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Res 21-20 Approving auditing services with Weaver & TidwellTOWN OF WESTLAKE RESOLUTION NO. 21-20 A RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF WESTLAKE, TEXAS, AWARDING THE BID AND APPROVING THE FIRM OF WEAVER & TIDWELL, LLP TO PERFORM INDEPENDENT AUDITING SERVICES FOR A 3-YEAR PERIOD WITH THE OPTION OF 2 ADDITIONAL YEARS AND AUTHORIZING THE FINANCE DIRECTOR TO EXECUTE THE FY 2021 AND SUBSEQUENT YEARS' ENGAGEMENT LETTERS ON BEHALF OF THE TOWN OF WESTLAKE. WHEREAS Section 103.001 of the Local Government Code requires that a municipality shall have its records and accounts audited annually and shall have an annual financial statement prepared based on the audit; and WHEREAS Section 103.002 of the Local Government Code requires that a municipality shall employ at its own expense a certified public accountant who is licensed in this state or a public accountant who holds a permit to practice from the Texas State Board of Public Accountancy to conduct the audit and to prepare the annual financial statements, and WHEREAS the Town Council is committed to the financial stability of the Town of Westlake and feels it is in the best interest of the citizens to award the bid after a proposal analysis was completed and obtain the services of this firm to perform the Town's audits as set forth above; and, WHEREAS the funds to facilitate the audits will be included in the proposed FY 2021- 2022 municipal budget and the subsequent year's budgets as necessary. NOW, THEREFORE, BE IT RESOLVED BY THE TOWN COUNCIL OF THE TOWN OF WESTLAKE, TEXAS: SECTION 1: That all matters stated in the Recitals hereinabove are found to be true and correct and are incorporated herein by reference as if copied in their entirety. SECTION 2: That the Town Council of the Town of Westlake does hereby award the recommended bid for auditing services and approves the firm of Weaver & Tidwell, LLP, to perform the Westlake independent audits for FY2021-23, with a possible 2-year extension option, attached hereto as Exhibit "A"; and further authorizes the Director of Finance to execute this agreement via engagement letters for FY2021, and noted subsequent years' letters, on behalf of the Town of Westlake, Texas. SECTION 3: If any portion of this Resolution shall, for any reason, be declared invalid by any court of competent jurisdiction, such invalidity shall not affect the remaining provisions hereof and the Council hereby determines that it would have adopted this Resolution without the invalid provision. SECTION 4: That this Resolution shall become effective from and after its date of passage. Resolution 21-20 Page 1 of 2 PASSED AND APPROVED ON THIS 21st DAY OF JUNE 2021. ATTEST: Todd Wood, Town Secretary _` I'PRO`✓ED AS TO FORM: —/--� -- —j1— L. Stanton Lowry, Town Attorney hw". 6t,")-xt, Laura Wheat, Mayor dma" 4ff�l c Amanda DeGan, Town Manager 405 F W EST %0 Resoluli:ni: I=?0 Page, ? or 2 W r W ZA A Proposal for Independent Audit Services The Town (-,)f Westlake May 31, 2021 John DeRwo, CPA I Partner, Avdif Services cover and Tidwell, U,F, 1 2300 North Field St, 5VHq 1000 1 0.0110s, texas 75201 972,448.6970 1 john,debuirodwoavrsr.com weaver>p- CONTENTS gmtcwivw5on*m*mry^".°^°.=".,°"°"....°,°="=""°~.~-~~~~.~~............................... ........................... 1 �U4@omwto Pn=tic.@|M?exa"..........~~.'~.~~^~~^~'^~~'~^~.~'~~~^'~'''-~^'~~—^~~~~~, 6>vmUf1cotronamd Ewpwviamcom/the Rrm..........°."......~,""..~.~~~~~^~~~'~'~~^~~~~^~~^. 13 QwoHIc-nfrovmeiridExpo dctnc.*ofPmrtn&cind Auditing RaR.................................................. ................ -...7 8knHarEngagements with Other Government Entities .................................................................................. 13 of--mpe und Audit Approach ................................................................................................. ''~~~^~''''~^-'15 Pwjpmo@d Sif-MmduL...~.°.,~~~,............................................................................ ...... ............................. %5 Other Information and Concluding Remarks .~..'...................-'....-.-...............27 C,j�t of 5mnIc@okho dokv,................................ ~"-~..'^-~~^'^'~~~'~^^~~^~~^~~~'~~~'-~-'—^-^31 NoV,,e 811169 Forex................................................... .............. ~~....--~.'-^~..~~~'^^'~~^33 weaver>p­ Asuiriopce • May 31, M 1 Ginger AWtry Directpr of Finance Town of Westt{ake 1.500 SO4ana Blvd, avildirlg 7, Sto; 7260 WestlaPe, Texas 74262 RE; Proposol for Independent Audif Services 12021 RFP Dear Ginger; In today's environment, the Town of westloke (the rolvn) faces increasing pressure � from pail -sidesines s: citizens, buses +and �� rnployealike all have demands for �� enhanced acceia and sefvice5; taxpayers :ire pushing for sodded tromparency: G9yemme2n: c ;*rts and oversight bodies continue to change and expand reporting rQgQir;Trrv3nt5. snnnucalfy Meeting ail of these pressures involves o great deal of iauclpetory and opk9rational c ompleAty, pfus one nearly prfcele55 comrnodil+/: time. Often tasked Frith trying to �O� do more and more with less, your financ.iol operations staff simply don't have tlme, to be overburdened by your annuoi audit, Cities & towns That's where Weaver comes in. 50+ At Weaver, success isn't built on engagements -- it's kwilt on relcatiran5hip5. We Loccl/realonol entifies wont to continue our lasting client relationship with you, with the some ongoing S3 commitment to responsiveness, communication and continuity. We'll continue to look for ways to balance efficiency and innovation to bring you the best audit School dhtricfs experience prsasible. ensuring our suggestions for improving the c;ftidunc:y rind effectiveness of your financial processes remain proc:ficol and relevant to your 25+ broader, bang -term objectives, State agencies With my signature below, I confi rm that I am the contact person authorized to answer technical, price and/or controct questions, and that I am outhoriz-'d to bind ffie company. Thi, proposal is valid for a mininnum period of 90 days subsequent to the RFP closing dots, I look forward to the opportunity t. disc;u5s our Counties and yo4,ntY proposal, as well as how Weaver can continue to Bassist the Town with achieving its tar offloes financial reporting objectives and long -'term goals. Sincerely, ohn Deburro, CPS, I Partner, Assurance Services 972,448,6970 iohn,daburro(n�weaver,com Weaver and Tidwell, LILY. 2300 Nofth Field St, .Suite 1 CK)Q I D011i r,, ` 0X05 75201 Main: 972,490,1970 CPAs AND ADVISORS j WEAVER,COM weaver>Al Amrairce. Ttjx - Advisory Executive Summary With 70+ years of experience serving governniQnfal entities, our clients know they can count on us For reliable and personal service, open communication, on -time cornplelion and an efficient, ljo-surprises engagement. Weaver will leverage our hands-on experience with your operations and systems to provide a seamless approach to your audit In the most efficient manner possible, What's more, with several years as the Town's financial auditor, Weaver has a unique window into your complex operational structure and the nuances of your organization's needs. Leveraging our deep, institutional knowledge enables us to focus more immediately on your key areas of need, The end result is not only streamlining processes and increased cost-effectiveness in the engagement, but collaboration and training that help your finance deportment operate at peak etticiency, With this propo5ol, Weaver coma its to providing an audit of firioncial slcdernent6 for the entities listed in the Town of Westlake's requed hx1odependent aucTit ierijcw document for the fiscal veers ending September.30, 2A21, 2022 and 2023, Mth the option of avdifing the financial statements for each of the two wh5equent f%(-_,rj1 year,,, These audits are to be performed in acccfdance Mthgenemlly accepted ovditiag standord5 (U,5. GAAS), the stondord5 set forth for fiaoncict audit in Jim ij,5. CompircAler Q,cvnerol's Gove.-mmont Auditing Standords (GALAS), the previsions of the federal Single Audit Act Amendments and TT1W 2 0.1,'Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles and Audit Requiremenft forFaderai Awards (Uniform Guidance) : But our commitment to you means more than meeting the bare minimum: Our goal is to help you meet yo,ur operational challenge,, with ease by providing )/ou with renal value beyond mare "check the box" compliance. In addition to completing yowrjudit on time rand with the tewe5l poisslide dernards.,on your staff, ,are will also continue to work to help you navigate changes In guidance and best practices, and Jay the foundation for achieving your longer term operational and strategic cabjc�c lives. Key benefits of working with Wagerer include Experience In munlclpol environments. With more than 3OG government clients — including 4(3+ municipal clients and 50+ G-FOA oword recipients — Heaver professionals understand the cornplexifies of mvnicipa - . I occovriting, federal and state funding, and the nuancos, of special reporting for singlo audits. Wo have a unique window into cities' operations, systems and Culture, This insight enables us to facilitate a more efficient audit; to rtiofe fully understand your reporting requirements and risks; and to provide r-efcommendations that are truly customized to your needs, resources and constraints, High -quality work and on -time delivery, Weaver's reputation has been built on We quality of our work and our ability to 5toy on sr-heduleand or budget. We are dedicajr,-d tf.i tneoting the firnefinef, and othef commitments set forth in our proposal — whatever the future holds. During 2020, Weaver demonstrated that our remote working technokigy and rnanagerneni practices give us the aNlity to complete audits on time, even when client officees are closed and staff are scattered, working remotely, Our robust communication and quality cssuronce processes enabled w to master a challenging semon and prepared us to be as fleAble as needed for future audits, Technical Froposal for Independent Auditing Se ices I Town of Wesittke Weaver and lidweil, J_(_F. I Page I weaver>P.- Asisimeice, Commitment to ongoing communication. Frequent, effective and honest communication is Critical to u felc cwssful �rudi#, Yrjur perrtrler rncl er�ycayorriont team leadership provide much more than oversight .ond accoontabillty during the audit — they will remain highY occe5sible throucdhoot th¢ yecir c5 any questions arise. Large -firm resovrces, personal service. With'ddeaver, you never get lost in the crowd, Our extensive bench of knowledgeobie governn-sot l;rtrc.,tit professlonals means we car tockle even the most complex audits and aggressive timellne5 and we never I05e;fight of the need to provide hands -ran, yoor-fovno 'iorvice, A Commitment to Excellence Our core values drive virtually everything we d©ot 1Rleaver R- the way we worse, the way we operate and tho woy vve 5ervo our clients. cleaver's core values help us Create -a cufture of excellence ca rcass the firm by addressing strategies that enhance our work environment, career devoop}`r ent opportkmitlai and the overall yell -being of our team members, Our Core Values LL • & e son W ".M ipkelr9wbove. IIao-vMyoXfo A.C}wl�tilYlo�rih/, S}rlvalo Sacsk�plau�q N4lAoactdtwr keip!