PWS Rev 2 amr edit 2-29-2012.doc

Attachment #8 Task Order #1 Performance Work Statement

Internal Controls Support Services

United States Department of Treasury

Treasury Executive Office for Asset Forfeiture

LIST OF ACRONYMS

The acronyms listed below will be used when referring to the corresponding terms:

TEOAF

Treasury Executive Office for Asset Forfeiture

TFF

Treasury Forfeiture Fund

NFC

National Finance Center

IRS-CI

Internal Revenue Service – Criminal Investigation

USSS

United States Secret Service

ICE

Immigration and Customs Enforcement

HSI

Homeland Security Investigations

CBP

Customs and Border Protection

USCG

United States Coast Guard

TTB

Trade and Tax Bureau

SAP

TEOAF’s Financial System that is owned and managed by CBP

SEACATS

Seized Asset and Cast Tracking System

AFTRAK

Asset Forfeiture Tracking and Retrieval System

FASTRAK

Forfeited Asset and Seized Property Tracking System

CO

Contracting Officer

COR

Contracting Officer’s Representative

CSF

Contractor Storage Facilities

GFP

Government Furnished Property

GFE

Government Furnished Equipment

DEFINITIONS

SEACATS - the single repository for all inventory and case information related to seized and forfeited property, fines, penalties, and liquidated damages for CBP.

AFTRAK – an information system designed to track assets seized for forfeiture, evidence, and abandonment. The application is used as a management tool internally (locally and nationally) and for external customers of IRS-CI.

FASTRAK – an information system designed to track assets seized for forfeiture, evidence, and abandonment for USSS.

LOCAL TRAVEL – any travel within a 50-mile radius of the TEOAF headquarters.

ROLL FORWARD – TEOAF’s annual accounting records used to show all currency and property that is on hand with the government or with one of the property contractors. It is broken out by TFF agency and details what the status is of each property at the time of the fiscal year-end rolling forward to the beginning of the next fiscal year. It contains multiple exhibits relating to specific types of property and their status.

EXHIBIT 5 – Roll Forward exhibit that shows all seized real property on hand with our TFF participating agencies or being held with one of our property contractors.

NATIONAL FINANCE CENTER - The National Finance Center (NFC) is part of Customs and Border Protection. NFC is the financial executor of the Treasury Forfeiture Fund. In this role, it issues all payments approved by TEOAF, and also maintains our financial statements and records.

GENERAL PROPERTY CONTRACTING OFFICER REPRESENTATIVE (COR) – This individual is the designated COR for the TEOAF general property and is responsible for technical monitoring, inspection, approval of testing, and other functions of a technical nature on Real Property contract.

REAL PROPERTY COR – This individual is the designated COR for the TEOAF Real Property contract and is responsible for technical monitoring, inspection, approval of testing, and other functions of a technical nature on Real Property contract.

SECTION C—DESCRIPTIONS/SPECIFICATIONS/STATEMENT OF WORK

C.1 BACKGROUND

In furtherance of the TEOAF mission to affirmatively influence the consistent and strategic use of asset forfeiture by the Treasury Forfeiture Fund (TFF) participating law enforcement bureaus , to disrupt and dismantle criminal enterprises. The TFF is administered by TEOAF. To accomplish its mission, among other things, TEOAF provides financial resources to the TFF participating agencies.

The TEOAF has a robust internal control program that is in compliance with the laws and regulations governing the TFF in accomplishment of its mission. Federal employees are in need of support by contractors with the necessary expertise and personnel skilled in performing program reviews, process reviews, invoice reviews, analysis of financial information, and the documentation of financial transaction and programmatic processes. TEOAF will make all final regulatory, policy, and interpretive decisions resulting from contractor-provided technical support under this task order, including contractor-provided recommendations.

The TEOAF program is supported by two property management contracts, financial management, and strategic planning components.

The General Property (GP) Contract provides property management and disposition services to support (a) the seizure and forfeiture program for TEOAF and (b) blocked general property of the United States Department of the Treasury, Office of Foreign Assets Control (OFAC). The contract supports Departmental Office and the components within Department of Homeland Security that participate in the TFF by providing services for the receipt, possession, custody, management, and disposition of seized, blocked, or forfeited personal property of OFAC, TEOAF, and all governmental entities that participate in the TFF. The Contractor also uses subcontractors and vendors to meet the requirements set forth in the contract.

