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20.103 Scanlon Proposal for FY2021-FY2023 August 11, 2020 To the Honorable City Council City of Northampton 210 Main Street Northampton, MA 01060 Dear Council Members: Thank you for the opportunity to submit a proposal for audit services for the City of Northampton, Massachusetts. Scanlon and Associates, LLC is independent of the City of Northampton, Massachusetts as defined by professional standards (AICPA) and government auditing standards (yellow book). Scanlon and Associates, LLC has met peer review standards as defined by the American Institute of Certified Public Accountants (AICPA). All partners and staff to be assigned to the City’s engagement have extensive knowledge and experience of auditing municipalities and have met the continuing education requirements as defined by auditing standards. We are excited about the opportunity to continue working with the City. We believe our firm provides timely, quality work and excellent service at a reasonable fee and would be of great value to the City. Some of the reasons to select our firm include our experience, our personnel, our process and our commitment to ensure quality work. A summary of audit fees for fiscal years 2021, and optional years for 2022 and 2023 is as follows: Financial School Fiscal Statement Single End of Year Retirement Year Audit Audits (a)Reports (2) - AUP GASB 67/68 2021 46,000$ $850/per day 10,000$ 6,000$ 2022 48,000$ $850/per day 10,000$ 6,500$ 2023 48,000$ $850/per day 10,000$ 6,500$ (Optional) (a) The fee amount is based on a billing amount of $850 per day for days spent on auditing major programs. Historically Northampton has averaged between 8 – 12 days related to major programs for the single audit. Covid-19 may have an impact on increasing the number of days related to single audit. The increase from fiscal year 2020 fees are mainly due to new GASB’s, increased reporting requirements, increased programs/activities within the City and increased audit requirements. We appreciate this opportunity to continue to be service to you. If you have any questions, please contact us immediately. Sincerely, Scanlon and Associates, LLC Thomas J. Scanlon Jr., CPA Scanlon and Associates, LLC