OFFICE OF THE CITY CLERK

AUDIT & FINANCE COMMITTEE

MINUTES

September 24, 2009

The Audit & Finance Committee of the City of Mesa met in the lower level meeting room of the Council Chambers, 57 East 1st Street, on September 24, 2009 at 9:00 a.m.

COMMITTEE PRESENT	COMMITTEE ABSENT	STAFF PRESENT
Scott Somers, Chairman	None	Bryan Raines
Dina Higgins		Debbie Spinner
Kyle Jones
Christopher Brady, Ex-Officio

1. Items from citizens present.

There were no items from citizens present.

2. Hear a presentation, discuss and provide direction on the following audits.

a. ITD Contract Monitoring Process

Interim City Auditor Jennifer Ruttman advised that an audit of the ITD (Information Technology Department) contract monitoring process found that the majority of documentation for contracts was properly stored in master files. She stated that the recommendation to ITD was that staff should ensure that contract master files include all key documentation.

Ms. Ruttman stated that although the majority of contracts include a clause addressing insurance requirements, a contract tested in the audit process did not have the Certificate of Insurance on file prior to commencement of work. She advised that the recommendation to ITD was to ensure that all Certificates of Insurance are on file prior to commencing work.

Ms. Ruttman reported that ITD has submitted a response that adequately addresses both findings.

b. Police Evidence Section Policies and Procedures Follow-up

Ms. Ruttman stated that the audit follow-up determined that all issues had been satisfactorily resolved.

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c. Mesa Arts Center Event Settlements Follow-up

Ms. Ruttman advised that the follow-up with the Mesa Arts Center (MAC) determined that all corrective measures have been implemented and that policies and procedures have been significantly improved. She noted that the development of the new database to track event settlements is not yet complete.

In response to a question from Committeemember Higgins, Ms. Ruttman explained that the database would track all activity from the first offer to settlement at the conclusion of the event. She reported that the database, which is being developed by a private contractor, should be operational in the near future.

Chairman Somers stated that the audit results were very encouraging, and he thanked Ms. Ruttman for the presentation.

3. Hear a presentation, discuss and make a recommendation on Amphitheatre Box Office fees and charges.

Assistant Parks, Recreation and Commercial Facilities Director J. D. Dockstader advised that the Mesa Amphitheatre recently terminated its agreement with Ticketmaster and is now utilizing the same provider as the Mesa Arts Center (MAC), the AudienceView Ticketing system. He stated that staff is proposing changes to the Fees and Charges (see Attachment 1) to reflect the lower costs that will be passed on to the consumer.

Responding to a question from Committeemember Higgins, Mr. Dockstader confirmed that the proposed Fees and Charges for the Amphitheatre are consistent with the MAC Fees and Charges.

Discussion ensued relative to the fact that the City’s Schedule of Fees and Charges does not reflect the Ticketmaster charge of $7.35 because it is directly charged to the consumer; and that the fee would be $5.50 under the new ticket system.

Committeemember Brady suggested that staff prepare a chart that shows the actual cost savings to both the City and the consumer.

Deputy City Manager Bryan Raines stated that staff will include a chart that details the cost savings when the resolution is presented for Council consideration.

Chairman Somers thanked staff for the presentation.

Committeemember Brady advised that staff would like to meet with the Committee in the next few weeks to review background information regarding a Request for Proposals for a financial system that is being considered.

Committeemember Jones noted that the next meeting is scheduled for October 8^th.

4. Adjournment.

Without objection, the Audit and Finance Committee meeting adjourned at 9:12 a.m.

I hereby certify that the foregoing minutes are a true and correct copy of the minutes of the Audit & Finance Committee meeting of the City of Mesa, Arizona, held on the 24^th day of September 2009. I further certify that the meeting was duly called and held and that a quorum was present.

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LINDA CROCKER, CITY CLERK

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Attachment (1)