Caritas Austria
1. INTRODUCTION
Caritas Austria is an international NGO implementing activities in the fields of emergency relief and rehabilitation as well as development cooperation, in countries struck by conflicts or natural disasters. Caritas Austria has been supporting projects in the countries Albania (AL), Bosnia and Herzegovina (BiH), Kosovo (KS) and Serbia (RS) for the past 20 years, addressing social needs like care for children and youth, programmes for women and the integration of minorities, elderly care, support of persons with disabilities, agricultural projects, etc.
With the current programme YourJob II, Caritas puts the focus on the topic of youth unemployment in the region. The aim of YourJob II is to support youth and young adults to overcome the challenges of the transition from school to work life and to develop their individual capabilities and capacities. This will be mainly achieved through tailor made counselling and mentoring, vocational and soft skills trainings, linking up young people with businesses for internships in their region or encouraging them to implement their business ideas for starting individual enterprises. The cross country structure of the programme is in line with the strategic approach of Caritas Austria towards larger regional programmes and shall encourage networks between young people, businesses, NGOs as well as political and other stakeholders in the region. The programme was developed based on long term partnerships of Caritas Austria with Caritas organisations in Albania, Bosnia and Herzegovina, Kosovo and Serbia. Whereas these four organisations are implementing the programme on the ground, Caritas Austria has mainly a coordinating role.
Further project information to be found here: https://www.caritas.at/spenden-helfen/auslandshilfe/schwerpunkte/kinder/your-job
All documents relevant for this call for tender can be accessed via https://wolke.caritas.at/s/GNy9kDqmtA9YFTL with the password ZkEmGSXgZo
2. BACKGROUND OF THE PROJECT *
- Back donor’s contract number and official project title:
Back donor 1:
Austrian Development Agency (ADA)
8365-00/2022 YourJob II – Youth Overcoming Unemployment Regionally through Job Opportunities on the Balkans
Back donor 2:
Secours Catholique, Caritas France
PI220085 YourJob II – Youth Overcoming Unemployment Regionally through Job Opportunities on the Balkans
- Caritas Austria’s project number and official project title:
2209135 YourJob II – Youth Overcoming Unemployment Regionally through Job Opportunities on the Balkans
- Project duration/implementing period: 01.11.2022 – 31.10.2025
- Official project budgets (with indication of donor’s contribution):
Total project budget: EUR 3.000.000
Back donor 1 – Austrian Development Agency (ADA): EUR 2.500.000,-
Back donor 2 – Secours Catholique, Caritas France: EUR 360.000,-
Own Contribution – Caritas Austria: EUR 140.000,-
- Short project description:
- Implementing partner organisation:
- Partner 1: Caritas Austria, Storchengasse 1/E1 05, 1150 Wien/Vienna
- Partner 2: Caritas Albania, Rruga “Don Bosko”, Nr.4, Tiranë
- Partner 3: Caritas Bosnia and Herzegovina, Mehmed bega Kapetanovica Ljubusaka 6, Sarajevo
- Partner 4: Caritas Kosovo, Rr. Rexhep Bislimi; 70000 Ferizaj
- Partner 5: Caritas Serbia, Vojvode Stepe 78 lok. 5, 11 000 Belgrade, Serbia
The programme will be implemented against the background of a high rate of unemployment of young vulnerable women/men in the targeted regions in Albania, Bosnia- and Herzegovina, Kosovo and Serbia, whereas -at the same time- companies are in need for qualified workers. In schools, no system of vocational orientation is being offered; pupils leave schools with a skills gap. Young people do not have opportunities to collect short term working experience as there is no internship system and they are missing contacts and networks to find a job or to create their own start-up.
Impact:
The program will contribute to labour market integration of youth in South-East Europe (in line with SDGs 1, 4, 5 and 8, GAP III).