�tnyeryDnn Kuep}�nrs}etlhM: loud. Always }RFdCq�GW}}9py/ deeplypravd AA, as it V/"Vw wsra nn ,Tvaller avnai, Nrxre erxl lien} and inncrnlive in cP 4ho? you dos. nl.M.eeed r y/1. * and smite. IC+YAW D ny are vnd vth9l twy 9e }7 0grWo vmj f G5rpn1. w4CAM i MOV9. r-on}kbu}exwrnallor (Ww d ifewt. cndhavelun, A Commitment to Your Success Ultirootety, for Weaver, soccros isn't about ,peciflc engagements; It's about relationships, We will continue our lasting, collaborative relationship with VOL), with an ongoing focus on continuity, responsiveness and communication, To that end, your ertgagement learn will provide mach more than oversight and accountability during this en9cgement — they will remain available to you whenever you hove questions, With this added level cif guidance rind support, the Town can be confident in our commilmont not only to helping you meet your Immediate financial reporting objectives, but your long-term strategic goals as well, Technical Pyoposal for Independent Auditing Services I Town of Wcsilaka weaver and Tidwell. I_.I_.P. I Page 2 weaverx- Asswance dice*- " s e -) i r dice in Te as Wecaver anq all assigned key profe'ssionol and ,ubcootrm--cif staff acre properly registered and iicenaed to practice in the :5tofe of Texra., Wecivef is Iiv enscd to prtactice raccountoncy in Texas. We cafe a registrant with the TexcI5 state Board of Pkiblic Aec;AiJntnney under$ection 14 of the Ptabiic AccoujntQncy Act of 1979, Tex05 RW/15ed Civil VC[Ve5, Arficle 410-I Tax,sa SMta tropfp of p!JDAc Aceoun(ancy - at a.,a.yr. rr-. , few we ..w. r,�,. •r . rw wu1.v94 AND VOW1111-i4, L.L.F. 0FROIR 101 W r TH 53 (ATE 700 F04T irlOWH YX 74 107 Firm uipw4o 1P 11104M Exo es 5102021 FkM COMO Number: COMM Office 10. V017/2 Fern fln MC MW The proposed engagemnt partner and key ovdit team - ----- leadership irvoncigement lew/el and abovej rare each licensed try the Texas Mote Board of Public Accountancy as Certified Public Accountants, Qualification and Experience o, �--ire Firm Size of Firm Founded in 1 ?50, Weover has been providing os5urrince, ofivi5ofy land other ;ei vic s to government entities for seven decades. With 12 offices from :,oast -to -roost, and more than 800 tonal staff, we dare committed to helping our government clients meet regulatory requirernent5, but we 0150 bring a long- term perspective to help therm Improve their operations and services, By helping clients to build mature, strotegic p(oQesses and governance, we pvgican them to mote offc)ctively address problems, flrag potential is5ve5 such o, fraud or loss, rand achieve compliance. At Weaver, there ore no "one -size-fits-oll" solutions. We combine leading technical knowledge with specific industry experience to provide highly customized services tailored to each client's needs. .L& AW U) C ► �aravgrrar�nt � P. HigMr "ug;)tlan ► Professional s*rvkes �y r Ir}�(!lrs+GN jJ` > ArlvRir egijity �gti s 1-i45pit'llity ► TBsttr:GlurJy ► Cangrrletion > Financial nervir es > Finawiril institijows ► �Xland qa5 > Hgalth Caro > Manufacturing nod distribulkin Dilfteld speovir-es > R.e=Wrible L11cf9y Advisory $[arviCew, ► Risk ridvirory =ruices ► IT udtAvjW swvicr's : Tfamact1w 41d06'ary Wririct's ► Fri renW. and IrtIGMImmrvlcom Assurance Services ' > Audit, re-Mr-W rind ramplintirn ► A grftd'upon vro,:c'dor$5 40 ► Employee berieflt pion nvdq ► 50c repufl,ing Trap ail Firm ► htter.tntinn fwrviws nallionwide P. iFRSAss*sirrient And rrnvrfstrfl Best of the Best Firms (2019) Tax Services ► Fadaral tax ► State and Loral vix 99 ► Inwrnrttional tax +TfA% ► Private rrfnnt-Afvwe5 ..;,,,,tiu..n,.<..ro-a, A1kid dwehL. f Altcredit ' Tech nicol Proposal for Independent Auditing Services I Town rat Wesfiake weaver and Tidwell, L,L.P. I Page 3 weaver>o- Assufaitce Sizo of Firm's Govern mento I Audit Staff VVeover has served governmental entities for 70+ years, including the Town of Westlake and some of the ration's largest cities, school districts and state -funded entities. Weaver's dedicated government, higher education and not -for -profit audit practice is one of the largest industry practices in the firm, More than 120 professionals are focused on the specific needs of these clients, performing audit and advisory services for more than 300+ government entities each year, incaluding. ► 40+ munic.fpnlitle5 ► 50+ independent school districts ► 100+ iocai .and regional ogencies • 25+ state agencies/strate,funded entities ► 50+ entities that cannvoliy receive GFOA recognition ► 1 1+ cp.unf e-s and Moir fqx officf=s MEETING YOUR GFOA AWARD [:n+�(isu/e O RECOGNITION NEEDS ► 550+ entities currently receiving the GFOA. Certificate of Achievement ► Nine Weavt/r staff on the GFOA, Spe dql Reyie w Committee ► Your poftner aril technical review/ partner are members of the GFr !f\ .Special Reyfew Committee Beyond frraditionai Gannircai financial audit services,'!/eaver's 120+ goA/ernrnent a5surrance professionals are experienced with single audits, compliance and third -party audits, and Cnmprehensime Annual Flnancfal Peport preparation/review for GFOA recognition, In fact, nine Weaver professionals currently serve on the GFOA's Special Review Committee. Additional paftir_ipolion in bodies includes; ► Member, AICPA State & Local Gaywri ment Expert Panel ► Member, AICPA Government Audit Quality Center (GAOC) Memitoer, GFOA Special Review Cornrrdtteez ► Member, AICPA Cmindl r Member, GFOAT Financial Reporting and Regulzaton/ Response Committee TRUSTED BY GOVERNMENT. More than 300 government entities rely on Weaver's knowledge of industry best practices to provide holistic and efficient assurance and advisory services - and we never lose sight of our clients' need to be effective stewards of the public dollars that support their daily operations. We are expeii fenced not only with annual financial audits, but federal tend strafe S ngle audits, Comprehensive Annual Financial Report preparation or remiew for GFOA recognitiori, grant compiicnc:e and third -party grant compliance audits, We hsavc served approximately 100 entities that receive ftiderat funding wif"icient for ca single audit, including eritilles expending rnore, than $100 million in federal and state grant o-w ards, In addition, we also provide government dients with internal !audits (both outsourcr,d and co -sourced). risk assessments, risk mrin4garrlenf coosuiling, business process improvement, IT audits, data analytics and forensic accounting. Technical Proposal for Independent Avditing Services I To" of Westfake Weaver onO liclwtt!, L.L.f' I Pcige 4 weaver ,isary (Dffcce from Which Engagement Will be Performed This engragement will be managed and staffed with resources frQM our Drallos office. In o4ditidn, all of We avrsr's professionals Work coMi3orotiveiy across locations, so if engagement needs dictate we ore able to draw upon additional resources and in,house subject matter Advisors, With this leveraged morjel, weciver is fable to Afff'?r you �a customized team that can adjust dynamically and gvicidy to meet Your need$ throughout .all stages of tho audit seA>can. It ai5o enables us to provide on efficient, effac,tive audit with Gadded innovation, tho�ugt Aendership and insight. Number and Nature of Professional Staff lP•tiu5 caco� Texas OzG: lgrul;Q ; `vlyYaSj'a.OS r.I;Cn1s Since 1950 �^+, Weraver ickes afunc Wn-specific approach to engagement straffing: we focus on v (_) () leveraging the right resources at the right firne5, on5vring that teams are assigned 1 i 11based an the specific tasks required during each of the audit phases, as well as the timing of those fmV5. The re.5m. )rr es for this engagement heave been r-hosen specifically for their broad undersronding of pubfic-sector and audits, as well as their technical .ability, experience and management skills, John Desurro, CPA, who has more than 29 years of experience leading government faults, will be engagernant partner. in this role, Jahn will be responsible for the overall mancagernent of the engagement ► Partner Scars Dempsey, CPA. will be responsible for technical review r Leah Reeves, CPA, will 5er+re as engagement nioncager Additional team members will include: P. Soniar ASsor_iate, Jocgueline Diaz (full-time) r One to Nvo cdditior^tal audit associates, as needed (full-time) rechrair-cal I'rr)rrora@ f*r indepfe, dent Aor:!Mnq Smvicm l Town of We.5"ke W(-aver and Tidwell, L,L,P. I Pa�•e 5 weaver>o-- Asswance Qualify Confroll Review 61 F�✓PdAFY,, f✓♦wygta,w y:i 9Pipy!rM4<Sd Wrebe,ar[Y{�a N?1 i.Y;?i01d Ari#APr YYRiillr udzrA,w, d•tY, i0(�11179rAtRAryNfRMAGwfi W3y0.=W a'�'NrM pWliw,r3YVwf.4�dwA�MRAV fMM',�W fit/ Gd+'/ FxtwriolPoerreview 5designed tQ �r,1 v,a>gd«(�nwrr.,�c,rmi�ear�ou+aaweR4�r�,aaedr�+nulw�voaie,avxAd+ +firrnF' 4 V4 top" M IN IAt WW41M^M ikmll.+ give the public additional, rRia�icvtyc�yi>s,Wi>frf cNkrcw�N><srbrVYAs •Rr9ia�we,LdP.r..rrwrnaixv+Mra confidence in the quality of owr audit I.Nhgddµys. oad car; cQu Ling pr=. . tire, As such, every three years, the firm eogages t .a,:ir.dlr an independent accounting firm to detenTo e, Wh;e#her Cior q>,iO4Y cantral policies and procedures are �ic�c�F��iilly suildbly designee!, orut whother our techniques for implementirQ these ,�+�,• ,�, policies Banc procedures comply m0n professional standards: -I1w+R lwdflyi kPfcr;nd Each peer review has also included Sa review of governmental ovdit engayements, ds monstated by F41th,111EeMdlY/l!/N�O.I�IM AICPA Peer Review 51andards and yhh.aw..sMgM dw p.twn nfywUry,twlyd(M 0A. inu. yAWwSlwypKike dvlwrre, Nrl rk'r0.47. -�S tx GAQC re!auke rnen W,A al,rllA+k, ?„Xlpmrst.netu0 •Ii loRr}01 irvMi kP1�Uorh,K•ct kr dwi.. radHMu fir +, )i,�d7. GYryw rn'ra•rKriwd+,a(sjhitxplwga/iYr Sand,uN grrlgywn{,•IArpMl:nj MRRir !nr<•inn{.Mktwf Ar UrRn..P,rl!n. &rrid br MnriA.9MILLW ci GlflfwOPstf'<Aarw+sRnu CArdNd11 A IAILrry'i' 9d Ih,,ii`/l.Rd�Rd1Mw. Mcp+. initHAv fA. Md d'I ir4:liw•1 pr+la++Nd N i 5ra+� dlrMw,7 Weaver has received alnlpdM�.sweuacmnrawacer�ir..re,.�c.t+xariniyicv+ Itw,a.�drv� M ks e.y.px+a7;dmtYw�,arneV++towd o +r1+a'd:.aoiaw.Hie,i6ixf+c•gr rra4..krt r:adrllk 11 unmodified reports on every '",.r'"'+vo,rbrA,;—n,.,rnd—d—Pwr awkrlrkr r peer review to date. ��d�m►.�«in.fu�l�i.li>�d.,�dw,�wd.