MODIFICATION
R -- Audit Services
- Notice Date
- 10/30/2006
- Notice Type
- Modification
- NAICS
- 541211
— Offices of Certified Public Accountants
- Contracting Office
- Department of the Treasury, Bureau of the Public Debt (BPD), Division of Procurement, Avery 5F 200 Third Street, Parkersburg, WV, 26106-5312, UNITED STATES
- ZIP Code
- 00000
- Solicitation Number
- Reference-Number-RFI-NSF-07-0001
- Response Due
- 11/15/2006
- Archive Date
- 11/30/2006
- Point of Contact
- Richard Barlament, Contract Specialist, Phone 304-480-7218, Fax 304-480-7204, - Jane Oney, Contract Specialist, Phone 304-480-7111, Fax 304-480-7204,
- E-Mail Address
-
Richard.Barlament@bpd.treas.gov, ntprocurement@bpd.treas.gov
- Description
- Please provide company name & DUNS number, business size, and list of projects you have worked on in the past which are similar in type to the one attached. Statement of qualifications of your firm and any certification you carry in support of audits. Also provide a list of any question you have on this Statement of Needs which you would need clarification on. Please note this is a source sought for planning purposes only. Please provide information by Nov 15, 2006, even if you are currently providing services for the NSF. The Bureau of Public Debt (BPD), on behalf of the National Science Foundation, is assessing the market to gain information about the procurement of a audit services. This notice is not a solicitation, but an inquiry regarding the capabilities of audit services providers and a request for information from offerors who are willing and capable of providing a presentation regarding audits. We are seeking information to expand our contractor base and determine type of companies available to fulfill our requirements. SOURCES SOUGHT REQUEST FOR INFORMATION BACKGROUND The National Science Foundation (NSF) is an independent Federal agency created by the National Science Foundation Act of 1950 (P.L. 810 507). Its goal is to promote and advance scientific progress in the United States. The agency is responsible for the overall health of science and engineering across all disciplines. The Foundation is also committed to ensuring an adequate supply of the Nation's scientists, engineers and science educators. NSF funds research and education in science and engineering by awarding grants and contracts to educational and research institutions in all parts of the United States. NSF, by law, cannot conduct research or operate research facilities. Through grants, cooperative agreements, and contracts, NSF enters into relationships with non-Federal organizations to fund research and education initiatives. Federal agencies, including NSF, have an independent Office of Inspector General that is authorized by law with recommending policies and practices designed to promote economy, efficiency, and effectiveness; and conduct audits and investigations to prevent and detect fraud, waste, and abuse. In support of the NSF mission,?? the NSF-OIG conducts independent and objective audits, investigations, and other reviews by promoting the economy, efficiency, and effectiveness and safeguarding the integrity of NSF programs and operations. One of the ways that the NSF-OIG provides its support is by ensuring awardee?? compliance with NSF?s and Federal regulations concerning award administration and management. Each year, the NSF-OIG conducts approximately 25 audits to determine whether awardees are in compliance with the financial and administrative terms and conditions of their award agreement. These audits include grants, contracts, and cooperative agreements that are funded by NSF and awarded to (1) educational institutions, (2) state, local, and Federally-recognized Indian tribal governments, (3) hospitals, (4) non-profit organizations, and (5) for-profit organizations. These financial audits include incurred costs, indirect cost rates, pre-award proposals, and other specialty audits, such as reviews of cost sharing and participant support costs. Approximately 66 percent of the NSF-OIG?s audit work is performed by Contractors and is monitored by NSF-OIG staff. These audit reports include findings and recommendations, which are monitored for audit resolution by the NSF Cost Analysis and Audit Resolution Branch (CAAR) of the Division of Institution & Award Support (DIAS). DIAS also monitors the resolution of Office of Management and Budget (OMB) Circular A-133 Audit Reports that were issued by other Contractors on awardees for which NSF is the cognizant agency as well as for awardees whose cognizant agency is not the NSF, but where NSF contributed substantial funds. SCOPE & METHODOLOGY The Contractor shall address the following four phases of the audit individually. The first phase will be to draft a planning document on the survey and internal control fieldwork, the second phase will be to conduct the survey and internal control fieldwork as well as to prepare the survey and internal control assessment report, the third phase will be to conduct substantive audit fieldwork, and the fourth phase will be to prepare the final audit report. The financial audit objectives of the audits include determining whether the costs claimed by an awardee are allowable and in conformity with the terms and conditions of the NSF award and Federal requirements. These financial audits also report on the awardee?s compliance with applicable laws, regulations, and award terms and conditions, and the adequacy of the awardee?s internal control system for effectively accounting for and administering its NSF awards. Specific objectives of the audit of NSF funds are to: Determine whether the Schedule of Award Costs of the awardee presents fairly, in all material respects, the costs claimed on the Federal Cash Transactions Reports (FCTR) in conformity with NSF-OIG?s Financial Audit