CPA on city watch.

• Position: Finalentry - Interview

Member Bridget Sanders, CPA and certified forensic accountant at Wallace Valuation Advisors, Inc., has been receiving some notice [or her work in a unique accounting niche. Sanders analyzes city and county budgets, reviews auditors' reports and meets with public agency finance directors to assess labor contract proposals for union clients. We also caught notice of Sanders' line of work and decided U) find out more.

What started you in this area of niche accounting?

I Was working at a CPA firm providing litigation consulting services in the area of forensic accounting, economic damages and business valuation. One of' my clients, a local employment law firm that specializes in providing legal services to labor unions, recognized that my skills as a forensic accountant might be beneficial on the contract negotiations side. The firm suggested that the labor union hire me as a financial expert on their team. Public agency finances have increasingly become a hot topic of negotiations due to the economic downturn, and labor unions want to be as well-prepared and informed as possible during negotiations: thus, the need for a financial expert on the team. Since working with that first labor union client a Few years ago, my business in this area has expanded and comprises a Fair share of my client load. I specialize in providing consulting services to police and firefighter unions in support of their negotiations with public agency employers.

How do your forensic accounting skills play into what you do?

Forensic accountants possess very strong analytical and problem-solving skills. They are able to review. analyze and interpret different types, II Id large masses, of financial information. Projects assigned to forensic accountants are of missing key information, and professionals must develop methods and techniques to overcome these limitations. Forensic accountants also have the ability to simplify complicated financial issues and effectively communicate their analysis.

Why are California cities struggling financially?

California cities obtain the majority of their revenue from collection of various taxes, with property taxes generally representing the largest component of' revenue. Cities have been faced with huge revenue shortfalls in recent years due to significant declines in property values and other adverse effects of the recession on their income streams. Cities are generally required to adopt a balanced budget, which means their spending is...