a ee ad eee A Gog on tue Cred ic cnt 8 Comes May 1, 2008 Mz. Roy Bridgeman, Commissioner of Finance of ‘ixon, Illinois P. 0, Box 386 Dixon, IL 61021 Dear Mr. Bridgeman: We are pleased to serve you as your independent accountants. The purpose of this engagement letter and the accompanying Professional Services Agreement, which is attached and incorporated by reference, is to confirm the terms of our agreement. This letter and the attached Professional Services Agreement also clarify the nature, extent and limitations of the nonattest services to be provided. This letter covers our services for the fiscal years April 30, 2009 through Apri] 30, 2013. ‘Todd Etheridge will be the entrepreneurial business engagement partner responsible for the services provided to you. He will be assisted on this engagement by Joan Roth, EBS Manager. In addition to the services that we arc to provide under this engagement leter, we would also be pleased to assist the City on issues as they arise throughout the year. Hence, we hope that you ‘Will contact either ofthese individuals whon you believe tho fim can be of assistance. Services to be Provided Our nonattest services will include preparation of your basic accounting records from {information that you will provide, Our services will include preparation of the accounting records indicated below. Note that we have marked the frequency of the services we expect to provide, Frequency of Services Bookkeeping Services: Detailed general ledger Monthly General ledger trial balance Monthly Other trial balances: * Accounts Payable cash requirements Monthly Other bookkeeping services (specify): Monthly cash receipts journal Monthly * Check requisition processing Semi-Monthly © Hand written check entry ‘Monthly © Vendor maintenance Monthly ‘* Account Payable Allowed Report. Monthly _* , Encumbrance Report Monthly 11 Sovracious other required reports, Monthly Dison, ini 821 insane a 152849265 wwliftonepa.com fen 17 tas Washington, BCVUN-UG~cUle FRI Lis4i AM ULTY UF DLAUN FAB RU. 1 G19 cG0 Soh Other services (specify): Preparation of monthly IMRF report Monthly Preparation of Fire and Police Pension 1099's Annually Our Fees and Payment Terms ‘The charges for our work are to be based upon the time involved, degree of responsibil assumed and skills requited, plus expenses including intemal and administrative charges, Bills for services are due when submitted. Interim bills may be submitted at periodic dates to cover charges and expenses incured. If bil for services i not paid when due, we reserve the right 10 cease work and withdraw from the engagement, Bookkeeping services: It is agreed that our fee will be $3,100 monthly based on current volume. An increase in volume will increase our fee accordingly. A cost of living increase will be calculated each year and the monthly fee adjusted. This feo arrangement is based on our understanding that your office personnel will furnish us the basic documents reflecting your financial transactions as detailed in the attached Professional Services Agreement. We do not anticipate that we will encounter any substantial amount of accounting work to be completed or adjusted by us other than that identified in our scope of services, or any defalcation or other significant problem or contingency. We will, of course, advise you before undertaking any work that would require an increase in the fee arrangement. ‘You hereby agree that if any statement is not paid within 30 days from its date, that the balance remaining from time-to-time unpaid shall draw interest at the monthly rate of i 1/2%, which is an annual Péteentage rate of 18%. Inthe event that any collection action is required 10 collect unpaid. due us, reasonable attorney fees and expenses shall be recoverable, Agreed and Accepted This engagement letter and the attached Professional Services Agreement constitute the entire agreement regarding services to be provided to you and supersedes all prior agreements, understandings, negotiations, and discussions between us, whether oral or written. This agreement may be supplemented only by other written agreements. If the above terms, and the terms and conditions of the accompanying Professional Services Agroement, rein accordance with your understanding and accepable to you please sig, date, and retum the duplicate copy ofthis letter tous. ‘This engagement letter should not he signed unless the Professional Services Agreement is attached and you have read and understand its terms. Be USVUNTUOreUie PRL LEeGE Al VEIT UP Ulan PRA MM PIS 600 se rew We very much appreciate the opportunity to serve you and will be pleased to discuss any questions you may have. Very truly yours, CB fer Momcleser L1P TE:ir ‘The services described in the foregoing letter and the Professional Services Agreement are in ae with our requirements, ‘we understand and agree to the terms and conditions recited above. CITY OF DIXON, ILLINOIS By — Commissioner Title ll-0f- 2007 Date