SOLICITATION NUMBER: ARFQ 0932 DRS2700000001

Addendum Number: 1

The putpose of this addendum is to modify the solicitation identified as ("Solicitation") to reflect the change(s) identified and described below.

Applicable Addendum Category:

[ ) Modify bid opening date and time

[ ✓I Modify specifications of product or service being sought

[ ✓ I Attachment of vendor questions and responses

[ J Attachment of pre-bid sign-in sheet

[ Correction of error

[ l Other

Description of Modification to Solicitation:

Addendum #I is issued to publish the following;

1. Modify solicitation specifications Section 3.5 section hereby removed in its entirety.

2. To publish a copy of the vendors questions with agency responses.

No other changes

Additional Documentation: Documentation related to this Addendum (if any) has been included herewith as Attachment A and is specifically incorporated herein by reference.

Terms and Conditions:

I. All provisions of the Solicitation and other addenda not modified herein shall remain in full force and effect.

2. Vendor should acknowledge receipt of all addenda issued for this Solicitation by completing an Addendum Acknowledgment, a copy of which is included herewith.

Failure to acknowledge addenda may result in bid disqualification. The addendum acknowledgement should be submitted with the bid to expedite document processing.

Revised 6/812012

Revised 6/8/2012

ATTACHMENT A

Revised 6/8/2012

ADDENDUM ACKNOWLEDGEMENT FORM

SOLICITATION NO.:_____________

Instructions: Please acknowledge receipt of all addenda issued with this solicitation by completing this addendum acknowledgment form. Check the box next to each addendum received and sign below.

Failure to acknowledge addenda may result in bid disqualification.

Acknowledgment: I hereby acknowledge receipt of the following addenda and have made the necessary revisions to my proposal, plans and/or specification, etc.

Addendum Numbers Received:

(Check the box next to each addendum received)

[ ] Addendum No. 1 [ ] Addendum No. 6

[ ] Addendum No. 2 [ ] Addendum No. 7

[ ] Addendum No. 3 [ ] Addendum No. 8

[ ] Addendum No. 4 [ ] Addendum No. 9

[ ] Addendum No. 5 [ ] Addendum No. 10

I understand that failure to confirm the receipt of addenda may be cause for rejection of this bid. I further understand that any verbal representation made or assumed to be made during any oral discussion held between Vendor’s representatives and any state personnel is not binding. Only the information issued in writing and added to the specifications by an official addendum is binding.

Company

Authorized Signature

Date

NOTE: This addendum acknowledgement should be submitted with the bid to expedite document processing.

Section 1: Specification Changes (the removal)

Intent of this addendum is to modify the solicitation specifications as follows: Section 3.5 regarding “must have knowledge of the Ernst & Young Single Audit process. Ernst & Young is the primary auditor for the State of West Virginia” is hereby deleted in its entirety

Section 2: Vendor Questions and Answers:

1. Q. May a bid be submitted as a partnership or team between a qualified CPA firm and another small business that has extensive experience providing audit-readiness, grant compliance, and related training?

1. A. This would be allowable under Prime Contractor/Subcontractor Structure. The qualified CPA firm can submit the bid as the prime vendor and list the small business as a subcontractor.

2. Q. Spec 3.1 and 3.2 indicate that vendor/vendor staff must be a CPA with no less than 15 years’ experience auditing government entities. If supervised by an individual with these qualifications, are other team members eligible to work on this engagement?

2. A. Yes

3. Q. Spec 3.5 requires knowledge of the EY Single Audit process. EY is no longer the primary auditor of the State of WV. Will this spec be removed or altered?

3. A See Section 1 of this addendum

4.Q. Please provide an expected/estimated timeframe of the bulk of this work.

Preparation for the audit, audit fieldwork, audit wrap-up, training after audit, ongoing training, etc.

4.A. This is a year-round contract that is used on an as needed basis.

5.Q. Of programs administered by the Division of Rehabilitation Services, Which assistance listing numbers (ALN’s) are used and which are know or likely to be picked up in the State Single Audit for FY2027 or a future year?

5. A. 84.126 and 96.001 are audited programs. ALN: 84.126, 84.169,84.177,84.187,96.001.

6. Q. Req 4.1.1 indicates that the vendor must be able to review quarterly federal grant financial reports to prepare for the Single Audit process. Will this start with the QE 9/30/2026 upon award of this contract? If so, what is the turnaround time or due date for that report?

6. A. This will begin as soon as the contract is awarded and will include all reports prepared. Turn around is usually within one day. Final reports are due 1/28 and semi-annual reports are due 4/30.

7. Q. Has the Division of Rehabilitation Services obtained these services in the past, and if so, how many hours were utilized under the contract for the services?

