TechnoServe South Africa invites your firm to participate in this competitive solicitation of bids to carry out a regular financial audit and report of the TechnoServe project – Technical Assistance Facility for the African Agriculture Fund (AAF) for the financial year (s) ending 2012 (project inception) to financial year end 2016 (to date).
Background and Project Purpose:
The Technical Assistance Facility (TAF), operated by TechnoServe, is a grant-based facility that supports capacity building for Africa Agriculture Fund’s (AAF) portfolio companies aiming to improve linkages between outgrowers and the companies through agriculture value chain projects in communities where the AAF invests. TAF also provides technical assistance to SME agribusinesses invested by the AAF SME sub-fund to help them access and utilize AAF SME Fund investments.
As the TAF Implementing Agency, TechnoServe works with the AAF fund manager teams (Phatisa and Databank) to identify technical assistance (TA) needs of the target groups, develop recommendations for TA support, identify and contract TA providers to deliver this support, and manage the delivery of the TA. It is estimated that TAF, working with AAF, will reach 20,000 smallholder farmers or micro-entrepreneurs in Africa.
The overall objective of the AAF TAF is to support the medium-term economic development of SMEs and small farmers operating in the agriculture in Africa. It will do this by enabling small businesses, small-scale farmers, farmers’ organizations and cooperatives to benefit, either directly or indirectly, from investment by AAF. The project is primarily funded by the EU, managed by IFAD and implemented by TechnoServe with additional contributions from the Italian Development
Corporation, United Nations Industrial Development Organization (UNIDO) and the Alliance for a Green Revolution in Africa (AGRA).
As the TAF Implementing Agency, TechnoServe can fund the following types of projects:
• The Agricultural Value Chain (AVC) component represents 80% of TA funds and incorporates a holistic value chain approach.
• The SME Component represents 20% of TA funds and is intended to enable small SME agribusinesses to attract and take full advantage of capital investments from the AAF SME Fund.
General Requirements & Scope of Work:
1. Objectives and scope of the audit
1.1. Financial Report: The first objective is to audit the financial statements of TAF as submitted to IFAD from financial year ending 2012 to date of financial year ending 2016 and to express an audit opinion on whether the financial report is in accordance with IFAD´s conditions for financial reporting as stipulated in the agreement between TAF and IFAD.
Attached as Annex 1.
The audit report should express opinion as to whether or not proper books of account have been kept by TAF and whether the spend report is in agreement with the books of account as well as agreed categories of spend. The auditor should assess if the financial reports of TAF fairly present income and expenditure relating to the project in conformity with the requirements of the donor (IFAD).
The report should also express opinion as to whether or not TAF has established and maintained an internal control structure, necessary to provide reasonable assurance that adopted policies and prescribed procedures are adhered to for the prevention of error and irregularities, including fraud and illegal acts.
1.2. Procurement: The second objective is to confirm whether TAF has adhered to the procurement guidelines as annexed to the agreement. Attached as annex 2. The auditor shall review a sample of procurements to see if procurement policies have been followed and to confirm if the procurements actually took place. This includes confirming suppliers prices are consistent as those in quotes and invoices, that payments to suppliers were actually issued and received, and confirming if goods or services were actually delivered per the documentation.
1.3. Compliance with donor regulations regarding tax: The third objective is to assess the status of TAF regarding VAT payments in South Africa and in turn compliance with the General Conditions of the EU Contribution Agreement that govern the overall TAF grant. We are seeking a professional opinion on including tax payments as ‘eligible’ expenditures against the grant if TAF is confirmed to not be in a position to reclaim taxes in South Africa and applicable regulations authorise coverage of taxes.
2. The reporting
The scope of the audit shall be stated in the report and the methodology used shall be presented.
The reporting shall be signed by the responsible auditor (not just the audit firm) and title.
The reporting from the auditor shall include an audit report report/management letter with audit findings and weaknesses identified during the audit process. The auditor shall make recommendations to address any weaknesses identified. The recommendations should be presented in priority.
Period of performance
The period of performance of any contract resulting from this solicitation is anticipated to begin on 3 April 2017 and conclude in one month by the end of April 2017. Proposals shall detail the estimated length of time required to accomplish all requirements, with detail on individual activity implementation dates, as referenced in the Scope of Work.
Specification of the Auditor
The auditor should:
Criteria for selection
The evaluation of each response to this RFP will be based on the requirements set out in the solicitation and any addenda thereto. At the sole discretion of TNS, the top proposals may be selected for follow-up questions or to provide an oral presentation.
Technical Proposal – 30%
Management Proposal – 30%
|Cost Proposal – 40%||10 total
TechnoServe reserves the right to award the contract to the organization whose proposal is deemed to be in the best interest of TNS and the Donor.
The Organization with the winning proposal will be notified in writing. Those who were not selected may or may not be notified, at the sole discretion of TNS.
Terms and Conditions
FORM/CONTENT OF RESPONSE
All proposals shall:
End of RFP