MARICOPA COUNTY COMMUNITY COLLEGE DISTRICT REQUEST FOR PROPOSAL # FRAUD INVESTIGATION/FORENSIC ACCOUNTING AUDIT SERVICES FOR MCCCD

Transcription

1 MARICOPA COUNTY COMMUNITY COLLEGE DISTRICT REQUEST FOR PROPOSAL # FRAUD INVESTIGATION/FORENSIC ACCOUNTING AUDIT SERVICES FOR MCCCD Proposal Due Date: April 6, :00 P.M. (MST)

2 MARICOPA COUNTY COMMUNITY COLLEGE DISTRICT RFP # AUDIT SERVICES A. SCHEDULE OF EVENTS ACTIVITY DATE Release RFP March 9, 2011 Questions Due March 24, 2011 Proposals Due April 6, 2011 Proposed Contract Award (Effective July 1, 2011) May, 2011 B. TABLE OF CONTENTS 1. GENERAL Pages PROPOSAL INSTRUCTIONS Pages GENERAL TERMS AND CONDITIONS Pages PROPOSAL REQUIREMENTS Pages SCOPE OF WORK Page EVALUATION CRITERIA Page PRICING SCHEDULE Pages 18 20

3 ACKNOWLEDGMENT OF RECEIPT Description: AUDIT SERVICES RFP #: Please fill in the requested information below as acknowledgment that you have received the Request for Proposal noted above. If your firm is interested in participating, it is highly recommended that this sheet be completed and returned or faxed to MCCCD Purchasing at (480) By doing this, we will be able to provide notification to you of any addenda to the RFP. Name of Firm: Address: Fax #: ( ) Tel. #: ( ) Name:(Print) Title: Signature: Date:

4 PART 1. GENERAL 1.1 INTRODUCTION The Maricopa County Community College District (MCCCD) is seeking multiple firms and/or individuals on an as-needed basis only capable of providing audit services in the areas of Fraud Audit investigations/forensics Accounting projects. To be considered for award, firms/individuals submitting a proposal must have an established capability to perform forensic accounting procedures for higher education or governmental entities. The firms/individuals must be able to conduct investigations of potential fraudulent activity and support subsequent legal action, if required, on behalf of MCCCD. It is the intention of MCCCD to select firms/individuals for the specified audit services without obligation to call upon such contractors during the period of the contracts. MCCCD does not anticipate it will, but reserves the right to, select audit firms from other than those who receive an award from this RFP during the performance period(s) of the RFP. 1.2 MCCCD DISTRICT MAKE-UP The Maricopa County Community College District (MCCCD) was established in 1962 with one college, Phoenix (Junior) College, founded in Today, MCCCD consists of ten nationally accredited colleges, two skill centers, multiple satellite education centers, and a central district office. This make-up consists of: 1. Phoenix College, Phoenix, Arizona 2. Glendale Community College, Glendale, Arizona 3. GateWay Community College, Phoenix, Arizona 4. Mesa Community College, Mesa, Arizona 5. Scottsdale Community College, Scottsdale, Arizona 6. Rio Salado Community College, Tempe, Arizona 7. South Mountain Community College, Phoenix, Arizona 8. Chandler/Gilbert Community College, Chandler, Arizona 9. Paradise Valley Community College, Phoenix, Arizona 10. Estrella Mountain Community College, Avondale, Arizona 11. Maricopa Skill Center, Phoenix, Arizona 12. SouthWest Skill Center, Avondale, Arizona 13. District Office, Tempe, Arizona Other components of MCCCD include KJZZ-FM and KBAQ Radio Stations, MCTV Television Station, and Sun Sounds Radio Reading service. 1

