AWCF_PWS.pdf

DRAFT

DEPARTMENT OF THE ARMY

Aberdeen Proving Ground Contracting

PERFORMANCE WORK STATEMENT (PWS)

Army Working Capital Fund Financial Compliance and Audit Support Contract

Deputy Assistant Secretary of the Army (Financial Operations)

Part 1

General Information

1. GENERAL This is a non-personal services contract to provide financial compliance and audit support to the Army Working Capital Fund (AWCF), develop and implement solutions to control deficiencies in AWCF business processes, monitor and validate corrective actions, and to provide education and training to the AWCF financial management workforce. The Government shall not exercise any supervision or control over the task order service providers performing the services herein. Such task order service providers shall be accountable solely to the Contractor who, in turn is responsible to the Government.

1.1 Description of Services/Introduction: The contractor shall provide all personnel, equipment, supplies, facilities, transportation, tools, materials, supervision, and other items and non-personal services necessary to provide an audit infrastructure to interact with external financial statement auditors, improve AWCF business processes, improve financial reporting controls and validating the corrective actions, communicating and coordinating change management with Army Materiel Command (AMC) and Headquarters Department of the Army Senior Leadership. Contractor shall also prepare and present executive level briefings for AMC personnel, Headquarters Department of the Army and Department of Defense personnel concerning work performed.

Contractor shall maintain all data in an electronic format available for analysis and reporting.

Data remains the property of the Government. The contractor shall perform to the standards in this task order.

1.2 Background: The US Army is engaged in one of the most complex and challenging transformations ever attempted in the Army to revolutionize its financial management processes, business rules, and systems across the Army in order to provide more accurate timely and useful financial information to decision makers. The Chief Financial Officers (CFO) Act of 1990 and the Government Management Reform Act (GMRA) of 1994 require, among other things, the annual preparation and audit of Federal agency financial statements in accordance with generally accepted accounting principles (GAAP) and generally accepted government auditing standards (GAGAS). To that end, the AWCF has conducted successive audits in FY16, FY17, and FY18 with each growing in scope and complexity. AWCF wide challenges must be addressed include:

inefficient information technology system controls, business processes that do not support audit requirements, synchronization with service providers, and sustainment of implemented changes.

1.3 Objectives: Build a supporting contract staff to accomplish two major focus areas;

interacting with and facilitating financial statement auditors and audits, under the direction of government personnel, while also advising government personnel on process improvements directly attributed to improving the success of current and future financial statement audits.

These task will require providing strategy and plans to overcome material weaknesses identified in internal and external audits, recommend new or changes to business processes or controls needed to achieve financial statement assertions, monitor financial reporting controls and validating the corrective actions of the organization, and communicate and coordinate change management with Army and AMC Senior Leadership

1.4 Scope: The AWCF requires support from a an independent public accounting firm’s expertise to provide an audit infrastructure to interact with external financial statement auditors, improve AWCF business processes, monitoring financial reporting controls and validating the corrective actions, communicating and coordinating change management with Army and AMC Senior Leadership.

The contractor shall be an independent public accounting firm which will:

• Perform risk assessments in accordance with OMB Circular A-123 and the FIAR Guidance;

• Identify the conditions and issues preventing Army from maintaining generating financial statements in accordance with GAAP;

• Perform studies to determine a comprehensive and technical status of current financial improvement and audit readiness capabilities;

• Propose new or revised accounting policies and procedures as well as implementation strategies to address audit findings;

• Design corrective action plans to address the root causes of audit findings

• Develop and assist in the implementation of a strategy to overcome Army Working

Capital Fund material weaknesses;

• Recommend new business processes or controls needed to achieve financial statement assertions;

• Monitor financial reporting controls and validating the corrective actions of the organization;

• Communicate and coordinate change management with Army’s Senior Leadership

• Provide program management support to manage the efforts under this contract; and

• Provide professional development support to Army Headquarters.

1.5 Period of Performance: The period of performance shall be as follows:

Base Period 30 November 2018 – 1 December 2019 Option Period I 30 November 2019 – 1 December 2020 Option Period II 30 November 2020 – 1 December 2021

1.6 General Information

1.6.1 Quality Control: The contractor shall develop and maintain an effective quality control program to ensure services are performed in accordance with this PWS. The contractor shall develop and implement procedures to identify, prevent, and ensure non-recurrence of defective services. The contractor’s quality control program is the means by which he assures himself that his work complies with the requirement of the task order. The Quality Control Plan (QCP) shall be delivered to the Contracting Officer (KO) and to the Contracting Officer’s Representative (COR) within 30 calendar days after task order award. Copies of changes made to the QCP shall be forwarded to the KO and COR within 5 working days of when the changes are made. After acceptance of the quality control plan the contractor shall receive the contracting officer’s acceptance in writing of any proposed change to his QC system.

