United Planning Organization REQUEST FOR PROPOSAL (RFP): AUDITING SERVICES RFP #

United Planning Organization REQUEST FOR PROPOSAL (RFP): AUDITING SERVICES RFP # 2015-01

Proposal Issue Date: Friday, October 24, 2014 Request for Proposal (RFP) Cover Page Proposal Solicitation Closing Date: Monday, November 24, 2014 Issued By: United Planning Organization Proposal Solicitation Closing Time: 5:00 PM ( EST) Address: 301, Rhode Island Ave, NW, Washington, DC 20001 Telephone Number: 202-238-4600 United Planning Organization is a non-profit agency in the District of Columbia founded in 1962 and is exempt from any state or federal tax. Responses must be received on or before Monday, November 24, 2014, by 5:00 PM (EST.) in the Procurement Office, United Planning Organization, 301 Rhode Island Avenue, NW, Washington, DC 20001. Hard copy responses; please submit one (1) original and three (3) copies of the Technical Proposal in a sealed envelope to Rizwanul Haque, Procurement Officer, United Planning Organization, 301 Rhode Island Avenue, NW, Washington, DC 20001. Referencing Auditing Services RFP # 2015-01. Please submit one (1) original and three (3) copies of the Price Proposal in a sealed envelope to Rizwanul Haque, Procurement Officer, United Planning Organization, 301 Rhode Island Avenue, NW, Washington, DC 20001. Referencing Auditing Services RFP # 2015-01. Electronic responses; please submit one (1) copy of the Technical Proposal to rhaque@upo.org, referencing Auditing Services RFP # 2015-01 in the subject line. Please submit one (1) copy of the Price Proposal to rhaque@upo.org, referencing Auditing Services RFP # 2015-01 in the subject line. For questions/information, please email Rizwanul Haque, Procurement Officer, at rhaque@upo.org, referencing Auditing Services RFP # 2015-01 in the subject line; your email will be answered within two (2) business days and will be posted on our website. Questions/information must be emailed five (5) business days prior to the proposal closing or no later than Monday, November 17, 2014. United Planning Organization reserves the right to waive informalities or irregularities, to reject any or all proposals received, to accept the proposal deemed best for the organization, and/or request new proposals if necessary. Any objection to the above conditions must be clearly indicated in the proposals. In compliance with this RFP and to all the conditions imposed herein, the undersigned offers and agrees to furnish the services in accordance with the attached signed proposal or as mutually agreed upon by subsequent negotiation. VENDOR IDENTIFICATION Company Name: Address: Telephone: Email: Federal ID: Print Name Title Authorized Signature Date Page 2 of 17

CONTENTS 1. PURPOSE... 4 2. CONTRACT PERIOD... 4 3. BACKGROUND... 4 4. SCOPE OF WORK... 5 4.1. OVERVIEW... 5 4.2. REQUIRED QUALIFICATIONS... 5 4.3. SERVICES REQUIRED... 5 4.4. REPORTS... 6 4.5. WORKING PAPER RETENTION AND ACCESS TO WORKING PAPERS... 6 5. ASSISTANCE TO BE PROVIDED TO THE AUDITOR... 6 5.1 GENERAL... 6 5.2 STATEMENTS, SCHEDULES AND OTHER PERTINENT INFORMATION TO BE PREPARED BY UPO. 6 6. TIMETABLE... 7 6.1. PROPOSAL TIMETABLE... 7 6.2. ANNUAL AUDIT TIMETABLE... 7 7. PROPOSAL REQUIREMENTS... 7 7.1 GENERAL REQUIREMENTS... 7 7.2 SPECIAL REQUIREMENTS... 8 8. EVALUATION CRITERIA... 11 9. GENERAL TERMS AND CONDITIONS... 12 APPENDIX A... 14 APPENDIX B... 16 EXHIBITS... 17 Page 3 of 17

