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Jamaica Government News and Information
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Annual fiscal space to spend loan resources is provided through the Government of Jamaica budget cycle. For the fiscal period 2018/2019, an amount of JA$648,095,678 (Approximately US$4.8M) has been earmarked to be expended among Components 1, 2, 3, 5 and 6. Component 4, the DLIs component has targets valuing US$2.4M to be attained in the 18/19 fiscal period through a reimbursement modality. The DLI targets for the Accountant General’s Department are reports linked to the Modernization of the Department. For the 18/19 fiscal period, four (4) reports were targeted. For the fiscal period 2019/2020, provision of fiscal space has been created for approximately JA$1.25B (US$9.057M) in respect of external sources to support eligible expenditures under components 1, 2, 3, 5 and 6. Three Million United States (US$3M) is earmarked for reimbursement under the Disbursement Linked Indicators (DLIs), Component 4. This US$ amount is linked to a target of five (5) reports.

V. Audit Background

The IBRD loan was approved on 7th July 2014, signed on 3th September 2014 and became effective on 27th October 2014. Amendment number 1 to the loan, dated 30th of June 2017 was signed on the 4th August 2017. The Agreement includes a requirement for the project’s resources to be audited annually. To date the project has completed three (3) annual audits.

VI. Title of the Audit

All proposals, audit working papers and audit reports should refer to this audit using the

following name:

“Audit of the Resources Managed by the Ministry of Finance and the Public Service under the Jamaica Strategic Public Sector Transformation Project during the period from 1st April 2018 to 31st Mar 2019 for IBRD Loan # 8406 JM. “Audit of the Resources Managed by the Ministry of Finance and the Public Service under the Jamaica Strategic Public Sector Transformation Project during the period from 1st April 2019 to 31st January 2020 for IBRD Loan # 8406 JM.

Audit Objectives

The overall objective of this engagement is to perform a special purpose framework financial audit, as defined by International Organization of Supreme Audit Institutions (INTOSAI) and allow the auditor to express a professional opinion on the financial position of the project at the end of the period audited including whether the financial statements are prepared, in all material respects, in accordance with applicable reporting framework, the eligibility of expenditures, compliance with applicable laws, regulations and financial clauses of the loan agreement and to report on the adequacy of the internal controls.

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9 A Guide to Open Government and the Coronavirus: Open Response + Open Recovery

Ensure that vulnerable communities are included in spending priorities, particularly in sectors such as health and access to water for hygiene.

Develop participation opportunities and feedback mechanisms through which the public can provide input to improve the efficiency and effectiveness of the ser- vice delivery and emergency response and stimulus plans design. Civil society can conduct spot-checks to ensure that funding and services are reaching intended beneficiaries. Governments should actively solicit public feedback on challenges in accessing emergency and economic support programs.

Open Recovery and Reform: Open recovery measures place transparency, accountability, and participation at

the center of medium-term government efforts to rebuild in the wake of COVID-19. Similarly, open reform initiatives ensure that the public is at the heart of govern- ment in the post-pandemic world.

• Publish information on tax incentives and specific objectives and timeframe, including rules for obtaining the benefits and publish the list of beneficiaries in machine-readable formats.

• Publish data of budget subsidies, beneficiaries and type of benefits implemented to support the reactivation of the economy, including those directed to natural per- sons legal entities.

• Publish the eight key budget documents (the Pre-Budget Statement, the Execu- tive’s Budget Proposal, the Citizens Budget, the Enacted Budget, In-Year Reports, the Mid-Year Review, the Year-End Report, and the Audit Report) as identified under the Open Budget Survey. Ensure budget documents contain comprehensive and useful budget information that is guided by public demand. Budget information should be fully accessible to the public, including online access to real-time, open data that is easy to understand, transform, and use.

• Offer at least one opportunity for public participation in the budget process for all three government branches: executive, legislature, and Supreme Audit Institutions (SAIs), and apply the Global Initiative for Fiscal Transparency’s (GIFT) Principles of Public Participation in Fiscal Policies.

