Request for Proposal (RFP)
for
Appointment of Statutory Auditor for State Health Society (SHS) and District Health
Society (DHS) for Audit of all programmes under NHM including flexible pools of
NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency Response and Health
Systems Preparedness under NHM
Tender No: 1.20/APMSIDC/2021-22
Dated: 07.04.2021
Andhra Pradesh Medical Services & Infrastructure Development Corporation (APMSIDC)
Department of Health, Medical & Family Welfare
Government of Andhra Pradesh
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
Disclaimer
Andhra Pradesh Medical Services & Infrastructure Development Corporation (APMSIDC) on
behalf of National Health Mission, Andhra Pradesh is inviting Proposal from the Comptroller &
Auditor General of India (C&AG) empaneled Chartered Accountant (CA) firms those are eligible
for major Public Sector Undertakings (PSU) audits for the year 2020-21 for conducting the
statutory audit of State and District Health Societies under the National Health Mission for the
FY 2020-21.
Bids are invited on the e-procurement platform for services as described in the scope of work.
The details of bidding conditions and other terms can be downloaded from the electronic
procurement platform of Government of Andhra Pradesh i.e.
www.tender.apeprocurement.gov.in
Bidders would be required to register on the e-Procurement marketplace
“www.tender.apeprocurement.gov.in” and submit their bids online. On registration with the e-
Procurement marketplace they will be provided with a user id and password by the system
through which they can submit their bids online.
This RFP document is not an agreement and is not an offer or invitation by APMSIDC,
Department of Health, Medical & Family Welfare or its representatives to any other party. The
purpose of this RFP document is to provide interested parties with information to assist the
formulation of their Proposal. This RFP document does not purport to contain all the information
each Applicant may require.
This RFP document may not be appropriate for all persons, and it is not possible for APMSIDC,
Department of Health, Medical & Family Welfare, their employees or advisors to consider the
investment objectives, financial situation and particular needs of each entity/bidder who reads or
uses this RFP document. Certain bidders may have a better knowledge of the proposed Project
than others. Each applicant should conduct its own investigations and analysis and should
check the accuracy, reliability and completeness of the information in this RFP document and
obtain independent advice from appropriate sources. APMSIDC, Department of Health, Medical
& Family Welfare, its employees and advisors make no representation or warranty and shall
incur no liability under any law, statute, rules or regulations as to the accuracy, reliability or
completeness of the RFP document.
APMSIDC may, in its absolute discretion, but without being under any obligation to do so,
update, amend or supplement the information in this RFP document.
BIDDER 2
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
Table of contents
1. Introduction.......................................................................................................................................... 6
2. E-Procurement process ........................................................................................................................ 8
3. General References ............................................................................................................................ 11
4. Detailed Scope of Work ..................................................................................................................... 11
4.1 Background of the project ......................................................................................................... 11
4.2 Objective of the Audit Services.................................................................................................. 13
4.3 Standards:...................................................................................................................................15
4.4 Scope and Coverage of the Audit: ............................................................................................. 15
4.5 Project Financial Statements ..................................................................................................... 17
4.6 Financial Monitoring Reports (FMR) ......................................................................................... 18
4.7 Additional Instructions to Auditors ........................................................................................... 20
4.8 Re-appointment of Auditor: ...................................................................................................... 21
4.9 General Provision: ...................................................................................................................... 21
5 Conditions for Selection of bidders ................................................................................................... 22
5.1 Guidelines for Submitting the Proposals:.................................................................................. 24
5.2 Minimum number of Bids .......................................................................................................... 25
5.3 Number of proposals.................................................................................................................. 25
5.4 Cost of proposal.......................................................................................................................... 25
5.5 Acknowledgement by Bidder..................................................................................................... 26
5.6 Conflict of interest...................................................................................................................... 26
5.7 Clarifications on RFP by TIA ....................................................................................................... 27
5.8 Amendments/Modifications...................................................................................................... 27
5.9 Preparation and submission of proposal .................................................................................. 27
5.9.1 Language of bid .................................................................................................................. 27
5.9.2 Format and signing of proposal ......................................................................................... 27
5.9.3 Technical proposal.............................................................................................................. 27
5.9.4 Financial proposal .............................................................................................................. 28
5.9.5 Submission of proposal ...................................................................................................... 28
5.9.6 Proposal Submission Date.................................................................................................. 28
5.9.7 Late proposals .................................................................................................................... 28
5.9.8 Fraud and Corrupt Practices............................................................................................... 28
5.10 Confidentiality ............................................................................................................................ 29
BIDDER 3
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
5.11 Clarifications from Bidder .......................................................................................................... 29
5.12 TIA’s Right to accept/reject any proposal or all proposals ....................................................... 30
5.13 Award of Contract ...................................................................................................................... 30
5.13.1 Notification of Award......................................................................................................... 30
5.13.2 Signing of contract.............................................................................................................. 30
5.14 Disqualification of the bidder .................................................................................................... 30
5.15 General Conditions of Contract ................................................................................................. 31
5.15.1 Definitions .......................................................................................................................... 31
5.15.2 Relationship between the parties ..................................................................................... 31
5.15.3 Law Governing the Contract .............................................................................................. 31
5.15.4 Language ............................................................................................................................. 32
5.15.5 Notices ................................................................................................................................ 32
5.15.6 Taxes and Duties ................................................................................................................ 32
5.15.7 Effectiveness of Contract ................................................................................................... 32
5.15.8 Reporting obligations ......................................................................................................... 32
5.15.9 Expiration of Contract ........................................................................................................ 33
5.15.10 Entire Agreement ........................................................................................................... 33
5.15.11 Modifications.................................................................................................................. 33
5.15.12 Force Majeure................................................................................................................. 33
5.15.13 Termination by default .................................................................................................. 33
5.15.14 Termination of Service Provider without default ......................................................... 34
5.15.15 Arbitration ...................................................................................................................... 34
5.15.16 Venue of Arbitration ...................................................................................................... 34
5.15.17 Confidentiality ................................................................................................................ 34
5.15.18 Use of contract documents and Information ................................................................ 34
5.15.19 Compliance of minimum wages act and other statutory requirements ...................... 35
5.15.20 Indemnity........................................................................................................................ 35
5.15.21 Performance Review ...................................................................................................... 35
5.15.22 Data Protection, Confidentiality and Record Keeping .................................................. 35
5.15.23 Client Audit ..................................................................................................................... 35
BIDDER 4
TENDER INVITING AUTHORITY
Checklist for the bidders
S. No. Bid Enclosures Yes/No
1
2 Tender Processing Fee
3
4 Company Particulars of the Bidder
5
6 PAN card copy
7
8 GST certification copy
Certificate of Incorporation of the Bidder
9 Registration Copy of Firm having H.O./Local Branch Office in the
10 State capital of AP
11
Empanelment Letter Copy with C&AG for the year 2020-21
12
Proof for Firm is eligible for conducting audit of major PSUs
13 Experience list in handling Government Contracts on the
Organization Letter Head
14
15 Turnover of the firm CA Certificate
16
Form T-1
17 Letter of Transmittal
18 Form T-2
Format for Technical Proposal
Form F-1
Format for Financial Bid
Form U
(Letter of undertaking for having the local office in the State)
Declaration of Bidder in having Local Native Language
Declaration of Bidder mentioning the capability to mobilize sufficient
teams for Audit
Declaration for “No auditor can take the assignment of more than
three (3) audits under NHM”
Authorized Power of Attorney (In case of the JV)
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
1. Introduction
The Andhra Pradesh Medical Services & Infrastructure Development Corporation (APMSIDC) is
intending to appoint empaneled Chartered Accountant (CA) firms of Comptroller & Auditor
General of India (C&AG) those are eligible for major Public Sector Undertakings (PSU) audits
for the year 2020-21 for conducting the statutory audit of State and District Health Societies
under the National Health Mission for the FY 2020-21 and COVID-19 Emergency Response and
Health Systems Preparedness under NHM
Bid Data Sheet
S. No Information Details
Tender Inviting Authority Managing Director, Andhra Pradesh Medical Services &
1. Infrastructure Development Corporation (APMSIDC),
Government of Andhra Pradesh
(TIA)
2. Purchaser/Client APMSIDC
3. Name of RFP Appointment of Statutory Auditor for State Health Society
Contact details of Tender (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-
4. RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Inviting Authority Response and Health Systems Preparedness under NHM
Designation: Executive Director
Address: 2nd Floor, PHYCARE Building, Plot No. 9, APIIC
IT Park, Survey No. 49, Near Visalandra Printing Press,
Autonagar, Mangalagiri, Andhra Pradesh - 522503
E-mail id: aphmhidc@gmail.com
Contact No: +91-9121053550
5. RFP reference number 1.20/APMSIDC/2021-22, Dt.07.04.2021
6. Date and time of publishing of
RFP on e-Procurement portal 17.04.2021
7. Non-Refundable Tender Cost INR 5,725/- in form of Demand Draft (DD) from any
nationalized bank preferably SBI in favour of Managing
BIDDER 6
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
S. No Information Details
Director, Andhra Pradesh Medical Services &
Infrastructure Development Corporation (APMSIDC),
payable at Mangalagiri
8. Method of evaluation of bids Lowest cost bidder (L1)
26.04.2021 @ 02.00 PM
9. Pre Bid Meeting Venue, Date O/o APMSIDC, 2nd Floor, Plot No.09, Survey No.49, IT
& Time Park, Mangalagiri, Guntur 522503
Email id. aphmhidc@gmail.com
Last date, time (deadline) and
venue for receipt of proposals
10. in response to this RFP 04.05.2021 @ 03.00 PM
notice through e-procurement
portal
Date and Time of submission 04.05.2021 @ 03.00 PM
11. of technical proposal
Date and time of opening of 04.05.2021 @ 03.01 PM
12. Technical Bids on e-
Procurement portal
Date and time of Opening of
13. Financial Bid on e- Will be intimated later
Procurement portal
14. Bid validity period 90 days
15. Contract period Initially for a Period of One Year.
BIDDER 7
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
2. E-Procurement process
Inviting Bids through e-Procurement Portal
1. APMSIDC invites online bids (Two bid system) through e-Procurement portal from
eligible bidders for Selection of Statutory Auditor for State Health Society (SHS) and
District Health Society (DHS) for Audit of all programmes under NHM including flexible
pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency Response
and Health Systems Preparedness under NHM
2. A complete set of bidding documents can be downloaded from
https://tender.apeprocurement.gov.in as per the date and time provided in the bid data
sheet. However, a scanned copy of the Demand Draft for INR 5,725/- drawn in favor of
Managing Director, Andhra Pradesh Medical Services & Infrastructure Development
Corporation (APMSIDC), payable at Mangalagiri shall be uploaded towards cost of
Tender Document along with the bid, failing which the bid will be disqualified.