The Real Property (RP) Contract provides property management and support the law enforcement operations of TEOAF’s participating agencies. The contractor shall provide the services required throughout the 50 United States and the District of Columbia, Puerto Rico and all U.S. territories. Requirement of this contract are, but not limited to: Pre-seizure analysis of real property; the receipt, custody, security, and appraisal of real property; identifying, recording, reporting, and updating of all seizure revenue and costs in the Government system of record; and meeting the risk management requirements.

Financial Management and Operations Section supports various aspects of the TEOAF program to include budget formulation and execution; revenue processing; processing requests to share federally forfeited property with state, local, federal, and foreign law enforcement agencies; and ensuring that the agency allocations that are accurate and consistent with the TEOAF financial plan.

Strategic Planning and Analysis Section is responsible for numerous facets of the TEOAF program such as analysis of TFF member agencies’ major cases/forfeitures; development and implementation of TEOAF’s training and outreach program; and automation of TEOAF’s internal processes and oversight of TEOAF-funded IT infrastructure of TFF member agencies.

C.2 SCOPE OF WORK

The Contractor shall assist the Government with maintaining a robust internal control program within TEOAF that is in compliance with the laws and regulations governing the TFF and in furtherance of accomplishing TEOAF’s mission. In accordance with the work described herein, TEOAF anticipates that the contractor will provide internal controls support tasks within the general scope of the base contract. The contractor’s deliverables must be submitted to the Contracting Officer Representative (COR) for approval and acceptance. Contractor must have expertise in the areas of program reviews, process reviews, invoice reviews, analysis of financial information, and the documentation of financial transaction and programmatic processes. Additionally, the Contractor shall be proficient in detecting and solving any deficiencies and/or any potential material weaknesses that are brought to their attention by the COR or that the Contractor has identified during their analysis and review of TEOAF’s program. Potential external sources for identifying areas of improvements or weaknesses are the Treasury Inspector General or TEOAF’s Independent Private Auditor. The Contractor shall assist the TFF participating agencies with compliance with Treasury policies and procedures, as well the implementation of specific Treasury programs.

C.3 PERFORMANCE REQUIREMENTS

The Contractor shall be responsible for performing a number of analytical, investigative, and developmental tasks to support the TEOAF’s internal control and oversight program. The Contractor shall provide technical assistance to the TEOAF program, which is responsible for regulatory oversight of TFF programs; financial analysis; reviews of documents and operations; and internal control tasks when requested in the following TFF program areas: Property Contracts, Financial Management, and Strategic Planning and Analysis.

C.3.1 The Contractor shall perform the following services or provide the following deliverables:

C.3.1.1

Monthly GP Contract Compliance and Review Services The Contractor shall provide assistance and recommendations/guidance to the GP COR, as needed and tasked by the COR for this task order, on addressing and resolving unanticipated cost or property management issues that arise during the normal course of business on the General Property Contract.

C.3.1.2

Monthly Contract Invoice Review and Cost Analysis Report The Contractor shall review and perform an analysis of all GP Contractor invoices and supporting documentation (e.g. subcontractor invoices) on a monthly basis or upon receipt if the invoice if it is not submitted on schedule by the GP Contractor. The GP Contractor’s invoice should be submitted to the Government on a monthly basis and consist of summary and detailed costs that are incurred at the Contractor level and at the subcontractor and vendor levels, on a monthly basis. Invoices also break out costs for each TFF participating agency.

C.3.1.3

Monthly Risk Management Analysis Report The Contractor shall review and track all adverse incident reports provided by the GP COR to ensure that a) TEOAF management is aware of all material incidents, b) procedures are implemented/changed as necessary to prevent similar occurrences in the future, and c) all incidents are appropriately resolved by the GP COR. Adverse incidents happen periodically, but shall be tracked on a monthly basis.

Adverse incidents are defined as loss, damage, or destruction of General Property, or Government Furnished Property in the Contractor's custody. The TEOAF’s GP Contractor has the following reporting requirements for adverse incidents:

a. The GP Contractor provides a quarterly Adverse Incidents Report to the CO and COR documenting any adverse incidents that occurred over the previous quarter, and the open or closed status of all related issues, via electronic means. The Adverse Incident Quarterly Report shall be submitted electronically by the tenth business day of the month following the end of the quarter. The report includes a description of any adverse incidents and set forth the property involved, the property’s Appraised Property Value and Fair Market Value, date of loss or damage, location of the incident, date and time of the incident, probable cause of the incident; names of any witnesses, the GP Contractor’s estimated value of the loss, a summary of the results of the Contractor’s investigation into the incident(s), any amount collected from subcontractors or vendors found at fault, and any reimbursements from the prime Contractor to the Government.

