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FBO DAILY ISSUE OF JULY 10, 2005 FBO #1322
SOURCES SOUGHT

R -- Request for Information - Estimated Cost of Audit Services

Notice Date
7/8/2005
 
Notice Type
Sources Sought
 
NAICS
541219 — Other Accounting Services
 
Contracting Office
Railroad Retirement Board, Acquisition Management Division, OA, Procurement Section, 844 North Rush Street, 9th Floor NE, Chicago, IL, 60611-2092
 
ZIP Code
60611-2092
 
Solicitation Number
RRB05S005
 
Response Due
7/29/2005
 
Archive Date
8/13/2005
 
Point of Contact
Victoria English, Contract Specialist, Phone (312) 751-4538, Fax (312) 751-4923,
 
E-Mail Address
englisvi@rrb.gov
 
Description
The Office of Inspector general is considering contracting for an audit of the Railroad Retirement Board’s (RRB)’s statement of social insurance in conjunction with its audit of the agency’s fiscal year (FY) 2006 financial statements. Please provide a cost estimate that includes an estimated fixed price, staffing levels and staff hours, and timeframes for a planned audit of the statement of social insurance. Send information no later than July 29, 2005, to: Henrietta B. Shaw Assistant Inspector General, Audit Office of Inspector General 844 N. Rush Street Chicago, Illinois 60611 312/751-4509 Hshaw@oig.rrb.gov A detailed description of the proposed audit engagement follows. Introduction The Office of Inspector General (OIG) of the Railroad Retirement Board (RRB) is issuing this Request for Information (RFI) to obtain input from qualified firms interested in conducting an audit of the statement of social insurance for the Railroad Retirement program. The statement of social insurance will be subject to audit as a basic financial statement effective with fiscal year (FY) 2006 financial reporting. The statement of social insurance was previously classified as Required Supplementary Stewardship Information and has not previously been audited. The OIG plans to rely on the report of a qualified contractor in forming its opinion on the financial statements taken as a whole. Background The RRB is an independent agency in the executive branch of the Federal government. Its primary function is to administer comprehensive retirement-survivor and unemployment-sickness insurance benefit programs for the nation's railroad workers and their families. These programs are provided under the Railroad Retirement Act (RRA) and the Railroad Unemployment Insurance Act (RUIA). In addition, the RRB has administrative responsibilities under the Social Security Act for certain benefit payments and Medicare coverage for railroad workers. Financial Reporting The RRB publishes audited financial statements in its annual Performance and Accountability Report, the form and content of which is mandated by the Office of Management and Budget (OMB). The agency prepares its annual financial statements from the books and records of the RRB in accordance with U.S. generally accepted accounting principles (GAAP). The American Institute of Certified Public Accountants (AICPA) has recognized the statements of Federal Financial Accounting Standards (SFFAS) promulgated by the Federal Accounting Standards Advisory Board (FASAB) as GAAP for Federal government entities. During FY 2004, the Railroad Retirement program paid over $9 billion in benefits and reported approximately $30 billion in assets at fiscal year-end. The RRB's financial statements for the fiscal year ended September 30,2004 reported total financing sources of $9,553,838,826 which it received primarily from the financial interchange with the Social Security Administration and payroll taxes. The bulk of the RRB's financing sources are expended on benefits for railroad workers. The agency’s FY 2004 financial statements reported total assets of $5,170,244,747 which were comprised primarily of investments with the Treasury and receivables from the Social Security Administration for the financial interchange. The balance of the Railroad Retirement program’s assets, approximately $24 billion, were held and invested by the National Railroad Retirement Investment Trust (NRRIT). The NRRIT prepares and publishes financial reports separate from the RRB. Statement of Social Insurance The RRB currently presents a statement of social insurance and other information as required supplementary stewardship information (RSSI). Effective with the financial reporting for the fiscal year ended September 30, 2006, the information required by paragraphs 27(3) and 32(3) of SFFAS #17 will be presented as a