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Comfor Management Services Ltd. board discuss hiring a new financial auditor

Burns Lake's Comfor Management Services Ltd. board discuss best business practices in the hiring of an auditor

The board of directors of Comfor Management Services Ltd. (CMSL) chose to pass on a recommendation to take up a three year contract with current auditors, McAlpine and Co., based in Terrace.

The recommendation was recently made by CMSL executive assistant Michael Riis-Christianson, following a request for proposal for auditing services for CMSL and its subsidiaries.

In a memo to the board of directors, Riis-Christianson said that although CMSL is happy with McAlpine and Co. it is best practice to issue a new request for proposal once every five years.

He said CMSL sought proposals from six firms operating throughout Northern B.C. and three of those firms responded to the request for proposal.

Carlyle Shepherd and Co. based in Terrace, Edmison Mehr based in Smithers who are the Village of Burns Lake’s current auditors, as well as McAlpine and Co. each submitted proposals.

"CMSL staff members have reviewed all three proposals in detail and each proposal was assessed on more than 50 characteristics and attributes," Riis-Christianson said, adding that while all three proposals were competitive, CMSL staff recommend that the board accept the proposal prepared by McAlpine and Co.

"It was the most comprehensive and garnered an average of 197.5 of a possible 212 points [in the request for proposal scoring evaluation process]," Riis-Christianson said.

However CMSL president Quentin Beach said he thought it was best practice to change auditors every now and then.

"I have heard that this is the case," he said.

Riis-Christianson said, "I don't think it is best practice to change auditors, but I think it is best practice to put out a request for proposal, which is what we have done."

Beach asked about the other proposals that were submitted and asked if it would be possible to review them before the board make a final decision.

"The Village of Burns Lake [CMSL's only shareholder] are waiting for this information ... I am comfortable with hiring McAlpine and Co., but if you don't want my opinion I can show you the proposals," Riis-Christianson said.

CMSL director Roseanne Murray said, "I would also like to defer the decision and view the proposals."

"We do value your opinion, but I think it is good practice for us to see the proposals," Beach said.

Murray added, "The Village of Burns Lake can wait a week or two and I agree, it is good practice for the board to review the proposals. It's due diligence and it shouldn't take too long."

Directors made a motion to review the proposals before making their final decision.

Beach later said to Lakes District News, "I wouldn't be surprised if there is a change in auditors for CMSL, not because I don't think McAlpine and Co. have been doing a good job, but because I think it is prudent to change. McAlpine and Co. have been the auditors for about five years now, so I think it's time for a change. I think there would also be synergies in having the same auditor as the village, but the board will make a recommendation in the coming weeks, because time is of the essence," he added.