5 1.3 BACKGROUND MCCCD ranks as the nation s largest system of its kind and as the largest single provider of higher education in Arizona. MCCCD educates and trains more than 300,000 students year round. Additionally, thousands of employees are enrolled in customized work force training programs for both local and relocating businesses and industries. Over 12,000 employees are employed by MCCCD. A five member governing board governs MCCCD, elected from geographical districts in Maricopa County. The chief executive officer of MCCCD is the chancellor; and a president heads each of the colleges. 1.4 HISTORY The Internal Audit and Management Advisory Services (IAMAS) department consists of six certified audit professionals: Director, Principal Auditor, Principal Information Systems Auditor and three Senior Audit Associates. The IAMAS staff provides objective information concerning the operations and control systems of the Maricopa County Community College District (MCCCD). IAMAS assists management and the Governing Board in their roles of accountability, oversight and process improvement. IAMAS reports to the Vice Chancellor for Business Services for administrative purposes while operating under the direction of the Audit & Finance Committee. 2

6 PART 2. PROPOSAL INSTRUCTIONS 2.1 PURPOSE OF RFP The purpose of this Request for Proposal is to obtain proposals from qualified contractors to provide Audit Services, as required, in any of the following areas of concentration: Fraud Audit Investigations/Forensics Accounting Projects Proposers are invited to submit a proposal clearly identified in the above listed area of expertise to provide the services requested. MCCCD may select multiple contractors in the area of concentration listed above. 2.2 PROPOSAL QUESTIONS All questions regarding this Request for Proposal should be directed to: Mr. Chris Mandel, CPPB, Purchasing Buyer 2411 W. 14 th Street Tempe, AZ chris.mandel@domail.maricopa.edu Questions will only be accepted until 12:00 p.m. (noon), Thursday, March 24, Purchasing will not respond directly to the firm asking the question. Questions we feel need to be responded to will be answered in the form of an addendum and sent to all potential respondents on or about March 25, PROPOSAL SUBMISSION It shall be the responsibility of the Proposer to assure that Proposals are received as follows: The Proposal package must contain one (1) original and five (5) copies of the proposal. In addition to the hard copies, one CD/DVD or Flashdrive containing the proposal should be included with the original proposal. The original must be clearly marked "Original" and the Proposal package must be delivered Sealed. The Proposals must be addressed to and received at the: Main Reception Desk, 2411 West 14th Street, Tempe, AZ, 85281, no later than 3:00 P.M. (MST), April 6, Proposals received after this time and date shall not be considered and will be returned unopened. The following information must be clearly visible on the outer most Proposal Packaging: Request for Proposal # AUDIT SERVICES Proposal Closing Date: April 6, 2011 Time: 3:00 p.m. (MST) NOTE: If you are hand carrying or having a proposal package hand delivered, you or the delivery agent should allow sufficient time to arrive, park, and go through security prior to dropping off your proposal package. This applies to any other method of delivery (FedEx, UPS,USPS, etc.) as well. Late proposals will not be accepted or considered for award. Regardless of the method of delivery, it is your responsibility to insure on-time delivery of the proposal package. 3

7 2.4 PROPOSAL EVALUATION/AWARDS This Request for Proposal does not constitute a commitment by MCCCD to award a contract. MCCCD reserves the right to waive any informalities, to reject any or all proposals, or to cancel this Request for Proposal. MCCCD reserves the right to make multiple awards to establish a pool of firms to provide the services requested, hire other agencies/persons to perform a specific project(s), and makes no commitment to a single person or firm to be the sole source of this service. The awards shall be made to responsible Proposers submitting proposals that are most advantageous for MCCCD, based on the needs, requirements and evaluation factors specified in this RFP. MCCCD does not intend to evaluate proposals solely on a fee or cost basis. No contract award shall exist until MCCCD notifies the Proposer, in writing, that its proposal has been selected for award. MCCCD reserves the right to make no awards, a limited number of multiple awards or a single award for any of the areas of services sought under this RFP. Finally, the notice of award does not constitute any commitment on the part of MCCCD to use the contractor s services. The commitment to use any particular firm under a contract only occurs when the firm is contacted by MCCCD with a specific project, provides a cost estimate for that specific project, and receives a purchase order for those specific services from MCCCD. 2.5 PROPRIETARY INFORMATION In the event any Proposer includes in its Proposal any information it believes to be proprietary or protected, the Proposer shall clearly mark that information with the term Proprietary. The MCCCD Purchasing Manager shall make the final determination as to whether or not the information is proprietary in nature. MCCCD discourages the submission of such information and undertakes to provide no more than reasonable efforts to protect the proprietary nature of such information. MCCCD, as a public entity, cannot and does not warrant that proprietary information will not be disclosed. 2.6 PROPOSAL FORM All proposals must be submitted in writing. Oral, telephone, facsimile (fax machine) or computer data transfer proposals will not be accepted. Each Proposal shall be prepared simply, providing the straightforward, concise description of the proposer's ability to meet the requirements of the RFP. Emphasis should be on completeness and clarity of contents. Voluminous proposals are specifically NOT encouraged. 4

