PART 1 - INVITATION TO QUOTE

Quotes are invited by the Australian Curriculum, Assessment and Reporting Authority (ACARA) for a contract to provide internal audit servicesbased on a Board approved internal audit program (as specified in this document).

Quotes are to be submitted on the basis that they conform toPart 2: Specifications and Part 4: Response forms.

Agency
Australian Curriculum, Assessment and Reporting Authority
Closing Date
5pm (Sydney time) Tuesday 25 November 2014
Contact Officers
For further information you can contact:
Peter Mathesonon ph: (02) 80983116or email
Quote Validity Period
Quotes must remain valid for a minimum period of 90 days after the Closing Date.
Lodgement of Quote:
Quotes submitted in response to this Invitation will be accepted by ACARA via Email
You are required to email the full quote as a PDF to with a CC th the following text in the message box ACARA RFQ –Internal audit services

PART 2 – SPECIFICATIONS

Introduction

The Australian Curriculum, Assessment and Reporting Authority (ACARA) was established under an Act of the Commonwealth Parliament (Australian Curriculum, Assessment and Reporting Authority Act 2008) on 8 December 2008 andbecame operational in mid-2009. It is subject to the requirements of the Public Governance Performance and Accountability Act 2013(PGPA Act) and is a Commonwealth inter-jurisdictional agency whoseactivities are jointly funded by Commonwealth, state and territory governments.

ACARA is tasked to deliver:

  • A national curriculum from Foundation to Year 12 in specified learning areas;
  • A national assessment program aligned to the national curriculum that measures students’ progress; and
  • A national data collection and reporting program that supports:
  • analysis, evaluation, research and resource allocation; and
  • accountability and reporting on schools and broader national achievement.

ACARA’s governance and advisory structure

ACARA receives directions from the Australian Government and state and territory ministers for education through the COAG Education Council and ACARA’s Charter and a two-year Letter of Expectation.

ACARA’s Charter sets out the Education Council’s high level priorities for ACARA, with the Letter of Expectation providing greater detail on deliverables expected by ministers within a two-year period. ACARA is supported by a number of advisory groups.

The ACARA Board comprises members nominated by Commonwealth, state and territory education ministers, as well as the national independent schools and Catholic school associations.

The Board’s Audit and Risk Committee comprises five to six members, including a minimum of three Board members.

Funding

The combined funding commitment of the Australian, state and territory governments to ACARA is $109.2 million approved overall for the four year period 2012-2016.ACARA has funding of approximately $25 million per year for 2014/15 and 2015/16, excluding specific project funding.

Location

ACARA is located in Sydney (Level 10, 255 Pitt Street, Sydney). Some staffare based in Melbourne and Perth.

Background

ACARA recognises that internal audit is an essential feature of best practice in both the public and private sectors. Internal audit is an integral part of the broad corporate governance framework that ACARA has establishedto manage risks and achieve corporate objectives. It is important that the position internal audit occupies in the governance framework and the role it plays is determined by the particular assurance needs of ACARA.

The internal auditor will be expected to ensure appropriate processes are in place to maintain compliance with relevant legislation and to establish best practice.With the introduction of the PGPA Act in July 2014, it is expected that the focus on risk management and internal controls will come into even sharper focus for Commonwealth entities and that this will be reflected in ACARA’s internal audit program.

ACARA requires a suitably qualified and experienced consultant to carry out internal audit serviceswith independence, objectivity and the highest professional standards and provide advice on how ACARA’s internal processes and procedures can be improved. The consultant will have regard to the ACARA’s values of respect, integrity, collaboration, professionalism and passion, and ACARA’s mission to improve the learning of all young Australians through world class school curriculum, assessment and reporting.

Purpose

The purpose of the internal audit is to assist ACARA to comply with its obligations under the PGPA Act, ACARA Act and other applicable legislation as well as to support it to perform its functions efficiently, effectively and economically. The consultant is responsible to ACARA, for the conduct of the internal audit program and will be required to provide information to the external auditors on request.

Scope of the Services

ACARA requires an internal audit service provider to assesswhether ACARA’s financial processes and governance arrangements comply with relevant legislation and are aligned with best practice in the public sector, and to support ACARA to achieve improvements.

The consultant will participate as an observer in the Board’s Audit and Risk Committeemeetings (normally four per year in Sydney) and provide independent advice to the Audit and Risk Committee on a range of matters associated with ACARA’s internal controls and policies, with a view to supporting appropriate and rigorous processes and procedures and identifying opportunities to improve performance and risk management.

The internal audit function will be conducted in accordance with the Audit and Risk Committee Terms of Reference and the agreed charter for internal audit, including a direct reporting relationship from the consultant to the Audit and Risk Committee.

