FABS - Ernst & Young LLP - GS23F8152H

FABS 2008 1

General Services Administration

Federal Supply Service

Financial and Business Solutions (FABS)

Authorized Federal Supply Schedule Price List

General Services Administration (GSA) Authorized Federal Supply Schedule Price List-On-line access to contract ordering information terms and conditions, up-to-date pricing, and the option to create an electronic delivery order is available through GSA Advantage! TM, a menu-driven database system. The INTERNET address for GSA Advantage! TM is: GSAAdavntage.gov

GSA Contract Number: GS-23F-8152H, Supplement #2

Contract Period: January 2, 2008 through December 31, 2012

FSC Group: 52020 NAICS: 5412, 5416, 5419, 531

Business Size: Large

Ernst & Young LLP 1101 New York Avenue, NW Washington, DC 20005

Contract Information:

Nancy Dunn, Phone 202-327-9114, FAX 866-865-5926

REQUEST FOR QUOTES (RFQs) (Please copy all contract listed) Dan Murrin dan.murrin@ey.com (FAX-866-257-3834) Nancy Dunn nancy.dunn@ey.com mailto:dan.murrin@ey.com mailto:nancy.dunn@ey.com

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Table of Contents

Page

Customer Information

About Ernst & Young LLP SIN 520-1 Program Financial Advisor Services

SIN 520-2 Transaction Specialist SIN 520-5 Loan Servicing and Asset Management

SIN 520-7 Financial & Performance Audits, SIN 520-8 Complementary Audit Serivces

SIN 520-11 Accounting, SIN 520-12 Budgeting SIN 520-13 Complementary Financial Management Services

Best Value—Blanket Purchase Agreements FABS Rates

Labor Category Descriptions

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Customer Information

1a. Special Item Numbers: SIN 520-1 Program Financial Advisor Services SIN 520-2 Transaction Specialist

SIN 520-5 Loan Servicing & Asset Management SIN 520-7 Financial and Performance Audits SIN 520-8 Complementary Audit Services SIN 520-11 Accounting SIN 520-12 Budgeting SIN 520-13 Complementary Financial Management Services

1b. N/A 1c. For pricing, see pages 15 through 19.

2. Maximum Order: $1,000,000 per SIN; orders above maximum are permitted however.

3. Minimum Order: $300 per SIN

4. Geographic Coverage: Domestic and Overseas

5. Point(s) of Production (City, County, and State or Foreign Country): The 50 United States

6. Discount From List prices or Statement of Net Price: Prices as stated are net prices.

7. Quantity Discounts: Discounts may be considered based on terms of order.

8. Prompt Payment Terms: To be negotiated with ordering agency.

9a. Annotate if Government Commercial Credit Card is Accepted: Yes, for orders under micropurchase amount.

9b. Discount of Payment by Government Commercial Credit Card: None

10. Foreign Items (List Items by Country of Origin): None

11a. Time of Delivery: To be negotiated with ordering agency.

11b. Expedited Delivery: To be negotiated with ordering agency.

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11c. Overnight and 2-Day Delivery: To be negotiated with ordering agency.

11d. Urgent Requirements: To be negotiated with ordering agency.

12. F.O.B. Point(s): Destination

13a. Ordering Address: Attn: Dan Murrin cc: Nancy Dunn Ernst & Young LLP

1101 New York Avenue, N.W.

Washington, DC 20005

13b. Ordering Procedures: For supplies and services; the ordering procedures information on Blanket Purchase Agreements (“BPAs”), and a sample BPA can be found at the GSA/FSS schedule Homepage

(fss.gsa.gov/schedules). Also, see page 15.

14. Payment address(es): To Ernst & Young address to be determined in delivery order.

15. Warranty provision: Ernst & Young will exercise due professional care and competence in the performance of the services being provided hereunder.

16. Export Packing Charge: N/A

17. Terms and Conditions of Government Commercial Credit Card Acceptance: For orders under micropurchase amount.

18. Terms & Conditions of Rental, Maintenance & Repair: N/A

19. Terms & Conditions of Installation: N/A

20. Terms & Conditions of Repair Parts Incl. Date, etc. N/A

20a. Terms & Conditions of Any Other Services: N/A

21. List of Service & Distribution Points: N/A

22. List of Participating Dealers: N/A

23. Preventive Maintenance: N/A

24a. Special Attributes Such as Environmental Attributes: N/A

24b. Section 508 Compliance Information: N/A

25. Data Universal Number System (DUNS): 095347159

26. Notification Regarding Registration in Central Contractor Registration (CCR) Database: Yes, registered annually.

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About Ernst & Young LLP—

Ernst & Young LLP Firm Overview Ernst & Young, a global leader in providing integrated professional services, helps clients to quickly and confidently make decisions designed to improve business operations and enhance value.

With more than 110,000 people in more than 130 countries, Ernst & Young provides a wide range of financial, accounting, auditing, tax, human capital and business advisory services to public and private sector entities. From these national and global resources flow our leadership position in providing services to government and industry, unparalleled knowledge resources to assist our clients and the quality control, engagement management, education and methodology infrastructure needed to be a truly world- class organization.

