Currently, the Auditor-Controller provides a basic level of accounting services to local special districts and related agencies with funds in the County treasury. The Board of Directors of the Habitat JPA has expressed an interest in receiving additional accounting and related financial services, well beyond the basic level of services that the Auditor-Controller now provides. In response, Habitat JPA staff have worked with the Auditor-Controller to develop a proposed MOU for an expanded range of services, similar to the services and oversight provided to a County department.
The Habitat JPA Board of Directors approved a draft of the attached MOU at its April 8, 2013 meeting. The MOU must also be approved by the Board of Supervisors. Some key provisions of the MOU include:
• A list of services to be provided by the County Auditor, including general accounting services, general ledger maintenance, monthly general ledger reporting, budgeting assistance, and close involvement in annual reporting and auditing (Section 1.A-E).
• Language authorizing and encouraging the County Auditor to contact the Board of Directors if it becomes aware of any significant deviations from established cash handling and grant management practices, or of any other irregular practices (Section 1.F).
• Requirements for the Habitat JPA to follow regarding contracting, cash management, and other matters described in the County Administrative Policies and Procedures Manual and the Special Districts Financial Manual (Section 2.A-B). Record keeping requirements are also included in the MOU (Section 2.C).
• Requirements regarding payment for the services provided by the County Auditor, based primarily on an annual estimate of costs that will be provided during the budget process for each Habitat JPA fiscal year (Section 3).
The Habitat JPA Board of Directors will consider approving the MOU at its May 20, 2013 meeting. As noted briefly above, the Board of Directors previously approved the MOU at its April meeting, but some subsequent (and minor) changes to the indemnity and defense provisions of the MOU require that it return to that board for further consideration. If the MOU is approved by the governing boards of both entities, the additional level of services are expected to commence no later than July 1, 2013. |