Consultancy: Project Financial Audit

  Oxfam GB Terms of Reference Project Financial Audit   Main Facts Table Services Financial Audit Indicative Audit dates 07 September 2016- 31 March 2017 Duration of Contract 7 April 2017 –  30 April 2017 (Indicative)           Oxfam GB Oxfam House John Smith Drive Cowley Oxford OX4 2JY                 Oxfam is an independent organization, registered as a charity in England and Wales (no.202918) and Scotland (SC039042), Oxfam GB is a member of Oxfam International, with partners, volunteers, supporters and staff of many nationalities. We work on a global basis to overcome poverty and suffering. You can see more of our work on www.oxfam.org.uk     1.       Background Oxfam GB is a development, relief and campaigning organisation dedicated to finding lasting solutions to poverty and suffering around the world. We believe that every human being is entitled to a life of dignity and opportunity; and we work with poor communities, local partner organisations, volunteers, and supporters to help this become a reality. Our approach is a flexible and holistic one. We aim to address what people living in poverty say they need and equally to support them in their own attempts to bring about positive change and realise their rights. In each country where we work, we tailor our support by combining a mix of humanitarian, longer-term development and campaigning and advocacy strategies, so that everything that we do is connected and mutually reinforcing. And in countries increasingly suffering from external shocks, stresses and uncertainty in an ever-changing world, we are working with communities to build their resilience, so that they can thrive despite these challenges. In Great Britain, Oxfam is a chain of high street shops, a trader selling foods and crafts, a major voice in the debate about poverty, and above all a charity supported by 22,000 volunteers, more than 5,000 staff working in more than 90 countries around the world, and has a gross income of approx £368 million (2012-13). We are also part of Oxfam International, a family of affiliated organisations, sharing common values and increasingly working together. For more information about Oxfam GB visit our website at http://www.oxfam.org.uk  and http://www.oxfam.org.uk/suppliers. Oxfam GB’s Annual Report and Accounts for 2014-15 are also available on our website at http://www.oxfam.org.uk/what-we-do/about-us/plans-reports-and-policies/… 2.       Introduction   As part of Oxfam’s Regional Gender Justice Program (RGJP), and with funding from the UK Foreign and Commonwealth Office (FCO), Oxfam has implemented the first phase of a multi-country project, ‘Promoting the Needs of Women in Conflict in MENA’. The project aims to influence decision makers at the national, regional, and international level to become more aware of and more responsive to the practical needs and strategic interests of women and girls in conflict and fragile settings. Specifically, the project aims to increase the capacity of Women’s Rights Organizations (WROs) to advance women’s leadership and participation on issues affecting women and girls in the Occupied Palestinian Territories (OPT), Yemen, and Iraq. It also aims to facilitate the role of WROs in collectively influencing decision makers in the region on the global Women, Peace and Security (WPS) agenda. The value of the contract is GBP 337, 815. Within this project, Oxfam has sub-contracted other organisations to carry-out elements of project activities as follows: -              Al Amal Association in Iraq -              Eight grassroots organisations (four within Occupied Palestinian Territories and four within Iraq) for implementation of grassroots actions under the Women, Peace, and Security Fund as included in the following: In Iraq: -          Anamel Al Kheir -          Women Organization for Legal Assistance -          Salam Al Rafidain -          Sewan In the Occupied Palestinian Territories: -          Beita -          Jericho Women Charitable Society -          Tubas Organization -          Al Najda Organization The terms and conditions of the contract with the FCO stipulate that Oxfam must undertake one audit at the end of Phase I.  The audit shall review expenditure for the period between 7 September 2016 to 31 March 2017 and be submitted to the FCO by 30 April 2017 (indicative).   The audit shall entail a single site audit visit at Oxfam GB Regional Gender Justice Programme in Beirut, Lebanon to audit expenditure incurred in Lebanon, Iraq, OPT,  and Yemen. 3.       Scope and Requirements 3.1 Timeline for the audit The audit is expected to commence by April 7, 2017 when Oxfam GB will submit a complete list of transactions (for the period between 7 September 2016 and 31 March 2017) to the selected auditor. It is expected that the audit process will take three weeks in total and be completed by end of April 2017 for submission of report. 3.2 Process for the audit Oxfam GB will submit the financial report including a detailed transaction list which reconciles to the report.  The auditor will identify the transactions that they would like to review and submit this list to Oxfam GB.  