HomeMy WebLinkAboutStaff Report 2503-4430CITY OF PALO ALTO
Policy & Services Committee
Special Meeting
Tuesday, April 08, 2025
6:00 PM
Agenda Item
2.Recommend City Council Approval to Extend the Deadline for Several FY2024 Audit Plan
and FY25 Audit Plan Task Orders Presentation
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Policy & Services Committee
Staff Report
From: City Manager
Report Type: ACTION ITEMS
Lead Department: City Auditor
Meeting Date: April 8, 2025
Report #: 2503-4430
TITLE
Recommend City Council Approval to Extend the Deadline for Several FY2024 Audit Plan and
FY25 Audit Plan Task Orders
RECOMMENDATION
The Office of the City Auditor recommends that the Policy & Services Committee recommend
City Council approve the extension of the following task orders from the FY24 and FY25 Annual
Audit Plans. These extensions will have no fiscal impact.
1. Extend the deadline from December 31, 2024 to June 31, 2025 for FY2024 Annual Audit
Plan Task Orders still underway:
1. Task Order 4.24 – Grant Management Audit
2. Task Order 4.25 – Emergency Preparedness (Wildfire)
3. Task Order 4.26 – Utility Billing Audit
4. Task Order 4.27 – Payment Card Industry Data Security Standards Audit
5. Task Order 4.28 – Dispatch Center Assessment
2. Extend the deadline from June 31, 2025 to October 31, 2025 for FY2025 Annual Audit
Plan Task Orders still underway:
1. Task Order 4.29 – Purchasing Card Audit
2. Task Order 4.30 – Building Permit & Inspection Fees Audit
3. Task Order 4.31 – Junior Museum & Zoo Audit
4. Task Order 4.32 – CSD Equipment & Materials Inventory Management Audit
5. Task Order 4.33 – Public Safety Staffing & Overtime
6. Task Order 4.34 – Follow Up Audit Activities
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BACKGROUND
In accordance with our agreement with the City, Baker Tilly is required to execute the Annual
Audit Plan each year which consists of specific, approved audit task orders.
•Task 4: Execute Annual Audit Plan
Task Orders approved by the Council are executed by the Policy & Services Committee Chair as
the Project Manager for the Baker Tilly contract as stipulated in the contract terms.
ANALYSIS
The Office of the CIty Auditor is seeking for the P&S Committee to recommend Council approval
to extend the deadlines for task orders still underway from the FY2024 and FY2025 Annual
Audit Plans. The recommended amendment would extend the term of the FY2024 Audit Plan by
6 months to June 30, 2025 and the FY2025 Annual Audit Plan by 4 months to October 31, 2025.
The outstanding FY2024 Annual Audit Plan task orders are all in the reporting phase and
scheduled for presentation or been reported to P&S.
1. Task Order 4.24 – Grant Management and Task Order 4.26 – Utility Billing were
presented at the February 11, 2025 P&S Committee meeting.
2. Task Order 4.25 – Emergency Preparedness (Wildfire) is scheduled for presentation at
the April 8, 2025 P&S Committee meeting.
3. Task Order 4.27 – Payment Card Industry Data Security Standards is scheduled for
presentation via closed session at the April 7, 2025 City Council meeting.
4. Task Order 4.28 – Dispatch Center Assessment is scheduled for presentation at the May
13, 2025 P&S Committee meeting.
The FY2025 Annual Audit Plan task orders are in various audit stages with some audits
anticipated for reporting at the June 10, 2025 P&S Committee meeting and the remaining
audits reported in August, September and October depending on scheduling.
FISCAL/RESOURCE IMPACT
Work recommended in these tasks is within both the approved scope and compensation of the
contract with Baker Tilly and funding levels in the FY2024 and FY2025 Operating Bugets for the
Office of the City Auditor.
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ENVIRONMENTAL REVIEW
Council action on this item is not a project as defined by CEQA because the audit activities do
not involve any commitment to any specific project which may result in a potentially significant
physical impact on the environment. CEQA Guidelines section 15378(b)(4).
ATTACHMENTS
Attachment A: Time Extension FY2024 and FY2025 Annual Audit Plans Task Orders
APPROVED BY:
Kate Murdock, City Auditor
7
PROFESSIONAL SERVICES TASK ORDER
TASK ORDER FY25-4.29 Purchasing Card Program
Consultant shall perform the Services detailed below in accordance with all the terms and conditions of the
Agreement referenced in Item 1A below. All exhibits referenced in Item 8 below are incorporated into this
Task Order by this reference. The Consultant shall furnish the necessary facilities, professional, technical
and supporting personnel required by this Task Order as described below.
CONTRACT NO. C21179340A
OR PURCHASE ORDER REQUISITION NO. (AS APPLICABLE)
1A. MASTER AGREEMENT NO. (MAY BE SAME AS CONTRACT / P.O. NO. ABOVE): C21179340A
1B. TASK ORDER NO.: FY25-4.29
2. CONSULTANT NAME: Baker Tilly Advisory Group, LP
3. PERIOD OF PERFORMANCE: START: January 1, 2025 COMPLETION: June 30, 2025
4. TOTAL TASK ORDER PRICE: $95,670
BALANCE REMAINING IN MASTER AGREEMENT/CONTRACT TBD
5. BUDGET CODE_______________ COST CENTER________________ COST
ELEMENT______________ WBS/CIP__________ PHASE__________
6. CITY PROJECT MANAGER’S NAME & DEPARTMENT:
Lydia Kou, Chair of the City Council’s Policy and Services Committee
7. DESCRIPTION OF SCOPE OF SERVICES (Attachment A)
MUST INCLUDE:
SERVICES AND DELIVERABLES TO BE PROVIDED
SCHEDULE OF PERFORMANCE
MAXIMUM COMPENSATION AMOUNT AND RATE SCHEDULE (as applicable)
REIMBURSABLE EXPENSES, if any (with “not to exceed” amount)
8. ATTACHMENTS: A: Task Order Scope of Services B (if any): N/A
I hereby authorize the performance of the work
described in this Task Order.
APPROVED:
CITY OF PALO ALTO
BY:____________________________________
Name __________________________________
Title___________________________________
Date ___________________________________
I hereby acknowledge receipt and acceptance of
this Task Order and warrant that I have authority
to sign on behalf of Consultant.
APPROVED:
COMPANY NAME: Baker Tilly Advisory Group,
LP
BY:____________________________________
Name __________________________________
Title___________________________________
Date ___________________________________
Docusign Envelope ID: F60E09CC-400F-404E-8132-93318BE5ADE6
12/23/2024
Kate Murdock
Manager/ City Auditor12/25/2024
Council Member
Council Member Lydia Kou
October 31, 2025
8
Attachment A
DESCRIPTION OF SCOPE OF SERVICES
Introduction
Attachment A, the Description of Scope of Services, contains the following four (4) elements:
Services and Deliverables To Be Provided
Schedule of Performance
Maximum Compensation Amount and Rate Schedule (As Applicable)
Reimbursable Expenses, if any (With “Not To Exceed” Amount)
Services & Deliverables
Baker Tilly’s approach to conducting an internal audit of the Purchasing Card Program involves three (3) primary
steps:
Step 1: Audit Planning
Step 2: Fieldwork and Testing
Step 3: Reporting
Step 1 – Audit Planning
This step consists of the tasks performed to adequately plan the work necessary to address the overall audit
objective and to solidify mutual understanding of the audit scope, objectives, audit process, and timing between
stakeholders and auditors. Tasks include:
Gather information to understand the environment under review
o Understand the environment under assessment
o Assess the City code, regulations, and other standards and expectations
o Assess prior audit results, as applicable
o Assess additional documentation and conduct interviews as necessary
Assess the audit risk
Prepare an audit planning memo and audit program
o Refine audit objectives and scope
o Identify the audit procedures to be performed and the evidence to be obtained and
examined
Announce the initiation of the audit and kick-off meeting with key stakeholders
o Discuss audit objectives, scope, audit process, timing, resources, and expectations
o Discuss documentation and interview requests for the audit
Step 2 – Fieldwork and Testing
The step involves executing the procedures in the audit program to gather information, interview
individuals, and analyze the data and information to obtain sufficient evidence to address the audit
objectives The preliminary audit objective is to determine (1) whether procurement are used appropriately
in compliance with the City’s policies and pertinent laws and regulations; (2) Evaluate the administration of
the Purchasing Card Program for adequate internal controls to safeguard the City from fraud, waste, and
abuse. Procedures include, but are not limited to:
Interviewing the appropriate individuals to gain an understanding of the organizational structure,
processes, and controls related to the Purchasing Card Program
Docusign Envelope ID: F60E09CC-400F-404E-8132-93318BE5ADE6
9
Analyze policies and procedures as well as the legislative and regulatory requirements to identify
the criteria to be used for evaluation of control design and effectiveness
Select a sample of P-Card transactions to assess
Compare processes and controls against best practices
Step 3 – Reporting
In Step 3, the project team will perform tasks necessary to finalize audit working papers, prepare and
review a draft report with stakeholders, and submit a final report for management response. Tasks include:
Developing findings, conclusions, and recommendations based on the supporting evidence
gathered
Validating findings with appropriate individuals and discuss the root cause of the identified
findings
Complete supervisory review of working papers and a draft audit report
Distribute a draft audit report and conduct a closing meeting with key stakeholders
o Discuss the audit results, findings, conclusions, and recommendations
o Discuss management responses
Obtain written management responses and finalize a report
Review report with members of City Council and/or the appropriate Council Committee
Deliverables:
The following deliverables will be prepared as part of this engagement:
Audit Report
Policy & Services Committee Audit Report Presentation
Schedule of Performance
Anticipated Start Date: January 1, 2025
Anticipated End Date: June 30, 2025
Maximum Compensation Amount and Rate Schedule
The not-to-exceed maximum, inclusive of reimbursable expenses (as summarized below) for this Task is $95,670.