1.6.2 Quality Assurance: The government shall evaluate the contractor’s performance under this task order in accordance with the Quality Assurance Surveillance Plan. This plan is primarily focused on what the Government must do to ensure that the contractor has performed in accordance with the performance standards. It defines how the performance standards will be applied, the frequency of surveillance, and the minimum acceptable defect rate(s).

1.6.3 Recognized Holidays: The contractor is not required to perform services on Government holidays.

New Year’s Day Labor Day Martin Luther King Jr.’s Birthday Columbus Day President’s Day Veteran’s Day Memorial Day Thanksgiving Day Independence Day Christmas Day

1.6.4 Hours of Operation: The contractor is responsible for conducting business, between the hours of 8:00 AM and 5:00 PM Monday thru Friday except Federal holidays or when the Government facility is closed due to local or national emergencies, administrative closings, or similar Government directed facility closings. The Contractor must at all times maintain an adequate workforce for the uninterrupted performance of all tasks defined within this PWS when the Government facility is not closed for the above reasons. When hiring personnel, the Contractor shall keep in mind that the stability and continuity of the workforce are essential.

1.6.5 Place of Performance: The Government will provide space to accommodate 35 – 40 contract personnel. The contractor should plan to provide accommodations for any additional personnel used to support this requirement through other means.

1.6.6 Type of Task Order: The government anticipates awarding a task order that will consist of Time and Materials.

1.6.7 Security Requirements: Contractor personnel shall possess a minimum of a SECRET security clearance and must be a United States citizen. Select contractor personnel will require access to Secret, Top Secret, and Top Secret/Sensitive Compartmented Information. These individuals are required to have a Top Secret/ Sensitive Compartmented Information clearance to fulfill these contract requirements. The contractor shall forward security clearances and Visitor Access Requests (VAR) to a person designated by the COR for all personnel assigned to work on this task. All personnel who support this delivery order shall also be required to sign an Army Non-Disclosure Statement prior to obtaining access to the Army Local Area Network (LAN).

The Contractor must submit a Secret Facility Clearance with their quote. For planning purposes only, a DD 254 has been attached.

The contractor shall not use, disclose, or reproduce any proprietary data, other than as required in the performance of this PWS. The contractor shall not divulge or release data or information developed or obtained in the performance of this PWS and accompanying delivery orders except upon written approval from the Government Representative and/or the Contracting Officer’s Representation (COR).

Contractor personnel are subject to all local installation rules and procedures. Site-specific approval regarding access, issue of security badges, etc., will be coordinated as required.

Contractor personnel should be aware at all times of any unusual persons or packages in their work area and immediately report those to the building security staff. If contractor personnel become aware of any person seeking unauthorized access to classified materials, they should immediately report this to the COR.

All work under this effort is proprietary to Army and DOD; the contractor shall not release any information regarding the work to anyone without written permission by the Government.

AT Level I Training. This provision/contract text is for contractor employees with an area of performance within an Army controlled installation, facility or area. All contractor employees, to include subcontractor employees, requiring access to government installations, facilities and controlled access areas shall complete AT Level I awareness training within 30 calendar days after contract start date or effective date of incorporation of this requirement into the contract, whichever is applicable. The contractor shall submit certificates of completion for each affected contractor employee and subcontractor employee, to the COR or to the contracting officer, if a COR is not assigned, within 30 calendar days after completion of training by all employees and subcontractor personnel. AT level I awareness training is available at the following website: https://atlevel1.dtic.mil/at.

AT Awareness Training for Contractor Personnel Traveling Overseas. This standard language text required US based contractor employees and associated sub-contractor employees to make available and to receive government provided area of responsibility (AOR) specific AT awareness training as directed by AR 525-13. Specific AOR training content is directed by the combatant commander with the unit ATO being the local point of contact.

iWATCH Training. This standard language is for contractor employees with an area of performance within an Army controlled installation, facility or area. The contractor and all associated sub-contractors shall brief all employees on the local iWATCH program (training standards provided by the requiring activity ATO). This local developed training will be used to inform employees of the types of behavior to watch for and instruct employees to report suspicious activity to the COR. This training shall be completed within 30 calendar days of contract award and within 30 calendar days of new employees commencing performance with the results reported to the COR NLT 30 calendar days after contract award.

https://atlevel1.dtic.mil/at

Access and General Protection/Security Policy and Procedures. This standard language text is for contractor employees with an area of performance within an Army controlled installation, facility or area. Contractor and all associated sub-contractors employees shall comply with applicable installation, facility and area commander installation/facility access and local security policies and procedures (provided by government representative). The contractor shall also provide all information required for background checks to meet installation access requirements to be accomplished by installation Provost Marshal Office, Director of Emergency Services or Security Office. Contractor workforce must comply with all personal identity verification requirements as directed by DOD, HQDA and/or local policy. In addition to the changes otherwise authorized by the changes clause of this contract, should the Force Protection Condition (FPCON) at any individual facility or installation change, the Government may require changes in contractor security matters or processes.