3. Eligible Bidders must submit their bids for the complete scope of work. Any bid
submitted for incomplete scope shall be rejected.
4. Issuance of Bidding Documents will not be construed to mean that such bidders are
automatically considered qualified
5. All bids must be accompanied by Bid Security as given in the table below, failing which
the bid will be rejected
6. All bids must be submitted on or before last date and time as mentioned in the bid data
sheet, through e-Procurement portal only (online).
7. Bids will be opened on the same date and time mentioned in the bid data sheet, in the
presence of the bidders or their representative, who choose to attend on the specified
date and time at the office of APMSIDC.
8. APMSIDC will not be responsible for any costs or expenses incurred by the bidders in
connection with the preparation or delivery of bids.
9. APMSIDC reserves the right to reject bids without assigning any reason whatsoever.
10. In the event of date being declared as a holiday, the date for submissions of bids and
opening of bids will be the following working day at the appointed time.
BIDDER 8
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
Procedure for offer submission:
1. The Bidders shall submit their response through e-Procurement portal at
https://tender.apeprocurement.gov.in or http://www.apeprocurement.gov.in/ by following
the procedure given below.
2. The Bidders shall register on the following websites to submit the bids online:
https://tender.apeprocurement.gov.in (for submission of technical qualification
and price bid formats)
3. Offline bids will not be entertained by the Tender Inviting Authority for the tenders
published in e-Procurement portal.
4. The Bidders shall submit their eligibility and qualification details, Technical bid, Financial
bid etc., in the online formats displayed in e-Procurement website. The Bidders shall
upload the scanned copies of all the relevant certificates, documents, etc., in support of
their eligibility criteria/technical bids and other certificates/documents in the e-
Procurement website. The Bidders shall sign on the statements, documents, certificates,
uploaded by them, owning responsibility for their correctness/authenticity. The Bidders
shall attach all the required documents for the specific tender after uploading the same
during the bid submission as per the Tender Notice and Bid Document.
5. Digital Certificate Authentication: The Bidders shall authenticate the bid with their Digital
Certificates for submitting the bid electronically on e-Procurement portal and the bids not
authenticated by digital certificate of the Bidders will not be accepted on the e-
Procurement portal.
6. APMSIDC shall not take any responsibility for any delay or non-receipt. If any of the
documents furnished by the Bidders are found to be false/fabricated/bogus, such
Bidders are liable for blacklisting, cancellation of work and criminal prosecution. The
Bidders are requested to get a confirmed acknowledgement from the Tender Inviting
Authority as a proof of submission of Hard Copies to avoid any discrepancy. The Bidders
have to attach the required documents after uploading the same as required by Tender
Inviting Authority in the tender conditions.
7. Payment of Transaction Fee: All the participating bidders have to electronically pay a
non-refundable transaction fee to M/s. APTS, the service provider through "Payment
Gateway Service on E-Procurement portal", as per the Government Orders placed on
the e-procurement website.
8. Tender Document: The Bidders are requested to download the Tender Document and
read all the terms and conditions mentioned in the Tender Document. The Bidders have
to keep track of any changes by viewing the Addenda / Corrigenda issued by the Tender
BIDDER 9
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
Inviting Authority from time-to-time, in the e-Procurement portal. The Department calling
for Tenders shall not be responsible for any claims / problems arising out of this.
9. Bid Submission Acknowledgement: The Bidders shall complete all the processes and
steps required for Bid submission. The system will generate an acknowledgement with a
unique bid submission number after completing all the prescribed steps and processes
by the Bidders. Users may also note that the bids for which an acknowledgement is not
generated by the e-Procurement system are treated as invalid or not saved in the
system. Such invalid bids are not made available to the Tender Inviting Authority for
processing the bids. The APMSIDC and M/s. APTS are not responsible for incomplete
bid submission by users.
10. How to Apply
a) Click at http://www.apeprocurement.gov.in or https://tender.apeprocurement.gov.in to
download e-Procurement notification.
b) Read the complete document carefully.
c) Financial Bid shall be submitted online only
d) The system will generate an acknowledgement with a unique offer submission
number on successful completion of the above process.
BIDDER 10
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
3. General References
a) The Procurement process shall be done by Andhra Pradesh Medical Services &
Infrastructure Development Corporation (APMSIDC) on behalf of National Health
Missions, Andhra Pradesh.
b) Andhra Pradesh Medical Services & Infrastructure Development Corporation is
hereafter referred to as “Tender Inviting Authority” in this document.
c) The Applicant who is providing response to this bid is hereafter referred as “Bidder”
in this document.
d) The Bidder who is successful in post evaluation of proposals according to terms and
conditions of this RFP is hereafter referred to as “Selected Bidder / Service Provider”
4. Detailed Scope of Work
4.1 Background of the project
National Rural Health Mission (NRHM) of the Ministry of Health & Family Welfare
(MoHFW) was launched on 12th April, 2005 by the Government of India (GOI) to
improve medical facilities in the country. Since 2013-14 onwards the NRHM
programme has been subsumed under the umbrella programme of the National
Health Mission (NHM). NHM is overarching NUHM and also includes Communicable
and Non-Communicable Diseases (NCD) as well. The NHM seeks to provide
accessible, affordable and quality health care to the population, especially the
vulnerable sections. It also seeks to reduce the Maternal Mortality Ratio (MMR) in
the country from 167 to 100 per 1,00,000 live births, Infant Mortality Rate (IMR) from
37 to 26 per 1000 live births and the Total Fertility Rate (TFR) from 2.3 to 2.1.
BIDDER One of the visions of the Mission is to increase public spending on health from 1.3%
to 2-3% of GDP, with the improved arrangement for community financing and risk
pooling. The NHM has provided an umbrella under which the existing Reproductive
and Child Health Programme (RCH) (including RCH,Routine Immunization
(RI),Pulse Polio Immunization(PPI) and National Iodine Deficiency Disorder Control
Programme (NIDDCP)), Health System Strengthening under NRHM (including Other
Health System Strengthening,Ayushman Bharat –Health & Wellness Centre (AB-
HWC) and Asha Benefit Package (ABP) including facilitator payment,various
National Disease Control Programmes (NDCPs) and Non-Communicable Diseases
(NCDs)have been repositioned. National Urban Health Mission (NUHM) comprising
of Other Health System Strengthening and Ayushman Bharat –Health & Wellness
Centre (AB-HWC) has also been added as Submission of National Health Mission.
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
National Health Mission is one of the implementing agency of the India COVID-19
Emergency Response and Health Systems Preparedness Project (ERHSPP) in the
States/UTs through State Health Societies (SHS). The Project also seeks to prevent,
detect and respond to the threat posed by COVID-19 and strengthen health system
preparedness. Under the project, only actual expenditures incurred (including
mobilization advances paid to contractors/vendors as per the terms of agreement) by
the implementing agencies will be eligible for financing by the World Bank. The
implementing agencies will submit separate IUFR/s reporting the actual expenditure
for the Project during such period for reimbursement by the Bank. The same will be
subject to reconciliation with audited expenditures reported for the period. Details of
the Financial Management and procurement arrangements for the project are
available in the Project Implementation Manual (PIM).
At present the following Programmes/Schemes fall under the National Health Mission:
A. NHM-RCH Flexible Pool:
a) RCH Flexible Pool including Routine Immunization (RI), Pulse
PolioImmunization (PPI) and National Iodine Deficiency Disorder Control
Programme (NIDDCP).
b) Health System Strengthening(HSS)under NRHM(viz. Other Health
System Strengthening,Ayushman Bharat –Health & Wellness Centres
(AB-HWCs) and ASHA Benefit Package including facilitator payment)
including National Programme for Prevention and Control of Deafness
(NPPCD), National Oral Health Programme (NOHP), National Programme
for Palliative Care (NPPC), Assistance to State for Capacity building (Burn
Injury) and National Programme for Fluorosis(NPF).
B. Flexible Pool for Communicable Diseases:
a) National Vector Borne Disease Control Programme (NVBDCP),
b) National TuberculosisEradication Programme (NTEP),
c) National Leprosy Eradication Programme (NLEP),
d) Integrated Disease Surveillance Programme (IDSP).
e) National Viral Hepatics Control Programme(NVHCP)
BIDDER C. Flexible Pool for Non-Communicable Diseases:
a) National Programme for Control of Blindness (NPCB),
b) National Mental Health Programme (NMHP),
c) National Programme for Health Care of the Elderly (NPHCE),
d) National Tobacco Control Programme (NTCP),
e) National Programme for Prevention and Control of Cancer, Diabetes,
Cardiovascular Diseases and Stroke (NPCDCS).
12
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
National Urban Health Mission (NUHM) Flexible Pool including Other HSS under NUHM and
AB-HWC under NUHM
Institutional and Funding Arrangements:
For the implementation of the above programmes, MoHFW has required the creation of an
Integrated Health Society at the State and District levels (registered as a legal entity at the
State and District under Societies Registration Act, 1860). Such integrated State Health
Society (SHS) works in close coordination with the Directorate of Health & Family Welfare
and District Health Societies (DHSs) work in coordination with the District Collector and
District Chief Medical Officer (CMO). Program implementation is done through its District
Chief Medical Officer’s office, Blocks, Community Health Centres (CHCs), Primary Health
Centres (PHCs), Sub- Centres (SCs), RogiKalyanSamities (RKS) and Village Health
Sanitation & Nutrition Committees (VHSNC). Certain activities may be managed at the State
level such as drug procurement, IEC, civil works, training using specialized entities such as
SIHFW, IEC Bureau, PWD, the Directorate of Health and Municipal Corporations for the
urban health components. In addition, funds are also released from SHS/ DHS to NGOs and
private entities under public private participation (PPP) arrangements.
