Council authorizes RFP for forensic audit after public concern over missing sales-tax receipts

Councilors authorized staff to prepare a request for proposals (RFP) for a forensic audit on June 23 after repeated public requests and staff briefings about unresolved accounting questions.

Background: Public commenters had earlier raised concerns about unexplained differences in sales‑tax and other receipts. Citing those concerns and the need for transparency before the 2027 budget cycle, the council moved to solicit private forensic audit proposals. Staff reported they had already been in contact with several auditing firms and would post and solicit responses; the council also asked staff to check whether the county could do the work and to use the League of Minnesota Cities procurement channels.

What was said: A council member said the goal is to get findings in time for budget planning and asked staff to make an RFP available within one week. City staff confirmed they had spoken to multiple firms and would finalize scope and pricing, and that some departments have balances in their professional‑services lines that could cover the expense in 2026.

Process and next steps: Staff will publish and send the RFP to identified firms and the League’s procurement notice; proposals will return to council for selection. Councilors also asked for an itemized accounting of professional‑services balances across departments to identify available funding for a 2026 engagement.

Quote: "We need to be transparent to the taxpayers," a council member said while urging an expedient RFP timeline. The mayor and multiple councilors agreed to solicit proposals while also checking lower‑cost county options.

Outcome: Motion carried to draft and release an RFP; staff to report back with proposals and cost estimates.