Solicitation 19PE5024Q0038.pdf

AUTORIZED FOR LOCAL REPRODUCTION STANDARD FORM 1449 (REV. 02/2012)

PREVIOUS EDITION IS NOT USABLE Computer Generated Prescribed by GSA - FAR (48 CFR) 53.212

SOLICITATION/CONTRACT/ORDER FOR COMMERCIAL ITEMS

OFFEROR TO COMPLETE BLOCKS 12, 17, 23, 24, & 30

1. REQUISITION NUMBER

PR12478228

PAGE 1 OF 66 PAGES

2. CONTRACT NO. 3. AWARD/ EFFECTIVE

DATE

4. ORDER NUMBER 5. SOLICITATION NUMBER

19PE5024Q0038

6. SOLICITATION ISSUE

DATE

05/09/2024

7. FOR SOLICITATION

INFORMATION CALL:

a. NAME Saul E Espinoza

b. TELEPHONE NUMBER(No collect calls) Espinozase@state.gov

8. OFFER DUE DATE/

LOCAL TIME

05/23/2024 / 17:00

9. ISSUED BY CODE PE500 10. THIS ACQUISITION IS x UNRESTRICTED OR SET ASIDE: % FOR:

SMALL BUSINESS WOMEN-OWNED SMALL BUSINESS

HUBZONE SMALL

BUSINESS

(WOSB) ELLIGIBLE UNDER THE WOMEN-OWNED

SMALL BUSINESS PROGRAM NAICS:

EDWOSB EMERGING SMALL BUSINESS

AMERICAN EMBASSY LIMA

Av. Lima Polo cdra 2 s/n, Monterrico, Surco, ATTN:

GSO/Procurement Lima

PERU

SERVICE-DISABLED

VETERAN-OWNED

SMALL BUSINESS 8 (A) SIZE STANDARD:

13b. RATING11. DELIVERY FOR FOB DESTINAT-

TION UNLESS BLOCK IS

MARKED

SEE SCHEDULE

12. DISCOUNT TERMS 13a. THIS CONTRACT IS A

RATED ORDER UNDER

DPAS (15 CFR 700)

14. METHOD OF SOLICITATION

x RFQ IFB RFP

15. DELIVER TO CODE 16. ADMINISTERED BY CODE

AMERICAN EMBASSY LIMA

ave. Lima Polo Cdra 2 Monterrico, ATTN:

INL Management Lima

PERU

AMERICAN EMBASSY LIMA

ave. Lima Polo Cdra 2 Monterrico, ATTN: INL Management Lima

PERU

CODE FACILITY

CODE

17a. CONTRACTOR/

OFFERER

TELEPHONE NO.

18a. PAYMENT WILL BE MADE BY

AMERICAN EMBASSY LIMA

AV. Lima Polo cdra 1 s/n Monterrico-Surco, ATTN: FMO /

DBO

Lima 33

PERU

CODE

17b. CHECK IF REMITTANCE IS DIFFERENT AND PUT SUCH ADDRESS IN

OFFER

18b. SUBMIT INVOICES TO ADDRESS SHOWN IN BLOCK 18a UNLESS BLOCK

BELOW IS CHECKED SEE ADDENDUM

19.

ITEM NO.

20.

SCHEDULE OF SUPPLIES/SERVICES

21.

QUANTITY

22.

UNIT

23.

UNIT PRICE

24.

AMOUNT

(Use Reverse and/or Attach Additional Sheets as Necessary)

25. ACCOUNTING AND APPROPRIATION DATA 26. TOTAL AWARD AMOUNT (For Govt. Use Only)

27a.SOLICITATION INCORPORATES BY REFERENCE FAR 52.212-1, 52.212-4. FAR 52.212-3 AND 52.212-5 ARE ATTACHED. ADDENDA ARE ARE NOT ATTACHED

27b.CONTRACT/PURCHASE ORDER INCORPORATES BY REFERENCE FAR 52.212-4. FAR 52.212-5 IS ATTACHED. ADDENDA ARE ARE NOT ATTACHED

28. CONTRACTOR IS REQUIRED TO SIGN THIS DOCUMENT AND RETURN _ __ COPIES

TO ISSUING OFFICE. CONTRACTOR AGREES TO FURNISH AND DELIVER ALL ITEMS

SET FORTH OR OTHERWISE IDENTIFIED ABOVE AND ON ANY ADDITIONAL SHEETS

SUBJECT TO THE TERMS AND CONDITIONS SPECIFIED HEREIN.

29. AWARD OF CONTRACT: REF. _ _______________ OFFER DATED

_ __________. YOUR OFFER ON SOLICITATION (BLOCK 5), INCLUDING ANY

ADDITIONS OR CHANGES WHICH ARE SET FORTH HEREIN, IS ACCEPTED AS

TO ITEMS:

30a. SIGNATURE OF OFFEROR/CONTRACTOR 31a. UNITED STATES OF AMERICA (SIGNATURE OF CONTRACTING OFFICER)

30b. NAME AND TITLE OF SIGNER (Type or print) 30c. DATE SIGNED 31b. NAME OF CONTRACTING OFFICER (Type or print) 31c. DATE SIGNED x x x

Carlos Quimpo

See full schedule of services on continuation sheets

ITEM NO. 20.

SCHEDULE OF SUPPLIES/SERVICES

21.

QUANTITY

22.

UNIT

23.

UNIT PRICE

24.

