External Audit Services- Porticus Project
TERMS OF REFERENCE
- World Vision International in Jordan requires an external financial audit for one of its projects – ECD/ECE for Syrian Refugee and Vulnerable Jordanian Children 323.1621198 that is being implemented in Jordan in the area of Azraq Camp and Host Communities (Amman& Zarqa). The project requires external audit at the end of the project; the duration of the project covers the period of 10/04/2017 – 31/12/2018.
- The audit should include:
- Examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements;
- Assessing the accounting principles used and significant estimates made by management; and
- Evaluating the overall financial statement presentation.
- The objectives of the audit are as below:
- a) to provide a professional opinion by an external independent auditor on the quality of processes and accounting practices within the audited organisation and specifically as applied within the project at hand.
- b) to independently verify that the project mentioned above has been implemented in compliance with the requirements of the following documents of reference:
- Legislation: National legislation, with particular attention to:
- respective social and labour law (including staff and salary regulations),
- regulations on VAT and other taxes.
- International standards:
- ISA – International Standards on Auditing,
- ISRS – International Standards on Related Services (ISRS 4400),
- IFAC – International Federation of Accountants,
- relevant standards of the local accounting profession,
- local legislation on accounting and reporting.
- Project: Cooperation agreement related to the project or to the partner organization, project documents, Terms of Reference (ToR), budgets, plans of project activities.
- Accounting: Accounting documents subject to the financial audit, financial and operational reports concerning the project.
- Auditor: The present Terms of Reference (ToR) and the related mandate for financial audit.
- c) to provide a professional opinion by an external independent auditor on the quality of the audited organisation’s financial reporting and its suitability for the requirements of the donors.
In performing his/her mandate, the auditor shall:
- verify sound financial management and accuracy of bookkeeping;
- audit the accounts on the basis of original vouchers;
- stamp the original vouchers (invalidation) and perform accurate controls in order to certify the absence of duplication of funding (i.e.: same costs funded by different donors);
- verify plausibility of expenditures;
- verify compliance of expenditures with budget items;
- verify compliance of expenditures with project duration;
- verify that there is a clear reconciliation between accounting records, original vouchers and financial data included in the project reports;
- verify that the financial reports provide a true picture of the project’s finances;
- provide information on the project revenues, including donor transfers, bank interest and indication of applied exchange rates;
- provide information on the treatment of taxes (especially VAT) in the financial reports;
- verify proper application of the applicable procurement regulations;
- provide an audit opinion;
The auditor shall produce a draft and a final audit report based on the official project budget and exactly reflecting its budget line structure. The basic documents for the audit will be provided by the audited entity and should be proved and confirmed by the auditor.
The audit reports must be written in English and must state clearly:
- project number and name;
- implementing organisations’ names and contact details;
- reporting period and currency;
- exchange rates used in the financial report (to Euro or to the official project currency, as indicated in the project budget), with detailed explanation of their calculation;
- total amount of budgeted and actual expenditures, with differentiation between direct and indirect costs, as indicated in the official project budget;
- complete list of reported expenditures classified according to the relevant budget lines;
- complete list of project funds transferred, including donors’ names, dates and exchange rates;
- indication on treatment of taxes and especially VAT;
- list of not-accepted vouchers, corresponding amounts and justifications;
- management response from implementing partner on findings and observations;
- audit opinion;
- auditor’s name, position, address, phone, fax and e-mail;
- date, auditor’s signature.
- The audit work needs to be completed in the WV Jordan office, (see 2 above for location).
- The Project’s Budget revenue comprises of the funds receivable from the donor – Porticus and the Private sponsorship from Austria through our World Vision international support office.
- It is anticipated that contract negotiations with the selected firm would commence in December’18 and the assignment would commence in February 2019
It is required that interested individuals and consultancy firms send an email to [email protected], stating an intention to participate in accordance with the defined dates, include their contact information, and requesting the Tender Documents.
Please Use the ITT number when sending an email to [email protected]
Deadline for submitting the full application is: Monday, 03 December, 2018 (12:00pm Jordan Time)