Y26-115-KC,_Attachment_A_-_Description_of_the_County.pdf

Request for Proposals #Y26-115-KC Title: Audit Services Attachment A

DESCRIPTION OF THE COUNTY

1. Background Information

Orange County's fiscal year begins on October 1 and ends on September 30.

The funds and accounts of the Board are maintained by the Orange County Comptroller (hereinafter referred to as the "Comptroller"). Each Constitutional Officer and the Library District are responsible for the custody and accounting of funds of each respective office.

More detailed information on the government and its finances can be found in the County's Annual Comprehensive Financial Report (ACFR), Fiscal Year 2023- 2024, and in the County's Annual Budget, Fiscal Year 2024-2025. These publications can be accessed as follows:

• County ACFR (FY 2023–2024): www.occompt.com/218/Financial-Reports

• County Annual Budget (FY 2024–2025): www.ocfl.net

• Library District ACFR (FY 2023–2024): https://ocls.org/about/finances/

2. Fund Structure

Orange County uses the following fund types and account groups in its financial reporting (as of September 30, 2024):

Fund Type/Account Group Number of Individual

Funds

Number with Legally Adopted Annual Budgets

General fund 1 1

Special Revenue Funds - Major/Non-Major 4/36 4/36

Debt Service Funds - Major/Non-Major 1/1 1/1

Capital Projects Funds - Major/Non-Major 1/4 1/4

Enterprise Funds - Major/Non-Major 3/0 3/0

Internal Service Funds 5 5

Agency Funds 5 N/A

Trust Funds 2 N/A

Discrete Component Units - Major/Non-Major 0/6 N/A

In March 2025, the County launched a Captive Insurance Program (Captive), Mosquito Property & Casualty, Inc. (MPC), to enhance coverage for property, general liability, and automobile liability beyond self-insured tiers. The program will cover $500,000 of property insurance coverage and $5 million of excess liability coverage.

http://www.occompt.com/218/Financial-Reports http://www.ocfl.net/ https://ocls.org/about/finances/

The Captive will have its own set of financial statements and will be independently audited by a firm already selected by Captive’s Board of Directors. It will be classified as a blended component unit of the Risk Management Fund, an Internal Service Fund.

3. Budgetary Basis

All governmental fund budgets are prepared on a basis consistent with generally accepted accounting principles. Budgets for the proprietary funds are prepared on an accrual basis and are consistent with generally accepted accounting principles, except that depreciation and amortization and other non-cash transactions are not budgeted. Also, capital outlays are budgeted as expenses, and debt proceeds and principal payments are respectively budgeted as revenues and expenses.

4. Federal and State Financial Assistance

During Fiscal Year 2023-24, the County received $237 million in financial assistance, which included a significant amount of American Rescue Plan Act (ARPA) funding.

More detailed information can be obtained from the financial assistance schedules in the County's ACFR, Fiscal Year 2023-2024.

5. Pension Plans and Other Post Employment Benefits (OPEB)

Orange County participates in the Florida Retirement System, a multiple employer cost sharing defined benefit/contribution plan, administered by the Florida Department of Administration. The Orange County Library District administers its own defined benefit and defined contribution pension plans. Orange County, the Orange County Library District, and the Clerk of the Circuit and County Courts also operate retirement health benefit OPEB plans.

6. Reporting Entity

Orange County is defined, for financial reporting purposes, in conformity with the Governmental Accounting Standards Board’s (GASB) Codification of Governmental Accounting and Financial Reporting Standards, Section 2100. Using these criteria, management has included the Board, the six Constitutional Officers, and the seven blended component units as the primary government. The blended component units are the International Drive Community Redevelopment Agency, the Orange Blossom Trail Community Redevelopment Agency, the Orange Blossom Trail Local Government Neighborhood Improvement District, the Pine Hills Local Government Improvement District, the Lake Conway Water and Navigational Control District and Windermere Water and Navigation Control District (all Special Revenue Funds); and MPC, the Captive Insurance Fund (an Internal Service Fund). Four of these blended component units are treated as part of the Board for audit purposes and they do not prepare individual financial statements. In accordance with Florida Statutes 163.387(8), the International Drive Community Redevelopment Agency and the Orange Blossom Trail Community Redevelopment Agency, meet the requirements to have separate financial statements to be issued, and audited, based on total revenues or expenditures/expenses in excess of $100,000. These reports must include basic financial statements, notes to the financial statements, management’s discussion and analysis and other required supplementary information. They are still considered blended component units and treated as part of the Board for financial reporting purposes. MPC will also have its own set of financial statements that will be independently audited by a firm already selected by its Board of Directors in accordance with the appropriate statutes of the State of Vermont.