For Contracts That Require Handling or Access to Classified Information. Contractor shall comply with FAR 52.204-2, Security Requirements. This clause involves access to information classified “Confidential,” “Secret,” or “Top Secret” and requires contractors to comply with—

(1) The Security Agreement (DD Form 441), including the National Industrial Security Program Operating Manual (DoD 5220.22-M); any revisions to DOD 5220.22-M, notice of which has been furnished to the contractor.

For Contracts that require OPSEC Training. Per AR 530-1, Operations Security, new contractor employees must complete Level I OPSEC training within 30 calendar days of their reporting for duty. All contractor employees must complete annual OPSEC awareness training.

Contractor Employees Who Require Access to Government Information Systems. All contractor employees with access to a government info system must be registered in the ATCTS (Army Training Certification Tracking System) at commencement of services, and must successfully complete the DOD Information Assurance Awareness prior to access to the IS and then annually thereafter.

For Information assurance (IA)/information technology (IT) training. All contractor employees and associated sub-contractor employees must complete the DoD IA awareness training before issuance of network access and annually thereafter. All contractor employees working IA/IT functions must comply with DoD and Army training requirements in DoDD 8570.01, DoD 8570.01-M and AR 25-2 within six months of employment.

1.6.7.1 PHYSICAL Security: The contractor shall be responsible for safeguarding all government equipment, information and property provided for contractor use. At the close of each work period, government facilities, equipment, and materials shall be secured.

1.6.7.2 Key Control: The Contractor shall establish and implement methods of making sure all keys/key cards issued to the Contractor by the Government are not lost or misplaced and are not used by unauthorized persons. NOTE: All references to keys include key cards. No keys issued to the Contractor by the Government shall be duplicated. The Contractor shall develop procedures covering key control that shall be included in the Quality Control Plan. Such procedures shall include turn-in of any issued keys by personnel who no longer require access to locked areas. The Contractor shall immediately report any occurrences of lost or duplicate keys/key cards to the Contracting Officer.

1.6.7.2.1. In the event keys, other than master keys, are lost or duplicated, the Contractor shall, upon direction of the Contracting Officer, re-key or replace the affected lock or locks; however, the Government, at its option, may replace the affected lock or locks or perform re-keying.

When the replacement of locks or re-keying is performed by the Government, the total cost of re-keying or the replacement of the lock or locks shall be deducted from the monthly payment due the Contractor. In the event a master key is lost or duplicated, all locks and keys for that system shall be replaced by the Government and the total cost deducted from the monthly payment due the Contractor.

1.6.7.2.2. The Contractor shall prohibit the use of Government issued keys/key cards by any persons other than the Contractor’s employees. The Contractor shall prohibit the opening of locked areas by Contractor employees to permit entrance of persons other than Contractor employees engaged in the performance of assigned work in those areas, or personnel authorized entrance by the Contracting Officer.

1.6.7.3 Lock Combinations The Contractor shall establish and implement methods of ensuring that all lock combinations are not revealed to unauthorized persons. The Contractor shall ensure that lock combinations are changed when personnel having access to the combinations no longer have a need to know such combinations. These procedures shall be included in the Contractor’s Quality Control Plan.

1.6.8 Special Qualifications: All personnel quoted for this task order shall be able to demonstrate competence in understanding, reading, speaking, and writing the English language.

1.6.8.1. The contractor personnel assigned to the project shall be:

• An independent public accounting firm experienced in performing audit readiness services within the Department of Defense

• knowledgeable of GAAP, GAGAS, internal control over financial reporting (ICOFR), DOD financial management policies and procedures and DOD and Army organizational structures

• familiar with pertinent Office of Management and Budget (OMB) policies and federal financial management systems requirements

• familiar with Army policies, systems and procedures for personnel, acquisition, inventory, property and material management.

• familiar with the Risk Management Framework and FISCAM.

1.6.8.2. To ensure effective management of the project, the contractor shall have the following:

• Experience in delivering innovative accounting and auditing solutions to the Department of Defense,

• An understanding of the Army's business transformation and Enterprise Resource

Planning (ERP) solutions, especially the Logistics Modernization Program and the Global Combat Support System – Army,

• Experience and expertise in providing assessments and improvements of financial statement auditability plans,

• Experience in providing audit infrastructure support for a large-scale audit, (size and scope of the Army), to interact with the external financial statement auditors and provide audit liaison support to Army organizations, Commands, Service Providers, and other external stakeholders,

• Use of best practices, as well as known and widely used production quality commercial off the shelf (COTS) tools, techniques and templates to complete audit readiness assessments and implement recommendations,

• The ability to draw upon additional resources and maintain a “reach-back” knowledge base capability that can be drawn upon during workload peaks, and

• Compliance with Organizational Conflicts of Interest requirements; i.e., providing specific and clear advisories when personnel submitted for staffing for this project may cause a possible conflict of interest situation so that the Government may make a determination on acceptability in a timely manner.