AMOUNT

32a. QUANTITY IN COLUMN 21 HAS BEEN

RECEIVED INSPECTED ACCEPTED, AND CONFORMS TO THE CONTRACT, EXCEPT AS NOTED: _______________________________

32b. SIGNATURE OF AUTHORIZED GOVERNMENT

REPRESENTATIVE

32c. DATE 32d. PRINTED NAME AND TITLE OF AUTHORIZED GOVERNMENT

REPRESENTATIVE

32e. MAILING ADDRESS OF AUTHORIZED GOVERNMENT REPRESENTATIVE 32f. TELEPHONE NUMBER OF AUTHORIZED GOVERNMENT REPRESENTATIVE

32g. E-MAIL OF AUTHORIZED GOVERNMENT REPRESENTATIVE

33. SHIP NUMBER 34. VOUCHER NUMBER 35. AMOUNT VERIFIED

CORRECT FOR

36. PAYMENT 37. CHECK NUMBER

PARTIAL FINAL COMPLETE PARTIAL FINAL

38. S/R ACCOUNT NO. 39. S/R VOUCHER NO. 40. PAID BY

41.a. I CERTIFY THIS ACCOUNT IS CORRECT AND PROPER FOR PAYMENT 42a. RECEIVED BY (Print) 41b. SIGNATURE AND TITLE OF CERTIFYING OFFICER 41C. DATE

42b. RECEIVED AT (Location)

42c. DATE REC’D (YY/MM/DD) 42d. TOTAL CONTAINERS

STANDARD FORM 1449 (REV. 2/2012) BACK

001 The International Narcotics and Law Enforcement Affairs of the Embassy of the United States of America in Lima, Peru, requires the services of an audit firm in order to carry out: a) monthly reviews and annual financial audit of the Special Project "Control and Reduction of Coca Cultivation in the Upper Huallaga - CORAH"; b) monthly reviews and annual financial audit of expenditures by CORAH with INL funds that are contributed by the National Commission for the Development and Life without Drugs (DEVIDA) and c) review of the project operations during 2024.

Audit services shall be completed no later than April 30, 2025.

12 each

V.A.T

Total

SECTION 1

SPECIFICATIONS AND TECHNICAL QUALIFICATIONS:

Continuation to sf-1449, RFQ Number 19PE5024Q0038 Schedule of supplies/services, block 20 Description/specifications/work statement

TERMS OF REFERENCE AND

STATEMENT OF WORK

FINANCIAL AUDIT OF "INL" RESOURCES AND "INL - DEVIDA" FUNDS

ADMINISTERED BY "SPECIAL PROJECT CORAH "; AND REVIEW OF

THE PROJECT OPERATION DURING THE YEAR 2024

1.1 GENERAL DESCRIPTION

The International Narcotics and Law Enforcement Affairs (hereinafter INL) of the Embassy of the United States of America in Lima, Peru, requires the services of an audit firm (hereinafter Auditors) in order to carry out: a) monthly reviews and annual financial audit of the Special Project "Control and Reduction of Coca Cultivation in the Upper Huallaga - CORAH" (hereinafter CORAH), b) monthly reviews and annual financial audit of expenditures by CORAH with INL funds that are contributed by the National Commission for the Development and Life without Drugs (DEVIDA) and c ) review of the project operations during 2024.

CORAH, a non-profit entity, was created by Supreme Resolution 043-82/AG of the Ministry of Agriculture, and in accordance with the Convention of "Cooperation to Reduce the Production, Distribution and Use of Illicit Drugs" signed in 1981 between the Governments of Peru and the United States of America.

On August 22, 1988, by Ministerial Resolution 0005-88-IN/OFECOD, CORAH came under the administration and operation of the Executive Office of Drug Control (OFECOD) of the Ministry of Interior.

Economic activity

The main economic activity of CORAH is to project, implement and monitor measures and actions to reduce illicit coca cultivation at a national level. The legal address of the institution, where its administrative offices are located is Av. Centenario N° 1045, Urbanización Pucallpa, Coronel Portillo Province, Pucallpa.

Solicitation 19PE5024Q0038 Page 3 of 51

1.2 STATEMENT OF WORK AND CONTRACT OBJECTIVE

The objective of this procurement of technical services is that auditors conduct financial audits of the resources provided by INL and INL-DEVIDA funds administered by CORAH during 2024, and to review the project operations during this year.

1.2.1. Financial audits (INL resources): will include the following:

a) Monthly: Review of CORAH monthly financial statements, to be prepared and submitted during 2024, in accordance with accounting principles generally accepted in Peru.

b) Annual: Review of CORAH financial statements, to be prepared as of December 31, 2024, in accordance with Accounting Principles Generally Accepted in Peru, in order for auditors to express an opinion on whether these financial statements reasonably present, in all material aspects, CORAH’s financial position, the results of its activities and its cash flows for the year ending on that date.

1.2.2. Financial audits (INL - DEVIDA funds): They will include the following:

a) Monthly: Review the monthly Fund Accountability Statement where received income is shown (assignments) and the incurred costs (executed disbursements) recorded on a cash basis, which is an accounting system other than the one based on accounting principles generally accepted in Peru.

b) Annual: Exam of the Fund Accountability Statement of funds provided by INL- DEVIDA and managed by CORAH, during the period from January 1 to December 31, 2024, to be prepared and submitted on a cash basis, which is an accounting system different than the one based on accounting principles generally accepted in Peru, in order for auditors to express an opinion on whether the Fund Accountability Statement reasonably presents, in all material aspects, the received income and the incurred costs in accordance with the terms of understanding between INL-DEVIDA and CORAH.

