CPA Services for ICR Determinations, Financial Reviews, Audits, and Support

Solicitation No.

8568011061

Type / RFx

RFP

Status

Active

Level

local

Published Date

March 19, 2026

Due Date

April 22, 2026

NAICS Code

541211AI guide

Jurisdiction

SANDAG

State

California

Agency

SANDAG

SANDAG seeks the services of an independent certified public accounting firm (“Consultant”) to provide specialized financial and audit support services. These services will ensure compliance with federal and state requirements, enhance internal financial controls, and support contract oversight throughout the procurement lifecycle. **Solicitation Type**: RFP - Request for Proposal (Formal) **Source ID**: PU.AG.USA.1309051.C11746101 **Piggyback Contract**: No **Question Acceptance Deadline**: 03/30/2026 08:00 PM EDT **Questions are submitted online**: Yes **Bid Submission Type**: Electronic Bid Submission **Additional Bidding Instructions**: Insurance or Indemnification Exceptions Proposers are strongly encouraged to review the insurance and indemnification requirements in the attached Draft Standard Services Agreement prior to submitting a proposal. Exceptions to required insurance or indemnification language must be submitted by a Proposer prior to the close of the question period for this RFP because substantive changes made to these sections need to be considered by SANDAG prior to the proposal due date. All exceptions must be submitted during the question and answer period. Requests for exceptions or waivers of any of the insurance or indemnification sections of the Standard Services Agreement after the question and answer period closes will not be granted. **Owner Organization**: San Diego Association of Governments **Solicitation Number**: SOL1540294 **Reference Number**: 0000417439 **Pricing**: In attached document **Bid Documents List**: | Item Name | Description | Mandatory | Limited to 1 file | |---|---|---|---| | Bid Documents | Documents defining the proposal | Yes | No | | Cost Proposal | Cost Proposal Excel Sheet | Yes | No | **Questions and Answers**: - Q1 Arrow Right Question: Vasquez & Company LLP Questions to SOL1540294 Procurement mechanics, schedule, and formatting 1. Please confirm that insurance/indemnification exceptions must be submitted during the Q&A period (to gle@sandag.org) and that such requests will not be granted after the Q&A period closes. 2. For Section V.C (Proposed Method), please confirm the 12 page limit and what counts toward it (e.g., figures, exhibits, work plans in appendices). 3. If interviews are held, please confirm format (virtual vs. in person), duration, required attendees, allowance for slides, and whether a case exercise will be provided in advance. 4. Please confirm the short list and interview evaluation criteria/weights and whether any additional best value tradeoffs (e.g., local presence, transition plan) will be applied beyond the published forms. Arrow Right Answer: Thank you for your questions. Please see responses below: 1. Yes, any requested exceptions to insurance or indemnification requirements must be submitted during the Q&A period via email to gle@sandag.org. Requests submitted after the close of the Q&A period will not be considered. 2. Yes, the 12-page limit for Section V.C (Proposed Method) is confirmed. This page limit includes figures and exhibits but does not include appendices or resumes. 3. If interviews are held, they will be conducted virtually and are anticipated to be 60 minutes in duration. All key personnel will be required to attend. A PowerPoint presentation will be allowed. Interview questions and any case exercise will be determined if interviews proceed. 4. Yes, the short list and interview evaluation criteria and weights will remain as stated in the RFP. No additional criteria or best value tradeoffs will be applied beyond what is currently published. 03/27/2026 08:54 PM EDT 04/03/2026 02:39 PM EDT - Q2 Arrow Right Question: Vasquez & Company LLP Questions to SOL1540294 Contracting model, capacity, and task order workflow 6. Of the $1.1M aggregate capacity, can SANDAG share anticipated distribution by task (ICR, responsibility reviews, irregularity audits, optional implementation) and by year across the 3 year base and option years? 7. What is the expected number of task orders per year, typical order size, and turnaround from request to NTP? Are there target service levels (e.g., standard days to complete an ICR review after receipt of a complete package)? 8. For which task types does SANDAG prefer Cost per Unit of Work (e.g., per ICR determination) versus Specific Rates of Compensation (hourly)? For unit pricing, please confirm the unit definitions and acceptance criteria. 