1.6.8.3. NON-DISCLOSURE STATEMENT

Army has a Nondisclosure (NDA) requirement for each person supporting Army. The winning contractor personnel shall complete and sign a Nondisclosure Certification prior to the commencement of the task order award. This requirement extends to all subcontractors, teaming arrangements. The non-disclosure statement shall be provided to the COR. The contractor is responsible to obtain all necessary approvals prior to obtaining access to proprietary information, in accordance with FAR 9.505-4(b).

1.6.9 Post Award Conference/Periodic Progress Meetings: The Contractor agrees to attend any post award conference convened by the contracting activity or task order administration office in accordance with Federal Acquisition Regulation Subpart 42.5. The contracting officer, Contracting Officers Representative (COR), and other Government personnel, as appropriate, may meet periodically with the contractor to review the contractor's performance. At these meetings the contracting officer will apprise the contractor of how the government views the contractor's performance and the contractor will apprise the Government of problems, if any, being experienced. Appropriate action shall be taken to resolve outstanding issues. These meetings shall be at no additional cost to the government.

1.6.10 Contracting Officer Representative (COR): The (COR) will be identified by separate letter. The COR monitors all technical aspects of the task order and assists in task order administration The COR is authorized to perform the following functions: assure that the Contractor performs the technical requirements of the task order: perform inspections necessary in connection with task order performance: maintain written and oral communications with the Contractor concerning technical aspects of the task order: issue written interpretations of technical requirements, including Government drawings, designs, specifications: monitor Contractor's performance and notifies both the Contracting Officer and Contractor of any deficiencies; coordinate availability of government furnished property, and provide site entry of Contractor personnel. A letter of designation issued to the COR, a copy of which is sent to the Contractor, states the responsibilities and limitations of the COR, especially with regard to changes in cost or price, estimates or changes in delivery dates. The COR is not authorized to change any of the terms and conditions of the resulting order.

1.6.11 Key Personnel: Key Personnel must be assigned for the duration of the contract. At a minimum, the contractor shall have sufficient personnel assigned that are Certified Public Accountants who have been licensed by the appropriate state licensing authority. The CPAs must be in good standing with the AICPA and applicable state boards. The Government reserves the right to review and approve resumes of candidates prior to their assignment. The contractor shall maintain a list of all Key Personnel at all times. All decisions relative to key personnel shall be coordinated with the COR, i.e., extended period of absence (more than 3 consecutive days), Corporate travel (more than 3 consecutive days), reassignments, vacations (more than 3 consecutive days), etc. The COR has authority to reject these proposed decisions if it is determined that the decision will critically impact the DASA-FO project and/or operation. All unresolved issues will be decided by the Contracting Officer. Key Personnel cannot be substituted without prior Contracting Officer approval. Award of a Task Order will constitute the government’s approval of Key Personnel.

The contractor may propose individuals, regardless of labor category, as "key personnel" whenever the individual performs a function(s) that is believed to be critical to successful performance on any segment of this task order.

1.6.12 Identification of Contractor Employees: All task order personnel attending meetings, answering Government telephones, and working in other situations where their contractor status is not obvious to third parties are required to identify themselves as such to avoid creating an impression in the minds of members of the public that they are Government officials. They must also ensure that all documents or reports produced by contractors are suitably marked as contractor products or that contractor participation is appropriately disclosed. Contractor personnel are required to have a Government issued Common Access Card (CAC) but will not be required to wear badges.

1.6.13 Contractor Travel: Travel is required to obtain information and complete the analysis of plans, discovery work and corrective actions. Advance notification shall be provided to the appropriate Army point of contact to allow for clearances and site preparation. Reimbursement of expense shall be in accordance with the Joint Travel Regulation (JTR). Travel shall be approved in advance by a representative designated by the Army. Travel shall not commence until written approval is received. Occasional meetings may be held at Army Entity locations.

Travel costs are expected to be high as field work will require extensive travel. Local travel, including to and from the Pentagon, and in the surrounding Washington D.C. area, performed in the course of delivery order performance, is considered the cost of doing business and will not be reimbursed as a direct charge to the task order. Receipts must support any cost expenses over $75.00. Contractor will be required to travel CONUS, OCONUS, and within the National

Capital Region (NCR) during the performance of this task order. The contractor may be required to ship training material to locations when training is required. Contractor will be authorized travel expenses consistent with the substantive provisions of the Joint Travel Regulation (JTR) and the limitation of funds specified in this task order. All travel requires Government approval/authorization and notification to the COR. All travel is reimbursable.

1.6.14 Other Direct Costs: Other Direct Costs/Incidentals. The contractor may be required to provide incidental materials for the performance of this task order. Incidentals are any item offered by the Contractor in support of the task order that are not awarded and priced under their GSA Schedule contract or a Teaming Partner's GSA Schedule Contract. These item(s) are considered "Open Market Items" and the Government will compete these items in accordance with FAR requirements when exceeding $3,000. The contractor shall provide a breakdown of any incidental items and their cost(s) in their price quotation. The Contracting Officer is responsible for determining that the quoted prices are fair and reasonable. If approved at the task order level, the contractor must also obtain authorization from the COR prior to acquiring the incidentals and should provide proof of the authorization along with the invoice as supporting documentation. All materials purchased by the contractor, for support of this task order, become property of the government. The contractor shall document the transfer of the materials in accordance with established agency procedures.