Funding & Accounting Arrangements:
Funds for the various programs under NHM are transferred from the Pay& Accounts Office
of MoHFW to the State Treasuries and then from Treasuries to the SHS functioning in the
State. Government of India transfer funds in the form of Grants-in-Aid to State treasuries
through RBI on the basis of respective State Programme Implementation Plans (SPIPs) and
approved Annual Work Plans which are prepared on the basis of District Health Action Plans
(DHAPs) of each of the districts in the State. Under the umbrella of the integrated SHS/DHS
each program has separate bank account, separate books of accounts and other financial
records as per the requirements of each program and also submit separate financial activity
reports at varying frequencies to the respective monitoring units in MoHFW (GOI).
Financing by Development Partners/ Donors:
Some of the programs of NHM are also supported by development partners such as the
Asian Development Bank (ADB), The Global Fund to Fight AIDS, Tuberculosis and Malaria
(GFATM) /World Bank, etc. for which credit agreements have been entered into by GOI with
the respective Development Partners. Compliance with specific fiduciary requirements of the
Development Partners will additionally need to be reported by the auditors. Copies of the
legal agreements and other project documents will be provided to the auditors, if needed, by
SHS/ concerned Programme Division in the State.
4.2 Objective of the Audit Services
1 The objective of the audit is to ensure that MoHFW receives adequate, independent,
professional audit assurance that the grant proceeds provided by MoHFW are used for
BIDDER 13
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
purposes intended in line with approved PIPs and Annual Work Plan (AWP) of individual
programs and that the annual financial statements are free from material mis-statements
and the terms of the credit/ loan agreements of the development partners are complied with
in all material respects.
2 The objective of the audit of the financial statements of State and District Health Society as
well as the Consolidated Financial Statements of the State and District as a whole i.e.
Balance Sheet, Income & Expenditure, Receipt & Payment, together with relevant
accounting policies, notes to accounts and schedules, Bank Reconciliation Statements,
Statement of Funds Position, Reconciliation of Expenditures as per Audited financial
statements with the expenditure reported as per the Financial Monitoring Report (FMR) is to
enable the auditor to express a professional opinion as to whether:-
o The financial statements give a true and fair view of the Financial Position of the
individual District Health Societies (DHSs),State Health Societies (SHSs) and
Consolidated District and State Health Societies at the end of each fiscal year
and of the funds received and expenditure incurred for the accounting period
ended March 31, 2021.
o The funds were utilized for the purposes for which they were provided, and
o Where programs are financed by development partners, the respective program
expenditures are eligible for financing under the relevant grant/ credit agreement.
The books of accounts as maintained by the SHSs, DHSs and other participating
implementing units such as Blocks, CHC, PHCs, Sub Centers, Village Health
Nutrition and Sanitation Committees (VHNSCs) etc. shall form the basis for
preparation of the individual DHS and SHS financial statements as well as the
consolidated financial statements for the State as a whole.
3 The objective of the audit of SHS financial statements is to enable the auditors to express an
independent professional opinion on the financial position of funds released to the
States/UTs for ERHSPP and to ensure that the funds utilized to project activities have been
used for their intended purposes.
4 The books of accounts provide the basis for preparation of Financial Statements. Proper
books of accounts as required by law have been maintained by SHS and also maintain
adequate internal controls and supporting documentation for the transactions.
5 Audit of this project will be undertaken along with the Annual Audit being done at present for
all other activities under NHM by the same auditor.
BIDDER 14
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
4.3 Standards:
The audit will be carried out in accordance with Engagement & Quality Control Standards
(Audit & Assurance Standards) issued by the Institute of Chartered Accountants of India.
The auditor should accordingly consider materiality when planning and performing (except
where a certain minimum coverage of implementing units is specified) the audit to reduce the
risk to an acceptable level that is consistent with the objective of the audit. In addition, the
auditor should specifically consider the risk of material misstatements in the financial
statements resulting from fraud.
4.4 Scope and Coverage of the Audit:
i. Scope for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and
NCD.In conducting the audit special attention should be paid to the following:
a) An assessment of adequacy of the project financial systems, including financial
controls. This should include aspects such as adequacy and effectiveness of
accounting, financial and operational controls; level of compliance with established
policies, plans and procedures; reliability of accounting systems, data and financial
reports; methods of remedying weak controls; verification of assets and liabilities and
a specific report on this aspect would be provided by the auditor annually as part of
the management letter;
b) Funds have been spent in accordance with the condition laid down by the Department
of Health & Family Welfare, Government of India from time to time with due attention
to economy and efficiency and only for the purpose for which the financing was
provided. Counterpart contribution from State Government, where required has been
provided.
c) Goods and services financed have been procured in accordance with the relevant
procurement guidelines issued by the GOI/ State Government. However, for various
programmes, special attention must be paid to the requirements of the agreement
between GOI and Development Partners (RNTCP, IDSP and NVBDCP, etc.). Such
requirements are available within the State/ District’s concerned Program Officers.
For such externally funded programmes, auditor must satisfy that all expenditure,
including procurement of goods and services have been carried out as per the
procurement manual of the individual programmes and guidelines issued by the
Programme Divisions of GOI and have all the necessary supporting documentation.
BIDDER 15
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
d) All necessary supporting documents, records and accounts have been kept in respect
of the project.
e) Sample Coverage of sub district Implementing Units: Audit will cover 100% District
Health Societies (DHSs) each being a legally registered society and at least 40% of
the Block Level CHC/PHC (at least 50% of such blocks should be new and remaining
may be those covered in the audit of last year). The sample shall be selected in a
manner that Block level PHC/CHC in each district is included in the sample coverage.
All the vouchers pertaining to the health facilities will be available at the respective
health facility (DH, CHC/PHCs) for the purpose of audit. Audit shall also cover audit of
expenses related to NHM incurred through Rogi Kalyan Samities (RKSs) at each level
i.e. PHC/ CHC/ DH.
f) The Statutory Auditor may review the concurrent audit reports / quarterly executive
summaries and may consider material observations / findings while forming his opinion
on overall internal control and truth & fairness of accounts/financial statements
ii. Scope COVID-19 Emergency Response and Health Systems Preparedness:
1. The audit will be carried out in accordance with the Accepted Indian Auditing Standards
and will include tests and verification procedures as the auditors deem necessary.
2. External Auditors to verify all funds have been used in accordance with the established
rules and regulations of the project and only for the purposes for which the funds were
provided.
3. Goods and services financed are in adherence to the Bank’s guidelines for procurement
(under Components 2 to 6) and/or Government’s rules and regulations (under
Component 1) and as per the established rules and procedures& guidance note issued
by the Ministry. (Refer: Annexure-1 for Project Components)
4. Appropriate supporting documents, records and books of accounts relating to all
activities have been kept. Clear linkages should exist between the books of accounts
and the financial statements presented.
5. The financial statements have been prepared by the management in accordance with
applicable accounting standards and give a true and fair view of the financial position of
Project and of its receipts and expenditures for the period ended on that date.
6. Comprehensive assessment of the adequacy and effectiveness of the accounting and
overall internal control system to monitor expenditures and other financial transactions.
7. Express an opinion as to reasonableness of the financial statements in all material
respects.
8. Include in their reports opinion on compliance with procedures designed to provide
reasonable assurance of detecting misstatements due to errors or fraud that are material
in the financial statements.
9. In addition to the audit report, the auditors will provide the following:
a. Give comments and observations on the accounting records, procedures, systems
and controls that were examined during the course of the audit.
b. Identify specific deficiencies and areas of weakness in systems and controls and
make recommendations for improvement.
BIDDER 16
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
c. Report on the implementation status of recommendations pertaining to previous
period audit reports.
d. Communicate matters that have come to their attention during the audit which might
have a significant impact on the sustainability of the organization.
e. Auditors will verify the Procurements under Component 1 (Emergency COVID-19
Response) which require to be carried out as per Government rules and procedures
(Refer procurement Chapter of PIM). In addition, auditors will also verify that anti-
corruption undertakings of the World Bank and AIIB have been signed by the
seller/contractor/consultant as per the format enclosed with the PIM.
f. Auditor will carry out detailed audit of 10% of procurements (numbers) samples
under Component 1 (samples would be preferably taken from higher valued
procurements covering goods and services both) and representative of
methods/agencies to be checked for adherence to prescribed guidelines.
Deliverables for COVID-19 Emergency Response and Health Systems Preparedness:
1. Auditor will have to certify the Statement of expenditures as per the FMR Codes
designated for the project and its reconciliation with unaudited quarterly FMR
submitted to GOI depicting the differences. (Format as per Annexure -2)
2. Auditor will issue a management letter specifying the weaknesses, if any, on
matters requiring attention of the management.
3. Procurement audit reports in line with scope mentioned under para 9 (e) &(f) above.
4. Auditor to countersign Utilization Certificate prepared by SHS in Form 12C
specifying the status of funds received, utilized and unspent balances along with a
statement that all procurement procedures have been followed as per WB and AIIB
while also certifying that undertaking for Anti-corruption have been signed for all
contracts amounting for more than Rs. 3,00,000/- as per the guidance note issued
by the Ministry time to time.
5. Auditor to issue Audit Opinion as per the revised format of Audit Opinion. (Format is
given as per Annexure-3)
4.5 Project Financial Statements
A format of such financial statements and relevant schedules showing the consolidation of
all the programmes is given on the website of MoHFW at www.nhm.gov.in.