8 2.7 WITHDRAWAL OF PROPOSALS Any Proposer may withdraw their proposal by written request at any time prior to the deadline set for receipt of proposals. No proposal may be withdrawn or modified after that deadline and shall be binding upon Proposer for a period of ninety (90) days after due date. Withdrawn Proposals may be resubmitted up to the time designated for the receipt of Proposals provided that they are then fully in conformance with the general terms and conditions of the RFP. 2.8 ORAL PRESENTATIONS OR DISCUSSIONS MCCCD may require Proposers to make oral presentations, or to enter into discussions. If MCCCD enters into discussions with Proposers, it may request that Proposers submit written best and final offers specifying any changes to their original proposals. Oral presentations will be scored by the committee and that scoring will be used as part of the final selection process. 2.9 COST OF PREPARING PROPOSALS Any and all costs associated with the preparation of responses to this Request for Proposal, including site visits, oral presentations and any other costs, shall be the entire responsibility of the Proposer and shall not be reimbursable in any manner by MCCCD AWARD WITHOUT DISCUSSION MCCCD reserves the right to make an award or awards without further discussion about the proposals received. It is therefore critical that all proposals be submitted initially in the most favorable terms possible, both economically and technically CONTRACTOR SIGNATURE The Proposer s signature on this Proposal guarantees that the prices offered have been established without collusion with other eligible Proposers and without effort to preclude MCCCD from obtaining the lowest possible competitive price CONTRACT DOCUMENT MCCCD will not sign formal, separate contracts with Proposers whose Proposals are selected for award. This Request for Proposal and the Proposal(s) selected for award will constitute the contract, along with any purchase order issued for specific services. No contract award shall exist until MCCCD notifies a Proposer, in writing, that its Proposal has been selected for award CONTRACT EXTENSION MCCCD will provide the contractor with written notice of any intent for continuation of the contract (exercise of the option periods) ninety (90) days before the end of the initial or subsequent contract period. MCCCD reserves the right to unilaterally extend the period of any contract for sixty (60) days beyond the stated expiration date. 5

9 2.14 NON-WAIVER MCCCD's failure to notify the contractor or to object to the contractor's non-compliance with the terms of the contract shall not be deemed a waiver of MCCCD's right to demand compliance with the contract or to terminate the contract for breach for the contractor's subsequent non-compliance with any term of the contract, or its repeated failure to perform according to the contract MCCCD MODIFICATIONS TO PROPOSALS Any interpretation, correction, or change of this RFP will be made by written Addendum. Interpretations, corrections, or changes of this RFP made in any other manner will not be binding, and Proposers shall not rely upon such interpretations, corrections, and changes. Any changes or corrections will be issued by MCCCD Purchasing. Addenda will be mailed or faxed to all that are known to have received a copy of the RFP. Since failure to acknowledge any addendum(s) may be cause for rejection, Proposers must return the addendum-completed acknowledgment(s) prior to or with the proposal. 6

