Solicitation No. CB07-RFP0003 Full and Open Competition Financial Audit Services Issued by: Congressional Budget Office Washington, D.C. www.cbo.gov/procurement This is trial version www.adultpdf.com CB07-RFP0003 Financial Audit Services PAGE i TABLE OF CONTENTS PART I—THE SCHEDULE SECTION A – SOLICITATION/CONTRACT FORM Standard Form 33 1 SECTION B – SUPPLIES OR SERVICES AND PRICES/COSTS B.1 General Description 2 B.2 Price Schedule 2 B.3 Payment Schedule 2 SECTION C – DESCRIPTION/SPECIFICATIONS/STATEMENT OF WORK C.1 Background of Congressional Budget Office 3 A. Prior Audits 3 C.2 Objectives and Scope 3 C.3 Deliverables 4 C.4 Delivery Schedule 5 C.5 Audit Site 5 C.6 Audit Considerations 6 C.7 Listing of Acronyms 6 SECTION D – PACKAGING AND MARKING D.1 Identification of Contract Deliverables 8 SECTION E – INSPECTION AND ACCEPTANCE CBO 07 Inspection and Acceptance 9 SECTION F – DELIVERIES OR PERFORMANCE F.1 Period of Performance – Base Contract and Options 10 SECTION G – CONTRACT ADMINISTRATION DATA G.1 Contracting Officer’s Authority 11 G.2 Contracting Officer’s Technical Representative (COTR) 11 SECTION H – SPECIAL CONTRACT REQUIREMENTS H.1 Special Inspection Procedures 12 CBO 25 Security for Confidential Information (Alternate 1) 12 H.3 Incorporation of Contractor’s Proposal 12 H.4 Key Personnel Changes 12 This is trial version www.adultpdf.com CB07-RFP0003 Financial Audit Services PAGE ii PART II—CONTRACT CLAUSES SECTION I – CONTRACT CLAUSES CBO 01 Terms and Conditions Limited 13 CBO 03 Payment 13 CBO 05 Invoice 13 CBO 06 Method of Payment 14 CBO 08 Assignment 15 CBO 09 Changes 15 CBO 10 Risk of Loss / Title 16 CBO 11 Warranties 16 CBO 12 Endorsements/News Releases/Advertising 17 CBO 13 Obligations Contingent on Future Appropriation 17 CBO 14 Excusable Delays 17 CBO 15 Waiver of Default 17 CBO 16 Termination for Convenience 17 CBO 17 Termination for Default 17 CBO 18 Disputes 18 CBO 19 Compliance With Laws 18 CBO 20 Affirmative Action for Workers With Disabilities 18 CBO 21 Equal Opportunity for Special Disabled Veterans, Veterans of the Vietnam Era, and Other Eligible Veterans 20 CBO 22 Employment Reports on Special Disabled Veterans, Veterans of the Vietnam Era, and Other Eligible Veterans 23 I.20 Option to Extend the Term of the Contract 24 I.21 Legislative Branch Agencies 25 PART III—LIST OF DOCUMENTS, EXHIBITS, AND OTHER ATTACHMENTS SECTION J – LIST OF ATTACHMENTS Attach. 1 Timeline Attach. 2 CBO Non-Disclosure Agreement Attach. 3 CBO Past Performance Questionnaire PART IV—REPRESENTATIONS AND INSTRUCTIONS (This Part will be removed from the contract document) SECTION K – REPRESENTATIONS, CERTIFICATIONS, AND OTHER STATEMENTS OF OFFERORS K.1 Authorized Negotiators 27 K.2 Offeror Representations and Certifications 27 K.3 Taxpayer Identification 29 K.4 Data Universal Numbering System (DUNS) Number 30 This is trial version www.adultpdf.com CB07-RFP0003 Financial Audit Services PAGE iii SECTION L – INSTRUCTIONS, CONDITIONS, AND NOTICES TO OFFERORS L.1 Instructions to Offerors – Competitive Acquisition 32 CBO 28 Electronic Mail and Facsimile Proposals 36 L.3 Type of Contract 37 L.4 Proposal Composition – Source Selection Procedures 37 L.5 Instructions for Preparing the Technical Proposal 37 L.6 Instructions for Preparing the Price Proposal – Source Selection Procedures 40 SECTION M – EVALUATION FACTORS FOR AWARD M.1 Proposal Evaluation Criteria – Source Selection Procedures 41 M.2 Evaluation Adjectival Ratings 42 M.3 Evaluation of Options 43 This is trial version www.adultpdf.com SOLICITATION, OFFER, AND AWARD 1. THIS CONTRACT IS A RATED ORDER UNDER DPAS (15 CFR 700) RATING 2. CONTRACT NUMBER 3. SOLICITATION NUMBER CB07-RFP0003 SEALED BID (IFB) X NEGOTIATED (RFP) 4. TYPE OF SOLICITATION 5. DATE ISSUED 08/10/2007 6. REQUISITION/PURCHASE NUMBER R1 CB2007-0156 CODE PSCBO Procurement Services Congressional Budget Office 2nd and D Streets, SW FHOB Room 406 Washington, DC 20515-0001 7. ISSUED BY Procurement Services Congressional Budget Office ProcurementServices@cbo.gov Fax: 888-734-1760 8. ADDRESS OFFER TO (If other than Item 7) NOTE: In sealed bid solicitations "offer" and "offeror" mean "bid" and "bidder". SOLICITATION