b. The GP Contractor provides an Adverse Incident Flash Report to the CO and COR with the details of an adverse incident and extent of any loss, destruction, or damage of property or unauthorized entry, regardless of value, no later than the close of business (COB) the following business day after the Contractor is notified or has knowledge of such adverse incident.

c. The GP Contractor provides an Adverse Incident Final Report of investigation for each adverse incident to the responsible Customs and Border Protection Fines, Penalties and Forfeitures (FP&F) Officer, or other seizing agency operational point-of-contact within 30 business days of the incident. The GP Contractor forwards the report to the CO and GP COR when the value of the loss, destruction, or damage exceeds $5,000. If a final report of investigation cannot be completed within 30 business days, an interim report shall be submitted in place of the final report, to include an explanation as to why the final report of the investigation could not be completed within the required 30 business day time frame.

C.3.1.4

Quarterly Contract Revenue Testing Report The Contractor shall, when tasked by the COR, observe specific auctions, general and special, being held by the General Property Contractor, ensuring adherence to the proper methods and handing of the property are being utilized as stated in the GP Performance Work Statement. The Contractor will also be responsible for monitoring and tracing all collected revenue from each auction from the time the revenue is electronically transferred by the General Property Contractor to the point where it is deposited at the National Finance Center (see definitions). Auctions are schedule to occur on a bi-monthly basis throughout each fiscal year.

C.3.1.5

Yearly Contract Inventory Testing of General Property Report

a. Inventory Testing: The Contractor shall be responsible for all pre-planning necessary before travel commences to each inventory site including coordination with the GP COR, who will be responsible for contacting all Contractor Storage Facilities (CSF) and vehicle storage locations to finalize logistics for each inventory trip on behalf of the Contractor. The Contractor also shall prepare the SEACATS data provided by the GP COR before commencing travel to each inventory site. The Contractor shall reconcile inventory at all CSFs and other subcontractor operated storage facilities (i.e. vehicle inventory storage locations) in the geographic proximity, as required. The Contractor shall select a representative sample, for each location, from the data provided by the GP COR to perform the inventory testing. When possible, the Contractor shall perform these tasks in conjunction with the General Property Contractor’s Risk Management Team.

b. Seizure File Review at Storage Facilities: The Contractor shall conduct a review of the seizure files maintained at each location they are performing an inventory review. The Contractor shall select a representative sample and conduct a thorough analysis to ensure all proper documentation, information, and values are contained in each file.

c. High Risk Property Review: The Contractor shall review and reconcile inventory items deemed high risk for pilferage, including:

1. Review SEACATS count sheets to identify high risk items;

2. Conduct physical inventory and document discrepancies;

3. Physically review warehouse inventory for evidence of tampering;

4. Reconcile actual inventory count against SEACATS count sheets and data in physical files;

5. Analyze and document any pertinent information uncovered;

6. Conduct post-inventory SEACATS reconciliation.

d. GFP/GFE Reconciliation: The Contractor shall also conduct a 100% inventory reconciliation of all GFP/GFE to ensure a full accountability of all property transferred from the Government to the GP Contractor.

C.3.1.6 Quarterly Assessment of General Property Destructions Report The Contractor shall identify destruction and recycling vendors, obtain SEACATS reports and Disposition Orders for Destruction/Recycling for a period of 6-month up to one year, identify vendors frequency and volume of activity, identify upcoming destructions and recycling, conduct testing and observation of vendors with highest volume of destructions and recycling. Identify the vendors EPA has listed as certified recycling companies and verify if the General Property Contractor is utilizing them. Identify alternatives to destructions (e.g., identify allowable sales for export only).

The Contractor shall conduct visitations to two non-CSF storage facilities to observe destruction and recycling process. Compare seizure files and physical inventory to billing documents and SEACATS data to validate that storage invoices are based on legitimate assets in custody.

C.3.1.7 Quarterly Aging Analysis of General Property Report (Optional Task) The Contractor shall on a quarterly basis obtain SEACATS data to identify aging general property seizures as defined by the GP COR. The Contractor shall also obtain storage cost data for these aging seizures. The Contractor shall draft a report for each agency. The report will be prepared for each agency under the authority and signature of the Director of TEOAF and sent to each agency head by the COR.