1. PURPOSE United Planning Organization (UPO) is requesting qualified independent certified public accounting firms to submit proposals to enter into a contract to perform financial audits for a period of four (4) consecutive years beginning with fiscal year ending September 30 th, 2014 and ending with fiscal year September 30 th, 2017. These audits are to be conducted in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States of America; and the provisions of the federal Single Audit Act of 1984 as amended by the Single Audit Act Amendments of 1996 and U.S. Office of Management and Budget (OMB) Circular A-133 Audits of States, Local Governments, and Nonprofit Organizations. 2. CONTRACT PERIOD A four (4) year contract is contemplated; subject to the annual review and the satisfactory negotiation of terms (including a reasonable price acceptable to both UPO and the selected firm) and the approval of UPO Board of Directors. In accordance with UPO s Board of Director s policy of ensuring competitive pricing and high quality of service, UPO will select its auditors at least every 4 years. 3. BACKGROUND UPO is a 501(c)(3) private non-profit corporation and the designated Community Action Agency for the District of Columbia, providing leadership, support and advocacy to empower low-income residents of Washington, DC to become self-sufficient and self-determined. UPO is a major Head Start grantee in the Nation's Capital spanning a period of 50 years. UPO serves as Washington, DC s premier non-government human service organization that promotes self-sufficiency and brings innovative ideas to the problem of poverty throughout the city. UPO operates a wide array of special activities and offers many supportive and instructional services including: Head Start, Early Head Start, and other childcare programs that make measurable differences in the education of our youngest Comprehensive youth services with scholarships for DC residents Emergency housing services and homelessness transportation programs that have saved lives Training programs designed to prepare participants for skilled employment Weatherization services to make homes more energy efficient Substance abuse treatment programs that assist individuals in overcoming their addictions Community based tax preparation services and e-filing Housing Counseling services that help alleviate predatory lending Job placement and career development services UPO prepares its financial statements in accordance with accounting principles generally accepted in the United States of America. UPO s Retirement Plan is a Defined Contribution Plan in accordance with Section 401(k) of the Internal Revenue Code and administered by Prudential Insurance Company. UPO s fiscal year begins on October 1 st and ends on September 30 th. UPO has a total annual budget of over $30 million. More detailed information on the corporation and its finances can be found in the following documents provided with this RFP: a. Audited Financial Statements for Fiscal Year 2013 (Exhibit 1) b. OMB A-133 Report for the Year Ended September 30, 2013 (Exhibit 2) Page 4 of 17

c. FY2015 Budget Summary (Exhibit 3) d. Organization Chart (Exhibit 4) e. Chart of Accounts (Exhibit 5) f. Subaccounts (Exhibit 6) 4. SCOPE OF WORK 4.1. OVERVIEW UPO is soliciting the services of qualified certified public accounting firms to audit its financial statements for the fiscal years ending September 30 th, 2014 to September 30 th, 2017. These audits are to be performed in accordance with the provisions contained in this request for proposals. 4.2. REQUIRED QUALIFICATIONS a) The firm submitting the proposal must be qualified to perform independent audits in the District of Columbia and must have been engaged during the fiscal year ending September 30 th, 2013 as independent auditor for the purpose of rendering an opinion on the annual financial statements of similar sized organizations in the District of Columbia. Furthermore, the audit firm must have a minimum of ten (10) years of experience in auditing similar size not-for-profit organizations funded by the federal government and the District of Columbia. Not-for-profit audit experience will be strongly considered in evaluating the proposal. b) Supervisory members of the audit team, including the managing field auditor, should be Certified Public Accountants and have a minimum of five (5) years of supervisory experience in auditing notfor-profit organizations. 4.3. SERVICES REQUIRED a) UPO desires the auditing firm to express an opinion on the fair presentation of its financial statements in conformity with accounting principles generally accepted in the United States of America. The following reports will be issued by the firm: i. Audited Financial statements of UPO for the fiscal year 2014-2017 ii. OMB Circular A-133 Audits of States, Local Governments, and Non-profit Organizations iii. Data Collection Form iv. Financial Statements of the UPO Retirement Plan v. Financial Statements of the Martin Luther King, Jr. Memorial Breakfast vi. IRS Form 990 b) To meet the requirements of this RFP, the audit shall be performed in accordance with generally accepted auditing standards as set forth by the American Institute of Certified Public Accountants, the standards for financial audits set forth in the U.S. Comptroller General's Government Auditing Standards, the provisions of the Single Audit Act of 1984 as amended by the Single Audit Act Amendments of 1996, the provisions of U.S. Office of Management and Budget (OMB) Circular A- 133 Audits of States, Local Governments, and Non-profit Organizations. c) Periodically UPO may be required to have separate audits performed. The auditing firm may be asked to perform these audits and any other audit services requested by UPO outside of the standard audit at the hourly rate stated, in Appendix A. d) All services not specifically mentioned in this RFP that are necessary to provide the functional capabilities described by the auditing firm shall be included in the proposal. Page 5 of 17