We will then contact the relevant country teams to obtain the supporting documentation and request them to send the soft copies of the information. Once the documentation is received the audit will take place during second half of April 2017. The auditor shall report the identified amount in case there is missing supporting documentation. 4.       Terms of Reference (TOR) for the audit 4.1 Introduction Oxfam GB wishes to engage the services of an auditor for the purpose of auditing Phase I of the “Promoting the Needs of Women in Conflict in MENA” project, as stipulated in the agreement between Oxfam GB and the UK Foreign and Commonwealth Office (FCO).  The audit shall be carried out in accordance with international audit standards issued by International Organization Federation of Accountants (IFAC), by an external, independent and qualified auditor (Certified Public Accountant/Authorized Public Accountant), and this TOR. 4.2 Objectives and Scope of the Audit Audit the financial report for the project period and express an audit opinion according to ISA 800/805 on whether the financial report is in accordance with Oxfam GB’s accounting records and the FCOs requirements for financial reporting. Examine, assess and report on compliance with the terms and conditions of the agreement and applicable laws and regulations regarding accounting and taxes. The auditor shall examine on a test basis that there is supporting documentation related to reported expenditure. The size of the test shall be based on the auditor’s risk analysis and that should be stated in the report.  In cases where supporting documentation is missing the auditor will report the value of these transactions. Examine if Oxfam GB has agreements with the organisations to which it channels parts of the funds and whether Oxfam GB has followed the FCO’s audit requirements and have acted on received audit reports from these organisations. 4.3 The Audit Report The audit report is to be produced for the project period under review. The audit report shall be in English and include the following items: Programme/Project number and name Implementing organisation Date of the co-operation agreement Reporting period and currency Exchange rate used in the Financial Programme/Project Report Total amount of budgeted income and expenditures (including balance from previous year) Total amount of actual income and expenditures (including balance from previous year) Closing balance (including cash, bank and other assets like advance payments and outstanding checks) Auditor's name, position, address, phone, fax and e-mail Opinion on the specific checks to be performed (listed above) The report shall contain details regarding used audit methodology and the scope of the audit. The report shall contain an assurance that the audit was performed in accordance with international standards and by a qualified auditor. The report shall contain the responsible auditor’s signature (not just the audit firm) and title. The report from the auditor shall contain the audit findings made during the audit process.   The auditor shall make recommendations to address any weaknesses identified.  The recommendations should be presented in priority. The report shall be presented to Oxfam GB in two signed hardcopies and one digital for onward transmission to the FCO, by 30 April 2017. 5.       Instructions for Submitting a Quote 5.1 General Information The audit is expected to take place during April 2017.  The selected auditor will be expected to fulfill all of Oxfam GB’s requirements for the project period. 5.2 Submitting a Quote Quotations must include: A covering letter introducing the audit firm and their skills and competencies. Confirmation that the deployed auditors will have a minimum of three years relevant audit qualifications and experience A quote clearly identifying rates charged for 2016/17 audit. A timeframe for delivery of the audit. It is imperative that the auditor complies with Appendix A:  RFQ Terms and Conditions. 5.3 Key Dates Quotations should be emailed to LebanonJobs@oxfam.org.uk   by midday on 28th of March 2017. The indicative timetable for our decision-making is: Request for quotations is  issued to potential providers 21 March 2017 Quotations returned to Oxfam 28 March 2017 Oxfam review of options – initial decisions 31 March 2017 Final reviews and negotiations 4 April 2017 Contract award and start date 7 April 2017 5.4 Queries and Questions Auditors are to direct any queries and questions regarding the content or process to the Oxfam GB contact.  All questions should be submitted in writing to the nominated email address, referring to “FCO Contract Audit – Questions by [Auditor’s Name]”.  In the interests of fairness and where relevant, Oxfam GB may choose to convey responses to submitted questions and queries to all suppliers so that each is equally informed; the name of the supplier originating such a question will not be disclosed. 5.5 Late Responses Suppliers are responsible for submitting their response prior to the closing date and time. Any response received by Oxfam GB later than the stipulated closing date will not be considered. 6.       