Duration:

24.04.2020-04.05.2020

Deadline:

May 4, 2020

Transparency International Ukraine CSO (hereinafter TI Ukraine) is announcing a tender for external independent financial audit of its activity in 2019 to improve oversight, monitoring and evaluation.

 

Purpose of the tender: selection of independent subject of audit to perform the audit of TI Ukraine’s financial reporting in 2019.

The audit must be conducted in accordance with the International Standards on Auditing (ISA) issued by the International Auditing and Assurance Standards Board (IAASB), by an external auditor (audit firm) which has experience in conducting audits in civil society organizations, is independent and qualified.

  1. Period of service delivery: the audit should start no later than May 18, 2020. The audit report must be submitted to TI Ukraine no later than June 5, 2020.*

*Due to the quarantine in Ukraine, there may be changes in the time frame. All changes will be discussed with the winner of the tender.

  1. Expected result of the tender: A service delivery agreement for audit will be signed with the winner of the tender. The services will be paid for from the Material Technical Assistance project (registration card 3564-14). VAT payers will be provided with all documents for adding the VAT amount to the tax credit.
  2. Application deadline: 6 p.m., May 4, 2020.
  3. Mandatory qualification requirements for the service provider: see Appendix 1.
  4. Technical requirements for the procurement item: see Appendix 2.
  5. The business proposal must include:
  • A completed business proposal form indicating the cost of the participant’s services (Appendix 3);
  • Information provided on compliance with the qualification criteria under Appendix 1:
  • Certificate of experience in conducting external independent financial audit in accordance as per item 1;
  • Other documents confirming the right to carry out the relevant activity provided for in item 2;
  1. Format of the business proposal: the business proposal is submitted in Ukrainian, in electronic form only, to the email address geraskin@ti-ukraine.org with the subject line “business proposal: financial audit”
  • The provided document scans must be legible and of high quality.
  • The participant is responsible for the accuracy of the information provided in their business proposal.
  • The validity period of the business proposal must be at least 60 days from the date of expiration of the offer submission period.
  • If the business proposal is received after the deadline for accepting business proposals has expired, this offer is not accepted for evaluation.
  1. The period for selection of the winner: within 5 (five) business days from the application deadline, with the possibility of extending this period if necessary to clarify the information contained in the business proposals in writing, by no more than 3 (three) business days.
  2. Tender results will be communicated to all participants no later than 5 (five) business days from the date of the decision on the winner by sending email notifications to the bidders. The results of the tender will be published on the organization’s website. The winner of the tender will be sent a corresponding email within 5 (five) business days from the moment when such a winner is selected.

TI Ukraine reserves the right to request additional materials or information from bidders confirming compliance with certain provisions of the business proposal.

Bidders agree that TI Ukraine does not return materials submitted at any stage of the tender.

 

For more information about the terms of reference and participation in the tender, you can contact Sergii Geraskin, CFO of TI Ukraine, in writing, at geraskin@ti-ukraine.org.

 

You can view our activities and reports for previous years on our website https://ti-ukraine.org/.

* Only business proposals that meet mandatory technical and qualification requirements can be evaluated according to the evaluation criteria. Failure to comply with at least one of the qualification and technical requirements of the tender announcement results in disqualification of this business proposal.

  1. Criteria for evaluation of the business proposals and their weighting coefficients:
No.Evaluation criterionWeighting coefficientDocuments confirming compliance with the criterion
1.Price60Business proposal
2.Experience in conducting external independent financial audit at enterprises, institutions, organizations of national, municipal or private ownership20Documents submitted as part of the business proposal
3.Experience in conducting external independent financial audit in civil society organizations20Documents submitted as part of the business proposal

 

Clarification of the calculation based on the evaluation criteria:

  1. 60 – the maximum weighting coefficient for the “price” criterion. The evaluation will be based on a comparison of the proposed prices submitted by participants. The highest score for this criterion will be awarded to the participant with the lowest price offer.

 

  1. 20 — the maximum weighting coefficient for the assessment criterion “experience of external independent financial audit at enterprises, institutions, organizations of state, municipal or private ownership.”
No.Level of experience in conducting external independent financial audit at enterprises, institutions, organizations of national, municipal or private ownershipMaximum possible score
1.Experience in conducting 1 to 3 audits10
2.Experience in conducting 4 to 6 audits15
3.Experience in conducting 7 to 10 audits20

 

  1. 20 — the maximum weighting coefficient for the assessment criterion “experience in conducting external independent financial audit in civil society organizations.”
No.Level of experience in conducting external independent financial audit in civil society organizationsMaximum possible score
1.Experience in conducting 1 to 3 audits10
2.Experience in conducting 4 to 6 audits15
3.Experience in conducting 7 to 10 audits20

 

 

 

 

Appendix 1

Mandatory qualification requirements for the service provider

 

No.Mandatory qualification requirements for the service providerDocuments confirming compliance with the qualification criteria
1.Experience in conducting external independent financial audit 1.1. A certificate drawn up in any form about the experience with conducting external independent financial audit at enterprises, institutions, organizations, including civil society organizations. You must specify the period for which the audit was conducted, the names of the relevant enterprises, institutions, organizations, and their current contact information.
2.Confirmation of the right to conduct business and audit activities under the law of Ukraine2.1. Scanned copy of the Charter (for legal entities) or access code to the scanned copy of the registration document of the Participant on the official website of the Ministry of Justice of Ukraine.