Examples The following examples are recent initiatives in response to the COVID-19 pandemic and are drawn from our crowdsourced list as well as partner materials.

Brazil: Created a page on its Transparency Portal to track planned and actual federal spending on coronavirus relief efforts with open data.

The Philippines: Released a document that relates projects related to Covid-19, sources of revenue and agency in charge.

Mexico City: As part of their open data portal has included a specific section related to emergency related expenditures and social benefits.

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June 12, 2021


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The Auditor General’s Department (AuGD) of Jamaica, represented by the Ministry Finance and the Public Service (MoFPS), is seeking an audit/consultancy firm to execute external audit services for various Executive Agencies, Statutory Bodies and Municipal Authorities across Jamaica. The periods to be audited range between the financial years ended March 31, 2005 and March 31, 2018. The audits executed by the consultancy firm should be conducted in accordance with International Standards of Supreme Audit Institutions (ISSAI). The audit work of the consultancy firm will allow the Auditor General to:

a) express an opinion on the financial statements and state whether these entities have prepared financial statements in accordance with the International Public Sector Accounting Standards (IPSAS), and have complied with the relevant regulatory requirements that govern them;

b) identify, assess and examine risks to regularity, propriety and financial control and report on significant weaknesses;

c) provide constructive advice that will help these agencies improve governance, including financial management, control and reporting; and

d) assess the level of compliance with Government’s procurement guidelines 1.0 BACKGROUND The aggregate unaudited financial statements for Ministries, Departments and Agencies are four hundred and thirty-three (433). Of this amount, approximately one hundred and sixty-three (163) represent the financial statements of Statutory Bodies, Executive Agencies and Municipal Authorities in backlog. The remaining two hundred and seventy (270) backlog statements represent Appropriation Accounts. The Auditor General’s Department (AuGD) Strategic Audit Plan for the period 2018 – 2021 indicates that the total number of audits to be undertaken over the three-year period is five hundred and twenty (520); this amount does not include the backlog mentioned previously. Therefore, in order to facilitate compliance with the law for all stakeholders and to improve the public financial management landscape, all the backlog of unaudited financial statements must be cleared. To achieve this, the AuGD will utilize the provision of the law to outsource the external audit function. Outsourcing will enable the AuGD to direct its audit resources to maintain the current stock of audits and prevent a situation emerging where the backlog increases because current audits could not be undertaken. Additionally, AuGD staff will also be able to focus effort on clearing the backlog of Appropriation Accounts.

Section 31 of the Financial Administration and Audit Act and Section 13B (1) of the Public Bodies Management and Accountability Act authorises the Auditor General to engage the services of “any person who is a registered public accountant under the Public Accountancy Act, to inspect, examine or audit the books and accounts of any public body which the Auditor General may require to be examined or audited; and that person shall report his findings to the Auditor General.” Section 13B (2) further states, that “in exercise of his duties in relation to public bodies, the Auditor General, or any auditor appointed by the Auditor General shall have like powers as are vested in the Auditor General for the purpose of examining accounts under Sections 25 and 28 of the Financial Administration and Audit Act.”

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June 12, 2021


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6.0 AUDIT SCOPE

Scope of Work The Audit Services Provider will be expected to:

1. The financial reporting framework for Public Sector entities consist of a fair

presentation framework - International Public Sector Accounting Standards (IPSAS) and the requirements of the enabling legislation for the entity. The Audit Services Provider should audit the accounting records, for the fiscal periods ending March 31st of each year. In conducting the audit of the financial statements, the auditor should determine whether the financial statements were prepared in keeping with the requirements of the applicable financial reporting framework.