The not-to-exceed budget is based on an estimate of 500 total project hours, of which a minimum of 50 are
estimated to be completed by the City Auditor.
Reimbursable Expenses
We plan to complete all work remote including all interviews and documentation review. However, during the
planning and fieldwork phases of this audit, the City and Baker Tilly may mutually determine it will be beneficial to
perform a portion of the work on-site. Given this possibility, Baker Tilly could incur expenses for this Task.
The not-to-exceed maximum for reimbursable expenses for this Task is $6,500.
The following summarizes anticipated reimbursable expenses:
Round-trip Airfare – $2,000 (1 round trip flight x 2 auditors)
Ground transportation – $800 (car rental or Uber/taxi)
Docusign Envelope ID: F60E09CC-400F-404E-8132-93318BE5ADE6
10
Hotel accommodation – $3,000 (2 rooms x 4 nights)
Food & Incidentals – $2,100
PROFESSIONAL SERVICES TASK ORDER
TASK ORDER FY25-4.30 Building Permit and Inspection Fees
Consultant shall perform the Services detailed below in accordance with all the terms and conditions of
the Agreement referenced in Item 1A below. All exhibits referenced in Item 8 below are incorporated into
this Task Order by this reference. The Consultant shall furnish the necessary facilities, professional,
technical and supporting personnel required by this Task Order as described below.
CONTRACT NO. C21179340
OR PURCHASE ORDER REQUISITION NO. (AS APPLICABLE)
1A. MASTER AGREEMENT NO. (MAY BE SAME AS CONTRACT / P.O. NO. ABOVE): C21179340
1B. TASK ORDER NO.: FY25-4.30
2. CONSULTANT NAME: Baker Tilly Advisory Group, LP
3. PERIOD OF PERFORMANCE: START: January 1, 2025 COMPLETION: June 30, 2025
4. TOTAL TASK ORDER PRICE: $95,670
BALANCE REMAINING IN MASTER AGREEMENT/CONTRACT TBD
5. BUDGET CODE_______________ COST CENTER________________ COST
ELEMENT______________ WBS/CIP__________ PHASE__________
6. CITY PROJECT MANAGER’S NAME & DEPARTMENT:
Lydia Kou, Chair of the City Council’s Policy and Services Committee
7. DESCRIPTION OF SCOPE OF SERVICES (Attachment A)
MUST INCLUDE:
SERVICES AND DELIVERABLES TO BE PROVIDED
SCHEDULE OF PERFORMANCE
MAXIMUM COMPENSATION AMOUNT AND RATE SCHEDULE (as applicable)
REIMBURSABLE EXPENSES, if any (with “not to exceed” amount)
8. ATTACHMENTS: A: Task Order Scope of Services B (if any): N/A
I hereby authorize the performance of the work
described in this Task Order.
APPROVED:
CITY OF PALO ALTO
BY:____________________________________
Name __________________________________
Title___________________________________
Date ___________________________________
I hereby acknowledge receipt and acceptance of
this Task Order and warrant that I have authority
to sign on behalf of Consultant.
APPROVED:
COMPANY NAME: Baker Tilly Advisory Group,
LP
BY:____________________________________
Name __________________________________
Title___________________________________
Date ___________________________________
Docusign Envelope ID: F60E09CC-400F-404E-8132-93318BE5ADE6
Kate Murdock
12/23/2024
Manager/ City Auditor
Council Member
Council Member Lydia Kou
12/25/2024
October 31, 2025
11
Attachment A
DESCRIPTION OF SCOPE OF SERVICES
Introduction
Attachment A, the Description of Scope of Services, contains the following four (4) elements:
Services and Deliverables To Be Provided
Schedule of Performance
Maximum Compensation Amount and Rate Schedule (As Applicable)
Reimbursable Expenses, if any (With “Not To Exceed” Amount)
Services & Deliverables
Baker Tilly’s approach to conducting an internal audit of the Building Permit and Inspection Fees involves three (3)
primary steps:
Step 1: Audit Planning
Step 2: Fieldwork and Testing
Step 3: Reporting
Step 1 – Audit Planning
This step consists of the tasks performed to adequately plan the work necessary to address the overall audit
objective and to solidify mutual understanding of the audit scope, objectives, audit process, and timing between
stakeholders and auditors. Tasks include:
Gather information to understand the environment under review
o Understand the environment under assessment
o Assess the City code, regulations, and other standards and expectations
o Assess prior audit results, as applicable
o Assess additional documentation and conduct interviews as necessary
Assess the audit risk
Prepare an audit planning memo and audit program
o Refine audit objectives and scope
o Identify the audit procedures to be performed and the evidence to be obtained and examined
Announce the initiation of the audit and kick-off meeting with key stakeholders
o Discuss audit objectives, scope, audit process, timing, resources, and expectations
o Discuss documentation and interview requests for the audit
Step 2 – Fieldwork and Testing
The step involves executing the procedures in the audit program to gather information, interview
individuals, and analyze the data and information to obtain sufficient evidence to address the audit
objectives The preliminary audit objective is to determine (1) If the City’s building permit and inspection
fees are accurately and consistently applied; (2) Evaluate the administration of the Development Services
Program for adequate internal controls to safeguard the City from fraud, waste, and abuse. Procedures
include, but are not limited to:
Interviewing the appropriate individuals to gain an understanding of the organizational structure,
processes, and controls related to the Development Services Program
Docusign Envelope ID: F60E09CC-400F-404E-8132-93318BE5ADE6
12
Analyze policies and procedures as well as the legislative and regulatory requirements to identify
the criteria to be used for evaluation of control design and effectiveness
Select a sample of Building Permit and Inspection Fee transactions to assess
Compare processes and controls against best practices
Step 3 – Reporting
In Step 3, the project team will perform tasks necessary to finalize audit working papers, prepare and
review a draft report with stakeholders, and submit a final report for management response. Tasks include:
Developing findings, conclusions, and recommendations based on the supporting evidence
gathered
Validating findings with appropriate individuals and discuss the root cause of the identified
findings
Complete supervisory review of working papers and a draft audit report
Distribute a draft audit report and conduct a closing meeting with key stakeholders
o Discuss the audit results, findings, conclusions, and recommendations
o Discuss management responses
Obtain written management responses and finalize a report
Review report with members of City Council and/or the appropriate Council Committee
Deliverables:
The following deliverables will be prepared as part of this engagement:
Audit Report
Policy & Services Committee Audit Report Presentation
Schedule of Performance
Anticipated Start Date: January 1, 2025
Anticipated End Date: June 30, 2025
Maximum Compensation Amount and Rate Schedule
The not-to-exceed maximum, inclusive of reimbursable expenses (as summarized below) for this Task is $95,670.
The not-to-exceed budget is based on an estimate of 500 total project hours, of which a minimum of 50 are
estimated to be completed by the City Auditor.
Reimbursable Expenses
We plan to complete all work remote including all interviews and documentation review. However, during the
planning and fieldwork phases of this audit, the City and Baker Tilly may mutually determine it will be beneficial to
perform a portion of the work on-site. Given this possibility, Baker Tilly could incur expenses for this Task.
The not-to-exceed maximum for reimbursable expenses for this Task is $6,500.
The following summarizes anticipated reimbursable expenses:
Round-trip Airfare – $2,000 (1 round trip flight x 2 auditors)
Ground transportation – $800 (car rental or Uber/taxi)
•Hotel accommodation – $3,000 (2 rooms x 4 nights)
•Food & Incidentals – $2,100
Docusign Envelope ID: F60E09CC-400F-404E-8132-93318BE5ADE6
13
PROFESSIONAL SERVICES TASK ORDER
TASK ORDER FY25-4.31 Junior Museum and Zoo
Consultant shall perform the Services detailed below in accordance with all the terms and conditions of the
Agreement referenced in Item 1A below. All exhibits referenced in Item 8 below are incorporated into this
Task Order by this reference. The Consultant shall furnish the necessary facilities, professional, technical
and supporting personnel required by this Task Order as described below.
CONTRACT NO. C21179340A
OR PURCHASE ORDER REQUISITION NO. (AS APPLICABLE)
1A. MASTER AGREEMENT NO. (MAY BE SAME AS CONTRACT / P.O. NO. ABOVE): C21179340A
1B. TASK ORDER NO.: FY25-4.31
2. CONSULTANT NAME: Baker Tilly Advisory Group, LP
3. PERIOD OF PERFORMANCE: START: January 1, 2025 COMPLETION: June 30, 2025
4. TOTAL TASK ORDER PRICE: $89,900
BALANCE REMAINING IN MASTER AGREEMENT/CONTRACT TBD
5. BUDGET CODE_______________ COST CENTER________________ COST
ELEMENT______________ WBS/CIP__________ PHASE__________
6. CITY PROJECT MANAGER’S NAME & DEPARTMENT:
Lydia Kou, Chair of the City Council’s Policy and Services Committee
7. DESCRIPTION OF SCOPE OF SERVICES (Attachment A)
MUST INCLUDE:
SERVICES AND DELIVERABLES TO BE PROVIDED
SCHEDULE OF PERFORMANCE
MAXIMUM COMPENSATION AMOUNT AND RATE SCHEDULE (as applicable)
REIMBURSABLE EXPENSES, if any (with “not to exceed” amount)
8. ATTACHMENTS: A: Task Order Scope of Services B (if any): N/A
I hereby authorize the performance of the work
described in this Task Order.
APPROVED:
CITY OF PALO ALTO
BY:____________________________________
Name __________________________________
Title___________________________________
Date ___________________________________
I hereby acknowledge receipt and acceptance of
this Task Order and warrant that I have authority
to sign on behalf of Consultant.
