Eco-Răzeni Association wishes to engage an audit of the project “SPOR — increased chances for the socio-professional integration of young people” as stipulated in the agreement between IM and Eco-Răzeni Association. The audit shall be conducted in accordance with International Audit Standard issued by IAASB — The International auditing and Assurance Standards Board. The audit shall be carried out by an external, independent and qualified auditor.
Project goal (2019 – 2021): Increased individual and institutional capacities for better and efficient socio-professional integration of young people at risk of social marginalization, especially with disabilities, from the Republic of Moldova;
Specific objective 1: Improving the life skills and competences necessary for the integration on the labor market of 450 young people at risk of social marginalization and professional exclusion from the central area of the Republic of Moldova;
Specific objective 2: Creating a favorable legal/financial environment and capacities development of the working integration social enterprises, with active participation of the representatives of public authorities, civil society and social business from the Republic of Moldova;
Specific objective 3: Sustainable development of organizational capacities and strengthening of the legitimacy of Eco-Răzeni to represent, defend and promote the interest, including providing quality services, to young people at risk of social marginalization, especially with disabilities, in the field of theirs socio-professional integration.
|Project location:||Moldova, Răzeni|
|Project period:||01.01.2019 – 31.12.2021|
|Total project budget 2019:||1.2 M Moldovan Lei|
|Project funded by:||IM Swedish Development Partner|
|Project implemented by:||Eco-Răzeni Association|
|Contact person:||Mr. Sergiu Gurău, Executive director
T: +373 (796) 41243, E: email@example.com
Purpose and scope of the audit
The purpose is to audit the financial reports submitted to IM for the period 2019-01-01 through 2019-12-31 and, in accordance with ISA 800/805 declare whether or not the financial reports for 2019 is in accordance with IM financial reporting instructions as stipulated in the agreement between IM and Eco-Răzeni Association (hereinafter referred to as the «Partner»). IM wants to emphasize the importance for auditor to review that the contractual agreements has been fulfilled, when partner funds has been passed on to a third party
The auditors must report on all discoveries, regardless the amount, that has not been corrected as well as deviations from the contractual agreements when it comes to passing on funds to third party. Depending on the findings the auditor can choose to report in the audit report or Management letter.
Additional assignment, according to agreed upon procedures ISRS 4400
Review the following areas in accordance with Terms of reference below:
1. Follow up whether salary costs debited to the project are recorded throughout the duration of the year in a systemized way and examine whether the salary costs can be verified by supporting documentation.
2. Examine whether the financial reports includes a comparison, for every budget item, between the actual costs/expenditures of activities and the budgeted costs/expenditures as approved by IM for the period.
3. Regardless of materiality of the findings the auditor shall quantify the amount for costs lacking supporting documentation.
4. Examine whether foreign exchange gains/losses are disclosed as a separate item in the financial report as well as disclosed in accordance with what is stipulated in the agreement including appendices and generally accepted accounting principles.
5. The cooperation partner’s compliance with the applicable tax legislation with regard to taxes (e.g. PAYE — Pay As You Earn) and social security fees.
6. Follow up whether the cooperation partner has adhered to the procurement guidelines annexed or referred to in the agreement.
7. Review if outgoing balance for previous period is the same as incoming balance for the current period.
8. If the cooperation partner applies modified cash basis as accounting principle, the auditor shall describe used method and motivate whether the applied accounting principle is acceptable for this type of financial reports.
9. Verify the unspent balance at the end of the financial year against accounting records and its supporting documentation.
10. Follow up whether the partner organisation has implemented the recommendations from previous assessment. The examination includes reviewing whether the partner has implemented the action points as described in partner’s management response 2018 that has been submitted to IM.
1.1. The report in Romanian and English shall be electronically signed by the responsible auditor and include title.
1.2. The independent auditor’s report shall clearly stipulate that the audit has been conducted in accordance with ISA 800/805, whether the submitted Annual Financial Report regarding the project is in accordance with the Partner organisation’s accounting records and that it is also in accordance with IM’s requirements on financial reporting as stated in the partner agreement.
1.3. The auditor shall submit a Management Letter, which shall contain the audit findings made during the audit process. In case the auditor has no observations to reports, this should be disclosed in the Management Letter as well. This Management Letter shall also state which measures that have been taken as a result of the previous audit and whether the measures taken have been adequate in order to deal with any and all reported shortcomings. The auditor is requested to rate the risks according to high, medium and low.
