FINDING: 2022-001 Type of Finding: Material weakness in internal control over and compliance with suspension and debarment Federal Agency: U.S. Department of Agriculture and U.S. Department of Treasury Federal Program Title: Child Nutrition Cluster and State and Local Fiscal Recovery Funds Assistance Listing Number: 10.553, 10.555, 10.559, and 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: 1-0077-000 Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: When a non-Federal entity enters into a covered transaction with an entity at a lower tier, the non-Federal entity must verify that the entity, as defined in 2 CFR section 180.995 and agency adopting regulations, is not suspended or debarred or otherwise excluded from participating in the transaction. This verification may be accomplished by: 1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA); 2) collecting a certification from the entity; or 3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Condition: The District did not retain formal documentation of its testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Questioned Costs: None Context: None of the 8 contracts tested included formal documentation of the District?s testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Cause: District has been unaware of formal documentation suspension and debarment requirements on a District-wide basis for any contract or procurement with all or part of the contract coded to the Food Service Fund. Effect: Lack of proper procedures and controls related to the suspension and debarment could result in improper contracts with suspended or debarred vendors being paid with federal funds. Repeat Finding: No Recommendation: We recommend that the District reviews its related policies and procedures to ensure it is retaining documentation showing that the District crosschecked the vendors with procurements over the threshold of $25,000 at the time of procurement, which could be accomplished by (1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA), (2) collecting a certification from the entity, or (3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-001 Type of Finding: Material weakness in internal control over and compliance with suspension and debarment Federal Agency: U.S. Department of Agriculture and U.S. Department of Treasury Federal Program Title: Child Nutrition Cluster and State and Local Fiscal Recovery Funds Assistance Listing Number: 10.553, 10.555, 10.559, and 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: 1-0077-000 Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: When a non-Federal entity enters into a covered transaction with an entity at a lower tier, the non-Federal entity must verify that the entity, as defined in 2 CFR section 180.995 and agency adopting regulations, is not suspended or debarred or otherwise excluded from participating in the transaction. This verification may be accomplished by: 1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA); 2) collecting a certification from the entity; or 3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Condition: The District did not retain formal documentation of its testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Questioned Costs: None Context: None of the 8 contracts tested included formal documentation of the District?s testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Cause: District has been unaware of formal documentation suspension and debarment requirements on a District-wide basis for any contract or procurement with all or part of the contract coded to the Food Service Fund. Effect: Lack of proper procedures and controls related to the suspension and debarment could result in improper contracts with suspended or debarred vendors being paid with federal funds. Repeat Finding: No Recommendation: We recommend that the District reviews its related policies and procedures to ensure it is retaining documentation showing that the District crosschecked the vendors with procurements over the threshold of $25,000 at the time of procurement, which could be accomplished by (1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA), (2) collecting a certification from the entity, or (3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-001 Type of Finding: Material weakness in internal control over and compliance with suspension and debarment Federal Agency: U.S. Department of Agriculture and U.S. Department of Treasury Federal Program Title: Child Nutrition Cluster and State and Local Fiscal Recovery Funds Assistance Listing Number: 10.553, 10.555, 10.559, and 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: 1-0077-000 Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: When a non-Federal entity enters into a covered transaction with an entity at a lower tier, the non-Federal entity must verify that the entity, as defined in 2 CFR section 180.995 and agency adopting regulations, is not suspended or debarred or otherwise excluded from participating in the transaction. This verification may be accomplished by: 1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA); 2) collecting a certification from the entity; or 3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Condition: The District did not retain formal documentation of its testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Questioned Costs: None Context: None of the 8 contracts tested included formal documentation of the District?s testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Cause: District has been unaware of formal documentation suspension and debarment requirements on a District-wide basis for any contract or procurement with all or part of the contract coded to the Food Service Fund. Effect: Lack of proper procedures and controls related to the suspension and debarment could result in improper contracts with suspended or debarred vendors being paid with federal funds. Repeat Finding: No Recommendation: We recommend that the District reviews its related policies and procedures to ensure it is retaining documentation showing that the District crosschecked the vendors with procurements over the threshold of $25,000 at the time of procurement, which could be accomplished by (1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA), (2) collecting a certification from the entity, or (3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-001 Type of Finding: Material weakness in internal control over and compliance with suspension and debarment Federal Agency: U.S. Department of Agriculture and U.S. Department of Treasury Federal Program Title: Child Nutrition Cluster and State and Local Fiscal Recovery Funds Assistance Listing Number: 10.553, 10.555, 10.559, and 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: 1-0077-000 Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: When a non-Federal entity enters into a covered transaction with an entity at a lower tier, the non-Federal entity must verify that the entity, as defined in 2 CFR section 180.995 and agency adopting regulations, is not suspended or debarred or otherwise excluded from participating in the transaction. This verification may be accomplished by: 1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA); 2) collecting a certification from the entity; or 3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Condition: The District did not retain formal documentation of its testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Questioned Costs: None Context: None of the 8 contracts tested included formal documentation of the District?s testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Cause: District has been unaware of formal documentation suspension and debarment requirements on a District-wide basis for any contract or procurement with all or part of the contract coded to the Food Service Fund. Effect: Lack of proper procedures and controls related to the suspension and debarment could result in improper contracts with suspended or debarred vendors being paid with federal funds. Repeat Finding: No Recommendation: We recommend that the District reviews its related policies and procedures to ensure it is retaining documentation showing that the District crosschecked the vendors with procurements over the threshold of $25,000 at the time of procurement, which could be accomplished by (1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA), (2) collecting a certification from the entity, or (3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-001 Type of Finding: Material weakness in internal control over and compliance with suspension and debarment Federal Agency: U.S. Department of Agriculture and U.S. Department of Treasury Federal Program Title: Child Nutrition Cluster and State and Local Fiscal Recovery Funds Assistance Listing Number: 10.553, 10.555, 10.559, and 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: 1-0077-000 Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: When a non-Federal entity enters into a covered transaction with an entity at a lower tier, the non-Federal entity must verify that the entity, as defined in 2 CFR section 180.995 and agency adopting regulations, is not suspended or debarred or otherwise excluded from participating in the transaction. This verification may be accomplished by: 1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA); 2) collecting a certification from the entity; or 3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Condition: The District did not retain formal documentation of its testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Questioned Costs: None Context: None of the 8 contracts tested included formal documentation of the District?s testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Cause: District has been unaware of formal documentation suspension and debarment requirements on a District-wide basis for any contract or procurement with all or part of the contract coded to the Food Service Fund. Effect: Lack of proper procedures and controls related to the suspension and debarment could result in improper contracts with suspended or debarred vendors being paid with federal funds. Repeat Finding: No Recommendation: We recommend that the District reviews its related policies and procedures to ensure it is retaining documentation showing that the District crosschecked the vendors with procurements over the threshold of $25,000 at the time of procurement, which could be accomplished by (1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA), (2) collecting a certification from the entity, or (3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-001 Type of Finding: Material weakness in internal control over and compliance with suspension and debarment Federal Agency: U.S. Department of Agriculture and U.S. Department of Treasury Federal Program Title: Child Nutrition Cluster and State and Local Fiscal Recovery Funds Assistance Listing Number: 10.553, 10.555, 10.559, and 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: 1-0077-000 Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: When a non-Federal entity enters into a covered transaction with an entity at a lower tier, the non-Federal entity must verify that the entity, as defined in 2 CFR section 180.995 and agency adopting regulations, is not suspended or debarred or otherwise excluded from participating in the transaction. This verification may be accomplished by: 1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA); 2) collecting a certification from the entity; or 3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Condition: The District did not retain formal documentation of its testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Questioned Costs: None Context: None of the 8 contracts tested included formal documentation of the District?s testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Cause: District has been unaware of formal documentation suspension and debarment requirements on a District-wide basis for any contract or procurement with all or part of the contract coded to the Food Service Fund. Effect: Lack of proper procedures and controls related to the suspension and debarment could result in improper contracts with suspended or debarred vendors being paid with federal funds. Repeat Finding: No Recommendation: We recommend that the District reviews its related policies and procedures to ensure it is retaining documentation showing that the District crosschecked the vendors with procurements over the threshold of $25,000 at the time of procurement, which could be accomplished by (1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA), (2) collecting a certification from the entity, or (3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-001 Type of Finding: Material weakness in internal control over and compliance with suspension and debarment Federal Agency: U.S. Department of Agriculture and U.S. Department of Treasury Federal Program Title: Child Nutrition Cluster and State and Local Fiscal Recovery Funds Assistance Listing Number: 10.553, 10.555, 10.559, and 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: 1-0077-000 Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: When a non-Federal entity enters into a covered transaction with an entity at a lower tier, the non-Federal entity must verify that the entity, as defined in 2 CFR section 180.995 and agency adopting regulations, is not suspended or debarred or otherwise excluded from participating in the transaction. This verification may be accomplished by: 1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA); 2) collecting a certification from the entity; or 3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Condition: The District did not retain formal documentation of its testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Questioned Costs: None Context: None of the 8 contracts tested included formal documentation of the District?s testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Cause: District has been unaware of formal documentation suspension and debarment requirements on a District-wide basis for any contract or procurement with all or part of the contract coded to the Food Service Fund. Effect: Lack of proper procedures and controls related to the suspension and debarment could result in improper contracts with suspended or debarred vendors being paid with federal funds. Repeat Finding: No Recommendation: We recommend that the District reviews its related policies and procedures to ensure it is retaining documentation showing that the District crosschecked the vendors with procurements over the threshold of $25,000 at the time of procurement, which could be accomplished by (1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA), (2) collecting a certification from the entity, or (3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-002 Type of Finding: Material weakness in internal control over procurement Federal Agency: U.S. Department of Treasury Federal Program Title: State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: Not available Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: ?200.319 requires that all procurement transactions must be conducted in a manner providing full and open competition consistent with the standards of this section. In order to ensure objective contractor performance and eliminate unfair competitive advantage, contractors that develop or draft specifications, requirements, statements of work, or invitations for bids or requests for proposals must be excluded from competing for such procurements. Condition: During our testing, it was noted that the District did not retain quotes or document its considerations of open competition for two procurements over the micro-purchase threshold before the related contract was awarded. Questioned Costs: None Context: Of a sample of 3 vendors tested for cost analysis in line with the procurement standard requirement, there were no documented cases of the district properly following procurement guidelines. Cause: The District did not have the controls and procedures in place to ensure the proper documentation of its procurement and open competitions considerations related to the underlying procurements. Effect: A lack of proper documentation could lead to using vendors for small purchase acquisitions without ensuring comparable pricing from other vendors and justifying costs. Repeat Finding: No Recommendation: It is recommended that the District creates some sort of standard procedure or form that indicates what method is being used to track all procured items over the micro-purchase threshold ($10,000) to help formally document of how open competition is being assessed and then retain documentation of any quotes, bids or direct negotiation procedures completed. Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-001 Type of Finding: Material weakness in internal control over and compliance with suspension and debarment Federal Agency: U.S. Department of Agriculture and U.S. Department of Treasury Federal Program Title: Child Nutrition Cluster and State and Local Fiscal Recovery Funds Assistance Listing Number: 10.553, 10.555, 10.559, and 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: 1-0077-000 Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: When a non-Federal entity enters into a covered transaction with an entity at a lower tier, the non-Federal entity must verify that the entity, as defined in 2 CFR section 180.995 and agency adopting regulations, is not suspended or debarred or otherwise excluded from participating in the transaction. This verification may be accomplished by: 1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA); 2) collecting a certification from the entity; or 3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Condition: The District did not retain formal documentation of its testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Questioned Costs: None Context: None of the 8 contracts tested included formal documentation of the District?s testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Cause: District has been unaware of formal documentation suspension and debarment requirements on a District-wide basis for any contract or procurement with all or part of the contract coded to the Food Service Fund. Effect: Lack of proper procedures and controls related to the suspension and debarment could result in improper contracts with suspended or debarred vendors being paid with federal funds. Repeat Finding: No Recommendation: We recommend that the District reviews its related policies and procedures to ensure it is retaining documentation showing that the District crosschecked the vendors with procurements over the threshold of $25,000 at the time of procurement, which could be accomplished by (1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA), (2) collecting a certification from the entity, or (3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-002 Type of Finding: Material weakness in internal control over procurement Federal Agency: U.S. Department of Treasury Federal Program Title: State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: Not available Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: ?200.319 requires that all procurement transactions must be conducted in a manner providing full and open competition consistent with the standards of this section. In order to ensure objective contractor performance and eliminate unfair competitive advantage, contractors that develop or draft specifications, requirements, statements of work, or invitations for bids or requests for proposals must be excluded from competing for such procurements. Condition: During our testing, it was noted that the District did not retain quotes or document its considerations of open competition for two procurements over the micro-purchase threshold before the related contract was awarded. Questioned Costs: None Context: Of a sample of 3 vendors tested for cost analysis in line with the procurement standard requirement, there were no documented cases of the district properly following procurement guidelines. Cause: The District did not have the controls and procedures in place to ensure the proper documentation of its procurement and open competitions considerations related to the underlying procurements. Effect: A lack of proper documentation could lead to using vendors for small purchase acquisitions without ensuring comparable pricing from other vendors and justifying costs. Repeat Finding: No Recommendation: It is recommended that the District creates some sort of standard procedure or form that indicates what method is being used to track all procured items over the micro-purchase threshold ($10,000) to help formally document of how open competition is being assessed and then retain documentation of any quotes, bids or direct negotiation procedures completed. Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-001 Type of Finding: Material weakness in internal control over and compliance with suspension and debarment Federal Agency: U.S. Department of Agriculture and U.S. Department of Treasury Federal Program Title: Child Nutrition Cluster and State and Local Fiscal Recovery Funds Assistance Listing Number: 10.553, 10.555, 10.559, and 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: 1-0077-000 Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: When a non-Federal entity enters into a covered transaction with an entity at a lower tier, the non-Federal entity must verify that the entity, as defined in 2 CFR section 180.995 and agency adopting regulations, is not suspended or debarred or otherwise excluded from participating in the transaction. This verification may be accomplished by: 1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA); 2) collecting a certification from the entity; or 3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Condition: The District did not retain formal documentation of its testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Questioned Costs: None Context: None of the 8 contracts tested included formal documentation of the District?s testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Cause: District has been unaware of formal documentation suspension and debarment requirements on a District-wide basis for any contract or procurement with all or part of the contract coded to the Food Service Fund. Effect: Lack of proper procedures and controls related to the suspension and debarment could result in improper contracts with suspended or debarred vendors being paid with federal funds. Repeat Finding: No Recommendation: We recommend that the District reviews its related policies and procedures to ensure it is retaining documentation showing that the District crosschecked the vendors with procurements over the threshold of $25,000 at the time of procurement, which could be accomplished by (1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA), (2) collecting a certification from the entity, or (3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-002 Type of Finding: Material weakness in internal control over procurement Federal Agency: U.S. Department of Treasury Federal Program Title: State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: Not available Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: ?200.319 requires that all procurement transactions must be conducted in a manner providing full and open competition consistent with the standards of this section. In order to ensure objective contractor performance and eliminate unfair competitive advantage, contractors that develop or draft specifications, requirements, statements of work, or invitations for bids or requests for proposals must be excluded from competing for such procurements. Condition: During our testing, it was noted that the District did not retain quotes or document its considerations of open competition for two procurements over the micro-purchase threshold before the related contract was awarded. Questioned Costs: None Context: Of a sample of 3 vendors tested for cost analysis in line with the procurement standard requirement, there were no documented cases of the district properly following procurement guidelines. Cause: The District did not have the controls and procedures in place to ensure the proper documentation of its procurement and open competitions considerations related to the underlying procurements. Effect: A lack of proper documentation could lead to using vendors for small purchase acquisitions without ensuring comparable pricing from other vendors and justifying costs. Repeat Finding: No Recommendation: It is recommended that the District creates some sort of standard procedure or form that indicates what method is being used to track all procured items over the micro-purchase threshold ($10,000) to help formally document of how open competition is being assessed and then retain documentation of any quotes, bids or direct negotiation procedures completed. Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-001 Type of Finding: Material weakness in internal control over and compliance with suspension and debarment Federal Agency: U.S. Department of Agriculture and U.S. Department of Treasury Federal Program Title: Child Nutrition Cluster and State and Local Fiscal Recovery Funds Assistance Listing Number: 10.553, 10.555, 10.559, and 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: 1-0077-000 Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: When a non-Federal entity enters into a covered transaction with an entity at a lower tier, the non-Federal entity must verify that the entity, as defined in 2 CFR section 180.995 and agency adopting regulations, is not suspended or debarred or otherwise excluded from participating in the transaction. This verification may be accomplished by: 1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA); 2) collecting a certification from the entity; or 3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Condition: The District did not retain formal documentation of its testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Questioned Costs: None Context: None of the 8 contracts tested included formal documentation of the District?s testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Cause: District has been unaware of formal documentation suspension and debarment requirements on a District-wide basis for any contract or procurement with all or part of the contract coded to the Food Service Fund. Effect: Lack of proper procedures and controls related to the suspension and debarment could result in improper contracts with suspended or debarred vendors being paid with federal funds. Repeat Finding: No Recommendation: We recommend that the District reviews its related policies and procedures to ensure it is retaining documentation showing that the District crosschecked the vendors with procurements over the threshold of $25,000 at the time of procurement, which could be accomplished by (1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA), (2) collecting a certification from the entity, or (3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-002 Type of Finding: Material weakness in internal control over procurement Federal Agency: U.S. Department of Treasury Federal Program Title: State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: Not available Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: ?200.319 requires that all procurement transactions must be conducted in a manner providing full and open competition consistent with the standards of this section. In order to ensure objective contractor performance and eliminate unfair competitive advantage, contractors that develop or draft specifications, requirements, statements of work, or invitations for bids or requests for proposals must be excluded from competing for such procurements. Condition: During our testing, it was noted that the District did not retain quotes or document its considerations of open competition for two procurements over the micro-purchase threshold before the related contract was awarded. Questioned Costs: None Context: Of a sample of 3 vendors tested for cost analysis in line with the procurement standard requirement, there were no documented cases of the district properly following procurement guidelines. Cause: The District did not have the controls and procedures in place to ensure the proper documentation of its procurement and open competitions considerations related to the underlying procurements. Effect: A lack of proper documentation could lead to using vendors for small purchase acquisitions without ensuring comparable pricing from other vendors and justifying costs. Repeat Finding: No Recommendation: It is recommended that the District creates some sort of standard procedure or form that indicates what method is being used to track all procured items over the micro-purchase threshold ($10,000) to help formally document of how open competition is being assessed and then retain documentation of any quotes, bids or direct negotiation procedures completed. Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-001 Type of Finding: Material weakness in internal control over and compliance with suspension and debarment Federal Agency: U.S. Department of Agriculture and U.S. Department of Treasury Federal Program Title: Child Nutrition Cluster and State and Local Fiscal Recovery Funds Assistance Listing Number: 10.553, 10.555, 10.559, and 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: 1-0077-000 Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: When a non-Federal entity enters into a covered transaction with an entity at a lower tier, the non-Federal entity must verify that the entity, as defined in 2 CFR section 180.995 and agency adopting regulations, is not suspended or debarred or otherwise excluded from participating in the transaction. This verification may be accomplished by: 1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA); 2) collecting a certification from the entity; or 3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Condition: The District did not retain formal documentation of its testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Questioned Costs: None Context: None of the 8 contracts tested included formal documentation of the District?s testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Cause: District has been unaware of formal documentation suspension and debarment requirements on a District-wide basis for any contract or procurement with all or part of the contract coded to the Food Service Fund. Effect: Lack of proper procedures and controls related to the suspension and debarment could result in improper contracts with suspended or debarred vendors being paid with federal funds. Repeat Finding: No Recommendation: We recommend that the District reviews its related policies and procedures to ensure it is retaining documentation showing that the District crosschecked the vendors with procurements over the threshold of $25,000 at the time of procurement, which could be accomplished by (1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA), (2) collecting a certification from the entity, or (3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-002 Type of Finding: Material weakness in internal control over procurement Federal Agency: U.S. Department of Treasury Federal Program Title: State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: Not available Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: ?200.319 requires that all procurement transactions must be conducted in a manner providing full and open competition consistent with the standards of this section. In order to ensure objective contractor performance and eliminate unfair competitive advantage, contractors that develop or draft specifications, requirements, statements of work, or invitations for bids or requests for proposals must be excluded from competing for such procurements. Condition: During our testing, it was noted that the District did not retain quotes or document its considerations of open competition for two procurements over the micro-purchase threshold before the related contract was awarded. Questioned Costs: None Context: Of a sample of 3 vendors tested for cost analysis in line with the procurement standard requirement, there were no documented cases of the district properly following procurement guidelines. Cause: The District did not have the controls and procedures in place to ensure the proper documentation of its procurement and open competitions considerations related to the underlying procurements. Effect: A lack of proper documentation could lead to using vendors for small purchase acquisitions without ensuring comparable pricing from other vendors and justifying costs. Repeat Finding: No Recommendation: It is recommended that the District creates some sort of standard procedure or form that indicates what method is being used to track all procured items over the micro-purchase threshold ($10,000) to help formally document of how open competition is being assessed and then retain documentation of any quotes, bids or direct negotiation procedures completed. Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-001 Type of Finding: Material weakness in internal control over and compliance with suspension and debarment Federal Agency: U.S. Department of Agriculture and U.S. Department of Treasury Federal Program Title: Child Nutrition Cluster and State and Local Fiscal Recovery Funds Assistance Listing Number: 10.553, 10.555, 10.559, and 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: 1-0077-000 Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: When a non-Federal entity enters into a covered transaction with an entity at a lower tier, the non-Federal entity must verify that the entity, as defined in 2 CFR section 180.995 and agency adopting regulations, is not suspended or debarred or otherwise excluded from participating in the transaction. This verification may be accomplished by: 1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA); 2) collecting a certification from the entity; or 3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Condition: The District did not retain formal documentation of its testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Questioned Costs: None Context: None of the 8 contracts tested included formal documentation of the District?s testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Cause: District has been unaware of formal documentation suspension and debarment requirements on a District-wide basis for any contract or procurement with all or part of the contract coded to the Food Service Fund. Effect: Lack of proper procedures and controls related to the suspension and debarment could result in improper contracts with suspended or debarred vendors being paid with federal funds. Repeat Finding: No Recommendation: We recommend that the District reviews its related policies and procedures to ensure it is retaining documentation showing that the District crosschecked the vendors with procurements over the threshold of $25,000 at the time of procurement, which could be accomplished by (1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA), (2) collecting a certification from the entity, or (3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-002 Type of Finding: Material weakness in internal control over procurement Federal Agency: U.S. Department of Treasury Federal Program Title: State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: Not available Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: ?200.319 requires that all procurement transactions must be conducted in a manner providing full and open competition consistent with the standards of this section. In order to ensure objective contractor performance and eliminate unfair competitive advantage, contractors that develop or draft specifications, requirements, statements of work, or invitations for bids or requests for proposals must be excluded from competing for such procurements. Condition: During our testing, it was noted that the District did not retain quotes or document its considerations of open competition for two procurements over the micro-purchase threshold before the related contract was awarded. Questioned Costs: None Context: Of a sample of 3 vendors tested for cost analysis in line with the procurement standard requirement, there were no documented cases of the district properly following procurement guidelines. Cause: The District did not have the controls and procedures in place to ensure the proper documentation of its procurement and open competitions considerations related to the underlying procurements. Effect: A lack of proper documentation could lead to using vendors for small purchase acquisitions without ensuring comparable pricing from other vendors and justifying costs. Repeat Finding: No Recommendation: It is recommended that the District creates some sort of standard procedure or form that indicates what method is being used to track all procured items over the micro-purchase threshold ($10,000) to help formally document of how open competition is being assessed and then retain documentation of any quotes, bids or direct negotiation procedures completed. Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-001 Type of Finding: Material weakness in internal control over and compliance with suspension and debarment Federal Agency: U.S. Department of Agriculture and U.S. Department of Treasury Federal Program Title: Child Nutrition Cluster and State and Local Fiscal Recovery Funds Assistance Listing Number: 10.553, 10.555, 10.559, and 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: 1-0077-000 Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: When a non-Federal entity enters into a covered transaction with an entity at a lower tier, the non-Federal entity must verify that the entity, as defined in 2 CFR section 180.995 and agency adopting regulations, is not suspended or debarred or otherwise excluded from participating in the transaction. This verification may be accomplished by: 1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA); 2) collecting a certification from the entity; or 3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Condition: The District did not retain formal documentation of its testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Questioned Costs: None Context: None of the 8 contracts tested included formal documentation of the District?s testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Cause: District has been unaware of formal documentation suspension and debarment requirements on a District-wide basis for any contract or procurement with all or part of the contract coded to the Food Service Fund. Effect: Lack of proper procedures and controls related to the suspension and debarment could result in improper contracts with suspended or debarred vendors being paid with federal funds. Repeat Finding: No Recommendation: We recommend that the District reviews its related policies and procedures to ensure it is retaining documentation showing that the District crosschecked the vendors with procurements over the threshold of $25,000 at the time of procurement, which could be accomplished by (1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA), (2) collecting a certification from the entity, or (3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-001 Type of Finding: Material weakness in internal control over and compliance with suspension and debarment Federal Agency: U.S. Department of Agriculture and U.S. Department of Treasury Federal Program Title: Child Nutrition Cluster and State and Local Fiscal Recovery Funds Assistance Listing Number: 10.553, 10.555, 10.559, and 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: 1-0077-000 Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: When a non-Federal entity enters into a covered transaction with an entity at a lower tier, the non-Federal entity must verify that the entity, as defined in 2 CFR section 180.995 and agency adopting regulations, is not suspended or debarred or otherwise excluded from participating in the transaction. This verification may be accomplished by: 1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA); 2) collecting a certification from the entity; or 3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Condition: The District did not retain formal documentation of its testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Questioned Costs: None Context: None of the 8 contracts tested included formal documentation of the District?s testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Cause: District has been unaware of formal documentation suspension and debarment requirements on a District-wide basis for any contract or procurement with all or part of the contract coded to the Food Service Fund. Effect: Lack of proper procedures and controls related to the suspension and debarment could result in improper contracts with suspended or debarred vendors being paid with federal funds. Repeat Finding: No Recommendation: We recommend that the District reviews its related policies and procedures to ensure it is retaining documentation showing that the District crosschecked the vendors with procurements over the threshold of $25,000 at the time of procurement, which could be accomplished by (1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA), (2) collecting a certification from the entity, or (3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-001 Type of Finding: Material weakness in internal control over and compliance with suspension and debarment Federal Agency: U.S. Department of Agriculture and U.S. Department of Treasury Federal Program Title: Child Nutrition Cluster and State and Local Fiscal Recovery Funds Assistance Listing Number: 10.553, 10.555, 10.559, and 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: 1-0077-000 Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: When a non-Federal entity enters into a covered transaction with an entity at a lower tier, the non-Federal entity must verify that the entity, as defined in 2 CFR section 180.995 and agency adopting regulations, is not suspended or debarred or otherwise excluded from participating in the transaction. This verification may be accomplished by: 1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA); 2) collecting a certification from the entity; or 3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Condition: The District did not retain formal documentation of its testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Questioned Costs: None Context: None of the 8 contracts tested included formal documentation of the District?s testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Cause: District has been unaware of formal documentation suspension and debarment requirements on a District-wide basis for any contract or procurement with all or part of the contract coded to the Food Service Fund. Effect: Lack of proper procedures and controls related to the suspension and debarment could result in improper contracts with suspended or debarred vendors being paid with federal funds. Repeat Finding: No Recommendation: We recommend that the District reviews its related policies and procedures to ensure it is retaining documentation showing that the District crosschecked the vendors with procurements over the threshold of $25,000 at the time of procurement, which could be accomplished by (1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA), (2) collecting a certification from the entity, or (3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-001 Type of Finding: Material weakness in internal control over and compliance with suspension and debarment Federal Agency: U.S. Department of Agriculture and U.S. Department of Treasury Federal Program Title: Child Nutrition Cluster and State and Local Fiscal Recovery Funds Assistance Listing Number: 10.553, 10.555, 10.559, and 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: 1-0077-000 Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: When a non-Federal entity enters into a covered transaction with an entity at a lower tier, the non-Federal entity must verify that the entity, as defined in 2 CFR section 180.995 and agency adopting regulations, is not suspended or debarred or otherwise excluded from participating in the transaction. This verification may be accomplished by: 1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA); 2) collecting a certification from the entity; or 3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Condition: The District did not retain formal documentation of its testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Questioned Costs: None Context: None of the 8 contracts tested included formal documentation of the District?s testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Cause: District has been unaware of formal documentation suspension and debarment requirements on a District-wide basis for any contract or procurement with all or part of the contract coded to the Food Service Fund. Effect: Lack of proper procedures and controls related to the suspension and debarment could result in improper contracts with suspended or debarred vendors being paid with federal funds. Repeat Finding: No Recommendation: We recommend that the District reviews its related policies and procedures to ensure it is retaining documentation showing that the District crosschecked the vendors with procurements over the threshold of $25,000 at the time of procurement, which could be accomplished by (1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA), (2) collecting a certification from the entity, or (3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-001 Type of Finding: Material weakness in internal control over and compliance with suspension and debarment Federal Agency: U.S. Department of Agriculture and U.S. Department of Treasury Federal Program Title: Child Nutrition Cluster and State and Local Fiscal Recovery Funds Assistance Listing Number: 10.553, 10.555, 10.559, and 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: 1-0077-000 Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: When a non-Federal entity enters into a covered transaction with an entity at a lower tier, the non-Federal entity must verify that the entity, as defined in 2 CFR section 180.995 and agency adopting regulations, is not suspended or debarred or otherwise excluded from participating in the transaction. This verification may be accomplished by: 1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA); 2) collecting a certification from the entity; or 3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Condition: The District did not retain formal documentation of its testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Questioned Costs: None Context: None of the 8 contracts tested included formal documentation of the District?s testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Cause: District has been unaware of formal documentation suspension and debarment requirements on a District-wide basis for any contract or procurement with all or part of the contract coded to the Food Service Fund. Effect: Lack of proper procedures and controls related to the suspension and debarment could result in improper contracts with suspended or debarred vendors being paid with federal funds. Repeat Finding: No Recommendation: We recommend that the District reviews its related policies and procedures to ensure it is retaining documentation showing that the District crosschecked the vendors with procurements over the threshold of $25,000 at the time of procurement, which could be accomplished by (1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA), (2) collecting a certification from the entity, or (3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-001 Type of Finding: Material weakness in internal control over and compliance with suspension and debarment Federal Agency: U.S. Department of Agriculture and U.S. Department of Treasury Federal Program Title: Child Nutrition Cluster and State and Local Fiscal Recovery Funds Assistance Listing Number: 10.553, 10.555, 10.559, and 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: 1-0077-000 Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: When a non-Federal entity enters into a covered transaction with an entity at a lower tier, the non-Federal entity must verify that the entity, as defined in 2 CFR section 180.995 and agency adopting regulations, is not suspended or debarred or otherwise excluded from participating in the transaction. This verification may be accomplished by: 1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA); 2) collecting a certification from the entity; or 3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Condition: The District did not retain formal documentation of its testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Questioned Costs: None Context: None of the 8 contracts tested included formal documentation of the District?s testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Cause: District has been unaware of formal documentation suspension and debarment requirements on a District-wide basis for any contract or procurement with all or part of the contract coded to the Food Service Fund. Effect: Lack of proper procedures and controls related to the suspension and debarment could result in improper contracts with suspended or debarred vendors being paid with federal funds. Repeat Finding: No Recommendation: We recommend that the District reviews its related policies and procedures to ensure it is retaining documentation showing that the District crosschecked the vendors with procurements over the threshold of $25,000 at the time of procurement, which could be accomplished by (1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA), (2) collecting a certification from the entity, or (3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-001 Type of Finding: Material weakness in internal control over and compliance with suspension and debarment Federal Agency: U.S. Department of Agriculture and U.S. Department of Treasury Federal Program Title: Child Nutrition Cluster and State and Local Fiscal Recovery Funds Assistance Listing Number: 10.553, 10.555, 10.559, and 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: 1-0077-000 Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: When a non-Federal entity enters into a covered transaction with an entity at a lower tier, the non-Federal entity must verify that the entity, as defined in 2 CFR section 180.995 and agency adopting regulations, is not suspended or debarred or otherwise excluded from participating in the transaction. This verification may be accomplished by: 1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA); 2) collecting a certification from the entity; or 3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Condition: The District did not retain formal