4.4. REPORTS a) Following the completion of the audit of the fiscal year's financial statements, the auditing firm shall issue, as required by auditing standards generally accepted in the United States of America; Government Auditing standards issued by the Comptroller General of the United States of America, and OMB Circular A-133, including but not limited to the following: i. Submission of a report on the fair presentation of the financial statements in conformity with accounting principles generally accepted in the USA ii. iii. iv. Submission of a report on the internal control over financial reporting, compliance and other matters based on the auditor s consideration of UPO s internal control and the auditor s test of compliance Submission of a report on compliance with laws and regulations applicable to each major program Reports on the schedule of Expenditures of federal Awards b) The auditing firm shall communicate in a formal letter to UPO Board of Directors any significant deficiencies found during the audit. A significant deficiency shall be defined as a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance. c) The schedule of federal awards and related auditor s reports, as well as the reports on the internal control structure and compliance, are to be issued separately from the financial statements. d) Copies of all reports shall be addressed to the UPO Board of Directors. The successful proposer will also submit copies of reports as required by federal audit requirements. 4.5. WORKING PAPER RETENTION AND ACCESS TO WORKING PAPERS a) All working papers and reports must be retained, at the auditing firm s expense, for a minimum of five (5) years, unless the firm is notified in writing by UPO of the need to extend the retention period. The auditor will be required to make working papers available, upon request by UPO. b) The auditing firm shall respond to the reasonable inquiries of successor auditing firm and allow successor auditors to review working papers relating to matters of continuing accounting significance. 5. ASSISTANCE TO BE PROVIDED TO THE AUDITOR 5.1 GENERAL a) UPO will provide the auditors an office space in close proximity to the financial records, land line phones, Internet access, and the use of a copy machine during the auditing period. The auditors will be required to provide their own computer equipment and other essential office materials. 5.2 STATEMENTS, SCHEDULES AND OTHER PERTINENT INFORMATION TO BE PREPARED BY UPO a) UPO staff will prepare and/or provide the auditor with the following statements and schedules: Trial balance Detail general ledger Internally prepared financial statements Schedules of revenues and expenditures, accounts payable and receivables Check registers for all bank accounts Bank reconciliations for all accounts Debt Schedules Page 6 of 17

Fixed Asset Schedules Payroll Records Schedule of Compensated Absences Notes to the financial statements Schedule of Federal Awards Analysis of other accounts as requested Standard Representation Letters 6. TIMETABLE 6.1. PROPOSAL TIMETABLE RFP s issue date October 24, 2014 RFP s due date November, 24, 2014 Selection Committee meeting To be determined Oral presentation by selected firm (if required) To be determined Appointment by UPO Executive Committee of the Board December 11, 2014 Contract Awarded Thirty (30) days after appointment 6.2. ANNUAL AUDIT TIMETABLE Entrance conference with Audit Committee to commence year-end audit work January 15, 2015 Field work begins January 20, 2015 Exit conference to review draft financial statements and findings, if any February 25, 2015 Draft comments returned to Auditors March 2, 2015 Presentation of final draft Audit Report to UPO Board of Directors March 19, 2015 for approval Final Audit Report to Federal Cognizant Agency March 31, 2015 6.3. Where an extension of time may be required, it will be the responsibility of the auditing firm to promptly notify UPO, in writing. It is the auditing firm responsibility to secure all necessary approvals in a timely manner. The auditing firm shall promptly notify UPO's Audit Committee of any suspicion of fraud, defalcation or misapplication of funds. Such notice shall be in addition to any notice to grantors required by single audit legislation. 6.4. REPORT SUBMISSION The final report and 15 signed copies should be delivered to: 7. PROPOSAL REQUIREMENTS Meseret Degefu, UPO Vice President of Finance / Chief Financial Officer 301 Rhode Island Avenue, NW, Washington, DC, 20001 7.1 GENERAL REQUIREMENTS In order to be considered for selection, bidders must submit a complete response to this RFP. One (1) original and three (3) copies of each Technical and Price Proposals must be submitted to UPO. Email submissions will be accepted. No other distribution of the proposals shall be made by the bidder. NOTE: A bidder may submit no more than one (1) proposal in response to this RFP. Page 7 of 17