Guide and the terms and conditions of the NSF award. Identify matters concerning instances of noncompliance with laws, regulations, and the provisions of the award agreement(s) pertaining to NSF awards and weaknesses in the awardee?s internal control over financial reporting that could have a direct and material effect on the Schedule of Award Costs and the awardee?s ability to properly administer, account for, and monitor its NSF awards. REQUIREMENTS of AUDIT The Contractor shall conduct the audit in accordance with the most current version of the standards applicable to financial audits contained in Generally Accepted Government Auditing Standards (GAGAS) issued by the Comptroller General of the United States. (To download a copy of the standards, go to: www.GAO.gov.) Government Auditing Standards (GAS) incorporates by reference the field work and the reporting standards issued by the American Institute of Certified Public Accountants (AICPA). Accordingly, the Statement on Auditing Standards (SAS) is part of Government Auditing Standards and must be adhered to where applicable. Workpapers and audit plans need to make appropriate reference to these standards to provide documentation on their compliance. The new audit risk standards are addressed in SAS 104 through 111 and should be incorporated into these audits in order to address assessed risk and the auditor?s response to audit risk and materiality. The auditor must have a clear understanding of SAS 99 and be able to document and discuss with OIG staff how this standard was met. Although some of the SAS?s are effective December 15, 2006, we are highly recommending early implementation. It is important to understand that these audits are not audits of financial statements as they relate to the financial position of an entity nor are they Single Audits under OMB Circular A-133. They are financial audits as they relate to SAS 62 which is incorporated into GAS In addition to a clear understanding of GAGAS and all the applicable SAS requirements, the Contractor should have a clear understanding of the Office of Management and Budget (OMB) Circulars applicable to the various organizations being audited. Additionally, the Contractor should have experience and knowledge on the applicable requirements of the Federal Acquisition Regulation (FAR). The Contractor should also have experience auditing non-profit organizations. The Contractor must comply with the Government Accountability Office (GAO) Guidance on GAGAS Requirements for Continuing Professional Education (CPE), which was issued on April 2005. The internal control assessments require a complete understanding of The Committee of Sponsoring Organizations of the Treadway Commission (COSO) framework (see SAS 55 and SAS 112). The internal control assessment requires a COSO based approach to the assessment of awardee?s internal controls. The Contractor must be an audit firm registered with the State Board of Accountancy. Additionally, we consider the Partner, Sr. Audit Manager, and the Manager to be key personnel. Their appropriate resumes are required as part of any proposal submission. Additionally, as part of the proposal submission, the latest peer review report is required. The Contractor must have the technical capability to express an audit opinion on the results of audit. Our audits are divided into four phases: PHASE 1 (Planning) Survey and Internal Control Audit Planning Document: The planning document shall include the Contractor?s planned audit approach including the proposed audit program and sampling methodology for performing the audit survey, gaining an understanding of awardee?s policies and procedures and financial systems for administering its NSF awards, identifying risks in the awardee?s operations for effectively administering its NSF awards, and testing significant internal controls to determine whether those controls are operating effectively to mitigate the identified risk. The Contractor shall provide the proposed planning document to NSF-OIG for review at least one week before the scheduled planning story-conference meeting and the final planning document to NSF-OIG before the start of the on-site survey and internal control assessment site visit. PHASE 2 (Internal Control) Survey and Internal Control Assessment Report The Survey and Internal Control Assessment Report shall include a summary of the results of the audit survey, assessment of prior audits, including OMB A-133 audit results and their impact, if any, on the scope of the audit, and testing of significant internal controls, including a brief description (i.e., flowcharts, bullets, etc.) of the awardee?s systems for: Financial accounting and reporting on NSF award expenditures; Accounting and reporting on cost-sharing obligations; Property accountability; Sub-recipient monitoring; and Ensuring NSF awards are properly administered, accounted for, and monitored in compliance with NSF and Federal requirements. The report shall also include the Contractor's assessment of the risk that the awardee?s systems are not meeting Federal regulations and NSF grant terms and conditions for claiming allowable, reasonable, and allocable costs. The report shall identify early indications of where there may be instances of noncompliance, weaknesses in internal controls, areas of questioned costs, and non-accomplishment of program award objectives. The survey and internal control assessment report is not expected to be a comprehensive explanation of each of the areas reviewed, but rather a summary of what was reviewed and assessed and the overall conclusions on the adequacy of the awardee?s financial controls over NSF awards. The report shall provide a firm justification for continuance or discontinuance of the audit based on the audit results from the survey and internal control assessment. Should