Title
Financial Auditing Services
Action
Action:
A. Authorize the City Manager to negotiate and execute a contract with Cherry Bekaert, LLP for financial auditing services for a term of three years, and
B. Authorize the City Manager to renew the contract for up to one, two-year term with possible price adjustments and to amend the contract consistent with the purpose for which the contract was approved.
Body
Staff Resource(s):
Matthew Hastedt, Finance
David Browne, Finance
Explanation
§ State law requires City Council to select a certified public accounting firm to audit the city’s accounting records and annual financial report and to evaluate internal controls at the end of each fiscal year.
§ The audit includes financial and compliance examinations, as well as issuance of appropriate reports for the fiscal year ending June 30, annually.
§ The audit reports include the city’s Annual Comprehensive Financial Report and Single Audits for Federal and State funding sources.
§ The contract also includes optional reports for CATS, which will be paid for by the respective entity if utilized.
§ On November 25, 2025, the city issued a Request for Proposals (RFP); four responses were received.
§ Cherry Bekaert, LLP best meets the city’s needs in terms of qualifications, experience, cost, and responsiveness to the RFP requirements.
§ Cherry Bekaert, LLP will present a report on their audit annually to City Council.
§ At renewal, potential price adjustments may be considered based on legitimate and justified increases in the cost of doing business. The ability to consider price adjustments also allows the city to accept decreases, if warranted.
§ Annual expenditures are estimated to be $450,000.
Charlotte Business INClusion
Cherry Bekaert, LLP has elected to self-perform 100% of the work on this contract and has provided the required documentation to demonstrate that it can perform all scopes of work on this contract with its own forces.
Fiscal Note
Funding: Various Department Operating Budgets