documentation of its testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Questioned Costs: None Context: None of the 8 contracts tested included formal documentation of the District?s testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Cause: District has been unaware of formal documentation suspension and debarment requirements on a District-wide basis for any contract or procurement with all or part of the contract coded to the Food Service Fund. Effect: Lack of proper procedures and controls related to the suspension and debarment could result in improper contracts with suspended or debarred vendors being paid with federal funds. Repeat Finding: No Recommendation: We recommend that the District reviews its related policies and procedures to ensure it is retaining documentation showing that the District crosschecked the vendors with procurements over the threshold of $25,000 at the time of procurement, which could be accomplished by (1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA), (2) collecting a certification from the entity, or (3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-002 Type of Finding: Material weakness in internal control over procurement Federal Agency: U.S. Department of Treasury Federal Program Title: State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: Not available Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: ?200.319 requires that all procurement transactions must be conducted in a manner providing full and open competition consistent with the standards of this section. In order to ensure objective contractor performance and eliminate unfair competitive advantage, contractors that develop or draft specifications, requirements, statements of work, or invitations for bids or requests for proposals must be excluded from competing for such procurements. Condition: During our testing, it was noted that the District did not retain quotes or document its considerations of open competition for two procurements over the micro-purchase threshold before the related contract was awarded. Questioned Costs: None Context: Of a sample of 3 vendors tested for cost analysis in line with the procurement standard requirement, there were no documented cases of the district properly following procurement guidelines. Cause: The District did not have the controls and procedures in place to ensure the proper documentation of its procurement and open competitions considerations related to the underlying procurements. Effect: A lack of proper documentation could lead to using vendors for small purchase acquisitions without ensuring comparable pricing from other vendors and justifying costs. Repeat Finding: No Recommendation: It is recommended that the District creates some sort of standard procedure or form that indicates what method is being used to track all procured items over the micro-purchase threshold ($10,000) to help formally document of how open competition is being assessed and then retain documentation of any quotes, bids or direct negotiation procedures completed. Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-001 Type of Finding: Material weakness in internal control over and compliance with suspension and debarment Federal Agency: U.S. Department of Agriculture and U.S. Department of Treasury Federal Program Title: Child Nutrition Cluster and State and Local Fiscal Recovery Funds Assistance Listing Number: 10.553, 10.555, 10.559, and 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: 1-0077-000 Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: When a non-Federal entity enters into a covered transaction with an entity at a lower tier, the non-Federal entity must verify that the entity, as defined in 2 CFR section 180.995 and agency adopting regulations, is not suspended or debarred or otherwise excluded from participating in the transaction. This verification may be accomplished by: 1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA); 2) collecting a certification from the entity; or 3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Condition: The District did not retain formal documentation of its testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Questioned Costs: None Context: None of the 8 contracts tested included formal documentation of the District?s testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Cause: District has been unaware of formal documentation suspension and debarment requirements on a District-wide basis for any contract or procurement with all or part of the contract coded to the Food Service Fund. Effect: Lack of proper procedures and controls related to the suspension and debarment could result in improper contracts with suspended or debarred vendors being paid with federal funds. Repeat Finding: No Recommendation: We recommend that the District reviews its related policies and procedures to ensure it is retaining documentation showing that the District crosschecked the vendors with procurements over the threshold of $25,000 at the time of procurement, which could be accomplished by (1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA), (2) collecting a certification from the entity, or (3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-002 Type of Finding: Material weakness in internal control over procurement Federal Agency: U.S. Department of Treasury Federal Program Title: State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: Not available Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: ?200.319 requires that all procurement transactions must be conducted in a manner providing full and open competition consistent with the standards of this section. In order to ensure objective contractor performance and eliminate unfair competitive advantage, contractors that develop or draft specifications, requirements, statements of work, or invitations for bids or requests for proposals must be excluded from competing for such procurements. Condition: During our testing, it was noted that the District did not retain quotes or document its considerations of open competition for two procurements over the micro-purchase threshold before the related contract was awarded. Questioned Costs: None Context: Of a sample of 3 vendors tested for cost analysis in line with the procurement standard requirement, there were no documented cases of the district properly following procurement guidelines. Cause: The District did not have the controls and procedures in place to ensure the proper documentation of its procurement and open competitions considerations related to the underlying procurements. Effect: A lack of proper documentation could lead to using vendors for small purchase acquisitions without ensuring comparable pricing from other vendors and justifying costs. Repeat Finding: No Recommendation: It is recommended that the District creates some sort of standard procedure or form that indicates what method is being used to track all procured items over the micro-purchase threshold ($10,000) to help formally document of how open competition is being assessed and then retain documentation of any quotes, bids or direct negotiation procedures completed. Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-001 Type of Finding: Material weakness in internal control over and compliance with suspension and debarment Federal Agency: U.S. Department of Agriculture and U.S. Department of Treasury Federal Program Title: Child Nutrition Cluster and State and Local Fiscal Recovery Funds Assistance Listing Number: 10.553, 10.555, 10.559, and 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: 1-0077-000 Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: When a non-Federal entity enters into a covered transaction with an entity at a lower tier, the non-Federal entity must verify that the entity, as defined in 2 CFR section 180.995 and agency adopting regulations, is not suspended or debarred or otherwise excluded from participating in the transaction. This verification may be accomplished by: 1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA); 2) collecting a certification from the entity; or 3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Condition: The District did not retain formal documentation of its testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Questioned Costs: None Context: None of the 8 contracts tested included formal documentation of the District?s testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Cause: District has been unaware of formal documentation suspension