Project Title: APPLYING LANDSCAPE AND SUSTAINABLE
LAND MANAGEMENT (L-SLM) FOR MITIGATING
LAND DEGRADATION AND CONTRIBUTING TO
POVERTY REDUCTION IN RURAL AREAS.
Contract type: Project Cooperation Agreement (PCA)
Starting Date: September 12, 2017
Duration: One month
Duty Station: Georgia
I. PROJECT BACKGROUND
The GEF financed Project on Applying Landscape and Sustainable Land Management (L-SLM) for Mitigating Land Degradation and Contributing to Poverty Reduction in Rural Areas of Georgia, 2016-2019 (the Project) is implemented by the United Nations Environment Programme (UNEP) and executed by the Regional Environmental Center for the Caucasus (REC-Caucasus) on behalf of the Ministry of Environment and Natural Resources Protection of Georgia.
United Nations Environment Program signed Project Cooperation Agreement (PCA) with the Regional Environmental Centre for the Caucasus (RECC) for a global environment facility medium size project “Applying Landscape and Sustainable Land Management (L-SLM) for Mitigating Land Degradation and Contributing to Poverty Reduction in Rural Areas”, Project number: GFL-11207-14AC0003-SB-005825. The project shall be carried out between 30.05.2016 and 30.05.2019 with GEF financing of USD 923,484.
REC-Caucasus is seeking for procurement of service of an auditing firm for auditing the project. The audit shall be carried out in accordance with internationally accepted audit standards issued by the International Federation of Accountants (IFAC) and by an external, independent and qualified auditor.
2. SUBJECT OF THE ENGAGEMENT
The subject is limited to financial report strictly in connection to GEF trust funds for the period 30/05/2016 to 30/05/2017 as per the Project Cooperation Agreement (PCA) between RECC and UNEP dated 3005/2016.
3. REASON FOR THE ENGAGEMENT
The National Executing Agency is required to submit to UNEP (implementing agency) quarterly expenditure reports one month after the end of quarter and annual audit reports within 6 months after the end of the year (among other reports).
4. ENGAGEMENT TYPE AND OBJECTIVE
The audit report and recommendations shall include such comments as the auditor may deem appropriate in respect of GEF funded operations and in particular, shall clearly indicate that in their opinion:
a) GEF funds were covered by the scope of the audit;
b) Proper books of account have been maintained;
c) All project expenditures are supported by vouchers and adequate documentation; Inventory list of Non-Expendable equipment is properly maintained.
d) Expenditures have been incurred in accordance with the objectives outlined in the project document;
e) The expenditure reports provide a true and fair view of the financial condition and performance of the project.
The auditor shall submit to the National Executing Agency, the audited financial statements, management letter with factual findings and recommendations including the opinion.
5. SCOPE OF WORK
The auditor shall undertake this engagement in accordance with these ToR and in compliance with the Code of Ethics for Professional Accountants issued by the International Federation of Accountants (IFAC). Link: http://ifac.org/
The work of the external audit firm or organization shall be consistent with recognized international auditing standards such as International Standards on Auditing (ISA) and International Financial Reporting Standards (IFRS).
The auditor shall examine whether the funds received (309 913.12 USD) are kept in a separate account and whether this account is signed for jointly by at least two authorized signatories.
The auditor shall examine whether fund transfers to Partner organizations have been made against the receipt of signed requisitions (scanned copies accepted) and whether receipts of such funds have been issued by these Partner organizations.
The auditor shall submit an audit report containing the findings made during the audit process and stating the measures that have been taken as a result of previous audits and whether they have been adequate for dealing with reported shortcomings.
The auditor shall examine wither Executing Agency has agreements with the organizations to which it mediates parts of its funding.
The auditor shall submit to the National Executive Agency, the audited financial statement, management letter with factual findings and recommendations including the opinion.
The adudit company should have a qualified expert /experts with the following:
– The consultant must have at least completed CPA or ACCA.
– Must have at least 5 years of professional experience working with an audit firm.
– He/she must have successfully performed similar services.
– Fluent in English;
The reports submitted to the National Executing Agency shall include:
a. Audited financial statements including non-current assets (non-expendable assets schedule and Cash Advance statement for the project as at 30th may 2017 (Excluding interest income which is to be accounted for and verified separately)
b. Management letter detailing the weaknesses
c. Response to the management letter
The reporting currency is United States Dollars (US$) and the reports will be submitted in English. The Auditor will include a comment on exchange rate principle applied by the National Executing Agency.
8. AVAILABLE DOCUMENTS
1) Financial report submitted by National Agency to UNEP as at 30th May 2017;
2) Most current budget revision
3) Project cooperation agreement
4) Books of account; Bank records; Invoice and contracts;
9. DURATION OF THE MISSION
The duration of the contract is 22 days.