N/A 17:00:00 08/31/2007 (Hour) (Date) CAUTION - LATE Submissions, Modifications, and Withdrawals: See Section L, Provision No. 52.214-7 or 52.215-1. All offers are subject to all terms and conditions 9. Sealed offers in original and _____0_______ copies for furnishing the supplies or services in the Schedule will be received at the place specified in item 8, or if handcarried, in the depository located in ______________________________________________________ until ________________ local time _________________ 10. FOR INFORMATION CALL: A. NAME Caryn Rotheim AREA CODE 202 NUMBER 226-2632 EXT. B. TELEPHONE (NO COLLECT CALLS) C. E-MAIL ADDRESS ProcurementServices@cbo.gov 11. TABLE OF CONTENTS (X) SEC. DESCRIPTION PAGE(S) (X) SEC. DESCRIPTION PAGE(S) PART I - SCHEDULE PART II - CONTRACT CLAUSES X A SOLICITATION/CONTRACT FORM 1 X I CONTRACT CLAUSES 13-25 X B SUPPLIES OR SERVICES AND PRICES/COSTS 2 PART III - LIST OF DOCUMENTS, EXHIBITS AND OTHER ATTACH X C DESCRIPTION/SPECS./WORK STATEMENT 3-7 X J LIST OF ATTACHMENTS 26 X D PACKAGING AND MARKING 8 PART IV - REPRESENTATIONS AND INSTRUCTIONS X E INSPECTION AND ACCEPTANCE 9 X K REPRESENTATIONS CERTIFICATIONS AND OTHER STATEMENTS OF OFFERORS 27-31 X F DELIVERIES OR PERFORMANCE 10 X L INSTRS., CONDS., AND NOTICES TO OFFERORS 32-40X G CONTRACT ADMINISTRATION DATA 11 X M EVALUATION FACTORS FOR AWARD 41-43 X H SPECIAL CONTRACT REQUIREMENTS 12 OFFER (Must be fully completed by offeror) NOTE: Item 12 does not apply if the solicitation includes the provisions at 52.214-16, Minimum Bid Acceptance Period. In compliance with the above, the undersigned agrees, if this offer is accepted within _______________________ calendar days (60 calendar days unless a different period is inserted by the offeror) from the date for receipt of offers specified above, to furnish any or all items upon which prices are offered at the price set opposite each item, delivered at the designated point(s), within the time specified in the schedule. 12. 13. DISCOUNT FOR PROMPT PAYMENT (See Section 1, Clause No. 52.232-8) 10 CALENDER DAYS(%) 0.00 20 CALENDER DAYS(%) 0.00 30 CALENDER DAYS(%) 0.00 CALENDAR DAYS NUMBER 0 PERCENTAGE 0.00 14. ACKNOWLEDGEMENT OF AMEND- MENTS (The offeror acknowledges receipt of amendments to the SOLICITATION for offerors and related documents numbered and dated): AMENDMENT NO. DATE AMENDMENT NO. DATE 15A. NAME AND ADDRESS OF OFFEROR CODE FACILITY 16. NAME AND TITLE OF PERSON AUTHORIZED TO SIGN OFFER (Type or Print) 15B. TELEPHONE NUMBER AREA CODE NUMBER EXT. 15C. CHECK IF REMITTANCE ADDRESS IS DIFFERENT FROM ABOVE - ENTER SUCH ADDRESS IN SCHEDULE. 17. SIGNATURE 18. OFFER DATE AWARD (To be completed by Government) 19. ACCEPTED AS TO ITEMS NUMBERED 20. AMOUNT 21. ACCOUNTING AND APPROPRIATION 10 U.S.C. 2304(c) ( ) 41 U.S.C. 253(c) ( ) 22. AUTHORITY FOR USING OTHER THAN FULL AND OPEN COMPETITION: 23. SUBMIT INVOICES TO ADDRESS SHOWN IN (4 copies unless otherwise specified) ITEM CODE 24. ADMINISTERED BY (if other than Item 7) CODE Congressional Budget Office Office of Financial Management invoices@cbo.gov OR Fax: 866-754-3302 Washington, DC 20515 25. PAYMENT WILL BE MADE BY 26. NAME OF CONTRACTING OFFICER (Type or print) Stacy F. Newman (202/226-9850) (Signature of Contracting Officer) 27. UNITED STATES OF AMERICA 28. DATE IMPORTANT - Award will be made on this Form, or on Standard Form 26, or by other authorized official written notice. AUTHORIZED FOR LOCAL REPRODUCTION Previous edition is unusable STANDARD FORM 33 (REV. 9-97) Prescribed by GSA - FAR (48 CFR) 53.214(c) This is trial version www.adultpdf.com CB07-RFP0003 Financial Audit Services PAGE 2 SECTION B SUPPLIES OR SERVICES AND PRICES/COSTS B.1 GENERAL DESCRIPTION The Congressional Budget Office (CBO) has a requirement for a contractor to perform an annual audit of the agency’s financial statements. The Contractor shall deliver: (1) A combined report covering their opinion on CBO’s financial statements, internal control over financial reporting, positive assurance that all Financial Management Systems comply with FISCAM, and the results of compliance tests; (2) A management letter, if appropriate; and (3) Complete