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m. For identifying and ensuring that the City complies with laws, regulations, grants, and
contracts applicable to its activities and its federal award programs and implementing
systems designed to achieve compliance with applicable laws, regulations, grants, and con-
tracts applicable to activities and its federal award programs.

n. For adjusting the financial statements to correct material misstatements and confirming to us
in the management representation letter that the effects of any uncorrected misstate-
ments aggregated by us during the current engagement and pertaining to the current year
period(s) under audit are immaterial, both individually and in the aggregate, to the financial
statements as a whole.

o. For maintaining adequate records, selecting and applying accounting principles, and safe-
guarding assets.

p. For confirming your understanding of your responsibilities as defined in this letter to us in
your management representation letier.

With regard to the supplementary information referred to above, you acknowledge and under-
stand your responsibility: (a) for the preparation of the supplementary information in accordance
with the applicable criteria; (b) to provide us with the appropriate written representations regarding
supplementary information; (c} to include our report on the supplementary information in any
document that contains the supplementary information and that indicates that we have reported
on such supplementary information; and (d) to present the supplementary information with the
audited financial statements, or if the supplementary information will not be presented with the
audited financial statements, to make the audited financial statements readily available to the
intended users of the supplementary information no later than the date of issuance by you af the
supplementary information and our report thereon.

As part of our audit process, we will request from management and, when appropriate, those charged
with governance, written confirmation concerning representations made to us in connection with
the audit.

Reporting

We will issue a written report upon completion of our audit of the City’s basic financial statements.
Our report will be addressed to the Mayor and Board of Aldermen of the City. We cannot provide
assurance that unmodified opinions will be expressed. Circumstances may arise in which it is
necessary for us to modify our opinions, add an emphasis-of-matter or other-matter paragraphs,
or withdraw from the engagement.

In accordance with the requirements of Government Auditing Standards, we will also issue a written
report describing the scope of our testing over internal control over financial reporting and over
compliance with laws, regulations, and provisions of grants and contracts, including the results of
that testing. However, providing an opinion on internal control and compliance over financial
reporting will not be an objective of the audit and, therefore, no such opinion will be expressed.

Provisions of Engagement Administration, Timing, and Fees

During the course of the engagement, we may communicate with you or your personnel via fax
or e-mail, and you should be aware that communication in those mediums contains a risk of
misdirected or intercepted communications.

Edward J. Boyd, Jr, CPA is the engagement principal for the audit services specified in this letter,
Those responsibilities include supervising the City’s services performed as part of this
engagement and signing or authorizing another qualified firm representative to sign the audit
report.

Our fees are based on the amount of time required at various levels of responsibility, plus actual
out-of-pocket expenses. Invoices will be rendered monthly and are payable upon presentation.
Our fees for audit services for June 30, 2020 - 2021 will be $122,500 and $125,000, respectively.

We will notify you immediately of any circumstances we encounter that could significantly affect
this initial fee estimate. Whenever possible, we will attempt to use the City’s personnel to assist
in the preparation of schedules and analyses of accounts. This effort could substantially reduce
our time requirements and facilitate the timely conclusion of the audit. Further, we will be
available during the year to consult with you on financial management and accounting matters
of a routine nature.

You agree to inform us of facts that may affect the basic financial statements of which you may
become aware during the period from the date of the auditor’s report to the date the financial
statements are issued.

Other Services

We will assist in compiling the financial statements, including note disclosures, and preparing the
government-wide financial statements (by consolidating various funds into governmental activities,
and recording all long-term assets, long-term liabilities, and net position classifications from infor-
mation provided by the City}.

We will also assist in the compilation of the following information based on information gathered
during the audit process:

e Management’s Discussion and Analysis

e Data Collection Form

With respect to any nonattest services we perform, which may include assistance with the com-
pilation of financial statements, the City’s management is responsible for (a} making all
management decisions and performing all management functions; (b) assigning a competent
individual to oversee the services; (c) evaluating the adequacy of the services performed;

(d} evaluating and accepting responsibility for the results of the services performed; and
(e) establishing and maintaining internal controls, including monitoring ongoing activities.

