FORENSIC AUDITING SERVICES FOR THE CITY OF PORT ARTHUR, TX

CHARLOTTE M. MOSES, MAYOR RONALD BURTON, CPM
THOMAS KINLAW, III CITY MANAGER
MAYOR PRO TEM
CHRISTE WHITLEY NED, TRMC
COUNCIL MEMBERS: CITY SECRETARY
TAYLOR L. GETWOOD
CAL J. JONES ROXANN PAIS COTRONEO
WARREN PENA CITY ATTORNEY
KAALA JACOBS
DONALD FRANK, SR.
June 30, 2026
REQUEST FOR QUALIFICATIONS (RFQ)
FORENSIC AUDITING SERVICES FOR THE CITY OF PORT ARTHUR, TX
DEADLINE: Sealed proposal submittals must be received and time stamped by 3:00p.m., Central Standard
Time, Wednesday, July 29, 2026. (The clock located in the City Secretary's office will be the official time.)
Applicant names will be read aloud beginning at 3:15 p.m. on Wednesday, July 29, 2026 in the City Council
Chambers, City Hall, 5th Floor, Port Arthur, TX. You are invited to attend.
MARK ENVELOPE: P26-045
DELIVERY ADDRESS: Please submit one (1) original and five (5) exact duplicate copies of your RFQ
to:
CITY OF PORT ARTHUR CITY OF PORT ARTHUR
CITY SECRETARY or CITY SECRETARY
P.O. BOX 1089 444 4TH STREET, 4th Floor
PORT ARTHUR, TEXAS 77641 PORT ARTHUR, TEXAS 77640
POINT OF CONTACT:
Questions concerning the Request for Qualifications and Scope of Work should be directed in writing to:
City of Port Arthur, TX
Clifton Williams, Purchasing Manager
P.O. Box 1089
Port Arthur, TX 77641
Clifton.Williams@portarthurtx.gov
Purchasing Division/Finance Department | Purchasing Manager, Clifton Williams
P.O. Box 1089|444 4th Street| Port Arthur, Texas 77641| 409.983.8160 |Fax 409.983.8291

The enclosed Request for Qualifications (RFQ) and accompanying General Instructions are for your
convenience in submitting proposals for the enclosed referenced services for the City of Port Arthur.
Proposals must be signed by a person having authority to bind the firm in a contract. Proposals shall be placed
in a sealed envelope, with the Vendor's name and address in the upper left-hand corner of the envelope.
ALL PROPOSALS MUST BE RECEIVED IN THE CITY SECRETARY'S OFFICE BEFORE OPENING
DATE AND TIME. It is the sole responsibility of the firm to ensure that the sealed RFQ submittal arrives at
the above location by the specified deadline regardless of delivery method chosen by the firm. Faxed or
electronically transmitted RFQ submittals will not be accepted.
Clifton Williams
Purchasing Manager
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REQUESTS FOR QUALIFICATIONS
FORENSIC AUDITING SERVICES FOR THE CITY OF PORT ARTHUR, TX
(To be Completed ONLY IF YOU DO NOT BID)
FAILURE TO RESPOND TO BID SOLICITATIONS FOR TWO (2) BID PERIODS MAY RESULT IN
REMOVAL FROM THE VENDOR'S LIST. However, if you are removed you will be reinstated upon request.
In the event you desire not to submit a bid, we would appreciate your response regarding the reason(s).
Your assistance in completing and returning this form in an envelope marked with the enclosed bid
would be appreciated.
NO BID is submitted: ____ this time only ____ not this commodity/service only
Yes No
Does your company provide this product or services?
Were the specifications clear?
Were the specifications too restrictive?
Does the City pay its bills on time?
Do you desire to remain on the bid list for this product or service?
Does your present work load permit additional work?
Comments/Other Suggestions:
Company Name:
Person Completing Form: Telephone:
Mailing Address: Email:
City, State, Zip Code: Date:
Page 3 of 16

City of Port Arthur
Request for Qualifications
Forensic Auditing Services for the City of Port Arthur, TX
OBJECTIVE
The City of Port Arthur (City) is seeking a response to the Request for Qualifications (RFQ) from qualified
firms of certified public accountants to examine its administrative and internal controls for the period of
October 1, 2020 to September 30, 2025. The objective of the examination is to evaluate the City's system of
controls to ensure:
a. Reliability of financial reporting;
b. Compliance with applicable laws and regulations;
c. Adequate safeguards of public resources; and
d. Mitigation against the risk of fraud or misconduct.