and accurate work papers to document all work performed and support the conclusions reached. B.2 PRICE SCHEDULE This is a firm fixed-price type contract. Offerors shall list the lump sum price for each line item in the Price Schedule below. (Failure to submit an offer on all items will be cause for your offer to be determined unacceptable.) Item No. Description Quantity & Unit Total Price 0001 Base Period: Perform financial audit for Fiscal Year 2007 1 Lump Sum $ 0002 Option Period 1: Perform financial audit for Fiscal Year 2008 1 Lump Sum $ 0003 Option Period 2: Perform financial audit for Fiscal Year 2009 1 Lump Sum $ 0004 Option Period 3: Perform financial audit for Fiscal Year 2010 1 Lump Sum $ 0005 Option Period 4: Perform financial audit for Fiscal Year 2011 1 Lump Sum $ Total for Schedule: $ B.3 PAYMENT SCHEDULE Payment will be made upon inspection and acceptance of deliverables in accordance with the following payment schedule, which applies to the base and option periods of this contract: Item Payment % 1 End of Audit Work 40% 2 Signed Opinion Report 60% END OF SECTION B This is trial version www.adultpdf.com CB07-RFP0003 Financial Audit Services PAGE 3 SECTION C DESCRIPTION/SPECIFICATIONS/STATEMENT OF WORK Financial Audit of Congressional Budget Office C.1 BACKGROUND OF CONGRESSIONAL BUDGET OFFICE The Congressional Budget Office (CBO) is a legislative branch agency of the federal government. It was established in 1974, and began operations in February of 1975 to provide the Congress with objective, timely, nonpartisan analyses needed for economic and budget decisions and with information and estimates required for the Congressional budget process. That information includes forecasts of the economy, analyses of economic trends and alternatives, fiscal policies, long-term projections of federal spending and revenue, and, upon request, studies on budget-related issues. In addition, CBO provides Congress with multi-year cost estimates for reported bills, as well as analyses of the costs of state, local, tribal, or private sector mandates. As of September 30, 2006, CBO’s balance sheet showed total assets of $6.643 million; for the year ended September 30, 2006, CBO’s net operating expenses were $37.431 million. Approximately ninety percent of CBO’s operating appropriations were for salaries and benefits. CBO’s source of revenue for funding operating expenses is an annual congressional appropriation. A. Prior Audits Kearney & Company conducted full financial statement audits for the fiscal years ended September 30, 2004 through 2006. For each year Kearney & Company issued a combined report which included: 1) an unqualified opinion on the agency’s principal statements; 2) an unqualified opinion on the internal control structure over financial reporting; and 3) a statement finding no compliance violations. The audits of the agency were performed in accordance with generally accepted accounting principles (GAAP) and the Office of Management and Budget (OMB) Circular No. A-136. For transition purposes, the new auditor may have access to FY 2006 audit documentation as necessary after award. In the last performance period of the contract, the outgoing auditor should be available to transition to the new incoming audit firm as necessary. C.2 OBJECTIVES AND SCOPE CBO has a requirement for a contractor to perform annual audits of the agency’s financial statements for the years ending September 30, 2007 through 2011. The financial statements will be prepared from the Library of Congress’ (LOC) financial management system in accordance with GAAP. CBO uses the LOC’s financial management system as part of a cross-servicing agreement authorized under the Economy Act. The Contractor shall coordinate as necessary with the LOC and their auditor for any information specific to the financial system. The financial statements for FY 2007 through FY 20011 will be prepared based upon the hierarchy contained within the American Institute of Certified Public Accountants’ Statement on This is trial version www.adultpdf.com CB07-RFP0003 Financial Audit Services PAGE 4 Auditing Standards No. 91, Federal GAAP Hierarchy. The