Project Financial Statement (SHS, DHS and Consolidated) shall include the following:
i. Audit Opinion as per the format mentioned by the authority post selection of the
bidder
ii. Balance sheet showing accumulated funds of the project balances other assets
of the project, and liabilities, if any.
iii. Income & Expenditure account for the year ending on 31st March 2021.
iv. Receipt and Payment Account for the year ending on 31st March 2021.
v. Other Schedules to the Balance sheet as appropriate, but which shall include
Statement of Fixed Assets in the form of a Schedule,
Schedule of Loans and Advances (Age-wise analysis),
BIDDER 17
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
Schedule of all Cash & Bank Balances (supported by bank reconciliation
statements),
Program wise statement of expenditure.
vi. Notes on Accounts showing the accounting policies followed in the preparation of
accounts in the SHSs and DHSs and any other significant observation of the
auditor.
vii. Auditor shall have to specify the significant observations, including internal
control weaknesses for each program and also specify the institution to which
these relates to enable/ facilitate appropriate follow up action.
viii. Auditor shall have to certify the delay status of funds transferred from State
Treasury to SHS for the F.Ys. 2016-17, 2017-18 ,2018-19, 2019-20and 2020-21
as per prescribed format at Appendix E-1, 2, 3,4 and 5 for all the programmes
under NHM. (Appendix shall be provided post the selection of the bidder)
ix. The Auditor has to disclose whether the State has received any interest on
delayed transfer of funds from State Treasury to SHS bank account.
x. The comparison between audited expenditure and expenditure reported in the
FMR of 2020-21 along with the reason for variations.
xi. Sanction wise UCs as per Form 12-C of GFR 2017; duly tallied with the Income
& Expenditure and expenditure on Fixed Asset during the financial year (which
have been shown as capitalized) [Attach a statement showing the details of
expenditures clubbed in the Utilization Certificate tallying with the Income &
Expenditure Account and Schedules forming part of it].
Also a separate UC for State share contribution needs to be issued by the auditor.
xii. Action Taken Report on the previous year’s audit observations.
xiii. Reconciliation of the FMR Expenditures of the last quarter i.e. 31stMarch
2020with expenditure as per the Annual Audited Financial Statements in the
FMR format only for the financial year covered by audit period identifying the
variance and the reasons for the same. This has to be certified by the auditor.
xiv. Representation by Management: The DHS and SHS management should sign
the financial statements and provide a written acknowledgement of its
responsibility for the preparation and fair presentation of the financial statements
and an assertion that the project funds have been expended in accordance with
the intended purposes as reflected in the financial statements.
4.6 Financial Monitoring Reports (FMR)
1 In addition to the primary opinion on the financial statements, the auditor is required to audit
last quarter FMR in the new format (quarter ending March) submitted to MoHFW. The
auditor should apply such tests as the auditor considers necessary under the circumstances
BIDDER 18
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
to satisfy the audit objective. Where ineligible expenditures are identified as having been
included in the financial reports, these should be separately noted by the auditors. The audit
report should include a separate paragraph commenting on the accuracy and propriety of
expenditures included in the financial statements and FMRs including whether procurement
procedures have been followed and the extent to which the GOI can rely on Quarterly
FMRs.
2 In addition to the audit reports, the auditor will prepare a “Management Letter” as per the
format mentioned by the authority post selection of the bidder , in which the auditor should
summaries the observation on the internal control issues (other than those which materially
affect his opinion on the financial statements) as under: -
a) Give comments and observations on the accounting records, systems and internal
controls that were examined during the course of the audit;
b) Identify specific deficiencies and area of weakness in the system and internal
controls and make recommendations for their improvement;
c) Report on the level of compliance with the financial internal control;
d) Report procurements which have not been carried out as per the procurement
manual/ guidelines of the State for the individual programmes such as; RCH-II,
RNTCP, IDSP etc.;
e) Communicate matters that have come to the attention during the audit which might
have significant impact on the implementation of the project; and
f) Bring to Society’s attention any other matter that the auditor considers pertinent.
3. The observations in the management letter must be accompanied by the implications,
suggested recommendations from the auditors and management comments/ response on
the Observations/ recommendations have to be obtained and reported along with the Audit
report.
4. The final Audit Report should be submitted by 31stJuly 2021, (i.e. within four months of the
end of the financial year) to the SHS and the SHS should then promptly forward 3 copies
(Spiral Bound) and also soft copy in MS Excel / MS Word and Scanned(Both) in mail or CD
along with the final Utilisation Certificates signed by the State and Auditor both, to GOI with
their comments, if any.
5. In case State has opted to appoint multiple auditors for a group of districts and State, in
such cases the Auditor appointed for a group of districts, shall have to issue a separate
audit report for each district and provide a soft copy also (Word/ Excel). Audit Reports for all
districts in such cases shall have to be issued by 30thJune, 2021 so that consolidated report
of the State is not delayed and issued by 31stJuly, 2021.
6. Submission of the Statutory Audit Report by the prescribed date is a Record of Proceedings
(ROP) conditionality for release of second tranche of funds to the State which ultimately
ensures smooth implementation of the Mission and leads to better outcomes as funds are
expended when needed by the State. In view of the above following measures need to be
taken by the State: -
BIDDER 19
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
a) The duty of the State is to ensure that the process for appointment of the auditor is
completed by 25th April, 2021 and intimation of the auditor appointed along with the
fees fixed & evaluation sheet for the appointment has to be submitted to the Ministry
latest by 5th May, 2021. Also timely availability of information to the auditor needs to be
ensured strictly.
b) The State should make sure that complete cash book, ledgers, vouchers and other
financial statements are ready at the time of visit of auditors.
c) Penal provision on failure to complete the Audit on time: In order to ensure timeliness
on the part of the Auditor, if the State feels that in spite of providing all information,
documents, and updated books of accounts, there was delay in submission of Audit
Report from the auditor, the State may deduct the audit fees @ 5% per month from the
due date of completion of audit. A clause in this regard should be incorporated by the
State in the agreement. However, in case of delay in submitting the audit report due to
unforeseen circumstances like flood, earthquake, election, etc.., the Mission
Director(NHM) of the State has the right to waive off the penalty. Further, before
imposing penalty, the firm may be given an opportunity to be heard.
4.7 Additional Instructions to Auditors
a. Audit Report of the SHS shall include audit of all the transactions at the State as well as
DHSs level.
b. Audit for the financial year will include all the components under NHM.
c. The auditor appointed shall be required to issue separate Consolidated Audit Report for
the State and each District, comprising all programmes under NHM RCH-( RCH RI PPI
and Iodine) , HSS- (Other Health System Strengthening ,Ayushman Bharat –H&W
Centre under NRHM,ASHA Benefit Package), NUHM, and NDCPs & NCDs). Auditor
appointed for the State, in case of multiple auditors, shall prepare a consolidated Report
for the State. However, in case of RNTCP and IDSP, a separate audit report with
required annexures and schedules shall also have to be issued by the State / District
Level Auditor. The relevant formats for Audit Report as issued by RNTCP Division are
given post the selection of the bidder i.e. Appendix C
d. All State level report shall have to be issued in three sets (Two sets for MoHFW and
one set for State). Consolidated Report is to be sent to NHM-Finance Division and
individual reports of individual programmes along with UCs to the respective
programme divisions of the Ministry).
e. Financial Statements and relevant schedules shall be prepared in accordance with the
format provided by Ministry of Health and Family Welfare, GOI as per the format
mentioned by the authority post selection of the bidder, However, specific programme
requirements (in accordance with the agreement with the GOI and Development
Partners) may also be incorporated in the separate schedule of the Programme.
BIDDER 20
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
f. Auditor shall certify all the UCs in the prescribed format (Form 12C of GFR, 2017) of
GOI for all programmes of NHM. The UCs shall be furnished sanction-wise and should
be signed by the Principal Secretary, Mission Director, State Programme Officers in
charge of concerned Programme and the Auditor.
g. The auditor shall also append the Checklist (APPENDIX-A-CHECKLIST FOR
AUDITOR)
h. The auditor shall certify the FMR on the basis of audited expenditures with all the line
activities for the last quarter (quarter ending March 2021) showing cumulative and head
wise expenditure for the complete financial year) along with the Audited Statement of
Accounts. Auditor shall certify a comparative statement showing expenditure as per
FMR and as per Audit Report. Auditor must also document the reason for variances
between the FMR figures and audited figures in cases where the variances are
significant e.g. more than 15% from the audited figures at each component level.
i. Audit Opinion as per the Model Format provided at as per the format mentioned by the
authority post selection of the bidder
j. Management Letter as per as per the format mentioned by the authority post selection
of the bidder along with the comments/reply of the Mission Director, SHS.
4.8 Re-appointment of Auditor:
The auditor once appointed can continue for two more years, subject to the satisfaction of the
performance by the State. The State which wishes to re-appoint the same auditor shall have to
seek the approval of the Executive Committee after obtaining the consent of the auditor and
confirming that the said firm is in the panel of C&AG and eligible for conducting audit of major
PSUs for the year for which the firm is being re-appointed. Further, any
comments/remarks/observation of the Ministry in this regard shall have to be taken into account
while re-appointing the same auditor.
It is also clarified that “No auditor can take the assignment of more than three (3) audits under
NHM. A declaration in this regard may be obtained from the auditor” along with a separate
Declaration that the Bidder is capable to mobilize sufficient teams for Audit.
4.9 General Provision:
The State should ensure that the Auditor must be appointed for all the disease control
programmes under NHM and Uniform Accounting System is followed. The State should also
ensure that the auditor should follow the latest formats given in the RFP.
The auditor shall be given access to any information relevant for the purpose of conducting the
audit, in addition to all financial and procurement records, SPIPs, AWPs, MOU/LOU signed
between MoHFW and the State/ SHS, instructions issued by MoHFW regarding scheme
guidelines (e.g. JSY etc.), administrative orders issued by the SHS/ DOHFW/ Directorate of
Health including cost norms etc. Where programs are financed by Development Partners,
BIDDER 21
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
copies of the legal agreement, project appraisal document should be made available to the
auditors.
5 Conditions for Selection of bidders
A) C&AG empaneled major audit firms: A firms those are empaneled with C&AG for
the year 2020-21 and eligible for conducting audit of PSUs only will be eligible for the
audit of the NHM programmes. In this regard firms have to submit the details about
the firm as per Form T-2.
B) Selection through Open Tender System: The selection of the Auditor should be
through an Open Tender basis.
C) Preference of firms having Head Office (H.O.)/Local Branch office in the State
Capital: The firms having Head Office /Local Branch Office in the State capital of the
same State for which the proposal is given to be given preference at the time of
finalizing the financial bid. Such office must exist within the State for not less than
three years as per the Institute of Chartered Accountants of India (ICAI) Certificate.