7. A. Yes we have utilized these services in the past.

Requesting copies of previously awarded contracts, other solicitations, or documents related to previous contracts through the technical question and answer process included in this solicitation is not appropriate. Requests for documentation of this nature can be obtained by interested parties through a Freedom of information Act request

8. Q The Single Audit Specifications document provided with the RFQ references a Pricing Page to be completed by the vendor. There did not appear to be a standard pricing page with the RFQ documents. Will one be provided?

8. A Vendor should complete the Pricing Page by providing the unit price of each of the commodity line items as indicated in WVOASIS. Vendor should complete the Pricing Page in full as failure to complete the Pricing Page in its entirety may result in Vendor’s bid being disqualified. Vendors should type or electronically enter the information into the Pricing Pages through wvOASIS, if available, or as an electronic document. In most cases, the Vendor can request an electronic copy of the Pricing Pages for bid purposes by sending an email request to the following address: Sheri.d.slone@wv.gov

9. Q. If a standard pricing page will not be provided, should pricing be submitted based on standard hourly rates at which the work will be billed or a total fixed fee price?

9. A. See answer 8. A.

Bidders must submit a single blended hourly rate under the 'Unit Price' field for Financial Consulting Services. Because this is an open-end contract with an unknown or fluctuating level of effort, the actual billing will be calculated against the true hours worked and requested by the Agency.

10. Q. Would the Agency amend Section 4.1.1.2 to permit the single audit consultation to be performed primarily remotely through secure electronic file exchange, telephone, video conferences, screen sharing, and prompt virtual access to the vendor, with on-site attendance only when a specific task cannot reasonably be completed remotely?

10. A. The Agency will not revise the specifications. The requirements stated in 4.1.1.2remains as stated in the original Agency Request for Quote (ARFQ). The Agency has determined that the current specification is necessary to meet operational requirements, ensure effective oversight, and facilitate the single-audit process.

11. Q. Section 3.3 requires the vendor to be located within two hours of Charleston to facilitate expedited, on-demand meetings. Would the Agency accept a vendor located outside that radius that can provide same day or next business day virtual availability and travel to Charleston when the Agency identifies a specific need that cannot be handled remotely?

11. A. No. The Agency requires the vendor to be physically located within a two-hour driving radius of Charleston to ensure expedited, on-demand, in-person meetings as specified in Section 3.3. Virtual availability or next-business-day travel from outside this radius does not meet the operational needs of this contract. The requirement remains as stated in the original Agency Request for Quote (ARFQ) Section 3.3

12. Q. Can the Agency confirm that extensive West Virginia state agency experience— including a proven track record of providing services remotely to multiple state entities—will be considered in lieu of a strict two-hour physical location requirement?

12.A. No. The strict two-hour physical location requirement remains a mandatory specification as outlined in Section 3.3 of the solicitation to ensure rapid on-site response.

13. Q. Is the vendor expected to be available during all days of single audit fieldwork, or only during agreed-upon meetings and response windows? Please provide the anticipated audit fieldwork dates, typical duration, and expected response time for questions from the Agency or the single auditors.

13. A Yes, the vendor is expected to be available to the agency at a moment’s notice.

Expected response time is immediate when questions arise. Audit dates are not known due to the new firm completing the work.

14. Q. How many hours of consultation, audit support, report preparation, negotiation assistance, and training does the Agency estimate will be required annually?

14. A This is an open-end contract with an unknown or fluctuating level of effort; the actual billing will be calculated against the true hours worked and requested by the Agency.

Please provide historical usage, if available, so vendors can price the work consistently.

Requesting copies of previously awarded contracts, other solicitations, or documents related to previous contracts through the technical question and answer process included in this solicitation is not appropriate. Requests for documentation of this nature can be obtained by interested parties through a Freedom of information Act request

15. Q. Is the Agency requesting assistance with the annual Single Audit preparation only, or does it anticipate year-round recurring support related to the SEFA, indirect cost rate proposals, quarterly federal grant financial reports, internal audit processes, and corrective action follow-up?

15. A. The Agency anticipates a need for both the annual Single Audit preparation and year-round recurring support.

16. Q. For Section 4.1.1.4, please clarify the vendor’s role if a finding occurs. Is the vendor expected to advise and assist Agency management, communicate directly with the single auditors, formally negotiate on the Agency’s behalf, or prepare draft responses for Agency approval?

16 A. Yes, vendor would be expected to advise and assist Agency Management. To ensure compliance with State procurement guidelines and maintain proper internal controls, the vendor will not formally negotiate on the Agency’s behalf, nor will the vendor communicate directly with single auditors unless explicitly directed and authorized in writing by Agency management. The Agency retains final authority, ownership, and sign-off on all official audit communications and responses.