Award of Contract The contract shall be awarded to the audit firm submitting the quote offering the best-value-for-money (best quality-price ratio). Oxfam GB reserves the right to keep confidential the circumstances that have been considered for the selection of the offers. The quotation and corresponding documentation must be written in English. Price quotations must be in US Dollars. Offers shall remain valid for a minimum of 3 months after the Deadline for Submission of Quotations. Oxfam GB may request further information from audit firms after the submission of their quotations. Any additional information must be provided within 3 working days. A form of the General Services agreement terms to be entered into between Oxfam GB and the selected provider is at Appendix C for reference. 7.       Additional Information In addition to the bid documents, applying auditors are asked to prove that they are authorised to perform the contract under the national law as evidenced by inclusion in a trade or professional register, or a sworn declaration or certificate, membership of a specific organisation, express authorisation or entry in the VAT register. 8.       Enclosures Appendix A: Request For Quotation (RFQ) Terms and Conditions Appendix B: Oxfam’s Ethical and Environmental Policy Appendix C: Signed Contract between the Foreign Commonwealth and Office of England and Oxfam GB     Appendix A:  Request For Quotation (RFQ) Terms and Conditions 1.         INTRODUCTION 1.1       These Terms of the RFQ regulate the conduct of you and Oxfam throughout the tender process. 1.2       In these Terms, any reference to 'person' includes, but is not limited to, any person, firm, body or association, corporate or incorporate. 2.         CONDUCT              You agree to abide by these terms and any instructions given in the RFQ and agree to ensure that your staff, contractors, subcontractors, consortium members and advisers involved or connected with the RFQ abide by the same. 2.1       Contact during the RFQ exercise              You must not directly or indirectly canvass any Oxfam employee either directly or indirectly involved in the evaluation of this RFQ.  Any attempt to do so may result in you being disqualified from further participation in this RFQ. 2.2       Collusive Behaviour 2.2.1   You must not (and shall ensure that your subcontractors, consortium members, advisors or companies within your Group do not): 2.2.1.1     fix or adjust any element of the tender response by agreement or arrangement with any other person; 2.2.1.2     communicate with any person other than Oxfam GB the details of its response to this RFQ without the express consent of Oxfam GB; 2.2.1.3     act in any way so as to breach Oxfam GB’s conditions relating to supplier conduct, ethical trading or the terms of the non-disclosure agreement, except where such prohibited acts are undertaken with persons who are also participants in your response to this RFQ, such as subcontractors, consortium members, advisors or companies within your group, or where disclosure to such person is made in confidence in order to obtain quotations necessary for the preparation of the tender or obtain any necessary security. 2.2.2   Oxfam GB may disqualify any organisation from further participation in this RFQ process if it reasonably believes that they have breached the conditions set out in 2.2.1 above at any time on written notice. 3.         RFQ PROCESS – RIGHTS TO VARY OR CANCEL 3.1       Oxfam GB reserves the right: 3.1.1      to amend, clarify, add to or withdraw all or any part of the RFQ at any time during the RFQ process, including the timing and format of the proposed presentations; 3.1.2      to vary any timetable or deadlines set out herein; 3.1.3      not to conclude a contract for some or all of the services for which responses are invited; and 3.1.4      cancel all or part of the RFQ at any stage at any time. 3.2       The Bidder accepts and acknowledges that by issuing the RFQ, Oxfam is not bound to accept an offer or obliged to conclude a contract with you at all. Appendix B:  Oxfam’s Ethical and Environmental Policy Oxfam requests that its suppliers incorporate the following statement into its final contract or terms and conditions of business.  If you are unable to attest or agree to any of the following terms, please inform your contact at Oxfam and we will discuss how best to incorporate an alternative statement. Annex 1:  Ethical Declaration You undertake that you, your parent, subsidiaries and any other organisations with an interest of more than 10% in your organisation, are not involved in any of the following activities: arms manufacture; the sale or export of arms or strategic services to governments which systematically violate the human rights of their citizens, or where there is internal armed conflict or major tensions, or where the sale of arms may jeopardise regional peace and security. tobacco production and sale; the sale of babymilks outside the WHO Code of Conduct; pesticide sales outside the FAO guidelines for pesticide retailing; extractive industries; public or formal party political involvement or activity that compromises Oxfam’s independence; and/or any other activities which violate the basic rights of Oxfam GB’s intended beneficiaries.