statements will also be prepared based on guidance on the form and content of financial statements published in the OMB Circular No. A-136, Financial Reporting Requirements. CBO is not required to adopt this circular, but has elected to use the disclosures management deems necessary for the fair presentation of financial statement information. The accounting structure of CBO is designed to reflect both accrual and budgetary accounting. Under the accrual method, revenues are recognized when earned and expenses are recognized when a liability is incurred, without regard to receipt or payment of cash. The budgetary accounting, on the other hand, is designed to recognize the obligation of funds according to legal requirements, which may be prior to the occurrence of an accrual-based transaction. The budgetary accounting facilitates compliance with legal constraints on and controls over the use of federal funds. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates. CBO has adopted federal standards for financial reporting and internal controls in a manner consistent with a legislative agency. CBO maintains its fund balances with the Department of Treasury and submits information required to incorporate its financial and budget data into the overall federal government structure. While CBO is not subject to fulfilling the internal control objectives of 31 U.S.C. §3512, formerly the Federal Managers’ Financial Integrity Act of 1982 (FMFIA), and the OMB Circular No. A-123, CBO has elected to follow the spirit of these requirements. CBO’s management provides a separate assurance over the effectiveness of internal control over financial reporting. CBO is not subject to the Federal Financial Management Improvement Act of 1996, the Federal Managers’ Financial Integrity Act, and the Government Performance and Results Act. However, CBO uses these statutes as guidance and reference in its operations. Financial information systems are important in CBO’s audit. The Contractor shall use the Federal Information System Controls Audit Manual (FISCAM) as amended for auditing the effectiveness of security controls for financial information. The financial information systems are: Momentum; Financial Reporting System (FRS); National Finance Center’s (NFC) EPIC and Mainframe; NFC’s STAR Time and Attendance; Human Resources Office; OFM Payroll Projector; and FAS Gov (Property, Plant & Equipment). C.3 DELIVERABLES Deliverables consist of three documents: 1. A combined report covering the following elements (separate reports are not acceptable): This is trial version www.adultpdf.com CB07-RFP0003 Financial Audit Services PAGE 5 a. Your opinion on CBO’s financial statements (including your findings on the consistency of supplementary information, Management’s Discussion and Analysis (MD&A) and other accompanying information in the Performance and Accountability Report); b. Your opinion on the internal control over financial reporting; c. Your opinion containing positive assurance that all Financial Management Systems comply with FISCAM; and d. The results of your tests of compliance with laws and regulations. 2. A management letter, if appropriate. 3. Complete and accurate work papers must be developed to document all work performed and support conclusions reached. The Contractor shall provide full and complete access to the working papers, electronic files, notes, and documentation to CBO management and/or the COTR(s) at their request. The Contractor shall retain the original working papers, electronic files, notes and other documentation that were created in performing this audit for its files. C.4 DELIVERY SCHEDULE A specific timeline for the base contract period is included at Attachment 1 of this contract. The Attachment will be updated by a modification to the contract to reflect actual dates for each option period as the options are exercised. The work shall follow the general schedule below for each period of the contract (base and each option). CBO may modify the schedule in the option periods to adjust some of the dates, but the amount of time allowed for each phase is not anticipated to change. 1. The Kick-Off meeting will occur by September 30. 