SIDA Project Audit Consultancy

Terms of Reference

Building resilience through gender and conflict sensitive approaches to education, skills development and sustainable livelihoods in South Sudan

(Project Audit)

Partner Affiliate Ref 10877

Main Facts Table

Services **

Audit

Indicative Audit dates

11^th April – 2022, to 14^st April 2022

Contract Manager

Hellen Katunge

Contact Details

[email protected]

Duration of Contract

5^th July 2021 – 31^st Dec 2021

Oxfam is an independent organization, registered as a charity in England and Wales (no.202918) and Scotland (SC039042), Oxfam GB is a member of Oxfam International, with partners, volunteers, supporters and staff of many nationalities. We work on a global basis to overcome poverty and suffering. You can see more of our work on www.oxfam.org.uk

1. Background

Oxfam GB is a development, relief and campaigning organisation dedicated to finding lasting solutions to poverty and suffering around the world. We believe that every human being is entitled to a life of dignity and opportunity; and we work with poor communities, local partner organisations, volunteers, and supporters to help this become a reality.

The population of South Sudan continues to face severe challenges in terms of meeting basic needs and future prospects. The cycles of violent conflict compounded by an array of multifaceted challenges and political instability in has seriously affected socioeconomic development and compromised basic services infrastructure including education for girls and boys, and livelihood opportunities for women and men in South Sudan. The country, which only gained independence in July 2011, has one of the highest poverty rates in the world with more than 80% of the population living on the equivalent of less than $1per day income.

Food insecurity, a long-term issue for South Sudan, has worsened and continues to rise with estimated 6.96 million (61%) likely to face phase 3 out which 1.82 million people faced emergency phase 4 (IPC June, 2019). The conflict and displacement of populations has had an impact on agricultural production and livestock keeping, which the majority of people depend on for their livelihood.

The effects of climate change add to South Sudan’s food security crisis. Since 1980, decreasing rainfall has been accompanied by rapid increases in temperature, which is making ‘normal’ years effectively drier, this increase in dry spells as well as floods has further diminished their assets and their capacity to withstand shocks

Public spending on education was just 4.2% of the total annual budget in 2017/18 despite Government promises to spend 10%. Most education financing goes to staff (mainly teacher) salaries, state transfers, goods and services, but not investments in education infrastructure or quality of education.

South Sudanese women and girls facing multiple impact as Sexual and Gender Based Violence (SGBV) is being used as weapon of war and families giving their daughters in marriage in exchange of the cattle as bride price to overcome poverty.

Based on the context analysis above and on the existing experience of working in the target areas and with the local partners , The project funded by SIDA has been designed to address the imminent education crisis of South Sudan leaving millions of children, youth and adults without knowledge and skills, Especially young people and girls/women out-of-school will benefit from the activities as vehicles for change, the lack of qualified teachers with competences in gender and conflict sensitive education, poor livelihood opportunities induced by conflict and climate change, specifically related to subsistence agriculture and livestock rearing and Women face protection issues and have limited opportunities to participate in decision making and economic activities

2. Introduction

With an objective to strengthen resilience through access to education, skills development and improving livelihoods and a strong focus on targeting girls and women, a particularly vulnerable group in South Sudan, the proposed intervention aims to contribute to key objectives under Sweden’s Strategy for Development Cooperation with South Sudan for 2021 – 2025, namely: 1) peaceful and inclusive societies, and 2) basic public services and livelihood opportunities. The three cross-cutting themes of gender equality, climate/environment and conflict sensitivity have been taken into consideration in the design. In addition, the proposed project will support Sweden’s and South Sudan’s contribution to achievement of the Sustainable Development Goals.

The complex context in South Sudan calls for linkages and synergies in a One Programme Approach, which is defined by Oxfam in the following way “Oxfam’s one programme approach brings together our humanitarian, development and influencing programming to make a joined-up system capable of addressing current crises while delivering deep, systemic and long-term change at scale.

In this project the approach requires a transformation of traditional education interventions to a practice where different alternative education initiatives (ALP, functional literacy) are adapted to the needs of local communities and individuals, and integrated and implemented together with agriculture, livelihoods and technical vocational skills development programming.

The project designed also to draw on thinking around the ‘triple nexus’ (humanitarian – development – peacebuilding) by applying a conflict sensitive approach, which enables Oxfam and partners to adapt activities to the changing context. Concrete activities such as inclusion of youth and women in social dialogue around peacebuilding are intended to strengthen this strand of work.