Management has also identified six component units requiring discrete presentation.

These are identified below. Each of these units procures their own audit services and produces their own annual financial reports. All other governmental units in the Central Florida area are not a part of the Orange County reporting entity. The financial statements of the Orange County Library District; the International Drive Master Transit and Improvement District; the Orange County Industrial Development Authority; the Orange Blossom Trail Development Board, Inc.; the Orange County Health Facilities Authority; and the Orange County Housing Finance Authority are included as discretely presented component units in the financial statements of Orange County. It is anticipated that the auditor will not be required to provide special assistance to those respective units’ auditors (except for the Library District, as included in this RFP).

7. Magnitude of Finance Operations

The Comptroller's Finance and Accounting Department is headed by the Director of Finance and Accounting. The principal functions performed and the number of employees assigned to each are as follows:

Fund Type/Account Group Number of Employees

Administration 8

General and Grants Accounting/MSTU Admin 26

Treasury and Debt Administration 11

Accounts Payable 37

In a d d i t i o n to the Finance and Accounting Department, the Comptroller’s financial operations include a 23-person Payroll Department and a 10-person Property Accounting Department. The Board of County Commissioner’s adopted budget for the 2025-2026 fiscal year currently stands at $8.3 billion.

8. Internal Audit Function

The Orange County Comptroller maintains an internal audit function (County Audit Division) responsible for conducting audits of operations of the Board and the Constitutional Officers. In addition, County Audit is responsible for auditing Tourist Development Tax dealers and Public Services Tax dealers. The County Audit Division is headed by the Director of County Audit and consists of 24 authorized positions. Twelve members of the Division’s staff are Certified Public Accountants, twelve are Certified Internal Auditors, two are Certified Information Systems Auditors, and two are Certified Fraud Examiners. Audits are conducted in accordance with generally accepted government auditing standards.

Issued audit reports and related working papers are available for inspection to the extent needed. Audit reports may be viewed on the Comptroller's web site at www.occompt.com/186/Audits-Investigations.

http://www.occompt.com/186/Audits-Investigations

SUPPLEMENTAL AUDITEE INFORMATION

LEGAL BASIS: Article V, Section 16 Florida Constitution; Chapter 72-461, Laws of Florida

FUNCTION: Clerk of Board of County Commissioners, Recorder, Auditor and Custodian of all Board funds

LOCATION & ACTIVITIES:

Administrative Center (201 S. Rosalind Avenue) - Administration, Clerk of the Board, and Finance and Accounting Magnolia Place (109 East Church St) - County Audit, Property Accounting, Payroll, Official Records, and Information Systems Records Management - (1800 Cypress Lake Drive)

EMPLOYEES: 229

FUNDS:

General Fund, 3 Special Revenue Funds (Documentary and Intangible Tax, Public Records Modernization, and Court Technology Fees) and 4 Trust and Agency Funds (Lien Escrow, Tax Deed Sales, Tax Deed Deposits, and Comptroller Employees Fund)

BASIS: Modified accrual

ACCOUNTING HARDWARE: PC Network - Windows 10 Operating System

ACCOUNTING SOFTWARE: Serenic Navigator

ACCOUNTING STRUCTURE: Uniform chart of accounts prescribed by the State utilized on Serenic Navigator including general ledger and detailed subsidiary ledgers

ANNUAL BUDGET: $32,617,719 (FY25)

BANK ACCOUNTS: 7 accounts/1 bank

RECONCILED: Monthly

PROPERTY: Maintained by the County Fixed Asset System. All property ownership lies with the County.

PURCHASING AND PAYROLL:

Utilizes the County’s payroll system with modifications as needed. Uses own purchasing system. Comptroller has procedures for Personnel and Purchasing that are different from the Board.

RETIREMENT: Florida Retirement System

INSURANCE: County plan

LAST AUDIT: 10/1/23-9/30/24 by Cherry Bekaert LLP

COMPLIANCE: Rules, regulations, legal citations, organization charts, procedure manuals and written policies available.

SCHEDULES: Documents available.

REPORTS: Annual financial report to County, Intangible Tax and Documentary Stamps to State, annual financial report to State Comptroller.

ASSISTANCE: As needed, work space and secure storage available.

