Financial Audit Proposal Preparation Format

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Financial Audit Proposal Preparation Format Powered By Docstoc
					                               Request for Proposal
                   Audit Services for Minnesota West Foundation
       The Minnesota West Foundation (hereafter “the Foundation”), located in Granite Falls,
Minnesota requests proposals from CPA firms interested in preparing the organization’s Federal
Tax Form 990 (as required), and performing the annual financial audit of all foundation funds.
The contract period will be for three (3) years beginning with the duties identified in the
“SCOPE OF WORK” for the Fiscal Year 2010 (July 1, 2009 – June 30, 2010).

       Proposals shall be prepared in accordance with Proposal Instructions, Scope of Work,
Additional Information and Proposal Content, attached hereto and made a part hereof.

       An original of your proposal and five copies should be submitted to:

James Smalley, Executive Director
Minnesota West Foundation
Canby Campus
1011 First Street West
Canby, MN 56220

                      No later than 4:00 pm, Wednesday, April 21, 2010

        Proposals received after the date and time set for receipt will not be given full
consideration. The Foundation reserves the right to reject any or all proposals, or to make an
award in the best interests of the Foundation to the selected proposer without further discussions
or negotiations. The Foundation assumes no liability for any costs incurred by proposers in the
preparation or delivery of responses to this Request for Proposal. The Minnesota West
Foundation Executive Director, or his designated representative, shall administer all contracts
resulting from this Request For Proposal and any changes thereto.

         The Minnesota West Foundation is a 501(c)(3) nonprofit corporation in Minnesota with a
fiscal calendar that begins July 1st. The Foundation reported the following information through
the last organizational audit:

                               June 30, 2009          FY09                 FY09
Net Asset Category             Net Assets             Revenues             Expenses
Unrestricted                   245,912                293,243              334,980
Temporarily Restricted         750,272                47,500               0
Permanently Restricted         70,592                 0                    0
Totals                         1,066,776              340,743              334,980

        Any questions regarding this Request for Proposal, content of your response, or
clarifications should be directed to Jim Smalley, Minnesota West Foundation Executive Director,
507-223-7252 or

       Thank you for your proposal.
                                  PROPOSAL INSTRUCTIONS


     (a)    Proposals shall be prepared in the format required by this Request For Proposal.
            Failure to do so may result in your proposal being declared non-responsive.

     (b)    Proposals shall be signed by an individual authorized to commit the proposer and
            conduct negotiations or discussions if requested or required.

2.   SUBMISSION OF PROPOSALS: Proposals shall be packaged, sealed, and mailed or
     hand carried so as to arrive at the location designated no later than 4:00 pm, April 21,

3.   MODIFICATION OF PROPOSALS: Modifications of proposals may be made by the
     proposer at any time if mailed or hand carried so as to arrive on or before the date and
     time set for receipt of proposals.

4.   WITHDRAWAL OF PROPOSALS: Proposals may be withdrawn by written notice
     received by the Foundation prior to the due date and time of this proposal.


     a)     A contract will be awarded to that responsible and responsive proposer whose
            proposal will be most advantageous to the Foundation.

     b)     The Foundation reserves the right to reject any or all proposals and to waive
            minor irregularities not considered by the Foundation to be essential to the
            evaluation process.

6.   VALIDITY OF PROPOSALS: Proposals in response to this Request For Proposal shall
     be valid for a period of 60 days from the date required for receipt of the proposal.


     a)     The Foundation acknowledges that the contents of proposals or other information
            submitted to the Foundation are subject to public release, upon request, after
            contract award.

     b)     The proposer shall mark as “proprietary” those parts of its proposal that it deems
            confidential and proprietary. However, the proposer is alerted that this marking is
            advisory only and not binding on the Foundation. If there is a request from the
            public to inspect any part of the proposal so marked, the Foundation will advise
            the proposer and request further justification in support of the “proprietary”
            marking. If the Foundation determines after receipt of the justification that the
            material is releasable, the proposer will be notified immediately.
                                       SCOPE OF WORK

1. Annual preparation of federal tax form 990 (as required).

2. Testing of the accounting records, evaluation of internal controls and performance of
   auditing procedures considered necessary under the circumstances.

3. Conformance to generally accepted auditing standards as adopted by the AICPA.

4. If the audit opinion is qualified in any respect the Foundation shall be notified in advance and
   given the opportunity to discuss the qualification and cure any defect, if possible, prior to the
   rendering of the opinion.

5. Reports to the Foundation of any findings that appear to be unusual or abnormal.

6. An exit conference will be held with the Foundation Board of Directors to discuss the
   contents of the financial statements and management letter.

7. Financial statements to be delivered no later than October 31 each year and presented to the
   Foundation Board of Directors at their meeting sometime in the fall. Federal tax form 990
   (as required) must be sent to the Internal Revenue Service so as to meet any filing deadlines.

8. Complete Minnesota Attorney General Charitable Organization Registration and Annual
   Report Form.

9. Any extended services not included above as may be mutually agreed upon. Such extended
   services contemplated, if any, shall be separately identified, when needed, and the tasks and
   fees shall be negotiated individually and added to the contract by letter assignments.

                                ADDITIONAL INFORMATION

       Other information to be considered in submitting a proposal is as follows:

1. The initial engagement of a firm will be with the understanding that annual audits will be
   conducted for three (3) consecutive years so long as the firm’s work is satisfactory the first
   and second years.

2. The Foundation board may authorize subsequent annual audits by the same firm for up to
   three more years if recommended by the staff and agreed to by the board.

3. The Foundation is a separate entity from Minnesota West Community and Technical
                                  PROPOSAL CONTENT

     The Proposal must include the following information:

1.   Title page: Proposal subject, name of firm, local address and telephone number, name of
     contact person responsible for proposal, and date.
2.   Letter of transmittal: Briefly state your understanding of the work to be performed and
     positively commit to perform the scope of the work identified in this Request For
     Proposal by October 31st after the contract is awarded for the FY10 work and by October
     31st each year thereafter.

3.   Summary of qualifications: Describe recent audit experience and Federal tax form 990
     preparation experience including names and telephone numbers of clients who may be
     contacted for references.

4.   Estimate of all-inclusive maximum fee for performing the contract for each of the three

5.   A positive statement that the following mandatory criteria are met: (1) the firm is an
     independent auditor properly licensed for public practice in the State of Minnesota; (2)
     the firm meets independence standards; and (3) the firm does not have a record of
     substandard work.

6.   Your proposal should include references and pertinent results of recent peer reviews and
     provide the status of any disciplinary actions undertaken against your firm.

7.   Provide a “Prepared by Client” request. This request details what records and documents
     need to be available to audit.

8.   Any other pertinent information you think the Foundation should consider in determining
     the best qualified firm.

                                PROPOSAL EVALUATION

     Proposals and any subsequent oral interviews will be evaluated using the following
     criteria in determining which firm best meets the Foundation’s needs.

1.   Proposal responsiveness.
2.   Demonstrated understanding of the work to be performed.
3.   Technical experience of the firm.
4.   Experience and professional activities of the audit team related to audits of a similar
5.   Cost effectiveness.

Description: Financial Audit Proposal Preparation Format document sample