Group Audit Considerations

Our audit will be a group audit as defined by AU-C Section 600. We have identified Pennichuck
Corporation and Nashua Airport Authority as components of our group audit. Our Firm will act as
the auditor for Pennichuck Corporation. Another firm will act as the auditor for the Nashua
Airport Authority and we will communicate to the other auditor our intention to rely on their
opinion on the applicable components’ financial statements. At the conclusion of our audit we
will obtain this representation and approval to rely on such opinion.

Other Matters

We understand that your employees will locate any documents or support for any other trans-
actions we select for testing.

We are not hosts for any client information. You are expected to retain all financial and non-
financial information to include anything you upload to a portal and are responsible for down-
loading and retaining anything we upload in a timely manner. Portals, including ShareFile, are only
meant as a method of transferring data, are not intended for the storage of client information,
and may be deleted at any time. You are expected to maintain control over your accounting systems
to include the licensing of applications and the hosting of said applications and data. We do not
provide electronic security or back-up services for any of your data or records. Giving us access
to your accounting system does not make us hosts of information contained within.

If you intend to publish or otherwise reproduce the financial statements and make reference to
our firm, you agree to provide us with printers’ proofs or masters for our review and approval
before printing. You also agree to provide us with a copy of the final reproduced material for our
approval before it is distributed.

During the course of the audit, we may observe opportunities for economy in, or improved controls
over, your operations. We will bring such matters to the attention of the appropriate level of man-

agement, either orally or in writing.

In accordance with the requirements of Government Auditing Standards, a copy of our latest external
peer review report of our firm is available upon request for your consideration and files.

We agree to retain our audit documentation or work papers for a period of at least five years from
the date of our report.

At the conclusion of our audit engagement, we will communicate to those charged with governance
the following significant findings from the audit:

a. Our view about the qualitative aspects of the City’s significant accounting practices.

b, Significant difficulties, if any, encountered during the audit.
c. Uncorrected misstatements, other than those we believe are trivial, if any.
d. Disagreements with management, if any.

e. Other findings or issues, if any, arising from the audit that are, in our professional judgment,
significant and relevant to those charged with governance regarding their oversight of the
financial reporting process.

f. Material, corrected misstatements that were brought to the attention of management as
a result of our audit procedures.

Representations we requested from management.
Management’s consultations with other accountants, if any.

i. Significant issues, if any, arising from the audit that were discussed, or the subject of cor-
respondence, with management.

The audit documentation for this engagement is the property of Melanson Heath and constitutes
confidential information. However, we may be requested to make certain audit documentation
available to regulators and federal agencies and the U.S. Government Accountability Office
pursuant to authority given to it by law or regulation, or to peer reviewers. If requested, access
to such audit documentation will be provided under the supervision of Melanson Heath’s per-
sonnel. Furthermore, upon request, we may provide copies of selected audit documentation to
these agencies and regulators. The regulators and agencies may intend, or decide, to distribute
the copies of information contained therein to others, including other governmental agencies.

Please sign and return a copy of this letter to indicate your acknowledgment of, and agreement
with, the arrangements for our audit of the financial statements including our respective

responsibilities.

We appreciate the opportunity to be your financial statement auditors and look forward to working
with you and your staff.

Respectitully,

GLA | BAK.

Edward J. Boyd, Jr., CPA
Principal

2c oe fe fe fe ea oe 2 ac a fe ke ofc occ 2 aE ee ke ot be ake ee ok ok oe oe oe abe oi fe oe ok Re ake oc oe oe ce Se ESE fe ee ok ae eo

RESPONSE:
This letter correctly sets forth our understanding.