Overall Objective of the project: Improved resilience through gender and conflict sensitive education and skill-based solutions for sustainable livelihoods among the target girls, boys, women and men.

Outcome 1: Conflict-affected adolescents, youth, women and men have improved knowledge and skills through safe, quality and gender responsive education and skills development.

Outcome 2: Strengthened inclusive participation and gender responsive local leadership to ensure resilient education systems and sustainable livelihoods.

Activities contributing to Outcome 1 Conflict-affected adolescents, youth, women and men to improve knowledge and skills through safe, quality and gender responsive education and skills development.

The project will offer learning opportunities for adolescent and youth in different ways according to their level of education. One of them is the Accelerated Learning Program (ALP) which is an opportunity for out of school adolescent and youth to finalize primary education. ALP is a condensed primary four-year course and recognized by the MoGEI as part of the Alternative Education System (AES).

The project will support girls in upper primary to continue their education and avoid early drop-out through targeted activities and more broadly through the project’s gender sensitive lens.

For skills development activities, Oxfam and partners will provide a combination of literacy, numeracy, life and technical skills development modules. Participants will have an option to continue skills development or applying for an accompanying package of a small startup grant.

Activities contributing to Outcome 2: Strengthened inclusive participation and gender responsive local leadership to ensure resilient education systems and sustainable livelihoods.

Given the nature of the proposed project, capacity development will focus on community based structures and local authorities within the education system – schools and learning centers Other stakeholders such as religious and village leaders will be consulted and involved where relevant.

The activities will strengthen existing structures to understand their role, the tools and processes related to their area of work as well as how to support community engagement, social accountability, risk reduction, and promoting social cohesion

The project will through learning centres both for accelerated learning, literacy training and skills development increase the community capacity to responds to shocks through community managed disaster risk reduction action planning .

Establishment of Village Saving Groups will be a complementary activity to beneficiaries of the other livelihood activities to encourage a culture of savings among groups and create Village Community Banks (VICOBA)

Relating to increasing productivity and production, the project will provide basic seeds and tools, mobilize communities to form producer groups to increase production and enable for easy delivery of extension services, construction of basic storage structures for reducing post-harvest losses and establish value-chains and increase farmers’ access to market, increase capacity of producer groups on better agronomic practices, business skills (linking to the financial, numeracy and literacy training).

The project will cover a period of four years from July’2021 to May’2025. And implementation areas will be Pibor, Jube and Rumbek in South Sudan. The total grant for five years period is SEK 85,494,235 ( USD9,906,330) including ICR allocation to executive Affiliate ( OXFAM IBIS). The project has been design ed to implement with national organizations.

The grant agreement is arranged in annual terms that follows European Calendar ( January to December) . The grant agreement and allocation for year one is $ 1,332,337 ( including 7% ICR) and the actual spend is $ 286,053 ( exclusive of 7% ICR).

3. Scope and Requirements

3.1 Timeline for the audit

The audit will commence in April 2022 when Oxfam GB will submit a complete list of transactions (for the period 5^th of July’2021 to 31^st December’2021) to the selected auditor. The table below stipulates the approximate timing for each subsequent stage of the process.

Audit firm to submit work plan and financial proposal

Before or on 6th^th of April’2022

Selection process for the Audit firm completed

7^thAprill’ 2022

Notifying selected Audit firm and negotiation/ Contract completed

7–8^thAprill’ 2022

Transaction listing supplied to auditor

8^thAprill’ 2022

Sample selected by auditor and share to Oxfam

9^th April’ 2022

Auditor to review documentation

12-15^thApril’ 2022

Draft audit report to be submitted to Oxfam for comment and follow-up

21^st April,2022

Finalise country audit report

26^th April,2022

Final report and management response to be sent to Oxfam IBIS

1st^thMay’ 2022

3.2 Process for the audit

Oxfam GB will submit the financial reports including detailed transaction listings which reconciles to each report. The auditor will identify the transactions that they would like to review and submit this list to Oxfam GB. Oxfam GB will then contact the relevant country team to obtain the supporting documentation and request them to send the soft copies of the information to Juba. We have allowed two weeks for this process to take place, as it is proposed that email copies of transactions and relevant paperwork is acceptable, by the auditors. Once the documentation is received the audit will take place during second week of April’ 2022. The auditor shall report the identified amount in case there is missing supporting documentation.