7.2 SPECIAL REQUIREMENTS 1. Proposals shall be signed by an authorized representative of the bidder. All information requested should be submitted. Failure to submit all information requested may result in the organization being required to promptly submit missing information and/or obtaining a lowered evaluation of the proposal. Proposals which are substantially incomplete or lack key information may be rejected by UPO. 2. Proposals should be prepared simply, as thorough and detailed as possible providing a straightforward, concise description of capabilities to satisfy the requirements of the RFP so that UPO may properly evaluate bidder's capabilities to provide the required services. Emphasis should be placed on completeness and clarity of content. 3. All responses are to be submitted on standard 8.5 X 11 paper in 12pt. minimum type. Bidders shall respond to the items in the order they are shown in the RFP. Proposals should describe the most favorable terms and shall remain firm for 120 days from the bid opening date. Proposals should be submitted exclusive of all federal, state, and local taxes. 4. A current license to practice in the District of Columbia and a current certificate of insurance evidencing coverage of the minimum required in this RFP must be submitted to UPO with the bidder response. 5. All pages of the proposal should be numbered and bidders are required to submit the following items as a complete proposal: a. Complete vendor identification form included as an attachment (Appendix B) to the RFP. b. Table of Contents which cross-references the RFP requirements. Information which the bidder desires to present that does not fall within any of the requirements of the RFP should be inserted at the appropriate place or be attached at the end of the proposal and designated as additional material. c. A signed letter of transmittal briefly stating the proposer's understanding of the work to be done, the commitment to perform the work within the time period, a statement why the firm believes itself to be the best qualified to perform the engagement and a statement that the proposal is a firm and irrevocable offer for the period covered. d. A detailed proposal that meets the RFP requirement. e. The firm responding to this RFP shall submit one (1) copy of at least two (2) Audited Financial Statements and OMB A-133 Report issued by DC organizations in which the auditing firm s opinion was rendered. 6. Proposals that are not organized in this manner risk elimination from consideration if the evaluators are unable to find where the RFP requirements are specifically addressed. 7. UPO reserves the right to retain all proposals submitted and to use any ideas in a proposal regardless of whether that proposal is selected. Submission of a proposal indicates acceptance by the firm of the conditions contained in this Request for Proposals, unless clearly and specifically noted in the proposal submitted and confirmed in the contract between UPO and the firm selected. 8. Detailed Proposal Requirements: I. Technical Proposal a. General Requirements The purpose of the technical proposal is to demonstrate the qualifications, competence and capacity of the firms seeking to undertake an independent audit of UPO in conformity with the requirements of this Request for Proposals. As such, the substance of proposals will carry more weight than their form or manner of presentation. Page 8 of 17

The proposal should demonstrate the qualifications of the auditing firm and names, qualifications and experience, and resumes of the key staff to be assigned to this engagement. b. Audit Approach The proposal should set forth a work plan, including an explanation of the audit methodology to be followed. In developing the work plan, reference should be made to such sources of information as UPO's budget and related materials, manuals and programs, and financial and other management information systems. Proposers will be required to provide the following information on their audit approach: i. Proposed segmentation of the engagement ii. Level of staff and number of hours to be assigned to each proposed segment of the engagement. iii. Approach to be taken to gain and document an understanding of UPO's internal control structure. iv. Approach to be taken in determining laws and regulations that will be subject to audit test work. v. Approach to be taken in drawing audit samples for purposes of tests of compliance. NO DOLLARS SHOULD BE INCLUDED IN THE TECHNICAL PROPOSAL. c. Independence The firm should provide an affirmative statement that it is independent of UPO as defined by AICPA Ethical Standards section 101, applicable state CPA society standards, and GAO Yellow Book provisions on auditor s independence. The firm should also list and describe the firm's employees, or consultants relationships involving UPO or any of its sub-recipients and delegate agency for the past five (5) years, together with a statement explaining why such relationships do not constitute a conflict of interest relative to performing the proposed audit. In addition, the firm shall give UPO written notice of any professional relationships entered into during the period of this agreement. d. License to Practice in the District of Columbia An affirmative statement should be included indicating that the firm is qualified to practice in the District of Columbia. e. Firm Qualification and Experience The proposal should state the size of the firm, the size of the firm's governmental audit staff, the location of the office from which the work on this engagement is to be performed and the number and nature of the staff to be so employed on a part-time basis, if any. The firm shall provide information on the results of the firm's latest federal or state desk reviews or field reviews of its audits. In addition, the firm shall provide information on the circumstances and status of any disciplinary action taken or pending against the firm during the past three (3) years with state regulatory bodies or professional organizations. f. Partner, Manager, Supervisors and Staff Qualification, Experience and Requirements The firm should identify the principal supervisory and management staff, including engagement partners, managers, other supervisors and specialists, who would be assigned to the engagement and indicate whether such persons are licensed to practice as certified public accountants in the District of Columbia. The firm also should indicate how the quality of staff over the term of the agreement will be assured. Page 9 of 17