10 PART 3. GENERAL TERMS AND CONDITIONS The following General Terms and Conditions, which become part of any award made from this RFP, constitute the provisions of the agreement to be executed between the District and successful Proposer. The District reserves the right to negotiate with the successful Proposer and modify any of the provisions of the agreement upon mutual agreement of the parties. 3.1 PARTIES TO AGREEMENT The contract shall be between the Maricopa County Community College District, hereafter referred to as District, and the successful Proposer, hereafter referred to as Contractor. 3.2 LIABLITY FOR TAXES The Contractor assumes complete liability for all taxes applicable to the operations, income, and transactions of the Contractor. The District shall not be liable and will not make reimbursement to the Contractor for any tax imposed either directly or indirectly upon the Contractor by any authority by reason of the contract or otherwise. 3.3 CATASTROPHE If, because of riots, war, public emergency or calamity, fire, earthquake, Act of God, government restriction, labor disturbance or strike, business operations at the District shall be interrupted or stopped, performance of this contract, with the exception of monies already due and owing, shall be suspended and excused to the extent commensurate with such interfering occurrence; and the expiration date of this contract may by mutual agreement of both parties be extended for a period of time equal to the time that such default in performance is excused. 3.4 CONTRACT ASSIGNMENT This contract, in part or in whole, shall not be subcontracted or assigned to another contractor without prior written permission of the appropriate District Legal authority. 3.5 FERPA If Contractor has access to students' educational records, Contractor shall limit its employees' access to the records to those persons for whom access is essential to the performance of this contract. At all times during this contract, Contractor shall comply with the terms of the Family Educational Rights and Privacy Act of 1974 in all respects. 7

11 3.6 INSURANCE REQUIREMENTS When required, the Contractor shall maintain during the term of that work the following insurance policies issued by companies licensed in Arizona with a current A.M. Best rating of A:VIII or better. Prior to commencing work or services, Contractor shall furnish the District Risk Manager with certificates of insurance evidencing the required coverage, conditions, and limits required by the Contract. The insurance policies, except Workers Compensation and Professional Liability, shall be endorsed to name Maricopa Community Colleges, its agents, officers, officials, employees, and volunteers as additional insured. In the event any insurance policy(ies) required by the Contract is(are) written on a claims made basis, coverage shall extend for two years past completion and acceptance of the Contractor s work or services and must be evidenced by annual certificates of insurance. The insurance policies shall be endorsed stating that they shall not expire, be cancelled, suspended, voided, or materially changed without 30 days written notice by certified mail to the District Risk Manager. The Contractor s insurance must be primary, and any insurance or self-insurance maintained by the District shall not contribute to it. If any part of the Contract is subcontracted, these insurance requirements also apply to all subcontractors. Commercial General Liability insurance with a limit of not less than $1,000,000 per occurrence for bodily injury, property damage, personal injury, products and completed operations, and blanket contractual coverage, including but not limited to, the liability assumed under the indemnification provisions of this contract. Automobile Liability insurance with a combined single limit for bodily injury and property damage of not less than $1,000, each occurrence with respect to the contractor s owned, hired, and non-owned vehicles. Worker s Compensation insurance with limits statutorily required by any Federal or State law and Employer s Liability insurance of not less than $100,000 for each accident, $100,000 disease for each employee, and $500,000 disease policy limit. Professional Liability insurance covering acts, errors, mistakes, and omissions arising out of the work or services performed by the Contractor, or any person employed by the contractor, with a limit of not less than $1,000,000 each claim. 3.7 INDEMNIFICATION To the fullest extent permitted by law, Contractor shall defend, indemnify, and hold harmless the District, its agents, officers, officials, employees, and volunteers from and against all claims, damages, losses, and expenses (including but not limited to attorney fees and court costs) arising from the acts, errors, mistakes, omissions, work or service of the Contractor, its agents, employees, or any tier of Contractor's subcontractors in the performance of the Contract. The amount and type of insurance coverage requirements set forth above will in no way be construed as limiting the scope of indemnification in this paragraph. 8