1.2.3. Review of the project operations during 2024.

Monthly review of project operations during 2024, in accordance with the terms described in Chapter 1.3.3. This review, which covers the administrative and operational systems of CORAH, must be performed by auditors in accordance with a chronogram and an Annual Work Plan developed and approved by the auditors and the INL officers. Auditors must determine the defects and suggest improvements, establish the causes for deviations and propose corrections, find the source of the problems and propose solutions. For this purpose, they must conduct a study and an assessment of CORAH’s internal control in order to obtain sufficient understanding of the design of relevant policies and procedures and whether these policies and procedures have been applied to CORAH operations. As part of this work, auditors must review the status of the actions taken as a result of the findings and recommendations reported in previous audits (internal and external).

Auditors are not required to discuss or express an opinion regarding whether the objectives, goals and projections of eradication of CORAH were achieved or not. Besides, auditors are

Solicitation 19PE5024Q0038 Page 4 of 51 not required to perform an audit of the CORAH "Results", since this is a responsibility of the CORAH Executive Staff and the INL Narcotics Control Program Advisor.

1.3 METHODOLOGY AND SPECIFIC OBJECTIVES

1.3.1 Financial audits (INL resources):

a) Monthly

The monthly review of the financial statement prepared based on the operations of the entire organization must be conducted in accordance with Auditing Standards Generally Accepted in Peru. These standards require auditors to comply with ethical requirements and to plan and perform the audit to obtain reasonable assurance that the CORAH monthly financial statements do not contain material misstatements.

The monthly audit must include the implementation of procedures to obtain audit evidence about the amounts and disclosures on the financial statements. The selected procedures will depend on the auditors' judgment, including risk assessment to see if the financial statements contain material misstatements, whether due to fraud or error. When conducting the risk assessment, auditors must consider internal control of CORAH in the preparation and reasonable presentation of the financial statements in order to design audit procedures in accordance with the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the CORAH internal control. The audit must also include an assessment of whether the applied accounting principles are appropriate and whether the accounting estimates made by management are reasonable, as well as an assessment of the overall presentation of the financial statements.

CORAH’s administration will be responsible for preparing and reasonably present the monthly financial statements in accordance with accounting principles generally accepted in Peru. This responsibility includes: designing, implementing and maintaining internal controls relevant to the preparation and reasonable presentation of financial statements that are free from material misstatement, whether as a result of fraud or error, selecting and applying appropriate accounting policies, and making accounting estimates that are reasonable under the circumstances.

The objective of this monthly review is that auditors must issue Comment Letters addressed to INL with copies to the CORAH Executive Management containing significant matters that might have the monthly financial statements and internal control aspects. They must also include suggestions on important matters of CORAH’s operation that contribute to improve them.

Because there is no International Accounting Standards dealing with non-profit organizations, CORAH additionally uses the application of the accounting principles applied in the United States of America (FASB – Financial Accounting Standards Board), established under the Accounting National Council. The FASB standards applied by CORAH are:

Solicitation 19PE5024Q0038 Page 5 of 51

• FASB 116 "Accounting for Contributions Received and Contributions Made"

• FASB 117 "Financial Statements of Not- For- Profit Organizations"

The financial statements subject to monthly audits are prepared and presented in accordance with FASB 117 and are as follows:

• Statement of financial position integral

• Statement of integral results and changes in net institutional equity

• Statement of cash flows, and

• Notes to the financial statements.

In this regard, the statement of CORAH’s financial position includes recording operations of the following budgets:

CORAH:

- Executive Direction -Operations Direction

- Technical Support Direction

- Administrative Direction

- Interdiction Unit

Assignments (controlled in asset and liability accounts):

- Aviation Program and Construction Fund

- Police Program Fund

- Ports Program Fund

- Project and Development Fund

- INL - DEVIDA Fund

The number of samples and the amounts to be reviewed will be determined by the auditors, covering at least 65 % of the expenditure in each budget. The auditors must necessarily include, under a reasonable criterion, samples and amounts of the remuneration category, as well as the goods and services categories.

b) Annual

The audit of the financial statements based on the operations of the entire organization must be done in accordance with Auditing Standards Generally Accepted in Peru. These standards require auditors to comply with ethical requirements, and plan and perform the audit to obtain reasonable assurance that the CORAH annual financial statements do not contain material misstatements.

The annual audit must include the implementation of procedures to obtain audit evidence about the amounts and disclosures on the financial statements. The selected procedures depend on the auditors' judgment, including an assessment of the risk to see if the financial statements contain material misstatements, as a result of fraud or error. When conducting the risk assessment, auditors must consider CORAH’s internal control at preparing and

Solicitation 19PE5024Q0038 Page 6 of 51 reasonably presenting the financial statements in order to design audit procedures in accordance with the circumstances, but not to express an opinion on CORAH’s internal control effectiveness. The audit must also include an assessment of whether the accounting principles applied are appropriate and whether the accounting estimates made by management are reasonable, as well as an assessment of the overall presentation of the financial statements.

CORAH’s administration will be responsible for preparing and reasonably presenting the monthly financial statements in accordance with accounting principles generally accepted in Peru. This responsibility includes: designing, implementing and maintaining internal control relevant to the preparation and reasonable presentation of financial statements that are free from material misstatements, whether as a result of fraud or error, selecting and applying appropriate accounting policies, and making accounting estimates that are reasonable under the circumstances.

