RP 179/2014 – Request for quotation to develop an internal audit plan for the European Union Programmes Agency.

The National Coordinator notifies that:-

Sealed quotations will be received up to 16:00 pm on Monday 17th November 2014

Quotation No: RP 179/2014 – Request for quotation to develop an internal audit plan for the European Union Programmes Agency.

Relative conditions can be obtained by clicking here.

Quotations should be enclosed in a sealed envelope, with the reference No. 179/2014 clearly displayed and deposited in the quotation box, located at the European Union Programmes Agency, Continental Business Centre, Railway Road, Santa Venera.
 

Clarifications (07/11/2014)

1. Could you kindly explain the current system

The Agency’s current internal audit plan covers a 30 month period commencing 1 July 2012 up to December 2014. The audit plan is divided into six month periods, thereby having a total of five cycles. The methodology used for devising the audit plan was mainly based on the risk factors associated with each audit area to be tested. The risk factors are categorized as High; Medium – high; Medium; Medium – low; and Low. For the purposes of establishing the risk factors, a number of considerations were taken into account including:
• Commission observations;
• Findings from external auditors;
• The importance of the risk area in relation to the project life cycle
• Any issues known by management that merit immediate attention;
• The type of internal control being tested, primarily whether it is a key control or otherwise.
 

2. The number of personnel that you would like to be involved in this internal audit.

As specified in the Request for Quotation the selected contractor is requested to commence its assignment in November 2014 and provide a draft audit plan by December 2014. The finalised audit plan will be presented for approval to the Audit Committee by mid January 2015. Thus the bidders are to requested to make their own considerations to identify and invest the necessary resources for the completion of the deliverables within the established deadlines.
 

3. The qualifications of the key experts

The Request for quotation does not specifically denote the qualifications a key expert must hold. Nonetheless in the bid the contractor is requested to detail the experience of the Key expert in managing and implementing audit assignments.
 

4. How many hours do you think this internal audit plan entails?

The implementation of the risk assessment and the development of the audit plan depends heavily on the resources and expertise being invested by the contractor. However a rough estimate of 100 hours might be required to complete the deliverables.
 

5. If the work will be done at your premises or at our offices.

The Agency does not have any objections that, upon mutual agreement, certain tasks are carried out at the contractor’s premises. Nonetheless certain work might have to be undertaken within the Agency’s premises.
 

07/11/14

 

Clarifications (12/11/14)

Q 1. Further to your request for quotation to develop an Internal Audit Plan for the EUPA, kindly advise whether the quotation should incorporate any updates to the risk assessment exercise and the audit plan during the course of the indicated 30 month timeframe or whether the engagement will be concluded early in 2015, once the audit plan is approved by the Audit Committee.   

 

The request for quotation requires the development of a 30-month Internal Audit Plan starting in January 2015 for the European Union Programmes Agency based on risk assessment. The services of the selected bidder will be concluded on completion of the deliverables.  

 

Q 2. Kindly can you specify the budget for this tender service and provision of the internal audit plan?  

The budget for this request for quotation is € 6,000 (excluding VAT). Kindly note that the quotation will be awarded to the cheapest and technically compliant offer.
 

Q3. How much man hours need to be allocated for this task?  

 
The implementation of the risk assessment and the development of the audit plan depends heavily on the resources and expertise being invested by the contractor. However a rough estimate of 100 hours might be required to complete the deliverables.  

 
Q4.Further to clause 4 item v of the RP, will the National Agency provide the beneficiary and public expectations or will the auditor be required to perform fieldwork to obtain such expectations?  

Item V of clause 4 specifies that the internal audit plan should be based both on compliance aspects but also include quality assurance aspects. The task to establish the beneficiary and public expectations; and review the quality of service will be undertaken by the National Agency. Thus the internal audit plan should include factors which will steer the internal auditor to undertake such reviews.  
 
Q5. Further to clause 4 item v of the RP, to what extent shall auditors cover the National Agency’s operations in the preparation of the internal audit plan?  
 
