2-Addendum 1- RFP for Audit Services 20260511-1005 for HCV dated 5-13-26.pdf

This is Addendum 1 to the Request for Proposals issued by the Housing Authority of Covington (HAC) in Hart County, Kentucky, for audit services of its Housing Choice Voucher (HCV) Program. The addendum modifies or clarifies requirements for qualified, licensed Independent Public Accounting (IPA) firms to provide comprehensive independent audits of the HCV program's annual financial statements, internal control systems, and compliance with applicable federal regulations. The audit services must adhere to Generally Accepted Auditing Standards (GAAS), Generally Accepted Government Auditing Standards (GAGAS), Title 2 U.S. Code of Federal Regulations Part 200 (Uniform Guidance), HUD requirements, and the Consolidated Audit Guide for Audits of HUD Programs. The RFP was issued on May 11, 2026, with proposals due by 2:00 p.m. on Wednesday, June 3, 2026, submitted electronically through the Bonfire e-Procurement portal. Questions must be submitted by 11:00 a.m. on May 20, 2026. The contract is structured as a firm fixed-price agreement for an initial one-year term from July 1, 2025 to June 30, 2026, with HAC holding sole discretion to extend for up to four additional one-year terms through June 30, 2030.

The RFP evaluation criteria consist of audit firm information and qualifications (10 points), project-specific staffing and qualifications (10 points), management plan and audit approach (15 points), competitive differentiators (10 points), professional references (10 points), required certifications (10 points), and pricing evaluation (35 points), with proposals evaluated on a best-value basis. Proposals must include itemized firm fixed costs for each fiscal year audit with detailed breakdowns by staff level (partner, senior manager, semi-senior, and junior). The successful contractor must carry professional liability insurance of at least $500,000 and commercial general liability insurance of at least $500,000. The contract is funded through HUD Housing Choice Voucher Program assistance. The HCV program currently manages 943 vouchers (including 123 project-based vouchers) with annual revenue of approximately $10.34 million and expenditures of approximately $8.95 million as of March 31, 2026. Payments will be made within 30 calendar days of invoice receipt following completion and acceptance of work, with no advance payments permitted. All contractors must comply with Section 3 provisions and federal civil rights requirements.