EOI NO: OLM/TRIPTI/14-15/04 Dated:16.08.2014
REQUEST FOR EXPRESSION OF INTEREST
(CONSULTING SERVICES– FIRMS SELECTION)
India
Odisha Livelihoods Mission
Credit No:Cr 44720-IN
Assignment Title: “For Hiring of Ten nos. Chartered Accountant Firms in Odisha based for Conducting External Audit of Grama Panchayata Level Federations (GPLFs) in TRIPTI Project”
Reference No: PP/Con/AFGPLF-C1
1. Introduction
Odisha Livelihoods Mission (OLM) is a registered society working under the Panchayati Raj Dept. of Govt. of Odisha for enhancing the socio-economic condition of the rural poor through promotion of sustainable livelihoods. The society is implementing the centrally sponsored scheme of Govt. of India called “National Rural Livelihoods Mission” (NRLM) and The World Bank assisted project TRIPTI. The TRIPTI project aim at enhancing social and economic status of the rural poor of all the blocks of Odisha through development of self-sustained and community managed institutions. The main focus of project activities will be on strengthening SHGs and promoting sustainable and inclusive federation at the GP level who. The project will also invest in building the capacity of public and private agencies for the promotion of a range of social and economic service delivery for these institutions of the poor.
The key components of the project are:
(1) Community institution building, which improves the capacity of the community based organizations of the poor and vulnerable in management of their own institutions and livelihood activities;
(2) Community Investment Fund, which helps households plan and meet their credit demands for household and investment plans;
(3) Livelihood Fund, which increase the share of the poor in the value chain leading to enhanced incomes; and
(4) Implementation support and monitoring, which supports effective project and knowledge management.
The project is implementing through 1020 Gramapanchayat Level Federations (GPLFs), covering More than 7,00,000 Rural House Holds, 8,369 Villages & 1020 G.Ps in the state of Orissa. The State Mission Management Unit (SMMU) is responsible for overall management, coordination and implementation of the project. The District Mission Management Unit (DMMU) based at the district head quarter shall be the nodal agency for project execution. At the block level, Block Mission Management Unit (BMMU) shall provide necessary techno managerial support services to SHG and its Federations for effective implementation of the project.
The federation of the SHGs at the Panchayat Level Federation (GPLF) is a single unit and cluster level forum (CLF) at village level consisting of 5-15 SHGs are the key stake holders of the project who will be responsible for planning, implementation & evaluation of the project activity from time to time with due support of Block Level Facilitation Team (BLFT).
The project presence is in ten districts such as Angul, Balasore, Bhadrak, Cuttack, Jajpur, jagatsinghpur, Kendrapara, Khurda, Nayagarh and Puri. The project is strengthening financially and non-financially to 1020 GPLFs in TRIPTI project area since 2010-11. GPLFs are enabled to manage and govern their institutions and its need of the hour to streamline their financial management system at institutional level. The project is planning to support GPLFs by hiring ten auditing firm for conducting statutory external audit of GPLFs.
The consulting services (“For Hiring of Ten Auditing Firms for Conducting External Audit of Grama Panchayata Level Federations (GPLFs) in TRIPTI Project”) include following.
2. Objectives of the Audit of GPLFs
The project has substantial number SHG-federation promoted at GP level in the project area and delegated them for substantial amount of resource management and responsibility relating to decision making and management of funds i,e appraisal, lending, loan recovery, fund provisioning etc. As GPLF is community managed institution and managing both financial and non-financial resources, establishing a system of annual audit is necessary for ensuring financial discipline, accountability and good governance.
(i)Enable the auditor to express a professional opinion on the annual financial statements of GPLF ; these would include receipt and payment , income and expenditure , balance sheet , bank reconciliation statement , statement of expenditure and utilization certificate of concern GPLF etc
(ii)Comment on the effectiveness of the overall financial management arrangements including the system of internal controls as documented in the fund management guideline, MOU’s and various guidelines for specific funds.
(iii)Specific assertion that the grants from the project have been used for intended purpose and bring to project’s attention any fraud-related issues and activities including the diversion of funds from intended purpose or mis-use of funds.
3. Scope:
In conducting the audit, compliance and adherence to the following aspects need to be assessed to ensure that:
(i)All funds (grants) received from the project have been used in accordance with the conditions of the relevant guidelines (CIF, Start up and IBF, livelihoods Fund, Community procurement guidelines) and only for the purposes for which the financing was provided.
(ii)all the required books of accounts as prescribed by the project and necessary supporting documents (vouchers, bills, receipt and distribution registers for food grains ), minute books, have been kept in respect of all project transactions & that clear synchronizations exists between accounting records, accounts books and the financial reports.
(iii)Decisions taken are supported by adequate recording of the decisions in the minute books of the GPLF.
(iv)The financial reports and Utilization certificates (UCs) submitted by the GPLF to the BMMU are in agreement with the books of accounts.
(v)Whether procurement has been carried out as per the community procurement guidelines as provided by project ,
(vi)adequate records (stock/ asset registers) are maintained to properly reflect the assets of the GPLF including details of cost, identification and location of assets and physical verifications of assets and whether these include farm implements procured under the Livelihood Grant (SRI/Seed Village/ producer groups).