The Agency has a Manual of procedures which regulate the operations of the National Agency. The Internal Audit Plan is to factor this manual together with other documentation as listed in the request for quotations such as Commission Regulations.   

 
Q6. Section 8. “It is stated that the Key expert must have the sufficient experience in managing and implementing audit assignments”. Could you kindly clarify whether there are specific requirements that need to be fulfilled in ensuring that the key expert put forward has the ‘sufficient experience’ being referred to in this clause? Are there specific years of experience and/or qualifications that applicants must possess?  

 
The request for quotation does not denote any specific requirements pertaining to the experience of the key expert. Through the Key Expert’s CV, the bidder is to demonstrate that the expert has experience in managing and implementing audit assignments. There are no specific years of experience and/or qualifications that the Key expert of the officials working on the deliverables must possess.  

 
Q7. Section 8. “Proof of this must be submitted with the offer.” Could you kindly clarify what kind of proof needs to be submitted? In such cases, proof of experience is represented by us through the CVs. Would that be enough or is further proof required at the stage of submission of the quotation?   

 
A detailed CV of the key expert will suffice at the submission stage.  

 
Q8 .Section 7. “All reports and data such as statistics, calculations, databases, software and supporting records or materials acquired, compiled or prepared by the auditor in the performance of the contract shall be the absolute property of the European Union Programmes Agency. The auditor shall, upon completion of the contract, not retain copies of such documents or data and shall not use them for purposes unrelated to the contract without the prior written consent of the European Union Programmes Agency.” We would like to clarify the following:
a. In stating that the supporting records are the absolute property of the EUPA, does this mean that all the files and internal working papers, used in the production of the deliverables, may be asked for and would need to be handed to the Agency?
b. We are required, by Law and through internal procedures, to maintain all backing documentation used in the production of deliverables. This information may be used to assess the quality assurance of our firm’s procedures, amongst other things. Would we hence be allowed to keep the final versions of our working papers, so as to abide by our internal procedures and Law, of course ensuring that we abide by our duty of confidentiality?
  

 
The request for quotation specifies that written consent is required if the selected contractor is to retain copies of documentation or data mentioned above. Thus the contractor, upon completion of the contract, would be required to formally make a request, explaining the need for retaining backing documentation and specifying its confidentiality.   

 
Q9. Section 9. “The price should contain all pricing information relative to performing the engagement as described in this request for quotation.” Is there further information required to be provided apart from the total fee (exclusive of VAT), the VAT and other taxes component and the total fee (inclusive of VAT)? Furthermore, should we provide details as to split in the fees proposed between the two parts of the deliverables in Section 6?  

 
In relation to the pricing the details mentioned in the clarification, that is total fee (exclusive of VAT), the VAT and other taxes component and the total fee (inclusive of VAT), will suffice. There is no need to split the fees between the two parts of the deliverables specified in Section 6.  

 
Q 10. Section 9. “The quotation will be awarded to the cheapest and technically compliant offer.” Are specific technical requirements being referred to in addition to clause 4 of the Request for Quotation?  

 
Section 4, proposal requirements, of the request for quotations denote all the requirements that are requested from the contractor.  

 
Q11.Does EUPA have a risk management framework/ risk management (including risk assessment) system/methodology that needs to be followed by the winning bidder for this engagement? Will this include defined risk categorisation, assessment and measurement policies? Will this also include templates for required documentation. Does EUPA have an existing risk – control assessment and risk register?   

 
There is no specific risk management framework for which the selected contractor will have to work with. Nonetheless an approach which entails the following methodology might be considered by the bidder: (i) identification of key functions/units which could expose the Agency to risk; (ii) analyse & assess the risk; (iii) mapping risk to have a comprehensive overview; and (iv) prioritise / categorise the risks.  
 
Q 12. Does EUPA have an existing Audit Committee   

 
The Agency does have an Audit Committee to which the Internal auditor reports to.  

 
Q 13. For the CVs do you require it in Europass format?  

 
It is advisable that the CVs should be in Europass format.  

 

12/11/14