12 3.8 PERMITS The Contractor shall be financially responsible for obtaining all required permits, licenses, and bonding to comply with pertinent municipal, county, State and Federal laws, and assume liability for all applicable taxes including but not restricted to sales, and personal property. 3.9 PROVISION OF SUPPLIES, MATERIALS AND LABOR The Contractor shall furnish all supplies, equipment, and all management and labor necessary for the efficient and sound provision of the services included in this contract, subsequent extensions and amendments CONFLICT OF INTEREST Pursuant to A.R.S , the Contract and/or any Purchase Order(s) issued against it is subject to cancellation by MCCCD if any personnel significantly involved in this contract are found to be in conflict of interest SAFE KEEPING OF RECORDS Contractor shall keep in a safe place all financial records and statements pertaining to the operations of this contract for a period of three (3) years from the close of each year s operation AUDITS Contractor shall make available all records pertaining to the contract for purposes of audit by MCCCD staff or other review agencies CHARGES OUTSIDE SCOPE OF AGREEMENT Charges of the contractor for services not permitted by or beyond the scope of this contract shall be an expense of the contractor and not of or reimbursable by MCCCD NON-DISCRIMINATION In connection with the performance of work under this contract, the Contractor agrees not to discriminate against any employee or applicant for employment because of race, color, religion, national origin, sex (including sexual harassment and pregnancy), sexual orientation, handicap/disability, age and disabled or Vietnam era veteran status. This provision shall include, but not be limited to, the following: employment, upgrading, demotion or transfer, recruitment or recruitment advertising, layoff or termination, rates of pay or other forms of compensation, and selection for training, including apprenticeship. The Contractor further agrees to take affirmative action to insure equal employment opportunities for persons with disabilities. The Contractor shall at all times maintain compliance with the Americans with Disabilities Act. 9

13 3.15 COMPLIANCE WITH LAWS The Contractor shall at all times comply with the Federal Immigration Reform and Control Act of 1986 (and by any subsequent amendments thereto) and shall indemnify, hold harmless, and defend the District from any and all costs or expenses whatsoever arising out of Contractor's compliance or noncompliance therewith NON-COLLUSION MCCCD encourages free and open competition. Whenever possible, specifications, proposal invitations and conditions are designed to accomplish this objective, consistent with the necessity to satisfy MCCCD's needs and the accomplishment of a sound economical operation. The Proposer's signature on this proposal guarantees that any prices offered have been established without collusion with other eligible Proposers and without effort to preclude MCCCD from obtaining the lowest possible competitive price. The award will be made to the responsible Proposer whose proposal is determined to be most advantageous to MCCCD based on the evaluation factors in this RFP CONTRACT TERMINATION MCCCD may terminate this Contract for convenience by giving Contractor 30 days written notice of termination. A non-breaching party may terminate this Contract for the failure of the other party to comply with this Contract by giving that other party 10 days written notice of the failure to comply. MCCCD may terminate this Contract immediately if the Contractor files for bankruptcy or receivership, or takes any actions relating to insolvency, such as an assignment for the benefit of creditors. MCCCD may terminate this Contract under A.R.S. Section for a violation of that statute INTERPRETATION The parties intend this Contract to express their complete and final agreement RISK The Contractor assumes all risks encountered that are due to any conditions within the Contractor s direct control. Additionally, the Contractor assumes all risk for difficulties in the nature of the project or the work that the Contractor knew or should have known about at the time of submission of each individual project proposal resulting from this solicitation CONFIDENTIAL INFORMATION/PRIVACY LAWS MCCCD is subject to various federal and state laws mandating that it keep certain information confidential. The Contractor may receive or have access to confidential information during the performance of this contract. The contractor agrees that it will not disclose, publish, reproduce, or otherwise make available information that MCCCD 10