As part of the internal audit services, the consultant will be required to:

  • Plan audit assignments for the period of engagement based on consultation with ACARA management and Audit and Risk Committee and assessment of risks; coverage should include (at minimum): financial controls, IT controls, fraud controls, work, health and safety, and review of risk and project management frameworks. Some capacity should be retained for internal audits to address issues that arise.
  • Review and update the internal audit plan to address changes agreed with keystakeholders, review the quality and performance of audit assignments completed (including developing a new internal audit plan, in consultation with key stakeholders, extending beyond June 2015).
  • Advise the Audit and Risk Committee and ACARA management of any systemic patterns or trends arising from internal audit work.

Deliverables

The consultant will undertake a number of audits, as agreed between ACARA and the consultant and documented atAppendix A in relation to 2014-2015, and provide the associated services. A similar plan would be developed by the consultant for a three year period (2016-2018) for consultation/approval by ACARA and implemented by the consultant for 2015-16.

In relation to each internal audit, the Consultant will be required to:

  • Develop and agree the details and dimensions of the audit assignment with ACARA (management and Audit and Risk Committee) via terms of reference for the audit
  • Carry out the requirements of the audit by undertaking field work, reviewing relevant better practice and legislative requirements, documenting findings
  • Provide progressive review of progress and work papers
  • Progressively discuss findings and recommendations with management to ensure that there are no major factual disputes at the conclusion of the audit
  • Conduct an exit meeting with ACARA to discuss the findings and recommendations of the audit and obtain and consider management feedback on each recommendation prior to a draft report being forwarded for comment.
  • Conduct a review of the draft report with ACARA
  • Issue a draft report for management comment to ensure that all items are agreed and have appropriate timeframes and responsibilities assigned
  • Review management comments and responses prior to issuing to the Audit and Risk Committee
  • Issue a Final Report in a user friendly format with an Executive Summary and table of recommendations.
  • Present findings to ACARA’s Audit and Risk Committee.

Quality expectations

Reports must be quality assured by the consultant. Reports must be provided to ACARA in accordance with the standards and format outlined in the Internal Audit Quote provided to ACARA by the consultant.

Timing

This work will commence in December 2014 and conclude by 30 June 2016, with ACARA having an option (to be exercised at its discretion) to extend for a further two years.

PART 3 – EVALUATION PROCESS & CRITERIA

3.1EVALUATION PROCESS

The evaluation process will involve an assessment of quotes received against the criteria listed below. ACARA reserves the right to short-list during the evaluation process using the evaluation criteria contained below. The evaluation process may also involve discussions, reference, financial and corporate checks.

3.2EVALUATION CRITERIA

Offers received will be evaluated against the following criteria (if applicable). The weightings ascribed to each criterion will be applied consistently.

  • Ability to meet the Objectives/Scope outlined in the Specification
  • Reputation and Experience (track record, competence, capacity to deliver)
  • Ability to meet deadlines and conduct activities in a timely fashion
  • Value for money.

PART 4 – RESPONSE FORMS

(The Applicant must complete all of the following Response Forms as part of its Quote)

Response Form 4.1 - Applicant Authorisation and Certification

Information Required / Details
Name of applicant:
  • if applicant is a company – specify the full company name;
  • if applicant is a trust – specify the names of each trustee of the trust;
  • if applicant trades under a business name, specify the registered business name; or
  • if applicant is an individual or partnership, specify the full name of each individual or partner.

Applicant’s ACN (if applicable)
Applicant’s ABN / OR if no ABN – have you submitted a ‘Statement by a supplier – Reason for not quoting an Australian Business Number (ABN) to an enterprise’ form?
YesNo
State or Territory in which Business / Corporation is registered (*)
Name of Holding Company / Corporate Group (*)
Company Profile / As part of the quote process, each applicant must include a copy of their Company’s Profile.
Does your quote include your Company’s Profile:
YesNo
Is the applicant registered for GST? / YesNo
Postal Address
Street Address
Contact Name
Contact Phone
Contact E-mail
Contact Fax
Is it proposed to sub-contract any part of the Goods and/or Services?
If “YES”, please specify full name and address of each sub-contractor and their relevant experience and expertise in relation to the offered Goods and/or Services. / YesNo
Are Acceptances and Orders to be directed to the above Contact Name and details?
If ‘NO”, please insert alternative details / YesNo

(*)If an applicant is an individual then the relevant sections identified by (*) will not be applicable.

Authorisation, Certification and Execution by an applicant (company) (*)
The Director and Director/Secretary named below certify that in submitting this quote on behalf of the applicant:
(a)they have read, understood and complied with the requirements of this Invitation;
(b)the enclosed Response Forms are a true and accurate account of their quote.
Signed for and on behalf of
……………………………………………………………………………….
[insert applicant’s name]
…………………………………………………………….…………..…….
[insert applicant’s ACN]
…………………………………………………………….…………..…….
[insert applicant’s ABN]
in accordance with s.127 of the Corporations Act 2001 (Cth)
this ……………….. day of ……………………..………………. 2…….
by
………………………………………………………..…………………….
[insert full name of Director]
……………………………………………………………………………….
(signature of Director)
………………………………………………………..…………………….
[insert full name of Director/Secretary]
……………………………………………………………………………….
(signature of Director/Secretary)

Where an attorney executes this Deed on behalf of an applicant, the form of execution must indicate the source of this authority and such authority must be in the form of a Deed and a certified copy thereof provided to the Agency.