APPROVED:
COMPANY NAME: Baker Tilly Advisory Group,
LP
BY:____________________________________
Name __________________________________
Title___________________________________
Date ___________________________________
Docusign Envelope ID: F60E09CC-400F-404E-8132-93318BE5ADE6
Kate Murdock
Manager/ City Auditor
12/23/2024
Council Member
Council Member Lydia Kou
12/25/2024
October 31, 2025
14
Attachment A
DESCRIPTION OF SCOPE OF SERVICES
Introduction
Attachment A, the Description of Scope of Services, contains the following four (4) elements:
Services and Deliverables To Be Provided
Schedule of Performance
Maximum Compensation Amount and Rate Schedule (As Applicable)
Reimbursable Expenses, if any (With “Not To Exceed” Amount)
Services & Deliverables
Baker Tilly’s approach to conducting an internal audit of the Junior Museum and Zoo involves three (3) primary
steps:
Step 1: Audit Planning
Step 2: Fieldwork and Testing
Step 3: Reporting
Step 1 – Audit Planning
This step consists of the tasks performed to adequately plan the work necessary to address the overall audit
objective and to solidify mutual understanding of the audit scope, objectives, audit process, and timing between
stakeholders and auditors. Tasks include:
Gather information to understand the environment under review
o Understand the environment under assessment
o Assess the City code, regulations, and other standards and expectations
o Assess prior audit results, as applicable
o Assess additional documentation and conduct interviews as necessary
Assess the audit risk
Prepare an audit planning memo and audit program
o Refine audit objectives and scope
o Identify the audit procedures to be performed and the evidence to be obtained and examined
Announce the initiation of the audit and kick-off meeting with key stakeholders
o Discuss audit objectives, scope, audit process, timing, resources, and expectations
o Discuss documentation and interview requests for the audit
Step 2 – Fieldwork and Testing
The step involves executing the procedures in the audit program to gather information, interview
individuals, and analyze the data and information to obtain sufficient evidence to address the audit
objectives The preliminary audit objective is to determine if the City’s Junior Museum and Zoo is operating
effectively and efficiently to fulfill the program’s mission. Procedures include, but are not limited to:
Interviewing the appropriate individuals to gain an understanding of the organizational structure,
processes, and controls related to the Junior Museum and Zoo
Analyze policies and procedures as well as the program mission and objectives to identify the
criteria to be used for evaluation of control design and effectiveness
Compare processes and controls against best practices
Docusign Envelope ID: F60E09CC-400F-404E-8132-93318BE5ADE6
15
Step 3 – Reporting
In Step 3, the project team will perform tasks necessary to finalize audit working papers, prepare and
review a draft report with stakeholders, and submit a final report for management response. Tasks include:
Developing findings, conclusions, and recommendations based on the supporting evidence
gathered
Validating findings with appropriate individuals and discuss the root cause of the identified
findings
Complete supervisory review of working papers and a draft audit report
Distribute a draft audit report and conduct a closing meeting with key stakeholders
o Discuss the audit results, findings, conclusions, and recommendations
o Discuss management responses
Obtain written management responses and finalize a report
Review report with members of City Council and/or the appropriate Council Committee
Deliverables:
The following deliverables will be prepared as part of this engagement:
Audit Report
Policy & Services Committee Audit Report Presentation
Schedule of Performance
Anticipated Start Date: January 1, 2025
Anticipated End Date: June 30, 2025
Maximum Compensation Amount and Rate Schedule
The not-to-exceed maximum, inclusive of reimbursable expenses (as summarized below) for this Task is $89,900.
The not-to-exceed budget is based on an estimate of 500 total project hours, of which a minimum of 40 are
estimated to be completed by the City Auditor.
Reimbursable Expenses
We plan to complete all work remote including all interviews and documentation review. However, during the
planning and fieldwork phases of this audit, the City and Baker Tilly may mutually determine it will be beneficial to
perform a portion of the work on-site. Given this possibility, Baker Tilly could incur expenses for this Task.
The not-to-exceed maximum for reimbursable expenses for this Task is $6,500.
The following summarizes anticipated reimbursable expenses:
Round-trip Airfare – $2,000 (1 round trip flight x 2 auditors)
Ground transportation – $800 (car rental or Uber/taxi)
Hotel accommodation – $3,000 (2 rooms x 4 nights)
Food & Incidentals – $2,100
Docusign Envelope ID: F60E09CC-400F-404E-8132-93318BE5ADE6
16
PROFESSIONAL SERVICES TASK ORDER
TASK ORDER FY25-4.32 CSD Equipment and Materials Inventory Management
Consultant shall perform the Services detailed below in accordance with all the terms and conditions of the
Agreement referenced in Item 1A below. All exhibits referenced in Item 8 below are incorporated into this
Task Order by this reference. The Consultant shall furnish the necessary facilities, professional, technical
and supporting personnel required by this Task Order as described below.
CONTRACT NO. C21179340A
OR PURCHASE ORDER REQUISITION NO. (AS APPLICABLE)
1A. MASTER AGREEMENT NO. (MAY BE SAME AS CONTRACT / P.O. NO. ABOVE): C21179340A
1B. TASK ORDER NO.: FY25-4.32
2. CONSULTANT NAME: Baker Tilly Advisory Group, LP
3. PERIOD OF PERFORMANCE: START: January 1, 2025 COMPLETION: June 30, 2025
4. TOTAL TASK ORDER PRICE: $89,900
BALANCE REMAINING IN MASTER AGREEMENT/CONTRACT TBD
5. BUDGET CODE_______________ COST CENTER________________ COST
ELEMENT______________ WBS/CIP__________ PHASE__________
6. CITY PROJECT MANAGER’S NAME & DEPARTMENT:
Lydia Kou, Chair of the City Council’s Policy and Services Committee
7. DESCRIPTION OF SCOPE OF SERVICES (Attachment A)
MUST INCLUDE:
SERVICES AND DELIVERABLES TO BE PROVIDED
SCHEDULE OF PERFORMANCE
MAXIMUM COMPENSATION AMOUNT AND RATE SCHEDULE (as applicable)
REIMBURSABLE EXPENSES, if any (with “not to exceed” amount)
8. ATTACHMENTS: A: Task Order Scope of Services B (if any): N/A
I hereby authorize the performance of the work
described in this Task Order.
APPROVED:
CITY OF PALO ALTO
BY:____________________________________
Name __________________________________
Title___________________________________
Date ___________________________________
I hereby acknowledge receipt and acceptance of
this Task Order and warrant that I have authority
to sign on behalf of Consultant.
APPROVED:
COMPANY NAME: Baker Tilly Advisory Group,
LP
BY:____________________________________
Name __________________________________
Title___________________________________
Date ___________________________________
Docusign Envelope ID: F60E09CC-400F-404E-8132-93318BE5ADE6
Kate Murdock
12/23/2024
Manager/ City Auditor
Council Member
Council Member Lydia Kou
12/25/2024
October 31, 2025
17
Attachment A
DESCRIPTION OF SCOPE OF SERVICES
Introduction
Attachment A, the Description of Scope of Services, contains the following four (4) elements:
Services and Deliverables To Be Provided
Schedule of Performance
Maximum Compensation Amount and Rate Schedule (As Applicable)
Reimbursable Expenses, if any (With “Not To Exceed” Amount)
Services & Deliverables
Baker Tilly’s approach to conducting an internal audit of the Community Services Department Equipment and
Materials Inventory Management three (3) primary steps:
Step 1: Audit Planning
Step 2: Fieldwork and Testing
Step 3: Reporting
Step 1 – Audit Planning
This step consists of the tasks performed to adequately plan the work necessary to address the overall audit
objective and to solidify mutual understanding of the audit scope, objectives, audit process, and timing between
stakeholders and auditors. Tasks include:
Gather information to understand the environment under review
o Understand the environment under assessment
o Assess the City code, regulations, and other standards and expectations
o Assess prior audit results, as applicable
o Assess additional documentation and conduct interviews as necessary
Assess the audit risk
Prepare an audit planning memo and audit program
o Refine audit objectives and scope
o Identify the audit procedures to be performed and the evidence to be obtained and examined
Announce the initiation of the audit and kick-off meeting with key stakeholders
o Discuss audit objectives, scope, audit process, timing, resources, and expectations
o Discuss documentation and interview requests for the audit
Step 2 – Fieldwork and Testing
The step involves executing the procedures in the audit program to gather information, interview
individuals, and analyze the data and information to obtain sufficient evidence to address the audit
objectives The preliminary audit objective is to determine if the Community Services Department
Equipment and Materials Inventory Management system is operating effectively and efficiently:
Interviewing the appropriate individuals to gain an understanding of the equipment and materials
inventory management system
Analyze policies and procedures related to equipment and material management and procurement
to identify the criteria to be used for evaluation of control design and effectiveness
Compare processes and controls against best practices
Docusign Envelope ID: F60E09CC-400F-404E-8132-93318BE5ADE6
18
Step 3 – Reporting
In Step 3, the project team will perform tasks necessary to finalize audit working papers, prepare and
review a draft report with stakeholders, and submit a final report for management response. Tasks include:
Developing findings, conclusions, and recommendations based on the supporting evidence
gathered
Validating findings with appropriate individuals and discuss the root cause of the identified
findings
Complete supervisory review of working papers and a draft audit report
Distribute a draft audit report and conduct a closing meeting with key stakeholders
o Discuss the audit results, findings, conclusions, and recommendations
o Discuss management responses
Obtain written management responses and finalize a report
Review report with members of City Council and/or the appropriate Council Committee
Deliverables:
The following deliverables will be prepared as part of this engagement:
Audit Report
Policy & Services Committee Audit Report Presentation
Schedule of Performance
Anticipated Start Date: January 1, 2025
Anticipated End Date: June 30, 2025
Maximum Compensation Amount and Rate Schedule
The not-to-exceed maximum, inclusive of reimbursable expenses (as summarized below) for this Task is $89,900.
The not-to-exceed budget is based on an estimate of 500 total project hours, of which a minimum of 40 are
estimated to be completed by the City Auditor.
