended in future years. It appears that the City has one major program which it is included in this price; therefore, for any additional major program required to be tested will be $2,755. SCHEDULE OF PROFESSIONAL FEES AND EXPENSES FOR THE AUDIT OF THE FISCAL YEAR JUNE 30.2019 FINANCIAL STATEMENTS Standard Hourly Rates Quoted Hourly Rates Total Hours 2019 Partner 94 $ 225 $ 181 $ 17,014 Manager 134 175 131 17,554 Senior Accountant 115 115 104 11,960 Staff Accountant 153 95 82 12,546 Other: Clerical 52 75 67 3,484 Subtotal 548 $ 62,558 Total for services described in Section 9-G,H,I the request for proposals, (detail on subsequent pages) Out-of-pocket expenses: Meals and lodging Transportation Other: Discount (6,881) Total all-inclusive maximum price for 2018/2019 financial statement audit $ 55,677 Note: Single Audit may not occur in each year of the contract term - subject to City's expending of current federal awards granted and any new additional awards received and expended in future years. It appears that the City has one major program which it is included in this price; therefore, for any additional major program required to be tested will be $2,760. SCHEDULE OF PROFESSIONAL FEES AND EXPENSES FOR THE AUDIT OF THE FISCAL YEAR JUNE 30.2020 rOPTIONAL^ FINANCIAL STATEMENTS Standard Hourly Rates Quoted Hourly Rates Total Hours 2020 Partner 94 $ 225 $ 184 $ 17,296 Manager 134 175 134 17,956 Senior Accountant 115 115 106 12,190 Staff Accountant 153 95 83 12,699 Other: Clerical 52 75 68 3,536 Subtotal 548 $ 63,677 Total for services described in Section 9-G,H,I the request for proposals, (detail on subsequent pages) Out-of-pocket expenses: Meals and lodging Transportation Other; Discount (7,004) Total all-inclusive maximum price for 2019/2020 financial statement audit $ 56,673 Note: Single Audit may not occur in each year of the contract term - subject to City's expending of current federal awards granted and any new additional awards received and expended in future years. It appears that the City has one major program which it is included in this price; therefore, for any additional major program required to be tested will be $2,765. SCHEDULE OF PROFESSIONAL FEES AND EXPENSES FOR THE AUDIT OF THE FISCAL YEAR JUNE 30. 2021 rOPTIONAL^ FINANCIAL STATEMENTS Standard Hourly Rates Quoted Hourly Rates Total Hours 2021 Partner 94 $ 225 $ 187 $ 17,578 Manager 134 175 137 18,358 Senior Accountant 115 115 108 12,420 Staff Accountant 153 95 84 12,852 Other: Clerical 52 75 69 3,588 Subtotal 548 $ 64,796 Total for services described in Section 9-G,H,I the request for proposals, (detail on subsequent pages) Out-of-pocket expenses: Meals and lodging I Transportation Other: Discount (7,128) Total all-inclusive maximum price for 2020/2021 financial statement audit $ 57,668 Note: Single Audit may not occur in each year of the contract term - subject to City's expending of current federal awards granted and any new additional awards received and expended in future years. It appears that the City has one major program which it is included in this price; therefore, for any additional major program required to be tested will be $2,770. RATES FOR ADDITIONAL PROFESSIONAL SERVICES Auditors Standard Hourly Bil ing Rates 2018/19POSITION2016/17 2017/18 2019/20 2020/21 Partner $ 175 $ 178 $ 181 $ 184 $ 187 Manager $ 125 $ 128 $ 131 $ 134 $ 137 Senior Accountant $ 100 $ 102 $ 104 $ 106 $ 108 Staff Accountant $80 $ 81 $ 82 $ 83 $ 84 Clerical $ 65 $ 66 $ 67 $ 68 $ 69 Any request from the City of La Quinta by Moss, Levy & Hartzheim, LLP for additional services as a result of specific recommendations included in any report issued on this engagement shall be set forth in an addendum to the contract between the City of La Quinta and Moss, Levy & Hartzheim, LLP. Any such additional work agreed to between the City of La Quinta and Moss, Levy & Hartzheim, LLP shall be performed at the same rates set forth in the schedule of professional fees and expenses. MANNER OF PAYMENT Progress payments will be made on the basis of hours of work completed during the course of the engagement. Interim billings shall cover a period of not less than one calendar month. DISCOUNT Due to the current economic environment. Moss, Levy & Hartzheim, LLP has accepted the fact that in order for government entities to survive some of the revenue cutbacks, contractors will need to reassess their hourly fees or total estimate of costs. Therefore, we are reducing our total estimate fees to assist the City in these challenging economic times. I Respectfully submitted, y Craigs. Hartzheim, CPA Partner