9. Please confirm how ODCs (deliveries, travel, equipment rentals) should be handled (line item listing, caps such as GSA per diem), and when onsite presence is expected vs. remote work. 10. Please confirm SANDAG’s primes only contracting approach and the process/timeline to request team composition changes or subconsultant additions after award. Arrow Right Answer: Thank you for your questions. Please see responses below: 6. The $1.1M capacity estimate was based on planning assumptions including an initial surge of approximately 15-20 ICR reviews in Year 1, followed by approximately 10 ICR reviews per year thereafter. Financial responsibility reviews are expected to align with major procurements and contract awards with Year 1 and 2 being the heaviest due to planned On-Call procurements with multiple contract awards, irregularity audits are anticipated to occur infrequently (approximately 1-2 per year), and optional advisory services are capped at 500 hours over the life of the Agreement. Actual task order volumes may vary. These estimates were developed for planning purposes only and do not represent guaranteed quantities of work. 7. Task orders will be issued as needed, with an estimated 10–15 per year (subject to change). Typical turnaround times: 1) Financial responsibility determinations: 7–10 business days 2) ICR reviews: 20–30 business days, and 3) Special audits: 30–60 days, depending on scope. 8) SANDAG will use both unit pricing and hourly rates. Unit pricing: For standard tasks (e.g., ICR and financial responsibility determinations), including all labor assuming complete documentation. Hourly rates (Specific Rates of Compensation): For variable scope work (e.g., audits, implementation support), with not to exceed (NTE) limits. SANDAG reserves the right to issue Task Orders using either pricing method and may convert unit-priced work to hourly if the scope exceeds typical effort due to incomplete documentation or unusual complexity. 9) SANDAG anticipates services described in this solicitation to be performed remotely; travel is not anticipated. Thus, Other Direct Costs (ODCs) are not expected. Any exceptions require prior written approval from SANDAG and would be reimbursed in accordance with SANDAG’s standard travel reimbursement policies. 10)See Standard Services Agreement, page 42, IX. for SANDAG process. 03/27/2026 08:55 PM EDT 04/06/2026 07:09 PM EDT - Q3 Arrow Right Question: Vasquez & Company LLP Questions to SOL1540294 Task 1 — Indirect Cost Rate (ICR) determinations 11. How many ICR proposals are anticipated annually, by vendor type (A&E, professional services, small business)? Any historical ICR ranges or common allowability issues we should plan for (FAR 31, 2 CFR 200, Caltrans Local Assistance)? 12. Does SANDAG have a preferred ICR review program and final determination report template, or should we submit ours for approval with the Task Workplan? 13. For A&E contracts subject to Caltrans requirements, please confirm alignment with the Caltrans Accounting & Auditing Guidelines and the specific version to apply. 14. What source documentation and secure file transfer mechanism will SANDAG facilitate (e.g., contractor GL, payroll, indirect pool support; SANDAG portal vs. firm SFTP)? 15. Please confirm expected turnaround times for standard, priority, and complex ICR reviews and the escalation path for contractor non responsiveness or disputed findings. Arrow Right Answer: Please see responses below: 11. SANDAG anticipates approximately 15-20 ICR proposals during year 1 and an ongoing annual volume of ~10 per year. The vendor type would be A&E services. These numbers were used for planning and are not intended to represent guaranteed quantities. 12. No. Following contract award, SANDAG anticipates working with the selected consultant to establish mutually agreed-upon report formats and templates for the various task types (e.g., ICR determinations, financial responsibility determinations, and irregularity audit reports) to ensure consistency and clarity.13. For A&E contracts subject to Caltrans oversight or requirements, SANDAG anticipates that financial reviews and indirect cost rate evaluations will be conducted in alignment with the Caltrans Accounting and Auditing Guidelines for Contracts with Caltrans, as applicable at the time the task order is issued. These guidelines are generally used for reviewing consultant accounting systems, proposed costs, and indirect cost rates for A&E contracts and related financial document reviews. If a specific edition or update is required by the applicable funding or oversight agency (e.g., Caltrans or FHWA), SANDAG will identify the appropriate version in the task order. 14. SANDAG will coordinate with the consultant to provide required documentation (e.g., financials, ledgers, payroll, ICR support, and cost data) needed for each review. Sensitive information will be shared through a secure, SANDAG-approved method (e.g., secure portal or encrypted file transfer), to be finalized after contract award. 15. Turnaround times depend on documentation completeness and complexity. Typical timelines after receipt of complete materials: •Standard ICR reviews: 20–30 business days •Priority reviews: 10–15 business days •Complex reviews: longer, depending on scope. If issues arise (e.g., non-responsive contractors or disputes), the Consultant will document findings and SANDAG will coordinate resolutions. 