Audit Services QA.pdf

Audit Services RFP Questions and Answers

June 2021

1. For contract award consideration is OIG experience required?

The RFP states that staff should have experience with federal OIGs. While federal OIG experience is not required, it is strongly preferred.

2. Will remote working be allowed post-pandemic?

Remote work may be allowed in some circumstance to be determined by the OIG. Some travel will be required.

3. Does the OIG of LSC have a current provider for audit services? If yes, who?

This is a new procurement for the OIG. There is no incumbent.

4. Section III “Procurement Strategy”, page 2: How will LSC determine if a particular Task Order will be either Time and Material or Firm Fixed Price (FFP)? If the Task Order is going to be FFP, the auditor may not have enough information on the scope of a particular Task Order to assess if the suggested firm fixed price amount set by the OIG is reasonable without knowing what the job entails.

Sufficient information will be provided in each task order to enable the OIG and contractor to negotiate a firm fixed price. The OIG will work with the selected contractor to ensure that they are provided all necessary information.

5. Section III, “Procurement Strategy” page 2: It states that “the selected offeror will respond to each task order with a draft statement of work (SOW).” Does the OIG anticipate that only one offeror will be selected from this RFP response? In addition, will task orders be issued sequentially or will multiple task orders be issued with the same deliverable timelines at the same time?

Only one offeror will be selected in response to this RFP. The majority of task orders will be issued sequentially.

6. Section III “Procurement Strategy”, page 2: Will the OIG consider awarding this as a set-aside for small business?

The OIG does not award small business set-asides.

7. Section IV, A.2, “Statement of Work”, page 2: It states that for Performance, Operational and Compliance Audits “…audits should include financial, internal control and information technology (IT) objectives”. Does LSC OIG anticipate that the audits will cover the grant recipients’ IT systems?

To what extent will the grant recipients’ IT systems be audited?

Yes, audits may include objectives related to grant recipients’ IT systems. The objectives of individual audits will determine the extent and depth of review of IT systems.

8. Section V.B, “Project Management Plan”, page 5: The first contract year anticipates two Task Orders.

Does this mean multiple audits in the out years? With 18 TO’s over the remaining three years, it would mean about six Task Orders per year, at the maximum.

The OIG anticipates a minimum of two task orders the first year with the possibility of issuing as many as 5 task orders in the first year. As this is a new procurement, the OIG is providing its best estimate, and these numbers are subject to change.

9. Section V.B, “Project Management Plan” page 5: The RFP states that “the OIG recognizes that each audit is unique, and many variables impact the schedule, so the schedule outline will not be considered binding for any specific audit. But LSC asks that a formal schedule be provided for OIG approval for each audit.” With that in mind, will the “formal” schedule be considered binding?

A formal schedule would be considered binding, but we anticipate that a formal schedule will be required after each task order is issued. No formal schedule is expected without information provided to the contractor on type of audit, auditee, and other pertinent information. No formal schedule is required as a part of this proposal. Formal schedules will only be required once a contractor is selected and a task order issued. The contractor will be held accountable for deadlines in formal schedules for individual audits. The OIG will consider adjusting milestones in formal schedules if extenuating circumstances arise.

10. Section VI, “Proposal Instructions” page 6: Is it the government’s intent that pricing is included in the 15-page limitation for the proposal?

Pricing should not be included in the 15-page limit. Pricing should be submitted as a separate document. LSC OIG is a non-governmental entity.

11. Section VI.B, “Corporate Capabilities” “Audit Experience“ page 7: How much weight will be accorded to prior LSC and OIG experience?

In general, the relevance of past experience to the work required under this RFP will be an important factor in our evaluation of proposals. We will consider a number of variables in determining the relevance of past experience. Prior OIG and LSC experience are helpful, but other experience may also be pertinent. We will review all past experience and factor its relevance into our evaluation.

12. Section VI.B, “Corporate Capabilities” “Organization, Size, and Structure” page 6: Does reciprocity apply for DC licenses? Our Firm is licensed in Maryland, can we still bid on this engagement? We have partners licensed in Washington DC as individual practitioners.

We will consider bids from firms licensed by appropriate authorities in any state.

13. Is there an incumbent audit firm who is currently performing these services for the OIG LSC? If so, would you please identify the firm (or firms) and the OIG LSC’s expenditures for these services each of the past three years? If no incumbent exists, can the OIG LSC please provide the annual amount budgeted for the services outlined within the RFP?

There is no incumbent for this project. It is a new procurement for the OIG. The OIG is fully budgeted to procure all task orders ordered under this procurement at a level up to $300,000 per year.

14. Has the OIG LSC performed the audits described in the RFP in prior years? If so, what is the average duration of each audit by audit type (i.e., performance, operational, or compliance) from the audit start date until the final report’s issuance?

The OIG has conducted audits with objectives similar to some of those we anticipate on projects under this contract. The length of time each audit takes will depend, in part, on the complexity of objectives. We anticipate audits will take anywhere from two to six months.