C.3.1.8 Mid-Year and End-of-Year General Property Contract Assessment and Recommendation Reports to TEOAF Management The Contractor shall prepare two reports for the COR that summarizes all of the internal control analysis and review they have provided to the GP COR. The first report will provide a summary of Contractor deliverables through the first half of the fiscal year and the second report will summarize all Contractor deliverables from the entire fiscal year. The reports are to be delivered to the COR by May 15 of the current fiscal year and November 15 of the following fiscal year. The Contractor shall ensure that each report includes all findings, recommendations for areas of improvement, any other identified issues already presented to the COR in the previously submitted deliverables, plus any new comments and recommendations that need to be brought to the COR’s attention.

C.3.2 The Contractor shall perform or provide the following deliverables or services:

C.3.2.1 Monthly Contract Compliance and Review of the RP Contract Services The Contractor shall provide assistance and recommendations on addressing and resolving unanticipated cost or property management issues that arise during the normal course of business on the Real Property Contract.

C.3.2.2

Monthly Contract Invoice Review and Cost Analysis Report The Contractor shall review and perform an analysis of all RP Contractor invoices and supporting documentation (e.g. subcontractor invoices) on a monthly basis or upon receipt if the invoice is not submitted on schedule by the RP Contractor. The RP Contractor’s invoice should be submitted to the Government on a monthly basis and consist of summary and detailed costs that are incurred at the Contractor level and at the subcontractor and vendor levels, on a monthly basis. Invoices also break out costs for each TFF participating agency.

C.3.2.3

Monthly Risk Management Oversight Report The Contractor shall receive all adverse incident reports from the RP COR and be responsible for reviewing and tracking all adverse incident reports to ensure that a) TEOAF management is aware of all material incidents, b) procedures are implement/changed as necessary to prevent similar occurrences in the future, and c) all incidents are appropriately resolved. Adverse incidents happen periodically, but shall be tracked on a monthly basis. The RP Contractor provides a quarterly report to the CO and the COR, by the sixteenth of the month following the end of the quarter, a report showing status of the risk management program. The report identifies the type of risk, risk assessment, risk handling strategy, and risk monitoring procedure for each risk. The RP Contractor reports on the following types of adverse incidents.

a. Adverse Incident Reporting (“Flash Report”):

The report informs the responsible seizing agency immediately upon awareness of an occasion and extent of any loss, destruction, and/or damage of seized real property. The RP Contractor informs the CO and COR for loss incidents exceeding $2,000.

b. Adverse Incidents Final Report:

The RP Contractor submits a written final report to the seizing agency CO, and COR within 30 working days of the incident. If a Final Report of Investigation cannot be completed within 30 working days, an interim report will be submitted in place of the Final Report. The Interim Report will state the reason for the delay, status of the case, and anticipated date of the Final Report.

C.3.2.4 Quarterly Contract Revenue Testing Report The Contractor shall, when tasked by the COR, observe specific auctions, general and special, being held by the Real Property Contractor, ensuring adherence to the proper methods and handing of the property are being utilized as stated in the RP Performance Work Statement. The Contractor will also be responsible for monitoring and tracing all collected revenue from each auction from the time the revenue is electronically transferred by the Real Property Contractor to the point where it is deposited at the National Finance Center (see definitions). A schedule is not issued for real property auctions. Auctions occur as the properties are cleared of liens and can either be live, at the location of the property, or take place over the internet.

C.3.2.5

Bi-Yearly Contract Assessment and Recommendation Reports to TEOAF Management The Contractor shall prepare two reports for the COR that summarizes all of the internal control analysis and review they have provided to the RP COR. The first report will provide a summary of Contractor deliverables through the first half of the fiscal year and the second report will summarize all Contractor deliverables from the entire fiscal year. The reports are to be delivered to the COR by May 15 of the current fiscal year and November 15 of the following fiscal year. The Contractor shall ensure that each report includes all findings, recommendations for areas of improvement, any other identified issues already presented to the COR in the previously submitted deliverables, plus any new comments and recommendations that need to be brought to the COR’s attention.

C.3.2.7

Quarterly Audit Reconciliations of all TFF Agency Seized

Real Property Report

The Contractor shall perform a quarterly review of seized real property records by the following TFF participating agencies: ICE, IRS, and USSS. The electronic records are received from the agencies and are maintained by TEOAF. The Contractor shall compare the seized property records of each agency, as shown on their individual record keeping systems, to the seizures reported on SEACATS. The Contractor shall use Roll Forward Exhibit 5 (see definitions) when performing the reconciliation in order to identify inconsistencies.