II. The firm should identify the extent to which its staff reflects UPO's commitment of Affirmative Action. Engagement partners, managers, other supervisory staff and specialists may be changed if those personnel leave the firm, are promoted or are assigned to another office. These personnel may also be changed for other reasons with the express prior written permission of UPO. UPO retains the right to approve or reject replacements. Consultants and firm specialists mentioned in response to this Request for Proposals can only be changed with the express prior written permission of UPO, which retains the right to approve or reject replacements. Other audit personnel may be changed at the discretion of the proposer provided that replacements have substantially the same or better qualifications or experience. g. Similar Engagements with Other Entities For the firm's office that will be assigned responsibility for the audit, list the most significant engagements (maximum of 5) performed in the last five years that are similar to the engagement described in this request for proposals. These engagements should be ranked on the basis of total staff hours. Indicate the scope of work, date, engagement partners, total hours, and the name and telephone number of the principal client contact. h. Identification of Anticipated Potential Audit Problems The proposal shall identify and describe any anticipated potential audit problems, the firm's approach to resolving these problems, and any special assistance that will be requested from UPO. Price Proposal a. General Requirements The firm shall submit an original and three copies of a dollar cost bid attached to this request for proposals (Appendix A). The proposal shall include a total all-inclusive maximum price to include all direct, indirect costs, and all out-of-pocket expenses. Also, it should include the number of hours required for each staff level. UPO will not be responsible for expenses incurred in preparing and submitting the proposal such costs should not be included in the proposal. The proposal shall include a schedule of professional fees and expenses as presented in the fixed fees form included as an attachment (Appendix A) to the RFP, which support the total all-inclusive price; completed fixed fees form. b. Rates for Additional Professional Services If it should become necessary for UPO to request the auditor to render any additional services not requested in this Request for Proposals or to perform additional work as a result of the specific recommendations included in any report issued on this engagement, then such additional work shall be performed only if set forth in an addendum to the contract between UPO and the firm. Any such additional work agreed to between UPO and the firm shall be performed at the same rates set forth in the schedule of fees and expenses included in the dollar cost bid in Appendix A. 9. Each copy of the proposal should be bound or contained in a single volume where practical. All documentation submitted with the proposal should be contained in that single volume. 10. Ownership of all data, materials and documentation originated and prepared for this RFP by any bidder shall belong exclusively to UPO. Page 10 of 17

8. EVALUATION CRITERIA 8.1 All proposals will be reviewed to determine if they adhere to the format and instructions of the RFP, meet the criteria indicated below and conform to the objectives and requirements of the RFP. An evaluation team will evaluate the merit of proposals received in accordance with criteria outlined in this RFP. Incompleteness, significant inconsistencies or inaccuracies found within a response may result in a reduction of the evaluation rating. UPO reserves the right to a) waive variances or reject any or all proposals and b) request clarifications from any or all respondents. Further, UPO reserves the right to reject any or all proposals and to waive informalities and minor irregularities and to accept any portion of a proposal or all items proposed if deemed to be in the best interest of UPO. Proposals shall be rejected if they: 1) are received after closing date and time, 2) are not properly sealed, 3) contain alterations not initialed by an authorized official, 4) are not meeting or taking exception to required terms and conditions, 5) are not meeting specifications. The following criteria will be utilized in the evaluation of the proposals: 1. The audit firm is independent and licensed to practice in the District of Columbia. 2. The audit firm's professional personnel have received adequate continuing professional education within the preceding three years. 3. The firm has no conflict of interest with regard to any other work performed by the firm for UPO. 4. The firm submits a copy of its most recent peer review report and the firm has a record of quality audit work. 5. There was no disciplinary action taken against the firm by AICPA, SEC, State Licensing Agencies or other related agencies. 6. The firm adheres to the instructions in this Request for Proposals on preparing and submitting the proposal. 7. The firm has submitted one copy of at least two audited financial statements and OMB A-133 report issued by similar size not-for-profits in which the firm s opinion is contained. 8. Service Delivery Plan: Proposal shall describe how the firm intends to conduct the audit in the first year versus subsequent years. Describe the service delivery system including what will be done, by whom, how and where. Provide detail on staffing requirements. Describe how the services will be coordinated and monitored and how access to them will be ensured through entrance conferences, progress reporting, and exit conferences. Describe how your firm would manage the process of transition to a new service provider. 9. Qualifications and Experience a. The firm's past experience and performance on comparable government funded not-for profit organization engagements. b. The quality of the firm's professional personnel to be assigned to the engagement and the quality of the firm's management support personnel to be available for technical consultation. c. Experience with the audit of federal awards schedule and preparation of related reports. 10. Cost will be considered in the evaluation. However, it will not be the primary factor in the selection of an audit firm. 8.2 Oral Presentation: Bidders who submit a proposal in response to this RFP may be required to give an oral presentation of their proposal to UPO. This provides an opportunity for the bidder to clarify or elaborate on the proposal. This is a fact finding and explanation session only and does not include negotiation. UPO will schedule the time and location of these presentations. Oral presentations are Page 11 of 17