�,�r��b ,.,�.�,�.t1, wwo.u. RawlAnn olPrbranS•nd„wrt+a}Ir mrra 11,r 'Awk 04l,Ainyawl w+diaHlA,Y man-d7 r,«fw. M. Rw hm dAkk,nornA'Id b IrnikwH� KrN'f fapalw_'rMCwdiu KWMr4n7A4lrtld M flq Ultimately, peer reviewil, � ��P�H�b��t�7eM par:;wodawdw�.w+c iipsi�Nu:.�+llgrn+w�a�Sw,++rua I.,!hc Y inv, administered by the AIOP.A Nationol Nrr(Ar*4, ./iA•tw+wLrFi Peer ReviewCorr►mittee JNPRC),Our 9+K+i7P?^,I d(13kuRrKrcpfvLnY,r4rJCr(1 sY.ew,dyAtra�f+�fr�,�.INAs•��� latest deer review wow ciccepfert by Yr�hatr0 waw rr Mw. the NPRC in F"rucry 2020: Weaver q.pw.�s.M�wc„dNA.tdrw.ir. t-. received apass roling, the highest (,Wt.,n.,,I.vY,tM da rw14w istJs6ai4mr.,ls rtlmwJ w,M+4aranrW 1 Anw''lia :s>++C�rA>. 1'+tu4ri Cp rr/Iyr�xFp WdP M,9ny4l�ic:wdud.+¢yw 4ln ,s d„v,,w i�Vwda +wd wnd.+PA+A.m grade possllale. i 6iM,trgindrd(d.Md. uo�dtw•ARwKnA pwuur.3MiRH 47S2 �tAl+?Nii)� A.. r+,twfnv ww r•,:w, w•wv4«wr i•dn>dry rryrxvr wW:41 A7 ri+'>n1+9�i W i+Y UMWm r!! W �tddA, y6.tlr�w+y tMutva inAs,s,�td arp.wNrtM. Reviews a n d Disciplinary Actions •MAi Y1ip,M rc4 dip rit YF lir4REMN,6NA N S }!^ram, f+rw I I>:1 kgrlW+ A +IS. , YnpnMI.YYKK] Kfl 161l�IifHl I,M! 1u•Icr : ial 'Ne are not aware of any field or desk reviews that have been performed or,'Neover, audits in the past three years, No findings have been repwrted to us. The firm was the subj -0 of a reprimand by the Texas State Bowl of Public Ac_:cauntanry dated September 20, 2018, The rnatter related to PCAOB partner rotation regvirements for certain broker- decalef audits, Technical Proposal for Independent AvdIttng Services I Town of Wdastkake Neover cind Tidwell, U.P, t Page 6 weaver> ---- A% Qualifications and Ex rien ce of Partner and Audifing Staff Our 'rearn to Serve You Serving mgtriicif2a#itiQs requires spec47 ieettnicai kr�vv�lecige rind inrlutry insight, cif invest both time and money to ef'-:�ire that our government and not -for -profit professional£ are o;woys at the forafront of hest proctices, and stpy obrea5t of the lotest quidanae, regulgtions and other trends vffeating dtie% This €;nablm sis to continue to provide the most oefficient and irnpaatful audit for the Town, Quoiificati©ns for i ey team rne+i�bers are provided . n the following pages. Weaver is well-resourced to continue to perform the Town's audit services within the tirneframe required, without sacrificing quality. With this leveraged model, Weaver is able to offer you a customized team that can scale dynamically and quickly to meet your needs throughout all stages of the audit. It also enables us to provide an efficient, effective audit with added innovation, thought leadership and insight. Technical Proposaf for Lndep*ndeni Auditing services] Town of Wn-Olake Weaver and fidwelf, l.i f, Page 7 weaver> - A John DeBurlro, CPA I Partner, Audit Services John has 20 yego Qf ..experience managing and performing audits for monicipolities and other 1 overornootr_if r'nfitie's. Ho manages annual financial ovdits for entifies with I government -wide net positkans in excess of $,5QJ million; prep- oudi# reports fs?r ripprpxirnotely nine enfities, all Qf which receiye the GFOA award,; orid rostigfch€� proper occQuntiilg for complex transactions, 0505IIIN clients with the implementation of new occounfin(j stgndl yds, With Johrn'5 cxteNvu government and not4or-profit experience, he is ci ioughl- offer spooker for industry conferences and trainings. Represenfatfsrr_ Clienf Experience ■ Town of Westlake ■ City of Lewisville ■ Town of Folrvfew ■ City of McKinney ■ Town of Little 0M 9 City of AAidiothian ■ Town of Trophy Cli;b ■ City of AAvrphy ■ City of Coppe l a City of Sovthlokr ■ City of the Colony City Of Wylie ■ City of Denton ■ Friwo ISD ■ City of Friscr_a Highland Park ISD • City -of Greenville Reeves Cci+.►nty ■ City of Keller ■ Trophy C10) Municipal Utility Distrliic:t Nofessiorml iWolvement and Recognition ■ Member, Texos Society of Public Accountcnfs (TXC:PA) and its Dallas chapter • Member, Professional Standards Committee Government 5ubgrovp. TXCFA, • Member, American Institute of Certified Public Accountants {AICPAI • Member, Government Finance Officers Association Morrit3er, Government Financo Officers Association of Texc i Member, 5peaciol Review Committee of the GFGA Member, Plonninq Committee, Texan Shod Districts Annual Acc.mnting and Auditing Conference Educ-:atiuri and Certifications ■ Certified Public Accountant, Texas • Master of Science, New Hampshire College ■ Bachelor of Business Administration, University of Ne=ry Hampshire • Curreritly me*� Is c;nntirwing professional education required by generally accepted government audifing standards J80 hours of CPE every two years, with a rninimum of 20 hours of CPE in each year of that pe6od and of least 24 hours relating to the governmental audit enyironmentf; a detailed list of CPE hours and courses is available upon request, John says: "My favorite core value is; Strive to transcend client expectations, always. Great customer services is a difference -maker. If we don't take care of our clients, someone else will!" #qod�0&0 Priva io tronscend client eapitritsii�ns: glsvoys. Technical Fropcial for Independent Audiftng Services I Town of Westlake weaver and Tidwell, l.,i.,f , I Doge 8 weave Assuroure , rna . A.dk45Qrg Sara Dempsey, CPA ► Partner -in -Charge, Assurance Services i Sara hos mire than 17 yearsof public Q counling experience ants currently Dads Weaver's Covernment Services practice, Her primary emphasis ©ver the cQurv,; of tear 1 career hos mean accounting and atidifing for municipalities, eoundIs of governments, school districts and other government entities, .Sara 5ervet5 can the AICPA State and incal Governmont Expert Panel, fipeciol Review Committee for the ,5overnment Finance officers Association (GFOA), and the Financial Reporting rand Regulatory Pwsporis..e Committee of the GFOA of Texas. Site is very knovvledgeah. le of the GFQA's Comprehensive Annual Financial Report requirements fc+r its Certificate of Achievement prograrn, She also provide fe.ehnic al guldonce on proper accounting treatment for complex tronsactions and the implementation of new accounting standowds, Rep-of"ttrrtativo elionts: • Town of Highland Park • City of Anna • City Qf Dallas • City,of Godtljncj • City of Irving • C;ify c it Plano • City cof Dentar Proloisian€r1 Involvement and Recognition: • AICPA Strite and Local (overnmenf &pert Prarwl • City of Allen • City of Rowlett • City of Scii.rthlake- • City of Univergiiy Park • City of Power and Light • Denton Municipal Electric • taring Convention Center • CFOA Special Review Committee • Financial Reporting and Regulatory Response Committee of No GFOAT • Accounting Committee of the Texas Association of School Business Officials JAraBG) Ntemb er, TXCPA • Mprnbe3r, GFt �A : Women in Pubic Finance Education and Ca tlUatluns; • Certified Public Accountant, Texas Bacheloref Bo mess Adaiinbtration in accounting from Texas Satiate University Currently meets continuing prQfes5lonol education recItAred by generally accepted cgovemrneni audifing 5tandar s (80 hours of CPE every two years, *M_th a rninimum of 20 hours of CPE in each year of that period and at least 24 hours relating to the governmentQt>` odil environment); a detailed NO of CPE limirs cnd courses is available upon request. Sara says: "My favorite core value is Strive to transcend client expectations, 11� always. I am committed to adding value and providing outstanding service to our clients. I want them to walk away from interactions and large projects 54 PrarO�K�t knowing I care about their business and feeling that I have helped them," raiws)ys, Technicoi Proposal for indep*ndetO Audlling Services ( Town of Westlake Weover and TicIviell, U.P. 1 Page: 9 weaver>01- Amrgrxe, Leah Reeves, CPA I Manager, Assurance Services Leah hsas seven year., of auditing expofkince, lcacvspd ors auditing governmental sand nonpro,flt acgencles, portieufcarfy those awarded federal and state grr3rlts, subrecf to ca single audit. She is proficient in preporotion of financial staternents and rMoteed nate disclosures, and supersNes staff in till engagement phases. P'oprr sentattvo Uent Erp;--Nenae r Fort Worth ISO s 3wieson ISD • City of Fort Worth ON City of 50g1now • City of Geond Prairie • Parker County ■ Trinity River Authority Education and Certifications • Bothcany .special Utility District • Soys and sifts Club .of Greater Fort Worth • YMCA caf Mefropaiitari FQrf Wotih • Lena Pope Home • North Texas Higher €ducation Authtxify • Tech Fort Worth ■ Certified Putallc Accountant, Texas • t-haster of Accounting, Texas Chriztlion University ■ SQchelor of 3usires5 Administrotion, accounting and finance, Texas Christian University ■ Currently meets corifinuing profes,%ncal education required by generally accepted govern merit caudifing 5tondards (a4 hours rat CPE evory two years, with a rninimurn of 2.0 hours of CPE in ench year of thall period and at least 24 hours relating to the govern men tai audit environment); ca detailed lift of CPF hours and contuses is avaiiable upon request, Leah's favorite core value is "Strive to transcend client expectations, �1 always,' I am conimit-ted to going above end beyond to ensure client ti satisfaction: Every situation has a different perspective and there is no "one rrclq,sc*rd�, size fits all solution". This is why I prioritize lislcning, dialogue and transparency in my client relatiomhips: so I can provide value added services and solutions tailored to their specific business, Technfcat Proposaf for Independem AwRting Services I Town of Wesfloke Weaver nod Mwell, L.L.f . 