03/27/2026 08:55 PM EDT 04/06/2026 07:09 PM EDT - Q4 Arrow Right Question: Vasquez & Company LLP Questions to SOL1540294 Task 2 — Financial responsibility determinations & system reviews 16. At what stages are financial responsibility reviews performed (pre award, options, large change orders)? Typical lead times before award? 17. May we propose a standardized system adequacy rubric (covering cost segregation per FAR 31/2 CFR 200, timekeeping, job costing) for SANDAG approval? 18. Please confirm content and format for the Financial Responsibility Determination Report (findings, deficiencies, corrective actions, final determination). 19. Will SANDAG sponsor or compel production of audited financials, interim statements, credit line or bonding confirmations where vendors hesitate to provide them to the consultant? 20. With respect to DIR registration/prevailing wage, please confirm whether any contemplated services under this Agreement could be classified as public works, and in which scenarios. Arrow Right Answer: Thank you for your questions. Please see responses below: 16. Financial responsibility reviews are typically conducted pre-award with a 2-week turnaround after complete documentation. Post-award reviews may take approx. 30 days, depending on scope. Reviews are not typical for option periods but may be requested for significant contract changes or other circumstances if needed. 17. Proposers may propose standardized methodologies or assessment tools for evaluating accounting system adequacy. Any such approach would be subject to SANDAG review and approval to ensure it aligns with the objectives and requirements described in the Scope of Work and applicable funding requirements. 18. SANDAG does not require a specific template, but the Financial Responsibility Determination Report should clearly document the review performed and support the resulting determination. At a minimum, the report is expected to include a summary of the review scope and methodology, relevant financial analyses, any identified issues or deficiencies, and the consultant’s conclusion regarding the contractor’s financial responsibility. Recommendations may be included. The format may be refined with the selected Consultant after award. 19. SANDAG will coordinate with contractors to obtain documentation necessary to support financial responsibility reviews when required. Requests for sensitive financial information will typically be issued by SANDAG as part of the procurement or contract administration process and then provided to the consultant for analysis. Contractors may be required to provide financial documentation necessary to support responsibility determinations or other reviews as applicable to the procurement or contract requirements. 20. SANDAG does not anticipate that the services described in this solicitation will be classified as public works. As such, DIR registration and prevailing wage requirements are not expected to apply. 03/27/2026 08:56 PM EDT 04/06/2026 07:09 PM EDT - Q5 Arrow Right Question: Vasquez & Company LLP Questions to SOL1540294 Task 3 — Financial audits of contract irregularities 21. Historically, how many irregularity audits per year were commissioned and what were typical triggers (e.g., suspected overbilling, fraud tips, anomalous change orders)? 22. Given potential management support roles elsewhere in the Agreement, how should we manage GAGAS independence (e.g., separate teams/firewalls)? Please identify the state financial disclosure forms and cadence required for such roles. 23. For each audit, who approves the objective/scope, and will SANDAG facilitate access to contractor/subcontractor records and staff interviews? 24. Please confirm expectations for draft and final reports, working paper retention, and any retention period beyond Yellow Book norms. 25. Should our reports include corrective action plans and proposed follow up testing scopes, and who monitors remediation closure within SANDAG? Arrow Right Answer: Thank you for your questions. Please see responses below: 21. Historically, irregularity audits have been infrequent. Typical triggers may include indications of potential overbilling, discrepancies in invoicing, or errors or irregularities identified in master contract rate tables. 22. For Task Orders performed in accordance with Government Auditing Standards (GAGAS), the Consultant must maintain independence and describe safeguards for any advisory services (e.g., separate personnel or internal controls). SANDAG has not identified any state financial disclosure requirements (e.g., Form 700) associated with the services contemplated under this contract; any applicable requirements will be identified in the task order. 23. For Task 3, the audit objective and scope will be defined and approved by SANDAG as part of the applicable task order. SANDAG will coordinate with the contractor or subcontractor, as appropriate, to facilitate access to relevant records and personnel necessary to perform the review. The consultant may identify additional information needs during the course of the audit, which SANDAG will coordinate as needed. 