By procuring these resources through this GSA Federal Supply Service (FSS) schedule contract, Federal governmental entities are able to efficiently access our Firm’s resources. Whether drawing largely on our experience in the Federal sector, or utilizing our private sector personnel and thought leadership, governmental entities will have the tools needed to get the job done, with implementable solutions tailored to their unique operating and financial environment.

Understanding the Business of Government We understand how the Federal government works from a business perspective. Federal agencies, departments and corporations for whom we have provided audit services and financial and business advisory assistance include the Departments of Defense, Agriculture, Commerce, Education, Health and Human Services, Housing and Urban Development, Veterans Affairs, Treasury, Transportation, and Energy.

We have also served the Federal Deposit Insurance Corporation, Federal Communications Commission, Government Accountability Office, the General Services Administration, the Small Business Administration, and the U.S.

Postal Service.

Our understanding of how the Federal government works together with our extensive skills and capabilities will allow us to assist you in implementing successful financial and business improvement programs in support of your agency’s goals and objectives. In addition to bringing a remarkable breadth of resources to bear on any area of operations, Ernst & Young is also proud of its time-tested approach to engagement management. Ernst & Young has executed hundreds of thousands of engagements that have been delivered on time and with “no surprises”.

Ernst & Young’s Unique Blend of Public and Private Sector Experience Serving both the public and private sectors, Ernst & Young has developed the required level of experience to deliver the services sought by the Federal financial and business management community, whether the services are requested by the Office of Inspector General, the Chief Financial Officer organization, the Chief Information Officer’s office, or the asset management group.

The firms that an agency selects are only as good as its people. Based on our personnel’s diverse experiences, there is no doubt that Ernst & Young employs the leading practitioners in the governmental arena. Our leadership in Federal services and the depth of our experience allow us to staff projects with personnel that match your needs—whether it is a information systems audit professional or a financial advisor familiar with managing complex Federal financial management transformations or an integrated team of financial transaction specialists who can value, restructure and manage large asset portfolios or implement privatization and public/private transactions. This mixture of public and private experience and personnel which sets us apart, is not just a subset with only Federal, state or local experience, but a blending of resources throughout the firm to meet our governmental clients’ needs.

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SIN 520-1 Program Financial Advisor Services

As a Program Financial Advisor, Ernst & Young helps government agencies address the multifaceted issues and considerations associated with planning, developing and managing a successful asset sales or transference program. Ernst & Young is experienced in simultaneously working as financial advisor and transaction coordinator to successfully manage the inherent complexity of deals involving multiple entities. Our experienced professionals draw on years of related experience to provide services in:

Managing Asset Resolution Program

– Review asset base and provide recommendations/strategies to maximize recoveries in marketplace; develop an Asset Resolution Plan; develop and/or modify task orders; raise issues on public policy; implement a coherent approach to communications and interactions among government agencies and the public at large; analyze new products for sale to determine potential marketability; review laws for determining disposal authority; determine value of an overall asset portfolio; identify parties that are disqualified from bidding; provide advice on OMB circulars; analyze credit reform.

Asset Sales, Privatization or Other Public/Private Transaction

– Review, design and reposition a strategic plan for an asset sale or transaction; develop asset sales or other transaction schedules and financial projections for budgetary performance management; conduct individual asset sales; prepare reports or analyses in support of asset sales or other transaction.

Developing, Managing, Implementing Origination Program

– Perform feasibility studies and cost benefit analyses; assess aging or deteriorating assets;

recommendations for rehabilitation; identification of private entities for contributing funds for renovation of asset;

secure financing; reengineer financing structures; develop and manage system to find lender, select mortgage product, originate a mortgage.

Trust fund Management/Institutional Trust Services/Investment Banking

– Invest, control, arrange for audit/ trust funds; administer benefit payments; buy, sell and lend securities; manage collateral;

assess risk; implement agency processes to maximize value of agency’s funds

Equity Oversight/Transaction Administration

– Cash Management: track cash generated and distributed through partnerships, from closings and termination to ensure effective management of accounts and accurate distributions to partners

– Asset Management: monitor the operations and performance of public/private partnerships and other transactions through review of financial reporting to protect against reduction in asset value

– Investor Reporting: Utilize financial indicators to provide accurate reporting of transactions showing current financial status.

Marketing and Asset Resolution Support

– Prepare marketing plans and provide support services to ensure that a group of assets are resolved.

Post Sale Analysis and Resolution Support

– Assist on post-closing matters;

analyze management of the portfolio in terms of credit extension; handle special investor/ buyer and borrower problems; create and update Asset Sale Design Records;

develop, gather, scrub and store relevant data to support asset resolution program; develop and maintain an electronic presence that will be central point of contact for agencies, etc.

interested in asset resolution program.

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SIN 520-2 Transaction Specialist

As an Independent Transaction Specialist, Ernst & Young is uniquely qualified to serve government agencies in complex real estate and finance transactions. Ernst & Young’s professionals are prepared to assist agencies in defining and implementing asset management and disposition strategies that best suit agency goals and requirements. Ernst & Young will work with government staff to develop sales, privatization and other strategies that enhance net proceeds to the Government by stratifying the asset portfolio into sub-pools by geographic location, investment size preference, and property characteristics to attract local, regional, and national investors.

Pricing/Valuation of an Asset

– Value or price an asset; monitor an asset; obtain or develop a valuation model; estimate cash flows and net sales based on model; produce reports/records;

update asset valuation pricing.