14 identifies to it as confidential without the written authorization of MCCCD. This requirement survives the termination or cancellation of the contract WORK TO BE PERFORMED BY OTHERS MCCCD reserves the right to perform any and all services in-house or may utilize the services of other firms on unrelated projects EXTENDED CONTRACT The Maricopa County Community College District (MCCCD) has entered into Cooperative Purchasing Agreements with Arizona State University, Maricopa County, and other public entities. MCCCD is also an active member of the Strategic Alliance for Volume Expenditures (SAVE) Cooperative agreement. Under these Cooperative Purchasing Agreements, and with the concurrence of the successful Proposer, these organizations, or any other campus within MCCCD, may access any subsequent agreement/contract resulting from a solicitation done by MCCCD. If the Proposer does not want to grant such access, it must be stated in the Proposal. In the absence of a statement to the contrary, MCCCD will assume that access is granted by the Proposer to any subsequent agreement/contract LEGAL WORKER REQUIREMENTS As mandated by Arizona Revised Statutes , MCCCD is prohibited after September 30, 2008 from awarding a contract to any contractor who fails, or whose subcontractors fail, to comply with Arizona Revised Statutes A. That statute requires that employers verify the employment eligibility of their employees through the federal E-verify system. An employer is an independent contractor, a self-employed person, the State of Arizona or any of its political subdivisions, or any individual or type of organization that transacts business in the State of Arizona, that has a license issued by an agency in the State and that employs one or more employees in the State. (See A.R.S ) Therefore, in signing or performing any contract for MCCCD, the Contractor fully understands that: A. It warrants that both it and any subcontractors it may use comply with all federal immigration laws and regulations that relate to their employees and with A.R.S A; B. Any breach of that warranty is material and is subject to penalties up to and including immediate termination of the contract; and C. MCCCD or its designee is authorized by law to randomly inspect the records relating to an employee of the Contractor or any of its subcontractors who works on the contract to ensure compliance with the warranty made in Paragraph A above SUDAN AND IRAN Pursuant to Arizona Revised Statutes and , Contractor certifies (in Section 7) that it does not have a scrutinized business operation in either Sudan or Iran. 11

15 3.25 PAYMENT After services have been provided, partial payments may be requested by submitting an itemized invoice (clearly referencing a Purchase Order number) and any supporting documentation that may be required. IN NO INSTANCE, HOWEVER, SHOULD ANY SERVICES BE PROVIDED NOR WILL ANY PAYMENT BE MADE WITHOUT A SIGNED PURCHASE ORDER HAVING BEEN ISSUED FOR THOSE SERVICES BY THE MCCCD PURCHASING DEPARTMENT CONTRACT TERM AND RENEWALS The contract shall be effective on July 1, 2011 and expire on June 30, MCCCD and Contractor by mutual consent may renew the contract for four (4) additional one (1) year periods, one (1) year at a time, for a maximum of five (5) years. Renewal shall be automatic for the next year. Renewal fees for services will be those specified in the Proposer s Pricing Schedule (Part 7). If the Proposer does not specify a renewal rate increase percentage, the fees for renewal years shall be at the rate specified for the initial year of the Contract. If either party does not wish to renew the contract, it must give the other party written notice least sixty (60) days prior to the end of the applicable Contract Term. The parties may negotiate fee increases for renewal years, but the fees shall not exceed the renewal rates specified in the Contractor s Proposal REPORTING REQUIREMENTS Following the completion of the audit, the firm shall issue a written report communicating all discovered abnormal activity, past or present, its quantification, cause and consequence. Upon completion of the final audit reports, the audit firm must provide IAMAS with 40 bound copies and one unbound copy of the audit reports. Further, the audit firm shall provide an electronic version of the report. The electronic versions of the reports shall be in PDF format and not be password protected. At a minimum, the final report should include a management summary; purpose and scope of review; description of work performed; review period; background information (of area reviewed); findings & recommendations; administrative responses to the findings and recommendations; and if applicable, other comments and recommendations. A representative of the audit firm is expected to present the final audit report to the Audit & Finance Committee at one of its quarterly meetings. 12