an option of UPO and may or may not be conducted. Not all firms may be asked to make such oral presentations. 8.3 Pursuant to Federal Procurement Regulations and UPO s procurement policy, UPO will offer contracting opportunity for small and minority firms, women s business enterprises and labor surplus area firms to the extent possible. 8.4 The evaluation committee will make recommendations to UPO Executive Committee and UPO Board of Directors for approval. It is anticipated that a firm will be selected on or about December 11, 2014. Following notification of the firm selected, it is expected a contract will be executed between both parties within thirty (30) days. 9. GENERAL TERMS AND CONDITIONS 9.1 ANTI-KICKBACK PROVISION: This contract is subject to the provisions of the Anti-Kickback Enforcement Act of 1986. By agreeing to this binding agreement, the transacting parties (1) certify that they have not paid kickbacks directly or indirectly to any employee of UPO for the purpose of obtaining this or any other agreement, purchase order or contract from UPO and (2) agree to cooperate fully with any Federal Agency investigating a possible violation of the Act. 9.2 EQUAL OPPORTUNITY: The bidder agrees not to discriminate against any employee or applicant for employment on account of any services, or activities made possible by or resulting from this RFP on the grounds of sex, race, color, creed, religion, national origin, age (except minimum age and retirement provision), marital status or disability. Any violation of this provision shall be considered a violation of a material provision of this agreement and shall be grounds for cancellation, termination or suspension in whole or in part of the agreement by UPO which may result in ineligibility for further UPO contracts. The proposer shall at all times in the proposal and contract process comply with all applicable UPO, DC, and federal anti-discrimination laws, rules, regulations and requirements thereof. 9.3 RIGHT TO AUDIT: UPO shall have the right to audit all invoices submitted by the bidder. The organization shall have the right to audit all relevant data upon which the bidder s prices are based. 9.4 STATE AND LOCAL TAXES: UPO is exempt from State and federal taxes. Such taxes shall not be included in quoted prices, but if any taxes are known by the bidder to apply, they shall be shown separately. If not so shown, they shall be considered an expense of the bidder and deemed a part of the quoted prices. 9.5 PAYMENT TERMS: Progress payments will be made on the basis of hours of work completed during the course of the engagement in accordance with the auditing firm proposal price. Interim billings shall cover a period of not less than a calendar month. Ten percent (10%) will be withheld from each billing pending delivery of the firm's final reports. 9.6 BIDDER S INSURANCE AND INDEMNIFICATION: Bidder shall indemnify, protect, defend and hold harmless UPO, its directors, officers, employees, and representatives from and against any and all claims arising from or connected with: (1) any alleged or actual breach by bidder or (2) any act or omission by bidder and only to the extent such claim arises by negligence or intentional misconduct or as may be allowed under applicable law. Monies due or to become due to the bidder under the contract may be retained by UPO as necessary to satisfy any outstanding claim which UPO may have against the bidder. Bidder shall, at all times, at its own expense, obtain and carry comprehensive liability insurance, property damage insurance and workers compensation insurance in adequate amounts. Bidder shall keep such insurance in force for the duration and term of this agreement. All certificates of insurance or evidence of insurance must contain a thirty (30) day written notice of any cancellation, change, or Page 12 of 17