The objective of this annual review is make auditors express an opinion on whether these financial statements reasonably present, in all material aspects, CORAH’s financial position as of December 31, 2024, the results of its activities and its cash flows for the year ending on that date; according to general accepted principles in Peru.

Because there is no International Accounting Standards dealing with non-profit organizations, CORAH additionally uses the application of the accounting principles applied in the United States of America (FASB), established under the Accounting National Council. The FASB standards applied by CORAH are:

• FASB 116 "Accounting for Contributions Received and Contributions Made"

• FASB 117 "Financial Statements of Not- For- Profit Organizations"

The financial statements subjected to monthly audits are prepared and presented in accordance with FASB 117 and are as follows:

• Statement of financial position

• Statement of integral results and changes in net institutional equity

• Statement of cash flows, and

• Notes to the financial statements.

In this regard, the statement of financial position CORAH includes recording operations of the following budgets:

CORAH:

- Executive Direction

- Operations Direction -Technical Support Direction -Administrative Direction

- Interdiction Unit

Assignments (controlled in asset and liability accounts):

Solicitation 19PE5024Q0038 Page 7 of 51

- Aviation Program and Construction Fund (*)

- Police Program Fund

- Ports Program Fund

- Project and Development Fund

- INL - DEVIDA Fund

(*) Liquidations supporting expenses related to construction works are sent to Lima and reviewed by INL Finance. For purposes of the annual audit, it would be necessary that auditors make selective examinations of construction costs incurred.

The number of samples and the amounts to be reviewed will be determined by the auditors, covering at least 65 % of the expenditure in each budget. The auditors must necessarily include, under a reasonable criterion, samples and amounts of the remuneration category, as well as goods and services categories.

1.3.2. Financial audits (INL - DEVIDA funds):

a) Monthly

The monthly review of the Fund Accountability Statement of INL-DEVIDA and managed by CORAH, where income received and expenses incurred each month are shown, must be performed in accordance with Auditing Standards Generally Accepted in Peru. These standards require auditors to plan and perform the audit to have reasonable assurance about whether the revenues and costs recorded in monthly accounts "Assignments" and "Assignments underway" do not contain material representations.

The review of received income (Assignments) and incurred costs (Assignments underway) will be conducted taking into consideration the following accounting policies:

Income recognition: Funds received are recorded on the date they are deposited in the bank account held by CORAH – DEVIDA.

Cost recognition: Costs incurred with funds provided by INL - DEVIDA are recognized on the date of the expenditure.

b) Annual

Annual audit of the Fund Accountability Statement of INL-DEVIDA and managed by CORAH during the period from January 1 to December 31, 2024 must be conducted in accordance with the Auditing Standards Generally Accepted in Peru. These standards require auditors to plan and perform the audit to obtain reasonable assurance on whether the accounting is free from material misstatement.

The audit must include the implementation of procedures to obtain audit evidence about the amounts and disclosures on the Fund Accountability Statement. The selected procedures will depend on the auditors' judgment, including risk assessment to see if the

Solicitation 19PE5024Q0038 Page 8 of 51

Fund Accountability Statement contains material misstatements, whether due to fraud or error. When conducting the risk assessment, auditors must consider CORAH’s internal control in preparing and reasonably presenting the Fund Accountability Statement in order to design audit procedures in accordance with the circumstances, but not for the purpose of expressing an opinion on the effectiveness of CORAH’s internal control. The audit must also include an assessment of whether the accounting principles applied are appropriate and whether the accounting estimates made by management are reasonable, as well as an assessment of the overall presentation of the Fund Accountability Statement.

CORAH’s administration will be responsible for preparing and reasonably presenting the Fund Accountability Statement on a cash basis, which is an accounting system different than the one based on accounting principles generally accepted in Peru. This responsibility includes: designing, implementing and maintaining internal controls relevant to the preparation and reasonable presentation of the Fund Accountability Statement so they are free from material representations, whether as a result of fraud or error, selecting and applying appropriate accounting policies under the circumstances.

The objective of this audit is receive from auditors an opinion whether the Fund Accountability Statement reasonably presents, in all its material aspects, received income and incurred costs in accordance with the existing terms of understanding between INL- DEVIDA and CORAH.

At a minimum for the monthly and annual audit of the Fund Accountability Statement, the auditor should:

Examine the Fund Accountability Statements, including the budgeted amounts by category and accounts, the revenues received for the period covered by the audit, as well as the costs reported by CORAH as incurred during that period. The revenues received, less the costs incurred, after considering any reconciling items, should reconcile with the balance of cash-on-hand and/or in bank accounts.

Identify and quantify any questionable cost.

Questionable costs are referred to:

(a) Ineligible costs which are explicitly questionable because they are unreasonable and not related with the project’s operations, or prohibited by applicable laws and/or internal CORAH directives.

(b) Unsupported costs that are not supported with adequate documentation or did not have the required approvals or authorizations prior to their execution.

All questionable costs resulting from instances of noncompliance with applicable laws and/or internal CORAH directives should be reported.

1.3.3. Review of project operations during 2024

Solicitation 19PE5024Q0038 Page 9 of 51

The auditors’ work will be conducted in accordance with International Standards for the practice of independent auditing, in order to detect weaknesses by which the design or implementation of the specific internal control elements does not reduce the risk to a moderately low level, or errors or frauds that may occur and that are not detected on time by management, while executing its normal duties.