2. Adopt auditing standards issued by the International Organization of Supreme Audit Institutions (INTOSAI). The Auditor General’s Department conducts its audits in accordance with auditing standards issued by INTOSAI. Auditing standards issued by INTOSAI are International Standards of Supreme Audit Institutions (ISSAIs) which are based on International Standards on Auditing (ISA). The reporting responsibilities under ISSAIs are often broader than expressing an opinion on whether the financial statements have been prepared, in all material respects, in accordance with the applicable financial reporting framework. The ISSAIs also require public sector auditors to report on instances of non-compliance with authorities including budgets and accountability frameworks and/or reporting on the effectiveness of internal control. Therefore, in conducting the audit engagement, the Audit Service Provider should comply with the requirements of the ISSAIs for the engagement. Utilize a risk-based approach to auditing and plan the audit of the financial statements to respond to the risks of material1 misstatement of transactions and balances; and irregular transactions2.

File Review and Working Paper Access

a) The AuGD expects that the working paper files will be subjected to the firm’s normal review procedures. The AuGD will then conduct a high-level review of the working papers that form the basis of any conclusions arrived at by the consultancy firm. Further, evidence of the AuGD review will be placed in the audit files.

b) Provide access to and facilitate obtaining copies of all information/documentation

obtained in connection with the audit of agencies under the AOP.

1 ] A matter is material if its omission or misstatement would reasonably influence the decisions of users of the financial statements. The assessment of what is material is a matter of the auditor’s professional judgement and includes consideration of both the amount and the nature of the misstatement. 2 Irregular transactions are those which are non-compliant with the regulations that govern them.

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June 12, 2021


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The Auditor General’s Department (AuGD) of Jamaica, represented by the Ministry Finance and the Public Service (MoFPS), is seeking an audit/consultancy firm to execute external audit services for various Executive Agencies, Statutory Bodies and Municipal Authorities across Jamaica. The periods to be audited range between the financial years ended March 31, 2005 and March 31, 2018. The audits executed by the consultancy firm should be conducted in accordance with International Standards of Supreme Audit Institutions (ISSAI). The audit work of the consultancy firm will allow the Auditor General to:

a) express an opinion on the financial statements and state whether these entities have prepared financial statements in accordance with the International Public Sector Accounting Standards (IPSAS), and have complied with the relevant regulatory requirements that govern them;

b) identify, assess and examine risks to regularity, propriety and financial control and report on significant weaknesses;

c) provide constructive advice that will help these agencies improve governance, including financial management, control and reporting; and

d) assess the level of compliance with Government’s procurement guidelines 1.0 BACKGROUND The aggregate unaudited financial statements for Ministries, Departments and Agencies are four hundred and thirty-three (433). Of this amount, approximately one hundred and sixty-three (163) represent the financial statements of Statutory Bodies, Executive Agencies and Municipal Authorities in backlog. The remaining two hundred and seventy (270) backlog statements represent Appropriation Accounts. The Auditor General’s Department (AuGD) Strategic Audit Plan for the period 2018 – 2021 indicates that the total number of audits to be undertaken over the three-year period is five hundred and twenty (520); this amount does not include the backlog mentioned previously. Therefore, in order to facilitate compliance with the law for all stakeholders and to improve the public financial management landscape, all the backlog of unaudited financial statements must be cleared. To achieve this, the AuGD will utilize the provision of the law to outsource the external audit function. Outsourcing will enable the AuGD to direct its audit resources to maintain the current stock of audits and prevent a situation emerging where the backlog increases because current audits could not be undertaken. Additionally, AuGD staff will also be able to focus effort on clearing the backlog of Appropriation Accounts.

Section 31 of the Financial Administration and Audit Act and Section 13B (1) of the Public Bodies Management and Accountability Act authorises the Auditor General to engage the services of “any person who is a registered public accountant under the Public Accountancy Act, to inspect, examine or audit the books and accounts of any public body which the Auditor General may require to be examined or audited; and that person shall report his findings to the Auditor General.” Section 13B (2) further states, that “in exercise of his duties in relation to public bodies, the Auditor General, or any auditor appointed by the Auditor General shall have like powers as are vested in the Auditor General for the purpose of examining accounts under Sections 25 and 28 of the Financial Administration and Audit Act.”

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June 12, 2021


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