1.6.15 Organizational Conflict of Interest: Contractor and subcontractor personnel performing work under this task order may receive or have access to proprietary information which may create a current or subsequent Organizational Conflict of Interests (OCI) as defined in FAR Subpart 9.5. The Contractor shall notify the Contracting Officer immediately whenever it becomes aware that such access or participation may result in any actual or potential OCI and shall promptly submit a plan to the Contracting Officer to avoid or mitigate any such OCI. The Contractor’s mitigation plan will be determined to be acceptable solely at the discretion of the Contracting Officer and in the event the Contracting Officer unilaterally determines that any such OCI cannot be satisfactorily avoided or mitigated, the Contracting Officer may affect other remedies as he or she deems necessary, including prohibiting the Contractor from participation in subsequent contracted requirements which may be affected by the OCI.

1.6.16 Records and Data: All data and data rights associated with this effort will be property of the U.S. Government. “DFARS 252.227-7020 Rights in Special Works JUN 1955.”

1.6.17 Safety: The work is administrative and does not involve any construction activities, so a safety plan is not required. The contractor will follow the safety requirements for each individual site visited (such as evacuation plans, weather warnings, traffic rules, etc.).

PART 2

DEFINITIONS & ACRONYMS

2. DEFINITIONS AND ACRONYMS:

2.1. DEFINITIONS:

2.1.1. CONTRACTOR. A supplier or vendor having a task order to provide specific supplies or service to the government. The term used in this task order refers to the prime and team members, if any.

2.1.2. CONTRACTING OFFICER. A person with authority to enter into, administer, and or terminate task orders, and make related determinations and findings on behalf of the government.

Note: The only individual who can legally bind the government.

2.1.3. CONTRACTING OFFICER'S REPRESENTATIVE (COR). An employee of the U.S.

Government appointed by the contracting officer to administer the task order. Such appointment shall be in writing and shall state the scope of authority and limitations. This individual has authority to provide technical direction to the Contractor as long as that direction is within the scope of the task order, does not constitute a change, and has no funding implications. This individual does NOT have authority to change the terms and conditions of the task order.

2.1.4. DEFECTIVE SERVICE. A service output that does not meet the standard of performance associated with the Performance Work Statement.

2.1.5. DELIVERABLE. Anything that can be physically delivered but may include non-physical things such as meeting minutes.

2.1.6. KEY PERSONNEL. Contractor personnel that are evaluated in a source selection process and that may be required to be used in the performance of a task order by the Key Personnel listed in the PWS. When key personnel are used as an evaluation factor in best value procurement, an offer can be rejected if it does not have a firm commitment from the persons that are listed in the quotation.

2.1.7. PHYSICAL SECURITY. Actions that prevent the loss or damage of Government property.

2.1.8. QUALITY ASSURANCE. The government procedures to verify that services being performed by the Contractor are performed according to acceptable standards.

2.1.9. QUALITY ASSURANCE Surveillance Plan (QASP). An organized written document specifying the surveillance methodology to be used for surveillance of contractor performance.

2.1.10. QUALITY CONTROL. All necessary measures taken by the Contractor to assure that the quality of an end product or service shall meet task order requirements.

2.1.11. SUBCONTRACTOR. One that enters into a contract with a prime contractor. The Government does not have privity of the task order with the subcontractor.

2.1.12. WORK DAY. The number of hours per day the Contractor provides services in accordance with the task order.

2.1.12. WORK WEEK. Is defined as Monday through Friday, unless specified otherwise.

2.2. ACRONYMS:

ASA (FM&C) Assistant Secretary of the Army (Financial Management and Comptroller) AR Army Regulation CAC Common Access Card CFO Chief Financial Officer CFR Code of Federal Regulations CONUS Continental United States (excludes Alaska and Hawaii) COR Contracting Officer Representative COTR Contracting Officer's Technical Representative COTS Commercial Off the Shelf DA Department of the Army DASA (FO) Deputy Assistant Secretary of the Army (Financial Operations) DFARS Defense Federal Acquisition Regulation Supplement DOD Department of Defense DODFMR Department of Defense Financial Management Regulation ERP Enterprise Resource Planning System FAR Federal Acquisition Regulation FASAB Federal Accounting Standards Advisory Board (Government) FBWT Fund Balance with Treasury FIAR Financial Improvement and Audit Readiness GAAP Generally Accepted Accounting Principles GAGAS Generally Accepted Government Auditing Standards GAO Government Accountability Office GAO/PCIE FAM Government Accountability Office/President’s Council on Integrity and Efficiency Financial Audit Manual GCCS-Army Global Combat and Control System - Army GFE Government Furnished Equipment GFEBS General Fund Enterprise Business System GMRA Government Management Reform Act GPP&E General Property, Plant and Equipment IT Information Technology KO Contracting Officer LMP Logistics Modernization Program OCI Organizational Conflict of Interest OCONUS Outside Continental United States (includes Alaska and Hawaii) ODC Other Direct Costs POC Point of Contact

