F.42350/2015-KVS (RO)/TSK/Admn/ Date: 12.04.2016
RFP – Outsourcing of Internal Audit of Kendriya Vidyalayas under KVS Tinsukia Region
1. GENERAL
(i) The RFP is being uploaded on KVS Tinsukia Regional office’s webs i t e (www. kvsrotinsukia.org to be responded by accounting/audit firms who are having presence in and around Tinsukia and having on its payroll at least 10 auditors /audit assistants whose educational background and relatable activities is in relation to audit & accounting.
(ii) The last date for submission of Request For Proposal is 18.04.2016 and should reach KVS Tinsukia Regional office located in the premises of Kendriya Vidyalaya OIL Campus Duliajan, PO Duliajan Dist: Dibrugarh PIN: 786 602
(iii) No proposals would be accepted after the above deadline.
(iv) The Bids will be opened on 18.04.2016 at 11.00 am. The bidder may, if so desire, depute their representative at the time of opening of Technical Bids.
(v) Kendriya Vidyalaya Sangathan Tinsukia region reserves the right to accept any proposal or reject all the proposals, without assigning any reasons whatsoever. The Kendriya Vidyalaya Sangathan’s decision in this regard shall be final and binding.
2. Submission and Evaluation of Proposals
(i) The Proposal shall be submitted duly signed by the authorized signatory with the seal of the Accounting /Audit Firm in two separate envelopes and to be delivered at the address of Kendriya Vidyalaya Sangathan Tinsukia Regional Office given on front page of the bid document.
Part I containing the Technical and Qualification aspects hereinafter referred to as ‘Technical Proposal’And
Part II covering only the price schedules hereinafter referred to as the ‘Price Proposal’.
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(ii) Each envelope must be sealed separately and super-scribed with the name of the Project “RFP for Internal Audit of Kendriya Vidyalayas functional under KVS Tinsukia Region” and a statement “DO NOT OPEN BEFORE 18.04.2016 1100 Hrs”. ‘Technical Proposal’ or ‘Price Proposal’ should be written on the envelope.
(iii) All documents pertaining to Technical Proposal Envelope should be completed and duly signed by the authorized signatory with the seal of the bidder. These are listed below:
a.) Proposal Form (Form TB1).
b.) Accounting & Audit firm’s profile (Form TB2).
c.) Curriculum- vitae of persons proposed to be associated with the assignment of Internal Auditing work of Kendriya Vidyalayas (Form TB3).
d.) Non- Disclosure Agreement (Form TB4)
e.) Document verification checklist for Technical Proposal (Form TB5).
(iv) All documents pertaining to Price Proposal Envelope should be completed and duly signed by the authorized signatory with the seal of the bidder. These are listed below:
a.) Price Proposal Undertaking (Form PB1).
b.) Price Proposal-Payment Terms (Form PB2).
c.) Contract Form (Form PB3)
d.) Proficiency Assessment Form – SUMMARY (Form PB4)
e.) Proficiency Assessment Computation Worksheet (Form PB4-I)
f.) Methodology to be adopted for Internal auditing of Kendriya Vidyalayas by the firm (Form PB4-II)
g.) Accounting & Audit firm’s profile in detail (Form PB4-III)
h.) Preparation of Internal Audit related Reports/Documents and
i.) Expertise/skills available (Form PB4 - IV)
j.) Document verification checklist for Price Bid (Form P5).
(v) A Technical Proposal containing any price information will be summarily rejected.
(vi) Kendriya Vidyalaya Sangathan Tinsukia Regional Office will examine the proposal submitted by the bidders to determine whether they are complete, the documents have been properly signed, required information has been provided and the Bids are generally in order.
(vii) Kendriya Vidyalaya Sangathan Tinsukia Regional Office reserves the right to evaluate the proposals either by itself and/or in co-ordination with and/or by engaging any external or internal consultants/experts of the domain for which the bids are called for.
(viii) Kendriya Vidyalaya Sangathan Tinsukia Regional Office will evaluate proposals of the bidders as per the contents of the response to the Request for Proposal submitted by them. The bidders are to submit detailed information that would help KVS Tinsukia region in evaluation of bids.
(ix) During evaluation, Kendriya Vidyalaya Sangathan Regional Office Tinsukia, at its discretion, may ask the bidder for clarification of its offer. The request for clarification and the response shall be in writing, and no change in the substance of the submission shall be sought, offered, or permitted. Kendriya Vidyalaya Sangathan Tinsukia Regional Office reserves the right to verify the facts mentioned in the offer with respect to the information given by the bidder.