C.3.3 Provide technical assistance to the Financial Management Team. The technical assistance will result in the provision of the following deliverables and services:

C.3.3.1

Monthly Technical Assistance with the Audit Process The Contractor shall provide services in the form of technical assistance and guidance on TEOAF’s annual audit throughout the year. The annual audit of TEOAF formally begins with an audit entrance conference in April of the fiscal year being audited, and concludes with an exit conference in December or January following the audit year. Once completed the Department of Treasury, Office of Inspector General (OIG), issues a Transmittal Memorandum which is attached to the Auditor’s Report. The audit process is a year round activity with frequent meetings with TEOAF management and staff, the NFC and TFF agencies before and during the audit season. TEOAF also hosts monthly meetings with the auditors and OIG wherein status reports are presented and issues discussed. TEOAF coordinates the audit for all TFF Agencies and serves as the conduit through which audit requests are made. Concerns or issues raised by the auditors and/or OIG are addressed through TEOAF’s Audit Team.

The Contractor will be responsible for attending all meetings with the Independent Government Auditors and providing technical assistance to the TEOAF by reviewing all deliverables for accuracy before they are reviewed by TEOAF management and provided to the auditors.

C.3.3.2 Monthly Technical Assistance with the Performance Accountability Report (PAR) The Contractor shall provide services in the form of technical assistance and guidance on the PAR throughout the year. The PAR is an annual report prepared by the Department of the Treasury and provides information that enables Congress, the President and the public to assess the Department’s performance relative to its mission and stewardship of the resources to which it is entrusted. The report generally is completed and available for public viewing by November 15th following the fiscal year which it covers. All Treasury bureaus and offices participate in monthly meetings and are responsible for providing information to Treasury’s Office of Accounting and Internal Control (AIC).

The Contractor shall attend all relevant meetings regarding the yearly PAR requirements. The Contractor shall review all deliverables for accuracy before they are reviewed by management and submitted to the Department of the Treasury.

C.3.3.3

Monthly Review of TEOAF’s Obligations, Reimbursables, and

Expenditures Reports The Contractor shall review TEOAF obligations, expenditures and reimbursables on a monthly basis. Within TEOAF’s financial plan there are funding areas where TEOAF itself obligates funds directly and pays for expenses, some of which eliminates the reimbursement process. All of these expenses come out of the Mandatory expense category. These funding areas include the real and general property contracts, payments to GSA for the government owned storage facilities, contract payments for internal control, the annual audit contract, the consulting contract for the equitable sharing database, contract payments for software and hardware maintenance, and general payments to administer the forfeiture program. The Contractor shall perform these reviews monthly and provide a summary report of findings to the COR.

C.3.3.4

Monthly Review of TFF Agency Obligations, Reimbursable, and Expenditures Reports The Contractor shall review all TFF participating agencies’ obligations, to include: monthly invoices and year-end unliquidated obligations; reimbursable submissions; and expenditures. Each year member agencies receive approved financial plans and are allotted money periodically throughout the fiscal year to fund those plans. In some categories agencies expend their own funds first and seek reimbursement from TEOAF after services have been performed and/or items purchased. At the end of the fiscal year, agencies obligate from the remaining balances of approved initiatives their projected expenditures in future fiscal years. Funds not projected to be used are de-obligated and become part of current year funding in the form of ‘Recoveries.’ Once funds are obligated at the end of the year they remain on the books until exhausted or de-obligated post fiscal year end.

The Contractor shall perform a sample monthly review of the agencies’ expenditures, reimbursements, and expenditures. The Contractor also shall provide comprehensive final obligation analysis reports at year-end to the COR to ensure that the participating agencies have documentation for their year-end obligations, and to determine the amount, if any, of the funding that can be de-obligated from their particular funding initiatives.

C.3.3.5 Quarterly Audit Review of TEOAF’s State and Local Joint Operations System Reports The Automated System for Joint Operations Payments is a web-based `application hosted on the Treasury Department network. This system has been specifically designed to facilitate the processing of obligations and invoices related to the Treasury Forfeiture Fund member agencies’ joint operations, and assist the agencies in managing joint operations funds. The system is accessible to both Treasury and DHS member agencies.