PRS Performance Requirements Summary QA Quality Assurance PWS Performance Work Statement QAP Quality Assurance Program QASP Quality Assurance Surveillance Plan QC Quality Control QCP Quality Control Program USD(C) Under Secretary of Defense (Comptroller)

PART 3

GOVERNMENT FURNISHED PROPERTY, EQUIPMENT, AND SERVICES

3. GOVERNMENT FURNISHED ITEMS AND SERVICES:

3.1. Service: The Government will provide broad guidance as to the mission at hand.

3.2 Facilities: The Government will provide workspace for thirty-five to forty (35 - 40) contractor staff to include desk space, telephones, computers and connectivity to printers.

3.3 Utilities: The Government will provide necessary office workspace utilities. The Contractor shall instruct employees in utilities conservation practices. The contractor shall be responsible for operating under conditions that preclude the waste of utilities, such as turning off the water faucets or valves after using the required amount.

3.4 Equipment: The Government will provide access to printers, scanners and fax machines.

3.5 Materials: The Government will provide those checklists and process flows that currently exist, and regulatory guidance.

3.6 Data Storage: The Government will provide the contractor with a data storage repository for all data related to this project.

PART 4

CONTRACTOR FURNISHED ITEMS AND SERVICES

4. CONTRACTOR FURNISHED ITEMS AND RESPONSIBILITIES:

4.1 General: The Contractor shall furnish all supplies, equipment, facilities and services required to perform work under this task order that are not listed under Section 3 of this PWS.

4.2 Secret Facility Clearance: The contractor shall have a secret facility clearance. Ref PWS paragraph 1.6.7. Select contractor personnel will require access to Secret, Top secret, and Top Secret/ Sensitive Compartmented Information.

4.3. Materials. The Contractor shall furnish all materials and supplies, with the exception of that listed in Part 3, to meet the requirements under this PWS.

4.4. Equipment: The Contractor shall furnish all equipment, with the exception of that listed in Part 3, to meet the requirements under this PWS.

PART 5

SPECIFIC TASKS

5. Specific Tasks:

5.1 Special Qualifications: All personnel performing under this contract shall be able to demonstrate competence in understanding, reading, speaking, and writing the English language.

All contractor personnel shall possess a minimum of an Interim SECRET security clearance and must be a United States citizen.

5.1.1 The individual key contractor personnel assigned to the project shall be:

• knowledgeable of GAAP, FASAB, GAGAS, OMB Circular A-123, GAO Green Book, DoD Financial Management Regulation, and DoD and Army organizational structures.

• experienced in performing audit readiness services within the Department of Defense

• familiar with current trends to enhance ERP systems, (GFEBS, GCSS-A, LMP).

• familiar with pertinent Office of Management and Budget (OMB) policies and federal financial management systems requirements.

• familiar with DoD policies, systems and procedures for personnel, acquisition, inventory, property and material management.

5.1.2 To ensure effective management of the project, the contractor shall have the following:

• Experience in delivering innovative accounting and auditing solutions to the Department of Defense,

• An understanding of the Army's business transformation and Enterprise Resource Planning (ERP) solutions, especially the Logistics Modernization Program and the Global Combat Support System – Army,

• Experience and expertise in providing assessments and improvements of financial statement auditability plans,

• Experience in providing audit infrastructure support for a large-scale audit, (size and scope of the Army), to interact with the external financial statement auditors and provide audit liaison support to Army organizations, Commands, Service Providers, and other external stakeholders,

• Use of best practices, as well as known and widely used production quality commercial off the shelf (COTS) tools, techniques and templates to complete audit readiness assessments and implement recommendations,

• The ability to draw upon additional resources and maintain a “reach-back” knowledge base capability that can be drawn upon during workload peaks, and

• Compliance with Organizational Conflicts of Interest requirements; i.e., providing specific and clear advisories when personnel submitted for staffing for this project may cause a possible conflict of interest situation so that the Government may make a determination on acceptability in a timely manner.

5.1.3 Requirements by Labor Category. Key personnel must meet at a minimum the following requirements:

Director (Key Personnel) – Masters Degree in Accounting, Finance, Information Technology, or Business Management or CPA or CISA or PMP or CGFM or CDFM AND 8 years experience with federal financial management

Senior Manager I (Key Personnel) – Masters Degree in Accounting, Finance, Information Technology, or Business Management or CPA or CISA or PMP or CGFM or CDFM AND 6 years experience with Federal financial management

Manager I (Key Personnel) - Masters Degree in Accounting, Finance, Information Technology, or Business Management or CPA or CISA or PMP or CGFM or CDFM AND 4 years experience with federal financial management

Senior Consultant I – Masters Degree in Accounting, Finance, Information Technology, or Business Management or CPA or CISA or PMP or CGFM or CDFM AND 2 years experience with federal financial management

Consultant I – Bachelors Degree in Accounting, Finance, Information Technology, or Business Management AND 1 year of experience

Research Assistant - Bachelors Degree in Accounting, Finance, Information Technology, or Business Management

Senior Topical Expert - Experience of ten or more years in related field. An advance degree or certification may be substituted for one year of experience. Holds a recognized standing, has a thorough knowledge, and formal training in applicable field. Provides professional expertise.