Auditors must:

a) Develop an Annual Audit Plan including activities to perform. This plan must meet the following objectives:

Assess design, scope and operation of the internal control system.

Assess effectiveness and efficiency of operations.

Assess compliance with the legal provisions and internal directives governing in CORAH.

Assess financial information reliability.

Assess the performance of computer systems and mechanisms established by CORAH for the safety thereof.

Perform ongoing monitoring of the implementation of recommendations from external and internal audits proposed by INL.

The Plan must include the control activities to be performed on operations within the period from January 1 to December 31, 2024. The implementation of this plan must reach all areas of the organization, regardless of the hierarchical level and/or geographical area in which it operates.

b) Execute control actions previously established in the Annual Audit Plan. Auditors must perform –but not limited to- the following procedures:

1. Administrative Direction:

a) Logistics Sub Direction:

Verify that acquisitions are made to suppliers included in the Suppliers Registry.

Verify the physical existence of the suppliers included in the Suppliers Registry.

Verify if the suppliers have the storage and sufficient stock of the products registered in the Suppliers

Registry.

Verify the tax situation of the suppliers included in the Suppliers Registry.

Verify if the Suppliers Registry is updated.

Verify that the prices of products quoted by suppliers are related and reasonable according to market prices.

Verify that the product Kardex are updated.

Physically verify some products in storage and cross with the Kardex.

Physically observe inventories of supplies and fixed assets scheduled by the Property Control Area.

Verify that the policies established in the Procedures Manual of the Logistic Sub Direction are accomplished.

b) Human Resources Sub Direction:

On a random basis, check the staff C.V. to verify if it is according to the profile established for the position.

Verify if a public contest was called to fill the vacancy of a job position.

Verify staff attendance.

Solicitation 19PE5024Q0038 Page 10 of 51

Physically verify staff attendance.

Verify that the hours worked according to the time marker clock are the same as those included in the payroll.

Verify the existence of overtime and if these have been authorized.

Verify the payment of overtime or compensation of these with rest days.

Verify each of the concepts included in the payroll.

Verify the calculation of contributions and 5th Income tax category.

Verify the Liquidations for Service Time of the retired personnel.

Determine if the calculation of the CTS deposited in banks was properly determined.

Verify that the policies established in the Manual of Human Resources Sub Direction are

c) Accounting Sub Direction:

Review monthly bank reconciliations of account.

Perform unannounced and surprise CORAH petty cash audits.

Assess software provided by the bank BBVA Continental, which allows access to consult balances and activities of the CORAH accounts, to make payments through funds transfers.

Verify that the policies established in the Manual of Accounting Sub Direction are accomplished.

d) Information Technology Area:

Perform a software and security evaluation of SIA (Sistema Integrado de Administración) which has the objective of supporting the administrative processes, providing agility, efficiency and integrity in the management of information.

Verify that the policies established in the Manual of the Information Technology Area are

2. Operations Direction:

Include visits to the operational units (camps) where eradication labors are conducted. In order to visit the operational units, indispensable arrangements will be made with INL in order to count on the necessary air or ground support, if applicable.

Physically verify the products in storage and cross this information with the balance of the physical kardex.

Verify the existence of expired products.

Verify if the brand and quantity of products received at camps correspond with what was requested in the Purchase Order.

Check the inventory outputs of food for consumption (cold ranch and food preparation).

Verify that products used in the preparation of food, according to the recipe, match the quantities that came out of the storage, considering the number of servings.

Verify that the menu of the week has the approval of the responsible Doctor.

Verify the product outputs for the cold ranch against the Eradication Operations Daily Reports.

Verify that all workers have their medical exams established by law.

Verify the Staff Attendance Control Report (tareos).

Physically verify if workers are at their job positions.

3. Technical Support Direction

Review of the Construction Projects Technical Files (Expediente Técnico) of the works executed in the year.

Review and evaluation of Construction Projects Budgets.

Evaluate the selection and evaluation of construction service providers.

Solicitation 19PE5024Q0038 Page 11 of 51

Physically verify the contractor's facilities.

Verify if the contractor has enough experience to develop the construction projects.

Evaluate the reasonableness of the value of the construction projects with the participation of a construction specialist (engineer).

Verify market prices used in the Construction Projects Budget.

Perform physical verification of the works and determine if they have been executed according to specifications on Construction Projects Technical Files, contract, as well as the technical and economic contractor’s proposal.

Verify that the policies established in the Manual of the Infrastructure Direction are accomplished.

Physically verify the medicines in stock with the balance of kardex.

Check if there are expired medicines.

Verify the medicine outputs from storage against the Medicine Delivery Report signed by the patient.

Check if the people who signed the Medicine Delivery Report actually received the medications.

c) Assess to what extent the control observations by previous external auditors are complied with.

d) If necessary, assist INL staff during monitoring visits to CORAH.

e) Support the Accounting Sub Direction in matters related to accountancy.

f) Prepare audit reports to submit to INL, with copy to CORAH’s Executive Director. These reports must contain matters arising from the planned and implemented control actions.

1.4 AUDIT REPORTS

The monthly reports must be issued in electronic format only (Word and PDF), in Spanish for the CORAH Executive Management, and in Spanish and English for INL. The annual report must be issued in printed and electronic format (Word and PDF), in Spanish for the CORAH Executive Management, and in Spanish and English for INL.