~ Review of Pending Sale, Privatization or Other Transaction

– Estimate recovery value; explain valuation methodology; run bid evaluation models; estimate cost of resolutions; identify appropriate timelines for resolutions; conduct market sensitivity analysis; report on relevant assumptions and issues for asset disposal.

Conduct Transactions

– Manage bid process; respond to potential bidders and sales negotiations; draft and present sale bid to agency to validate winning bid; develop sales strategy in accordance with laws/ regulations; determine if agency’s advertisements, marketing materials, mailings and other methods reach target markets and how they might be approved; participate in post-bidding process; review post-sale documentation and participate in the agency review meetings.

Budget/Budget Analysis

– Prepare and present budget proposals and plans for resolution of asset or other transaction, develop, gather, review and store data relevant to support asset sale; complete budget documents/ reports;

estimate the budgetary cost of future or going resolutions, calculate Federal credit scoring impact.

Marketing and Pre/Post Asset Resolution Support

– Identify asset to be resolved and put forth marketing plan designed to achieve long-term objectives; implement marketing plan; review marketing plans and all related documents;

recommend enhancements to marketing effort; prepare and distribute marketing materials;

make available a borrower tracking system; draft releases of the sales results; review proposed modifications; review asset information; build and maintain a database of assets for sale or other dispositions;

perform data field checks;

perform stratification; oversee and track sales; supervise the post-bid due diligence; provide written post-sales analysts;

participate in the post-bid meeting and offer insights;

review the post sale documentation and participate in the agency review meetings.

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SIN 520-5 Loan Servicing and Asset Management

Ernst & Young can provide loan servicing and asset management services as needed to service, monitor and maintain government-held loans/assets or other investments;

refinancing of government-held loans/assets; avert defaults; share and help manage risk on serviced loans/assets; and/or service and monitor loans and other asset guarantees. These include, but are not limited to, the following services:

Assist in assessment and improvement of current asset management processes related to cash management, inventory management, government property, plant and equipment and other assets, adequacy of controls, policies, procedures, loan servicing practices, and review of opinions on financing and refinancing - Review and maintain borrower data.

– Maintain data elements required to service loans.

– Link all loan records and documents (e.g., letters and forms) to loans and borrower services.

– Record all contacts with borrowers or borrower’s representatives.

– Verify data on the loan application.

Exchange data with an agency’s central database and reconcile information

– Electronically exchange loan and other asset servicing/ management data with an agency’s central database.

– Reconcile transactions and financial data elements.

Issue forms, disclosures, letters, and other materials

– Design standard correspondence. - Issue standardized forms, letters, and disclosures.

– Maintain a correspondence tracking system.

– Generate, store, and distribute loan materials such as deferment forms, coupon books, and income contingent waiver forms.

Convert loans to repayment status

– Identify loans entering the grace period through status changes.

– Provide a repayment schedule to the borrower before the grace period ends.

– Provide the borrower a billing settlement based on the repayment schedule previously disclosed.

– Update borrower’s account and associated asset records with changes in status and implement required changes to loan servicing.

– Notify borrower of changes in status.

Contact the borrower or otherwise facilitate the borrower’s compliance with the loan repayment terms. - Provide borrowers with default prevention notices.

– Provide a repayment schedule before deferment or forbearance ends.

– Provide loan counseling upon request and respond to inquiries.

– Provide alternative repayment plans.

– Notify borrower to confirm repayment plan.

Calculate interest Calculate and post interest on borrower’s accounts.

– Provide amortization schedule to the borrower.

Reconcile with an agency’s central database Analyze refinancing of government-held loans

– Assess feasibility of refinancing.

- Assess methods for lowering transaction costs.

– Recommend procedures to facilitate refinancing.

– Perform subsidy layering reviews. - Restructure agency held or insured project loans.

Workout or restructure troubled loans and other assets.

Assist agencies with overseeing and managing entities servicing their guaranteed on direct loan portfolios.

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SIN 520-7 Financial & Performance Audits SIN 520-8 Complementary Audit Services

Financial Statement Audit Services Ernst & Young provides audit services to hundreds of Federal, state and local governmental units annually, and performs hundreds of other audit engagements in accordance with the Generally Accepted Government Auditing Standards, Office of Management and Budget Bulletins, Office of Inspector General audit guides, PCIE and GAO financial audit manuals as applicable. In the Federal sector, our qualifications include many initial audits of Federal entities, as well as long-standing audit relationships, with work performed pursuant to the applicable Federal financial management legislation (CFO Act, GMRA, GPRA and FFMIA to name a few) and OMB guidance (Bulletins, Circulars, etc.), frequently utilizing stipulated guidance from the PCIE, the GAO and auditee agency guidance and reporting on statements prepared with consideration of the applicable FASAB standards.

In performing these audits, Ernst & Young utilizes its proprietary audit methodology, tailored to the preferences of the OIG for PCIE or GAO Financial Audit Manual conformance as appropriate, to provide the audit services required.

These audits comply with Government Auditing Standards and include an audit of the entity’s financial statements, tests for compliance with Federal laws and regulations, and an assessment of accounting and administrative controls. In all engagements, Ernst & Young continuously communicates with the client to reassess needs and ensure value-added services.