The Contractor shall review supporting documentation for randomly selected Joint Operations expenditures of the TFF participating agencies, ICE, USSS, and IRS-CI on a quarterly basis and provided the analysis to the COR. The purpose of this review is to ensure that the expenses incurred by the state and local officer, that assisted the TFF participating agencies’ in conducting an investigation that lead to a forfeiture, can be verified by the required documents submitted to the Federal Government. Additionally, TEOAF would like to ensure that the federal regulated limitations for the amount of money received by each state and local officer who participates in the state and local overtime program are honored. The state and local officer is responsible in recording their time spent in these types of cases and must be able to provide all of the documentation to the agency in which they provided the investigative support. TEOAF will provide all necessary data sets from review supporting documentation for randomly selected Joint Operations.

C.3.3.6 Bi-Yearly Assessment of Financial Management Activities Reports The Contractor shall prepare two reports for the COR that summarizes all of the internal control analysis and review they have provided to the Financial Management Team. The first report will provide a summary of Contractor deliverables through the first half of the fiscal year and the second report will summarize all Contractor deliverables from the entire fiscal year. The reports are to be delivered to the COR by May 15 of the current fiscal year and November 15 of the following fiscal year of fiscal year. The Contractor shall ensure that each report includes all findings, recommendations for areas of improvement, any other identified issues already presented to the COR in the previously submitted deliverables, plus any new comments and recommendations that need to be brought to the COR’s attention.

C.3.4 Provide technical assistance to the Strategic Planning and Analysis Team.

The technical assistance will encompass the following:

C.3.4.1

Monthly technical assistance to TEOAF staff with monitoring

The TFF Agency’s Major Case Activity

A major case is any forfeiture investigation that will result in seizure and forfeiture of more than $1 Million. The Contractor shall assist TEOAF staff in obtaining forfeited case information on investigations that were developed from major case money provided to each TFF Participating Agency by TEOAF. The Contractor shall provide Major Case Assistance to determine if TEOAF funds that were used to perfect the seizure and forfeiture are adequate and consistent with the requirements regarding Major Case Assistance to the TFF agencies; provide monthly status of major cases, including list of potential forfeited items, projected value, estimated forfeiture date, etc. The Contractor will also be responsible for assisting TEOAF with determining if victims are associated with these cases and if there are, then what are the payment amounts being reimbursed to the victims once the forfeiture is perfected.

C.3.4.2 Periodic assistance with providing training at TEOAF and TFF participating agency’s conferences that relates to Trade Based Money Laundering and Black Market Peso Exchange The Contractor shall be responsible for presenting at two TEOAF conferences. The topic for the presentations will be either Black Market Peso Exchange (BMPE) or Trade-Base Money Laundering (TBML).

TBML is the process of disguising the proceeds of crime and moving value through the use of trade transactions in an attempt to legitimize their illegal origins or finance their activities. The money laundering process known as BMPE evolved as a result of the Colombian Government banning US Dollars (USD) in the Colombian economy during the 1960’s in an effort to boost their currency and economic standing in the market place. The Colombian Drug Trafficking Organizations (DTOs) in conjunction with Colombian businessmen were brought together for a common need. The DTOs needed to obtain Pesos in payment for Cocaine shipped to the United States as USD were of little value to the DTOs in Colombia and for businessmen to circumvent the high tariffs and sales taxes by purchasing US Dollars on the ‘Black Market’ to pay for goods imported from the US and other foreign markets.

Each presentation should last no more than 4 hours and include case studies and investigative techniques dealing specifically with BMPE or TBML. The Contractor will be responsible for putting together the presentation and all other materials required for this task.

C.3.4.3 Bi-Yearly Assessment of Strategic Planning and Analysis Activities Report The Contractor shall prepare two reports for the COR that summarizes all of the internal control analysis and review they have provided to the Strategic Planning and Analysis Team. The first report will provide a summary of Contractor deliverables through the first half of the fiscal year and the second report will summarize all Contractor deliverables from the entire fiscal year. The reports are to be delivered to the COR by May 15 of the current fiscal year and November 15 of the following fiscal year of fiscal year. The Contractor shall ensure that each report includes all findings, recommendations for areas of improvement, any other identified issues already presented to the COR in the previously submitted deliverables, plus any new comments and recommendations that need to be brought to the COR’s attention.