COMPTROLLER

LEGAL BASIS: Article V, Section 16 Florida Constitution; Chapter 72-461, Laws of Florida; Orange County Charter

FUNCTION:

Clerk of the Circuit and County Courts of Orange County, Florida, maintains progress dockets for each court in the County, issues or attests all appropriate processes, notices, subpoenas and writs and as to all litigation, proceedings and matters within their respective jurisdictions, maintain the records and files of each of the said courts and perform all of the duties formerly performed by their own clerks. She shall perform such additional duties as may be prescribed by law.

LOCATION & ACTIVITIES:

Circuit and County Court functions located in the 425 & 435 North Orange Avenue, Orange County Courthouse. County Court branches are located in Ocoee, Apopka and Winter Park. Juvenile Court located at 2000 E. Michigan Avenue.

EMPLOYEES: 428.25 FTEs budgeted (FY 24-25)

FUNDS:

General Fund, 2 Records Modernization Trust Special Revenue Funds and 8 Trust and Agency Funds (Domestic Relations, Registry, Agency Fines, Witness, State Trust, Criminal Cash Bonds, Online Foreclosure Sales, and OPEB Health Insurance Subsidy Trust).

BASIS: Modified accrual (General and Special Revenue Funds) and Accrual (Trust and Agency Funds)

ACCOUNTING HARDWARE: MUNIS server hosted by vendor using ASP agreement

ACCOUNTING SOFTWARE: MUNIS for accounting and payroll

ACCOUNTING STRUCTURE: Automated General Ledger system with supporting subsidiary records

ANNUAL BUDGET: $34,409,249 (FY2025)

BANK ACCOUNTS: 9 bank accounts/3 FLGIT accounts

RECONCILED: Monthly

PROPERTY: Maintained by the County Fixed Asset System, all property ownership lies with the County.

PURCHASING AND PAYROLL: Purchasing - requisition/PO, P-Card and check requests Payroll – Bi-weekly (Munis), direct deposit, with County insurance/benefits

RETIREMENT: Florida Retirement System

INSURANCE: County Plan

LAST AUDIT: 10/1/23-9/30/24 by Cherry Bekaert L.L.P.

COMPLIANCE: Rules, regulations, legal citations, organization charts and procedure manuals available

SCHEDULES: All documents provided electronically

REPORTS: Annual financial reports are filed with the County and CCOC. Monthly, Quarterly and Annual compliance/performance standards reports are filed with the CCOC/FCCC.

CLERK OF CIRCUIT AND COUNTY COURTS

LEGAL BASIS: Article VIII, Section I Florida Constitution

FUNCTION: The Orange County Property Appraiser identifies, locates, and fairly values all property (both real and personal) within the county for tax purposes.

LOCATION & ACTIVITIES:

200 S. Orange Avenue, Suite 1700 – The Orange County Property Appraiser’s Office is responsible for the following:

tax relief

• Analyzing trends in sales prices, construction costs, and rental prices to best estimate the value of all assessable property

Among the departments in the office are: Valuations, Exemptions, Deeds, Mapping, GIS, Public Records, Legal, Constituent Services, Facilities, Operations, Information Security, and Information Technology.

EMPLOYEES: 184

FUNDS: General Fund

BASIS: Cash

ACCOUNTING HARDWARE:

ACCOUNTING SOFTWARE: Payroll – ADP / Finance – Intacct / Invoices – Bill.com / Euna - Procurement and Budget (new).

ACCOUNTING STRUCTURE: General ledger, financial statements and annual operating budget

ANNUAL BUDGET: $31,522,295 (FY26 - pending PA salary)

BANK ACCOUNTS: 1 account/1 bank

RECONCILED: Monthly

PROPERTY: Maintained by the County Fixed Asset System

PURCHASING AND PAYROLL: Although not on the County plan, payroll and personnel use the modified County plan (written procedures available)

RETIREMENT: Florida Retirement System

INSURANCE: Currently transitioning to Florida Blue and additional benefits for CY2026 (no longer on County benefits)

LAST AUDIT: 10/1/23-9/30/24 by Cherry, Bekaert L.L.P.

COMPLIANCE: Florida Statutes, rules, regulations, legal citations, organization charts, procedure manuals and written policies available

SCHEDULES: Documents available

REPORTS: Annual financial report to County, annual budget to State Department of Revenue

ASSISTANCE:

Assistance from Director, Accounting & Finance and limited assistance from Accounting & Finance employees. Additional work space available in OCPA office or through Teams.

