Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Audit Procurement topic
No spam. Unsubscribe anytime.
Livingston County board appoints new external auditor after extended debate
Summary
The county board rejected an amendment to retain long-time auditor Plante Moran and voted to appoint Clark Schaefer Hackett after a lengthy discussion about experience, cost and audit rotation; the amendment failed and the recommended firm was approved by roll call.
The Livingston County Board of Commissioners voted to appoint Clark Schaefer Hackett as the county's external auditor after an extended debate over whether to retain long-time vendor Plante Moran.
Commissioner Gross moved to amend the auditor selection to substitute Plante Moran; he argued Plante Moran offered deeper experience with the county, more hours devoted to internal controls and the ability to 'hit the ground running.' Gross cited Plante Moran's first-year quote of $119,828 and an 850-hour block estimate, and said, 'We have never had a problem with them in over 20 years' and that the price difference was 'relatively pennies.'
Commissioner Nakagiri and others opposed the amendment, arguing for auditor rotation and 'fresh eyes.' Nakagiri said the county had been with the same audit partner for decades and noted that best practice for publicly traded companies requires rotation even if government bodies are not legally bound to do so: 'We've been with the same company for 22 years, and sometimes things get glossed over.' He also highlighted that the proposed lead at Clark Schaefer Hackett held a certified-fraud-examiner credential, which he viewed as valuable.
The board first voted on the amendment by roll call; the amendment failed. The board then voted on the original resolution to appoint the recommended firm from the evaluation committee. The roll-call votes as recorded in the meeting were: Commissioners Sample, Nakagiri, Drake, Deaton, Panovich, Fiani and Helzerman — yes; Commissioners Gross and Domas — no. The motion to appoint Clark Schaefer Hackett carried on roll call.
Why it matters: The choice of an external auditor affects the depth of audit work, hours devoted to internal controls and continuity with past audits. Supporters of keeping Plante Moran emphasized institutional knowledge and a larger team allocation; supporters of changing argued that rotating auditors and different credentials can improve oversight.
What’s next: The appointed firm will proceed under the contract terms approved in the board packet; commissioners and staff indicated they will monitor the engagement’s staffing and hours when the audit work begins in the spring.