C.4

DELIVERABLES

C.4.1 Monthly General Property Contract Compliance and Review of the General Property Contract At the conclusion of each review, the Contractor must report and provide to the General Property COR:

a) Summary of the task;

b) Explanation of the review process;

c) Identification of any issues; and

d) Conclusions and recommendations to TEOAF Management C.4.2

Monthly General Property Contract Invoice Review and Cost Analysis

The Contractor must report each month, current with submission of its invoice:

a) Explanation of the Voucher submitted for review;

b) Costs billed to date for all open fiscal years;

c) Costs billed to date by the Agency; and

d) Costs billed to date by the Contractor.

C.4.3 Monthly Risk Management Support of General Property

The Contractor must ensure that each month:

a) A database is maintained of all adverse incidents and share reports each month with the CORs and TEOAF Management to ensure they are aware of all material incidents;

b) Procedures are implement/changed as necessary to prevent similar occurrences in the future, and

c) All incidents are appropriately resolved and documented in report form.

C.4.4

Quarterly General Property Contract Revenue Testing At the conclusion of each review, the Contractor must report and provide to the General Property COR:

a) Summary of the task;

b) Explanation of the review process;

C.4.5

Yearly Contract Inventory Testing of General Property

The Contractor must report and provide to the General Property COR:

a) Introduction of the report, including team members, the location where the inventory (including GFP/GFE) and the file reviews were conducted, security, and staffing;

b) The method of review used to perform the inventory testing;

c) Identification of all inventory issues;

d) Identification of all file review issues;

e) Final observations, any recommendations to TEOAF Management, and action items.

C.4.6

Quarterly Oversight and Assessment of General Property Destructions At the conclusion of the review, the Contractor will provide TEOAF Management with a summary report including the following:

a) Summary of task;

b) Identification of any issues; and

c) Conclusions and recommendations to TEOAF Management C.4.7 Quarterly Aging Analysis of General Property The Contractor must provide, on a monthly basis, a letter to each TFF agency (IRS-CI, USSS, ICE, CBP, BP) identifying the seizures prior to January 1, 2005 (or date specified by the GP COR) remaining in storage along with total outstanding storage charges. The letter should be emailed to the COR and a designated TEOAF representative who will transfer it to TEOAF letterhead, have it signed by the Director of TEOAF, and mail it to the appropriate Asset Forfeiture agency official.

C.4.8 Bi-Yearly General Property Contract Assessment and Recommendation Reports to TEOAF Management The Contractor must report at mid-year and fiscal year-end, the status of the General Contract. The report must include the following:

a) Introduction of the Report;

b) General Observations of Contractor performance;

c) Progress on previously identified Issues and recommendations, broken down by primary issues/vulnerabilities and secondary issues/vulnerabilities;

d) Current recommendations to TEOAF Management; and

e) Any additional issues that should be addressed by TEOAF Management.

C.4.9 Monthly Real Property Contract Compliance and Review of the Real Property Contract At the conclusion of each review, the Contractor must report and provide to the Real Property COR:

a) Summary of the task;

b) Explanation of the review process;

d) Conclusions and recommendations to TEOAF Management.

C.4.10 Monthly Real Property Contract Invoice Review and Cost Analysis

The Contractor must report each month, current with submission of its invoice:

a) Explanation of the Voucher submitted for review;

b) Costs billed to date for all open fiscal years;

c) Costs billed to date by the Agency; and

d) Costs billed to date by the Contractor.

C.4.11 Monthly Risk Management Support of Real Property

The Contractor must ensure that each month:

a) A database is maintained of all adverse incidents and share reports each month with the CORs and TEOAF Management to ensure they are aware of all material incidents;

b) Procedures are implement/changed as necessary to prevent similar occurrences in the future, and

c) All incidents are appropriately resolved and documented in report form.

C.4.12 Quarterly Real Property Contract Revenue Testing At the conclusion of each review, the Contractor must report and provide to the Real Property COR:

a) Summary of the task;

b) Explanation of the review process;

C.4.13 Bi-Yearly Contract Assessment and Recommendation Reports to TEOAF Management The Contractor must report at mid-year and fiscal year-end, the status of the Real Contract. The report must include the following:

a. Introduction of the Report;

b. General Observations of Contractor performance;

c. Progress on previously identified Issues and recommendations, broken down by primary issues/vulnerabilities and secondary issues/vulnerabilities;

d. Current recommendations to TEOAF Management; and

e. Any additional issues that should be addressed by TEOAF Management.

C.4.14 Quarterly Audit Reconciliations of all TFF Agency Seized Real Property

The Contractor must provide to the Real Property COR a written report on a quarterly basis, including each agency’s reconciliation, specific issues that were addressed, a summary of findings, and a completed Annual Audit Exhibit 5 for each agency.