Reimbursable Expenses
We plan to complete all work remote including all interviews and documentation review. However, during the
planning and fieldwork phases of this audit, the City and Baker Tilly may mutually determine it will be beneficial to
perform a portion of the work on-site. Given this possibility, Baker Tilly could incur expenses for this Task.
The not-to-exceed maximum for reimbursable expenses for this Task is $6,500.
The following summarizes anticipated reimbursable expenses:
Round-trip Airfare – $2,000 (1 round trip flight x 2 auditors)
Ground transportation – $800 (car rental or Uber/taxi)
Hotel accommodation – $3,000 (2 rooms x 4 nights)
Food & Incidentals – $2,100
Docusign Envelope ID: F60E09CC-400F-404E-8132-93318BE5ADE6
19
PROFESSIONAL SERVICES TASK ORDER
TASK ORDER FY25-4.33 Public Safety Staffing
Consultant shall perform the Services detailed below in accordance with all the terms and conditions of the
Agreement referenced in Item 1A below. All exhibits referenced in Item 8 below are incorporated into this
Task Order by this reference. The Consultant shall furnish the necessary facilities, professional, technical
and supporting personnel required by this Task Order as described below.
CONTRACT NO. C21179340A
OR PURCHASE ORDER REQUISITION NO. (AS APPLICABLE)
1A. MASTER AGREEMENT NO. (MAY BE SAME AS CONTRACT / P.O. NO. ABOVE): C21179340A
1B. TASK ORDER NO.: FY25-4.33
2. CONSULTANT NAME: Baker Tilly Advisory Group, LP
3. PERIOD OF PERFORMANCE: START: January 1, 2025 COMPLETION: June 30, 2025
4. TOTAL TASK ORDER PRICE: $95,670
BALANCE REMAINING IN MASTER AGREEMENT/CONTRACT TBD
5. BUDGET CODE_______________ COST CENTER________________ COST
ELEMENT______________ WBS/CIP__________ PHASE__________
6. CITY PROJECT MANAGER’S NAME & DEPARTMENT:
Lydia Kou, Chair of the City Council’s Policy and Services Committee
7. DESCRIPTION OF SCOPE OF SERVICES (Attachment A)
MUST INCLUDE:
SERVICES AND DELIVERABLES TO BE PROVIDED
SCHEDULE OF PERFORMANCE
MAXIMUM COMPENSATION AMOUNT AND RATE SCHEDULE (as applicable)
REIMBURSABLE EXPENSES, if any (with “not to exceed” amount)
8. ATTACHMENTS: A: Task Order Scope of Services B (if any): N/A
I hereby authorize the performance of the work
described in this Task Order.
APPROVED:
CITY OF PALO ALTO
BY:____________________________________
Name __________________________________
Title___________________________________
Date ___________________________________
I hereby acknowledge receipt and acceptance of
this Task Order and warrant that I have authority
to sign on behalf of Consultant.
APPROVED:
COMPANY NAME: Baker Tilly Advisory Group,
LP
BY:____________________________________
Name __________________________________
Title___________________________________
Date ___________________________________
Docusign Envelope ID: F60E09CC-400F-404E-8132-93318BE5ADE6
Manager/ City Auditor
Kate Murdock
12/23/2024
Council Member
Council Member Lydia Kou
12/25/2024
October 31, 2025
20
Attachment A
DESCRIPTION OF SCOPE OF SERVICES
Introduction
Attachment A, the Description of Scope of Services, contains the following four (4) elements:
Services and Deliverables To Be Provided
Schedule of Performance
Maximum Compensation Amount and Rate Schedule (As Applicable)
Reimbursable Expenses, if any (With “Not To Exceed” Amount)
Services & Deliverables
Baker Tilly’s approach to conducting an internal audit of Public Safety Staffing including Overtime three (3)
primary steps:
Step 1: Audit Planning
Step 2: Fieldwork and Testing
Step 3: Reporting
Step 1 – Audit Planning
This step consists of the tasks performed to adequately plan the work necessary to address the overall audit
objective and to solidify mutual understanding of the audit scope, objectives, audit process, and timing between
stakeholders and auditors. Tasks include:
Gather information to understand the environment under review
o Understand the environment under assessment
o Assess the City code, regulations, and other standards and expectations
o Assess prior audit results, as applicable
o Assess additional documentation and conduct interviews as necessary
Assess the audit risk
Prepare an audit planning memo and audit program
o Refine audit objectives and scope
o Identify the audit procedures to be performed and the evidence to be obtained and examined
Announce the initiation of the audit and kick-off meeting with key stakeholders
o Discuss audit objectives, scope, audit process, timing, resources, and expectations
o Discuss documentation and interview requests for the audit
Step 2 – Fieldwork and Testing
The step involves executing the procedures in the audit program to gather information, interview
individuals, and analyze the data and information to obtain sufficient evidence to address the audit
objectives The preliminary audit objective is to determine if the Public Safety Departments (Fire and
Police) are effectively and efficiently staffed including use of overtime:
Interviewing the appropriate individuals to gain an understanding of the organizational structures,
processes, and controls related to staffing and use of overtime including plans and systems used
Analyze policies and procedures related to Public Safety staffing to identify the criteria to be used
for evaluation of control design and effectiveness
Docusign Envelope ID: F60E09CC-400F-404E-8132-93318BE5ADE6
21
Analyze Public Safety performance metrics to determine if staffing levels enable desired
performance outcomes
Compare performance processes and controls against best practices
Step 3 – Reporting
In Step 3, the project team will perform tasks necessary to finalize audit working papers, prepare and
review a draft report with stakeholders, and submit a final report for management response. Tasks include:
Developing findings, conclusions, and recommendations based on the supporting evidence
gathered
Validating findings with appropriate individuals and discuss the root cause of the identified
findings
Complete supervisory review of working papers and a draft audit report
Distribute a draft audit report and conduct a closing meeting with key stakeholders
o Discuss the audit results, findings, conclusions, and recommendations
o Discuss management responses
Obtain written management responses and finalize a report
Review report with members of City Council and/or the appropriate Council Committee
Deliverables:
The following deliverables will be prepared as part of this engagement:
Audit Report
Policy & Services Committee Audit Report Presentation
Schedule of Performance
Anticipated Start Date: January 1, 2025
Anticipated End Date: June 30, 2025
Maximum Compensation Amount and Rate Schedule
The not-to-exceed maximum, inclusive of reimbursable expenses (as summarized below) for this Task is $95,670.
The not-to-exceed budget is based on an estimate of 500 total project hours, of which a minimum of 50 are
estimated to be completed by the City Auditor.
Reimbursable Expenses
We plan to complete all work remote including all interviews and documentation review. However, during the
planning and fieldwork phases of this audit, the City and Baker Tilly may mutually determine it will be beneficial to
perform a portion of the work on-site. Given this possibility, Baker Tilly could incur expenses for this Task.
The not-to-exceed maximum for reimbursable expenses for this Task is $6,500.
The following summarizes anticipated reimbursable expenses:
•Round-trip Airfare – $2,000 (1 round trip flight x 2 auditors)
•Ground transportation – $800 (car rental or Uber/taxi)
•Hotel accommodation – $3,000 (2 rooms x 4 nights)
•Food & Incidentals – $2,100
Docusign Envelope ID: F60E09CC-400F-404E-8132-93318BE5ADE6
22
PROFESSIONAL SERVICES TASK ORDER
TASK ORDER FY25-4.34 Follow-Up Audit Activities
Consultant shall perform the Services detailed below in accordance with all the terms and conditions of the
Agreement referenced in Item 1A below. All exhibits referenced in Item 8 below are incorporated into this
Task Order by this reference. The Consultant shall furnish the necessary facilities, professional, technical
and supporting personnel required by this Task Order as described below.
CONTRACT NO. C21179340A
OR PURCHASE ORDER REQUISITION NO. (AS APPLICABLE)
1A. MASTER AGREEMENT NO. (MAY BE SAME AS CONTRACT / P.O. NO. ABOVE): C21179340A
1B. TASK ORDER NO.: FY25-4.34
2. CONSULTANT NAME: Baker Tilly Advisory Group, LP
3. PERIOD OF PERFORMANCE: START: January 1, 2025 COMPLETION: June 30, 2025
4. TOTAL TASK ORDER PRICE: $59,390
BALANCE REMAINING IN MASTER AGREEMENT/CONTRACT TBD
5. BUDGET CODE_______________ COST CENTER________________ COST
ELEMENT______________ WBS/CIP__________ PHASE__________
6. CITY PROJECT MANAGER’S NAME & DEPARTMENT:
Lydia Kou, Chair of the City Council’s Policy and Services Committee
7. DESCRIPTION OF SCOPE OF SERVICES (Attachment A)
MUST INCLUDE:
SERVICES AND DELIVERABLES TO BE PROVIDED
SCHEDULE OF PERFORMANCE
MAXIMUM COMPENSATION AMOUNT AND RATE SCHEDULE (as applicable)
REIMBURSABLE EXPENSES, if any (with “not to exceed” amount)
8. ATTACHMENTS: A: Task Order Scope of Services B (if any): N/A
I hereby authorize the performance of the work
described in this Task Order.
APPROVED:
CITY OF PALO ALTO
BY:____________________________________
Name __________________________________
Title___________________________________
Date ___________________________________
I hereby acknowledge receipt and acceptance of
this Task Order and warrant that I have authority
to sign on behalf of Consultant.