the decision be made to end the audit at the end of the internal controls survey (phase 2), the information obtained by the Contractor as a result of conducting its internal control work at the auditee shall be delineated in the Survey and Internal Control Assessment Report. Preliminary Notification of Findings (NOFs) form Based on the results of the survey and internal control assessment, NOFs should be initiated to document the preliminary instances of noncompliance, and weaknesses in internal controls, and potential areas of questioned costs. At this stage, the NOFs may only identify a potential condition and the associated criteria. Preliminary NOFs shall be provided to NSF-OIG one week before the survey and internal control assessment story conference meeting. The findings shall be presented identifying the criteria, condition, cause, and effect. Substantive testing planning document (if continuance of the audit is warranted) Prior to the survey and internal control assessment story-conference, the Contractor shall also submit to NSF-OIG for review a substantive testing planning document, if a full audit is warranted as a result of the survey and internal control assessment. At a minimum, this document shall include the proposed audit program including sections on tests of compliance with applicable laws and regulations, and substantive testing procedures to determine whether costs charged to the NSF award(s) by the awardee are allowable, allocable, and reasonable in accordance with applicable Federal cost principles and award terms and conditions. This substantive testing plan shall consider the results of the survey and internal control assessment. It shall provide a clear link between the Contractor?s conclusions on the level of risk in the awardee?s financial and compliance systems and the amount and kind of substantive testing work to be performed. The Contractor shall provide the draft substantive testing planning document to NSF-OIG at least one week before the scheduled survey and internal control assessment story-conference meeting at NSF headquarters and the final substantive testing planning document to NSF-OIG prior to beginning the fieldwork. OPTIONAL PHASES: PHASE 3 (Field Work) Completed Notifications of Findings Based on the results of fieldwork in Phases 2 and 3, this document shall detail the final condition, criteria, cause, effect, and recommendations of each finding identified. Detailed NOFs shall be provided to the NSF-OIG one week before the scheduled fieldwork story conference meeting at NSF headquarters. Format for Audit Report The Contractor shall provide all Notification of Findings to NSF-OIG one week before the fieldwork verification story-conference. The Notification of Findings should include the condition, criteria, cause, effect and recommendation for each finding identified during the audit. The purpose of the fieldwork verification story-conference is for NSF-OIG and the contractor to discuss and agree on the results of the substantive testing and the audit findings and to assess whether all audit work is completed. NSF-OIG and the contractor shall also agree on the significance of each finding and its classification as a noncompliance, reportable condition, and/or a material weakness. PHASE 4 (Reporting) Draft Independent Auditor?s Report on Financial Schedules and Independent Auditor?s Report on Compliance with Laws and Regulations And Internal Controls over Financial Reporting After completion of the fieldwork verification story-conference, the contractor shall prepare a proposed outline and report format for the draft audit report. The outline and report format shall be provided to NSF-OIG one week prior to the scheduled reporting story-conference meeting. The purpose of the reporting story conference is for NSF-OIG and the contractor to agree on the layout of the report. They will discuss and agree on the significance of each finding and its proper order of presentation in the audit report such that the significance and the impact of each finding will be clear to all readers and stakeholders in the audit. Upon completion of the reporting story-conference, the contractor shall provide a draft audit report to NSF-OIG within 3 weeks of the report story-conference. Final Independent Auditor?s Report on Financial Schedules and Independent Auditor?s Report on Compliance with Laws and Regulations and Internal Controls over Financial Reporting The final audit report shall include the awardee?s response to the report findings and recommendations. The final report shall summarize after each recommendation the awardee?s response and the Contractor?s comments, indicating changes the Contractor made to the report language or disagreement with the awardee response. The awardee?s official response in its entirety shall be attached to the final report. Interested offerors may register at http://www.fedbizopps.gov to receive notification when the solicitation and any amendments are issued and available for downloading. Please note that the General Services Administration provides the notification service as a convenience and does not guarantee that notifications will be received by all persons on the mailing list. Therefore, we recommend that you monitor the FedBizOpps site for all information relevant to desired acquisitions. If the Internet option is not available to you, you may receive a hard copy of the solicitation and any amendments (via U.S. Mail) by faxing your request to (304) 480-7204 or e-mailing your request to ntprocurement@bpd.treas.gov.
- Place of Performance
- Address: Washington DC
- Zip Code: 20004-1111
- Country: UNITED STATES
- Zip Code: 20004-1111
- Record
- SN01173176-W 20061101/061030220627 (fbodaily.com)
- Source
-
FedBizOpps Link to This Notice
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