C.4.15 Monthly Technical Assistance with the Audit Process On a quarterly basis, the Contractor must report and provide to the COR:

a) Summary of the task;

b)

C.4.16 Monthly Technical Assistance with the Performance Accountability Report (PAR) On a quarterly basis, the Contractor must report and provide to the COR:

a) Summary of the task;

b)

C.4.17 Monthly Review of TEOAF’s Obligations, Reimbursables, and Expenditures At the conclusion of each review, the Contractor must report and provide to the COR:

a) Summary of the task;

b) Explanation of the review process;

C.4.18 Monthly Review of TFF Agency Obligations, Reimbursable, and Expenditures At the conclusion of each review, the Contractor must report and provide to the COR:

a) Summary of the task;

b) Explanation of the review process;

C.4.19 Quarterly Audit Review of TEOAF’s State and Local Joint Operations System

At the conclusion of the review, the Contractor will provide TEOAF Management with a report including the following:

a) Summary of task;

b) Identification of any issues; and

c) Conclusions and recommendations to TEOAF Management.

C.4.20 Bi-Yearly Assessment of Financial Management Activities The Contractor must report at mid-year and fiscal year-end, the status of Financial Management activities within TEOAF. The report must be organized by task for Financial Management and include the following:

a) Summary of task;

b) Status of task; and

c) Any significant issues discovered during contractor’s performance of work.

C.4.21 Monthly technical assistance to TEOAF staff with monitoring the TFF

Agency’s Major Case Activity

The Contractor will be responsible for the following:

a) Assisting TEOAF staff with the maintenance of an internal database which tracks all Major Cases for the TFF participating agencies;

b) Assisting TEOAF staff with setting up and participating in regular meetings with the TFF participating agencies to discuss major cases;

c) Summary report of findings to TEOAF Management on a quarterly basis.

C.4.22 Periodic assistance with providing training at TEOAF and TFF participating agency’s conferences that relates to Trade Based Money Laundering and Black Market Peso Exchange

At the conclusion of the trip, the Contractor must report and provide to the COR: A summary report

a) Detailing the presentation on TBML/BMPE provided at the conference,

b) Any issues encountered, and

c) Recommendations for presentations at future conferences.

C.4.23 Bi-Yearly Assessment of Strategic Planning and Analysis Activities The Contractor must report at mid-year and fiscal year-end, the status of Financial Management activities within TEOAF. The report must be organized by task for Financial Management and include the following:

a) Summary of task;

b) Status of task; and

c) Any significant issues discovered during contractor’s performance of work.

C.5

PERIOD OF PERFORMANCE

The period of performance consists of a one-year base and four one-year option periods. The total period of performance, if all options are exercised, is from October 1, 2012 through September 30, 2017.

C.6

PLACE OF PERFORMANCE

The contractor shall provide at least three (3) contractor employees to provide support services on site at TEOAF Headquarters in Washington, D.C. Metro Area. All other remaining contractor employees providing technical support may work off-site located throughout the United States as indicated in individual task orders issued under this contract. The contractor shall identify all personnel and their locations. Additional location may potentially be throughout the United States and as well as all U.S Territories and Overseas. In such instances, each task order issued to the Contractor shall specify the place of performance. Place of performance may include but is noted limited to: the TEOAF office; participating agency headquarters and field offices; property storage facilities; sub-contractor’s offices; seizure site locations, and other government approved locations.

C.7

TRAVEL

As directed by the COR, travel is required throughout the United States, including but not limited to TEOAF’s offices, the GP Centralized Storage Facilities, state/local law enforcement offices, TFF participating agencies HQ and field offices, GP and RP Contractor offices/sites and their Subcontractor and Vendor offices/sites.

C.8

TYPE OF TASK ORDER

This task order will be include both firm-fixed price and labor hour line items as specified in the pricing schedule attached to this order. This task order identifies services as “optional services” that will be order via contract modification issued against the task order by the Contracting Officer if the Government determines that the services are needed.

� The TFF participating law enforcement bureaus are listed in 31 U.S.C. §9703(o). Pursuant to legal opinion issued by TEOAF Counsel on February 28, 2003, the participating law enforcement agencies include the components of legacy Customs, now known as Immigration and Customs Enforcement (ICE) and Customs and Border Protection (CBP), as well as the United States Secret Service, even after their transfer to the Department of Homeland Security.