Programme outcomes
OC1: Increased efficiency of professional skills development, labour market integration, and business creation for youth, women and people living in vulnerable situations, such as people with disabilities
OC2: Increased cooperation between labour market stakeholders, better awareness and sustainable dialogue for better job integration of youth, women and people living in vulnerable situations, such as people with disabilities
Expected results
OP 1.1. Young vulnerable people have received professional orientation and quality career guidance and are aware of their potential
OP 1.2. Young vulnerable people are enrolled in/have completed job skills training aligned to the local labour market
OP 1.3. Young vulnerable people made first work experiences, gained practical skills and were linked to potential employers
OP 1.4. Young vulnerable people were engaged in business counselling / incubation process and have started their own business
OP 2.1. Policy dialogue/cooperation between public institutions, local labour agencies and educational providers is established
OP 2.2. Regional advocacy campaigns conducted to foster stakeholder mobilization towards gender and vulnerability responsive labour market integration for youth
Target group: 4.000 vulnerable young women/men in the age between 15 and 30 years (50% female/ 50% male; 8% minorities; 5% persons with disabilities), who are either (long-term) unemployed or in transition from school to labour market and at risk of becoming unemployed.
Target regions/locations: Albania (Kamza, Lezha, Shkodra), Bosnia-Herzegovina (Banja Luka, Čapljina, Mostar), Kosovo (Gjakovë, Mitrovica, Prizren, Ferizaj), Serbia (Niš, Irig, Šid, Zrenjanin).
Activities related to OPs:
OP 1.1.: Facilitate joint Guidance counsellors’ orientation (public and CSOs) and set up outreach counselling centers, Guidance counsellors provide counselling and accompaniment to youth
OP 1.2.: Implement trainings for soft skills (selection, upgrade curricula development, accompaniment, organization of regular trainings), Organise trainings for vocational skills (VET)
OP 1.3.: Match potential businesses and potential internship candidates, Place interns in businesses and enterprises
OP 1.4.: Implement talent scouting – incubation process for youth business ideas; Run Start-up support programme, including green Start-Ups (grants)
OP 2.1.: Conduct expert “feasibility analysis” of national and local policy framework related to youth employment regarding the project`s advocacy, Form and establish national advocacy teams, composed of different stakeholders’ representatives, public authorities, women, youth and environmental organizations, Advocacy teams develop national and/or local advocacy plans
OP 2.2.: Development, preparation and implementation of advocacy campaigns to promote role models of successful labour market integration of young women/men, organise local awareness raising sessions
For projects co-financed by the Austrian Development Agency (ADA), information contained under “2. BACKGROUND OF THE PROJECT” should always refer to chapter 4.6 of ADA’s General conditions.
3. OBJECTIVES OF THE EXPENDITURE VERIFICATION
The objectives of the expenditure verification are:
- to provide a professional opinion on the quality of processes and accounting practices within the audited organisation and specifically as applied within the project at hand following point 5 (procedures to be performed by the Auditor)
- to independently verify that the project mentioned above has been implemented in compliance with the requirements of the following documents of reference:
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Legislation: National legislation, with particular attention to:
- Respective social and labour law (including staff and salary regulations).
- Regulations on VAT and other taxes
- National accounting policies
- Project: Cooperation agreement relative to the project or to the partner organisation, Project Documents, Terms of Reference (TOR), Budgets, plans of project activities.
- Accounting: Accounting documents subject to the expenditure verification, financial and operational reports concerning the project.
- to provide a professional opinion on the quality of the audited organisation’s financial reporting and its suitability for the requirements of the donors.*
4. MINIMUM REQUIREMENTS FOR AUDITORS AND AUDIT STANDARDS
- The Auditor is a member of a national accounting or auditing body or institution which in turn is a member of the International Federation of Accountants (IFAC).
- The Auditor is a member of a national accounting or auditing body or institution. Although this organisation is not a member of the IFAC, the Auditor commits himself/herself to undertake this Engagement in accordance with the IFAC standards and ethics.
- The Auditor is registered as a statutory auditor in the public register of a public oversight body in an EU member state in accordance with the principles of public oversight set out in Directive 2006/43/EC of the European Parliament and of the Council (this applies to auditors and audit firms based in an EU member state).
- The Auditor is registered as a statutory auditor in the public register of a public oversight body in a third country and this register is subject to principles of public oversight as set out in the legislation of the country concerned (this applies to auditors and audit firms based in a third country).
- The Auditor will employ staff with appropriate professional qualifications and suitable experience with IFAC standards and with experience in verifying financial information of projects comparable in size and complexity to the project subject to the expenditure verification.