1 Po je 10 we,aver>0-- Assurance Jacqueline Diaz I Senior Associate I, Assurance Services Jacqueline hos six years -of experien e in public occounting. HarrY/ark has focused On ovdifs for a variety gf clients, prirnorily in nQnprafif ranch govornmontal Arganizot1rjr33. She t' o5 also m.,wked Yyjth Clients in the c-an£trur.ik-w, real estate and man0octuring Industries, JocqueliIne develops and maintains excellent working relratlen jhips with clients' rr*nogement sand personnel. She swpervises staff in oil engogernent phrases, RopresentallWo Experience + Town of'+ &sticake • Duckner Interneatianol City of hying • Jesuft College Prepofofory 3choof of + City of fhe Colony gollas Foundation + Westlake AcIderny Senior CM7-ens of Qrerater t30IQs ■ Rockwali IaD • Wormen in feed of Generous 5opport ■ Ouncanytlile ISID (WINGS) ■ Dallas Coanty Utility and Reclamation Wrofession�at r'��tivifies and Memberships District ■ Junkw Lerague of Dallas, Membef ■ Meeting Professionals International • Volunteer, North Texoi Fraext Bonk and • Perot Muscaum of Nature and Science Children's Medical Carter ■ AT&T Porfvfrnfng Arts Contor i ducallora and Cotti(iaatiorti • Bachelor of Di5iness Administration, occownting, University of Richmond ■ Currently meets continuing professional education requirr:d day yvnkrolly occepted government auditing standards (80 hours of CPE evrary two years, with c rninimurn of 20 hours of CPE in each yearof that period and at least 24 hours relating to the governrruerifol sravdif an4onment); o detaiked list of CPF hours and courses is aycailoble upon request, Technrtcsaf Proposal for Independent AudlMg Services I Town of Westlake wecjyer and fidweil, U,P. I Page i I weave Assurance , Tax, Advisory Continuing Professional Education in keeping Mt6h continving profe5sionol educallon (CPE) raqukements of the AICPA, P-CACB, ieyras State BWrrd of Pi,ablic Accountancy c-r 5tgt,0 accountancy boards rand other regulatory ogerlr ies, Weave 's CPE Policy requirss that all prcfrzas-sfonoI staff receive cat least 12-0 hotos of CPC every three ysar5, focused in their industries of conc€ ntrution. To comply with Government Audi6ag Standards, Weaver professionals who pleas, cpa)du.c rar retort 9n gcyvrnrnent quCfit erQqgvrnrant5 obialn 80 hours of CPE every two yens, vAth .at least 24 hours relating to the gcwerriment audit tgnvcronrmnt. All staff assigned to your engagement will meet or exceed Government Auditing Standards CPE requirements, Ira fact, each year Weaver provides extensive Internal training — Inclucifng 1,6 faeurs of CPE reloted to goyeinrmental a iccounfingJtinanciai repcxfing rand 16 hours of CPE roir kid l0 5ingle audits, Additional r?°pre5entotive =Qrses provided to cur governrrtentral Audit profes5ion,ats include; ► State ofid Local Covernrrv-nt Audit Planning C;onsiderratiom a Ef ,-5, An Overview for Texas CPAs ► Sampling riod Rovenve Testing [relining This internal trginjnq t5 5uppler"lent*d by external ,classes, workshops, seminars and conferences as needed ip meet CF'E requirerrier05 ,arid 5pe,:ific r_tient needs. Tecim Continuity Personnel 5hrake.rapj happen frequently in many firms, creating broken nand 5egrnvnt�d tooms, and often result in a loss of irnportrant intr"inSic kno,,Medge, We uoderstond how frustrating it is to get or auditor up to speed only to learn that a particular team mernber v411 be rotated off of the engagement. r , Our people are the foundation of our business and the core of e-yenything we r�;+ r� do. The quality of our staff directly translates to the quality of our work for clients: for this reason, among others, we take employee retention and continuity very i 1 seria�asly. Although no firma is immune tea the factors that lead to t+arnover rant! rrototi<tn, Weoavar rr4kes continuity of a cohesive, stable engagement team a client service priority throughout a client relationship, When our ervj agemRani to arm do rotate or chi nee, are trakv Steps to quickly bring new n'iernbers up to Speed on the client retoaffonship and engagement to fac-ilitaie an efficient transition, This h05 proven to be, >,a true differentiator for Weuvtr. Tachnicai Proposal far Independent Auditing Services I Town of W estkake Weaver and Towed. U.P. I Page 12 r>, Insurance • Tax . Ad,,tsory Similar Engagements with Other Government meat Entities Significant Engagements Our dedicated government pro:ctice 15 one of the largest industry practices in the firm ranct bras the experience need,90 to provide contirruurd excellence in ,orAce. CAjr professionals ptrrform audit and advisory ssr7rices for mire than MOQ government entities ecxch year, The follawirlg is a sample list of clients relevant to the Town that we hove served in the past three yetars. Cify of John 5haren Jackson Annual financiol and Southiake DeSurro Chief Fimncial Officer corMliance audits, wince 700 Y Y 817,748,$042 including single audit 199E sjackscn@cj,svuf i1ake.tx,us City of Jahn David Erb Finance DirEctrar Annul fnanciol rind compliance audits SO'ce 650 Y f LawfiviHe DeBi)rro 972,219,2775 inciudinsinglepudit2013 derbGcityof1ewi,vi:le.rram Cfty of Sam Janina Jewell Finance Director gnnlJai firioric_is;11 and Since 500 Y Y Euless Dempsey/ 817,665,1624 compliance audits, including single audit 2013 jjswell� ci.eu lesz,tx.us City of Jchn Jennifer Miller Finance Director Annvol Financial and Since 400 Y Y coppelt Degurro 972.304.3669 compliance f1udis, including single audit 2017 Jmiilernc oppelitx.gov City of John Melissa Beard Finance Director Annual financial and Since 450 Y Y Wylie UeBurro 972,516,b122 compliance audits, including single audit 2009 tvlelissa beard,Fvvyyliete;cas,gov fLvdmicof Prom*sal for Independent Auditing 3eivlcesl Fawn of Westlake Wesiver rind Tidwell, L.L.F. I Page 13 weaver AssurPnce, Jax,Advisory 1400� Representative Clients MUNICIPALITIES .City of AAlen'/+ City of A(lington# City of Uenbrook` City of ClevOonol, City of Confoe'/+ City of CopAell'/+ City of Copo+Pras Cove'/+ City of Corpus Ctxisti# City of Denton '/+ City of Etrlei51/+ City of Fort 114-orth'/,. City of rdscp'/+ .City of Goriond'/+ City of C;e,rgetown^/+/# City of Grand Pro fie,/+ City of I iou.ston# City of "no'/+ City of JAsper'/+ City of Keller►/+ City of Killeen'/+ City of League City"/+ City of L*Wf5vifle'/+ City of 1-utoak Cily of McAllen City of mcrJnney City of Missouri City Clay of Murphy city of CdQ650'/� City of Plor c*l+ City of Rowlett+ City of Southtgke'/##/+ City of Springtown' City of Sugar Land City of the Colony+ Cityof west LNversity Place City of Worfhom City of Wylie/- Townof FairvivN+ Town of Little Urn/+ Totrn ref +Areslkil e+ LOCAL/REGIONAL ENTITIES o f canoe AWOCtl AUttpority Bexor County Auditor's Office Brushy Creek Regio .a1 Utility Dstrict Bryan Texas Utilities# Central Texas Council of Qoyernrnents'l+ Doitos County Pork Cities PAuNcilool Utility District Dodos CGUntyUNityond Reclgrnotian District Denton Co!anty Transit Aultvsrit'y'/l/# East Texas Council of Governments'/+/# Ectaf County Appfoisol IN51fict gCtgf County Hcspilai Distrio# Guads7lupe County'/+/ # :"IgtWon rGQ. Weston Area {C,011ncfl# Lot j Cities N unicipol Utility Authority MelrocQre ;iervices# Midland Count)/' Midland•Odesso Urban Transit District .Montgomery Central AsDprraisal District mor-tgorr+ery Caunty'/t !Aontgarr" County dosfiffd 04strict North Teyos Municipct Water ofstrictol 1. North Tgy,G.s TrallWOY AUlhonly# Odessa Howiing Authority' Odessa Development Cgrporotion Parker County► Pecos County Reeves County TWont Approlrzil District Tcoont County# Tarrant County Tax Office it Tombotl Hospilol Authorty Trinity Raver p uthority+ W114ornsr n Ccxxity I/+ SCHOOL DISTRICTS Alvin ISD' Birdvlle ISD'/+ Efyon 13D' Cc*l Ue Station 1.5D' Conroe fSD'/+ Crowley ISD Cypress-Fgirbgnks IStS'/+/# Dollas I5f3•/+/# Duncanville ISD' Eones ISD" fort Worth ISO'/+/# Gfand Froi0e 50'/+ Ogtefond Pork ISD'/+- Hurst-Euless-Bedfcrd ISD'/+ irving ISD'f+/# Lo Porte ISD•/+ McrInney ISD# ntescivite ISO' f4dland ISD' Montg=" f5D'/+ Klein I$D'/+ Ffluw/ille I5D'/+ Piano 1.50'/+ Pockwg1I ISD' Texos City 613' Tprn"I 15D'/+ woco t5D'/# Wichita Fails 1501 EDUCATION SERVICE CENTERS Region a E$C•/+ Region 5 F$C' Region 6 ESC► Region I I E$C'/If Region 13 ESC'/+ STATE GOVERNMENT Cancer Preventipn and Research Institute of Texas# Empty/ee RePre rent $ystern of Texosk Strafe Bar of Texas Texas Board of Law Examiners Texas CQvrcg for C?eyelopmenld 01sabilit*0 Texas l3epgr1ment of Infor(r ilor Resources# Texas 0ppartment of Insr,+rancef# Texas Department of (1ceming and fiegutat'ion# Texas Generof Land Office# Texas Higher Edixotion Coordinating Booed# Texas Lottery Commission Texas Municipal Ralirernenl 5ysternlf Texas P+ermonenf School Fund Texas Sfclte Auditor's Office# Texas WindstGrm Insurarce Assoc.# HIGHER EDUCATION Abilene Christian Universityt# A OMC Colleges# College of the Main'and it Dot k4or C..Qlleget# Dallas Baptist University Lamar University Lee College# Lane Star College iorront County College it Texas A&M University# Texas Christian University Tyler Junior College University of North Texas System University of Texas System t# University of Texrus al Arlington University of Texas of tkatlas 1.16jer56 of Texci at Sµn Antonio University of Texas Permian Bnsin • 5fnyln A.uckilG l + lips;09nl of GFOA Award (w Exeel"ce In financial RepoAnq 1 P IrgernO Control and/rx IT Ausflt Technical PropQsat for Independent Auditing S$fvfces I Town of Westlake weaver and 1idwel(, L.I-.P. I Page I.' weaver Scope and Audit, Approach Proposed Segmentation of the Engagement, Staff and Hours Ala high l: YeJ..Ours is ra big picturs3 opPro+ach; we take the time to consider h©w your op�srotigns and OCCAunting processes relote to yoor Internal control systems Viand the re$pori5ilnillties of ysOur existing personnel. Ttir4ughout the guilt, taut der ^isioras are guided by two sirnpls g4olsi what Lwid i.)$sf serve your needs, and what wW produce the highest quality yet most efficient audit. When we evaluate your risks, we't) footts not onl3/ on deepening (jur wrid r ionding of your.operatiom and accrauntin. processes, lout also odl continuing to examine yo.jr internal control systems and the responsblitiaas of your personnel. We will a►;,a diacojs our planned audit precedurr-:�5 �Mth monogernef-it, weighing the benefits/effieisnry of existing cqritro(5 to detperrnine the degree to which they con be leveraged to redu� e level of effort wittaQut rr rnpromising gw1ity. An overview of the key segments of ovr melhodology is provided 1*ow, additional deto4 reg�irdjog �:ur Approach are provided on the previgvs prage5. PHASE KBry P411?F'bt ANDACTIVIilEa $TAFF alYe roll! underst�srs d yst�r prinrffies onrd risks.EPO r.M . -- _ itu m lze thOaudi+ pion, anrd COMPOc ;anissr t$ i^la w01 cdd,urraont and test, tic ©ppiiC A-,J a, PCdMvf. Documenlaflon internal ccritr4s.determine cxmoiarwe Mencoer.5erlor formajxprowore ios oor,11cablei and misoclate, Fieldworkirfrsntiry k++y ricks, ks59i.ifs5 /ale vi�pflrt4rPtsribst�xttWafe4tin�and NA -nor, • Finl tdat!aandyos,preporewt�s:papen;ansl tAcxxTger'serdUr Fleldwo AstoCtot'P' Assrir..kste,- Ydl e wiu coiripte our Shaftroport, perf9rm Pcrtner. terhnicdrevie�rrs:o*3nf fW1di6.OS with Manager, Senior r7;anonoment ondt inr fporate feedback, Asstsciate. ,ofoGp1lcgoio;drottAiiiproAdedfor Aswc;Wkm review. -(^i-�rtyitlrE!nsrfuv.�!repsrt44�"nlf+ar�ei'r�r�atst?j _ Yn�gerrt,srnd pvesentresults, gs Portnar, ar:pS'.ca fe, fka OR gManJQd 10 110 TVbn Manaaar. senior csincit Fir011OU1stcternentsV0001 AssoCtAtp cwrimr,watvnit vAbe presented t�A) h*jr w-POEtive togrd. TIMING Will firer/ by Ontity. flee ProWed ticheckales on pees 37-2° 1;0U95 Technical Propostr! for lndepensleol Auditing seiviceg I [own of Westlake Weaver and Tidwell, t_L.P. I Prige 15 weaver>,,.