R-02-10RESOLUTION R702 -10
AUTHORIZING THE ENGAGEMENT OF SIKICH GARDNER & CO., LLP TO PROVIDE
PROFESSIONAL AUDITING SERVICES FOR FISCAL YEARS 2002 THROUGH 2004
WHEREAS, the Village is required to conduct an audit of public funds on an annual
basis; and
WHEREAS, the Village has received a proposal, dated March 14, 2002, from Sikich
Gardner & Co, LLP to perform said services for three years beginning with fiscal year 2001/02;
and
WHEREAS, after review of the proposal Village staff has recommended acceptance of
the proposal from Sikich Gardner & Co, LLP; and
WHEREAS, it is in the best interest of the Village to retain this firm to prepare the annual
financial report for the fiscal years ending April 30, 2002 through 2004.
NOW, THEREFORE, BE IT RESOLVED BY THE PRESIDENT AND BOARD OF
TRUSTEES OF THE VILLAGE OF DEERFIELD, COUNTIES OF LAKE AND COOK,
STATE OF ILLINOIS, that the proposal of Sikich Gardner & Co, LLP to perform the audit of
Village funds for the fiscal years ending April 30, 2002 through 2004 is hereby accepted.
ADOPTED this 6th day of May , 2002.
AYES
NAYS
Kayne, Ragona,
None (n%
ABSENT: Sei
ABSTAIN: Non
APPROVED thi
ATTEST:
Village C erk
Rosenthal, Swanson, Wylie (5)
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VILLAGE OF DEERFIELD
DEERFIELD, ILLINOIS
PROPOSAL TO PROVIDE
PROFESSIONAL AUDITING SERVICES
For the Fiscal Years Ending
April 30, 2002 through April 30, 2004
Sikich Gardner & Co, LLP
Consultants and Accountants
998 Corporate Boulevard
Aurora, Illinois 60504
(630) 566 -8400
February 21, 2002
Contact: Louis G. Karrison and Daniel A. Berg
V
`A A MEMBER OF SIKICH GROUP, LLC
March 14, 2002
'
Mr. Robert Fialkowski
Director of Finance
'
Village of Deerfield
850 Waukegan Road
Deerfield, Illinois 60015
'
Dear Mr. Fialkowski:
MEMBERS OF
AMERICAN INSTITUTE OF
CERTIFIED PUBLIC ACCOUNTANTS
ILLINOIS CPA SOCIETY
' Sikich Gardner & Co, LLP is pleased to be considered for the appointment as independent
auditors and consultants for the Village of Deerfield (the Village). We believe that our
qualifications, experience and expertise are clearly distinguishable from other firms.
' The quality of our professional staff, as noted by their advanced degrees and through
their active participation in numerous civic and professional organizations;
' The expertise that we possess in the state and local government industry, as demonstrated
by our clients' success in obtaining the coveted Certificate of Achievement for
' Excellence in Financial Reporting, our staff's presentations at conferences, seminars and
training course for various state and local government organizations and our leadership
roles in the state CPA Society and the Illinois Government Finance Officers Association
' on implementing complex new pronouncements, most recently GASB S -34 and the new
reporting model (we assisted the Village of Carol Stream in implementing GASB S -34 as
of April 30, 2001, the first general purpose government in Illinois to implement this
pronouncement);
• The depth of our audit procedures, as depicted in our specific audit approach and stated
' by our government clients; and
• The quality and timeliness of the information that we can provide to the Village.
' Our Firm's expertise will not only enable the Village to continue to apply for and receive the
coveted Certificate of Achievement for Excellence in Financial Reporting but also to correctly
' and cost effectively implement new statements and interpretations issued by the Governmental
Accounting Standards Board. We believe that this proposal demonstrates our capabilities to
serve not only as independent auditors, but also as valued advisors and consultants to the
' Village, the Village President, the Board of Trustees and management.
!V Sikich Gardner & Co, LLP
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Our audit team is tailored to each client's specific needs drawing staff from our state and local
government team. We emphasize:
Consistency and quality of staffing in multi -year engagements, including assigning staff
from our local government team who focus on providing service to the local government
industry year around;
A high degree of efficiency using the latest automated, paperless audit technology
available; and
The identification of opportunities for improved financial or procedural performance.
Sikich Gardner & Co, LLP is affiliated with the Sikich Group LLC, a corporation created to
make a wide array of business and financial services accessible to our clients. Other members of
the Sikich Group include; T.J. Nicoud, LLC (insurance brokers and consultants), ICS
Advantage, LLC (technology selection/production and implementation), Sikich Human Resource
Solutions, LLC (providing human resource and employee benefit services), Sikich
Communications (marketing and public relations), and Sikich Cozad Investments (investment
advisors and managers for individuals and pension plans). Through these organizations,
management advisory services in various specialized areas are available when the need for such
assistance arises. Our additional services engagements are directed by partners, principals and
other professionals who have experience in management consulting and in the specific areas we
are requested to review.