- The Auditor must have sufficient knowledge of relevant laws, regulations and rules in the countries concerned i.e. where the project is implemented. This includes but is not limited to the company law, taxation, social security and labour regulations, accounting and reporting.
- The Auditor will provide the Contractor with CVs of the staff/experts involved in the expenditure verification. The CVs will include appropriate details for the purpose of the evaluation of the offer on the relevant specific experience for this expenditure verification and the qualifying work carried out in the past.
Auditing Standards
The Auditor shall undertake this Engagement in accordance with:
– the International Standard on Related Services (‘ISRS’) 4400 (Revised) “Agreed-upon Procedures Engagements” as promulgated by the IFAC;
– the IFAC Code of Ethics for Professional Accountants (developed and issued by IFAC’s International Ethics Standards Board for Accountants (IESBA), which establishes fundamental ethical principles for Auditors regarding integrity, objectivity, independence, professional competence and due care, confidentiality, professional behaviour and technical standards. Although ISRS 4400 (Revised) provides that independence is not a requirement for Agreed-upon procedures engagements, the ADA requires that the Auditor is independent from the Contractor and complies with the independence requirements of the IFAC Code of Ethics for Professional Accountants.[1]
5. PROCEDURES to be performed by the AUDITOR
1. the project is implemented in accordance with the principles of economy, efficiency and expediency
2. proper book-keeping and sound financial management have been maintained by the Grant Recipient, the related expenditure practices are correct, Generally Accepted Accounting Standards have been met and an adequate, effective Internal control system exists
3. the project funds have been used in conformity with the Grant Agreement, in particular:
a. the project funds were spent exclusively for project related expenses and solely for the purpose intended;
b. costs have been incurred during the implementation period;
c. costs meet the eligibility criteria stipulated in the Grant Agreement and its annexes
4. the financial report presented by the Grant Recipient presents the actual expenditure incurred and the revenue received for the project for the respective reporting period accurately and in conformity with the Grant Agreement and annexes thereto
5. the project expenditures are allocated to the last approved (allocated) project budget
6. individual expenditures made from grant funds are clear evident from the project bookkeeping and are assigned to the correct budged items as specified in the approved Grant Application.
7. it is plausible that the expenditure for a selected item was necessary for the implementation of the project and that it had to be incurred for the contracted activities of the project by examining the nature of the expenditure with supporting documents
8. where expenditure was apportioned, the applied allocation key was based on sufficient, appropriate and verifiable underlying information
9. over expenditure, if any, lies within the thresholds stipulated in the Grant Agreement
10. the projects costs claimed are net cost and free of any VAT; if expenses contain Value Added Tax (VAT), the Auditor shall certify that the Grant Recipient is not exempt from VAT and cannot reclaim it either
11. costs declared in the Financial Statement are justified by the relevant supporting documents in form of genuine and original invoices, receipts and vouchers bearing all necessary information; these original supporting documents are clearly associated with the project and the project’s time frame
12. all expenditures claimed under the financial report have been settled and paid for, no outstanding invoices or accrued costs have been included in the financial report
13. all necessary supporting documents for employees’ costs are available and these costs are reported correctly. Specifically, the auditor verifies
a. the existence of employment contracts in accordance with the relevant national legislation
b. that the reported employees’ costs are calculated correctly in accordance with the approved Budget and respective provisions of the General Terms and Conditions
c. that only actually paid employees’ costs have been claimed under the Financial Report and this has been evidenced by the respective supporting documents
14. indirect costs[2], if foreseen in the budget, have been calculated properly
15. accrued interest has been declared[3]
16. conversion of currency has been calculated correctly, in particularly the conversion into EUR has been calculated in accordance with the General Terms and Conditions and is evidenced by currency exchange receipts and/or respective bank account statements
17. usage of budget funds under “unforeseen” or “contingency reserve” has been approved by ADA
18. revenues foreseen in the financial plan were not realized
19. other revenues originally not foreseen in the financial plan were registered
20. applicable procurement regulations of the General Terms and Conditions have been complied with
21. applicable provisions of social and labour laws in all countries where the project is being implemented have been complied with
22. applicable provisions of the company and tax laws and regulations have been complied with
23. regulations on travel expenses have been followed
24. all assets and equipment have been incorporated in the asset list
25. assets and equipment have been used for the project purposes
26. depreciation on investment goods that continue to be available to the Grant Recipient after the end of the term of the Agreement has been properly calculated, if applicable
27. equipment or services produced or provided by the Recipient itself have been charged at cost only (without any mark-up), if applicable
28. project vehicles, if any, have been used according to the standards set out in the General Terms and Conditions of the Grant Agreement
29. sub-grants foreseen in the project document have been provided to third parties and have been properly accounted for based on actual costs
30. applicable visibility regulations have been adhered to
31. requests and recommendations from the previous expenditure verifications regarding any project relevant matters have been considered and implemented
Additionally
- the auditor provides information on the treatment of taxes (especially VAT) in the financial reports[4].
