Auditor for Caritas

TERM OF REFERENCE AUDIT SERVICE FOR GENDERPROJECT

1. THE BACKGROUND OF CARITAS KEUSKUPAN SIBOLGA (CKS)

The Diocesan Caritas of Sibolga is the development and relief agency of the Catholic Church in the Diocese of Sibolga with the aim of endorsing, also in cooperation with other organisms, the capacity of the Diocesan community to promote human development, social justice and peace, with a particular attention given to the poorest and with a predominant pedagogic component. As part of its response to the 28 March earthquake and to long-term poverty in Nias, Caritas is implementing a programme in Nias Island.

This is an integrated programme that covers many different sectors. Caritas has been operating in the island since the tsunami. It is Caritas aim to reach and support Nias people who are spread out over a wide area and living in extremely poor conditions.

2. THE PROJECT

GenderProject is a new project of among other in Diocesan Caritas of Sibolga. Gender Project was conceived and found donor in 2007, though the project was effectively started in the mid of 2009.

By the August 2009 until September 2011 Gender project performed gender awareness trough training, promotion, and advocacy. The training referred to youth and dormitory occupant of 12 dormitories in Nias island territory, pastoral workers in Nias Island and Tapanuli Tengah. Campaign and advocacy have been conducted with network of Women and Children Care Coalition of Nias.

Gender Project did not merely present awareness, as well as encouragement to training participants for holding a performance as an outcome of conducted-training. The finance support would be provided for parish who performs implementation. Regardless of planned activities, gender project supplied trainings based as proposed by church, schools, and any else. Upon completion of the gender project, as a standard procedure, Caritas Keuskupan Sibolga and its donor request the audit service to do overall project audit that is accountable.

3. AUDIT PERIOD

The audit activity must perform for 10work daysstarting on October 17thuntil October 28th2011 and after the completion of activity the audit report must be submitted to Caritas Keuskupan Sibolga (CKS).

4. AUDIT SERVICES REQUIRED

The scope of audit services shall cover the overall management of the project’s implementation, monitoring and supervision. The audit work should include the review of work plans, progress reports, project resources, project budgets, project expenditure, project delivery, recruitment, operational and financial closing of projects and disposal or transfer of assets. To this effect, the scope of the audit shall cover the following areas as they are performed at the level of the project:

Human resources

The audit work shall cover the competitiveness, transparency and effectiveness of the recruitment and hiring of personnel and include performance appraisal, attendance control, calculation of salaries and entitlements, payroll preparation and payment, and management of personnel records.

Finance

The audit work shall cover the adequacy of the accounting and financial operations and reporting systems. These include budget control, cash management, certification and approving authority, receipt of funds, and disbursement of funds, recording of all financial transactions in expenditure reports, records maintenance and control.

Procurement

The audit work shall cover the competitiveness, transparency and effectiveness of the procurement activities of the project in order to ensure that the equipment and services purchased meet the requirement and include the following: * As applicable, delegations of authorities, procurement thresholds, call for bids and proposals, evaluation of bids and proposals and approval/signature of contracts and purchase orders; * Receiving and inspection procedures to determine the conformity of equipment with the agreed specifications and, when applicable, the use of independent experts to inspect the delivery of highly technical and expensive equipment * Evaluation of the procedures established to mitigate the risk of purchasing equipment that do not meet specifications or is later proven to be defective;

* Management and control over the variation orders.

Asset Management

The audit work shall cover equipment (typically vehicles and office equipment) purchased for use of the project. The procedures for receipt, storage, and disposal shall also be reviewed.

Cash Management

The audit work shall cover all cash funds held by the project and review procedures for

safeguarding of cash.

General Administration

The audit work shall cover travel activities, vehicle management, shipping services, office premises and lease management, office communications, and records maintenance.

Information System

The audit work shall cover the information and communication systems and the control and security of equipment and data.

Scope Limitation

The above scope shall cover those transactions performed at the level of the project.

5. DEFINITION OF AUDIT OPINIONS

Unqualified (Clean) Opinion

An unqualified opinion should be expressed when the auditor concludes that the financial statements give a true and fair view or are presented fairly, in all material respects, in accordance with the applicable financial reporting framework.

Modified Unqualified or Emphasis of Matter

paragraph In certain circumstances, an auditor’s report may be modified by adding an emphasis of matter paragraph to highlight a matter affecting the financial statements which is included in a note to the financial statements that more extensively discusses the matter. The emphasis of matter paragraph would ordinarily refer to the fact that the auditor’s opinion is not qualified in this respect, by adding a paragraph to highlight a material matter regarding an ongoing concern or problem or a significant uncertainty. An uncertainty is a matter whose outcome depends on future actions or events not under the direct control of the entity but that may affect the financial statements.

Qualified Opinion

A qualified opinion should be expressed when the auditor concludes that an unqualified opinion cannot be expressed but that the effect of any disagreement with management, or limitation on scope is not as material and pervasive as to require an adverse opinion or a disclaimer of opinion. A qualified opinion should be expressed as being ‘except for’ the effects of the matter to which the qualification relates.

Disclaimer of opinion

A disclaimer of opinionshould be expressed when the possible effect of a limitation on scope is so material and pervasive that the auditor has not been able to obtain sufficient appropriate audit evidence and accordingly is unable to express an opinion on the financial statements.

Adverse

An adverse opinion should be expressed when the effect of a disagreement is so material and pervasive to the financial statements that the auditor concludes that a qualification of the report is not adequate to disclose the misleading or incomplete nature of the financial statements.

6. PROPOSAL SUBMISSION

For organizations who are interested please submit the audit proposal To Caritas Keuskupan Sibolga:

* frans.esensiator@gmail.com

* veronica.purwaningsih@caritas.keuskupan-sibolga.org

With the proposal submission deadline: 10 October 2011.

Only shortlisted candidates will be contacted.