(x) After evaluation of technical bid as per procedure in Para XVI-A of Annexure-A, the price bids of only those bidders who are short-listed by Kendriya Vidyalaya Sangathan Tinsukia Regional Office would be opened. Intimation of short listing would be given only to the short listed bidders.
(xi) Kendriya Vidyalaya Sangathan Tinsukia Regional Office would neither be bound to offer any reasons for such acceptance/ rejection nor entertain any correspondence with the technically rejected bidders in this matter.
(xii) The Request for Proposal would neither bind Kendriya Vidyalaya Sangathan Tinsukia Regional Office in any contract nor is it an offer of a contract. The details of services to be offered and documentation thereof would be undertaken with the selected bidder.
(xiii) Kendriya Vidyalaya Sangathan Tinsukia Regional Office reserves the right to terminate the assignment, if the assignment is not proceeding in accordance with the terms of contract or to the satisfaction of Kendriya Vidyalaya Sangathan Regional Office Tinsukia, by issuing a notice of one month. The decision for such termination shall be taken by the Deputy Commissioner Kendriya Vidyalaya Sangathan Tinsukia Regional Office functional in the campus of Kendriya Vidyalaya OIL Duliajan on the recommendation of Finance Officer or officer Incharge for Accounts Department at KVS RO Tinsukia.
(xiv) Kendriya Vidyalaya Sangathan Regional Office Tinsukia reserves the right to modify / suggest the assessment methodology as stated in proposal (RFP).
(xv) Kendriya Vidyalaya Sangathan Tinsukia Regional Office may at its discretion modify any marks stated by the bidder after scrutiny of documents and/or after ascertaining the factual position.
(xvi) The bidder selected for the assignment should adhere to the quality standards and regulatory directions of Accounting and auditing norms of Kendriya Vidyalaya Sangathan existing and changing from time to time within the frame of contract period. All the costs shall be denominated in Indian Rupees only.
(xvii) The engagement is for one year term with the option to renew the engagement annually for a further a period of two years on the same terms & conditions.
3. Contact Person and Communication Address:
The Deputy Commissioner
Kendriya Vidyalaya Sangathan
Tinsukia Region
OIL Campus of Kendriya Vidyalaya Duliajan
P.O. Duliajan (P.O & P.S)
Dibrugarh (Dist.)
E-mail id:
Phone no: 0374-2800031/56
Fax: 0374-2800091
ANNEXURE –A
REQUIREMENTS, TERMS AND CONDITIONS
I) OBJECTIVE
(1.) The Deputy Commissioner Kendriya Vidyalaya Sangathan Tinsukia Region seeks to invite proposals from public accounting firms / Audit Firms for carrying out Internal Audit of 42 Kendriya Vidyalayas functional under Kendriya Vidyalaya Sangathan Tinsukia Region. This may also be extended at the discretion Kendriya Vidyalaya Sangathan Tinsukia Region to any new offices opened under the administrative control of The Deputy Commissioner Kendriya Vidyalaya Sangathan Tinsukia Region during the duration of the engagement.
(2.) The engagement is with the Deputy Commissioner Kendriya Vidyalaya Sangathan Tinsukia Region but the Principal of concerned Kendriya Vidyalaya will provide logistical and administrative support to Accounting & Auditing Firm. However, the operational matters with regard to internal audit shall be routed through the Deputy Commissioner KVS RO Tinsukia Assam
II) SCOPE
(3.) The work involves carrying out internal audit of 42 Kendriya Vidyalayas functional under Kendriya Vidyalaya Sangathan Tinsukia Region for compliance with regulatory guidelines of Kendriya Vidyalaya Sangathan (KVS) policies & procedures laid down from time to time.
(4.) The scope of audit shall be as detailed in Kendriya Vidyalaya Sangathan’s in conformity with (i) Scope of Audit in KVs’ in reference to the policies and procedures laid down in KVS Accounts Code and also amendments issued from time to time by KVS. Indicative scope of audit is provided in Annexure-B.
(5.) Internal Audit is to be carried out based on a detailed Risk assessment to be conducted by the internal audit firm. An Internal Audit plan is to be prepared annually by the internal audit firm in liaison with Kendriya Vidyalaya Sangathan Tinsukia Regional Office for timely completion of internal audit and to be submitted for approval of the Deputy Commissioner Kendriya Vidyalaya Sangathan Tinsukia region.
(6.) It would also include any another audit areas as may be intimated by Kendriya Vidyalaya Sangathan Tinsukia Regional Office from time to time. Kendriya Vidyalaya Sangathan Tinsukia Regional Office reserves the right to designate certain activities as High Risk requiring an annual review irrespective of financial materiality of such activities.