15. Section F of the Certifications states “The individual signing certifies on behalf of the Offeror that the Offeror will not subcontract any portion of the work.” Will the OIG consider a response including a teaming arrangement between a prime contractor and subcontractor if the subcontractor is identified in the proposal?

The OIG will consider contractors with teaming arrangements so long as the subcontractor is identified and incorporated into staffing structures, project management (how the sub will be managed), resumes, past performance, and other relevant sections of the proposal.

16. Could the OIG LSC please confirm the intent to award to a single audit firm?

The OIG intends to award this contract to a single contractor. This is not a multiple award contract.

17. General: We understand that the Legal Services Corporation (LSC) is an independent 501(c)(3) nonprofit corporation. However, please confirm that this is a commercial item procurement governed by the Federal Acquisition Regulation (FAR). If yes, please also confirm this is a commercial item procurement to be procured under FAR Part 12.

The OIG is not subject to FAR requirements, and this procurement is not governed by the FAR.

18. General: We understand that this is not a General Services Administration (GSA) Schedule procurement. However, would the LSC Office of Inspector General (OIG) please confirm that offerors may propose GSA Multiple Award Schedule (MAS) labor categories and hourly rates to demonstrate price reasonableness?

Although the OIG is not a federal organization, we are permitted to receive GSA MAS labor categories, pricing, and supply schedules through Presidential executive order. We ask that all offerors provide GSA rates (or better) for price reasonableness.

19. III. Will the LSC OIG confirm that it intends to issue a single-award Blanket Purchase Agreement (BPA) with multiple Time and Material and/or Firm-Fixed Price-type task orders?

The OIG intends to issue a single award. The awardee will receive all task orders issued under the contract. All task orders will be either time and materials or firm fixed price.

20. V., B. and VI., B., 3. Section V., B.-D. describes requirements for a Project Management Plan, Communications Plan, and Quality Control Plan, and Section VI., B., 3. includes a requirement for these same three items to be submitted as part of the offeror’s proposal; however, the requirements differ slightly across Sections V. and VI.

Please confirm that offerors may provide these three items post-award in accordance with Section V. and that offerors may instead submit within their proposal submissions an overview of their project management, communications, and quality control approaches in accordance with Section

VI.

The OIG asks that offerors submit as a part of the proposal their general approach to project management, communications, and quality control in accordance with Section VI. Specific details for these items will be requested post award once the OIG has provided additional details for each task order.

21. VI. This section states: “The offeror’s proposal should be no more than 15 pages long (excluding resumes, cover page, and Table of Contents (TOC)) in no less than 10-point font.”

• Would the LSC OIG consider excluding item D (References) from the 15-page limit?

References are excluded from the 15-page count.

• Would the LSC OIG consider allowing tables/graphics to include a font size smaller than 10-point

(assuming it is still legible)?

Tables and graphics may have smaller than 10-point font.

• Would the LSC OIG consider excluding organizational charts from the 15-page limit?

Organizational charts may be attached as appendices and excluded from the 15-page limit.

• Please confirm a list of exhibits (i.e., tables and graphics) may be included as par of the Table of Contents and is excluded from page limitations.

Lists of exhibits are excluded from page limits and can be a part of the Table of Contents.

22. VI. Will the LSC OIG please allow excluded information to have a different numbering system (i.e., Roman Numerals) to indicate that it is excluded from page count?

Using a different numbering system for items excluded from the page count is acceptable.

23. IV., B., 1. This section states: “The organization should be an audit firm certified or licensed by DC Board of Accountancy (or other appropriate state licensing authority) that meets applicable requirements.”

Please confirm that: 1) the offeror may provide a copy of its Certified Public Accountant (CPA) license to meet this requirement and 2) this material is excluded from page limitations.

The offeror may provide a copy of its license, and this material may be attached as an appendix or separate document and in not included in the page limitations.

24. VI., C. Please confirm the price proposal does not have any page limitations.

The price proposal should be submitted separately from the technical approach. It is does not have any page limitations.

25. VI., C. Would the LSC OIG consider removing the requirement to provide any anticipated out-of-pocket expenses in the Pricing Volume? It is more appropriate to identify out-of-pocket expenses at the task order level, when specific Statements of Work are provided.

The OIG agrees that out-of-pocket expenses should not be included in the proposal and instead will be requested in task order pricing.

26. VI., C. This section states: “The Offeror should provide labor categories and hourly rates by professional classification for the first year and the following options years for duration of the contract (four years).”

Would the LSC OIG please clarify the term “professional classification?”

Professional classification refers to the labor categories.

27. VI., D. and VII., B.2, E. In Section VI., Section D (References) is included as separate section; however, in Section VII., Past Performance/References is included as part of the Corporate Experience (subsection E.). Please clarify if past performance will be evaluated as part of corporate experience or as a separate factor.