Acknowledged and agreed on behalf of the City of Nashua, New Hampshire by:

Name:

Title:

Date:

10

FINANCE COMMITTEE
MAY 21, 2020

7:30 PM or immediately following Special Callin Number: 1-978-990-5298 Access Code: 273974
Board of Aldermen Meeting

lf there is a problem with the audio, please dial 603-827-2049 to advise.

ROLL CALL
COMMUNICATIONS

From: Dan Kooken, Purchasing Manager
Re: 14 Court Street Fire Suppression System, Change Orders #1 and #2 on PO #154024

From: Dan Kooken, Purchasing Manager

Re: Contract for Two Year External Audit Contract with Melanson Heath (Value: $122,500) Department:
126 Financial Services; Funds: Professional and Technical Services $89,900; Department: 168
Solid Waste; Funds: Professional and Technical Services $13,000; Department 169 Wastewater:
Funds: Professional and Technical Services $19,600

UNFINISHED BUSINESS

NEW BUSINESS —- RESOLUTIONS

NEW BUSINESS -— ORDINANCES

RECORD OF EXPENDITURES

GENERAL DISCUSSION

REMARKS BY THE ALDERMEN

POSSIBLE NON-PUBLIC SESSION

ADJOURNMENT

| THE CITY OF NASHUA “The Cate City’

Advinisiratinve Services

Purchasing Departnreut

May 14, 2020
Memo #20-105

TO: MAYOR DONCHESS
FINANCE COMMITTEE

SUBJECT: CONTRACT FOR TWO YEAR EXTERNAL AUDIT CONTRACT WITH MELANSON
HEATH (VALUE: $122,500)

DEPARTMENT: 126 FINANCIAL SERVICES; FUNDS: PROGESSIONAL AND
TECHNICAL SERVICES $89,900

DEPARTMENT: 168 SOLID WASTE; FUNDS: PROFESSIONAL AND TECHNICAL
SERVICES $13,000

DEPARTMENT 169 WASTEWATER: FUNDS; PROFESSIONAL AND TECHNICAL
SERVICES $19,600

Please see the attached communication from John L. Griffin, Chief Financial Officer, dated May 12, 2020
for information related to this purchase.

Pursuant to NRO § 5-83 Professional Services (A) In the purchase of accounting, architectural, auditing,
engineering, legal, medical and ambulance services and purchases of independent professional
consultant services for personnel, data processing, aciuarial, planning, management and other
comparable purchases competitive bidding shall not be required.

The Chief Financial Officer and the Purchasing Department recommend the approval of this contract in
the amount of $122,500 to Melanson Heath & Company of Nashua, NH.

Respectfully,

Dan Kooken
Purchasing Manager

Co: J. Griffin

229 Main Street - Nashua, New Hampshire 03061 * Phone (603) 589-3330 « Fax (603)
589-3233 _

THE CITY OF NASHUA “the Cate City’

Administrative Services Division-Purchasing

To: Mayor Donchess

Finance Committee
From: Dan Kooken, Purchasing Manager
Date: May 14, 2020

Subject 14 Court Street Fire Suppression System, Change Orders #1 and #2 on
PO#154024

Northpoint Construction had 2 Change Orders to PO 154024 totaling $28,573 as they

complete the 14 Court Street Fire Suppression System.

Change Order #1 totals $15,290 for a number of changes to the original plan. Detaiis

are attached.

Change Order #2 totals $13,283 for a number of changes to the original plan. Details

are attached.

The source of funds for these changes is the Building Trust Fund

229 Main Street * Nashua, New Hampshire 03060 « Phone (603) 589-3020

REPORT OF THE FINANCE COMMITTEE

MAY 6, 2020
A meeting of the Finance Committee was held on Wednesday, May 6, 2020, at 7:00 p.m. via teleconference.

Mayor Jim Donchess, Chairman, presided.