24. Draft and final reports will be required as specified per task order. Drafts present preliminary findings; finals incorporate SANDAG comments and conclusions. Supporting documentation must be maintained in accordance with the Agreement. Unless otherwise specified in the task order, all work products must be maintained in accordance with SANDAG’s Standard Services Agreement, Section XI. Reporting, Record Retention, Access. 25. For Task 3, reports should document the scope of work performed, findings, and supporting analysis. Where appropriate, the consultant may include observations or recommendations related to corrective actions or potential follow-up testing. Responsibility for determining and implementing corrective actions, as well as monitoring remediation and closure, will remain with SANDAG. 03/27/2026 08:57 PM EDT 04/06/2026 07:09 PM EDT - Q6 Arrow Right Question: Vasquez & Company LLP Questions to SOL1540294 Optional Task 4 — Implementation support (Accounting & Finance assessment) 26. What is the status and expected completion date of the independent assessment, and when does SANDAG anticipate implementation tasks beginning? 27. Please describe the current state of Tyler Technologies ERP modules and the SR 125 tolling back office reporting environment (data sources/interfaces) and whether read only access can be granted. 28. For process documentation, do you prefer current/future state swimlanes, RACIs, and procedure narratives? What constitutes “substantially complete” for acceptance? 29. Are there priority budget cycle pain points (authorizations, amendments, transfers) you want addressed in the first implementation wave? Arrow Right Answer: 26. The Accounting and Finance Independent Assessment was completed and released in early December 2025. SANDAG is already working on implementation of tasks included in the Corrective Action Plan. 27. SANDAG went live with financials in the Tyler ERP system in January 2024 and Human Capital Management/payroll in July 2025. There are a few minor enhancements that still need to be rolled out including Employee Expense Reimbursement, Vendor Access, and ACFR Builder. Read-only access can be granted to Tyler ERP financials as needed. Access to personnel information would not be provided or would be very limited. SANDAG is currently using ETAN’s Fastlane back-office system as the data source for reporting. The Board recently approved a co-operative agreement with the Transportation Corridors Agency (TCA) to utilize their back-office system. This implementation should be started by May 2026 and will take a year to go live. 28. For Task 4, SANDAG does not require a specific process documentation format. Formats such as current/future state process maps, swimlane diagrams, RACI matrices, and supporting procedure narratives are acceptable approaches if they clearly document roles, responsibilities, workflows, and control points. A deliverable will generally be considered substantially complete when the documentation sufficiently describes the process, identifies key roles and controls, and supports SANDAG’s ability to understand and implement recommended improvements. 29. Yes, priority pain points for the first implementation wave are anticipated to focus on: Establishing SOPs and RACI to clarify roles and standardize workflows across authorizations, amendments, and transfers, Improving the core budget development process through targeted workshops and stakeholder alignment, and developing a clear implementation roadmap to ensure changes are structured, phased, and measurable. This approach is tentative and is subject to change and will be further refined. 03/27/2026 08:57 PM EDT 04/06/2026 07:09 PM EDT - Q7 Arrow Right Question: Vasquez & Company LLP Questions to SOL1540294 Data security, confidentiality, and public records 30. Which secure file transfer/collaboration tools should we use and what encryption/MFA standards apply? 31. Under Public Records, please confirm treatment of audit workpapers, contractor proprietary data, and our rate details when labeled confidential/trade secret, and outline the challenge/indemnity process if disclosure is contested. 32. Please confirm the requirement for prior written approval before any press releases or promotional materials referencing the procurement. Arrow Right Answer: Thank you for your questions. Please see responses below: 30. SANDAG will coordinate with the selected consultant after contract award to establish an appropriate secure method for transmitting and storing sensitive financial documents. This may include the use of SANDAG-approved secure collaboration or file transfer platforms. Any system used for transmitting sensitive information should employ standard security protections, including encrypted transmission and appropriate access controls such as multi-factor authentication where applicable. Specific tools and protocols will be confirmed during contract kickoff. 