(7.) Audit findings/ observations are to be discussed with the Principals of concerned Kendriya Vidyalayas in the audit debrief/exit meeting. Prior to completing the audit report, Draft audit reports are to be submitted to the Deputy Commissioner Kendriya Vidyalaya Sangathan Tinsukia region for taking action /rectification. The audit reports will be finalized after discussions with the Deputy Commissioner Kendriya Vidyalaya Sangathan Tinsukia region and Finance Officer/Assistant Commissioner / officer Incharge for Accounts Department and after incorporating the suggested management action plans, etc.
(8.) Audit industry best practices need not be discussed in the audit reports nor make such suggestive except making explicit mention of the kind of audit objection / observation made by the team. However, suggestion of such best practices may be forwarded to the Deputy Commissioner KVS RO Tinsukia separately during the initial stages of audit work for their examination.
(9.) Signed final audit report is to be submitted to the Deputy Commissioner KVS RO Tinsukia for oversight, within 15 days of the completion of the audit, in a mutually agreed format. Only after submission of final reports to the Deputy Commissioner KVS RO Tinsukia bills for the respective audit areas should be submitted to the Deputy Commissioner KVS RO Tinsukia for payment.
III) SUBMISSION OF PROPOSAL
(10.) The Part-I i.e. “Technical Proposal” should contain the following minimum information.
o Internal audit methodology proposed to be adopted.
o Deliverables / things that can be provided by the firm to KVS for holding internal audit of KV units functional under KVS Tinsukia region
o Terms of Internal Audit Contract.
o Bio-data of key Internal Audit personnel, who shall be engaged in the audit, especially relating to School Fund auditing and VVN auditing. Such details for the back-up officials who shall be taking over the audit work of Internal Audit key personnel in their absence should also be made available.\
o Sample audit reports.
o Latest audited financials of Internal Audit Firm.
o Names of Organizations which have availed services of the firm
o Names of Organizations which have stopped availing services of Internal Audit Firm over the past three years and reasons therefore.
(11.) The Part-II i.e. Price Proposal should contain the following minimum information.
o Most competitive rate for audit assignment. Internal Audit Firm is expected to quote an all- inclusive (inclusive of travel and all other overhead expenses), which remains at the time of awarding the contract. Cost over runs is not permitted. However Cost over runs due to circumstances beyond control of human being prevailing at KV unit whose internal audit was scheduled such cost over runs requires the approval of the Deputy Commissioner KVS RO Tinsukia and is subject to proper justification and certification of concerned officers/ officials part of the circumstances which have been responsible for cost over runs.
IV). ELIGIBILITY
(1.) The Accounting / Audit firm should have been in existence for at least three years as on 12.04.2016 (in case of mergers/acquisition/restructuring or name change, the date of establishment of the earlier/original Partnership Firm/Limited Company can be taken in to account)
(2.) Should have adequate financial standing, market reputation, competent personnel and experience to undertake the assignment of auditing Kendriya Vidyalayas.
(3.) Should have knowledge and experience of auditing educational institutions or relatable familiarity with accounting procedures followed in Kendriya Vidyalayas.
(4.) Must have been profitable since past 3 years in succession (as per availability of financial results in documents).
(5.) Should have hands on experience in conducting Internal Audit educational institutions / Kendriya Vidyalayas / organizations with systems akin to Kendriya Vidyalayas. Experience of working on similar projects will be an added consideration.
(6.) Should provide the team leader who is personally involved in at least one similar assignment.
(7.) Should have a pool of minimum 10 professionals with accreditation like Certified Public Accountants/ working as chartered accountants.
(8.) The bidder should not have been involved in activity in the capacity of service provider or advisor for any Kendriya Vidyalaya, which could be construed as having conflict of interest with this engagement of Internal Audit and hiding such involvement would amount to criminal conspiracy and will be dealt as per norms and law of land.
(9.) The bidder must give detailed information/records substantiating the above requirements. Any bid not containing the above information will be rejected.
V) SCHEDULE FOR COMPLETION OF ACTIVITY
(1.) Each final audit report must have an original document signed by the audit firm delivered to the Deputy Commissioner KVS RO Tinsukia, which will be the KVS Tinsukia Region’s official record that the internal audit has been performed.
(2.) Internal Audit Firm is at liberty to send electronic copies (PDF & Word and any other format decided by KVS Tinsukia region from time to time) of the report to the Deputy Commissioner KVS RO Tinsukia.
(3.) Initial Audit Plan; duly supported by Risk Assessment matrix; should be submitted within 45 days of the award of assignment. The Internal Audit Firm can continue to follow the existing Audit Plan of KVS Tinsukia region till the new Plan is approved by the Deputy Commissioner KVS RO Tinsukia. The audit reports are required to be submitted within 15 days of the completion of the month as per the existing approved Audit Schedule/ cycle.