The additional assignment according to agree upon procedures ISRS 4400 under section 2, shall be reported separately in a “Report of factual findings”. The size of the sample of reviewed audit reporting shall be stated in the report.
If the auditor conducts an additional assignment according to ISRS 4400 and assesses that the observations presented in the “Report of factual findings” include the information that would have been included in a Management Letter, a separate Management Letter does not need to be issued for the ISRS 4400 assignment. Instead it is sufficient if the “Report of factual findings” include an explanation as to why a Management Letter has not been issued. »
1.4. The audited financial report shall be presented according to budget lines in the approved application. The actual outcome for the reporting period should be compared with the budget.
1.5. The audit report together with the management letter shall be submitted by email to IM and the partner organisation not later than 25th of February 2020.
1. Content of offers
The offer has to – at least – include (in English or Romanian):
1.1. A short description of the auditing company (date of establishment, number of employees and their positions, focus, contact details, etc.);
1.2. Price of the service in MDL: Total price (lump-sum) for all services necessary to fulfil the required services, including all taxes and fees (VAT, if applicable, shall be displayed separately);
1.3. A detailed time schedule for the duration of the services’ implementation: Dates for the start, the duration and the finalisation of the actual audit as well as for the elaboration and the submission of the draft of the audit report and the final version of the audit report;
1.4. Experience in auditing:
a) General references: Specification of at least 5 reference services which were finalised as ordered within the last 3 years (from the date of having received this tender), specification of the contracting body/ client and the concrete subject-matter of the audit;
b) References of non-governmental („NGO”) or non-profit-making („NPO”) organisations: Specification of the contracting organisation, of the contract value as well as the concrete subject-matter of the audit;
c) Specification of qualifications and experience of employees foreseen for the audit: Name, including CV and if the auditor is member of a professional or international association;
d) Confirmation of applying internationally acknowledged auditing standards which are also applied as national Moldovan auditing standards (ISA, IAASB).
1.5. License for the audit activity (copy);
1.6. The labor and social legislation of Moldova is to be adhered to. The offer has to include a respective notation as otherwise the offer cannot be considered within the framework of the acceptance of tender.
2. Deadline for submission of quotations / offers
2.1. Deadline for submission of quotations: The offer has to arrive at Eco-Răzeni (contact details see below) within 14 calendar days from the date on which the tender was published.
2.2. Offers missing this deadline cannot be considered and will be rejected.
2.3. The offer has to be signed legally valid and has to be sent by email with the subject „Audit Offer SPOR project 2019” to the below stated contact person and email address.
2.4. Submitted offers remain valid 30 days after the deadline for submission of quotations and bind the tenderers for this duration to their offers.
2.5. The offers have to be submitted to Eco-Răzeni Association, Mr. Sergiu Gurau, firstname.lastname@example.org
2.6. Available for questions is:
Mr. Sergiu Gurau, Executive director, Eco-Răzeni Association
T: +373 796 41243
3. Criteria for the calculation of the best offer (award criteria)
Missing, incomplete or false information referring to the criteria stated in section below lead to the rejection of the respective offer.
|The stated criteria will be assessed and ranked as follows: Award criteria||Rating in %|
|1) Price of the offered services||50|
|2) Time frame for the implementation of the assignment (assessed in days)||10|
|3) Experience in auditing:|
|a) General references||10|
|b) References of NGOs and NPOs||10|
|c) Qualifications and experience of employees foreseen for the audit||20|
|Maximum achievable score||100|
The competition for commercial offers is carried out in accordance with the provisions of the Procurement Procedures Manual and the Anti-corruption Policy of the Eco-Răzeni Association.
For more information about Eco-Răzeni Association visit http://www.ecorazeni.wordpress.com
IM is a development organisation fighting and exposing poverty and exclusion. The organisation was founded in 1938 and is working in thirteen countries worldwide. IMs international work focuses on people´s right to education, good health and ability to sustain a life in dignity. All projects are implemented in close collaboration with local partner organisations. IM also work in Sweden, focusing on integration and inclusion into society. The strengthening of civil society is both a means and an objective in all activities.