Financial Audit Services Ernst & Young is experienced in advising and assisting Federal agencies in the preparation of annual CFO Act reports, performance audits and audits of annual financial statements. Services may include but are not limited to:

Audit of financial statements prepared in conformity with standards of accounting issued by

SFFAS/AICPA.

Segments of financial statements

– Audit financial information (e.g.

statement of revenues and expenses; statement of cast receipts and disbursements, statement of fixed assets, budget requests; and variance between estimated and actual..

Financial Related Audit Services Financial related audits are performed to determine whether the financial information is in compliance with Federal criteria and whether the internal control process is designed adequately to support stated control objectives.

Internal controls

– Audit for compliance with laws/regulations such as those governing the bidding for, accounting for, and reporting on grants and contracts including proposals, amounts billed and amounts due on termination claims; audit financial and/or safeguarding assets.

– Evaluation of internal controls over financial reporting.

– Audit financial reporting and/or safeguarding assets including controls using computer-based systems.

Compliance with Laws and Regulations.

Performance Audit Services Ernst & Young personnel constantly exchange ideas with our clients to provide the following:

Determine the appropriate scope and objectives for the performance study, and identify the areas most likely to yield a high payback.

Review compliance with applicable laws and regulations.

Involve elected officials, management, and staff in interviews, data gathering, and assessment of recommendations.

Evaluate performance from a variety of perspectives – such as, FABS 2008 10

SIN 520-7 Financial & Performance Audits SIN 520-8 Complementary Audit Services (cont’d)

Strategic direction, clarity of mission, management philosophy, organizational structure, personnel systems, budget allocations, use of computer technology, out-sourcing, and other key resources.

Evaluate performance against appropriate benchmarks and prior year results.

Identify quantitative approaches to measuring the efficiency and effectiveness of operations and develop baseline measures for evaluating the success of our recommendations and the organization’s future performance.

Develop recommendations for performance improvements and an implementation action plan

Economy and Efficiency Audits

– Assess business practices;

evaluate acquisitions; assess duplication of effort by employees; evaluate the optimum amount of resources;

evaluate compliance with requirements/laws/regulations;

assess management control systems for measuring, reporting and monitoring a program’s efficiency; evaluate reported measures of economy/efficiency.

Program Results/Program Fraud Audits

– Assess whether the objectives of a new/ongoing program are proper, suitable, or relevant;

determine to what extent program is working; determine whether program complements, duplicates or conflicts with other programs; assess compliance with laws/ regulations to the programs.

Complementary Audit Services Ernst & Young shall provide services related to the complementary activities of an audit organization. This may include, but not be limited to, the following:

Assist in development of questions for use at hearings;

develop methods and approaches to be applied for evaluating a new program; forecast potential program outcomes; perform peer reviews.

Perform benefit plan audits, quality control reviews, and conduct statistical sampling.

Other complementary audit services.

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SIN 520-11 Accounting SIN 520-12 Budgeting

Accounting and Budgeting Services Our qualifications are grounded in the leading knowledge of Federal financial management initiatives, regulations and FASAB standards. In the area of accounting for example, our leadership in developing an entire series of courses on the FASAB standards, in close cooperation with FASAB staff and the AGA, position us to address issues related to implementing the current and pending requirements. Similarly, with personnel that are leading specialists in budgeting, we are well positioned and have assisted Federal agencies in addressing these requirements.

Over the past 20 years, Ernst & Young has provided the Federal government with a variety of accounting and budgeting specialized services. We have provided Federal entities with accounting and financial systems needs assessments and GPRA strategic support. We also assist Federal entities with credit reform calculations and accounting, and help government clients to develop a simplified reestimate process for credit reform submissions to OMB as required by Circular A-11. Ernst & Young has performed accounting and financial systems needs assessments and recommended various options for accounting, based on requirements and cost benefit analysis.

Our services include the following areas:

Accounting Services Analyze, process and summarize transactions.

Assist in devising new accounting policies and procedures.

Classify accounting transactions.

Perform special studies to improve accounting operations.

Resolve accounting issues/implement audit findings.

Assess or enhance accounting internal controls.

Improve operating efficiency and effectiveness.

Budgeting Services Budget Formulation Process

Assessment.

Assess and improve budget execution process.

Conduct special reviews of budget formulation or budget execution.

Review budgetary controls.

Assist with implementation.

Provide corrective actions.

Improve operating efficiency and effectiveness.

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SIN 520-13 Complementary Financial Management Services

Complementary Financial Management Services Ernst & Young is experienced in providing complementary financial management services that align with the following service lines: Financial Management Services, Technology Risk Services, and Actuarial Service’s. These services include but are not limited to the following:

Assess and improve financial management systems.

Conduct OMB A-123 reviews.

Conduct A-127 system compliance reviews.

Assist with implementation of corrective actions.

Document systems.

Identify systems requirements.

Plan and develop systems.

Assist in meeting agency financial management system requirements.

Assess and improve financial reporting and analysis.

Develop new reporting formats and pro forma financial reports.

Assist in improving and streamlining reporting and analysis processes.

Perform cost-benefit or other special financial analyses.

Indirect cost analysis.

Assist with the requirements of the Government Performance & Results Act.

Assist with devising and implementing performance measures and related processes and systems.

Assist with strategic and operational financial planning.