The reports are as follows:

a) Comment Letters containing important issues and control matters arising as a result of the review of the monthly (11) and annual (01) Financial Statements. They must also include suggestions on important issues that help improve CORAH’s operability.

b) An annual report containing the financial statements as of December 31, 2024, prepared on the basis of CORAH’s operations to be conducted in the year, as well as the audit opinion on whether the financial statements reasonably present, in all material aspects, the CORAH’s financial situation as of December 31, 2024, and the results of its operations and its cash flows for the year ending on that date, in accordance with accounting principles generally accepted in Peru.

c) Comment Letters containing important issues and control issues arising as a result of the review of the monthly (11) and annual (01) Fund Accountability Statement. They must also include suggestions on important issues that help to improve the registration, control, Solicitation 19PE5024Q0038 Page 12 of 51 execution and reporting of costs incurred by CORAH with funds provided by INL -

DEVIDA.

d) Annual Report containing the Fund Accountability Statement for the period January 01 through December 31, 2024, prepared based on the received income and incurred expenses by CORAH with funds provided by INL – DEVIDA, as well as the auditors’ opinion as to whether the Fund Accountability Statement for the period January 01 through December 31, 2024, reasonably presents, in all material aspects, the received income and incurred costs of the Agreement signed between DEVIDA and CORAH and prepared on a cash basis, which is an accounting system different than the one based on accounting principles generally accepted in Peru.

e) Reports as a result of reviewing project operations during 2024, based on the Annual Audit

Plan. This report must contain the reportable conditions, including the identification of material weaknesses and findings that are conferred in the reportable conditions, as well as material weaknesses in the internal structure, as a result of the executions of reviewing project operations.

The findings in this report must include a description of the conditions (what is) and the criterion (what it should be). Moreover, the cause (why it happened) and effect (what was the loss caused for not complying with the criteria) must be included in the report of conclusions if they can be easily determined. In addition and if applicable, the conclusions must contain recommendations to correct the causes and conditions. In the absence of internal controls implemented by CORAH for any point of the agreed procedures, auditors must provide broad recommendations for their implementation.

Auditors must identify at least the conditions, criteria and possible impacts, in order to provide sufficient information to INL. This way, we can determine the effect and the cause to take timely and appropriate corrective actions.

The report must also contain, after each recommendation, the views of the managers responsible and related to the auditors’ findings, as well as measures taken by management to implement such recommendations. If possible, the views of the managers must be obtained in writing. In the event that the managers’ comments contradict the results, findings or recommendations and that these are not valid at the auditors’ discretion, the reasons why auditors reject these divergences must be indicated after the managers’ comments. Conversely, the auditors must modify their report if they believe the managers’ comments are valid.

These reports must include all findings, grounds or evidence obtained, leading to conclude that a fraud or an illegal act has occurred or is about to occur and must quantify its effect.

These reports must include identification of all questionable costs, if any, as the result of a fraud or an illegal act, regardless if such found questionable costs have been corrected or if managers agree with them or not.

Solicitation 19PE5024Q0038 Page 13 of 51

In the report of material fraud, illegal acts, or other noncompliance, auditors must place their findings in proper perspective in order to give the reader a basis to judge the impact and consequences of these conditions.

If auditors conclude that there is enough evidence of a fraud or an illegal act, they must contact the INL relevant officials and exercise due professional care in monitoring the indicators of this potential fraud or illegal act, in such a way as not to interfere with potential future investigations, legal proceedings, or both.

These reports must also contain the auditors’ comment on the status of the recommendations from previous audits. Auditors must review and report on the status of actions taken as a result of the findings and recommendations reported by previous audits. When corrective actions have not been conducted and deficiencies remain unresolved until the current audit period, and if these deficiencies are again reported by the current audit, auditors only need to briefly describe the previous finding.

1.5. WORK TEAM

The Auditors must assign a Firm Partner as the one responsible for the audit, while another Partner will act as a consulting partner in charge of performed work quality control.

It is essential for auditors to appoint, full-time for not less than 15 days a month, the audit staff deemed appropriate for planning, directing and executing fieldwork. This term is required because CORAH and INL need a personalized service.

Due to unexpected circumstances and if it is necessary to replace any member of the team, the substitute will have the same category and experience of the member that leaves.

1.6. TERMS OF UNDERSTANDING

The Auditors will state the price of the audit as an “all cost “, taking into account the extension of the labors described in the scope or work and contract objective.

Costs involved in transporting Auditors from the city of Pucallpa to various CORAH operating units (camps) will be assumed by INL.

If necessary, the auditors will meet INL Office staff in order to get a general idea of the work.

The auditors may decide to conduct a field visit to the CORAH facilities in Pucallpa in order to assess the extent of their work and estimate their professional fees accurately. The auditors will assume the costs of this field visit and its date will be coordinated between INL and

CORAH.

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CORAH is responsible for ensuring that all records are available, that all operations and accounting adjustments are executed and should display great collaboration with auditors, performing the necessary actions to let them accomplish their work successfully.

Professional fees will be paid monthly by INL after the submission and review of the corresponding audit reports and invoice.

Electronic Invoices

Upload it after commodity/service completion to MyILMS vendor portal thru MyGrants Login

- MyGrants Portal . https://mygrants.servicenowservices.com/mygrants

Embajada de los Estados Unidos de America - FMO / DBO Avenida La Encalada block 17 s / n, Surco RUC: 20293588776 From Monday to Friday between 09:00 hrs and 14:00 hrs. by the employees’ entrance in Av. Lima Polo cuadra 2 s/n, Surco.