- Assutance Protecting Your Information Weaver is always mindful of the responsibility associated with managing t confi.deniial personal and financial data, so we hove oreated a comprehensive .; array of procedures rooted in lndustr�-standard best practices and systems to protect client and firm information, To start, physical security measures include secured doors in our offices and workstation that IQ4:k outorrmaticaily, Printed docurnenis which we etc re QrQ kepi in secured oreci, and unneeded docurnents ore collected in locked contolrners for shredding, We are diligent in requir ng data ;,ocurity reports from third-perfy vendors, monitoring hour third partio6 protect our data, and knowing where w. r data Is stored, In- house cyberiocurity measures Inclode hao-fsactor authentication ono encrypted lfaptpps, hard drives and email, We. ver Ql,o enfr3 cc,,5 rrmondcatory encryption of aq ren-vavoble rrmeafm (such as US© drives), These are just 5orne examples of the e'xhpustNe procedures we follow to make 5vre client data remains secure, Adltionat details reacardjj3q our IT and security w-)licies are available urn re. u -,t, Key Activities Phase l : Planning & Risk Assessment To start, our team will meet with you to Understand your operations and processes, compile our dQsurnent request fist, provide rac:tRss to our client portal, identify and confirm potential risks and calculate ca preliminary estimate of materiality, Finally, we will develop key parameters for the audit, including ► audit objectives ► Staffing and reVonsibllities, including r°r• inciger and partnersuperai5ion ► Application of analytt=t procedures ► Schedules rand hour budgets by audit orea >~ Materiality levels used for planning a A risk assessment by oudit area In developing our audit plan, we will continue to consider ospec:ts of your operations that could affect the audit scope and approach, such as organizotional structure; gavernincg icav✓; and regolotions; unnuai budget and sources of revenue; number of em*yees; and any significant events during the past year that might hove; affected your financial processes. BE'�'OIND THE AUDIT What snakes Weaverdifferent4'We strive to provide ongoing value beyond mere "check the box" compliance, including; i- M knowledgeable engagernent tean3 that can alert you In Mending changes and coach you through them a Professionals at every level who understand government auditing and accounting standards and the special requirements of governmental entities ► Yecr-round access to consultation and advice from °well-informed indu5lry leaders ► Free admission to 'Neover's annual deny of continuing professionrat education designed specifically for Technical Proprsat far Independent Auditing Services I Town of Westlake Wecver and Tidwell, L.L.P. I Page 16 r>ob- Assurance: Tax.AdOsnry weaver's secure portal enables our team and yours to share, review, afore and track oil items related to the engagement. We can also download financial data directly into our audit software to prepare trial balances, perform analytical procedures and prepare the finoncial statements. To further increase efficiency and TECHNOLOGY accuracy, we con even leverage our in-house data anralytics team IN THE AUDIT to analyze 100 percent of selected data, As an integral part of our audit planning, we complete annual review- of internal controls, tho Town's operations and raccc inting processes, This in-depth understanding of the Town's operatians end r oucounfing praceA.ses N essential for continuing to pertotm a th-orough,,uffr.ient and effective codif. It also helps us make relevant, variable management cwments.. Phase 2, Control Documentation & Preliminary Fieldwork During this phase we work to underutancl your internal control structure, determine taws and regulations subject to testing rind perform audit sampling. Understanding Internal Control Structure As an integral port of our audit planning, we complete narratives td, ating to internal control, the Town's operations and occ,+onting processes. This in-depth understanding of the Town's operations and eacc:ounting processes s°irli assist Us in performing a more thorough, efficient and effective audit as well as enable us to make voturable management comments, vase will ensure an adequate understanding. of your internal controls rebated to the control environment, risk o5sessrn .ant, control activities, information and communication and monitoring, The better we understand your !organization, the more helpful vur monagement comrnenls and rec:ornrroendatiom will be. This -rill be accomplished by; ► Reviewir.g controls and determining whether they helve: been fAMed in operation Arsessing the rnoteriolity of the significant transciction cycles ► best intr rnal e:r,�ntryl aver i�lenfifierJ tranSUetiran c�yrje5 Evaluating the risk factors that could affect the scope of testing Determining Laws &. Regulations Subject to Testing 'Me will consider the effects of tail✓s and regulations that have a direct and material affect on the deterrnincltion of amounts in the financial statement,. To do this, vie will; ► DiWuss applicable. l aw.i and regulofion3 with Town representfalivss and legal counsel, if indicated ► Utilize infrirrn gtior; from prior-veear wrA, papers ► Review certain grants and contracts ► Obtain written representations from management echnicaf Frrpr.,,�fl for Independent Au4iting Services I Town of Westlake We -river anrt TWNvelL L.i.?. I Page I i weaver. Single Audit Testing (as Required) .Shoui>d the Town wpond federal f ngn<;ioi assistance in eAcass of $750,000, we will consider the internal control.collegories for which testing is required in occordance with Uniform Guidranc a. These additional internal control categorios address whether: ► Transoctions arc property recorded and colc,ulated to: o Perailt the preparation of reliable finandol stotement3 and federal reports o Maintaln caccountcabllity over osset5 0 Demonstrate compliance with laws, regulations, and other compliance requirements ► Trransocffon5 are ezecuted in cornpiaonce with: 0 Laws, requiotions, and the provisions of contracts or.gronfooreen'jenis that Mould have a direct crud mratcriciill iviffect on a federat program 0 Any other lows and regulations identified in tti.e Comp►kQnce Supplernenf ► FQnd i, property, and other os.wts are Safeguarded targsaimt kn5 from unaufho0zed use or disposition ► Specific requirements for major federoi financial tissistcnce prcx r. ms hove been complied with, o Activities allowed of onsallowed o P;eriod of performonce a Allowable costs/coil principles o Procurement and suspension and o Cash moncagemont debarment 0 Higiblilty o Progrom income o Equipment and renal property o Reporting management o Subreripient monitoring o Matching, level of effort, o Special tests and provisions earmarking After examining intemol controls over compliance recliArements for major prngrrarns, Weaver vAll test each progrom's compliance in -order to offer an o*ion regarding the Town's compliance with the direct and material requirements of each major prrarlrcm. We rare salsa highly experienced performing state single audits, If required, we offer these services in accordance with Uniform Grant Management Standards (u(ms), Audit Sampling Approach The nature and size of the Town's operations will require us to design procedures to include 5ampling applications. All scamplir;g will be performed in accordance with AU Section 530 and the AICPA audit gulde, "Audit Sampling." Sampling appti-ocations may be used for these areas. ► Tests of inferrial controls over financial reporting ► Tests of controls overcomptiance requirements of rrwjor terder;al or 51ritc: rxogrorrns, as applicable ► Tests of compliance with major federal orstote program requirements, cis applicable ► Subsionlive tests of caccounfTbalance details The determination of tests of controls for transaction cycles will be determined by our evaluation of the design and effectiveness of your raccoUnting controls. Our approach to lasts of cc:counfing controls will use tolerable rotas of deviation and o .90 percent confidence level, The number of transactions tested wilt ultimately be determined by okir expected roles of deviation and our contrrat risk rassessrnent, 'The specific items to be tested will V:)e c-hK)5en rondomly. Technic -of Propoinl ter Indop nd ni Auditing Services I town of Westlake Weaver and rld'weil.l.,L.P. I Page 18 weaver>11- Assurance. Determining Sample Sizes The size of somplee cannot tie eetermined in advance for substantive tests of details of rac:covot t)(alonLE?ti. 'aMa3pver uses i nomtoltisfical sompting approach based on stafisticat the. cry, as widely used Ihrrugt:or,t the audit profesiion. This methodology uses the concepts of tolerable mi5s11oternent, risk of material naisstately�ent, ether t).O ntive procedure risk, individually significant tronscactfons and cccount bcalanae in determining the sample size. Phase 3. Final Fieldwork. After you complete the year -and closing of accounts, our team will begin final fieldwork, This is the time when we perform most .of the substantive tests on your dates and prepare our audit work papem firing this time, theauditors will. I PREPARED BY CLIENT (PBC) P. Perform audit tests and complete preparation of audit work papers ► r, ornplefe oudit progrorns, procedures and conclu5ions ► Discuss oudit findings and adjusting entries with your management ► Obtain attorney letters Throughout this phase-- and throughout our entire relationship with you — Weaver will remain in close communication with your management. Our goal is sa "noasurpftes" audit. Therefore, whenever there is a question or a potential issue, we will lrnmeaadi ately taring it to your attention, seek your confirmation of the data and ask about any relevant circumstances, Substantive Procedures Weaver determines the audit approach and the specific procedures performed for various financial 5toternent ejcc:ounts and -rrinscaetions bored on our experience with sir, altar entities, and our prior experience with you. We tailor thr,,se procedures to your specific accounting system and controls in order to perform the audit thoroughly and efficiently, The Unrancical objectives of these procedures rare to provide reasonable assurance that you will bra rible 1p proems*, faurnmorize and report financial data consistent with management's assertions. Those assertions cover classes of transactions, Year-end account balances, and presentation and disclosure of financial data, We also perform data sanalytics during this phone, REQUESTS We recognize that the Tavvn's staff manages finances of a multimillion -dollar enterprise; our objective is to allocate to you only those tasks that will result in the greatest cost - efficiency overall. For any and all requests for information. we will give the Town adequate lead-time for their preparation, We will deliver a request list for our interim fieldwork no later