Junior Topical Expert - Experience of four or more years in related field. An advance degree or certification may be substituted for one year of experience. Holds a recognized standing, has a thorough knowledge, and formal training in applicable field. Provides professional expertise.

5.2 General Contract Requirements: These requirements are intended to provide the Army with guidance and assistance in developing and implementing strategies to remediate specific audit issues preventing the Army from obtaining unqualified audit opinions and providing project management office support.

5.2.1 Project Kick-off/Planning Session. The contractor shall provide and support a kick-off meeting/planning session within five (5) days of contract award. The purpose is to review project objectives, timelines, tasks and deliverables.

5.2.2 Prioritization Plan. The contractor shall develop a prioritization plan that summarizes and prioritizes agreed upon objectives, tasks, timelines and deliverables based upon the Project Kick-Off/ Planning Session. The Plan is due twenty (20) days from contract award and shall be updated monthly thereafter.

5.2.3 Quality Control Plan. The Contractor shall submit for review and approval a Quality Control Plan.

5. 3 General Contract Requirements: These requirements are intended to provide the Army an audit infrastructure to interact with external financial statement auditors and manage auditor requirements, provide a strategy and plan to overcome material weaknesses identified in Army internal and external audits, recommend new business processes or controls needed to achieve financial statement assertions, monitor financial reporting controls and validating the corrective actions of the organization, and communicate and coordinate change management with Army’s Senior Leadership.

5.4 Task 1. Audit Support and Financial Management Improvement.

The contractor shall provide audit support comprised of providing the audit infrastructure to interact with the external financial statement auditors in the Army’s annual financial statement audit, improve financial management and develop and implement solutions to address audit findings and deficiencies.

Deliverable 1

Audit Support – The contractor shall support an audit infrastructure to interact with the external financial statement auditors and provide audit liaison support

• Support will be provided to Army Headquarters and Army Materiel Command

• Facilitate collection and transmission of samples.

• Track and provide status on provide-by-client requests, sample requests and follow up questions from Army’s auditor.

• Track “issues” identified by the Army’s auditor from the time they’re first identified through to the final Notice of Findings and Recommendation (NFR).

• Maintain audit response tools such as contact lists, key supporting documentation checklists, and answers to frequently asked questions.

• Facilitate site visits and walkthroughs by preparing the process owners and attending along with the Army’s auditor.

• Provide audit support “surge capacity” to support critical site visits occurring simultaneously

Deliverable 2

Provide Financial Management Improvement – Develop and/or update the Army strategy and plan to identify and overcome findings/deficiencies preventing the Army from getting an unmodified opinion on the AWCF financial statements

• Provide end-to-end assessments of business processes, including the identification of financial reporting risks not sufficiently mitigated by control activities along with the controls necessary to sufficiently mitigate the risk of material misstatement.

• Frequently perform data analysis across all financial areas, to identify potential issues, unexplained anomalies, and/or areas of concern.

• Research, determine root cause, develop training material, job aids, standard operating procedures, and/or provide steps to correct identified deficiencies and sustain the proper process.

Deliverable 3

Reconciliation data for the AWCF’s Universe of Transactions – Develop reconciliation templates and procedures to include Enterprise Resource Planning (ERP) systems and feeder systems data.

• Assist with generating data requirements and formats needed from ERP and feeder systems.

• Design reconciliation templates to compare General Ledger details to financial statements, feeder system outputs, and on-hand balance quantities.

• Validate reconciliations built within current and future Army’s Universe of Transactions database(s).

• Perform analysis of ERP and feeder system reconciliations to address identified deficiencies.

• Assist AWCF locations with reconciling as needed/requested.

• Perform research and identify the necessary resolution for the variances identified in the reconciliations

Deliverable 4

Information Technology (applicable to financially relevant IT systems) - Advise, design, and/or validate the status of Information Technology (IT) controls and processes.

• Identify IT system critical control deficiencies for all financial management systems key to the AWCF financial statements in accordance with the FISCAM.

• Assist in the design of corrective actions to address control deficiencies.

• Validate the corrective actions implemented to address identified deficiencies. If the corrective action did not fix the deficiency, identify what else needs to be done, and communicate this to the process owner.

• Identify and propose opportunities to optimize the AWCF business system architecture from the point original IT system where transactions are created through to the flow of data to the financial statements.

Deliverable 5

Inventory and General Property Plant & Equipment – Design, assist in the implementation and validate the business processes to meet the Existence, Completeness, Rights and Valuation assertions for AWCF General Property, Plant and Equipment (GPP&E) and Inventory.