17 Q. Please identify the expected deliverables and formats for the review of the SEFA, indirect cost rate proposals, quarterly federal grant financial reports, internal audit process development, finding responses, and training materials.

17 A. Reviews of reports are expected with same day or one day turnaround. Other deliverables would be determined at the time needed.

18. Q. Can the Division provide an estimate of the anticipated annual utilization for these services, including historical consulting hours, if available?

18. A See answer to question 14

19. Q. Can the Division provide additional details regarding the expected scope and deliverable associated with reviewing the Schedule of Expenditures of Federal Awards (SEFA), Indirect Cost Rate Proposals, and Quarterly Federal Grant Financial Reports?

19. A. The selected vendor must be thoroughly knowledgeable of these processes and be able to determine areas of the reports needing correction.

20. Q. The specifications indicate the consultant will work closely with agency staff to continue developing the internal audit process. Can the Division provide additional information regarding the current state of the internal audit process and the specific improvements anticipated under this contract?

20. A. An internal audit process needs to be developed.

21. Q. The specifications require the consultant to be available on-site during the agencies single audit. Can the Division provide the anticipated audit schedule and the expected level of on-site participation (e.g., number of days, phases of audit support, and typical activities performed)?

21. A. The audit takes place in the fall and travel will not be reimbursed.

22. Q. The Division notes that the purpose of the two-hour location requirement is to facilitate expedited, on-demand meetings with the Single Auditors. Will the Division consider firms located slightly beyond the stated radius if they can demonstrate a commitment to rapid on-site response, dedicated local resources, and availability throughout audit fieldwork?

22. A. See answer 12

23. Q. Is the consultant expected to assemble, organize, and provide documentation directly to the auditors, or will agency staff be responsible for preparing auditor requests with the consultant serving in an advisory capacity?

23. A. see answer 16

24. Q. Can the Division share information regarding the results of its most recent Single Audit, including any findings, questioned costs, reportable conditions, or recurring compliance issues?

24. A. Audits from recent years have had no findings.

25. Q. Can the Division provide additional details regarding the anticipated training requirements, including the estimated number of participants, functional areas represented, and expected training topics?

25. A That is to be determined by the consultant. There would be around 11 participants.

26. Q. Can the Division describe its current grants management, compliance oversight, and internal control structure, including the roles and departments involved in Single Audit preparation and response activities?

26. A. Agencies Fiscal Services staff are primarily responsible for those items.

27. Q. Can the Division provide an overview of the annual audit lifecycle, including expected dates for SEFA preparation, auditor requests, fieldwork, reporting, corrective action plan development, and required staff training?

27. A. This is a year round process

28. Q. What measures or outcomes will the Division use to evaluate the success of the awarded consultant and the overall engagement?

28. A. No audit findings and clean reports that are delivered before the due date.

29. Q. What specific services are contemplated under “continue to develop the internal audit process”

29. A. Put an audit process in place.

30. Q. How many federal programs are currently administered by the Division?

30. A. 5

31.Q. What was the agencies’ total federal expenditure reported on the most recent SEFA?

31. A. Approximately $60 million.

32. Q. What systems besides wvOASIS are used for grants management, monitoring, documentation, and reporting?

32. A. An internal case management system.

33. Q. Are any federal monitoring reviews, corrective action plans, or special conditions currently active?

33. A. Yes

34. Q. Is there an incumbent consultant currently providing these services?

34. A. Yes

35. Q. What lessons learned from prior consulting engagements would you like the next consultant to address?

35. A. None.

36. Q. The pricing page appears to request a Unit Price for Financial Consulting Services with a unit of measure of “hour” However, the solicitation does not appear to provide an estimated annual number of hours or anticipated level of effort. Can the Agency please clarify:

Whether vendors should submit a single blended hourly rate that would be billed based on actual hours worked?

36. A. Yes. Bidders must submit a single blended hourly rate under the 'Unit Price' field for Financial Consulting Services. Because this is an open-end contract with an unknown or fluctuating level of effort, the actual billing will be calculated against the true hours worked and requested by the Agency.

How should vendors complete the “delivery days” field within wvOASIS for ongoing consulting and training services that will be scheduled at the Agencies request?

For ongoing, as-needed consulting and training services, vendors should input '0' (zero) or '1' in the 'Delivery Days' field within the wvOASIS Vendor Self-Service (VSS) Portal. Bidders should note in their technical exceptions or text descriptions that services will be scheduled, deployed, and delivered upon request by the Agency rather than on a fixed calendar delivery timeline."

https://www.wvoasis.gov/VSS/Default https://www.wvoasis.gov/VSS/Default

Questions and Answers for solicitations ARFQ DRS27-1.pdf

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