than one month in advance of the scheduled arrival for fieldwork: When we conclude our interim fieldwork in your office, we will deliver a tailored list of schedules for final fieldwork based on our understanding of controls and operations developed during the interim fieldwork. We do not utilize standard templates; rather, whenever possible we will work with schedules already prepared by management. Based on our understanding of the Tawn's accounting and financial reporting we expect that our PBC list would be similar to prior audits, updated for any items subsequently received that could be added to the list and items that do not add meaningful value will be removed. rropowl for Independent Audit Services i The Town of Westloke weaver and Tidwell, L.L.N. 1 Page 19 waver anre Analytical Procedures [Viing your audit, we examine more than pieces of dalra in Isolation, si11.e also an*4e the interrelationships at financial rjrKJ nontinfanciO data, Ciur exten.Sive u5�4- of ondyficol procedures offers a natural extension to the process at uncJvrsfranOing tfie Town% opwo iQm. A� wc, doveiop lhis understanding, we daterrrin.e what ratios, r,,slation5hips and internal or external data management tools will ba useful In identifying and monitoring risks, The exact analytical procedures performed fray the Tcawn will be determined during the plonning process, bored on your prior pxperignee with j/ou and examination of your oc wonting 5ystems and operations, (Ammon ixecedures include trend analy5ls, rrrtita QWIysi5 card pf'r f< ficfive or "r@CJ51r1Jt71fn85S" tests. For example, depending on the 5pecific5 of your draiza and processes, we may, Compare financial inforrrvation with comparrabie prior periods, taking into account early known or expected chariges. For example, Are will compare revenues and expenditures with comparable proviakis periods and batran s, looking for iinexpected variations P. Compare actual avith anticipated results (fear example, of revenues and expendlture5j Evaluate relratior,ships among different elements within the; pc-6<3d, 5vch o! fgcQivgbles in relation to bitllrigs, or revenues in relation to crusts Analyze financial information in light of reikivcint nonfinancial information (9roMh, politfcal changes new regulatof y regvirement% etc.) > Perform automated meta onalysi5 (dcato mining) using audit command language f ACL) and similar tools WEAVER ANALYTICS Weavei Anolytics i; on internal dicta onol+/ties team that uses advanced Computerized data-canaiysis terrhnlques to Onco,/er irrogdorities that itould indicate fraud, persistent or systematic errors, nand internal control wanknesses. During financial audits, weaver Anolytle5 can analyze too percent of selected data in the areas of journal entries, payroll and disbursoments. We acin identify potential risk areas that may require further investigation by the audit team. During preYioos engagements, Our team has identified items such o5 bid splitting and nepotism, as well as opportunities to improve efficiencies in the disbursement process. Examples of key findings frorn other data analyses performed by Weaver Analytic; include: it Duplicate vendors in the master vendor file ;t Duplicate invoice payments Concentrotiom in vendors and customers that may indicate fraud is Payroll cheeks paid in the incorrect 0111 aunts n Payroll checks plaid to former employees n Employee addresses that match vendor addresses ff "Ghost" employees and vendors » Unusual overtime patterns Weaver typically pursues analytic procedures at depth in these areas, i> Srilarles and benefits I- Crash disbursements m Depreciation b Certain revenuea and expenditures Any unexpected variations are resecrched for ex.0anations, and then corroborsatpd by reviewing. >upporting information, 'Pmpr.,;ul for independent Audit 3er1ices I The Town of Westlake Woe -over and Tidwelf, L.L.P. I f'gge 20 11 weaver AAJ Phase: 1 inaTtaial Review and Quality control After fieldwork, is complete, this engogement partner i-Al rooview the entirg engagement, with prartit ula7r aft �ntir�rl to signifir. ,,anf ovdit arrva,, Iri ,addition, the draft report and wr papers ,41 be reAewed by the technical review partner to determine the completenez with ,Mhic h? the engagement has been performed, Tile auditor's revkew will determine wkwlher Judgments made by others ore reasonobie in relation to the supporting data and to generally aa4 eptect raccaunting principles, auditing 51,undord5, and firm pc.�ii,;:y. Weaver will olso propgre lh4R T(,rwrj'5 Comprehonsive Annual financiol Report during this phca+e. We ufifize, ow engagement software to link ymur financial statements and supporttno schedules to our godited. electronic Not balance database, This use of technology, combined with our expwienr=e preparing Comprehensive Annual i'inanclal Reports such as the R>wn's, cagom us t4 streomlin* the preparation prtjc•e_ss o5 bolonces can by e45lty verified and doss-che :kc i rarid any no cvs ory changes con be made quickly. The Comprehensive Annual Financ:fol Report will be reviewed by the engogernent monoger, and the ongragement rand tet!hnic ul review prarinert; who are Wth finerribers of the GFOA Special Review Committee, We will discuss and confirm our findings -with appropriate Town staff whenever we discover an area of potenfixal cQncrurn. In addition, we will feview drrafi findingi rind recurnrnendotlons with you throughout the eN agement, At the reporting stoge, there should be no surprises. Review and quality control tasks include: ► Engagement partner review of rail viork papers to ensure compliance with technical standards ► %:c hriical review of all work papers P. Perforrr[ing any find analytical procedures P. A client conference to review financial statement:, the ouditorl s opinion and prelirninory management letter comments ► Obtaining written representations from management Weaver Vvili Create orld rnointain all nrscefssary information card doarunientation, including accMirtinq records related to services and payment, foar at least five years after the engsagement, or unfil zany audit of records or litigation concoming ony cervices has been satisfactorily re -solved, whichever cnccurs later. We V411 also make tavollable to any authorized representatives and their entities neces5arl', relevant information. Phase 5: Reparfing Throughoof the audit, if we became cawrare of irregularities or illegal aacts, we will rroke an immediate, w0ten report of those carts to morw9ernent. After.our internal reviews hove confirmed the cudit 15 complete, you hove reviewed the draft re.-orts, and we have incorporated your management responses and related info(mation, Weaver will lssue the final audit documents (printed copies and electronic fuels), including. Indeperideent Auditor's Reports, including; o A report on We fair preientation of the T.+wr6 fincaricicl stotarvenls in conformity with U.S, generally accepted accounting principles (GAAP) (12 copies) o A report can We fair faie;entcWori of the Wesflrake. Academy's financial teatements in conformity +Frith GAAP 112 coploi) a A report on the fair presentation of the Westlake Acrarlenny Foundation's financial statements inconformity with GAAP (1.5 copies) Propa wl for Independent. Avdit Services I The Town of Westlake Iteeaver and Tidwei!, LL.P I Page 21 weaver .Advisary 10- o Separate reports on the presentation .af the financial statements of the Texas Stvoent Housing Aurhority (TSHAj, and the Texas Student Mousing <. oriaorration's Colleg e5 #aatinrr and Denton projects, in conformity with GAAP (12 copies each) o Report to the Town Ccxancil and component tanit gov+ernin-a boards oncl o monagernent letter, if necessary Independent Auditor's Repcart on Internal Control Over Financial Reporting and on Compliance and Other Mottvr$ Bgwd on on Audit of Fingncial Sto#ements Performed in Accordance NMfh GavernMent Auditing Standards (except Westlake A cade"/ Foundation) Independent Audifor's Report on Compiions e for €,each Major Federal Procgrom, anti Pe.;;part on Internal CQnfmJ Over Compliance in ,Acr:ord anc:e with the Uniform Ct* once !if nacsdedl All Lather repots required of the Independent auditor exvminfng the Town and its cornp�anent Units' finpncicJl stca#emrrants in accord eance with -appropriate standards We will issue all report$ currently rewired by generglty accepted auditing standards and any regulatory agencies, ras well as iszrar3 eery cjlh tr repzrrts strt�s rr a€anlly r ,qt*,R ! ! a+� thesr� rar similar entities following completion of the financial audit, Weaver will preseni our finolings to the hearties you designate. At that time, we will explain our findings, present practical recommendations for improvement (if needed) and answer your questions, The enang€ menf partner and manager will also bring these reports to meetings os reas.jested, This provides your leaders with the opportunity to ask questions directly and enables us to explain our recommendations and any onusual findings. Weaver's Audit Insights are designed to convey the most essential results of the audit, without excessive accounting jargon. It also presents information on financial trends over time, strengths and opportunities and looming changes. We will ensure Town I.eQders, and the leaders of its component units, are informed of tho following information, is well as any other items required by audit standards: iaRr�s,sssmnpApNnr�r WetYarj. w w.pt +,..•!rou++o.� p.e_rv�c. r,a•ro. 