Past performance on similar audits with similar organizations will be evaluated as a separate factor.

General audit experience will be evaluated as a part of corporate experience.

28. VII., A. 3.; XV. Please confirm whether the offeror should include the completed certifications in the Technical Proposal or the Price Proposal. If included in the Technical Proposal, please confirm the certifications are excluded from page count.

Certifications can be included as an appendix to the technical or as a separate document. It is excluded from the page count.

29. VII., B. 3. The Evaluation Criteria states: “The OIG will evaluate the proposed hourly rates for each labor category for each option year for accuracy…” Please clarify what the LSC OIG means by “accuracy.”

Accuracy refers to ensuring that the pricing proposal addresses all aspects of price requested in the RFP and that pricing is free of errors.

30. Page 4, Section IV. Statement of Work, second paragraph states, “All audit documentation, including full and complete sets of workpapers, must be delivered to the OIG in full prior to issuance of draft audit reports.” Would LSC please confirm whether this requirement means that the contractor must submit all workpapers prior to issuance of the final report, or whether the contractor must provide the documentation prior to issuance of the discussion draft report and/or draft final report?

Workpapers should be submitted prior to the final draft report.

31. Page 6, Section VI. Proposal Instructions: Would LSC please clarify whether the following items are excluded from the 15-page limit?

• Cover letter – Excluded from the 15-page limit.

• Peer review report – Excluded from the 15-page limit.

• Certifications – Excluded from the 15-page limit.

32. Page 7, Section VI. Proposal Instructions, B.3, Project Management and Quality Control: Would LSC please clarify whether the project management plan included in the offeror’s proposal should contain a potential schedule outline for each audit type, as discussed in the instructions for the post-award project management plan on page 5, second paragraph?

The offeror should submit a potential schedule outline for each audit type.

33. Is there an incumbent contractor for these services? If so could you please provide the firm name, period of performance and number of audits by type of audit performed during their contract?

There is not an incumbent contractor. This is a new procurement.

34. General - Is this a new requirement?

This is a new requirement for the OIG.

35. RFP, Section VI - Proposal Instructions; Part C, Pricing (pg. 8): Would LSC please provide an estimated percentage of travel expected for this requirement?

Due to uncertainties surrounding COVID-19, we cannot provide a reasonable estimate of the percentage of travel.

36. RFP, Section IV - Statement of Work; Part A-C, Audits (pg. 2): What is the estimated dollar value of the contract - base plus all options years considered?

The OIG is fully budgeted to procure all task orders ordered under this procurement at a level up to $300,000 per year.

37. RFP, Section III - Procurement Strategy; pg. 4: "The OIG intends to enter into a one-year contract with three option years. During the contract period, the OIG will issue task orders for audit services as needs arise." Is it LSC's intention to issue a BPA for this award, as task orders will be issued as needs arise? If so, will this be a single or multiple award BPA?

The OIG is planning to enter into a single contract with the selected offeror and issue individual task orders for audit services that will result in agreed upon Statements of Work.”

38. RFP, Section IV - Statement of Work; Part A-C, Audits (pg. 2): Would LSC provide an estimated volume (in dollar amounts and/or number of transactions, etc.) of each audit type - performance, operational and compliance?

The OIG currently estimates that we will conduct 4 audits per year, and most will be performance audits.

39. RFP, Section IV - Statement of Work; Part A-C, Audits (pg. 2): How many grantees does LSC currently have?

LSC currently has 132 grantees.

40. RFP, Section VI - Proposal Instructions; Part B-4, Staff (pg. 7-8): Please provide the minimum acceptable experience and preferred certifications for positions other than the Partners or Supervisory Auditors.

The OIG would prefer the following certifications for staff: CIA, CPA, CISA, CFE. The team must collectively possess knowledge sufficient to perform the audits in accordance with GAGAS and AICPA standards. Staff must meet GAGAS CPE requirements.

41. RFP, Section VI - Proposal Instructions; Part B-4, Staff (pg. 7-8): How many resumes are required for submission in the offeror's response?

The OIG does not require a specific number of resumes, but the team should collectively possess the knowledge and skills to perform the work, per GAGAS. Normal team composition would usually be Partner, Manager, Senior Staff, Staff with perhaps a Director level or 2nd Partner for QA.

42. RFP, Section VI - Proposal Instructions; Part B-4, Staff (pg. 7-8): Is there a page limitation for resumes to include in the offeror's response?

Resumes do not have a page limit.

43. I am a Department of Defense certified Inspector General Representative, Certified Information Security Manager (CISM), and Certified Protection Professional (CPP). I have conducted DoD and US Army audits, investigations and inspections, and can provide performance evaluations as an Inspector General Representative. Will only “CPAs” or “Certified Internal Auditors” be considered for this RFP?

Relevant certifications will weigh heavily in our considerations. We may consider certifications other than those preferred.