31. Audit workpapers are subject to public records requests; however, information not subject to the Public Records Act (PRA), or confidential information contained within audit workpapers, will be redacted as appropriate. With respect to rate details and other contractor proprietary information, proposers are directed to RFP Section XIV. Special Conditions, B. Public Records, which outlines the applicable treatment, including procedures related to confidentiality designations, disclosure, and any challenge or indemnification process. Please also see SANDAG’s Board Policy 015: Records Management Policy, available at www.sandag.org/legal, for additional information regarding the treatment of documents designated as confidential by SANDAG. 32. Any public announcements, press releases, or promotional materials referencing the procurement or resulting contract must receive prior written approval from SANDAG. After contract award, the selected Consultant may reference the contract as part of its general experience or qualifications in proposals or statements of qualifications, provided such references are factual and do not imply SANDAG endorsement. 03/27/2026 08:57 PM EDT 04/03/2026 02:39 PM EDT - Q8 Arrow Right Question: Vasquez & Company LLP Questions to SOL1540294 Compliance: DBE, Buy America, federal terms 33. We understand no contract specific DBE goal is set under the USDOT IFR (10/3/2025) and that SANDAG will administer obligations under 49 CFR Part 26. Will voluntary DBE participation/mentor protégé elements be viewed favorably in qualitative scoring? 34. Please confirm how Buy America/Build America certifications apply to this services contract and whether any contemplated equipment purchases could trigger compliance/waiver needs. 35. Please confirm that FTA/FHWA provisions will apply at the task order level as funding dictates and identify any additional flow downs required for subconsultants. Arrow Right Answer: Thank you for your questions. Please see responses below: 33. No, DBE participation will not be considered as part of the evaluation criteria. However, DBE participation is permitted. 34. Buy America / Build America certification requirements do not apply to this RFP. 35. Yes, the Agreement will be federalized at the Agreement level, and applicable FTA/FHWA provisions will carry through to and apply at the Task Order level. No additional flow-down provisions to subconsultants will be included. Insurance requirements will be held by the Prime Consultant. 03/27/2026 08:57 PM EDT 04/03/2026 02:39 PM EDT - Q9 Arrow Right Question: Vasquez & Company LLP Questions to SOL1540294 Financial controls, audits, and rate validation 36. Please confirm timing and scope for pre /post award audits of our fully loaded rates, and whether SANDAG has rate caps or required labor category definitions for the Cost Proposal. 37. What reasonableness tests will be applied to our rates (benchmarks, Caltrans norms) and how will post award audit adjustments be handled (e.g., prospective reductions, offsets)? 38. Please confirm invoice backup expectations (timekeeping, job costing detail) and whether SANDAG requires unredacted payroll or will accept summarized support. Arrow Right Answer: Thank you for your questions. Please see responses below: 36. SANDAG anticipates evaluating proposed rates for fairness and reasonableness during the procurement and negotiation process prior to contract award using standard price analysis methods (e.g., comparison among proposals, historical rates for similar services, and other relevant market information). SANDAG does not currently anticipate conducting pre-award or post-award audits of proposer fully loaded labor rates for this contract. However, SANDAG reserves the right to request additional supporting information or conduct reviews if necessary to support procurement or contract administration requirements. SANDAG has not established rate caps for this solicitation. Proposers should propose their standard labor categories and fully loaded hourly rates in the Cost Proposal consistent with the services described in the Scope of Work. 37. Proposed rates will be evaluated for reasonableness as part of SANDAG’s procurement and negotiation process using standard price analysis methods, which may include comparison with other proposals received, historical rates for similar services, and other relevant market information. SANDAG does not anticipate applying a specific benchmark such as Caltrans audit norms for evaluating billing rates under this contract. If post-award reviews identify unsupported or unallowable costs related to work performed under the contract, SANDAG will work with the consultant to resolve the issue through standard contract administration practices. Any adjustments would be addressed in accordance with the contract terms and the applicable task order. 38. See Standard Services Agreement, page 6, Section VI. Invoicing for invoice backup expectations. 03/27/2026 08:57 PM EDT 04/03/2026 02:39 PM EDT - Q10 Arrow Right Question: Vasquez & Company LLP Questions to SOL1540294 Teaming, local presence, and staffing 41. Does SANDAG prefer a San Diego based PM or a regional lead with periodic onsite presence? Will local presence factor into scoring under “Project Experience/Additional Information”? 