'R�nw rn++�r �.... avernrPj P. The auditors responsibility uris or generally accepted auditing standards and government auditing slondar4s ► Diffickilties encountered in performing the audit ► 0i5tagreements with manogement Major isssaes discussed with management prior to retention Management consultation with other accountants Managernent judgments and accounting estimates ► Other information in documents containing audited ffnranciral statements ► fiignific ant accounting policie, ► Significcn�t audit adjustments All working papers and reports will be retrained for o minimum of five (5) years, unless weaver is notified in writing lay the Town of the need to extend the retention period, We will make working papers available, upon request, to the Town and any additional parties you designate. r�pn,nl ter @r,d t;�rsts'r+f Audit S�rui�es I Theiown af Westlake Wf3ctver and Tidavel@, t..i..P I Page 22 weaver>- As5uronrk Identify any Anticipated Potential Audit Problems Weaver does not expect any significant audit problems_ The biggest challenge will be monoginrg the audit yfficiently In sxder to meet all dea(Anes, Our comprehensive plvnning pracPsa — Including the Initiral meeting with the Town staff, in which we will preparo a cornpreherisivg docvmonriternizing tl re signific,anf timelines sand rnllesforlew for the phoses of the engagement, delineate responsibllities and prepare the list of 19 item5Weaver would reQuest that the Tovm staff prr�pcare —lions taaen Specifically designed to identify potential delays so that we can take preventive measures and plan ahead ray necessary. Our regular status update meetings throughout fiofdwofk ralsa holp prevent problems. Should any user aected issues or delays orise,Weaver's depth of experienced gorvernment auditors would allow us to scale vp the teem as needeal, Our integrated firm orgoni7otion allows partners to draw stuff from otheroffices when needed to keep audits on schedule or address difficult technical challenges. Managing Issues, Preventing Surprises Creating +rSakie in any engagement starts with open and regular communication — hands-nn p , n(ir invc')Ivement by leaders who cornet+ iricate can a regular basis. This serjw as the evef-valuable foundation in even/ Weaver engagement, Throur4ho,vt the audit — and throughout cxrr entire relationship with you Weaver will remain In close cornmunicration with your management teams. Our philosophy Is a "no-surpri5e5' oudil, iherefore, whene- Ver thore is a question or a potential issue, we will immediately bring it to your attention, seek your confirmation of the data, and cask about any relevant circumstances. Your enrgtagerrient partner is also available at any time for phone calls and meetings. Your team will discuss findings with you before any are formoll7ed or entries are posted to .ensure management agrees. Statement of Teel n0cal assistance and Advice Level of Assistance of Town Staff Our objoctive is to allocate only ihcsc tasks to you that will result in the greatest cost -efficiency overall. Whenever possible, ere attempt to minimize the audit's impact an yraur staff by using the informotion your management already prepares and uses regularly. Weaver can acce pt electronic data from virturiily every occountinsg systern on the market, which reduces the time required by your personnel to ,end us necessary inform otion. We will (.:heck; -in with our key Town contact for the audit on +a daily basis while in the field, and will work with that per5ran to best (address the requests we while setting a realistic time -line for each deliverable that me eh bath the Town's rind our personnel schedules. We will wort; with the Town as best we corn to pficritize requests and schedule meetings that allow everyone involved to still rneet their day-lv-day duties in oddition to making time for completion of the audit, Propo=l for independent, audit Samices I !'he Teem of Westlake Lieciyer rand iidwell. 1-,L.P. I Page 23 weaver>, ­ Assurance - Communication Approach Throughowt the audit.and all year, Weaver will communicate with yoo openly and often. We want to t�e o resource to help answer your gveitions and help you prepare tca Jimplernent new reporting 5tandorc(5. Qurirtg ihy Pudit itself, the Weaver tearn ).vial hold theso rngetings with management and, when appropriWe, with those cliarged withgoveracince; -- E�rlitln�J U9 Gt9rttrt`ita �i'is�i�f 6i� ► An engalgernent plonning meeting to discuss prier oudits arnd learn yr,�r exnectoliow for the upcoming .audit Entrance and exit conferences at the beginning and conclusion of fieldwork, ► P( ogr-5s conferences during} fleldwinrk to discuss work In progress and open iterns P. A conference when the draft copy of the rr anagernent letter is prepared ► Presentations of the final audit repoft and rnanogernent letter for key stakoholder;, c-m needed We will also use those r.carnrr)unicx;1!c--)ns to: ► Provide techntcof updates and discuss how they gffect the Town ► boarn ct►cxat changes in ycar,►r forward -looking strategies US we look to the next season ► Understand ycuroverall satisfaction to dote We will keep you informers of any significant events tWt arise during the course of the engagerwt. Whenever there is a question or a potential issue, we will imrr►ksdjolQfy bring it to your attention, seek your confirmation of the <data and osk about any relevant rirrumitcances, and we encouroge you to do the same, gr4po,91 for 6r,s►ar}aerdent Audff 3efvlce3 I The Term of Westf ke Wco-ier cind lidwell, U.P. i Page 24 weaver>01- Assuran.ce, Proposed Schedule A preliminary, hiilh-level schedule is provided below, based on o:)r understanding of yqur needs vrid the work plan described In this propos-al, We ore goer mifte6 to meRting the firrltOnas indicated in the RF€'. During the initial planning stage, .ode will work with you to finalize detglted, mutvrally agr,epable schedules and the timing for receipt of inkstnoilu- n being provided by the Town Adjustments can be made of that time to oc ommr_adote y©ur needs, preferences anrJ staff availability, The schedule rricay alsa be offected by any findings made during Initial fieldwork, Town of Westlake plannifig & Risk As000rnamt lVt7l_: g pcwiSlstd ts+y7l"v i j control7rsting L ProlIM113ary Fictdwafk Final fieldwork financial Review L Quality control ICrQfi do.V*md oyrro VVr-do&sdny1n 1anwwy� Reporting IFrwlrOports da�iarexdai Peiruay �cune`.I fr,Get;nq) . f4p1 Nay Jars .. 2021 Ml 2012 Propta: al for Independent Ave Services I The Town of Westlake Weaver and Tidwell, L.L.P. I Page 25 weaver>o- As-surAncz, jbx - Adyisary Vie, sdake Academy a rd Found at iors A"(.i 2021 Manning & ahk A.-wSzMunt (PK- 70 grgl/41od by 7/31 Control Testing Preliminary fieldwork Final fieldwork Financial Me- vI R-w L Quality control IsirOR$ OeWerad by!051 I JFA01?'*PC-t dd`Velod of Texas -Student Housing Planning & Risk Assoistneimf At Ire "0 PAOVdeocy 7/31 Control To"fing Preliminary fieldwork final Fieldwork Financial Review& Qualify Central Iryalis de.• Y-fed by , Reporting de'vered at Jan uarybAowd m*efhg1 Avg peat vGc 2021 2021 2021 11 Proposal for Independent Audit Semicei I The rown of Westlake WeQvef and Tidwell. U,P, I Page 26 weave]li� . Assw nre<Tax,Advisary Other Information and Concluding Rem a, rks Capabilities to Audil Comput-erized sy5tervis Weaver tins signifiaont expt(ience prov'i'dirtg auditing and advi5ory 5en4ces related to the major firirancial :and ia.usiness w5tem5 used iw Texas Qities, Gur procedures for evraluratii7g the sec�+rihi nand integrity c?f IT syst+erris #ypice�Jb� irfcluds prot,erjures to volidotL Systurri wttirigs and user outhorizotiorn, Due to the ,5i7e cania a,a,n unw and scope of your computerized t3Iectronic data procvming qr infgrrriotion technology (IT) furetifn, Weaver's IT Advisory group wil assist with our audit, We, u% multiple frsxm rv✓rokz rind stonriQrds to conduct ipecific IT opplicotion and security audits, selecting the guideflnes most appropriate for each case, {fur central approach Is ;.posed on Control Objectives for Information and Related Technology (C,0BITj, which furnishes a comprehensive methodology to underlie og of our IT audit engagements, We apply the COBIT framework in planning, rz,xecuting and raporting the regilts of our IT -related services, Application Controls Aa part of our audit procedures, we will use autornofe d script; tra ev�+iufato critics) business applictftion controls vAihin yourcornpiiter system, When evalkiatincg application controls, we will perform tasks Such cos reviewing docurnentafiion, cornporing processes to standard business rules and practices and verifying access control In applications. Application Security As part of our application procedures, we will consider systern security configuration rand f unctionclily, We will perform tasks designed to evaluate the security of your electronic systems, including the supprfting infrostruct+,ire and processes: Such tosks may include reviewing security measures surroun.dng opplicatigns and sensitive data, reviewing change management controls, reviewing the physical environment and its security and reviewing procedures designed to protect data integrity. f ropowl for Mdependent Audit Services J The Toi+1at sit Weslicke 'Vt f+cfver and TI(Jwell, 1-.L.P. I PAran 27 weaver>01- Assumme, Tax Approach Staying up to date with current tax law can be difficult for (T)Qny organizations, which is vyhy our not -for -profit clients trust us to ensure that all bcase.s care covered, Our tax professionals rare ,eramle %ly integrated into the broader salient servic g team, enabling tnleover to bring the poorer of all cor re,sourc- es to The Hotline, I}eginning with the first intmduction, we start by gvining v deep undG•rstrarrding of your organization ranti its 5poON; goals. The br--iter we understand yo—w Structure ar:d desired outcgrrtes, the rrtore eff tMRly Weaver Will help you to maximize opportunities rand min;mize liabilities. A str©ng relationship also helps ;Js identify ernerging tax issues relevard to The Hotline to help keep your tsgrra inforr7reC, in caridiiican to toy. preporutir n, we also provide othesr tax -rebated service,, inclLrding idk3ntifli ertiort of areas of tax exposure, sort) sae um -elated business income rand consultations on fundraising rules cand Iiabbying nustric lions. IRWeaver provides tax planning, tax return preparation and IRS repreCentation 4 services for Form 990 tilers. Form 990 5inc;e y;3ur tax firina5 are public records cavcailraUa for viewing by potQritiol donors and other interested parties, your filings are in many ways 4w face of your organization. There are numeroua responses that, if not answered correctly, draw public and IRS ;,crutiny. What's more, proper completion of the forms is on important tool to rnarket the orgonix-afion's objectives to the general public and communicate to current and potential donors about the activities shot yoo support, VVith Wer_aver, clan rest assured that your torneeds will be mei with experience, accur,aicy rand efficiency, Your tax partner will mm ain ovrailrablp to you year-round to discus tax q.ie5tiom cas they arise. We integrate open, and prompt communication throughout every step of can engagement; conoistent and structured communication throughout the year is the key to ca smooth too return pro c;:e5s. A5 to general rule, the firm e-files most of our returns, os mandated by IRS, Coordinating Audit and Tax Work Recognizing that audif and tax services go hand -in -hand, ptjr audit sand tax professionals use a tecjm7 oriented s~apprccach to ensure that our shared Clients experience the highest quraiih/ and most efficient and co(vdinrated service. We work idosely together internally to ensure that our shared clients do not receive dupiicrate informotion requests or redundant questiom, and we communicate together with clients on refsc)rting Pxrwr tsatfans by holding joint audit/tcax rric f Pings with client5. Efficient Collaboration Weaver has developed robust, efficient wortcftows, and tools that enable u5 to cornplete even very large, complexengagements