Request for Proposal No. U07-FA-3
REQUEST FOR PROPOSAL NO. U07-FA-3
FINANCIAL AUDIT OF THE EAST OHIO GAS COMPANY D/B/A DOMINION EAST OHIO
On August 30, 2007, The East Ohio Gas Company d/b/a Dominion East Ohio (Dominion, Applicant, or Company) filed an application for an increase in its gas distribution rates in Case Nos. 07-0829-GA-AIR, 07-830-GA-ALT and 07?831?GA-AAM. Dominion is a natural gas company as defined in Section 4903.03(A)(6), Revised Code, and a public utility as defined in Section 4905.02, Revised Code. As such, Dominion is subject to the jurisdiction of the Public Utilities Commission (PUCO or Commission). According to Section 4909.19, Revised Code, after a company has requested an increase in rates, the Commission shall cause an investigation to be made of the facts and exhibits set forth in the Company’s application. In order to complete this investigation in a timely manner, the Commission finds that portions of the investigation should be conducted by a qualified independent auditing firm.
Audit proposals were due by October 3, 2007. One proposal was submitted in a timely manner. The Commission has evaluated the proposal received and finds that the proposal should be rejected. The submitted proposal lacks sufficient detail regarding the firm’s understanding of the project and the work to be performed. There is insufficient information to ensure that the audit would be performed according to the staff’s RFP.
Therefore, the Commission finds the submitted bid unacceptable and will reject the proposal.. One proposal was submitted in a timely manner. The Commission orders the staff to issue a second RFP, in the form attached to its October 31, 2007 entry, in order to obtain a qualified independent auditor for the purpose of performing the audit.
In order to demonstrate the ability to perform the audit according to the RFP, the proposal must show, in detail, the auditor’s understanding of the project and the work required. Each proposal must address, with specificity, how it will handle all of the issues in the staff’s RFP. The auditor must demonstrate that it will be able to perform the required audit, showing its clear understanding of the tasks to be completed, the experience and qualification of the personnel who will perform the work, and the anticipated breakdown of costs and timing. The auditor shall perform the audit between November 2007 and February 2008. It will submit a draft audit report to staff by February 15, 2008, and file its final audit report concurrently with the Staff Report.
All audit proposals are due November 14, 2007. The Commission intends to select the auditor by November 20, 2007.
Commission Entry on the Docketing Information System
Finding & Order (October 31, 2007) (word version)