(vii)Whether there are any delays in timeliness of the funds flow to SHGs
(viii)GPLF is monitoring the receipt of periodic reports and utilization certificates from the SHGs & systems to follow up on overdue loans and reports are adequate. Quantify (number and amount) of the funds transferred to the Community Institutions for which the reports and/or UCs are overdue.- not clear of the purpose
(ix)Balance in Bank accounts and with third parties (loans to SHGs etc) and fund transfers from the BLF/ Project are duly \reconciled.
(x)The preparation of audit report will be GPLF wise and in both Odiya and English language.
(xi)The auditor may prepare a management letter (GPLF wise and Zone wise) containing recommendations for improvements in internal control and other matters coming to the attention of the auditor during the audit examination, possibly including matters such as the following:
- observations on the accounting records, systems, and controls that were examined during the course of the audit
- deficiencies or weakness in systems and controls, together with specific recommendations for improvement
- compliance with financial covenants in the financing norms and policies
- matters that might have a significant impact on the implementation of the project
- any other matters that the auditor considers pertinent.
Auditing Zone
-There are ten auditing zone and each zone will covering one districts. One auditing firm will be assigned for one zone as mentioned below:
Zone / Blocks / No of GPLFsCuttack / Badamba, Narasingpur / 68
Angul / Angul sadar, Chhendipada, Palalahra, Atthamallik / 108
Nayagarh / Daspalla, Nuagoan, Odogoan, Ranapur / 105
Khurda / Chillika, Begunia, Balianta, Tangi / 70
Bhadrak / Bhadrak, Chandbali, Tihidi, Basudevpur / 122
Balasore / Balasore, jaleswar, Khaira, Bhograi / 117
Jagatsingpur / Erasma,Kujang, Tirtol and Balikuda / 109
Puri / Puri sadar, Astarang, Nimapara, Gop / 94
Kendrapara / Kendrapara, Mahakalpara, Pattamundai, Rajnagar / 99
Jajpur / Dasarathpur, Danagadi, Sukinda, Dharmasala / 113
10 districts / 38 Blocks / 1005 GPLFs
6. Invitation:
The Odisha Livelihoods Mission (OLM) now invites eligible consulting firms (“Consultants”) to indicate their interest in providing the Services. Interested Consultants should provide information demonstrating that they have the required qualifications and relevant experience to perform the Services in the prescribed format (Annexure-I)
6. Eligibility:
A. The auditing firm must be: -
(a)A charted accountant firm based at Odisha and on the approved panel of Comptroller Auditor General of India (CAG of India) for the year 2012-13.
(b)The firm should have a team comprises of
- one team leader/audit partner with at least 5 years of post qualification of charted accountant experience in external auditing
- At least 5 Auditors (inter CA) qualified in auditing,
- at least 10 audit support staff to assist auditors and field work and carry out the GPLF audit.
(c)Last 3 years average annual turnover of the firm should not be less than Rs.20.00 lacs.
(d)The auditing firm having audit experience of at least one externally aided project in Odisha will be preferable.
(e)The firm or any partners of the firm should not have been black listed by any Government or any other organization in respect of any assignment or behavior. Authorized signatory(s) of the firm to submit an undertaking to this effect.
(f)The firm should submit relevant documents duly attested by the authorized signatory, in support of the eligibility criteria given above.
(g)One firm can apply for multiple zone, if they have dedicated and multiple team to carry out the assignment. The proposed team shall be different for different zones.
B. Geographical Area and Selection Process. (Please refer Audit Scope)
- The firm can propose their EoIs for multiple zones. Expression of Interests is to be proposed separately for different zones. The agency shall be hired Zone wise.
A firm shall meet these minimum criteria otherwise their proposal shall not be considered for further evaluation.
7. "The attention of interested Consultants is drawn to paragraph 1.9 of the World Bank’sGuidelines: Selection and Employment of Consultants [under IBRD Loans and IDA Credits & Grants] by World Bank Borrowers“Consultants Selection Guidelines of the World Bank dated January 2011” (“Consultant Guidelines”), setting forth the World Bank’s policy on conflict of interest. " "The Guidelines are available at
8. Consultants may associate with other firms in the form of a joint venture or a sub consultancy to enhance their qualifications.
9. A Consultant will be selected in accordance with the Fixed Budget Selection (FBS) method set out in the Consultant Guidelines (World Bank Procurement Guidelines)
10.Further information can be obtained at the address below during office hours i.e. 10.00 to 17.00 hours and the details draft ToR can be seen and downloaded in OLM website
11. Expressions of interest in sealed envelope must be delivered in a written form to the address below (in person, or by post ) latest by 06.09.2014,17.00 Hours (IST).
State Mission Director,
Odisha Livelihoods Mission (OLM)
SIRD Campus, Unit-8, Bhubaneswar
Contact Person- Goutam Mohanty
PM (Procurement),0674-2560166
Sd/-
State Mission Director-cum-CEO
SIRD Campus, Unit VIII, Bhubaneswar 751012, Odisha
Tel: 0674 2560166, 2560126, Mail: