TRIANGLE HOUSING ASSOCIATION LTD EXTERNAL AUDIT TENDER Tenders must be received at 60 Eastermeade Gardens, Ballymoney no later than 12 noon on Monday 6 th June 2016
CONTENTS Section Section A Section B Section C Section D Description Background Statement of Requirements Documents to be Submitted Additional Information 2
Section A Background Triangle Housing Association Limited ( Triangle or The Association ) wishes to engage a service provider to provide external audit services to the Association. Triangle s mission is to deliver quality housing and appropriate support to people in need, promoting equality and opportunity for all. Triangle develop, manage and maintain social rented accommodation for people with special needs and also general needs housing. Triangle also provide housing floating support services and progression to employment services. It has a turnover of over 13million and employs over 400 staff. The association uses specialist housing association integrated accounting software and prepares monthly and quarterly management accounts for each area of the business. Triangle have approximately 800 units of accommodation, some of which are managed by joint management agents, who provide a wide range of care and support services. The Association is required to work within the regulatory framework for Northern Ireland Housing Associations which is the responsibility of the Department for Comunities (Previously DSD). More details can be found from their website https://www.communities-ni.gov.uk/collections/housing-association-guide The work of the firm must be in accordance with relevant legal and regulatory requirements and international standards on auditing. The auditor must be suitably qualified and hold authority to undertake statutory external audit work. Section B Statement of Requirements SECTION C outlines the information that must be included in tender submissions. Failure to provide all or part of the information may result in your submission being excluded from the evaluation process. The contract shall cover the external audit service for the three financial years 2016/2017 to 2018/2019. The contract may be extended during the period to cover associated and group companies. The contract will be for a period of 36 months, with the possibility of an extension of a further 24 months, subject to satisfactory performance. The auditor will be expected to provide up to an estimated twenty days per annum conducting the external audit including reporting and attending two, one hour evening audit and risk committees. Firms may be required to provide additional days at an agreed rate. The external Auditor will report to the Audit and Risk Committee and to Triangle senior management. 3
The scope of the work to be delivered is as follows: Plan and undertake a statutory external audit; Report audit opinion to members of the association; The provision of other special reports such as investigations; certifications, as required; and Advice and support to the Association in its implementation of a risk management strategy. The external audit firm may also be invited to provide certain management consultancy services as agreed. Applicable daily rates for specialist consultancy staff should be provided. To avoid potential conflicts of interest, the Association may wish to specifically exclude the successful external audit firm from undertaking certain consultancy assignments on their behalf for example internal audit. There will be performance indicators set down for the measurement of the quality and efficiency of service delivery. Cost/Value for money of the audit. Timely issue of audited accounts on completion of fieldwork. Performance against agreed plan. Proportion of manager and suitably qualified and experienced staff input on individual audit assignments. Quality of added value advice. Three hard copies of the proposal should be submitted by 12 noon on 6 th June 2016, to 60 Eastermeade Gardens, Ballymoney, Co Antrim, BT53 6BD. All applications will be acknowledged. When returning your proposal you are required to place and seal it in an inner envelope endorsing the work description and your company name. This envelope should then be placed in an outer envelope addressed to the association. Late submissions will not be accepted under any circumstances. Firms will be judged on the following evaluation criteria; The firm s external audit methodology, particularly in the areas of risk assessment and quality assurance; The ability of the firm to add value by providing useful business advice. The Association requires more than purely a compliance audit; The quality and depth of experience and qualifications of the proposed external audit team; A detailed understanding of the Housing Association sector and of auditing complex not-for-profit organisations; The firm s capacity and adequacy of resources to offer consultancy services; and The cost/value for money of the external audit service. Submissions will assessed on basis of quality and price (30% : 70%) Triangle will not be liable to re-imburse any costs incurred by the firm during this tender process. 4
Tender assessment will be carried out by a panel representing the board of management. The panel will be comprised of board members and senior staff. Triangle wishes to maximise the value obtained from the external audit service and does not bind itself or is obliged to accept the lowest tender. Firms should identify any work they are currently carrying out or competing for which could cause a conflict of interest, and indicate how such a conflict would be avoided. Section C Documentation to be submitted To facilitate the needs of the Tender Committee in the evaluation process, all proposals submitted must follow the following format. Failure to supply all or any part of the requested information in the required format may result in a proposal being excluded from the evaluation process. Section 1 Qualifications and experience of external audit and within the housing association/not for profit sector. Specifically those staff working on the proposed audit. Section 2 Organisation chart for your firm, stating the proposed total number of staff working on the external audit assignment. Please state which office will be responsible for managing the contract. Section 3 Details of previous experience of providing external audit services to, the voluntary sector and the Registered Social Landlord/Housing Association sector and awareness of the DfC requirements. Trinagle is seeking a firm that is fully familiar with the operating environment and regulatory issues faced by Housing Associations. Please provide details of Registered Social Landlords/Housing Associations that your firm currently acts for. State what type of service is provided. Triangle will want to take up references from two of your current clients. Please include the names of the individuals we should contact. Section 4 The firms approach to the proposed external audit. Methodology Assessment of audit needs Audit fieldwork The successful firm will be expected to undertake an assessment of audit needs and present its findings, along with a strategic plan for external audit, to the Association for consideration and approval. Please provide details of your approach to the assessment of audit needs, including the key stages of the process and whom this would involve. 5
Also outline your approach to audit fieldwork, including the level of input that you would expect from Association staff Section 5 Price Please outline your fees (including expenses) for the following activities. Tenderers should note that the Association expects these rates to remain constant for the duration of the contract: Assessment of Audit Needs External Audit Daily Rate ( ) Additional Daily Costs ( ) For each daily rate you should specify if the level of input will differ Other (please specify) Section 6 Quality is a key concern to the Association. Tenderers should set out the arrangements within their firm for ensuring that quality exists throughout the audit process. Reference should be made to the relevant Institute; standards etc Section 7 Please provide the following additional information with your proposal: Section D A copy of your Equal Opportunities policy; Details of any rulings against your firm in respect of equality legislation; and Details of your firm s Professional Indemnity Insurance. ADDITIONAL INFORMATION Anyone requiring additional information should contact: Sonia Devaney Finance Manager Triangle Housing Association Ltd 60 Eastermeade Gardens Ballymoney BT53 6BD Tel 028 2766 1750 E Mail sonia.devaney@trianglehousing.org.uk 6