4. Terms of Reference (TOR) for the audit

4.1 Introduction

Oxfam GB wishes to engage the services of an auditor to audit the project financial report for the period July’2021 to December 2021 for project activities at Oxfam GB country office in Juba funded by SIDA through Oxfam IBIS in Denmark and Oxfam GB. The audit shall be carried out in accordance with international audit standards issued by International Organization Federation of Accountants (IFAC), by an external, independent and qualified auditor (Certified Public Accountant/Authorized Public Accountant), and this TOR.

4.2 Objectives and Scope of the Audit

· Audit the financial reports for the period 5^th July 2021 to 31^st December 2021 and express an audit opinion according to ISA 800 series on whether SIDA project financial report is in accordance with Oxfam GB’s accounting records and SIDA’s requirements for financial reporting.

· that the accounts have been prepared as prescribed by the OPA and FIMM;

· that the accounts are correct and accurate and do not contain significant errors or omissions;

· that the financial provisions contained in FIMM have been complied with, and

· that the transactions comprised by the accounts are in accordance with contracts and the legislation and the OPA

The audit also will verify whether the CO has practised reasonable economies in the administration.

The auditor must verify that all transfers to and from the accounts have been reconciled with and checked against the transfers of grants from HO and to the CO.

· The auditor shall examine on a test basis that there is supporting documentation related to reported expenditure. For selection of sample size, please see updated ToR for SIDA funded project audit.i

· Examine if Oxfam GB has agreements with the organisations to which it channels parts of the funds and whether Oxfam GB has followed SIDA p audit requirements and have acted on received audit reports from these organisations.

· Produce a complete and accurate financing statement of the projects revenues and expenditure during the period under review.

· The auditors will obtain sufficient and appropriate evidence to enable an understanding of the accounting and all internal controls systems to assess their adequacy as a basis for the preparation of the project progress reports to SIDA and to establish whether proper accounting records have been maintained.

4.3 Specific Audit Instructions

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4.4 The Audit Report

The audit report shall be in English and include the following items:

o Programme/Project number and name

o Implementing organisation

o Date of the co-operation agreement

o Reporting period and currency

o Exchange rate used in the Financial Programme/Project Report

o Total amount of budgeted income and expenditures (including balance from previous year) if any

o Total amount of actual income and expenditures (including balance from previous year) if any

o Auditor’s name, position, address, phone, fax and e-mail the report shall contain the responsible auditor’s signature (not just the audit firm) and title

o Opinion on the specific checks to be performed (listed above).

· Besides an opinion on the project financial statement, the report should include a separate paragraph commenting on the accuracy and propriety of expenditure of SIDA funding and the extent to which SIDA can rely on OXFAM’s financial reports as a basis for funding disbursements.

· The report shall contain details regarding used audit methodology and the scope of the audit, details of locations visited, and the relative size of samples tested.

· It should also state he basis of the auditor’s opinion. If the auditors give a qualified opinion the factors leading to the qualification should be given.

· The report shall contain an assurance that the audit was performed in accordance with international standards and by a qualified auditor.

· The audit report should provide a clear expression of opinion on the management of the OXFAM and on compliance with the funding agreement with SIDA through Oxfam IBIS

· The report from the auditor shall contain the audit findings made during the audit process explained above.

· The auditor shall make recommendations to address any weaknesses identified. The recommendations should be presented in priority.

· The audit report shall be presented to Oxfam in three signed hardcopies and one digital for onward transmission to the Oxfam IBIS no later than 27t^h of April 2022.

4.5. Management Letter.

The auditor is to prepare a Management Letter with the auditor’s detailed observations and recommendations from the audit and send this to CO Management. The Management Letter should include CO Management’s comments to the auditor’s observations

4.6. Project Financial Statements

The Project Financial Statements should include:

· A Summary of Sources & Uses of Funds showing the sources of SIDA and counterpart funds separately and the uses of funds by disbursement category, both for the current fiscal year and accumulated to date.

· A Statement of Uses of Funds by Project Activity showing expenditures of the project under each of the main project component and sub-component headings

· A separate note of any ineligible expenditure identified during the review

· As an annex to the Project Financial Statements, the auditor should prepare reconciliation between the amounts shown as received by the project from SIDA and that confirmed as being disbursed by SIDA As part of that reconciliation, the auditor should indicate the mechanism for the disbursement e.g. direct/ indirect reimburse expenditures.

5. Instructions for Submitting a Quote

5.1 Submitting a Quote

You will receive a request for quotation for the work to be done through our Procurement department and submit your quotation through an email based on the estimated expenditure to be audited.

In an event of significant variation between actual expenditure and quotation, Oxfam may request you to adjust the quotation.

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