PROPERTY APPRAISER

LEGAL BASIS: Article VIII, Section I Florida Constitution

FUNCTION: Chief Law Enforcement Officer

LOCATION & ACTIVITIES:

Staff & Support – 2500 West Colonial Drive Law Enforcement - 33rd Street, Apopka, Winter Garden, East Colonial Drive, Westwood Blvd. Disney Court Services – Courthouse, 425 North Orange Ave.

EMPLOYEES: 2,753

FUNDS: General Fund, (30) Special Revenue Funds, (3) Trust and Agency Funds, (2) Internal Service Funds

BASIS: Modified accrual

ACCOUNTING HARDWARE: DELL Client/Server and personal computers

ACCOUNTING SOFTWARE: American Data Group's FUND MANAGEMENT SYSTEM (FAS)

ACCOUNTING STRUCTURE: General ledger, financial statements and annual operating budget

ANNUAL BUDGET: $423,303,725 million (FY2026)

BANK ACCOUNTS: 10 accounts/ 3 banks

RECONCILED: Monthly

PROPERTY: Maintain own property records via American Data Group's FIXED ASSET SYSTEM

(FAS)

PURCHASING AND PAYROLL: ADG FUND MANAGEMENT SYSTEM (FMS) Payroll utilizes Lawson's HUMAN

RESOURCES

RETIREMENT: Florida Retirement System

INSURANCE: CIGNA, Florida Sheriff’s Self-Insurance Fund, Self-Insured

LAST AUDIT: 10/1/23-9/30/24 by Cherry, Bekaert L.L.P.

COMPLIANCE: Rules, regulations, organization charts, procedure manuals and written policies available

SCHEDULES: Trial balances, investments, accounts payable and receivable and budgets available

REPORTS: Statutory annual financial report to County Comptroller

SHERIFF

LEGAL BASIS: Article VIII, Sections 1 and 6 Florida Constitution; Orange County Charter

FUNCTION: Registration of voters, elections, vote tabulation, maintenance of voting records;

drawing of precinct lines; qualifying of candidates.

LOCATION & ACTIVITIES: 119 W. Kaley St. (Main office/only facility)

EMPLOYEES: 60 full-time employees (over 2000 temporary employees during elections)

FUNDS: General Fund

BASIS: Modified accrual

ACCOUNTING HARDWARE:

Voter Registration and Election Management: Ballots/Election Returns are on a stand-alone Dell file server. The Voter Registration is hosted in a local virtualized environment. Accounting (USL software) is hosted in an HPE clustered virtualized environment connected to a HPE SAN.

ACCOUNTING SOFTWARE: USL

ACCOUNTING STRUCTURE: General ledger, financial statements and annual operating budget

ANNUAL BUDGET: $21,148,367 (FY24)

BANK ACCOUNTS: 1 account/1 bank

RECONCILED: Monthly

PROPERTY: Maintained by the County Fixed Asset system

PURCHASING AND PAYROLL: Purchasing and payroll in-house procedures

RETIREMENT: Florida Retirement System

INSURANCE: County plan

LAST AUDIT: 10/1/23-9/30/24 by Cherry, Bekaert L.L.P.

COMPLIANCE: Rules, regulations, organization charts, procedure manuals and written policies available

SCHEDULES: Documents available

REPORTS: Annual financial reports to County (State Department of Financial Services via County)

ASSISTANCE: Workspace available as required

SUPERVISOR OF ELECTIONS

LEGAL BASIS: The Tax Collector’s office is a fee operated office. This office is authorized by the Florida Constitution Article III, Section I and reaffirmed by the Orange County Charter

FUNCTION:

To collect and distribute ad valorem/non-ad valorem taxes and fees for the Taxing Authorities, Department of Revenue, Department of Highway Safety and Motor Vehicles, Department of Environmental Protection and the Florida Fish and Wildlife Conservation Commission, pursuant to Chapter 192, Florida Statutes, and to issue Orange County Occupational Licenses.