Bidders shall have an active registration in https://sam.gov/content/home, it shall be submitted along with your proposal. Click on the Help tap and then on the right side in the middle, it will walk you through on how to obtain one SAM registration.

https://mygrants.servicenowservices.com/mygrants https://sam.gov/content/home

Solicitation 19PE5024Q0038 Page 15 of 51

For local vendors Value added tax (VAT) shall be quoted separately

* Value Added Tax (VAT) applicable to Peruvian companies only. USG will be reimbursed for this tax according to Bilateral Agreement with GOP. It will not be considered as part of the cost for evaluation purposes.

Solicitation 19PE5024Q0038 Page 16 of 51

SECTION 2

52.212-1 Instructions to Offerors—Commercial Products and Commercial Services.

As prescribed in 12.301(b)(1), insert the following provision:

Instructions to Offerors—Commercial Products and Commercial Services (Sep 2023)

(a) North American Industry Classification System (NAICS) code and small business size standard. The NAICS code(s) and small business size standard(s) for this acquisition appear elsewhere in the solicitation.

However, the small business size standard for a concern that submits an offer, other than on a construction or service acquisition, but proposes to furnish an end item that it did not itself manufacture, process, or produce is 500 employees, or 150 employees for information technology value-added resellers under NAICS code 541519, if the acquisition—

(1)Is set aside for small business and has a value above the simplified acquisition threshold;

(2)Uses the HUBZone price evaluation preference regardless of dollar value, unless the offeror waives the price evaluation preference; or

(3)Is an 8(a), HUBZone, service-disabled veteran-owned, economically disadvantaged women-owned, or women-owned small business set-aside or sole-source award regardless of dollar value.

(b) Submission of offers. Submit signed and dated offers to the office specified in this solicitation at or before the exact time specified in this solicitation. Offers may be submitted on the SF 1449, letterhead stationery, or as otherwise specified in the solicitation. As a minimum, offers must show—

(1) The solicitation number;

(2) The time specified in the solicitation for receipt of offers;

(3) The name, address, and telephone number of the offeror;

(4) A technical description of the items being offered in sufficient detail to evaluate compliance with the requirements in the solicitation. This may include product literature, or other documents, if necessary;

(5) Terms of any express warranty;

(6) Price and any discount terms;

(7) "Remit to" address, if different than mailing address;

(8) A completed copy of the representations and certifications at Federal Acquisition Regulation (FAR) 52.212-3 (see FAR 52.212-3(b) for those representations and certifications that the offeror shall complete electronically);

(9) Acknowledgment of Solicitation Amendments;

(10) Past performance information, when included as an evaluation factor, to include recent and relevant contracts for the same or similar items and other references (including contract numbers, points of contact with telephone numbers and other relevant information); and

Solicitation 19PE5024Q0038 Page 17 of 51

(11) If the offer is not submitted on the SF 1449, include a statement specifying the extent of agreement with all terms, conditions, and provisions included in the solicitation. Offers that fail to furnish required representations or information, or reject the terms and conditions of the solicitation may be excluded from consideration.

(c) Period for acceptance of offers. The offeror agrees to hold the prices in its offer firm for 30 calendar days from the date specified for receipt of offers, unless another time period is specified in an addendum to the solicitation.

(d) Product samples. When required by the solicitation, product samples shall be submitted at or prior to the time specified for receipt of offers. Unless otherwise specified in this solicitation, these samples shall be submitted at no expense to the Government, and returned at the sender’s request and expense, unless they are destroyed during preaward testing.

(e) Multiple offers. Offerors are encouraged to submit multiple offers presenting alternative terms and conditions, including alternative line items (provided that the alternative line items are consistent with FAR subpart 4.10), or alternative commercial products or commercial services for satisfying the requirements of this solicitation. Each offer submitted will be evaluated separately.

(f) Late submissions, modifications, revisions, and withdrawals of offers. (1) Offerors are responsible for submitting offers, and any modifications, revisions, or withdrawals, so as to reach the Government office designated in the solicitation by the time specified in the solicitation. If no time is specified in the solicitation, the time for receipt is 4:30 p.m., local time, for the designated Government office on the date that offers or revisions are due.

(2) (i) Any offer, modification, revision, or withdrawal of an offer received at the Government office designated in the solicitation after the exact time specified for receipt of offers is "late" and will not be considered unless it is received before award is made, the Contracting Officer determines that accepting the late offer would not unduly delay the acquisition; and-

(A) If it was transmitted through an electronic commerce method authorized by the solicitation, it was received at the initial point of entry to the Government infrastructure not later than 5:00 p.m. one working day prior to the date specified for receipt of offers; or

(B) There is acceptable evidence to establish that it was received at the Government installation designated for receipt of offers and was under the Government’s control prior to the time set for receipt of offers; or

(C) If this solicitation is a request for proposals, it was the only proposal received.

(ii) However, a late modification of an otherwise successful offer, that makes its terms more favorable to the Government, will be considered at any time it is received and may be accepted.

(3) Acceptable evidence to establish the time of receipt at the Government installation includes the time/date stamp of that installation on the offer wrapper, other documentary evidence of receipt maintained by the installation, or oral testimony or statements of Government personnel.

(4) If an emergency or unanticipated event interrupts normal Government processes so that offers cannot be received at the Government office designated for receipt of offers by the exact time specified in the solicitation, and urgent Government requirements preclude amendment of the solicitation or other notice of an extension of the closing date, the time specified for receipt of offers will be deemed to be extended to the same time of day specified in the solicitation on the first work day on which normal Government processes resume.