• Monitor and report on AWCF and supporting activities’ ability to sustain effective controls for the addition, impairment, disposal, physical inventory, and creation/relief of Construction In-Progress/Software In-Development for GPP&E.

• Monitor and report on AWCF and supporting activities’ ability to sustain effective controls for the receipt, issue, disposal, physical inventory, adjustment, and ownership of AWCF Inventory.

• Monitor implementation of methodologies for revaluation of AWCF Inventory, General Equipment, Real Property and Internal Use Software.

• Assist with the performance of various Integrated Product Team (IPT) related to both Inventory and GPP&E line items.

Deliverable 6

Statement of Net Costs (SNC) and Statement of Changes in Net Position (SCNP) – The contract shall perform a review of the AWCF SNC and SCNP to:

• Provide expert end-to-end assessments of functional process and provide recommendation and design new process to improve any identified deficiencies.

• Monitor and report on AWCF and supporting activities’ ability to sustain effective controls impacting the AWCF SNC and SCNP.

• Provide Service Organization control and process improvement recommendations.

Deliverable 7

Fund Balance with Treasury (FBwT) Reconciliation – The contractor shall perform an assessment of the current FBwT reconciliation process to:

• Provide recommendations for changes to ensure the FBwT reconciliation process is auditable and performance of the reconciliation occurs within required timeframe published in the DoD Financial Management Regulation.

• Identify critical steps and outputs of an auditable FBwT reconciliation process.

• Identify gaps between auditable process and the as-is state.

• Design, recommend, and validate an auditable FBwT business process.

• Design and monitoring and oversight of the FBwT business process.

Deliverable 8

Posting Logic – The contractor shall:

• Perform assessment of all General Ledger activity within LMP for compliance with US Treasury’s “Treasury Financial Manual” (TFM).

• Provide recommendations for changes to LMP’s posting logic to ensure substantial compliance with the TFM.

• Recommend a strategy and controls to ensure LMP’s posting logic remains in substantial compliance with the TFM.

Deliverable 9

Financial Reporting - The contractor shall perform an assessment of the current Financial Reporting process to:

• Provide recommendations for changes to ensure the Financial Reporting process is executable and auditable for both quarter-end and year-end financial statements.

• Identify critical steps and identify gaps between an auditable process and the current, as-is process.

• Develop a comprehensive strategy to reduce the number of Journal Vouchers (recorded in both LMP and Defense Departmental Reporting System) and ensure any Journal Vouchers recorded are adequately supported.

Deliverable 10

Service Organization Controls Reporting – Assist with the development of service organization agreements and eventual monitoring of their annual reports to understand and document the impact to the AWCF enterprise.

• Provide assistance and expertise in the creation of agreements between service organizations and the Army to ensure audit and financial compliance concerns are properly addressed.

• Develop a process to review service provider reports and determine user entity controls applicability.

• Educate responsible Army organizations

• Validate whether complimentary user entity controls are in place.

Deliverable 11

Monitor Internal Controls (A-123/ERM and MICP programs) – Specific to AWCF activities within AMC:

• Develop a tool that facilitates automatic update of risk as individual controls are assessed. This tool should also allow users to associate critical system documentation, auditable evidence and artifacts with specific control tests, making information readily available in an easy-to-understand format or dashboard.

• Coordinate A-123/ERM activities with strategic planning and review.

• Design an approach for monitoring Statement of Budgetary Resources, Balances

Sheet, and Information Technology business areas:

o Identifying material systems relative to business areas.

o Monitor Operating Effectiveness for controls designed effectively.

o Monitor the enterprise wide programs and efforts such as the Joint

Reconciliation Program (JRP), Material Ownership Data, Inventory Valuation, Reconciliations, and Journal Vouchers.

o Performing annual Risk Assessment and making quarterly updates.

Deliverable 12

Educate and Train - The contractor shall educate the AWCF workforce on new concepts and train them on modified procedures.

• Train AWCF personnel on requirements for supporting audit samples.

• Develop training materials on AWCF business processes using the following mediums:

o Web/Distance learning (Army Learning Management System) o In-person professional development o Ad hoc workshops o Deliver in-person training and site visit support

• Educate workforce on lessons learned from prior year audits.

Deliverable 13

Change management and communication – The contractor shall:

• Perform current state assessment of stakeholder communication needs.

• Document communication strategy and plan.

• Perform an DoD-wide stakeholder analysis.

• Identify change leaders/ champions and change agents.

Deliverable 14

The contractor shall develop additional written reports that are within the scope of this task order as requested by the COR.

CONTRACTOR MANPOWER REPORTING (CMR): The Office of the Assistant Secretary of the Army (Manpower & Reserve Affairs) operates and maintains a secure Army data collection site where the Contractor shall report ALL Contractor manpower (including subcontractor manpower) required for performance of this task order. The Contractor shall completely fill in all the information in the format using the following web address https://Contractormanpower.army.pentagon.mil. The required information includes: (1)

Contracting…