LOCATION & ACTIVITIES:

Tax Collector, Executive Offices - 200 S. Orange Avenue, Finance Department (purchasing, budget, payroll, and benefits), Tax Department (current and delinquent taxes), Finance Department, Field Department, and IT Department

Support Services-730 Sandlake Road Suite 106B. Various locations for six Tag Agencies

EMPLOYEES: 332 Permanent

FUNDS: General Fund, Medical Trust Fund and two (2) agency funds (Property Taxes/Business Tax, and Tags)

BASIS: Modified accrual

ACCOUNTING HARDWARE: Tax and FDHSMV revenues and disbursements on standard Windows Dell VxRail Virtual SAN

ACCOUNTING SOFTWARE: Changing to Tyler ERP10 on 10/1/25

ACCOUNTING STRUCTURE: Accounts payable, general ledger, financial statements & payroll

ANNUAL BUDGET: $40,536,055 (FY26)

BANK ACCOUNTS: Two (2) accounts, Chase contract, various other banks for investment purposes

RECONCILED: Monthly

PROPERTY: In-house property accounting, also, supplies fixed asset information to Comptroller’s Property Accounting Department which audits our fixed assets annually.

PURCHASING AND PAYROLL: Purchasing and payroll in-house procedures.

RETIREMENT: Florida Retirement System

INSURANCE: Self Insured (UHC)

LAST AUDIT: 10/1/24-9/30/25 by Cherry, Bekaert L.L.P.

COMPLIANCE: Rules, regulations, legal citations, organization charts, procedure manuals and written policies available.

SCHEDULES: Documents available.

REPORTS: Errors and insolvencies and annual financial report to County, Budget and Expenditures to State Department of Revenue

ASSISTANCE: Entire staff as available, coordinated by Assistant Tax Collector, work space for two.

TAX COLLECTOR

LEGAL BASIS: Independent Special Taxing District, Chapter 99-486, Laws of Florida

FUNCTION: Provide library services to residents of Orange County (exclusive of Cities of Winter Park and Maitland)

LOCATION & ACTIVITIES: Main Library at 101 East Central Blvd, 16 branch facilities, which range in size from 5,600 to 20,000 square feet throughout the County

EMPLOYEES: 556 (budgeted for FY 2025-26)

FUNDS:

General, Capital Projects, Sinking/R&R, Permanent Fund, Fiduciary/Trust (4; Defined Benefit Pension Plan, Other Post Employments Benefit Plan, Defined Contribution Pension Plan, Money Purchase Pension Plan)

BASIS: Modified accrual

ACCOUNTING HARDWARE: PC Network - Windows Office 365

ACCOUNTING SOFTWARE:

Through an Application Service Provider (ASP) Agreement, CentralSquare’s CentralSquare’s Financial Enterprise platform provides the GMBA, purchasing, fixed assets and grants modules. Human Resources, Timekeeping and Payroll is provided through UKG Kronos. Both systems are cloud based.

ACCOUNTING STRUCTURE: Uniform chart of accounts prescribed by the State

ANNUAL BUDGET: Operating = $81,883,620, Capital Projects = $47,306,000 (includes cost of 2 new facilities), Sinking/R&R Fund = $8,240,000, Permanent Fund $1,643,000 (FY25-26)

BANK ACCOUNTS: 3 accounts (Bank of America-Health insurance self-funding, SunTrust- Regular Checking, SunTrust-Online bill payments)

RECONCILED: Monthly

PROPERTY: Net of depreciation = $34,396,544 per 9/30/24 ACFR

PURCHASING AND PAYROLL: Library’s purchasing, personnel, and payroll policies are separate and different from those of Orange County

RETIREMENT:

1. Defined Contribution Pension Plan covering all employees in lieu of participation in Social Security

2. Defined Benefit Pension Plan covering all full-time employees hired on or before January 1, 2007

3. Money Purchase Plan covering all full-time employees hired on or after January 1,

4. OPEB covering all full-time employees hired on or before December 31, 2006

INSURANCE:

Health, Life/STD/LTD, Workers Comp, General and Property liability, Flood, Employment Practices, Fiduciary (pension plans), Crime, Storage Tank and Cyber insurance.

LAST AUDIT: 10/1/24-9/30/25 by Cherry, Bekaert L.L.P.

COMPLIANCE: Organization chart, procedure manuals and written policies available

SCHEDULES:

Electronic and hard-copy supporting schedules for year-end account balances prepared by Library staff and uploaded to the auditors’ Smartsheet collaboration portal. Documents also available for auditors’ onsite review.

REPORTS:

Library’s Finance Manager completes financial statements, notes and supplementary information for Annual Comprehensive Financial Report. Also completes/submits financial report to Department of Financial Services. CFO completes Transmittal Letter and MD&A. Financial Analyst completes Statistical Section.

ASSISTANCE: See comment under ‘Schedules”, on-site work space available

ORANGE COUNTY LIBRARY DISTRICT