42. Please confirm the process/timeline for key personnel substitutions and whether a bench of pre approved staff is acceptable to expedite task starts. 43. What documentation should we provide to evidence GAGAS CPE compliance (logs/certificates) and at what stage will SANDAG review this (proposal, NTP, or audit)? Arrow Right Answer: Thank you for your questions. Please see responses below: 41. SANDAG does not require that the Project Manager or other team members be based in San Diego. Services under this contract are expected to be performed primarily remotely. Local presence will not be used as an evaluation factor and will not influence scoring under “Project Experience/Additional Information.” The selected consultant should be able to coordinate effectively with SANDAG staff and participate in meetings as needed, which may occur virtually or, if necessary, in person. 42. All proposers should list key personnel/staff anticipated to work under the contract as directed in the Request for Proposals, Section VI. Proposal Content Requirements. Substitutions will be governed by the Standard Services Agreement, Section XV. Adding Staff or Subconsultants. Approval timelines vary but generally take approximately 10 business days. 43. Personnel performing work conducted in accordance with Government Auditing Standards (GAGAS) must meet the applicable continuing professional education (CPE) requirements. Offerors are not required to submit CPE documentation with their proposal. SANDAG may request evidence of GAGAS CPE compliance (e.g., training records or certificates) for personnel assigned to a GAGAS-related task order prior to or during performance of the work. 03/27/2026 08:58 PM EDT 04/03/2026 02:39 PM EDT - Q11 Arrow Right Question: Vasquez & Company LLP Questions to SOL1540294 Deliverables, acceptance, and quality assurance 44. Please confirm acceptance criteria and revision cycles for the four deliverables per task (Workplan, Draft, Final, Supporting Documentation), including SANDAG’s review timelines. 45. Can SANDAG provide sample reports (ICR determinations, responsibility determinations, irregularity audits) that illustrate preferred content and formatting? 46. Are there specific KPIs SANDAG will track (e.g., cycle time, first pass acceptance) that we should incorporate into our Quality Control Plan? Arrow Right Answer: Thank you for your questions. Please see responses below: 44. Deliverables typically include a Workplan, Draft Report, Final Report, and supporting documentation. Review timelines are ~5 business days for the Workplan, ~7–10 days for Draft Reports, and ~5 days for Final Reports. Additional revisions may be required if comments are not addressed. Timelines may vary based on SANDAG priorities. 45. SANDAG does not currently have sample reports available to provide for these services, as this is the first contract of this type the agency has issued. Proposers should assume that reports will be prepared in accordance with applicable professional standards (e.g., Government Auditing Standards where applicable) and the requirements described in the Scope of Work. At a minimum, reports are expected to clearly document the methodology performed, analyses conducted, findings, and conclusions supporting the determination or audit results. 46. SANDAG has not established formal KPIs for this contract. However, consultant performance will be monitored through standard contract administration practices, including timeliness of deliverables, responsiveness to comments, and quality and completeness of submitted reports. Proposers should describe the internal quality assurance procedures they will use to ensure accuracy, completeness, and timely delivery of work products. 03/27/2026 08:58 PM EDT 04/06/2026 07:09 PM EDT - Q12 Arrow Right Question: Vasquez & Company LLP Questions to SOL1540294 Administrative details 47. Please confirm vendor portal file type/size limits and whether the Excel Cost Proposal must be uploaded in native format. 48. For “Previous Contracts with SANDAG,” please confirm the 3 year lookback and whether subconsultant roles should also be listed. 49. Please confirm the reference check policy (two attempts; score of zero if no response; SANDAG may contact other references). 50. Please confirm that protests must follow the procedures at sandag.org/contracts and whether submissions are electronic only. Arrow Right Answer: Thank you for your questions. Please see responses below: 47. The Excel Cost Proposal must be uploaded in its native format. The maximum file size for uploads to the vendor portal is 500 MB. If files exceed 500 MB, they should be compressed into a .zip file prior to submission. 48. Yes, the three (3) year lookback period is confirmed. Subconsultant roles should also be included, if applicable. 49. Yes, the reference check policy is confirmed (two attempts will be made; if no response is received, a score of zero may be assigned; SANDAG reserves the right to contact other references). 50. Yes, protests must follow the procedures outlined at sandag.org/contracts, and submissions must adhere to the requirements specified in those procedures. 