Resolve audit recommendations.

Assist in managerial cost accounting.

Assist in financial policy formulation and development.

Perform economic and regulatory analyses.

– Develop methods for analyzing costs, benefits and impacts of regulations and policies.

– Collect data and prepare Information Collection Requests for approval by OMB.

– Conduct exposure and risk analyses.

– Develop, modify or apply risk characterization models to analyze and evaluate policies, programs and regulations.

Perform actuarial services and/or actuarial data analysis services.

– Collection, analysis, edition, calibration and data entry of Employee Benefit Plan information.

– Conduct updates of a full actuarial valuation pension plan database, program major upgrades or significant new modeling capabilities.

– Perform quantitative analysis of covered pension plans to identify plans that are potentially noncompliant or underfunded.

Assist with quality assurance efforts.

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Management Services (cont’d)

Financial Management Services Ernst & Young has extensive experience helping CFO’s transform large and complex organizations. The role of the CFO has expanded dramatically. The traditional function of managing an organizations financial statements and capital structure now require a balanced perspective on operational effectiveness and strategic decision making that is required to support improved financial performance.

Ernst & Young assists organization by looking at leading indicators and taking a holistic and independent approach to advising on effectiveness and delivering measurable and sustainable improvements.

Finance Strategy Services Ernst & Young Finance Strategy Services focuses on the development and alignment of support finance function strategy, plans, and priorities within the organization strategy.

Services may include vision, strategy (e.g., centralize/decentralize core skills for the growth of a company vs.

required skills), cost containment (e.g., shared services, outsourcing), and skill alignment.

Finance Operations Effectiveness Services Ernst & Young Finance Operations Effectiveness Services support organizations in need of improving the operational efficiency and effectiveness of finance functions and related operational processes (e.g., Order to Cash; Procure to Pay; Close to Report; Planning and Budgeting).

Services may include assessment, design, and implementation support that address improvements in the finance function and related operational processes and associated controls. Implementation support is defined as assistance with program assurance or management of the organization’s implementation of process improvements, requirements definition, prioritization factor development, validation or testing assistance (e.g., data, processes, or functionality), and metrics/reporting development to monitor/track progress or function effectiveness.

Finance Systems Effectiveness Services Ernst & Young Finance Systems Effectiveness Services assist organizations in improving finance systems effectiveness and related operational systems/applications, including transactional systems;

consolidation and close; reporting; and planning and budgeting. Services may include assistance with defining the scope, business requirements, design, and testing. Services may also include an assessment of systems in meeting user needs, evaluation of system controls, and program management.

Performance Management Services Ernst & Young Performance Management Services assist organizations in organizing and capturing historical financial and operational data and making it accessible, logical, and usable.

Provide operational and financial insight into current business performance across multiple dimensions (product, customer, geography, channel, and business unit). Services include conducting economic and statistical analyses to support client decision making and performance management including the development of fact-based business plans and operational models based on the organization’s historical data and external information sources.

Fraud Investigation & Dispute Services Our Fraud Investigation & Dispute Services (FIDS) can help agencies find ways to manage risk, investigate alleged misconduct, and measure the financial implications of disputes.

Our proven methods can assist in addressing the challenges of doing business, helping to resolve conflict and realize value.

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Management Services (cont’d)

Technology Risk Services Ernst & Young Technology Risk Services professionals assist clients managing their risk associated with technology. Our approach focuses on technology risk from an agency’s mission perspective rather than from a pure compliance perspective. With that our advice is geared towards an enterprise view of technology risk and is closely linked to the overarching risks to the agency’s goals and objectives.

Our methods, tools, and knowledge objects have been developed as a result of extensive services provided to a broad range of clients, including multi-national corporations and Federal agencies.

SAS 70 Services Ernst & Young has performed extensive amounts of SAS 70 examinations for both government and nongovernment clients. Ernst & Young is uniquely qualified to provide a proven method of customized analysis, testing and documentation conforming to the American Institute of Certified Public Accountant’s Statement on Auditing Standards No.

70 (SAS 70); “Service Organizations.”

Whether an agency provides data center services or operates a payment management system, our professionals have conducted SAS 70 examinations for a wide variety of subject matters.

Third-Party Reporting Services Ernst & Young Third-Party Reporting Services helps communicate assurance that an organization is operating certain attributes of IT systems and processes (i.e. security, availability, reliability, privacy, and confidentiality) according to stated organization objectives and third-party contractual commitments and obligations. Whether management’s assertion is based on standard criteria (e.g., AICPA TrustServices) or needs to be customized to meet a specific need, Ernst & Young has the experience and methodologies to address your attestation needs.

ERP Advisory Services Ernst & Young ERP Advisory Services helps organizations mitigate risks and identify warning signals of project failure with a focus on controls and security throughout the systems development life cycle (SDLC).

Services also can include application control assessments for situations independent of an implementation.

Security Assessment Services Security Assessment Services provide support to organizations in identifying and managing their security risks and exposures. Services may include penetration testing, the detailed testing of system configurations, policy and guidelines reviews, web-based applications and perimeter reviews, as well as security architecture reviews.

We have in-depth experience with a multitude of technical standards promulgated by international organizations, the National Institute of Standards and Technology, the U.S.

Department of Defense, and others.

