HomeMy WebLinkAboutRES 05-028 RESOLUTION NO. 05-028
WHEREAS, the Housing and Urban Development Corporation ("HUD") has
requested a forensic audit be conducted of the Southeast Texas Community Development
Corporation ("SETCDC") by the Cities of Beaumont and Port Arthur; and,
WHEREAS it is deemed in the best interests of the citizens to authorize the City
Manager to employ the accounting firm of Smith, Jackson, Boyer and Bovar, 9400 N.
Central Expressway, #420, Dallas, Texas 75231, to conduct the forensic audit; and,
WHEREAS, the initial examination is estimated not to exceed $6,000 with the full
potential costs to be delineated based on an initial review of the records. The fee is to be
allocated between the two Cities.
NOW, THEREFORE, BE IT RESOLVED BY THE
CITY COUNCIL OF THE CITY OF BEAUMONT:
THAT the City Manager be and he is hereby authorized to sign an agreement for a forensic
audit of Southeast Texas Community Development Corporation (`SETCDC") to be
conducted by Smith, Jackson, Boyer and Bovar, as denoted in Exhibit "A."
BE IT FURTHER RESOLVED that the costs for the audit are to be shared as
allocated between the Cities of Beaumont and Port Arthur, Texas.
PASSED BY THE CITY COUNCIL of the City of Beaumont this the 25th day of
January, 2005.
p
yor Evelyn M. Lord -
SMITH, JACKSON, BoYER & $OVAL
I-JKN M.1%Qvtwv.CPA. A t'rokO.onat l..imired U-Nity Company
Roat:Rr w DAN«,,,('14A CERTIFIED PUBLIC ACCOUNTANTS r--RA-I RnYPa-CTA
CHnUr-s x.(.awv,(PA.MBA 1c�wN A.Enos.CFA
JAmw A.5nv'H,C(IA Ksltgr li.)ub-=,,I,Jx..CPA,MF..A
January 14,2005 10mv, C.Tines.CFA..iu
Mr.TyrWc Cooper,
City Attorney,
City of Reautrinnr,Trxaa
P.O.Box 3827
Beaumont,Texas 77704.3827
Mr.Mark Sokolow,
City Attorney
City of Port Arthur,Texas
P.O.Box 1089
Port Arthur,Texas 77641-1 n89
Re: Forensic Examination of the Southeast Texas Community Development Corporation
Gwitiemen:
This shall constitute an agreement for engagement by your two cities of our firm to perform a preliminary
investigation of the records of the above referenced entity for purposes of preparing a proposal for submission to
you of a comprehensive forensic examination of the above referenced entity. It is expressly understood that this
initial engagement is not designed to and will not reach atry conclusions regarding the accounting records of the
above refctrnecd entity,star its compliance with its contractual obligations to your cities. It will enable us to prepare
a detailed fee estimate for the performance of the comprehensive forensic investigation for the Approval of your
respective City Councifa.
Our fees to perform this preliminary examination, including out-of-pocket travel and related expenses will not
exceed$6,uuu.in total,tar be allocated between the two cities. The tees and expenses wi11 be due and payable upon
delivery of our proposal, We can be prepared to commence this work within two weeks of yo
engage ur approval of this
metrt.
We will be happy to discuss this engagement with you at any time.
Very truly urs,
SMITH KSON,BOYER&BOVh ,Pt LC
y
By e
J es A Smith, P.A
e above engagement is accepted under its expressed terms and Smith, Jackson, Boyer &
Rnvard,PI:.I..C, is approved to proceed.
City of Beaumont, Texas City of Port Arthur,Texas
By BY
Title
Title
Date
--- Date
9400 NCX,Suite 420+9400 N.Central Expressway Dallas,Texas 75231-5063
2141373-8900•F"2141378-93o0
EXHIBIT `°A"
SMITH, JACKSON, BOYER & ROVARD
J04N M.DOVARD.r—TIA A Nokwonai i irrumd t.iabilicy C:nmpagy
Ron[m•W.DANzeu�r yC:Pi1 CERTIFIED PUBLIC Al::tA-)UN-1ANT.
CMAR7,FC R GRAY,CPA.META 5 GtAra j.isAVr.R,GFA.
JAMES A.SmrrH.CPA JOHN A.Etna,CPA.
Kr>zm H.lAC kIN.JR..CPA.MFK
Jauw C.7 rocs,CPA.jU
January 17,2005
Mr-Tyrone Cooper,
Ci ly A ttorney,
City of gcauniont,Tcxa$
P n.Box 3827
13eautnont,Texas 77704-3827
Mi.Mork Sokolow,
City Attorney
City of Pore Arthur,Texas
P.O.Box 1 089
Port Arthur,Texas 77641-1099 .
Rd. Fnrensic Examination of the Southeast Texas Community Development Corporation
Gcottcntcn:
As an addendum to my letter of January 14,2005,regarding our engagement b
procedures to ascertain the infOrmatiOA we would need in order for us toy your cities formal perform preliminary
engagement to conduct a forensic examination of the Southeast Texas Community D elopmment Cow ration, yoti
have requested o ennmeraticur nE cx,r hourly billing rates. At this time, we do not havo enough information
regarding scope of the full investigation to determine its staffing requirements and,hence,the billing..
rates which
will apply. However, the preliminary procedures will be billed at blended rate of S200.t�0 per hour, subject to Hue
gaarantccd maximum Of$6,000,including out-af-1 uckct�.
We will be happy to discuss this addendum with you at any time.
Vcty truly yours,
SMITH. SON,ROYF.R ROVAR •P[..t.r_.
t
By
J s A Smith,CPA
9400 DICK,Suiae 420 940+0 N.Central Expressway•Dallas,Texas 75231$463
2141373-B9oo•rox 214/3 78-9304