APPROVED:
COMPANY NAME: Baker Tilly Advisory Group,
LP
BY:____________________________________
Name __________________________________
Title___________________________________
Date ___________________________________
Docusign Envelope ID: F60E09CC-400F-404E-8132-93318BE5ADE6
Kate Murdock
Manager/ City Auditor12/23/2024
Council Member
12/25/2024
Council Member Lydia Kou
October 31, 2025
23
Attachment A
DESCRIPTION OF SCOPE OF SERVICES
Introduction
Attachment A, the Description of Scope of Services, contains the following four (4) elements:
Services and Deliverables To Be Provided
Schedule of Performance
Maximum Compensation Amount and Rate Schedule (As Applicable)
Reimbursable Expenses, if any (With “Not To Exceed” Amount)
Services & Deliverables
Baker Tilly will provide the following services in conducting Follow-Up Audit Activities::
Track and monitor progress on all audit recommendations
Obtain sufficient evidence to support conclusions regarding the status of audit recommendations
Annually report on the status of recommendations
Deliverables:
The following deliverables will be prepared as part of this engagement:
Annual Status of Audit Recommendations Report
Policy & Services Committee Report Presentation
Schedule of Performance
Anticipated Start Date: January 1, 2025
Anticipated End Date: June 30, 2025
Maximum Compensation Amount and Rate Schedule
The not-to-exceed maximum, inclusive of reimbursable expenses (as summarized below) for this Task is $59,390.
The not-to-exceed budget is based on an estimate of 500 total project hours, of which a minimum of 40 are
estimated to be completed by the City Auditor.
Docusign Envelope ID: F60E09CC-400F-404E-8132-93318BE5ADE6
PROFESSIONAL SERVICES TASK ORDER
TASK ORDER FY24-4.24 Grant Management
Consultant shall perform the Services detailed below in accordance with all the terms and conditions of the
Agreement referenced in Item 1A below. All exhibits referencedFY24 in Item 8 below are incorporated
into this Task Order by this reference. The Consultant shall furnish the necessary facilities, professional,
technical and supporting personnel required by this Task Order as described below.
CONTRACT NO. C21179340
OR PURCHASE ORDER REQUISITION NO. (AS APPLICABLE)
1A. MASTER AGREEMENT NO. (MAY BE SAME AS CONTRACT / P.O. NO. ABOVE): C21179340
1B. TASK O RDER NO.: FY23-4.24
2. CONSULTANT NAME: Baker Tilly US, LLP
3. PERIOD OF PERFORMANCE: START: March 1, 2024 COMPLETION: December 31, 2024
4 TOTAL TASK ORDER PRICE: $60,330
BALANCE REMAINING IN MASTER AGREEMENT/CONTRACT TBD
5. BUDGET CODE_______________
COST CENTER________________
COST ELEMENT______________
WBS/CIP__________
PHASE__________
6. CITY PROJECT MANAGER’S NAME & DEPARTMENT:
Lydia Kou, Chair of the City Council’s Policy and Services Committee
7. DESCRIPTION OF SCOPE OF SERVICES (Attachment A)
MUST INCLUDE:
SERVICES AND DELIVERABLES TO BE PROVIDED
SCHEDULE OF PERFORMANCE
MAXIMUM COMPENSATION AMOUNT AND RATE SCHEDULE (as applicable)
REIMBURSABLE EXPENSES, if any (with “not to exceed” amount)
8. ATTACHMENTS: A: Task Order Scope of Services B (if any): N/A
I hereby authorize the performance of the
work described in this Task Order.
APPROVED:
CITY OF PALO ALTO
BY:____________________________________
Name __________________________________
Title___________________________________
Date ___________________________________
I hereby acknowledge receipt and acceptance of
this Task Order and warrant that I have
authority to sign on behalf of Consultant.
APPROVED:
COMPANY NAME: ______________________
BY:____________________________________
Name __________________________________
Title___________________________________
Date ___________________________________
DocuSign Envelope ID: 62185555-39CD-4C18-8BA9-8E5B08CEB256
3/7/2024
Council Member Lydia Kou
Council Member
Kate Crowley
3/11/2024
Baker Tilly US, LLP
Director
June 30, 2025
Attachment A
DESCRIPTION OF SCOPE OF SERVICES
Introduction
Attachment A, the Description of Scope of Services, contains the following four (4) elements:
Services and Deliverables To Be Provided
Schedule of Performance
Maximum Compensation Amount and Rate Schedule (As Applicable)
Reimbursable Expenses, if any (With “Not To Exceed” Amount)
Services & Deliverables
Baker Tilly’s approach to conducting an internal audit of Grant Management involves three (3)
primary steps:
Step 1: Audit Planning
Step 2: Control Review and Testing
Step 3: Reporting
Step 1 – Audit Planning
This step consists of the tasks performed to adequately plan the work necessary to address
the overall audit objective and to solidify mutual understanding of the audit scope,
objectives, audit process, and timing between stakeholders and auditors. Tasks include:
Gather information to understand the environment under review
o Understand the organizational structure and objectives
o Review the City code, regulations, and other standards and expectations
o Review prior audit results, as applicable
o Review additional documentation and conduct interviews as necessary
Assess the audit risk
Write an audit planning memo and audit program
o Refine audit objectives and scope
o Identify the audit procedures to be performed and the evidence to be obtained
and examined
Announce the initiation of the audit and conduct kick-off meeting with key
stakeholders
o Discuss audit objectives, scope, audit process, timing, resources, and
expectations
o Discuss documentation and interview requests for the audit
DocuSign Envelope ID: 62185555-39CD-4C18-8BA9-8E5B08CEB256
Step 2 – Control Review and Testing
This step involves executing the procedures in the audit program to gather information,
interview individuals, and analyze the data and information to obtain sufficient evidence to
address the audit objectives. The preliminary audit objective is to determine whether the City
has adequate internal controls to manage the grant lifecycle efficiently and effectively.
Procedures include, but not limited to:
Interview the appropriate individuals to gain an understanding of the organizational
structure, processes, and controls related to grant management.
Review policies and procedures as well as the legislative and regulatory requirements
to identify the criteria to be used for evaluation of control design and effectiveness.
Select a sample of grants for documentation review.
Compare the process and controls against the best practices.
Step 3 – Reporting
In Step 3, the project team will perform tasks necessary to finalize audit working papers,
prepare and review a draft report with the stakeholders, and submit a final audit report. Tasks
include:
Develop findings, conclusions, and recommendations based on the supporting
evidence gathered
Validate findings with the appropriate individuals and discuss the root cause of the
identified findings
Complete supervisory review of working papers and a draft audit report
Distribute a draft audit report and conduct a closing meeting with key stakeholders
o Discuss the audit results, finings, conclusions, and recommendations
o Discuss management responses
Obtain written management responses and finalize a report
Review report with members of City Council and/or the appropriate Council
Committee
Deliverables:
The following deliverable will be prepared as part of this engagement:
Audit Report
Schedule of Performance
Anticipated Start Date: March 1, 2024
Anticipated End Date: December 31, 2024
Maximum Compensation Amount and Rate Schedule
The not-to-exceed maximum, inclusive of reimbursable expenses (as summarized below) for this
DocuSign Envelope ID: 62185555-39CD-4C18-8BA9-8E5B08CEB256
Task is $60,330. The not-to-exceed budget is based on an estimate of 315 total project hours, of
which 23 are estimated to be completed by the City Auditor.
Reimbursable Expenses
We plan to complete all work remote including all interviews and documentation review. If at
any point the City and Baker Tilly mutually determine it will be beneficial to perform a portion
of the work on-site, we will submit an estimate of our reimbursable expenses for the City’s
approval prior to traveling to Palo Alto.
DocuSign Envelope ID: 62185555-39CD-4C18-8BA9-8E5B08CEB256
PROFESSIONAL SERVICES TASK ORDER
TASK ORDER FY24-4.27 Payment Card Industry Data Security Standard (PCI DSS)
Consultant shall perform the Services detailed below in accordance with all the terms and conditions of the
Agreement referenced in Item 1A below. All exhibits referencedFY24 in Item 8 below are incorporated
into this Task Order by this reference. The Consultant shall furnish the necessary facilities, professional,
technical and supporting personnel required by this Task Order as described below.
CONTRACT NO. C21179340
OR PURCHASE ORDER REQUISITION NO. (AS APPLICABLE)
1A. MASTER AGREEMENT NO. (MAY BE SAME AS CONTRACT / P.O. NO. ABOVE): C21179340
1B. TASK O RDER NO.: FY23-4.27
2. CONSULTANT NAME: Baker Tilly US, LLP
3. PERIOD OF PERFORMANCE: START: March 1, 2024 COMPLETION: December 31, 2024
4 TOTAL TASK ORDER PRICE: $69,680
BALANCE REMAINING IN MASTER AGREEMENT/CONTRACT TBD
5. BUDGET CODE_______________
COST CENTER________________
COST ELEMENT______________
WBS/CIP__________
PHASE__________
6. CITY PROJECT MANAGER’S NAME & DEPARTMENT:
Lydia Kou, Chair of the City Council’s Policy and Services Committee
7. DESCRIPTION OF SCOPE OF SERVICES (Attachment A)
MUST INCLUDE:
SERVICES AND DELIVERABLES TO BE PROVIDED
SCHEDULE OF PERFORMANCE
MAXIMUM COMPENSATION AMOUNT AND RATE SCHEDULE (as applicable)
REIMBURSABLE EXPENSES, if any (with “not to exceed” amount)
8. ATTACHMENTS: A: Task Order Scope of Services B (if any): N/A
I hereby authorize the performance of the
work described in this Task Order.
APPROVED:
CITY OF PALO ALTO
BY:____________________________________
Name __________________________________
Title___________________________________
Date ___________________________________
I hereby acknowledge receipt and acceptance of
this Task Order and warrant that I have
authority to sign on behalf of Consultant.