Information Management and Analysis Services Ernst & Young Information Management and Analysis Services help organizations capture, assess, and analyze large volumes of data for both management decision-making and external requirements (e.g.

investigations, litigation support, and independent reporting). In addition, data analytics capabilities are used to analyze and identify important business trends and/or potential anomalous transactions or fraudulent activities.

Financial Audit IT Integration Services Ernst & Young Financial Audit IT Integration Services focuses on moderately to highly complex IT environments. Ernst & Young professionals provide IT experience and specialization for financial statement audits including documentation, assessment, and testing services.

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Management Services (cont’d)

IT Internal Audit Services Ernst & Young IT Internal Audit Services assist organizations in the development and execution of an internal audit plan aimed at addressing IT related business risks. Services are designed to meet the audit needs of Office of Inspector General organizations and Internal Review groups and range from single discreet projects focused on a specific risk, to partial or full IT internal audit outsourcing.

Actuarial Services Our actuarial advisory approach is best described as innovative, tailored, and responsive. Each client has a unique set of concerns that require creative approaches specifically designed to meet its particular needs.

“Off-the-shelf” approaches to unique problems in a dynamic environment provide little value to clients striving for excellence.

Ernst & Young is the leading international professional services firm serving the insurance industry.

This leading position has served us well in our services to you. Our professionals are steeped in workers’ compensation and post employment health insurance. We serve almost 25% of the 1,000 largest insurance organizations in the world. Our Actuarial Advisory Practice offers the depth and breadth of experience and resources needed for competent, comprehensive, professional assistance.

We provide a broad range of actuarial advisory services to insurance companies, organizations self-insured in workers’ compensation, health insurance, etc., insurance regulatory agencies, banks, attorneys, associations, and investment bankers.

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Best Value—Blanket Purchase Agreements

Ernst & Young can enter into Blanket Purchase Agreements (BPAs) when the items listed below are provided.

BPAs can reduce costs and save time as individual orders and invoices are not provided for each procurement, but can be documented on a consolidated basis.

a) The period of time covered under the agreement shall not exceed the period of the contract including option period(s) (except when mutually agreed upon by both parties).

b) Orders placed under such agreements shall be issued in accordance with all applicable regulations and the terms of the contract.

c) BPAs shall be established to obtain the maximum discount (lowest net price) available in those schedule contracts containing volume or quantity discount arrangements.

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FABS Rates Ernst & Young LLP FABS Rates/Contract No. GS-23F-8152H

The following categories are offered at the prices indicated:

FABS Rates starting January 1, 2008 through May 30, 2013

SIN 520-1 Program Financial Advisor Services

SIN 520-2 Transaction Specialist

Labor Category

5/31/2007 through

5/30/2008

5/31/2008 through

5/30/2009

5/31/2009 through

5/30/2010

5/31/2010 through

5/30/2011

5/31/2011 through

5/30/2012

5/31/2012 through

12/31/2012 Partner/Principal/Executive Director/Heavy Senior Manager* $470.64 $484.76 $499.31 $514.29 $529.72 $545.61

Senior Manager $363.10 $374.00 $385.21 $396.77 $408.67 $420.93

Manager $264.81 $272.75 $280.94 $289.37 $298.05 $306.99

Senior $215.09 $221.54 $228.18 $235.03 $242.08 $249.34

Staff $146.86 $151.27 $155.80 $160.48 $165.29 $170.25

Project Leader $373.51 $384.71 $396.26 $408.14 $420.39 $433.00

Project Manager $320.32 $329.93 $339.82 $350.02 $360.52 $371.33

Task Leader $242.84 $250.12 $257.63 $265.36 $273.32 $281.52

Senior Accountant/Auditor $261.34 $269.18 $277.26 $285.57 $294.14 $302.97

Staff Accountant/Auditor $146.86 $151.27 $155.80 $160.48 $165.29 $170.25

Actuary $300.66 $309.68 $318.97 $328.54 $338.39 $348.54

Economist/Risk Specialist $293.72 $302.53 $311.61 $320.96 $330.58 $340.50

Mortgage Banker/Transaction Specialist $264.81 $272.75 $280.94 $289.37 $298.05 $306.99

Senior Financial Analyst $314.53 $323.97 $333.69 $343.70 $354.01 $364.63

Staff Financial Analyst $169.99 $175.09 $180.34 $185.75 $191.32 $197.06

Communications Specialist $210.46 $216.77 $223.28 $229.98 $236.88 $243.98

Administrative Support/Graphics $146.86 $151.27 $155.80 $160.48 $165.29 $170.25

Budget/Policy Analyst $276.37 $284.67 $293.21 $302.00 $311.06 $320.39

Trainer $268.28 $276.33 $284.62 $293.16 $301.95 $311.01

Quality Control/Assurance $470.64 $484.76 $499.31 $514.29 $529.72 $545.61

Industry Specialist $597.85 $615.78 $634.26 $653.28 $672.88 $693.07

* 10 or more years of experience.