03/27/2026 08:58 PM EDT 04/03/2026 02:39 PM EDT - Q13 Arrow Right Question: SoW Task 3 - Financial Audits of Contract Irregularities Can SANDAG clarify whether these audits are expected to be conducted in accordance with FAR Part 31 and related federal acquisition requirements, or if they will follow a different framework (e.g., non-FAR methodologies, or based on the cost of work definitions within a Guaranteed Maximum Price Contract)? Additionally, please confirm whether demonstrated experience with FAR-based contract cost principles is required for this task, or if firms with experience in non-FAR construction contract audits and general GAGAS-compliant contract audits would be considered responsive. Arrow Right Answer: The applicable framework will depend on the nature of the task order and the type of contract being reviewed. For Indirect Cost Rate (ICR) determinations and reviews involving federally funded professional services contracts, analyses will generally be conducted in accordance with applicable federal cost principles, including FAR Part 31 and/or 2 CFR Part 200, as appropriate. Financial responsibility determinations are intended to evaluate a vendor’s financial capacity and system adequacy and are not strictly governed by FAR cost principles. Irregularity audits or other investigative reviews may be conducted in accordance with Government Auditing Standards (GAGAS) where applicable, and the specific audit scope and framework will be defined in the task order. For reviews involving construction contracts or Guaranteed Maximum Price (GMP) structures, the analysis may focus on the applicable contract terms, cost definitions, and supporting documentation, rather than strictly applying FAR cost principles. SANDAG encourages proposers to demonstrate experience performing financial reviews or audits under federal cost principles, GAGAS, and/or construction contract cost frameworks, as relevant to the services described in the Scope of Work. 03/30/2026 05:06 PM EDT 04/03/2026 02:39 PM EDT - Q14 Arrow Right Question: SANDAG Vendor Support What various services do SANDAG vendors currently provide and what industry types would you like to see outlined in our team's experience section? Arrow Right Answer: SANDAG contracts with a wide range of vendors that support regional transportation planning, infrastructure development, and agency operations. Industries commonly represented in SANDAG procurements include, but are not limited to: • Architectural and engineering (A&E) consulting firms • Construction contractors and construction management services • Transportation planning and environmental consulting firms • Information technology and systems integration providers • Professional services firms (legal, financial, advisory) • Data analytics, research, and public outreach consultants • Operations and maintenance service providers For purposes of the experience section, SANDAG encourages offerors to highlight experience performing similar financial reviews, audits, or advisory services for public sector agencies, transportation agencies, or other organizations that contract with professional services firms, engineering consultants, and infrastructure-related vendors. 03/30/2026 05:20 PM EDT 04/03/2026 02:39 PM EDT - Q15 Arrow Right Question: VII.A. Pre-Award and Post-Award Audits Will SANDAG consider permitting an exemption from the accounting system assessment if the negotiated rates are commercial in nature and deemed reasonable through competition? Arrow Right Answer: SANDAG does not anticipate granting exemptions from accounting system adequacy assessments where such reviews are required to support compliance with applicable federal funding requirements. For contracts funded with federal funds, SANDAG must ensure that contractors have accounting systems capable of accumulating and segregating reasonable, allowable, and allocable costs consistent with applicable federal cost principles and audit requirements. While competitive pricing may be used to establish price reasonableness for certain procurements, it does not eliminate the need for system adequacy reviews when required to support federal grant compliance. The extent of any review may vary depending on the nature of the procurement and the applicable funding requirements. 03/30/2026 05:26 PM EDT 04/03/2026 02:39 PM EDT - Q16 Arrow Right Question: SoW Task 3 - Financial Audits of Contract Irregularities Is the GAGS CPE requirement only applicable to individuals who may perform the GAGAS assessments under Task 3? Arrow Right Answer: The GAGAS continuing professional education (CPE) requirements apply only to personnel who perform work conducted in accordance with Government Auditing Standards under Task 3 (Financial Audits of Contract Irregularities). Personnel assigned to other tasks under the contract are not required to meet GAGAS CPE requirements unless they are participating in work performed under GAGAS. 03/30/2026 05:27 PM EDT 04/03/2026 02:39 PM EDT

1. March 19, 2026Published
2. April 22, 2026Responses Due