Agenda Packets - 1997/04/07 - Laserfiche WebLink

Home Browse Search

, Item No. / q Staff Report No. W5 Meeting Date: April 7, 1997 • Type of Business: WK WK: Work Session;PH:Public Hearing; CA: Consent Agenda;CB:Council Business City of Mounds View Staff Report To: Honorable Mayor & members of the City Coun ii From: Bruce A. Kessel, Finance Director Item Title/Subject: Follow up to information received from Tauges Redpath Date of Report: April 2, 1997 Tauges Redpath apparently sent a packet of information to the City Council last week. I must admit that I was somewhat shocked and amazed that a consultant would contact the Council directly, especially since I thought that staff was making a good faith effort to resolve the problem. That having been said, I feel that there are a number of issues that have been distorted and/or omitted in the information. It was my intent to attempt to work with Tauges Redpath to resolve some or all of the outstanding issues prior to presenting it to you, however, they apparently feel that they do not have to go though normal channels such as myself or the City Administrator. • Prior to my being hired by the City of Mounds View, I worked for two CPA firms, a"Big 6" firm and a large local firm. During that time, I also served on the North Dakota State Society of CPA's Board of Directors. I then served as the City of New Ulm and the New Ulm Public Utilities' finance director. During this time, I have seen numerous contracts for goods and services for both governmental and private entities, from entities with several employees to Fortune 100 companies. Also, during my last year at New Ulm, I went through a selection process to select new accounting software for the City of New Ulm. I am also quite familiar with the American Institute of CPA's code of professional ethics. It was with this background that I came to Mounds View. Upon arriving at Mounds View, I became aware that a new accounting software package had been purchased. Upon review of the purchase, there were several items relating to the purchase that concerned me including: • The City's external CPA appeared to be giving advise that indicated that the City did not have to go through a formal selection process to purchase the software; the same individual is also involved in the software company which creates the appearance if not an actual conflict with professional code of ethics relating to maintaining independence. • Fundworks has only five or six cities using its software. Do to the cost of developing and upgrading software to keep it current, I had concerns about the long term support for the software. This was enhanced by the fact that the software is a DOS product and that several features that would lower operating costs to the City such as bar coding addresses • for postage savings and bar coding of accounts to automatically record payments were not features of the exiting product and no estimated date for upgrading were available. • The contract required payment of support beginning at the time the contract was signed,