termination of coverage. The insurance required shall be obtained from insurance company(ies) licensed to do business in the District of Columbia and shall be kept in force for 90 days after the last payment under the contract. "The UPO and its respective officers, board members, agents, officials, employees, and volunteers" are to be named as additional insureds with regards to liability arising out of activities performed by or on behalf of the auditor; products and completed operations of the auditor; premises owned, leased or used by the auditor. The coverage shall contain no special limitations on the scope of protection afforded to the UPO. Limit of Insurance Workers Compensation Insurance providing statutory limits for the District of Columbia. Business Automobile Liability Insurance with a minimum of $1,000,000 per occurrence. Commercial General Liability Insurance coverage with a minimum of $1,000,000 per occurrence/$2,000,000 aggregate limit. The firm shall provide immediate notice in the event there is any change of insurance or that it has reached the insurance limits due to claims made. 9.7 INFORMAL COMMUNICATIONS: From the date of receipt of this RFP by each bidder until a binding contractual agreement exists with the selected bidder and all other bidders have been notified, or when UPO rejects all proposals, informal communications regarding this procurement shall cease. There shall be no requests from bidders to any Office or Department at UPO with the exception of contact for information, comments, etc., and they shall be written or emailed. 9.8 FORMAL COMMUNICATIONS: From the date of receipt of this RFP by each bidder, until a binding contractual agreement exists with the selected bidder, and all other bidders have been notified, or when UPO rejects all proposals, all communications between UPO and the bidders will be formal or as provided for in this RFP or as requested by Contact. 9.9 RFP ADDENDUM: In the event that it becomes necessary to revise this RFP, in whole or in part, an addendum will be provided on our website http://www.upo.org/au8-bo.php 9.10 COMPLETED BIDS: The bid shall be completed and signed by an individual who is authorized to bind the firm. By submitting a bid, the bidder represents that: 1. Bidder has read and understands the request for bid and submits the response in accordance therewith. 2. The bidder possesses the capabilities, equipment, and personnel necessary to provide an efficient and successful service. 3. The bidder has all required licenses and insurance. 9.11 WITHDRAWAL OF BIDS: At any time prior to the hour and date set for submitting bids, a bidder may withdraw the bid. This will not preclude the submission of another bid prior to the hour and date set for submitting the bid. After the scheduled time and date for submitting bids, no bidder will be permitted to withdraw the bid unless the award is delayed for a period exceeding 60 days. 9.12 RECEIPT AND OPENING OF PROPOSALS: Bidders are responsible to assure their bid is delivered to UPO by the scheduled date and time. Only those bids which are received in a timely fashion as set forth in this RFP will receive consideration. Proposals received after the date and hour designated are automatically disqualified and will not be considered; late bids will be dated, marked as received late, and placed unopened in the bid file. Bidders must pay particular attention to ensure the proposal is properly addressed. UPO is not responsible if the proposal does not reach the destination specified by the appointed date and time. Page 13 of 17

APPENDIX A FIXED FEES To be submitted on your firm's letterhead in a separate envelope. Firm's Name: Location of office staffing the audit: Name of professional audit staff to be assigned to UPO Headquarters: FIXED FEES: United Planning Organization Fixed Fees for: Year 1 Year 2 Year 3 Year 4 Financial Statements Single Audit (A-133) Retirement Plan MLK Audit TOTAL: Fixed Rates for assigned audit staff Fixed Fees for: Year 1 Year 2 Year 3 Year 4 Partner Manager Senior Staff TOTAL: Page 14 of 17

APPENDIX A con t Hours per assigned audit staff Total Hours for: Year 1 Year 2 Year 3 Year 4 Partner Manager Senior Staff TOTAL: Insert the rate for hours in excess of those above or for services outside the specified scope, $ per hour. Submitted by Date: Signature Title: Telephone: Fax: e-mail: Page 15 of 17

APPENDIX B Vendor Identification Form Page 16 of 17

EXHIBITS The exhibits will be in a separate attachment to this RFP. Exhibit 1 - Audited Financial Statements for Fiscal Year 2013 Exhibit 2 - OMB A-133 Report for the Year Ended September 30, 2013 Exhibit 3 - FY2015 Budget Summary Exhibit 4 - Organization Chart Exhibit 5 - Chart of Accounts Exhibit 6 - Subaccounts Page 17 of 17