However, in case of NE States/ UTs where availability of Auditor is scarce, the
States/UT may consider the proposals of audit firms from the neighboring States.
D) Firms must give a declaration that the audit team members are proficient in State’s
official language (both oral and written) and will be headed by a Chartered Accountant
on regular basis.
E)
F) CA firms eligible for audit:
CA firms those are empaneled with C&AG for the year 2020-21 and eligible for
conducting audit of major PSUs only will be eligible for the audit of the NHM
programmes.
CA firms eligible for conducting audit of PSUs in 2020-21and having their
Head Office / Branch offices in designated State may be given additional
weightage in the evaluation of Technical proposal.
However, in case of NE States/ UTs where availability of Auditor is scarce, the
States/UT may consider the proposals of audit firms from the neighboring
States.
On clearance of Technical proposal, the auditor will be finalized on the basis
of Financial Bids. In this regard, firms have to submit the details about the firm
as per Form T-2.
G) Disclosure of Minimum Fees in the RFP document: The States are allowed to fix
the minimum fees for audit firms in the Tender document keeping in view the
resources involved, number of districts (100% districts) and blocks (40%) to be
covered during the course of Audit and minimum number of days required for
completion of audit. The States may refer the website of “The Institute of Chartered
Accountants of India (ICAI)” to decide the minimum fees. This is in compliance with
the Guideline No-1-CA(7)/03/2016 dated 7/4/2016 issued by “The Institute of
Chartered Accountants of India”. The States may refer the same as indicative basis.
BIDDER 22
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
Further, for the purpose of finalization of minimum fees, the State may also take the
average of audit fees paid during the last 3 years.
H) Audit Fees and TA/DA: The firms those are interested to be appointed will have to
quote consolidated audit fees including expenses on TA/DA and Taxes. In case the
audit team requests the State for stay arrangement etc., then cost to the State for
such stay arrangements etc. will be adjusted against the consolidated fees quoted.
Bidding Firm should ensure that audit team shall have to visit 100% Districts and at
least 40% blocks within each district. The audit fee should be quoted considering this
aspect.
I) Re-appointment of Auditor: The auditor once appointed can continue for two more
years subject to the satisfaction of the performance by the State. If any State wishes
to re-appoint the same auditor shall have to seek the approval of the Executive
Committee after obtaining the consent of the auditor and confirming that the said firm
is in the panel of C&AG and eligible for conducting audit of major PSUs for the year
for which firm is being re-appointed. Further, any comments/remarks/observation of
the Ministry in this regard shall have to be considered while re-appointing the same
auditor.
J) Maximum No. of Audits under NHM: No auditor can take the assignment of audit of
more than three (3) States in a year. A certification in this regard may be obtained
from the auditor. (A declaration to be submitted on the same)
K) In case same audit fee is quoted by two or more CA firms, the selection of auditor
shall be done considering the following factors (priority-wise): -
o Past Experience in handling Government Contracts & Conduct of the firm; and
o Turnover of the firm.
The other major points related to Statutory Audit are as follows:
a) To ensure timely completion of audit, State should ensure that the books of accounts
are ready at all places before the start of audit. Further, timely availability of information
to the auditors should be ensured for completion of audit on time.
b) In the pre-bid conference to be held, the participant firms should clearly be explained
about the requirements of audit as regards to the number of districts, blocks, and
physical visit of the team at each location, number of implementing agencies from
whom Utilization Certificates (UCs) /Statement of Expenditure (SOEs) received and
incorporated in Annual Financial Statements etc. so that a quality audit is not
compromised.
c) It should be clearly ensured that a Standing Committee headed by Mission Director
(NHM) is constituted in the State for the selection of auditor and for follow up and issue
of compliance to the audit observations of the previous years.
d) After the completion of audit, State should organize an exit conference of the auditors
to discuss the audit observations.
e) A copy of the working papers of the auditors shall be retained by the Director (Finance)/
State Finance Manager (SFM) in the State.
BIDDER 23
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
f) The process of appointment of auditor has to be completed by 25th April, 2021 and
intimation of the auditor appointed along with the fees fixed and evaluation sheet for
the appointment has to be submitted to the Ministry latest by 05th May, 2021.
g) The State should get the audit of all the District Health Societies completed by 05th
June, 2021 and the Audit Report issued before 30th June 2021.
h) The consolidation of audit reports of all the districts with State along with all the
necessary requirements such as, Accounting Policies, Notes on Accounts and
Management Letter is to be completed by the State in time and final report submitted
by 31st July 2021.
Audit Report as per Appendices of the RFP has to be submitted in triplicate with spiral binding
along with the soft copy(PDF/Scanned)mailed to manish.kr01@gov.inand in a C.D. also by 31st
July 2021
5.1 Guidelines for Submitting the Proposals:
Agencies are required to submit the proposal as per the guidelines and formats detailed out
in the following paras:
i. The original and all copies of the Technical Proposal shall be placed in a sealed
envelope clearly marked “TECHNICALPROPOSAL” Similarly, the original Financial
Proposal shall be placed in a separate sealed envelope clearly marked
“FINANCIALPROPOSAL” followed by the name of the assignment and with a warning
“DO NOT OPEN WITH THE TECHNICAL PROPOSAL.” The envelopes containing
the Technical and Financial Proposals shall be placed into an outer envelope and
sealed. This outer envelope shall bear the submission address, reference number
and title of the Assignment, and be clearly marked “DO NOT OPEN, EXCEPT IN
PRESENCE OF THE OFFICIAL APPOINTED. The Society shall not be responsible
for misplacement, loss or premature opening if the outer envelope is not sealed
and/or marked as stipulated. This circumstance may provide a case for Proposal’s/
bid’s rejection. If the Financial Proposal is not submitted in a separate sealed
envelope duly marked as indicated above, this shall constitute ground for declaring
the Proposal non-responsive/ invalid.
ii. Single Proposal (Multiple Firms): In case State decides to appoint more than one CA
firm as auditor, the Bidding CA firm may submit proposal for State and also for one
Group of districts.
iii. All agencies must comply with the Technical Specification, General Conditions and
Format/Requirements for Technical and Financial proposal.
iv. The Technical Proposal shall be marked “ORIGINAL” or “COPY” as appropriate. All
required copies of the Technical Proposal are to be made from the original. If there
are discrepancies between the original and the copies of the Technical Proposal, the
original governs.
v. Financial proposals submitted by the firm should be valid for 6 months from the date of
submission of the proposal by the firm.
BIDDER 24
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
vi. Each page, Form, Annexure and Appendices of the Technical and Financial Proposal
must be signed by the Authorized signatory of the firm.
vii.All blank spaces in the financial proposal must be filled in completely where indicated,
either typed or written in ink.
viii. State Health Society (SHS) reserves the right to accept or reject any proposal
without giving any explanation and can change the evaluation criteria as per its
requirements in the interest of the organization.
ix. If the required constitution of the team is not deployed the state may take appropriate
action as it deems fit (including blacklisting of the firm) against the firm, keeping the
Ministry informed.
x. A firm cannot undertake the audit assignments of more than three states in a year. The
audit assignment must be opted for as awarded by States chronologically i.e. on First
come first served basis. If a CA Firm appointed in more than 3 States, then they have
to withdraw their name so as to keep it up to 3 States/ UTs only. As a State may opt
to appoint multiple auditors, therefore, if a firm appointed for audit of a group of district
in any State then for the purpose of ceiling of 3 States, group of Districts shall be
taken as a State.
xi. The firm shall give an undertaking that the team members are proficient in the State’s
official language (both oral and written). The auditors must have the H.O/ Branch
Office in the allotted State. (Form U). However, in case if NE States/ UTs where
availability of Auditor is scare, the States/UT may consider the proposals of audit
firms from the neighboring States
xii.Firm shall have to depute appropriate no. of teams for timely submission of Audit
Report and to attain quality of audit.
xiii. Each team shall have to be headed by a qualified chartered accountant.
Technical & Financial Proposal will consist:
i.Letter of Transmittal (Form T-1)
ii. Technical Proposal format (Form T-2)
iii. Financial Bid format (Form F-1)
iv. Undertaking of presence of HO/Branch offices in State (Form U)
5.2 Minimum number of Bids
In case only a single bid is received against this RFP, APMSIDC reserves the right to
cancel the tender process and float a fresh tender.
5.3 Number of proposals
A Bidder is eligible to submit only one proposal.
5.4 Cost of proposal
The Bidders shall be responsible for all the costs associated with preparation of their
Proposals and their participation in the selection process. The Client will not be
BIDDER 25
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
responsible, nor in any way liable for such costs, regardless of the conduct or outcome
of the Selection Process.
5.5 Acknowledgement by Bidder
It shall be deemed that by submitting the Proposal, the Bidder has:
a) Made a complete and careful examination of the RFP;
b) Acknowledged that it does not have a Conflict of Interest; and
c) Agreed to be bound by the undertaking provided by it under and in terms hereof.
5.6 Conflict of interest
a) A Bidder shall not have a conflict of interest. Any Bidder found to have a conflict of
interest shall be disqualified.
b) A Bidder may be considered to have a conflict of interest for the purpose of this bidding
process, if the Bidder:
i. directly or indirectly controls, is controlled by or is under common control with
another Bidder; or
ii. receives or has received any direct or indirect subsidy from another Bidder; or
iii. has the same legal representative as another Bidder; or
iv. has a relationship with another Bidder, directly or through common third parties, that
puts it in a position to influence the bid of another Bidder, or influence the decisions
of the TIA regarding this bidding process; or
v. any of its affiliates participated as a consultant in the preparation of the design or
technical specifications of the works that are the subject of the bid; or
vi. Or any of its affiliates has been hired (or is proposed to be hired) by the TIA in
implementing Service Provider Agreement.
vii. has a close business or family relationship with a professional staff of the Client who:
are directly or indirectly involved in the preparation of the bidding
documents or specifications of the contract, and/or the bid evaluation
process of such contract; or
would be involved in the implementation or supervision of such contract
unless the conflict stemming from such relationship has been resolved in a
manner acceptable to the TIA throughout the procurement process and
execution of the contract
BIDDER 26
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
5.7 Clarifications on RFP by TIA
There will prebid meeting held and the bidders can visit and send their queries prior to
the date mentioned in the RFP.