APPROVED:
COMPANY NAME: ______________________
BY:____________________________________
Name __________________________________
Title___________________________________
Date ___________________________________
DocuSign Envelope ID: 62185555-39CD-4C18-8BA9-8E5B08CEB256
3/7/2024
Council Member Lydia Kou
Council Member
Baker Tilly US, LLP
Director
3/11/2024
Kate Crowley
June 30, 2025
Attachment A
DESCRIPTION OF SCOPE OF SERVICES
Introduction
Attachment A, the Description of Scope of Services, contains the following four (4) elements:
Services and Deliverables To Be Provided
Schedule of Performance
Maximum Compensation Amount and Rate Schedule (As Applicable)
Reimbursable Expenses, if any (With “Not To Exceed” Amount)
Services & Deliverables
Baker Tilly’s approach to conducting an internal audit of Payment Card Industry Data Security
Standard (PCI DSS) Compliance involves three (3) primary steps:
Step 1: Audit Planning
Step 2: Control Review and Testing
Step 3: Reporting
Step 1 – Audit Planning
This step consists of the tasks performed to adequately plan the work necessary to address
the overall audit objective and to solidify mutual understanding of the audit scope,
objectives, audit process, and timing between stakeholders and auditors. Tasks include:
Gather information to understand the environment under review
o Understand the organizational structure and objectives
o Review the City code, regulations, and other standards and expectations
o Review prior audit results, as applicable
o Review additional documentation and conduct interviews as necessary
Assess the audit risk
Write an audit planning memo and audit program
o Refine audit objectives and scope
o Identify the audit procedures to be performed and the evidence to be obtained
and examined
Announce the initiation of the audit and conduct kick-off meeting with key
stakeholders
o Discuss audit objectives, scope, audit process, timing, resources, and
expectations
o Discuss documentation and interview requests for the audit
DocuSign Envelope ID: 62185555-39CD-4C18-8BA9-8E5B08CEB256
Step 2 – Control Review and Testing
This step involves executing the procedures in the audit program to gather information,
interview individuals, and analyze the data and information to obtain sufficient evidence to
address the audit objectives. The preliminary audit objective is to determine whether the
internal controls over the payment card processing are adequate and working effectively for
the City and any third party service provider. Procedures include, but not limited to:
Interview the appropriate individuals to gain an understanding of the organizational
structure, processes, and controls related to compliance with PCI/DSS for payment
card processing.
Review policies and procedures as well as the legislative and regulatory requirements
(including PCI/DSS) to identify the criteria to be used for evaluation of control design
and effectiveness.
Review the documentation related to ensuring third party providers’ PCI/DSS
compliance
Compare the process and controls against the best practices.
Step 3 – Reporting
In Step 3, the project team will perform tasks necessary to finalize audit working papers,
prepare and review a draft report with the stakeholders, and submit a final audit report. Tasks
include:
Develop findings, conclusions, and recommendations based on the supporting
evidence gathered
Validate findings with the appropriate individuals and discuss the root cause of the
identified findings
Complete supervisory review of working papers and a draft audit report
Distribute a draft audit report and conduct a closing meeting with key stakeholders
o Discuss the audit results, finings, conclusions, and recommendations
o Discuss management responses
Obtain written management responses and finalize a report
Review report with members of City Council and/or the appropriate Council
Committee
Deliverables:
The following deliverable will be prepared as part of this engagement:
Audit Report
Schedule of Performance
Anticipated Start Date: March 1, 2024
Anticipated End Date: December 31, 2024
DocuSign Envelope ID: 62185555-39CD-4C18-8BA9-8E5B08CEB256
Maximum Compensation Amount and Rate Schedule
The not-to-exceed maximum, inclusive of reimbursable expenses (as summarized below) for this
Task is $69,680. The not-to-exceed budget is based on an estimate of 370 total project hours, of
which 10 hours are estimated to be completed by the City Auditor.
Reimbursable Expenses
We plan to complete all work remote including all interviews and documentation review.
However, during the planning and fieldwork phases of this audit, the City and Baker Tilly may
mutually determine it will be beneficial to perform a portion of the work on-site. Given this
possibility, Baker Tilly could incur reimbursable expenses for this Task.
The not-to-exceed maximum for reimbursable expenses for this Task is $6,500.
The following summarizes anticipated reimbursable expenses:
Round-trip Airfare – $2,000 (1 round trip flights x 2 auditors)
Ground Transportation (car rental or Uber/taxi) - $800
Hotel accommodation - $3,000 (2 rooms x 4 nights)
Food and incidentals – $700
DocuSign Envelope ID: 62185555-39CD-4C18-8BA9-8E5B08CEB256
PROFESSIONAL SERVICES TASK ORDER
TASK ORDER FY24-4.26 Utility Billing
Consultant shall perform the Services detailed below in accordance with all the terms and conditions of the
Agreement referenced in Item 1A below. All exhibits referencedFY24 in Item 8 below are incorporated
into this Task Order by this reference. The Consultant shall furnish the necessary facilities, professional,
technical and supporting personnel required by this Task Order as described below.
CONTRACT NO. C21179340A
OR PURCHASE ORDER REQUISITION NO. (AS APPLICABLE)
1A.
1B.
MASTER AGREEMENT NO. (MAY BE SAME AS CONTRACT / P.O. NO. ABOVE): C21179340A
TASK O RDER NO.: FY23-4.26
2.CONSULTANT NAME: Baker Tilly Advisory Group, LP
3.PERIOD OF PERFORMANCE: START: March 1, 2024 COMPLETION: December 31, 2024
4 TOTAL TASK ORDER PRICE: $72,010 $75,010.00 Increased by $3,000
BALANCE REMAINING IN MASTER AGREEMENT/CONTRACT TBD
5. BUDGET CODE_______________
COST CENTER________________
COST ELEMENT______________
WBS/CIP__________
PHASE__________
6. CITY PROJECT MANAGER’S NAME & DEPARTMENT:
Lydia Kou, Chair of the City Council’s Policy and Services Committee
7. DESCRIPTION OF SCOPE OF SERVICES (Attachment A)
MUST INCLUDE:
SERVICES AND DELIVERABLES TO BE PROVIDED
SCHEDULE OF PERFORMANCE
MAXIMUM COMPENSATION AMOUNT AND RATE SCHEDULE (as applicable)
REIMBURSABLE EXPENSES, if any (with “not to exceed” amount)
8. ATTACHMENTS: A: Task Order Scope of Services B (if any): N/A
I hereby authorize the performance of the
work described in this Task Order.
APPROVED:
CITY OF PALO ALTO
BY:____________________________________
Name __________________________________
Title ____________________
Date ___________________________________
I hereby acknowledge receipt and acceptance of
this Task Order and warrant that I have
authority to sign on behalf of Consultant.
APPROVED:
COMPANY NAME: ______________________
BY:____________________________________
Name ____________________
Title__ ________________________
Date ___________________________________
Docusign Envelope ID: E008AC75-7AE6-49DD-B29E-91EE8C83AC25
Kate Murdock
Baker Tilly Advisory Group, LP
12/23/2024
Manager/ City AuditorManager
Council Member Lydia Kou
12/25/2024
June 30, 2025
Attachment A
DESCRIPTION OF SCOPE OF SERVICES
Introduction
Attachment A, the Description of Scope of Services, contains the following four (4) elements:
Services and Deliverables To Be Provided
Schedule of Performance
Maximum Compensation Amount and Rate Schedule (As Applicable)
Reimbursable Expenses, if any (With “Not To Exceed” Amount)
Services & Deliverables
Baker Tilly’s approach to conducting an internal audit of Utility Billing involves three (3)
primary steps:
Step 1: Audit Planning
Step 2: Control Review and Testing
Step 3: Reporting
Step 1 – Audit Planning
This step consists of the tasks performed to adequately plan the work necessary to address
the overall audit objective and to solidify mutual understanding of the audit scope,
objectives, audit process, and timing between stakeholders and auditors. Tasks include:
Gather information to understand the environment under review
o Understand the organizational structure and objectives
o Review the City code, regulations, and other standards and expectations
o Review prior audit results, as applicable
o Review additional documentation and conduct interviews as necessary
Assess the audit risk
Write an audit planning memo and audit program
o Refine audit objectives and scope
o Identify the audit procedures to be performed and the evidence to be obtained
and examined
Announce the initiation of the audit and conduct kick-off meeting with key
stakeholders
o Discuss audit objectives, scope, audit process, timing, resources, and
expectations
o Discuss documentation and interview requests for the audit
Docusign Envelope ID: E008AC75-7AE6-49DD-B29E-91EE8C83AC25
Step 2 – Control Review and Testing
This step involves executing the procedures in the audit program to gather information,
interview individuals, and analyze the data and information to obtain sufficient evidence to
address the audit objectives. The preliminary audit objective is to (1) determine whether the
internal controls over the utility billing process are adequate and working effectively to
ensure billing is accurate and in compliance with the City's policy and regulations; (2)
determine whether billing adjustments are properly supported and approved. Procedures
include, but not limited to:
Interview the appropriate individuals to gain an understanding of the organizational
structure, processes, and controls related to utility billing.
Review policies and procedures as well as the legislative and regulatory requirements
to identify the criteria to be used for evaluation of control design and effectiveness.
Select a sample of utility invoices and a sample of billing adjustments for testing.
Compare the process and controls against the best practices.
Step 3 – Reporting
In Step 3, the project team will perform tasks necessary to finalize audit working papers,
prepare and review a draft report with the stakeholders, and submit a final audit report. Tasks
include:
Develop findings, conclusions, and recommendations based on the supporting
evidence gathered
Validate findings with the appropriate individuals and discuss the root cause of the
identified findings
Complete supervisory review of working papers and a draft audit report
Distribute a draft audit report and conduct a closing meeting with key stakeholders
o Discuss the audit results, finings, conclusions, and recommendations
o Discuss management responses
Obtain written management responses and finalize a report
Review report with members of City Council and/or the appropriate Council
Committee
Deliverables:
The following deliverable will be prepared as part of this engagement:
Audit Report
Schedule of Performance
Anticipated Start Date: March 1, 2024
Anticipated End Date: December 31, 2024
Docusign Envelope ID: E008AC75-7AE6-49DD-B29E-91EE8C83AC25
Maximum Compensation Amount and Rate Schedule
The not-to-exceed maximum, inclusive of reimbursable expenses (as summarized below) for this
Task is $72,010. The not-to-exceed budget is based on an estimate of 385 total project hours, of
which 24 are estimated to be completed by the City Auditor.