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FABS Rates (cont’d)

SIN 520-2: Pricing for Assets (with Unpaid Principal Balances)

Unpaid Principal Balance Range Total Fee Basis Point Range including IFF $0 to $25,000,000 68.5 – 131

$25,000,001 – $100,000,000 46 – 106

$100,000,001 – $500,000,000 21 – 68.5

Greater than $500,000,001 16 – 23

SIN 520-2: Pricing for Securities (in Basis Points)

Gross Proceeds (U.S. Dollars) Final Maturity Date Less than $10 million Greater than $10 million

Less than 6 months 10 bps 6 bps

6 months to 2 years 8 bps 4 bps

2 years to 5 years 6 bps 3 bps

Greater than 5 years 4 bps 2 bps

Note: Any hourly services required under SIN 520-2 will be at the billing rate.

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SIN 520-5 Loan Servicing and Asset Management

SIN 520-12 Budgeting

SIN 520-13 Complementary and Financial Management Services

Labor Category

5/31/2007 through

5/30/2008

5/31/2008 through

5/30/2009

5/31/2009 through

5/30/2010

5/31/2010 through

5/30/2011

5/31/2011 through

5/30/2012

5/31/2012 through

12/31/2012 Partner/Principal/Executive Director/ Heavy Senior Manager* $435.95 $449.03 $462.50 $476.38 $490.67 $505.39

Senior Manager $338.82 $348.98 $359.45 $370.24 $381.34 $392.78

Manager $259.03 $266.80 $274.80 $283.05 $291.54 $300.28

Senior $187.33 $192.95 $198.74 $204.70 $210.84 $217.17

Staff $127.20 $131.02 $134.95 $139.00 $143.17 $147.46

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SIN 520-7 Financial and Performance Audits

SIN 520-8 Complementary Audit Services

Labor Category

5/31/2007 through

5/30/2008

5/31/2008 through

5/30/2009

5/31/2009 through

5/30/2010

5/31/2010 through

5/30/2011

5/31/2011 through

5/30/2012

5/31/2012 through

12/31/2012 Partner/Principal/Executive Director/ Heavy Senior Manager* $290.25 $298.96 $307.93 $317.16 $326.68 $336.48

Senior Manager $232.43 $239.40 $246.59 $253.98 $261.60 $269.45

Manager $174.61 $179.85 $185.25 $190.80 $196.53 $202.42

Senior $130.00 $133.90 $137.92 $142.05 $146.32 $150.71

Staff $100.00 $103.00 $106.09 $109.27 $112.55 $115.93

Labor Category

Partner/Principal/Executive Director/ Heavy Senior Manager* $339.97 $350.17 $360.68 $371.50 $382.64 $394.12

Senior Manager $257.87 $265.61 $273.58 $281.78 $290.24 $298.94

Manager $232.43 $239.40 $246.59 $253.98 $261.60 $269.45

Senior $136.45 $140.55 $144.76 $149.11 $153.58 $158.19

Staff $101.76 $104.81 $107.96 $111.20 $114.53 $117.97

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SIN 520-11 Accounting

Labor Category

5/31/2007 through

5/30/2008

5/31/2008 through

5/30/2009

5/31/2009 through

5/30/2010

5/31/2010 through

5/30/2011

5/31/2011 through

5/30/2012

5/31/2012 through

12/31/2012 Partner/Principal/Executive Director/ Heavy Senior Manager* $405.89 $418.06 $430.61 $443.52 $456.83 $470.54

Senior Manager $334.19 $344.22 $354.54 $365.18 $376.14 $387.42

Manager $246.31 $253.70 $261.31 $269.15 $277.22 $285.54

Senior $187.33 $192.95 $198.74 $204.70 $210.84 $217.17

Staff $115.64 $119.11 $122.68 $126.36 $130.15 $134.06

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Labor Category Descriptions

SIN 520-1 Program Financial Advisor Services SIN 520-2 Transaction Specialist

Partner/Principal/Executive Director Responsible for scope, direction, planning, and completion as well as the commitment of the Firm’s resources to the engagement plan.

Monitors the status of the engagement. Is also responsible for communications with the client, overall project management and the presentation of final work product. Such personnel typically have more than 10 years of experience, with several years as Partner-in- Charge or a similar role of engagements with the private sector or the Federal government.

Heavy Senior Manager Responsibilities include engagement planning, supervision, review and completion of work. Monitors the status of the engagement.

Advises and consults with Partners and Principals on all significant developments. Acts as primary liaison to the client. Makes Partners and Principals aware of all major developments. Reviews work papers and oversees the drafting of reports. Heavy Senior Managers typically have more than 10 years of experience, with generally at least 3 years as managers of engagements for the private sector, the Federal government or in another specialized area required by a task order.

Senior Manager Responsibilities include engagement planning, supervision, review and completion of work. Monitors the status of the engagement.

Advises and consults with Partners on all significant developments. Acts as primary liaison to the client. Makes Partners aware of all major developments. Reviews work papers and oversees the drafting of reports. Senior Managers typically have between 8-10 years of experience, with generally at least 2 years of experience as managers of engagements for the private sector, the Federal government or in another specialized area required by a task order.

Manager Responsibilities include engagement planning, supervision, review and completion of work. Monitors the status of the engagement.

Advises and consults with Partners, Principals, Heavy Senior Managers, and Senior Managers on all significant developments. Acts as primary liaison to the client. Makes Partners, Principals, Heavy Senior Managers, and Senior Managers aware of all major developments. Reviews work papers and oversees the drafting of reports. Managers typically have 4-8 years of experience, with at least 1 year of experience on engagements for the private sector, the Federal government or in another specialized area required by a task order.