5.8 Amendments/Modifications
At any time prior to the deadline for submission of Proposal, the TIA may, for any
reason, at its own initiative may extend the Proposal Submission Date. Any such
extension to the Proposal Submission Date will be posted only on the website and
shall not be published in any newspaper and will be binding on all Bidders.
5.9 Preparation and submission of proposal
5.9.1 Language of bid
The Proposal with all accompanying documents (the “Documents”) and all
communications in relation to or concerning the selection process shall be in
English language, and strictly submitted based on forms provided in this RFP. No
supporting document or printed literature shall be submitted with the Proposal
unless specifically asked for and in case any of these documents is in another
language, it must be accompanied by an accurate translation of the relevant
passages in English, in which case, for all purposes of interpretation of the
Proposal, the translation in English shall prevail.
5.9.2 Format and signing of proposal
The Bidder shall provide all information sought under this RFP. The TIA would
evaluate only those proposals that are received in the specified forms and complete
in all respects.
The proposal shall be typed and signed by the authorized signatory of the Bidder /
Lead Bidder, who shall initial each page. All the alterations, omissions, additions, or
any other amendments made to the Proposal shall be initialed by the person(s)
signing the Proposal. The Proposals must be properly signed by a duly authorized
person holding the Power of Attorney (the “Authorized Representative”). The Power
of Attorney should be registered as per the applicable laws.
5.9.3 Technical proposal
i. Bidders shall upload the technical proposal in the proposed formats, (the
“Technical Proposal”).
ii. Failure to comply with the requirements shall make the Proposal liable to be
rejected.
BIDDER 27
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
iii. The Technical Proposal shall not include any financial information relating to the
Financial Proposal.
iv. The Client reserves right to verify all statements, information and documents,
submitted by the Bidder in response to the RFP. Failure of Client to undertake
such verification shall not relieve the Bidder of its obligations or liabilities
hereunder nor will it affect any rights of the Client there under.
5.9.4 Financial proposal
Bidders shall upload financial proposal in the format clearly indicating the total cost
of the supply in both figures and words, in Indian Rupees, and signed by the
Bidder’s authorized signatory. In the event of any difference between figures and
words, the amount indicated in words shall be taken into account.
5.9.5 Submission of proposal
The proposal submission shall as per the e-procurement process
5.9.6 Proposal Submission Date
The Proposal Submission Date is listed in the Bid Data Sheet. The TIA may, in its
sole discretion, extend the Proposal Submission Date by issuing a Corrigendum in
accordance with RFP
5.9.7 Late proposals
Proposals received by the TIA after the specified time on Proposal Submission Date
shall not be eligible for consideration and shall be summarily rejected.
5.9.8 Fraud and Corrupt Practices
Bidders and their respective officers, employees, agents and advisers shall
observe highest standard of ethics during the selection process.
Notwithstanding anything to the contrary contained in this RFP, TIA shall reject
a Proposal without being liable in any manner whatsoever to the Applicant, if it
determines that the Applicant has, directly or indirectly or through an agent,
engaged in corrupt practice, fraudulent practice, collusive practice, undesirable
practice or restrictive practice (collectively the “Prohibited Practices”) in the
Selection Process.
BIDDER Without prejudice to the rights of TIA hereinabove and the rights and remedies
which TIA may have under the Letter of Award (LOA), if an Applicant, as the
case may be, is found by TIA to have directly or indirectly or through an agent,
engaged or indulged in any corrupt practice, fraudulent practice, coercive
practice, undesirable practice or restrictive practice during the Selection
Process, or after the issue of the LOA, such Applicant or Consultant shall not
28
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
be eligible to participate in any tender or RFP issued by TIA during a period of
3 (three) years from the date such Applicant, as the case may be, is found by
TIA to have directly or through an agent, engaged or indulged in any corrupt
practice, fraudulent practice, coercive practice, undesirable practice or
restrictive practice, as the case may be.
For the purposes of this Clause, the following terms shall have the meaning
hereinafter respectively assigned to them:
i. “corrupt practice” means the offering, giving, receiving, or soliciting, directly or
indirectly, of anything of value to influence the action of any person connected
with the Selection Process.
ii. “fraudulent practice” means a misrepresentation or omission of facts or
disclosure of incomplete facts, in order to influence the Selection Process;
iii. “coercive practice” means impairing or harming or threatening to impair or harm,
directly or indirectly, any persons or property to influence any person’s
participation or action in the Selection Process;
iv. “undesirable practice” means
establishing contact with any person connected with or employed or
engaged by TIA with the objective of canvassing, lobbying or in any manner
influencing or attempting to influence the Selection Process; or
having a Conflict of Interest; and
v. “restrictive practice” means forming a cartel or arriving at any understanding or
arrangement among Applicants with the objective of restricting or manipulating
a full and fair competition in the Selection Process.
5.10 Confidentiality
Information relating to examination, clarification, evaluation, and recommendation for
selection of Bidders shall not be disclosed to any person who is not officially concerned
with the process or is not a retained professional adviser advising the TIA in relation to
or matters arising out of/or concerning the Selection Process. The TIA will treat all
information, submitted as part of the Proposal, in confidence and will require all those
who have access to such material to treat the same in confidence. The TIA may not
divulge any such information unless it is directed to do so by any statutory entity that has
the power under law to require its disclosure or is to enforce or assert any right or
privilege of the statutory entity and/or the TIA
5.11 Clarifications from Bidder
To facilitate evaluation of Proposals, the TIA may, at its sole discretion, seek
clarifications from any Bidder regarding its Proposal. Such clarification(s) shall be
provided within the time specified by the TIA for this purpose. Any request for
clarification(s) and all clarification(s) in response thereto shall be in writing.
BIDDER 29
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
If a Bidder does not provide clarifications sought under Sub-Clause mentioned above
within the specified time, its Proposal shall be liable to be rejected. In case the Proposal
is not rejected, the TIA may proceed to evaluate the Proposal by construing the
particulars requiring clarification to the best of its understanding, and the Bidder shall be
barred from subsequently questioning such interpretation of the TIA.
5.12 TIA’s Right to accept/reject any proposal or all proposals
The TIA reserves the right to accept or reject any bid and to annul the Bidding process
and reject all Bids at any time prior to award of Contract, without thereby incurring any
liability to the affected bidder or bidders or any obligation to inform the affected bidders
or bidders of the grounds for the TIA’s action.
5.13 Award of Contract
5.13.1 Notification of Award
Prior to expiry of the period of Bid validity prescribed by Client, the Client will notify the
successful bidder(s) in writing, that their Bid has been accepted. This letter (hereinafter
and in the Conditions of Contract called “Notification of Award”/‟Letter of Award‟) shall
name the sum which the Client will pay to Service Provider in consideration of the
execution, completion and maintenance of the Work by the Service Provider as
prescribed by the Contract (hereinafter and in the Conditions of Contract called the
“Contract Price”). Within 5 days of receipt of the “Notification of Award”/‟Letter of
Award” the successful bidder shall sign and return a copy of the same to the Procurer
as acknowledgement of receipt of the same.
5.13.2 Signing of contract
After acknowledgement of Letter of Award (LOA) by the Selected Bidder and
submission of performance security, it shall execute the Agreement within a fortnight
from date of issuance of LOA. Selected Bidder shall not be entitled to seek any
deviation in the Agreement. If the Selected Bidder fails to sign Agreement within
stipulated time, their performance security shall be forfeited and appropriated by the
Client. In such an event, the Client may invite next ranked Bidder for negotiations and
may issue LOA to him.
5.14 Disqualification of the bidder
a) Any misrepresentation/improper response may lead to disqualification of the Bidder.
b) In case it is found during evaluation or at any time before signing of the Agreement or
after its execution and during the period of subsistence thereof, that one or more of the
eligibility conditions have not been met by the Bidder, or the Bidder has made material
misrepresentation, or has given any materially incorrect or false information, the Bidder
shall be disqualified forthwith if not yet appointed as the Service Provider either by
issue of the LOA or entering into of the Agreement
BIDDER 30
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
c) If the Bidder has already been issued the LOA or has entered into the Agreement, as
the case may be, the same shall, notwithstanding anything to the contrary contained
therein or in this RFP, be liable to be terminated, by a communication in writing by the
Client without the Client being liable in any manner whatsoever to the Applicant, as the
case may be. In such an event, the Client shall forfeit and appropriate the performance
Security and also pre-estimated compensation and damages payable to the Client as
mutually agreed for, inter alia, time, cost and effort of the Client without any other right
or remedy that may be available to the Client
5.15 General Conditions of Contract
5.15.1 Definitions
a. “Contract” means the Contract Agreement entered into between the Client and the
Service Provider, together with the Contract Documents referred to therein, including
all RFP clauses, negotiations, attachments, appendices, and all documents
incorporated by reference therein.
b. “Contract Documents” means the documents listed in the Contract Agreement,
including any amendments thereto.
c. “Contract Price” means the price payable to the Service Provider as specified in the
Contract Agreement, subject to such additions and adjustments thereto or
deductions therefrom, as may be made pursuant to the Contract.
d. “Day” means calendar day.
e. “Completion” means the fulfillment of the Related Services by the Service Provider in
accordance with the terms and conditions set forth in the Contract.
f. “Client” means the entity procuring the consultancy services
g. “Service Provider” means the person, private or government entity, or a combination
of the above, whose bid to perform the Contract has been accepted by the Client and
is named as such in the Contract Agreement.
5.15.2 Relationship between the parties
Nothing in the Contract shall be deemed to constitute a partnership between the
Parties or to constitute either Party as the agent of the other.
5.15.3 Law Governing the Contract
The Contract shall be governed by and interpreted in accordance with the laws of
India.
BIDDER 31
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
5.15.4 Language
The language for communication shall be English, unless otherwise modified by the
Client
5.15.5 Notices
Any notice given by one party to the other pursuant to the Contract shall be in writing to
the address specified in the Special Conditions of Contract. The term “in writing” means
communicated in written form with proof of receipt.
A notice shall be effective when delivered or on the notice’s effective date, whichever is
later.