2. CBO will provide a Final Trial Balance by November 30. 3. FISCAM and property walkthrough can begin at the end of September or early October. 4. CBO will deliver the complete Financial Statements with notes for the FY by January 31. 5. The Planning Phase shall be completed by mid-February. 6. Compliance Testing shall be completed by March 31. 7. Substantive Testing shall be completed in April. 8. Opinion and Management Letter shall be completed in May. C.5 AUDIT SITE Work is to be performed at CBO, located at: Congressional Budget Office Office of Financial Management Ford House Office Building, 4 th Floor 2 nd and D Street, SW Washington, DC 20515 This is trial version www.adultpdf.com CB07-RFP0003 Financial Audit Services PAGE 6 Work space and access to the financial system will be provided by CBO. Documentation is attached to most transactions in the financial system. If documentation is not attached, CBO staff will provide hard copy documentation. We do not anticipate any out-of-town travel for this contract. C.6 AUDIT CONSIDERATIONS Accounting System CBO is cross-serviced by the Library of Congress (LOC). LOC uses Momentum from CGI Federal as its central accounting system. Momentum has modules for purchasing, accounts payable and disbursements, travel, accounts receivable and collections, budget execution, cost allocations and external reporting which are integrated with the general ledger module. The CBO general ledger has a partition base with Momentum. CBO uses the Department of Agriculture’s National Finance Center (NFC) in New Orleans for payroll processing and payroll accounting data is posted to the CBO general ledger with the same interface that is used by LOC. Financial Statements are prepared directly from Momentum. The Momentum Financial Statements are then formatted into Microsoft Word and the notes are added. Transaction Cycles Revenues/Receipts – CBO’s funding is through an annual appropriation that includes some funds that are available for longer than one year. CBO does not have any gift funds. Payroll – Payroll data is electronically transmitted to NFC on a biweekly basis. NFC transmits payroll accounting data back to Momentum on a weekly basis. Reconciliations are performed on both a pay period and a monthly basis. Property and Equipment – CBO uses FAS Gov from Sage Software along with electronic spreadsheets to account for property and equipment. Treasury – LOC has its own disbursing office, which prepares an SF-1219 (Statement of Accountability) and SF-1220 (Statement of Transactions). Momentum prepares the Statement of Transactions; the SF-224 is transmitted monthly by LOC. FACTS I and FACTS II are prepared by LOC and reviewed by CBO on a quarterly basis (except for the 1 st quarter of the fiscal year). C.7 LISTING OF ACRONYMS CBO Congressional Budget Office COTR Contracting Officer’s Technical Representative FACTS Federal Agencies’ Centralized Trial-Balance System FAS Gov Fixed Asset Solutions for government FFMIA Federal Financial Management Improvement Act of 1996 FISCAM Federal Information Controls Audit Manual FMFIA Federal Managers’ Financial Integrity Act of 1982 FRS Financial Reporting System FY Fiscal Year This is trial version www.adultpdf.com [...]... Performance and Results Act Library of Congress Management’s Discussion and Analysis National Finance Center Notification of Findings and Recommendations Office of Management and Budget Office of Financial Management Provided by Client Standard Form United States Code Unless otherwise stated, all references in Section C to “year(s)” refer to fiscal years END OF SECTION C CB07-RFP0003 Financial Audit Services . Solicitation No. CB07-RFP0003 Full and Open Competition Financial Audit Services . version www.adultpdf.com CB07-RFP0003 Financial Audit Services PAGE 4 Auditing Standards No. 91, Federal GAAP Hierarchy. The statements will also be prepared based on guidance on the form and content of financial. version www.adultpdf.com CB07-RFP0003 Financial Audit Services PAGE i TABLE OF CONTENTS PART I—THE SCHEDULE SECTION A – SOLICITATION/ CONTRACT FORM Standard Form 33 1 SECTION B – SUPPLIES OR SERVICES AND