Solicitation 19PE5024Q0038 Page 18 of 51

(5) Offers may be withdrawn by written notice received at any time before the exact time set for receipt of offers. Oral offers in response to oral solicitations may be withdrawn orally. If the solicitation authorizes facsimile offers, offers may be withdrawn via facsimile received at any time before the exact time set for receipt of offers, subject to the conditions specified in the solicitation concerning facsimile offers. An offer may be withdrawn in person by an offeror or its authorized representative if, before the exact time set for receipt of offers, the identity of the person requesting withdrawal is established and the person signs a receipt for the offer.

(g) Contract award (not applicable to Invitation for Bids). The Government intends to evaluate offers and award a contract without discussions with offerors. Therefore, the offeror’s initial offer should contain the offeror’s best terms from a price and technical standpoint. However, the Government reserves the right to conduct discussions if later determined by the Contracting Officer to be necessary. The Government may reject any or all offers if such action is in the public interest; accept other than the lowest offer; and waive informalities and minor irregularities in offers received.

(h) Multiple awards. The Government may accept any item or group of items of an offer, unless the offeror qualifies the offer by specific limitations. Unless otherwise provided in the Schedule, offers may not be submitted for quantities less than those specified. The Government reserves the right to make an award on any item for a quantity less than the quantity offered, at the unit prices offered, unless the offeror specifies otherwise in the offer.

(i) Availability of requirements documents cited in the solicitation.

(1) (i) The GSA Index of Federal Specifications, Standards and Commercial Item Descriptions, FPMR Part 101–29, and copies of Federal specifications, standards, and product descriptions can be downloaded from the ASSIST website at https://assist.dla.mil.

(ii) If the General Services Administration, Department of Agriculture, or Department of Veterans Affairs issued this solicitation, a copy of specifications, standards, and commercial item descriptions cited in this solicitation may be obtained from the address in paragraph (i)(1)(i) of this provision.

(2) Most unclassified Defense specifications and standards may be downloaded from the ASSIST website at https://assist.dla.mil.

(3) Defense documents not available from the ASSIST website may be requested from the Defense Standardization Program Office by—

(i) Using the ASSIST feedback module ( https://assist.dla.mil/feedback); or

(ii) Contacting the Defense Standardization Program Office by telephone at 571–767–6688 or email at assisthelp@dla.mil.

(4) Nongovernment (voluntary) standards must be obtained from the organization responsible for their preparation, publication, or maintenance.

(j) Unique entity identifier.(Applies to all offers that exceed the micro-purchase threshold, and offers at or below the micro-purchase threshold if the solicitation requires the Contractor to be registered in the System for Award Management (SAM).) The Offeror shall enter, in the block with its name and address on the cover page of its offer, the annotation "Unique Entity Identifier" followed by the unique entity identifier that identifies the Offeror's name and address. The Offeror also shall enter its Electronic Funds Transfer (EFT) indicator, if applicable. The EFT indicator is a four-character suffix to the unique entity identifier. The suffix is assigned at the discretion of the Offeror to establish additional SAM records for identifying alternative EFT accounts (see FAR subpart 32.11) for the same entity. If the Offeror does not have a unique entity

Solicitation 19PE5024Q0038 Page 19 of 51 identifier, it should contact the entity designated at www.sam.gov for unique entity identifier establishment directly to obtain one. The Offeror should indicate that it is an offeror for a Government contract when contacting the entity designated at www.sam.gov for establishing the unique entity identifier.

(k) [Reserved]

(l) Debriefing. If a post-award debriefing is given to requesting offerors, the Government shall disclose the following information, if applicable:

(1) The agency’s evaluation of the significant weak or deficient factors in the debriefed offeror’s offer.

(2) The overall evaluated cost or price and technical rating of the successful and the debriefed offeror and past performance information on the debriefed offeror.

(3) The overall ranking of all offerors, when any ranking was developed by the agency during source selection.

(4) A summary of the rationale for award;

(5) For acquisitions of commercial products, the make and model of the product to be delivered by the successful offeror.

(6) Reasonable responses to relevant questions posed by the debriefed offeror as to whether source-selection procedures set forth in the solicitation, applicable regulations, and other applicable authorities were followed by the agency.

(End of provision)

ADDENDUM TO 52.212-1

A. Summary of Instructions. Each offer must consist of the following:

A.1. A completed solicitation, in which the SF-1449 cover page (blocks 12, 17, 19-24, and 30 as appropriate), and Section 1 has been filled out.

A.2. Information demonstrating the offeror’s/quoter’s ability to perform, including:

(1) Name of a Project Manager, Audit Partner (or other liaison to the U.S. Embassy/Consulate) who understands written and spoken English and is responsible for the audit work;

(2) Evidence that the offeror/quoter operates an established business with a permanent address and telephone listing;

1. List of clients over the past _10_years, demonstrating prior experience with relevant past performance information and references (provide dates of contracts, places of performance, value of contracts, full contact names, cell phones number and email addresses). If the offeror has not performed comparable services in Peru then the offeror shall provide its international experience.

Offerors are advised that the past performance information requested above may be discussed with the client’s contact person. In addition, the client’s contact person may be asked to comment on the offeror’s:

Quality of services provided under the contract;

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Compliance with contract terms and conditions;

Effectiveness of management;

Willingness to cooperate with and assist the customer in routine matters, and when confronted by unexpected difficulties; and…