5.15.6 Taxes and Duties
i. The Service Provider shall be liable and pay all non-Indian taxes, duties, levies,
lawfully assessed against the Client or the Service Provider in pursuance of the
Contract, if applicable. Tax liability, if any, on Service Provider’s personal income
& property shall be borne by the Service Provider and shall be responsibility of
the Service Provider as per Tax Laws of India.
ii. Client shall be entitled to deduct applicable tax (if any) at source as per Indian
Laws from all payments due to the Service Provider under the contract.
iii. If any rates of taxes/duties/levies (hereinafter called ‘Tax’) are increased or
decreased, a new Tax is introduced, an existing Tax is abolished or any change
in interpretation or application of any Tax occurs in the course of the performance
of Contract, which was or will be assessed on the Service Provider in connection
with performance of the Contract, an equitable adjustment of the Contract Price
shall be made to fully take into account any such change by addition to the
Contract Price or deduction there from, as the case may be.
5.15.7 Effectiveness of Contract
This Contract shall come into force and effect on the date (the “Effective Date”) of the
Client’s notice to the Service Provider instructing the Service Providers to begin
carrying out the Services.
5.15.8 Reporting obligations
The Service Provider shall ensure that information, records and documentation
necessary to monitor the agreement are maintained and are available at all times to the
Client or its authorized representative. The Service Provider hereby agrees that his and
all his/her staff shall at all times co-operate with the reasonable processes of the Client
for monitoring, evaluation and carrying out quality audit by any third party authorized by
Client.
BIDDER 32
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
The Service Provider further agrees to maintain confidentiality of data and records and
commits that such data and records will not be shared with any third party for any
purpose.
5.15.9 Expiration of Contract
Unless terminated earlier, this Contract shall terminate at the end of such time period
after the Effective Date as shall be specified in the Agreement.
5.15.10 Entire Agreement
This Contract contains all covenants, stipulations and provisions agreed by the Parties.
No agent or representative of either Party has authority to make, and the Parties shall
not be bound by or be liable for, any statement, representation, promise or agreement
not set forth herein.
5.15.11 Modifications
Modification of the terms and conditions of this Contract, including any modification of
the scope of the Services, may only be made by written agreement between the
Parties and shall not be effective until the consent of the Client, as the case may be,
has been obtained. Each Party shall give due consideration to any proposals for
modification made by the other Party.
5.15.12 Force Majeure
Force Majeure means any circumstances beyond the control of the parties, including
but not limited to:
a) war and other hospitalities, (whether war be declared or not), invasion, act of
foreign enemies, mobilization, requisition or embargo;
b) ionizing radiation or contamination by radioactivity from any nuclear fuel or from any
nuclear waste from the combustion of nuclear fuel, radioactive toxic explosives, or
other hazardous properties of any explosive nuclear assembly or nuclear
components thereof.
c) rebellion, revolution, insurrection, military or usurped power and civil war;
d) riot, commotion or disorder, except where solely restricted to employees of the
Contractor.
5.15.13 Termination by default
The Client may terminate the Contract if:
BIDDER a) The Consultant fails to remedy any breach hereof or any failure in the
performance of its obligations hereunder, within fifteen (15) days of receipt of
33
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
notice of default or within such further period as the Client may have
subsequently granted in writing
b) The Consultant becomes insolvent or bankrupt
c) If the Consultant fails to comply decisions / mandate of the Client.
d) Any document, information, data or statement submitted by the Consultant in
its Proposals, based on which the Consultant was considered eligible or
successful, is found to be false, incorrect or misleading; or
e) If the acts of Consultant are found to be unethical by the Client.
5.15.14 Termination of Service Provider without default
The Client shall be at liberty to terminate the Agreement without assigning any reason
by giving 30 days written notice to the other party.
5.15.15 Arbitration
In case of any disputes arising out of the contract the same shall be referred to the
Managing Director, APMSIDC or his/her nominee as arbitrator and his decision shall be
final and binding on both the parties.
5.15.16 Venue of Arbitration
The venue of arbitration shall be at the courts of Vijayawada.
5.15.17 Confidentiality
The Service Provider either during the term or within two (2) years after expiration of
this Contract, should not disclose any proprietary or confidential information relating to
the Services, this Contract or the Client’s business or operations without prior written
consent of the Client.
5.15.18 Use of contract documents and Information
The Service Provider shall not without the Client’s prior written consent, disclose the
contract or any provision thereof or any specification, plan, drawing, pattern, sample or
information furnished by or on behalf of the Client in connection therewith to any
person other than a person employed by the Service Provider in performance of the
contract. Disclosure to any such employed person shall be made in confidence and
shall extend only so far as may be necessary for purposes of such performance.
The Service Provider shall not, without the Client’s prior written consent make use of
any document or information enumerated in the above para except for purposes of
performing the contract.
Any document other than the contract itself enumerated in the first para of this clause
shall remain the property of the Client and shall be returned (in all copies) to the Client
BIDDER 34
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
on completion of the Service Provider’s performance under the contract if so required
by the Client.
5.15.19 Compliance of minimum wages act and other statutory requirements
The Service Provider shall comply with all the provisions of Minimum Wages Act/ Rates
of Government and other applicable labour laws issued by Government from time to
time. The Client is not responsible to that effect.
5.15.20 Indemnity
By this agreement, the Service provider indemnifies the Client and/or Government
against damages of any kind or for any mishap/injury/accident caused to any
personnel/property of the Service provider while performing duty.
The Service provider agrees that all liabilities, legal or monetary, arising in any
eventuality shall be borne by the Service provider.
5.15.21 Performance Review
Periodic review meetings will be held and attended by appropriate levels of officials of
Service providers to consider the performance, anticipated outcome of the agreement.
The Client shall reserve the right to extend the contract based on the performance
review.
5.15.22 Data Protection, Confidentiality and Record Keeping
All service users have a right to privacy and therefore all information and knowledge
relating to them and their circumstances must be treated as confidential. Service
Provider must advise all staff on the importance of maintaining confidentiality and
implement procedures which ensure that service user’s affairs are only discussed with
relevant people and agencies.
Service Provider shall comply with all legislations, which otherwise would have been
applicable had the services been run directly by the Government agencies.
5.15.23 Client Audit
The Service Provider, hereby, agrees to maintain all required books of accounts and to
provide them to such audit as may be required to be carried out.
BIDDER 35
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
Form T-1
Letter of Transmittal
To,
The Mission Director,
State Health Society,
Name & Address of State
Sir,
We, the undersigned, offer to provide the audit services for [Name of State Health
Society] in accordance with your Request for Proposal dated [Insert Date]. We are hereby
submitting our Proposal, having details about the firm and proposed audit fees.
We hereby declare that all the information and statements made in this Proposal are true
and accept that any misinterpretation contained in it may lead to our disqualification.
The Fees quoted by us is valid till six months from the date of submission of the
proposal. We confirm that this proposal will remain binding upon us and may be accepted by
you at any time before the expiry date.
Prices have been arrived independently without consultation, communication, agreement
or understanding (for the purpose of restricting competition) with any competitor.
We agree to bear all costs incurred by us in connection with the preparation and
submission of the proposal and to bear any further pre-contract costs.
We understand that State Health Society [Insert Name of the State] is not bound to
accept the lowest or any proposal or to give any reason for award, or for the rejection of
any proposal.
I confirm that I have authority of [Insert Name of the C.A. Firm] to submit the proposal
and to negotiate on its behalf.
Yours faithfully,
BIDDER 36
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
Form T-2
Format for Technical Proposal
Sl. PARTICULARS Supporting Documents required to be
submitted along with this Form
No.
1 Name of the Firm
2 Addresses of the Firm:
2a Head Office Phone No:
Fax No:
Mobile No. of Head Office In-charge:
2b Date of establishment of the firm
2c Date since when is H.O. at the
existing Station
2d Branch Office 1,2,3(Particulars of Phone No:
each branch to be given) Fax No:
Mobile of each Branch Office In-charge:
2e Mention the date of establishment of
each branch offices since when
existed at the existing place
3 Firm Income Tax PAN No. Attach copy of PAN card
4 Firm Service Tax Registration No.
5 Firm GST/TAN Registration No Attach copy of Registration
6 Firm’s Registration No. with ICAI
Attach copy of Registration
7 Empanelment No. with C&AG
Attach a copy of certificate downloaded
8 No. of Years of Firm Existence & from ICAI Website showing the name &
Date of establishment of Firm address of H.O., B.O. and partners etc.
Attach proof of empanelment with C&AG
for the year under Audit (2020-21)
confirming that the firm is eligible for major
PSU audits.
Attach copy of Partnership Deed
BIDDER 37
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
9 Turnover of the Firm in last three Attach a copy of Balance Sheet and P & L
years Account of the last three years or a C.A.
Certificate give Break-up of Audit Fee and
Other Fees Received.
10 Audit Experience of the Firm: Copy of the Offer Letter & the Fee
1. Number of Assignments in Charged for each assignment.
Commercial/Statutory Audit (Relevant evidences to be given of the
2. Number of Assignments of turnover and fee)
Externally Aided Projects/Social
Sector Project (excluding audit of
Charitable Org.) Institutions &NGOs
3. Experience in the NHM audit
11 Details of Partners: Attested copy of Certificate of ICAI not
Provide following details: before 01.01.2021
1 Number of Full Time Fellow
Partners associated with the firm
2 Name of each partner
3 Date of becoming ACA and FCA
4 Date of joining the firm
5 Membership No.
6 Qualification
7 Experience
8 Whether the partners is engaged
full time or part time with the firm
9 Their Contact Mobile No., email
and full Address (Attested copy of
Certificate/letter of ICAI not before
01/01/2021
Note: The firm shall give an undertaking that the team
members are proficient in the State’s official
language (both oral and written).
BIDDER 38
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
Form F-1
FORMAT FOR FINANCIAL BID
Particulars Total Amount (in Rupees)
AUDIT FEE Both in Numeric and in Words.
a Audit fees--------------- Rs.__________________/-
.
(Including cost of TA/DA)
b Service Tax---------------- (Rupees
.
c Total Fees--------------- ________________________).
.
Note: Percentage of funds involved shall not be
a basis of quoting the Audit Fee.