- examines whether the persons enjoying power of disposal over the bank account are the same or among those officially authorised to represent the Legal Holder of the project
- In case of education and training courses, to examine the relevant invoices, bills, receipts (Fees, food, accommodation, transport, etc.) and also the lists of participants
6. AUDITOR’S REPORT
6.1. The auditor shall produce a draft and a final Expenditure Verification Report based on the official project budget and exactly reflecting its budget line structure.
The expenditure verification reports must be written in English and contains at least[5]:
- Title
- Contracting Organisation (Caritas Austria)
- Project number and name
- Implementing organisations’ names and contact details
- Brief description of the project and partner(s)
- Reporting period and currency
- Exchange rates used in the financial report (to Euro or to the official project currency, as indicated in the project budget), with detailed explanation of their calculation
- Total amount of budgeted and actual expenditures, with differentiation between direct and indirect costs, as indicated in the official project budget
- Complete list of reported expenditures classified according to the relevant budget lines;
- Total amount of budgeted and actual incomes
- Complete list of project funds transferred, including donors’ names, dates and exchange rates
- Indication on treatment of taxes and especially VAT
- Amount of actual expenditures verified
- Expenditure Coverage Ratio
- Objectives, Scope and Description of the procedures performed
- Findings from the expenditure verification
- Recommendations, if applicable
- Follow up of previous recommendations, if applicable
- Other relevant matters
- Reference to contact persons/sources of information from implementing partner organisation during execution of the expenditure verification
- Auditor’s name, position, address, phone, fax and e-mail
- Date, auditor’s signature
6.2. The Report shall also comprise the following annexes:
- Financial Statement: overall calculation with comparison of actual expenditures vs. approved budget certified by the company’s formal signature (stamp and signature) and by the formal signature (stamp and signature) of the auditor.
- Cash flow statement
- Bank account statements
- List of payable invoices, if any
- In case ineligible costs are detected, a list of respective vouchers
- Asset list of all goods/equipment financed with project funds with a value of over Euro 400,-
- List of procurement contracts awarded during the reporting period
- List of grant contracts awarded during the reporting periods, if applicable
- If expenses contain Value Added Tax (VAT), the Auditor shall certify that Grant Recipient is not exempt from VAT and cannot reclaim it either
6.3. A signed original version of the expenditure verification reports must be submitted in hardcopy to:
Nr. 3 copies to Caritas Austria
Nr. 1 copy to Implementing partner
7. MANAGEMENT SUPPORT / Contractor’s duties
7.1. Caritas Austria and its implementing partner organisation will provide the external auditor with all necessary information to perform his/her work. Relevant documents must be specified in the Terms of Reference which are annexed to the contract or Engagement Letter.
The following underlying documents are required as a minimum:
- Grant Agreement between Caritas Austria and back donors (if applicable) with all annexes, including contracts or agreements between the Grant Recipient and his/her partners
- Amendments to the Grant Agreement, if any
- MoU/cooperation agreement between Caritas Austria and its implementing partner organisation(s)
- ToR for the external expenditure verification
- Official project budget
- Financial statements, including complete list of reported expenditures
- Original vouchers/receipts
- Access to the used bookkeeping system
- Access to information related to bank and cash statements
- Any other documents required by the auditor for the performance of his/her tasks
The Financial Statement (consisting of a summary and a detailed breakdown) must include a comparison of actual vs budgeted expenditure and a detailed voucher list classified according to the relevant budget lines. The Financial Statement must in all aspects adhere to the last approved budget and show at least the same level of detail.