Mayor Donchess

As Chairman of the Finance Committee, | find that due to the State of Emergency declared by the
Governor as a result of the COVID-19 pandemic and in accordance with the Governor's Emergency Order
#12 pursuant to Executive Order 2020-04, this public body is authorized to meet electronically.

Please note that there is no physical location to observe and listen contemporaneously to this meeting, which
was authorized pursuant to the Governor's Emergency Order. However, in accordance with the Emergency
Order, | am confirming that we are:

a) Providing public access to the meeting by telephone, with additional access possibilities by
video or other electronic means:

We are utilizing VWWebEx through the City’s IT Department for this electronic meeting. | All members of
the Finance Committee have the ability to communicate contemporaneously during this meeting
through this platform, and the public has access to contemporaneously listen in to this meeting
through dialing the following number 978-990-5298 and using the password 273974. The Public may
also view this meeting on Comcast Channel 16.

b) Providing public notice of the necessary information for accessing the meeting:

We previously gave notice to the public of the necessary information for accessing the meeting, through
public postings. Instructions have also been provided on the City of Nashua’s website at
www.nashuanh.gov and publicly noticed at City Hall.

c) Providing a mechanism for the public to alert the public body during the meeting if there are
problems with access:

If anybody has a problem accessing the meeting via phone or Channel 16, please call 603-821-2049 and
they will help you connect.

d) Adjourning the meeting if the public is unable to access the meeting:

In the event the public is unable to access the meeting via the methods mentioned above, the meeting
will be adjourned and rescheduled. Please note that all votes that are taken during this meeting shall be
done by roll call vote.

Let’s start the meeting by taking a roll call attendance. When each member states their presence, please
also state whether there is anyone in the room with you during this meeting, which is required under the
Right-To-Know Law.

Finance Committee - 05/06/2020 Page 2

The roll call was taken with 5 members of the Finance Committee present: Alderman Patricia Klee, Alderman
Linda Harriott-Gathright, Alderwoman Shoshanna Kelly, Alderman Michael B. O’Brien. Alderwoman Lu and
Alderman Laws were recorded absent.

Members not in Attendance: Alderman-at-Large Brandon Laws
Alderwoman Elizabeth Lu

Also in Attendance: John Griffin, CFO/Comptroller
Dan Kooken, Purchasing Manager
David Fredette, Treasurer/Tax Collector

Alderman Klee

| am here, | am alone at the moment but my husband and two greyhounds are in the house with me and could
be here at any time. | can hear everybody and | am home maintaining social distancing.

Alderman Harriott-Gathright

| am here, | am alone and | am practicing safe distancing.

Alderwoman Kelly

| am here, | am alone and | am social distancing per the Governor.
Alderman O’Brien

| am present, | can hear you and | am practicing social distancing and my wife of 37 years is milling around the
house here somewhere so | am completely alone.

Mayor Donchess

Yes, | am present. | am exercising the social distancing pursuant to the Governor's Emergency Orders. | am
alone in the living room and | can hear everyone. | think we have called everybody right? Alderwoman Lu did
send word that she is ill and could make the meeting tonight. So | wanted to be clear and on the record. So

let’s go the Agenda.

COMMUNICATIONS

From: Mayor Jim Donchess
Re: Emergency PO Request - $47,588.00 — Granger Medical, Inc.

MOTION BY ALDERMAN HARRIOTT-GATHRIGHT TO ACCEPT, PLACE ON FILE, AND AUTHORIZE THE
EMERGENCY PURCHSE ORDER REQUEST FOR THE PURCHASE OF 20 OXY-LIFELINE BRASS
PATIENT CARE MANIFOLDS, FLOWMETERS, AND ASSEMBLY HOSES IN THE AMOUNT OF $47,588
FROM GRANGER MEDICAL, INC., BY ROLL CALL

ON THE QUESTION

Mayor Donchess

Just to follow up on the communication, this is for the Alternative Care Site out at the High School. This
provides oxygen for people can’t breathe in the event that the Alternative Care Site is needed. The Governor