Note: In case of change in the rate of Service Tax the revised Service Tax shall be paid.
* The total fee should be inclusive of GST
BIDDER 39
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
Form U
(Letter of undertaking for having the local office in the State)
To,
The Mission Director,
State Health Society,
Name & Address of State
Sir,
We, the undersigned offer to provide the audit services for [ Name of State Health
Society] in accordance with your Request for Proposal dated [ insert date].We hereby submit
our Proposal, having details about the firm and proposed audit fees.
We hereby declare that our firm is having Head/ Branch offices in the State of
………..and is situated at ………………………………………………………….
…………………………………………………………………………………………… address proof
(photocopy of letter for incorporation of firm, lease agreement, phone connection, Electric
Connection etc.) of this office in the State is enclosed herewith.
We hereby also give an undertaking that the firm’s staff deputed for the audit are
proficient in State’s/UTs local language, both in oral and written form.
We hereby understand that any information given here if found to be false or misleading
will be treated as fraud and appropriate action can be taken in this regard.
Yours faithfully
( )
Encl:
1…………….
2……………..
BIDDER 40
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
Appendix A
CHECK-LIST FOR AUDITORS OF STATE HEALTH SOCIETY
Sl. PARTICULARS YES NO REMARKS
No.
1. Whether Audit Opinion is in the prescribed
format giving the World Bank Credit No.
2. Whether the Annual Financial Statements
(AFS) are in the prescribed format for Balance
Sheet, Income & Expenditure Account and
Receipt & Payment Account
3. Whether the Financial Statements include the
Bank Reconcilation Statement as on last day of
the year
4. Whether Financial Monitoring Report for the
last quarter has been certified by the auditors
and forms part of Annual Financial Statements
5. Confirm that no advances to Districts/
Blocks/PHCs/CHCs and any other Agency are
shown as expenditure
6. Are there advances outstanding for long
(greater than 6 months)
7. Whether the Utilisation Certificate for all the
Sanctions has been attached
8. Are the Utilisation Certificates are signed by the
Mission Director or any other authorised
person, Program Manager and by the Auditor
9. Whether auditor has certified that the amount of
utilisation in the Utilisation Certificate is tallied
with the Income & expenditure Account of the
relevant period
10. Confirm that the Consolidated Annual Financial
Statements include all the districts annual
statements based on the books maintained by
them and have been duly audited by the same
auditor or any other auditor
BIDDER 41
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
11. Whether Management Letter has been
prepared by the Auditors
12. Whether Management has offered its
comments on the observations of the Auditor in
the Management Letter
13. Whether the Annual Financial Statements are
consolidated on the basis of audited districts
accounts and not on the basis of expenditures
reported by the districts
14. Have you ensured that the Annual Financial
Statements have been consolidated for all the
Programmes i.e. RCH, NRHM, Immunisation,
NUHM. NDCPs and NCDs Programme
15. Whether Accounting Policies and Notes on
Accounts have been appended to the AFS
16. Are you sure that none of expense of any
activity has been merged with that of any other
activity
17. Are you sure that all the expenses have been
properly reflected as per the Heads of Accounts
as shown in the FMR for each programme
18. Whether the accounts finalisation instructions
issued by each Programme Division has been
followed or not
19. Whether a confirmation certificate regarding the
inclusion of all bank accounts of SHS etc. duly
signed by Mission Director and Director
Finance has been obtained and attached with
the Report
20. Whether the SHS has claimed interest in delay
of transfer of funds from State Treasury to SHS
in case of Central Grants from the date of
receipt of funds by the State
21. Whether the auditor has ascertained the delay
in transfer of Central Government Grants from
State Treasury to State Health Society
BIDDER 42
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
ANNEXURE-1
Project components are outlined below:
Component 1:
Emergency COVID-19 Response
Component 2:
Strengthening National and State Health Systems to support Prevention and
Preparedness
Component 3:
Strengthening Pandemic Research and Multi-sector, National Institutions and
Platforms for One Health
Component 4:
Community Engagement and Risk Communication
Component 5:
Implementation Management, Capacity Building, Monitoring and Evaluation
Component 6:
Contingent Emergency Response Component (CERC)
BIDDER 43
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
Annexure-2
Format of FMR to be certified by the Auditor:
FMR FORMAT FOR REPORTING EXPENDITURE UNDER COVID-19 PROJECT FOR FY
2020-21
Amount in Rs.
Sl. As per New COVID FMR Codes Total Total Variation, if
No FMR FMR Audited Audited any
Expenditure Expenditur Expenditure
. Codes for the FY e (As per (As Reported
assigned Activity 2020-21 Audit) in FMR)
for COVID- (w.e.f.
19 (vide 4.4.2020 to
letter of JS 31.03.2021)
P dated
15.03.2020)
1 2 3 4 5 6 7
1 B.31.1 Diagnostics
including
sample
transport
2 B.31.2 Drugs and
supplies
including
PPE and
masks
3 B.31.3 Equipment’
s /facilities
for patient
care
including
support for
ventilators
etc.
BIDDER 44
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
4 B.31.4 HR
(Existing
and
Additional)
including
incentives
for
Community
Health
Volunteers
5 B.31.5 Mobility
Support
6 B.31.6 IT systems
including
Hardware
and
software,
etc.
7 B.31.7 IEC/BCC
8 B.31.8 Training
9 B.31.9 Miscellaneo
us (which
could not
be
accounted
for in B31.1
to B31.7)
including
Untied
Funds
TOTAL EXPENDITURE
FUNDS RECEIVED FROM GOI
UNSPENT BALANCE WITH
45 TENDER INVITING AUTHORITY
BIDDER
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
STATE
SIGNATURE BY STATE SIGNATURE BY STATE SIGNATURE BY STATE
MISSION DIRECTOR DIRECTOR FINANCE AUDITOR
PLACE
DATED
BIDDER 46
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
Annexure-3
FORMAT OF AUDIT REPORT/OPINION
To,
The Mission Director,
………. State Health Society,
………………
Introduction
We have audited the accompanying expenditure statements / financial statements of the society
under National Health Mission [partly financed for India COVID-19 Emergency Response and
Health Systems Preparedness Project under World Bank Credit No. 9086-IN & Asian
Infrastructure Investment Bank (AIIB) Loan No. AIIB C1660 (COFN)] implemented through
the ............State Health Society, ………… as of 31st March, 20…..
Our responsibility is to express an opinion on these financial statements based on our audit.
Scope
We conducted our audit in accordance with standards on auditing issued by the Institute of
Chartered Accountants of India. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also includes assessing the accounting
principles used and significant estimates made by management, as well as evaluating the
overall financial statement presentation. In forming our opinion we have relied upon the audit
findings / observations in ….(nos.) District Health Society/………. State Health Society’s
financial statements, which have been audited by other auditors. We believe that our audit
provides a reasonable basis for our opinion.
Opinion
a. We have obtained all the information and explanations which to the best of our knowledge
and belief were necessary for the purpose of our examination.
b. In our opinion, proper books of account have been kept by the State Health Society, so far
as appears from our examination of the books.
c. The statements of account dealt with this report are in agreement with the books of account.
d. The statements of account dealing with this report include funds received from World Bank
under NHM for COVID-19 (Cr. No. 9086-IN) & Asian Infrastructure Investment Bank (AIIB)
BIDDER 47
TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
Loan No. AIIB C1660 (COFN) and We have audited the accompanying expenditure
statements / financial statements for the India COVID-19 Emergency Response and Health
Systems Preparedness Project, under IBRD Loan 9086-IN, implemented by this Society.
In addition, (a) with respect to FMR/SOEs, adequate supporting documentation has been
maintained to support claims to the World Bank for reimbursements of expenditures
incurred; (b) the expenditures so claimed are eligible for financing under the Legal
Agreement; and (c) Procurements under Component 1 (Emergency COVID-19 Response)
have been carried out as per the agreed procurement procedures.’
With respect to certification (c) above, it is clarified that all procurements of
goods/services/works under Component-1 are carried out as per the Government rules and
procedures. It is further confirmed that the Anti-corruption undertaking of the World Bank
has been signed by the seller/contractor/consultant and is enclosed in the contract file.
Further (a) Sample of 10% of procurements under Component 1 based on value (rather
than number of contracts) and representative of methods/agencies to be checked for
adherence to prescribed guidelines; and (b) In the report the value of contracts (in the
reporting period) under Component 1 in the State have been mentioned.
e. Financial Statements of the State is the consolidated Financial Statements of the State and
District Societies.
f. In our opinion and to the best of our information and according to the explanations given to
us the said consolidated accounts of the State and District Societies, gives the information in
the manner so required and give a true and fair view:-
1. In the case of the balance sheet, of the State of affairs of the Society as at
31stMarch,2021.
2. In the case of the Income and Expenditure Account of the excess of income over
expenditure / deficit of income over expenditure for the year ended on that date.
3. In case of Receipts and Payments Account of the receipts and payments during the year
ended on that date.
g. In addition with respect to FMR/SOEs, adequate supporting documentation has been
maintained to support claims to the World Bank for reimbursements of expenditures
incurred;
h. The expenditures so claimed are eligible for financing under the Credit Agreement; and
i. Procurements have been carried out as per the Program Implementation / Procurement
Manual by NHM and other concerned Division(s) of the Govt. of India.
Place: 48
BIDDER TENDER INVITING AUTHORITY
Appointment of Statutory Auditor for State Health Society (SHS) and District Health Society (DHS) for Audit of all
programmes under NHM including flexible pools of NRHM-RCH, NUHM, NDCP and NCD and COVID-19 Emergency
Response and Health Systems Preparedness under NHM
Date: Signature of Auditor (s)
Notes:-
1. In case, a qualified opinion or disclaimer is given by the auditor, the audit report should
state in a clear and informative manner all the reasons for such an opinion.
2. Audit Report to be accompanied by:
a) Management Letter stating the status of implementation of Program and response on
the remarks of the auditors.
b) Reconciliation of Expenditure as per FMR/SOEs claims with the actual expenditure
as reported in the audited financial statements.
3. Matters which have been underlined/ italics need proper attention of the auditor.
BIDDER 49
TENDER INVITING AUTHORITY
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