The scope of the forensic audit examination should focus on the following City departments:
a. Finance
b. Pleasure Island
c. Public Works
d. Human Resources
e. City Secretary
BACKGROUND
1. During fiscal year 2021-2025, the City Council request focusing on the following
* Finance Policy and Procedures
* Purchasing (Outsourced Maintenance Invoices)
* Human Resources Operations
* Open Meeting Act
* Pleasure Island Operations
* Street Program
* Landfill Operations
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SCOPE OF WORK
1. To accomplish the audit objective, the engagement may include, but not be limited to the following
procedures:
a. Evaluate the City's formal written internal policies and procedures;
b. Review the independent auditors reports and communications, with respect to FYE's 2012, 2013,
2014 and also to confer with them on any oral comments provided to the management;
c. Conduct interviews with City employees and observe the City's business operations for the purpose
of evaluating City-wide administrative and internal accounting controls;
d. Review the City's documentation and supporting financial records; and
e. Perform tests of transactions to ensure adherence with prescribed policies and procedures and to
validate and test the effectiveness of controls.
2. An overall review of City finances, processes and procedures, including internal controls designed to
safeguard the City's assets from theft, misuse and abuse, for the purpose of preparing recommendations
for improvements in any areas warranted;
3. City hiring procedures and processes, including internal controls over the hiring process, background
checks and the establishment of the employee within the City's payroll system, for the purpose of preparing
recommendations for improvements in any areas warranted;
4. The performance of risk assessments in the various areas of City finances not covered in the above
individual scope cutouts, with the intent of performing forensic-type data mining and analysis of City
finance areas deemed to be at an unacceptably higher risk of fraud than the City is willing to accept, for
the purposes of 1) identifying potential fraud risks for further analysis, 2) the durations of any potential
frauds identified (if it can be determined cost-effectively), 3) the identification of staff or personnel
possibly involved in potential fraudulent activities, 4) a quantification of the financial loss suffered (if
recordkeeping is sufficient to allow for quantification), 5) gathering evidence in documentary form for any
potential court proceedings, and 6) preparing recommendations to assist the City in both lowering the risk
for potential frauds to occur and to detect such potential frauds that do occur within a timely manner.
5. Depending on the results that are found the scope may also include recommendations for processes,
procedures, and staffing for department going forward.
SCHEDULE
The City Manager has primary responsibility for audit coordination. He, or his designee, and the successful
proposer shall meet and agree, in writing, on the time frame for completing the audit services described in the
Scope of Work.
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The City of Port Arthur requires comprehensive responses to every section within this RFQ.
Conciseness and clarity of content are emphasized and encouraged. Vague and general proposals will
be considered non-responsive and will result in disqualification. To facilitate the review of the responses,
Firms shall follow the described proposal format. The intent of the proposal format requirements is to
expedite review and evaluation. It is not the intent to constrain Vendors with regard to content, but to
assure that the specific requirements set forth in this RFQ are addressed in a uniform manner amenable
to review and evaluation. Failure to arrange the proposal as requested may result in the disqualification
of the proposal. It is requested that proposals be limited to no more than 50 pages, excluding resumes. All
pages of the proposal must be numbered and the proposal must contain an organized, paginated table
of contents corresponding to the sections and pages of the proposal.
A.) FIRM QUALIFICATIONS AND EXPERIENCE
1. State the legal status of the firm (partnership, corporation, etc.), size of the firm, size of the firm's
governmental audit staff, number of years in operation and the location of the office from which the work
on this engagement is to be performed.
2. If the proposer is a joint venture or consortium, the qualifications of each firm comprising the joint venture
or consortium should be separately identified and the firm that is to serve as the principal auditor should
be noted, if applicable.
3. Please describe in detail the current and historical experience the proposer and its subcontractors have that
would be relevant to this project. Provide descriptions and references for all engagements of comparable
complexity and sensitivity to the requirements of the RFQ that have been conducted within the past five
(5) years. References must contain the name, title, company name, address, phone and email of
organizations that may be contacted to verify qualifying experience. Please indicate whether the
organization is included for the purpose of verifying the proposer's qualifying experience or its
subcontractor.
4. Submit a copy of your most recent external quality control review report, with a statement whether that
quality control review included a review of specific government engagements. Also provide results of any
federal or state desk reviews or field reviews of audits during the past three (3) years. In addition, provide
information on the circumstances and status of any disciplinary action taken or pending against the firm
during the past three (3) years.
B.) PERSONNEL QUALIFICATIONS
1. Please include and organizational chart identifying all key personnel who are to be part of the proposed
team. Identify the principal supervisory and management staff, including partners, managers, other
supervisors and specialists, who would be assigned to this project. Information should be presented in
sufficient detail as to provide the City an indication that the personnel involved can perform the work
specified in this RFQ. The City reserves the right to approve or reject each member of the team and to
request substitutions. For each person, please provide the following:
a. Full name;
b. Employment history;
c. Education and professional licensing of each person as it relates to this project;
d. Specific description of what role the individual will have in this project; and
e. Any additional helpful information to indicate the individual's ability to aid the proposer in
successfully performing the work involved in this RFQ.