16 3.28. AUDIT PLAN. Contractor may be asked by MCCCD to submit an audit plan. The plan should include a description of the available options for handling the audit assignment, the major steps likely to be involved, the timing and sequence of the project, and the estimated costs associated with each project. Significant changes in the scope of the original audit plan may be negotiated if it is mutually agreed that such changes are desirable and necessary. Contract changes defining, increasing, or limiting the work and compensation must be submitted in writing to the MCCCD s Director of Internal Audit and approved in advance prior to the performance of work ENTRANCE & EXIT CONFERENCES. Prior to audit work beginning, an entrance conference shall be conducted by the audit firm with auditee officials. MCCCD internal audit staff shall participate in the entrance conference. Following completion of the draft reports, the audit firm shall be available to participate in an exit conference with auditee officials. MCCCD internal audit staff shall participate in the exit conference. The exit conference is to discuss the draft audit reports with the auditee, identify any errors, and obtain comments on the reports' findings and recommendations. 13

17 PART 4. PROPOSAL REQUIREMENTS This section of the RFP lists requirements that require specific, written responses or confirmations. To be considered for selection, Proposer must demonstrate in their proposal that it meets the following requirements and has provided all required information. 4.1 MINIMUM REQUIREMENTS Be licensed as independent certified public accountants, public accountants, certified forensic accountants, certified in financial forensics or certified fraud examiners (in good standing) in the State of Arizona Exhibit experience in the area of concentration identified in Part 2, Paragraph 2.1 of this RFP Offer fees that are reasonable and consistent with fees charged to other public entity clients in Maricopa County, Arizona. 4.2 SPECIFIC REQUIREMENTS The Proposer shall provide, if applicable, a brief description and history of the firm, including audit experience in the examination of this type governmental entity The Proposer shall provide a completed pricing schedule, Section 7 of the RFP, signed by an authorized representative of the Proposer confirming its offer and acknowledging its understanding of the requirements of this Request for Proposal The Proposer shall provide a list of at least three references from public entity clients, including name, address, phone, and point of contract The Proposer shall provide a copy of the firm s most recent external quality control review opinion and letter of comments The Proposer shall provide the following information for the area of concentration identified in Part 2, Paragraph 2.1, in which the Proposer offers to provide services: General background information with respect to the audit firm and partner or representative with special focus on fraud audit/forensic accounting services: o the size and experience of the firm, whether it is local, regional, national or international in operation, o the type of firm organization (i.e. partnership, professional corporation), o description of the range of activities performed by the local office (i.e. fraud audits, forensics accounting, management advisory services, etc.), o the location of the office from which the fraud audit/forensic accounting services work is to be done and the number of partners, managers, supervisors, seniors, and other professional staff employed at that office, and 14

18 o an affirmation that the firm does not have a record of substandard audit work. (List any consent orders involving the firm or members of the firm.). Specific information with respect to each area of specialization: o the names of the partners, managers, supervisors, seniors, and other professional staff who will be assigned to provide fraud audit/forensic accounting services and a plan for organizing and staffing the audit, o the description of experience and qualifications of personnel who would be assigned have experience in fraud audit/forensic accounting services, o their position in the firm hierarchy for billing purposes (e.g., the partners, managers, supervisors, seniors, and other professional staff), o their professional certifications, and o references from current or former clients The Proposer shall submit (in Section 7) the following information: Hourly rates for the personnel identified in above The Proposer must submit a signed copy of the proposal. Failure to submit a signed proposal may result in rejection of the proposal. 4.3 DEVIATIONS FROM RFP Proposers must specifically provide a separate listing of each circumstance in which their proposal differs from any terms or conditions of the Request for Proposal. Failure to list such a deviation will result in the terms of the proposal being disregarded in favor of the corresponding term(s) of the RFP. Material deviations from the requirements of the RFP shall result in rejection of the proposal. 15