Reimbursable Expenses
We plan to complete all work remote including all interviews and documentation review. If at
any point the City and Baker Tilly mutually determine it will be beneficial to perform a portion
of the work on-site, we will submit an estimate of our reimbursable expenses for the City’s
approval prior to traveling to Palo Alto.
Docusign Envelope ID: E008AC75-7AE6-49DD-B29E-91EE8C83AC25
PROFESSIONAL SERVICES TASK ORDER
TASK ORDER FY24-4.25 Emergency Preparedness
Consultant shall perform the Services detailed below in accordance with all the terms and conditions of the
Agreement referenced in Item 1A below. All exhibits referencedFY24 in Item 8 below are incorporated
into this Task Order by this reference. The Consultant shall furnish the necessary facilities, professional,
technical and supporting personnel required by this Task Order as described below.
CONTRACT NO. C21179340A
OR PURCHASE ORDER REQUISITION NO. (AS APPLICABLE)
1A.
1B.
MASTER AGREEMENT NO. (MAY BE SAME AS CONTRACT / P.O. NO. ABOVE): C21179340A
TASK O RDER NO.: FY23-4.25
2.CONSULTANT NAME: Baker Tilly Advisory Group, LP
3.PERIOD OF PERFORMANCE: START: March 1, 2024 COMPLETION: December 31, 2024
4 TOTAL TASK ORDER PRICE: $73,110 $75,110.00 Increased by $2,000.00
BALANCE REMAINING IN MASTER AGREEMENT/CONTRACT TBD
5. BUDGET CODE_______________
COST CENTER________________
COST ELEMENT______________
WBS/CIP__________
PHASE__________
6. CITY PROJECT MANAGER’S NAME & DEPARTMENT:
Lydia Kou, Chair of the City Council’s Policy and Services Committee
7. DESCRIPTION OF SCOPE OF SERVICES (Attachment A)
MUST INCLUDE:
SERVICES AND DELIVERABLES TO BE PROVIDED
SCHEDULE OF PERFORMANCE
MAXIMUM COMPENSATION AMOUNT AND RATE SCHEDULE (as applicable)
REIMBURSABLE EXPENSES, if any (with “not to exceed” amount)
8. ATTACHMENTS: A: Task Order Scope of Services B (if any): N/A
I hereby authorize the performance of the
work described in this Task Order.
APPROVED:
CITY OF PALO ALTO
BY:____________________________________
Name __________________________________
Title____________________
Date ___________________________________
I hereby acknowledge receipt and acceptance of
this Task Order and warrant that I have
authority to sign on behalf of Consultant.
APPROVED:
COMPANY NAME: ______________________
BY:____________________________________
Name __________________________________
Title___________________________________
Date ___________________________________
Docusign Envelope ID: E008AC75-7AE6-49DD-B29E-91EE8C83AC25
Baker Tilly Advisory Group, LP
12/23/2024Manager/ City Auditor
Kate Murdock
12/25/2024Council Member
Council Member Lydia Kou
June 30, 2025
Attachment A
DESCRIPTION OF SCOPE OF SERVICES
Introduction
Attachment A, the Description of Scope of Services, contains the following four (4) elements:
Services and Deliverables To Be Provided
Schedule of Performance
Maximum Compensation Amount and Rate Schedule (As Applicable)
Reimbursable Expenses, if any (With “Not To Exceed” Amount)
Services & Deliverables
Baker Tilly’s approach to conducting an internal audit of Emergency Preparedness involves three
(3) primary steps:
Step 1: Audit Planning
Step 2: Control Review and Testing
Step 3: Reporting
Step 1 – Audit Planning
This step consists of the tasks performed to adequately plan the work necessary to address
the overall audit objective and to solidify mutual understanding of the audit scope,
objectives, audit process, and timing between stakeholders and auditors. Tasks include:
Gather information to understand the environment under review
o Understand the organizational structure and objectives
o Review the City code, regulations, and other standards and expectations
o Review prior audit results, as applicable
o Review additional documentation and conduct interviews as necessary
Assess the audit risk
Write an audit planning memo and audit program
o Refine audit objectives and scope
o Identify the audit procedures to be performed and the evidence to be obtained
and examined
Announce the initiation of the audit and conduct kick-off meeting with key
stakeholders
o Discuss audit objectives, scope, audit process, timing, resources, and
expectations
o Discuss documentation and interview requests for the audit
Docusign Envelope ID: E008AC75-7AE6-49DD-B29E-91EE8C83AC25
Step 2 – Control Review and Testing
This step involves executing the procedures in the audit program to gather information,
interview individuals, and analyze the data and information to obtain sufficient evidence to
address the audit objectives. The preliminary audit objective is to determine whether the City
is working to prevent wildfire and adequately prepared to respond to wildfire as part of the
City’s emergency management plan. Procedures include, but not limited to:
Interview the appropriate individuals in all relevant departments to gain an
understanding of the organizational structure, processes, and controls related to
wildfire prevention and response as well as the City’s overall emergency
preparedness.
Review policies and procedures as well as the legislative and regulatory requirements
to identify the criteria to be used for evaluation of control design and effectiveness.
Review the existing emergency management plan and other related documents such
as prevention activities, training and exercises, equipment, and service contracts.
Compare the process and controls against the best practices.
Step 3 – Reporting
In Step 3, the project team will perform tasks necessary to finalize audit working papers,
prepare and review a draft report with the stakeholders, and submit a final audit report. Tasks
include:
Develop findings, conclusions, and recommendations based on the supporting
evidence gathered
Validate findings with the appropriate individuals and discuss the root cause of the
identified findings
Complete supervisory review of working papers and a draft audit report
Distribute a draft audit report and conduct a closing meeting with key stakeholders
o Discuss the audit results, finings, conclusions, and recommendations
o Discuss management responses
Obtain written management responses and finalize a report
Review report with members of City Council and/or the appropriate Council
Committee
Deliverables:
The following deliverable will be prepared as part of this engagement:
Audit Report
Schedule of Performance
Anticipated Start Date: March 1, 2024
Anticipated End Date: December 31, 2024
Docusign Envelope ID: E008AC75-7AE6-49DD-B29E-91EE8C83AC25
Maximum Compensation Amount and Rate Schedule
The not-to-exceed maximum, inclusive of reimbursable expenses (as summarized below) for this
Task is $73,110. The not-to-exceed budget is based on an estimate of 385 total project hours, of
which 25 are estimated to be completed by the City Auditor.
Reimbursable Expenses
We plan to complete all work remote including all interviews and documentation review.
However, during the planning and fieldwork phases of this audit, the City and Baker Tilly may
mutually determine it will be beneficial to perform a portion of the work on-site. Given this
possibility, Baker Tilly could incur reimbursable expenses for this Task.
The not-to-exceed maximum for reimbursable expenses for this Task is $6,500.
The following summarizes anticipated reimbursable expenses:
Round-trip Airfare – $2,000 (1 round trip flights x 2 auditors)
Ground Transportation (car rental or Uber/taxi) - $800
Hotel accommodation - $3,000 (2 rooms x 4 nights)
Food and incidentals – $700
Docusign Envelope ID: E008AC75-7AE6-49DD-B29E-91EE8C83AC25
PROFESSIONAL SERVICES TASK ORDER
TASK ORDER FY24-4.28 Dispatch Center Program
Consultant shall perform the Services detailed below in accordance with all the terms and conditions of the Agreement
referenced in Item 1A below. All exhibits referenced in Item 8 below are incorporated into this Task Order by this
reference. The Consultant shall furnish the necessary facilities, professional, technical and supporting personnel required
by this Task Order as described below.
CONTRACT NO. C21179340A
OR PURCHASE ORDER REQUISITION NO. (AS APPLICABLE)
1A. MASTER AGREEMENT NO. (MAY BE SAME AS CONTRACT / P.O. NO. ABOVE): C21179340
1B. TASK O RDER NO.: FY24-4.28
2.CONSULTANT NAME: Baker Tilly Advisory Group, LP
3.PERIOD OF PERFORMANCE: START: August 15, 2024 COMPLETION: February 28, 2025
4.TOTAL TASK ORDER PRICE: $76,540 $79,040 Increased by $2,500.00
BALANCE REMAINING IN MASTER AGREEMENT/CONTRACT TBD
5.BUDGET CODE_______________
COST CENTER________________
COST ELEMENT______________
WBS/CIP__________
PHASE__________
6.CITY DEPARTMENT PROJECT MANAGER’S NAME & Lydia Kou, Chair of the City
Council’s Policy and Services Committee
7.DESCRIPTION OF SCOPE OF SERVICES (Attachment A)
MUST INCLUDE:
SERVICES AND DELIVERABLES TO BE PROVIDED
SCHEDULE OF PERFORMANCE
MAXIMUM COMPENSATION AMOUNT AND RATE SCHEDULE (as applicable)
8.ATTACHMENT REIMBURSABLE EXPENSES, if a Task Order Scope any of Service “not to
exceed” (with amount) B (if any): N/A
9.
I hereby authorize the performance of the work
described in this Task Order.
APPROVED:
CITY OF PALO ALTO
BY:____________________________________
Name __________________________________
Title______________________
Date __________________________
I hereby acknowledge receipt and acceptance of this
Task Order and warrant that I have authority to sign
on behalf of Consultant.