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2. Provide information on the government auditing experience of each person, including information on
relevant continuing professional education for the past three (3) years and membership in professional
organizations relevant to the performance of this audit. Indicate how the quality of staff over the term of
the agreement will be assured.
3. Identify any existing or potential conflicts of interest relative to the performance of the requirements of
this RFQ. Examples would include, but are not limited to, existing business or personal relationship
between the proposer, its principal, or any affiliate or subcontractor, with the City, EDC or any other entity
or person involved in any way in the project that is the subject of this RFQ.
*NOTE ~ Consultants and firm specialists mentioned in response to this request for proposal can only be
changed with the express prior written permission of the City, which retains the right to approve or reject
replacements. Other audit personnel may be changed at the discretion of the proposer provided that
replacements have substantially the same or better qualifications or experience.
C.) PROJECT APPROACH
1. Provide a detailed work plan that includes an explanation of the audit methodology to be followed. In
development of the work plan, reference should be made to such sources of information as the City's
budget and related materials, organizational charts, manuals and programs, and financial and other
management information systems.
2. Provide the following information on audit approach:
a. Proposed segmentation of the engagement;
b. Level of staff and number of hours to be assigned to each proposed segment of the engagement;
c. Sample size and the extent to which statistical sampling is to be used in the engagement;
d. Type and extent of analytical procedures to be used in the engagement;
e. Approach to be taken to gain and document an understanding of the City's internal control
structure;
f. Approach to be taken in determining laws and regulations that will be subject to audit test work;
g. Approach to be taken in drawing audit samples for purposes of tests of compliance.
3. Identify and describe any anticipated potential audit problems, the firm's approach to resolving these
problems and any special assistance that will be requested from the City.
4. Describe the firm's policies and procedures for assuring high quality work, including monitoring of any
proposed sub-contractors.
E.) QUALITY OF RESPONSE
Completeness of the response to this RFQ including submission of all checklist documents.
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EVALUATION AND SELECTION PROCESS
All proposals will be screened by an evaluation committee and the proposers with the three (3) highest
combined scores should expect to be interviewed by the City staff or the City Manager's designee, at the
proposers own expense. Any invitation for an oral presentation will be solely for the purpose of clarifying
proposals received from each qualifying proposer, and will not represent any decision on the part of the
evaluation committee as to the selection of a successful proposer.
The City will evaluate all responses based on the experience, qualifications, project approach, and quality of
response. The City reserves the right to negotiate the final fee prior to recommending any firm for a contract.
The City's process is as follows:
1. The evaluation committee shall screen and rate all of the responses that are submitted. Evaluation
ratings will be on a 100 point scale and shall be based on the following criteria:
a. Firm Qualifications and Experience (45 points)
b. Personnel Qualifications (25 points)
c. Project Approach (25 points)
d. Quality of Response (5 points)
2. The evaluation committee shall recommend the most qualified firm to the City Council and request
authority to enter into contract negotiations.
3. When services and fees are agreed upon, the selected firm shall be offered a contract subject to City
Council approval.
4. Should negotiations be unsuccessful, the City shall enter into negotiations with the next, highest
ranked firm. The process shall continue until an agreement is reached with a qualified firm.
5. Prior to the approval of an award, no evaluation committee member shall disclose any information
regarding the committees' decision.
6. This RFQ does not commit the City to pay for any direct and/or indirect costs incurred in the
preparation and presentation of a response. All finalist(s) shall pay their own costs incurred in
preparing for, traveling to and attending interviews.
The City reserves the right to use all pertinent information (also learned from sources other than disclosed in
the RFQ process) that might affect the City's judgment as to the appropriateness of an award to the best
evaluated proposer. This information may be appended to the proposal evaluation process results.
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GENERAL INFORMATION:
TERMINOLOGY: Bid vs. Proposal - For the purpose of this RFQ, the terms Bid and Proposal shall be
equivalent.
AWARD: The City of Port Arthur will review all proposals for responsiveness and compliance with these
specifications. The City reserves the right to award on the basis of the Lowest and Best Offer in accordance
with the laws of Texas, to waive any formality or irregularity, and/or to reject any or all proposals.
ALTERING BIDS: Bids cannot be altered or amended after submission deadline. Any interlineations,
alteration, or erasure made before opening time must be initialed by the signer of the bid, guaranteeing
authenticity.
WITHDRAWAL OF PROPOSAL: The proposer may withdraw its proposal by submitting written request,
over the signature of an authorized individual, to the Purchasing Division any time prior to the submission
deadline. The proposer may thereafter submit a new proposal prior to the deadline. Modification or
withdrawal of the proposal in any manner, oral or written, will not be considered if submitted after the deadline.