2.2. Certificate/statement of registration of the audit company, certificate of the right to engage in audit activities.

 

 

 

Appendix 2

Technical requirements for the procurement item

The goals and objectives of the audit

  1. Perform the audit of TI Ukraine’s activity in 2019, namely:
  • assess the compliance of the activities and accounting of TI Ukraine with the national legislation, including tax legislation and rules governing the activities of civil society organizations;
  • check the completeness and accuracy of the accounts reflected in the accounting system;
  • check the completeness and accuracy of source documents confirming expenses incurred in the accounting system of TI Ukraine, as well as their compliance with the national legislation;
  • check the correctness of registration and payment of wages, taxes and social contributions;
  • express an audit opinion on the reliability of TI Ukraine’s financial reporting for 2019;
  • provide an opinion on the actual financial position of TI Ukraine as of January 1, 2020 (based on the results of operational activities for year 2019);
  • assess TI Ukraine’s compliance with the national tax legislation and regulatory framework.
  1. Receive recommendations to address any identified weaknesses in operations, accounting and reporting of TI Ukraine. Recommendations should be presented in order of priority.

 

Audit procedure

  • The auditor plans, develops and performs all necessary audit procedures independently, assesses identified risks and deficiencies, based on their own experience and the International Standards on Auditing. The list of results is not limited to the list of works defined above, and the auditor may also highlight other issues.
  • TI Ukraine obliges to provide the auditor with access to all the information and documents relevant to its activities and financial reporting and to provide all the necessary explanations, including those in writing.

 

Expected outcome of works and services

  1. Upon completion of the audit, the auditor must provide a Management Letter containing the auditor’s conclusion and all the results of the audit. The Letter should contain details about the audit, the methodology used and the scope of the audit, as well as a list of all identified inconsistencies and shortcomings. The auditor should provide recommendations to address any identified deficiencies. Recommendations should be presented in order of priority.
  2. Upon completion of the audit, the auditor must provide an Audit Report, which will indicate the auditor’s opinion on the reliability of TI Ukraine financial reporting for the year.

 

Eligibility requirements

Legal entities and individual entrepreneurs with experience in conducting audits of non-profit institutions are invited to participate.

 

The auditor who will conduct the audit (an individual entrepreneur or an employee of the company) must have experience working with organizations in the non-profit sector.

 

An auditor is NOT ELIGIBLE if at least one of the following is true:

the auditor is related to members of TI Ukraine’s governing bodies;

the auditor a member of TI Ukraine’s governing bodies;

the auditor has performed financial audit of TI Ukraine’s activity two or more times.

 

 

 

Appendix 3

Business proposal form for the procurement of services

performing external independent financial audit.

 

 

Filled out by an employee of TI Ukraine
Date of receipt of the business proposal in TI UkraineRegistration number
“______” ________________ 2020

 

No. _________

 

Full name ___________________________________

 

signature ______________________________

 

 

BUSINESS PROPOSAL

 

Having read the announcement of the commercial procedure for the procurement of external independent financial audit services, we, the undersigned, offer the following services in accordance with the terms of the above tender announcement (hereinafter referred to as the “Announcement”).

1.     GENERAL INFORMATION ABOUT THE PARTICIPANT

1.Name of the participant:
2.Legal address:
3.Actual address:
4.Date of state registration:
5.Full name and position of the participant’s manager
6.Phone number of the participant’s manager:
7.Point of contact:
8.Point of contact’s phone number:
9.Point of contact’s email:
10.Website address:
11.Bank details:
12.Types of the participant’s economic activity according to the Certificate from the Unified State Register and / or the Charter of the legal entity:

 

  1. PRICE OFFER

No.Name of services provided by the technical requirements for the procurement itemCost of services, UAH
1.
2.
TOTAL WITHOUT VAT
TOTAL INCL. VAT

The price offer is drafted as of _______ _______________ , 2020.

(date)                 (month)

 

By signing and submitting this business proposal, [name of the participant] undertakes, if this offer is determined to be the winner by TI Ukraine:

  • not to make any changes to the proposal and adhere to the terms of this proposal for the period of validity of the offer, which is 60 consecutive days from the applcation date. This business proposal can be accepted by TI Ukraine at any time before the end of its validity period;
  • to sign a service agreement within 30 days from the date of acceptance of this business proposal with mandatory compliance with the provisions of the draft agreement;
  • to provide the necessary services in accordance with the terms of this business proposal;
  • to ensure the completeness and accuracy of execution of this business proposal pursuant to the form, prices/tariffs and within the time frame specified in this proposal and the Announcement, in particular in the technical requirements to the procurement item (Appendix 2 of this Announcement).

 

By signing and submitting this business proposal the participant agrees to the following:

  • the participant has read the Announcement published on the TI Ukraine website https://ti-ukraine.org/;
  • TI Ukraine is not obligated to accept the best-priced offer or any of the offers received. Until the moment when the purchase agreement is signed TI Ukraine does not have any obligations towards the participants of the tender or potential participants of the tender;
  • TI Ukraine reserves the right to reject the business proposals of all participants in the procurement procedure in case of their non-compliance;
  • this commercial offer and the Announcement are integral parts of the service delivery agreement to be concluded between TI Ukraine and the winner of the tender;
  • participation of affiliated persons in the tender or collusion of bidders is prohibited. If such facts are found, the results of the tender will be canceled or the contract with the relevant supplier will be terminated unilaterally ahead of the deadline with mandatory return of everything received by such a contractor under the contract and refund of the damages incurred by TI Ukraine;
  • to provide services only through one legal entity/ individual; the participant does not have the right to change the service provider during the term of the agreement. The exception is the reorganization of a legal entity / name change / merger.

 

We / I hereby confirm my / our legal, financial and other ability to fulfill the terms of this business proposal and Announcement, to enter into a contract for the purchase of services and the truthfulness of all information specified in the business proposal.

 

Authorized person to sign the commercial offer on behalf of [name of legal entity/SP] according to [Charter or power of attorney]:

 

 

_______ __________________ 2020

 

 

 

____________________                                  ___________

Full name, position                                                signature

                                                        Stamp/seal