efficiently, effectively, on time and can budget, Some of these practices levsr>;age technology, w%iile others are based on specific processes for performing walkthroughs, testing controls, documenting findings and turn municrating with clienh. f ecsprzmf for Inde✓perr►rent Audit Serviue5 I The town of Web lake Weover and Tidwell, L.L.P. 1 Page 28 �i V 1 Asw�ance r Tax, Advisoty An Adaptable AppracaQh Whclrtearer tt39 future hoWs in rest od3. e to CQ;/ID-l9 car other ernergencies, Weover can complete your work efficiently, on time, and with no lo.55 of a:ffes.cWene,a. The past year has demonstrated that our rem to wnfkino fechnoloQy and r'nanogement practices enable us to defiver on ti -ne, vverg when client offices are dQsccf sand staff rare wracking rerrical*_ Our robust c,r mmonication rind qo aiity�assuronce P=ei5e$ tsave enabled us to master a challenging sedan and prepared us to be as flo ible as needed fray future engagements. Leveraging Technology -- Huddie, Teams and Zoom Weoyer's team is adept .of loveroging technology in oor engagement$. We regularly utilize teals 500 aS Huddle and fJiicrasraft Teams to fac itrate efficient, set cure r,iockirritmt cr.4laborotion, cornmvnic-otion and tracking. Th)ese tools not only enable efficient co mrnunicotion, they also pro-Ade additional vj5lbility and tracking f'rar management. We're well-yersed in making the most of hats for remote w(Wk grid virtual meetings, utilizing platforms such as Zoom and Teams. We ren;air, flexible throughout the engagernent, cdapting to your cornfcrt, Weaver typically u,{xs Microsoft Terarrx; for collraborgtlon internally and for client lrtferra+Ytiorr. Terarrrs is can Offing 365 aloud -based business;,ommVnicatfors app that enables local and rernote workays to collubafate on r-o nl ant in real tune across different devices, including laptops and mobile devices: Because Teams is part of the Office365 suite of products, it i5 ut doled frequently by Microsoft, 'graining new features and eniuring that sertNity rernr*5 itrong. Weaver regularly meets with clients via Tearns, which includes fc,ratures such as screen sharing, Video and Gaudio ,haring, and document presentations with file sho(rng capabilities, Clients who join Teams meetings receive ran .emall with a secure link to the meeting. Even if an individual does not heave Teams insta)led, they are still riM: -e to join vice a simple client, which is downiooded when clicking the link to fain the meeting. Meetings con 1;Se conducted from orgy comwter or through ra mobile device running the Team, app. Sample Teams Chpnnel •n _.____.. _.._Y o l:enr,dvtt.:�.u:,nva:5., dad�cuwl:Ja%. and nin•N,r nuA'.l::qur: I ito:y I ai (1 (D 2 CJ cr St h I PropowI for independent A+,► 0 $emkes I The Town of Westtake. Weriver and Tirly/eI . L LP. I PCtge 29 weaver>op- Assurance, Whether the tool is Microsoft Teams, Huddle or Zoom, Weaver keeps its focw on the colalboraSon these tools rnake pgssible, They are useful, but they afe only tooi5. UHirnotely, cur real volye will rumerge froM our open communication and o relentless focus cn effective splullons, huddle- HUddle has repeived ft A ftwizatlon to Operme (ATO) from FedRAMP, aemunmrating that it rnee% fs4eral we "rity r,#ar+drarda of OA' OMB, G.GA, OHS. 000, PTA, NIfST crud tha Federal Chief Information Officer. Foradditional inficrmotigr on tg chnrloey i(i the audit praFe;s please see the Scope and Audit Appfucch ,jec;tiao, under Key Acfivitie%, hopasal fear Irideperident AuclM Services I The Town of WeMloke Weaver and TIONell, L.l_,P. I Patio 33 rx- Assurance • Tax • Advisor/ Cosf of Services Sche Wera.cr raid- , ite�olf on offering the cop abilitit s of a rnuc.h larger firm without the e? pame, With ow ireramlined .uperolioris, vie er n prr ride the knowledge and experiences you need, corrnbined with o personal touch and indMid" al cattentipri. One of the most Importoni factors i+i Weayer,s r7Nnty to perform cost-efftcferlt services is our func lon- specific: eappr©och to rendering pr�rfessior�pl 58r iaf �g . �ec�'�er can field a fegrn wit}Y experience ale ry leYet A,5 a re.all, wecon apply ,taff tirne of the rn-o5t cost-effective levels Viand rotes, All -Inclusive Maximum Price Financi+aal a_75t for iN:r Town of W@Vlako for fhe $41,r )o $41,750 $42,500 $43,3>'Jf`, $44,250 fiscal year ending .September 30 — FinongipI audit for tha Westlake Academy for ^62a, $21,250 $21,675 lbe 4waf year ending Aki ust 31 Financiot audit for the Westlake Academy �8 100 $8,150 Is,20ti $8 225 $,8,425 Foundation for the fiscal year ending August 31 — Financial audit for Texas Student Mousing ,2.50 $8,450 $8,550 T,53,5%5 $8,700 Authority for the fi5rrral y yar enciiri four ust 31 - -- F-IncincJoi niidit for Texas - - Student blousing Corporation Denture ;1 G�. tX) $16,8,5i� $17,2 0 � i l;,'�,,, $18'1)0�j i Project for the fiscal year ending A!u2 sf 31 Financial audit for Texas Student Housing Corporation Coifeq <., $17,23fJ $tuticm Project for the fiscal year ending Aurpust 31 Preparation of IRS F, rm M for the Westlake Academy Foundation $2, $2,000 )) $2,000 $2,000 for the ti5cal your Undin Aug ust 31 TATAL ,1t2,35f) $114,55f1 7,101 r$1 119,275 $121,625 Propowl for Independent Audit Servicei I The Town of We"tkrfre 'Nearer and Tidwell, l.,l,P, I Pcge 31, Asa wance. Tax - Advisory Out -of -Pocket Expense and Administrative Costs The fees quoted are vii=inclusive; we do not charge for out-of-pocket expenses such as printing, report production and similar adrnini5trative costs. Routine rneetings and counting a wire In the ardinory course of business are dso considerad port of cur role a3 yqur professional 5'ilces provider and ore not charged as a separator fee. Questions and Communications We encourage you to contact us with routine questions throughout the engagement, and throughout the yecr; wR twitJ not bill you for generol inquiries nor for the time to learn the mianc of yrur op8rafi4n5. Nda4 see oil of this as Qn Investment in building a Ilorsg-terral relations, Np with, you. For puestions that require substantial res4;orch, or if it should become necessary to change the existng SVopP — '$her to supplement the 5enilce5 regoested gr to perform additional ,r/ork Qs aresult of the seer ific: recommendations — we will discuss project defols awith you and agree upon a pricing structure before beginning work, Typically, additional work is negotiated based upon the firing rif trio 5vvkx: noode,d rand skill lovel required. Addressing Scope Changes we believe there should never be surrxises duing on audit engagement, especially ;vIner it comes to costs. We expect the cost of the engagement to not eyceed the costs outlined in this proposal. However, there are situations that con trigger the need for oddilionol Services, Stich as significant changes in client Operations, auditing standards, or to address iswes identified during the raudit. If it should become necessary to change the existing sovpe, we will discuss project details with you and agree op+on sa pricing structure before beginning odditional services, Keeping fees reasonable is just one way we derrian5frote a aornmitrnent to our .clienl5. If you are ever unsratisfie0, with ysiur fee,, please do not hesitates to let in know; we want o rr relcafitanship with you to be bang -term and mutoolly beneficial: Planner of Payment iA cover will submit monthly progre% hillings ll:) ased on the hours worked during the previous period; Prcppowl for Independent Audit Sesvlce6 i The Town of Westlake Weaverond Tidwell, l_.l.R. I Page 32 w eve r AmiroiYa , rt:Y • A.dvisory House Bill 89 Ford (signed) V, ff f fFR, F{,FORMAT( 04N "Rulmijilluji f'rvitibition mi C:r>tdrxsls +,tith Companies Ro Ymoing Imol Tha now kaki-atiu). elfst43ira f I)1. 1, 2017, %ft'Wi arnsnrls Uas focal Gave•—immA Coda: (fbrAmo I- subtittr P. Tide 10,CiaPJwrlmtmt C.o& by idding CImpfar_3.770 *ll1s;ly OW-gs desst ,•a pa vcnuttarttal entity amy wit emer him a enntrru t will n rompnnv ror gf-& or egr°riggs soloss elm nontwt talattuills a Writtmn r4rirk:34%t rrou fii, a ampinyv titer it- L . 400 nrt "vot lerwuis Ind e will tl (Wycolf W10 Arin;P".ha t a" 01 fhe C oolm-,# Pursualrt to l'>miAn 2770.601, 7'ssans Goaarnnlanf Cade-: 1. "r)aymi Ibmi" rlta:uls raiusiug to deill with, tcmiiitAinS htlBhom a+:0shics +Whir, or otltarnviae taking any goo, 0t 111% is intstrlde W panulizar, infltct +xOnDmic Imml on. or Willi e,unilmertial rol stiom spvvifwaily with lsrael, or wid) a person or entity dying l'<rrsine>z M tsraol or in atl Larasli 4oritrollcd tvrritr y. but "-35 mg incladta no wlion nmw Or orditlary bmill,>.ss purnoies: aria t, "Compam•" means i Far -profit sole proprielmship, orgmizaaistt, a6smUtivrt, corporation, PorimernI►ir, joint rartforre-, limitad rarfmdmhip. lilnitad liability p;lrtrlvraltip, slr' any limited fillbilky comp uly, illelrlding :l u11011%, tYSrrtt'•d stJh'Sidixy. Iikijf:F113 •rYSt'rla if *ldmidlary. pnrs.'111 crsmpany or aflileata �l'tllsssC esstities or 1ilWinass ossvviatiwtla tirstt e: gkt rn riaal>,s .a rrtrli}. I. (auttts+rirarl aflicint) , do harehy d,..)VU and vKrifg the truthl'ulnvs5 alld susuras y of Ike s:wAvlas of tiva jilawfuldr Eurltmitted fm lltis cartif7catina render flu: protoEivnc of SubWe. F. 'I-itle 10, Croveatim.' at Clinpwr 3270 and that the company named bclwc 1) dons ow Wycott Isrtral surrrnft : wld :) will r�l ia<aycott lAravl .dtuifl$ the taRu of'11u: cosura 1t rtFtd i¢ not currently listed an rite f+ Xd af'f-rckr C 0Mrtrottet''s ('onlpank-s drat fte;V00 lama-1 N. r l4snted at ti ':; r oet.ptrollcr.fe ias R�ov' urn :ui lg�lul�lidaliuns `Jise ten rtt.t+hr+ Company Nwm, 1lS4maler and Tidwell, I-L.P, Signature Ar AtKAtlrizcd biflrer>rl Title ,of Amlmriud Official hate Partner. Visas mme SnrYVw Pr•;itr%rjt fru Independent Audd Seryices I The Town of Westtoke We~civei crud Ticwvell. L.L.P. I Pays 33 weaver>-- Assurana-, Tro, Advhofy House Bill -1295 -Frorr-n {si n-ed) CER-rINGATE or" lrJ!ERESTED PARTIES FORM WW ONLY OF RU1,40 ailaw�r rind ywmj. rjaW, TY. UinWd f2laM" PAIR 080 0402021 ZA gamn1mg VnMy Wf;jW-FjV* lowiso ImIm MAO. ,Tmff. 14 WitVA k" V.W A0M*&ft4d.! WA"Ofirsoxx iq.wnbw MGM r7 am q9vwmrtPw of3q'.y of #W# mq;ery r-9 kjv.* o, 14-AOIX thq, i�Wtxrrl, fili,4 praAO- a ;14"fiLwtH Awk ooryliws r,0qwq d,,t m AAm gilwy Wros ;tAw44rffqllmW" M, P1.5ralo. anwNy 44"04 Al DOO.0444) (ONV& 'Ac4*0 Ra4X, TX Ulmo Vaw HOUSM, TY IMtfid 04W, x tAm*Ad- I MVK TX Uehy-?l r744%—, x 4 my ow, Amhr, WONTP lry 2w0 Hadh KOM virmal, Win 1000 owwb TX 7WQ1 U.S. 1~ fo*" 4* VW4) sm"r I 01--am it hii Wl pinitp/ [A lom is 0? ral4o'gj N III AV WWI imeel. I: z6414C0 41 N�g, jZ-4Vjd—t&j— N2L-- twa�) (saw) ;-W 11M Vftffir—'VIS 01 TVAN6 W14 COM1*01dri -11VIVIII Proposal for IndependeM AudN Services I the Town of Weftk* Weaver and lid/yell. UY. I Pegs 24