CONFLICT OF INTEREST: No public official shall have interest in this contract, in accordance with
Vernon's Texas Code Annotated, Local Government Code Title 5, Subtitle C, Chapter 171.
ETHICS: The bidder shall not offer or accept gifts or anything of value nor enter into any business
arrangement with any employee, official or agent of the City of Port Arthur.
MINIMUM STANDARDS FOR RESPONSIBLE PROSPECTIVE BIDDERS: A prospective bidder must
affirmatively demonstrate bidder's responsibility. A prospective bidder must meet the following requirements:
1. Be able to comply with the required or proposed delivery schedule.
2. Have a satisfactory record of performance.
3. Have a satisfactory record of integrity and ethics.
4. Be otherwise qualified and eligible to receive an award.
5. Be engaged in a full time business and can assume liabilities for any performance or warranty service
required.
6. The City Council shall not award a contract to a company that is in arrears in its obligations to the City.
7. No payments shall be made to any person of public monies under any contract by the City with such
person until such person has paid all obligations and debts owed to the City, or has made satisfactory
arrangements to pay the same.
ADDENDA: Any interpretations, corrections or changes to the RFQ will be made by addenda no later than
48 hours prior to the date and time fixed for submission of proposals. Sole issuing authority of addenda shall
be vested in the City of Port Arthur Purchasing Manager. The City assumes no responsibility for the proposer's
failure to obtain and/or properly submit any addendum. Failure to acknowledge and submit any addendum
may be cause for the proposal to be rejected. It is the vendor's responsibility to check for any addendums that
might have been issued before bid closing date and time. All addenda will be numbered consecutively,
beginning with 1.
PORT ARTHUR PRINCIPAL PLACE OF BUSINESS: Any bona fide business that claims the City of
Port Arthur as its principal place of business must have an official business address (office location and office
personnel) in Port Arthur, the principal storage place or facility for the equipment shall be in Port Arthur and/or
Page 9 of 16

the place of domicile for the principal business owner(s) shall be in Port Arthur or such other definition or
interpretation as is provided by state law. Contractors outside the City of Port Arthur are allowed to bid.
PURCHASE ORDER: A purchase order(s) shall be generated by the City of Port Arthur to the successful
bidder. The purchase order number must appear on all itemized invoices.
INVOICES: All invoices shall be mailed directly to the City of Port Arthur, Attn.: City Manager, P.O. Box
1089, Port Arthur, Texas 77641.
PAYMENT: Payment will be made upon receipt of the original invoice and the acceptance of the goods or
services by the City of Port Arthur, in accordance with the State of Texas Prompt Payment Act, Article 601f
V.T.C.S. The City's standard payment terms are net 30, i.e. payment is due 30 days from the date of the
invoice.
SALES TAX: The City of Port Arthur is exempt by law from payment of Texas Sales Tax and Federal Excise
Tax; therefore the proposal shall not include Sales Tax.
VENUE: This agreement will be governed and construed according to the laws of the State of Texas. This
agreement is performable in Port Arthur, Texas, Jefferson County.
COMPLIANCE WITH LAWS: The Contractor shall comply with all applicable laws, ordinances, rules,
orders, regulations and codes of the federal, state and local governments relating to performance of work
herein.
INTEREST OF MEMBERS OF CITY: No member of the governing body of the City, and no other officer,
employee or agent of the City who exercises any functions or responsibilities in connection with the planning
and carrying out of the program, shall have any personal financial interest, direct or indirect, in this Contract;
and, the Contractor shall take appropriate steps to assure compliance.
DELINQUENT PAYMENTS DUE CITY: The City of Port Arthur Code of Ordinances prohibits the City
from granting any license, privilege or paying money to any-one owing delinquent taxes, paving assessments
or any money to the City until such debts are paid or until satisfactory arrangements for payment has been
made. Bidders must complete and sign the AFFIDAVIT included as part of this RFP.
QUANTITIES: Quantities shown are estimated, based on projected use. It is specifically understood and
agreed that these quantities are approximate and any additional quantities will be paid for at the quoted price.
It is further understood that the contractor shall not have any claim against the City of Port Arthur for quantities
less than the estimated amount.
SHIPPING INFORMATION: All bids are to be F.O.B., City of Port Arthur, Port Arthur, TX 77640
INCORPORATION OF PROVISIONS REQUIRED BY LAW: Each provision and clause required by
law to be inserted into the Contract shall be deemed to be enacted herein and the Contract shall be read and
enforced as though each were included herein. If, through mistake or otherwise, any such provision is not
inserted or is not correctly inserted the Contract shall be amended to make such insertion on application by
either party.
CONTRACTOR'S OBLIGATIONS: The Contractor shall and will, in good workmanlike manner, perform
all work and furnish all supplies and materials, machinery, equipment, facilities and means, except as herein
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