The Financial Statement must cover all project expenses and all project funds whether received from the ADA, the Grant Recipient, other project partners or other donors.
Revenues including accrued interest, if any, and calculations of conversions to the contract currency (generally Euro) are to be attested as well.
Contributions in kind are generally not part of the Project Budget and are thus not reflected in the Financial Statement.
If, in exceptional cases, the project budget includes expenses which cannot be verified by the Auditor, these expenses must be declared in the Terms of Reference (ToR) and in the Financial Statement.
The ADA reserves the right to reject the Expenditure Verification Report if it does not comply with the required standards. The ADA may at any time require the submission of the original vouchers. The original vouchers must be available for in situ inspection by the ADA at any time for a period of ten years starting from the end of the year during which the last instalment has been disbursed by the ADA. The ADA shall be allowed to inspect in detail the financial management of the Project at any time.
8. EXPENDITURE COVERAGE RATIO (ECR)[6]
The Expenditure Coverage Ratio (ECR) is defined in the Terms of Reference (ToR). The Auditor ensures that the overall ECR is at least 65%. If he finds an exception rate of less than 10% of the total amount of expenditure verified (i.e. 6,5 %) the Auditor finalises the verification procedures and continues with reporting. If the exception rate found is higher than 10% the Auditor extends verification procedures until the ECR is at least 85%. The Auditor then finalises verification procedures and continues with reporting regardless of the total exception rate found. The Auditor ensures that the ECR for each expenditure heading and subheading in the Financial Report is at least 10%. The Contractor must reserve the right to share the Expenditure Verification Report and its annexes with all donors.
10. LETTER OF INTEREST, SELECTION PROCESS AND CONTRACTING
10.1. Interested auditors are requested to send a “Letter of Interest” no later than 30.07.2023 to Caritas Austria, Storchengasse 1/E1 05, 1150 Wien. To be sent via e-mail to [email protected]
It should include:
- Description of planned implementation of expenditure verification
- Schedule of activities
- Auditor’s fees
- Auditor’s CV and/or company profile
- Confirmation that the auditor will carry out the expenditure verification in accordance with the Terms of Reference
10.2. Selection of best offer
In accordance with Caritas Austria’s procurement rules a selection committee with qualified members will select the best offer regarding price and quality. Price and quality will be weighted with 70% (price) and 30 % (quality). The successful bidder will be informed within 8 working days after the deadline for submission of offers.
10.3. Contract/ Letter of Engagement
Before carrying out the expenditure verification, a written contract or engagement letter (based on the ToR for the external expenditure verification) has to be signed between Caritas Austria/implementing partner organisation and the respective auditor or auditing firm (n.b.: for ADA funded project only Caritas Austria is authorised to sign).
The expenditure verification contract shall be drafted by the auditor and shall:
- Be written in English
- Include these ToR as an annex and integral part of the contract
- Contain a confirmation that the auditor has read ADA’s general conditions and acknowledge ADC’s rules (if applicable – for ADA funded projects)
- Contain a time schedule for the auditing process (See also Annex 5 Workplan)
How to apply
The expenditure verification contract shall be drafted by the auditor and shall:
- Be written in English
- Include these ToR as an annex and integral part of the contract
- Contain a confirmation that the auditor has read ADA’s general conditions and acknowledge ADC’s rules (if applicable – for ADA funded projects)
- Contain a time schedule for the auditing process (See also Annex 5 Workplan)
Submission of tender application/offer:
For your application please use Annex 3 Expenditure Verification Tender application template[1]. Applications can be submitted in English or German.
Please note that only signed offers can be accepted (see page 7 of Tender application). A scanned copy of the signature will be accepted (via E-Mail).
Deadline for reception of offers:
Offers have to be presented per e-mail no later than 30/07/2023.
E-mail: [email protected]
[1] Other forms of presentation are valid as far as they refer to all details requested in the application template.
Source: ReliefWeb
To apply for this job please visit reliefweb.int.