Senior Performs field work and supervises staff professionals. Completes more difficult and technical areas. Analyzes engagement progress and meets regularly with Managers, Senior Managers, Heavy Senior Managers, Principals, and Partners regarding budget and engagement issues. Generally, possesses 2-4 years of experience, with at least 1 year of experience as an auditor or advisor on engagements for the private sector, the Federal government or in another specialized area required by a task order.

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SIN 520-1 Program Financial Advisor Services SIN 520-2 Transaction Specialist (cont’d)

Staff Performs specifically assigned tasks in accordance with directions provided by Seniors, Managers, Senior Managers, Principals, and Partners. Generally, possesses up to 2 years of experience on engagements for the private sector, the Federal government or in another specialized area required by a task order.

Project Leader Organizes and directs the overall performance of the contract. Interacts with management personnel assigned to the engagement and is responsible for decisions made with respect to any technical or administrative matters encountered. Approves the engagement planning and is responsible for the timeliness and quality of services and issuance of final reports. Obtains the current status of the engagement from the Project Manager and submits scheduled progress reports. Has an undergraduate or graduate degree and has approximately nine years or more of relevant work experience.

Project Manager Manages the overall performance of the contract and reports to the Project Leader. Has primary responsibility for supervising the engagement and is responsible for the completion of all required tasks. Assumes responsibility for the coordination of subordinate activities. Reviews the draft of the report prior to submission for project leader approval. Conducts quality control of work. Has an undergraduate or graduate degree and has approximately seven years or more of relevant work experience.

Task Leader Manages one or several specific tasks for the engagement and reports to the Project Manager. Has primary responsible for implementation of specific task orders and conducts detailed quality control of associated work. Responsible for daily supervision of staff and periodic reporting to the Project Manager. Has an undergraduate or graduate degree and has approximately four years or more of relevant work experience.

Senior Accountant/Auditor Responsible for major segments of audit or accounting related work. Supervises, directs and participates in the efforts of staff accountants in the performance of the audit procedures relative to the engagement plan. Exercises supervisory control over field personnel and reviews work papers for proper documentation. Summarizes the results of the audit review or accounting project for consideration by the Project Manager. Has an undergraduate or graduate degree. Generally possess at least four years of experience for financial institutions, real estate, Federal government or other specialized area required by a task order.

Staff Accountant/Auditor Performs the individual audit steps under the direct supervision of the Senior Accountant/Auditor. Prepares work papers and support documentation for exceptions and/or findings. Has an undergraduate or graduate degree. Generally possess up to two years of audit experience for financial institutions, real estate, Federal government or other specialized area required by a task order.

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SIN 520-1 Program Financial Advisor Services SIN 520-2 Transaction Specialist (cont’d)

Actuary Manages actuarial services related to an engagement plan, including but not limited to calculating premiums, reserves, dividends, annuity rates, and risk factors. Has primary responsibility for implementation of actuarial services relative to the engagement plan.

Coordinates analyses with subordinate and related activities, including economic/risk assessments and financial analyses. Reviews work products prior to submission to the Project Leader for approval. Conducts on-site quality control of actuarial work. Has an undergraduate or graduate degree and has approximately five years of relevant work experience.

Economist/Risk/Forecasting/Optimization Performs economic and financial analyses and develops computer models pertaining to estimating and/or managing the level of risk associated with financial asset portfolios. Develops portfolio risk analysis including micro-simulation and scenario analysis, market-based volatility and correlation estimates, and interactions between credit risk and interest rate risk in order to help determine optimum portfolio management strategies. Conducts on-site quality control of economic/risk assessment work. Has an undergraduate or graduate degree and has approximately seven years of relevant work experience.

Mortgage Banker/Transaction Advisor Provides management, disposition, leasing or other advisory services related to real estate, loans or other assets as needed, which may include servicing payments on loans, selling loans, selling or leasing real estate or other assets, providing escrow account maintenance, and keeping related records. Serves as advisor for structure of portfolios and sale of mortgage loans, real estate or other assets. Has an undergraduate or graduate degree and has approximately six years or more of relevant work experience.

Senior Financial Analyst Responsible for the major segments of the financial analysis work. Supervises, directs and participates in the efforts of the staff financial analyst in the performance of tasks as outlined in the engagement plan. Coordinates analyses with subordinate and related activities. Exercises supervisory control over field personnel and reviews work products prior to submission to the Project Leader for approval. Summarizes the results of financial analyses for consideration by the Project Leader. Conducts on-site quality control of financial analysis work. Has an undergraduate or graduate degree and has approximately seven years of relevant work experience.

Staff Financial Analyst Performs financial analysis and market research activities relative to the engagement plan under direct supervision by Senior Financial Analyst. Performs the following types of activities: research of data and trends, market analysis, cost estimates, valuations, financial projections, and sensitivity analyses. Prepares analyses for review and approval by Senior Financial Analyst. Has an undergraduate or graduate degree and has up to two years of relevant work experience.

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SIN 520-1 Program Financial Advisor Services SIN 520-2 Transaction Specialist (cont’d)

Communications Specialist Supervises, directs and participates in the development of Internet and intranet solutions. Evaluates current needs relative to future goals and system requirements.