Council Approves Financial Auditing Firm Search
Dec 11, 2024 11:17AM ● By Shaunna BoydDIXON, CA (MPG) - Dixon City Council members considered a resolution at its Dec. 3 meeting to advertise a Request for Qualifications (RFQ) for a firm to provide auditing and reporting services for fiscal years 2024/25 through 2030/31.
Finance Director Kate Zawadzki presented the item, explaining that the city has been with its current auditing firm for 10 years. The original contract was for five years, with an optional two-year extension, which the city utilized. The contract was then extended for another three years, due to staffing turnover and the implementation of new accounting software.
As the city considers a new auditing firm, Zawadzki suggested a seven-year contract.
“It is no longer recommended that agencies do an optional extension,” she said, because it creates the dynamic where the city has leverage over the auditors: “If you give me a good audit, I’ll extend your contract.” For the new contract, Zawadzki proposed that the specific audit partner within the firm should rotate in order to maintain objective reviews.
The city would also see cost savings over the contract period. The first years will be more expensive as the new firm undertakes the time-consuming task of analyzing the city’s operating procedures and establishing common terminology. But the process will become more efficient over time, reducing the overall cost per year.
During Public Comment, a resident stated that a California State statute recommends a six-year contract limit to ensure unbiased financial audits. He recommended a five-year contract, stating that the cost savings from longer contracts are “because they’re not looking at it as they should be. That’s where your problem lies, hiring the same firm year after year.”
Councilmember Thom Bogue motioned to approve the request for qualifications with a change limiting the contract to six years. This was seconded by Vice-Mayor Kevin Johnson and the motion passed 4-1, with Councilmember Jim Ernest dissenting.
Next, City Council considered a funding request from the Downtown Dixon Business Association, requesting $5,000 from the city’s Subsidies to Community Groups Fund. The funding helps cover costs for the annual Christmas Tree Lighting event, which was held on Dec. 5 this year.
During Public Comment on this item, Rebecca Robinson, with the Downtown Dixon Business Association, said the annual event “engages the whole community” and “without the efforts of city staff helping all of us, and the community members trying to decorate and pull it off, it could not happen.”
City Council voted unanimously to approve the funding for the Downtown Dixon Business Association.
The council also considered a resolution to approve the administrative procedures governing the 2025 lottery selection for Safe-and-Sane Firework sales permits. Interim Fire Chief Greg Lewis said the recommendation was to continue the same process used for the last 10 years, issuing permits for six booths throughout the city through a lottery system. He said that applications from local service groups have already been submitted and the drawing will be held in January.
Vice-Mayor Johnson said he worries that the random selection process means some groups might apply year after year and never be selected. He suggested that non-selected groups receive an extra name in the hat for the next year, increasing their chances.
“I want everybody to have a chance,” Johnson said.
During Public Comment, a volunteer from one of the service organizations that applies for the lottery said the process works well and is one of the largest fundraising opportunities of the year.
City Council voted unanimously to approve the lottery procedure without change for the 2025 season.
The next Dixon City Council meeting is scheduled for 7 p.m. Dec. 17.