APPROVED:
COMPANY NAME: Baker Tilly Advisory Group, LP
BY:____________________________________
Name __________________________________
Title___________________________________
Date _ _________________________
Docusign Envelope ID: E008AC75-7AE6-49DD-B29E-91EE8C83AC25
Kate Murdock
Manager/ City Auditor
12/23/2024
Council Member
12/25/2024
Council Member Lydia Kou
June 30, 2025
Attachment A
DESCRIPTION OF SCOPE OF SERVICES
Introduction
Attachment A, the Description of Scope of Services, contains the following four (4) elements:
Services and Deliverables To Be Provided
Schedule of Performance
Maximum Compensation Amount and Rate Schedule (As Applicable)
Reimbursable Expenses, if any (With “Not To Exceed” Amount)
Services & Deliverables
Baker Tilly’s approach to conducting an assessment of the Dispatch Center Program involves three (3) primary steps:
Step 1: Assessment Planning
Step 2: Control Review and Testing
Step 3: Reporting
Step 1 – Assessment Planning
This step consists of the tasks performed to adequately plan the work necessary to address the overall assessment
objective and to solidify mutual understanding of the project scope, objectives, process, and timing between
stakeholders and auditors. Tasks include:
Gather information to understand the environment under assessment
o Understand the organizational structure and objectives
o Review the City code, regulations, and other standards and expectations
o Review prior audit and/or assessment results, as applicable
o Review additional documentation and conduct interviews as necessary
Write an assessment program
o Refine objectives and scope
o Identify the assessment procedures to be performed and the evidence to be obtained and examined
Announce initiation of the assessment and conduct kick-off meeting with key stakeholders
o Discuss objectives, scope, assessment process, timing, resources, and expectations
o Discuss documentation and interview requests for the assessment
Step 2 – Control Review and Testing
This step involves executing the procedures in the assessment program to gather information, interview
individuals, and analyze the data and information to obtain sufficient evidence to address the audit objectives. The
preliminary assessment objective is to: (1) Determine whether the City’s Dispatch Center Program is operating
efficiently and effectively to meet community needs. Procedures include, but are not limited to:
Interview the appropriate individuals to gain an understanding of the organizational structure, processes,
and controls related to the Dispatch Center Program.
Review policies and procedures as well as the legislative and regulatory requirements to identify the
criteria to be used for evaluation of control program effectiveness.
Review overall Dispatch Center Program performance, including selecting a sample of Dispatch Center
Calls to test for efficiency and effectiveness of response and triage for services.
Compare the performance, process, and controls against the best practices.
Docusign Envelope ID: E008AC75-7AE6-49DD-B29E-91EE8C83AC25
Step 3 – Reporting
In Step 3, the project team will perform tasks necessary to finalize assessment working papers, prepare and review
a draft report with the stakeholders, and submit a final report. Tasks include:
Develop findings, conclusions, and recommendations based on the supporting evidence gathered
Validate findings with the appropriate individuals and discuss the root cause of the identified findings
Complete supervisory review of working papers and a draft report
Distribute a draft report and conduct a closing meeting with key stakeholders o
o Discuss the results, finings, conclusions, and recommendations
o Discuss management responses
Obtain written management responses and finalize a report
Review report with members of City Council and/or the appropriate Council Committee
Deliverables:
The following deliverable will be prepared as part of this engagement:
Report
Schedule of Performance
Anticipated Start Date: August 15, 2024
Anticipated End Date: February 28, 2025
Maximum Compensation Amount
The not-to exceed maximum, inclusive of reimbursable expenses (as summarized below) for this Task is $76,540. The
not-to exceed budget is based on an estimate of 415 total project hours, of which 100 are estimated to be completed by the
City Auditor.
Reimbursable Expenses
If circumstances allow, Baker Tilly anticipates planning one on-site fieldwork week. Given this possibility, Baker Tilly
could incur reimbursable expenses for this Task.
The not-to-exceed maximum for reimbursable expenses for this Task is $8,500
The following summarizes anticipated reimbursable expenses (for three team members):
Round-trip Airfare - $2,000 (3 round trip flights)
Ground Transportation (car rental or Uber/taxi) - $1,500
Hotel Accommodation - $3,500 (12 nights)
Food and incidentals - $1,500
Confidential Information
1.In the performance of this Task Order, Baker Tilly (“AUDITOR”) may have access to CITY’s
Confidential Information (defined below). AUDITOR will hold Confidential Information in strict confidence, not disclose
it to any third party, and will use it only for the performance of its obligations to CITY under this Task Order and for no
other purpose. AUDITOR will maintain reasonable and appropriate administrative, technical and physical safeguards to
ensure the security, confidentiality and integrity of the Confidential Information. This includes the use of encrypted, access-
controlled storage for any Confidential Information stored in electronic form. Notwithstanding the foregoing, AUDITOR
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may disclose Confidential Information to its employees, agents and subcontractors, if any, only to the extent they have a
need to know in order to perform AUDITOR’s obligations to CITY under this Task Order and for no other purpose, and
provided that the AUDITOR informs them of, and requires them to follow, the confidentiality and security obligations of
this Task Order.
2.“Confidential Information” means all data, information, and materials of a non-public, proprietary
or confidential nature, in any form or medium, tangible or intangible, provided or otherwise made available to AUDITOR
by CITY, directly or indirectly, pursuant to this Task Order. For this Task Order, such Confidential Information may include
dispatch calls, dispatch radio/phone traffic (including recordings, summaries, and transcripts of such traffic), dispatch logs
and computer-aided dispatch (CAD) data, observations of the dispatch service (including recordings, summaries, notes, and
transcripts of such observation), any information protected by law obtained by AUDITOR in conducting this Task Order
(including but not limited to criminal background data, customer utility data, medical information, mental health
conservatorship data, witness and victim identities protected by law, law enforcement intelligence, law enforcement
investigations, law enforcement personnel file information protected by law, and “Personal Information” about a California
resident as defined in Civil Code Section 1798 et seq., as amended from time to time)). In addition to the Confidential
Information itself, AUDITOR agrees that deliberations, conversations and discussions pertaining to the Confidential
Information shall be kept confidential and shall not be disclosed without approval of CITY, and any required reporting
incorporating Confidential Information will present findings in de-identified or summary formats as agreed by the Parties.
2.1. Exceptions: Confidential Information excludes information that AUDITOR can show by appropriate
documentation: (i) was publicly known at the time it was provided or has subsequently become publicly known other than
by a breach of this Agreement and is not otherwise protected from further sharing by law; (ii) was rightfully in AUDITOR’s
possession free of any obligation of confidence prior to receipt of Confidential Information; (iii) is rightfully obtained by
AUDITOR from a third party without breach of any confidentiality obligation; (iv) is independently developed by
employees of AUDITOR without any use of or access to the Confidential Information; or (v) AUDITOR has written consent
to disclose signed by an authorized representative of CITY.
2.2 Confidential Markings: As practicable, the Confidential Information shall be marked with the words
“Confidential” or “Confidential Material” or with words of similar import. To the extent possible, the disclosing party
(whether CITY or AUDITOR) shall endeavor to mark any electronic document intended to be covered by the terms of these
confidentiality provisions with the words “Confidential” or similar words, shall notify the receiving parties (for example,
by cover e-mail transmitting the electronic document) that the electronic document is Confidential Information, and, for
documents shared via encrypted cloud storage, shall file such Confidential Information in folders so labeled. The City’s
failure, for whatever reason, to mark any material at the time it is produced to the AUDITOR, or to notify AUDITOR that
oral or electronic material is Confidential Information at the time it is provided, shall not remove the material from the
coverage of these confidentiality obligations, and the AUDITOR shall treat the material as Confidential Information once
the CITY has notified it that the material is to be covered by these provisions.
3.Notwithstanding the foregoing, AUDITOR may disclose Confidential Information to the extent
required by order of a court of competent jurisdiction or governmental body, provided that AUDITOR will notify CITY in
writing of such order immediately upon receipt and prior to any such disclosure (unless AUDITOR is prohibited by law
from doing so), to give CITY an opportunity to oppose or otherwise respond to such order.
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4.AUDITOR will notify City promptly upon learning of any breach in the security of its systems or
unauthorized disclosure of, or access to, Confidential Information in its possession or control, and if such Confidential
Information consists of Personal Information, AUDITOR will provide information to CITY sufficient to meet the notice
requirements of Civil Code Section 1798 et seq., as applicable, as amended from time to time.
5.Prior to or upon termination or expiration of this Task Order, AUDITOR will honor any request
from the CITY to return or securely destroy all copies of Confidential Information. All Confidential Information is and will
remain the property of the CITY and nothing contained in this Agreement grants or confers any rights to such Confidential
Information on AUDITOR. Notwithstanding the return or destruction of tangible Confidential Information as contemplated
by this subsection, AUDITOR and its representatives will continue to be bound by all obligations of confidentiality with
respect to the CITY’s Confidential Information.
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City Auditor recommends the Policy and Services Committee recommend City Council approve the extension of the following task orders from the FY24 and FY25 Annual Audit Plans.
These extensions will have no fiscal impact.
RECOMMENDATION
1
City Auditor recommends the Policy and Services Committee extend the FY24 task orders from December 31, 2024 to J une 31, 2025:
•Task Order 4.24 –Grant Management Audit
•Task Order 4.25 – Emergency Preparedness (Wildfire)
•Task Order 4.26 – Utility Billing Audit
•Task Order 4.27 – Payment Card Industry Data Security Standards Audit
•Task Order 4.28 – Dispatch Center Assessment
RECOMMENDATION
2
City Auditor recommends the Policy and Services Committee extend the FY25 task orders from J une 31, 2025 to October 31, 2025:
•Task Order 4.29 –Purchasing Card Audit
•Task Order 4.30 –Building Permit & Inspection Fees Audit
•Task Order 4.31 –Junior Museum & Zoo Audit
•Task Order 4.32 –CSD Equipment & Materials Inventory Management Audit
•Task Order 4.33 –Public Safety Staffing & Overtime
•Task Order 4.34 –Follow Up Audit Activities
RECOMMENDATION
3