OR

Authorisation, Certification and Execution by an applicant (individual or partnership)
I, the Offeror named below certify that in submitting this quote:
(a)I have read, understood and complied with the requirements of this Invitation;
(b)the enclosed Response Forms are a true and accurate account of my quote
Signed for and on behalf of
……………………………………………………………………………….
[insert applicant’s name]
…………………………………………………………….…………..…….
[insert applicant’s ABN]
this ……………….. day of ……………………..………………. 2…….
by
………………………………………………………..…………………….
[insert full name of applicant]
……………………………………………………………………………….
(signature of applicant)
in the presence of
………………………………………………………………………….
[insert full name of witness]
……………………………………………………………………………….
(signature of witness)

(*)If an applicant is an individual then the relevant sections identified by (*) will not be applicable.

Response Form 4.2 - Services including Price

The Services offered by the applicant are as follows:

Description / Qty / Unit Price
(Excl. GST) / Sub-total Price
(Excl. GST) / Price
(GST component only) / Total Price
(Incl. GST)
List any delivery and installation details and charges applicable to this quote.
List any taxes, duties or other charges and their details associated with each Good and/or Service applicable to this quote.
TOTAL QUOTE PRICE / $

Other Pricing Issues:

Applicants must specify each and every condition that may affect the pricing offered in this Response Form.

Please specify any other price that may be charged to the Agency for the supply of the Services under this Invitation.

For each price, specify:

  • the nature of the price;
  • the circumstances under which it will be incurred; and total price (including GST).

APPENDIX A

ACARA: Internal Audit Plans 2012/13 to 2014/15

The table below provides the summary of the internal audit reviews for 2012/13, 2013/14 and those planned for 2014/15.

2012/13

Review / Review type
Financial Controls. A review of the core financial internal control framework including reconciliations, processes, segregation of duties, policies and procedures. / Compliance
Fraud & Corruption Awareness & Prevention. Review adequacy of the Fraud Control Framework including Fraud Risk Assessment, Fraud Control Plan and Awareness and Prevention activities. Conduct a Fraud Awareness Survey of staff. / Compliance
IT Framework General Controls. Review adequacy of the control environment / Operational
CEO Sponsored Review. Effectiveness of the approach to business improvement, change management and continuous improvement / Operational
Contract Management Review of the procurement practices with a focus on contract management including compliance with government requirements and better practice / Specific risk
Risk Management. Follow up review on previous audit to assess if ACARA’s risk management framework is embedded, effective and comprehensive including assessing risk awareness and staff support for risk identification and mitigation. / Specific risk

2013/14

Review / Review type
FinancialControls.Areviewofthecorefinancialinternalcontrolframeworkincludingreconciliations,processes,segregationofduties,policiesandprocedures. / Compliance
WorkplaceHealthSafetyFramework.EnsurepolicyandprocedurescomplywithWHSlegislationandareoperatingeffectively. / Compliance
ProjectManagement.Reviewoftheeffectivenessoftheprojectmanagement frameworkinplaceincludingtraining,utilisationofPsodaprojectmanagementsoftwareandappropriateProjectRiskManagement.IncludingeffectivenessofframeworkforscalingtoACARAsmajorandminorprojects. / Operational
CEOSponsoredReview.Effectivenessofthecurrentorganisationalstructurein supportoftheachievementofACARAsobjectives / Operational
HRPerformanceManagement/Recognition.AssessmentoftheextenttowhichHRframeworksupportsstaffrequirements,andensuresalignmentofstaffandorganisationalobjectives. / Operational
ManagementReporting.ReviewofManagementreportingacrossACARAtoassessitseffectivenessinassistingManagementwithperformancereviewanddecisionmaking. / Operational
DataQualityandprotectionframework.Reviewofthedataqualityandsecurity measuresaroundACARAscoreoutputsonMySchooltoassesswhetherassociatedrisksareeffectivelymitigated. / SpecificRisks

2014/15

Review / Review type
Financial Controls. A review of the core financial internal control framework including reconciliations, processes, segregation of duties, policies and procedures. / Compliance
Records Management. A review to ensure compliance with National Archives Australia requirements as well as considering better practice. Includes follow up on recommendations from 2011/12 review on this area / Compliance
BCP & ITDRP Preparedness. A review of the adequacy of the BCP & ITDRP against requirements and better practice including a scenario test workshop. / Operational / Compliance
CEO Sponsored Review. Effectiveness of the Planning process to support the achievement of ACARA’s objectives and to embrace future opportunities / Operational
Privacy and Data Security compliance Ensure that ACARA has an appropriate control framework to ensure compliance with relevant Privacy and Data Security regulations. / Compliance / Operational
HR & Performance Management/Recognition. Assessment of the extent to which HR framework supports staff requirements, and ensures alignment of staff and organisational objectives. (Held over from 2013/14) / Operational