Our governmental clients often require services in special areas such as budget development,
trend monitoring and forecasting, rate settings, bond issuances and refundings, escrow
verifications, cash management, employee benefits, EDP applications, policies and procedures
documents, training, temporary staffing, insurance and risk management analysis, and personnel
policy development and implementation. We have a proven track record of assisting our
governmental clients in these as well as other specialized areas.
We and are prepared to commit the resources necessary to provide services of the highest quality
' to the Village of Deerfield. We will not only perform the audit, but we will also provide
governmental accounting and financial reporting expertise and technical assistance throughout
the year. We understand the scope of the work to be performed and the timing requirements and
are committed to performing the specified services within the stipulated timing requirements.
t We appreciate the opportunity to present this proposal, which is a firm and irrevocable offer for
ninety (90) days, and look forward to serving the Village.
Sincerely,
SIKICH GARDNER & CO, LLP
Louis G. Karrison, CPA
Partner
Sincerely,
SIKICH GARDNER & CO, LLP r=:5
DanieQ4\
rg, CPA
Partner
IW Sikich Gardner & Co, LLP 3
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Attachment 1
VILLAGE OF DEERFIELD
Proposal for Auditing Services
FEE STRUCTURE
(L' J. e,,�
Signature of Authorized Representative
Louis G. Karrison
Name of Authorized Representative
Partner
Title
March 14, 2002
Date
FIRM SUBMITTING PROPOSAL
Sikich Gardner & Co, LLP
998 Corporate Boulevard
Aurora, IL 60504
(630) 566 -8400
* Included in CAFR fee as these are done for each client.
** Includes $5,800 for GASB Statement 34 Implementation and $6,800 for capital asset and
infrastructure retroactive implementation.
Sikich Gardner & Co, LLP 4
Copies
Description
Needed
2002
2003
2004
Comprehensive Annual Financial Report
40
$ 17,325
$ 18,025'
$ 31,350 **
*Statement of Auditing Standards No. 61 Letter
9
*Preparation of the Management Letter
12
*Typing Responses to Prior GFOA Comments
7
Comptrollers Annual Financial Report
3
400
414
429
Public Library Report
10
1,300
1,350
1,400
Police Pension Report
10
1,300
1,350
1,400
Tax Increment Financing No. 1 Report
5
1,075
1,125
1,175
Tax Increment Financing No. 2 Report
5
1,075
1,125
1,175
Tax Increment Financing No 1 Surplus Rebate
5
2,500
2,600
2,700
Report
Single Audit Report
10
2,275
2,375
2,475
(L' J. e,,�
Signature of Authorized Representative
Louis G. Karrison
Name of Authorized Representative
Partner
Title
March 14, 2002
Date
FIRM SUBMITTING PROPOSAL
Sikich Gardner & Co, LLP
998 Corporate Boulevard
Aurora, IL 60504
(630) 566 -8400
* Included in CAFR fee as these are done for each client.
** Includes $5,800 for GASB Statement 34 Implementation and $6,800 for capital asset and
infrastructure retroactive implementation.
Sikich Gardner & Co, LLP 4
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IAPPENDIX TO SCHEDULE OF AUDIT AND PROFESSIONAL FEES
' These fees assumes that the Village will provide the auditors with electronic copies of adjusted
trial balances by individual funds, a year -to -date general ledger with details of postings to all
accounts, subsidiary ledgers that agree or are reconciled to the general ledger, and will prepare
tcertain schedules of account analysis of account balances. These fees also include the cost to
implement any new GASB pronouncements during the duration of the contract. The fee for
' 2004 includes the fee for implementing GASB Statement No. 34 and the retroactive reporting of
infrastructure (auditing and financial reporting - assumed that the Village will prepare
accounting records). The capital asset and infrastructure fee quoted for the year ended April 30,
' 2004 of $6,800 will apply on a one time basis to the year that retroactive infrastructure is
implemented.
' We invoice our clients on a monthly basis as services are provided. In accordance with Illinois
Compiled Statutes, payments for all services are due within sixty (60) days of receipt of an
invoice. Invoices not paid within sixty days are assessed a finance charge of one (1) percent per
' month (12% annually).
GASB S -34 Implementation
In order to correctly implement GASB Statement No. 34, Basic Financial Statements and
' Management's Discussion and Analysis for State and Local Governments, we would begin the
planning process with the Village as of April 30, 2002, to identify major areas of change, most
notably fixed asset systems and depreciation, fund structure /account structure, budget
' methodology and conversion to the accrual basis of accounting. We would develop an
implementation time frame with the Village to allow for a balance sheet conversion as of
April 30, 2003 to identify any potential problems or issues, which would provide a smooth
' implementation as of April 30, 2004.
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IW Sikich Gardner & Co, LLP 5