basic financial statement rather than RSSI. The underlying significant assumptions will be included in notes that are presented as an integral part of the basic financial statement. Other information required by SFFAS #17, including the sensitivity analysis required in SFFAS #17, paragraphs 27(4) and 32(4), will be presented as required supplementary information (RSI), except to the extent that the preparer elects to include some or all of that information in the notes that are presented as an integral part of the statement of social insurance. The statement of social insurance, related notes and disclosures are prepared by the RRB’s Bureau of the Actuary at RRB Headquarters, 844 N. Rush Street, Chicago, Illinois. Deliverables The audit engagement will require the successful offeror to: 1. develop a staffing plan demonstrating the professional qualifications of the engagement staff; 2. develop a work plan detailing the methodology and timeframes of the engagement including identification of applicable guidance and the manner in which requirements will be met; 3. perform all work necessary to form an opinion on the statement of social insurance; 4. provide a written report communicating the opinion of the firm and any other audit findings pursuant to applicable reporting requirements. The OIG will require access to and, in its sole discretion, copies of any working papers created in performance of this engagement. Applicable Guidance The audit of the RRB’s statement of social insurance will be conducted in accordance with standards promulgated by the AICPA, the Government Accountability Office (GAO) and OMB. On November 22, 2004, the AICPA issued Statement of Position 04-1, “Auditing the Statement of Social Insurance” communicating the recommendations of the AICPA’s Social Insurance Task Force regarding the application of Statements on Auditing Standards to audits of statements of social insurance. Professional Qualifications Offerors must be certified or licensed for the practice of public accountancy by a regulatory authority of a state or other political subdivision of the United States and must be a member in good standing with the applicable State Board(s) of Accountancy. Professional Experience Offerors will be expected to demonstrate that their firm and staff assigned to the engagement have the following types of experience. a. Experience in performing financial statement audits of federal agencies. b. Experience in auditing entities subject to the requirements of the Chief Financial Officers Act of 1990 and the implementation guidance issued by OMB. c. Experience in performing audits of pension funds. d. Experience in providing actuarial services to governmental units. e. Experience in providing management consulting services to governmental units. Additional Information Interested parties may obtain more information about the RRB from its public website U.S. Railroad Retirement Board Home Page. The available information includes descriptions of the agency’s organization, programs as well as financial reports prepared by the agency’s Bureau of Fiscal Operations and statistical and actuarial reports prepared by its Bureau of the Actuary. Performance and Accountability Report for Fiscal Year 2004 RRB Performance and Accountability Report for Fiscal Year 2004 22nd Actuarial Valuation of the Assets and Liabilities Under the Railroad Retirement Acts http://www.rrb.gov/act/pdf/valuation.pdf Miscellaneous Actuarial and Statistical Data RRB Statistical Data - Annual Railroad Retirement Act and Railroad Unemployment Act Data Information about the NRRIT, including annual management reports and quarterly financial reports are available at The National Railroad Retirement Investment Trust Information Statements of Federal Financial Accounting Standards are available from FASAB’s public website FASAB: Standards NOTE: THIS NOTICE WAS NOT POSTED TO WWW.FEDBIZOPPS.GOV ON THE DATE INDICATED IN THE NOTICE ITSELF (08-JUL-2005); HOWEVER, IT DID APPEAR IN THE FEDBIZOPPS FTP FEED ON THIS DATE. PLEASE CONTACT fbo.support@gsa.gov REGARDING THIS ISSUE.
 
Web Link
Link to FedBizOpps document.
(http://www.eps.gov/spg/RRB/BSS/PD/RRB05S005/listing.html)
 
Place of Performance
Address: U.S. Railroad Retirement Board Office of Inspector General Attn: Henrietta B. Shaw 844 N. Rush Street Chicago, Illinois 60611
 
Record
SN00843959-F 20050710/050708211932 (fbodaily.com)
 
Source
FedBizOpps.gov Link to This Notice
(may not be valid after Archive Date)

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