HomeMy WebLinkAboutFinancial Advisory Services P.O. Box 40458
ii Indianapolis. tN 46240-0458
~"~ "'.i;','- i Phone: 317-844-7288
~ ~ ~:~' Fax: 317-848-3604
[t~ all about c×pcricnc¢'.
June 6, 2005
Board of Public Works and Safety
City of Jeffersonville
501 East Court Avenue
City-County Building -
Jeffersonville, IN 47130
Financial Adviso. ry Services
Dear Members of the Board:
You have requested that Umbaugh, Certified Public Accountants, LLP (the "Finn")
provide to the City of-Jeffersonville (the "Client") those services more fully set forth in EXhibit A
hereto (the "Services").
Fees and Costs.
Fees charged for work performed are generally based on hourly rates for the time
expended, a fixed amount or other arrangement as mutually agreed upon as more. appropriate for
a particular matter. HoUrly rates for work performed by our professionals vary by individual and
reflect the complexity of the engagement.
In addition to fees, we also charge for various ancillary services, for which you will be
invoiced. Such Charges may include long distance telephone charges, photocopying, :facsimile
transmission, computer research, mileage, travel expenses and other similar charges specifically
applicable to the engagement.
Billing Procedures.
Normally, you will receive a monthly-statement showing fees and costs incurred in the
prior month. Occasionally, we may bill on a less frequent basis if the time involved in the prior
month was minimal or if arrangements are made for the payment of fees from bond proceeds.
The account'balance is due and payable on receipt of the statement and we' reserve the fight to
charge 1% interest per month for outstanding unpaid balances over thirty (30) days from the date
of billing. Once our representation has been concluded or terminated, a final billing will be sent
to you. If requested to provide an estimate of our fees for a given matter, we will endeavor in
good faith to' provide our best estimate, but unless there is a mutual agreement to a fiXed fee, the
actual fees incurred on any project may be less than or exceed the estimate. Any questions or
errors in any fee statement should be brought to our attention in writing within sixty (60) days of
the billing date.
Board of Public works and Safety
City of Jeffersonville
June 6, 2005
Page 2
Termination.
Both the Client and the Firm have the fight to terminate the engagement at any time after
reasonable advance written notice. On termination, all fees and charges incurred prior to
termination shall be paid promptly.
Accountants' Opinion.
In performing our engagement, we will be relying on the accuracy and reliability of
information provided by Client personnel. We will not audit, review, or examine the
information. Please also note that our engagement cannot be relied on to disclose error.,;, fraud,
or other illegal acts that may eXist. The procedures we perform in .our engagement-will be
heavily influenced by the representations that we receive from Client personnel. Accordingly,
false rePresentations could cause material errors to go undetected. The Client, therefore:, agrees
to indemnify and hold us harmless for any liability and all reasonable costs (including legal fees)
that we may incur in connection with claims based upon our failure to provide an acceptable
level of service or to detect material errors resulting from known false representations made to us
by any Client personnel.
The responsibility for auditing the records of Client rests with the Indiana State ]Board of
Accounts and the work performed by the Firm shall not include an audit or review of the records
or the expression of an opinion on financial data.
Client Res. ponsibilities
It is understood that the Accountants will serve in an advisorY capacity with the Client.
The Client is responsible for management decisions and functions, and for designating a
competent employee to oversee the services we provide. The Client is responsible for evaluating
adequacy and results of the services performed by the Accountants and accepting responsibility
for such services. The Client is responsible for establishing and maintaining Client's internal
accounting controls, including monitoring ongoing activities.
Additional Services.
Exhibit A sets forth the scope of the Services to be provided by the Firm. From time-to-
time, additional services may be requested by the Client beyond the scope of Exhibit A. The
Firm may provide these additional services and be paid at the Firm's customary fees and costs for
such services. In the alternative, the Firm and the Client may complete a revised and
supplemented Exhibit A to set forth the additional services (including revised fees and costs, as
needed) to be provided. In either event, the terms and conditions of this letter shall remain in
effect.
Board of Public Works and Safety
City of Jeffersonville
June 6, 2005
Page 3
If the foregoing accurately represents the basis upon which we may provide Services to
the Client, we ask that you execute this letter, in the space provided below setting forth your
agreement. Execution of this letter can be performed in counterparts each of which will be
deemed an original and all of which together will constitute the same document.
If you have any questions, please let us know.
Very truly y~urs,
Un~augh
Ceded~. ountants, LLP
~I. See er
P art'~ er
The undersigned hereby acknowledges and agrees to the foregoing letter of engagement
on behalf of the City of Jeffersonville.
Date:
Its Board o l ' s
By:
Title'
and Safety
EXHIBIT A
Services Provided and Fees
ScoPe of Services
The Client anticipates the need to retain the services of an independent firm of Certified Public
Accountants to serve as Financial Advisor. The Client desires to retain the Finn on an as needed
basis throughout the term of this agreement and anticipates the services required to potentially
include assistance with financial analysis, rate studies, issuance of long-term debt, and other
matters.
Fees
For the services set forth above, the Firm's fees will be based on its actual recorded time and
expense based on its standard hourly rates and charges.