19 PART 5. SCOPE OF WORK 5.1. PROJECTS There is no specific scope of work under this RFP. Contractor will be selected on an asneeded basis and may or may not receive work under this Contract. Internal Audit and Management Advisory Services (IAMAS) is the only entity within MCCCD that may authorize the Contractor to perform work. When the Director of Internal Audit and Management Advisory Services contacts the Contractor to perform work on a matter he/she will describe the particular matter and the services requested at that time. The Contractor may not provide services under this Contract until it receives a purchase order issued by MCCCD. The firm selected must have an established capability to perform forensic accounting procedures for higher education or governmental entities and to conduct investigations of potential fraudulent activity and support subsequent legal action if required on behalf of MCCCD. The firm shall perform such forensic accounting procedures as necessary to identify and quantify any abnormal activity, past or present. If required, the firm must be available as an expert witness to support legal action REPLACEMENT. If, in the opinion of MCCCD, the Contractor selected is not performing all requirements of the Contract in an excellent manner consistent with the highest industry standards, the Contractor must take immediate action to correct the deficiency. Failure to take immediate action could result in immediate termination of the Contract WORK TO BE PERFORMED BY OTHERS. After award, MCCCD reserves the right to perform any and all services in-house or may utilize the services of other firms not receiving an award under this RFP. 16

20 PART 6. EVALUATION CRITERIA The following is a listing of general and specific criteria used for the evaluation of this RFP. The areas include, but are not limited to : 6.1 General quality of responsiveness of proposer: A. Ability to meet all terms and conditions B. Completeness and thoroughness of proposal C. Grasp of scope of work to be performed D. Description of approach to be taken E. Evidence of effective organizational and management practices F. Qualifications of personnel G. Experience and past performance 6.2 Specific areas that will be evaluated and scored: A. Experience and Qualifications of Key Personnel (including past performance). B. Experience and Management of the Firm (including past performance). C. Compliance with and written responses to Section 4 / Requirements of the RFP. D. Reasonableness of Fees and Costs. Proposals will be evaluated in accordance with the following three-step process: STEP ONE - Verification that each Proposer has complied with the RFP conditions as listed in Parts 1, 2 and 3 of this RFP. STEP TWO - Verification that each Proposer has complied with all required written responses/confirmations/certifications, and they are thoroughly completed and submitted. STEP THREE - All proposals meeting the criteria as presented in Steps One and Two will then be subjected to scoring by an evaluation committee. Under this RFP, the successful Proposers may or may not be the lowest dollar priced service. Price or fees constitutes only one of the evaluation criteria. MCCCD reserves the right to make no awards, multiple awards, or a single award under this RFP. 17

21 PART 7. PRICING SCHEDULE The undersigned has read and understands all the conditions and terms of RFP#3037-5, is authorized to submit this proposal, and offers to perform the services for the costs/fees indicated below: MANAGERIAL AND PROFESSIONAL AUDIT STAFF PERSONNEL (By Position) RATE/HOUR (Contract Initial Term) Describe Proposer s Method of Billing for Services: Describe Proposer s Method of Billing Costs: 18

22 RENEWAL YEAR RATES: Using the hourly rates specified for the initial term of the Contract, specify below the percentage above those initial rates that rates may increase for each renewal term. The percentages below will allow for evaluation of renewal year pricing. Proposer is not guaranteed or entitled to the full percentage in each renewal year if it receives a contract. Renewal rates will be negotiated based on these percentages. If the Proposer does not specify a renewal rate increase percentage, the fees for renewal years shall be at the rate specified for the initial year of the Contract. 1 st Renewal Term % 2 nd Renewal Term % 3 rd Renewal Term % 4 th Renewal Term % MCCCD has instituted an e-billing application. Firms that MCCCD is doing business with may agree to e-billing. With that e-billing system, MCCCD is also encouraging firms to offer a prompt payment discount, i.e., if MCCCD pays the firm invoice within 10 days of submittal, fees are reduced 2% by the firm. Please indicate whether your firm will will not offer e-billing services. If you respond that you will provide an e-billing system, please indicate whether your firm will will not offer a prompt payment discount of 2% - 10 days. 19

23 You may submit a more detailed pricing schedule in lieu of the above as an attachment to this page, but this page must be signed and included with your proposal. Pursuant to Arizona Revised Statutes and , Contractor certifies that it does not have a scrutinized business operation in either Sudan or Iran. SIGNATURE: (PRINTEDNAME): TITLE: FIRM: ADDRESS: CITY, STATE, ZIP: TELEPHONE: FAX NUMBER: SIGNERS WEBSITE: 20