City of Piedmont
COUNCIL AGENDA REPORT
April 16, 2007
Mark Bichsel, Finance Director
Contract for Auditing Services
Approve a contract for auditing services with Maze and Associates for the next five fiscal years with an
option to extend an additional two years.
On February 8, 2007 the City of Piedmont sent out a Request for Proposals for Auditing Services
regarding the Financial Statements audit, the Transportation Development Program audit, the Measure
B Compliance audit and the Appropriations Limit audit.
Thirteen auditing firms who have experience in municipal auditing were sent a Request for Proposal.
All proposals were due at 5:00 pm on Friday, March 30, 2007.
The disappointing news is that of the thirteen submittals, the City of Piedmont received only one
response, from Maze and Associates.
My appraisal for the lack of responses is two-fold:
• The audit fee of approximately $27,000 per year paid to the prior auditors was not cost
beneficial to many of the firms.
• Maze and Associates and Vavrinek,Trine, Day & Co. are the two major auditors of
municipalities in the Bay Area. For example, of the thirteen cities used for salary comparison
purposes, Maze & Associates audit six of these cities and Varinek, Trine & Day audit three.
Vavrinek,Trine, Day & Co. were not sent an RFP as they were our auditors for the past nine
The good news is that Maze and Associates has an outstanding reputation and in fact audit a significant
number of municipalities in the Bay Area. Please refer to the enclosed attachment for current municipal
clients of Maze and Associates and their fee proposal.
Please note that the complete proposal from Maze and Associates is 34 pages and available in the City