Report Prepared by: Kuljit Singh, Deputy Finance Officer
Title
SUBJECT: Approval of a First Amendment to Professional Services Agreement with Vasquez & Company LLP for Financial Auditing and Related Services for an Additional $7,500 Totaling a not to Exceed Amount of $307,500
REPORT IN BRIEF
Considers approving a First Amendment to the Agreement with Vasquez & Company LLP for Professional Auditing and Related Services for an additional $7,500 and a total not to exceed the amount of $307,500.
RECOMMENDATION
City Council - Adopt a motion:
A. Approving the First Amendment with Vasquez & Company LLP to include audit of California Violence Intervention and Prevention (CalVIP) Grant Program, Cohort 4 for an additional $7,500 and a total not to exceed amount of $307,500; and,
B. Authorizing the City Manager to execute all necessary documents.
Body
ALTERNATIVES
1. Adopt the motion as recommended by staff; or
2. Modify the action (specify in motion); or
3. Deny the action.
AUTHORITY
Section 1118 of Article XI of the Charter of the City of Merced.
CITY COUNCIL PRIORITIES
As provided for in the 2025-26 Adopted Budget.
DISCUSSION
In September 2022, the City was awarded $977,647 from the Board of State and Community Corrections (BSCC) and California Violence Intervention and Prevention (CalVIP) Grant. This program was a multi-agency, collaborative approach to working with youth experiencing violence and their families. The pilot program offered wraparound reentry support to youth and served as a prevention hub where supportive services and programs were offered to at-risk, and probation involved youth and their families.
At the end of the Grant Cycle, the City is required to provide the BSCC with a program-specific compliance audit that covers the three-year service delivery period of the CalVIP Cohort 4 grant (October 1, 2022, to December 31, 2025). The audit report will be due no later than June 30, 2026, to the BSCC. The program-specific compliance audit is required to be performed by an independent auditor and the audit expense will be reimbursed with grant funds for actual costs up to $7,500.
On January 1, 2026, the City Council approved a professional service agreement with Vasquez & Company LLP for a term of five years to complete annual citywide audit as required by the Charter. The scope of work included auditing the financial statements and performing some additional auditing-related services for the fiscal years 2026 through 2031. The original contract amount was not to exceed $300,000. The First Amendment includes completing the CalVIP Cohort 4 audit services for $7,500; therefore, the total agreement with Vasquez & Company LLP will increase to $307,500.
IMPACT ON CITY RESOURCES
No additional appropriation of funds is needed. The cost of this compliance audit will be covered by CalVIP Grant funds.
ATTACHMENTS
1. First Amendment to Design Professional Service Agreement
2. Design Professional Services Agreement