and debarment requirements on a District-wide basis for any contract or procurement with all or part of the contract coded to the Food Service Fund. Effect: Lack of proper procedures and controls related to the suspension and debarment could result in improper contracts with suspended or debarred vendors being paid with federal funds. Repeat Finding: No Recommendation: We recommend that the District reviews its related policies and procedures to ensure it is retaining documentation showing that the District crosschecked the vendors with procurements over the threshold of $25,000 at the time of procurement, which could be accomplished by (1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA), (2) collecting a certification from the entity, or (3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-002 Type of Finding: Material weakness in internal control over procurement Federal Agency: U.S. Department of Treasury Federal Program Title: State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: Not available Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: ?200.319 requires that all procurement transactions must be conducted in a manner providing full and open competition consistent with the standards of this section. In order to ensure objective contractor performance and eliminate unfair competitive advantage, contractors that develop or draft specifications, requirements, statements of work, or invitations for bids or requests for proposals must be excluded from competing for such procurements. Condition: During our testing, it was noted that the District did not retain quotes or document its considerations of open competition for two procurements over the micro-purchase threshold before the related contract was awarded. Questioned Costs: None Context: Of a sample of 3 vendors tested for cost analysis in line with the procurement standard requirement, there were no documented cases of the district properly following procurement guidelines. Cause: The District did not have the controls and procedures in place to ensure the proper documentation of its procurement and open competitions considerations related to the underlying procurements. Effect: A lack of proper documentation could lead to using vendors for small purchase acquisitions without ensuring comparable pricing from other vendors and justifying costs. Repeat Finding: No Recommendation: It is recommended that the District creates some sort of standard procedure or form that indicates what method is being used to track all procured items over the micro-purchase threshold ($10,000) to help formally document of how open competition is being assessed and then retain documentation of any quotes, bids or direct negotiation procedures completed. Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-001 Type of Finding: Material weakness in internal control over and compliance with suspension and debarment Federal Agency: U.S. Department of Agriculture and U.S. Department of Treasury Federal Program Title: Child Nutrition Cluster and State and Local Fiscal Recovery Funds Assistance Listing Number: 10.553, 10.555, 10.559, and 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: 1-0077-000 Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: When a non-Federal entity enters into a covered transaction with an entity at a lower tier, the non-Federal entity must verify that the entity, as defined in 2 CFR section 180.995 and agency adopting regulations, is not suspended or debarred or otherwise excluded from participating in the transaction. This verification may be accomplished by: 1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA); 2) collecting a certification from the entity; or 3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Condition: The District did not retain formal documentation of its testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Questioned Costs: None Context: None of the 8 contracts tested included formal documentation of the District?s testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Cause: District has been unaware of formal documentation suspension and debarment requirements on a District-wide basis for any contract or procurement with all or part of the contract coded to the Food Service Fund. Effect: Lack of proper procedures and controls related to the suspension and debarment could result in improper contracts with suspended or debarred vendors being paid with federal funds. Repeat Finding: No Recommendation: We recommend that the District reviews its related policies and procedures to ensure it is retaining documentation showing that the District crosschecked the vendors with procurements over the threshold of $25,000 at the time of procurement, which could be accomplished by (1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA), (2) collecting a certification from the entity, or (3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-002 Type of Finding: Material weakness in internal control over procurement Federal Agency: U.S. Department of Treasury Federal Program Title: State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: Not available Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: ?200.319 requires that all procurement transactions must be conducted in a manner providing full and open competition consistent with the standards of this section. In order to ensure objective contractor performance and eliminate unfair competitive advantage, contractors that develop or draft specifications, requirements, statements of work, or invitations for bids or requests for proposals must be excluded from competing for such procurements. Condition: During our testing, it was noted that the District did not retain quotes or document its considerations of open competition for two procurements over the micro-purchase threshold before the related contract was awarded. Questioned Costs: None Context: Of a sample of 3 vendors tested for cost analysis in line with the procurement standard requirement, there were no documented cases of the district properly following procurement guidelines. Cause: The District did not have the controls and procedures in place to ensure the proper documentation of its procurement and open competitions considerations related to the underlying procurements. Effect: A lack of proper documentation could lead to using vendors for small purchase acquisitions without ensuring comparable pricing from other vendors and justifying costs. Repeat Finding: No Recommendation: It is recommended that the District creates some sort of standard procedure or form that indicates what method is being used to track all procured items over the micro-purchase threshold ($10,000) to help formally document of how open competition is being assessed and then retain documentation of any quotes, bids or direct negotiation procedures completed. Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-001 Type of Finding: Material weakness in internal control over and compliance with suspension and debarment Federal Agency: U.S. Department of Agriculture and U.S. Department of Treasury Federal Program Title: Child Nutrition Cluster and State and Local Fiscal Recovery Funds Assistance Listing Number: 10.553, 10.555, 10.559, and 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: 1-0077-000 Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: When a non-Federal entity enters into a covered transaction with an entity at a lower tier, the non-Federal entity must verify that the entity, as defined in 2 CFR section 180.995 and agency adopting regulations, is not suspended or debarred or otherwise excluded from participating in the transaction. This verification may be accomplished by: 1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA); 2) collecting a certification from the entity; or 3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Condition: The District did not retain formal documentation of its testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Questioned Costs: None Context: None of the 8 contracts tested included formal documentation of the District?s testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Cause: District has been unaware of formal documentation suspension and debarment requirements on a District-wide basis for any contract or procurement with all or part of the contract coded to the Food Service Fund. Effect: Lack of proper procedures and controls related to the suspension and debarment could result in improper contracts with suspended or debarred vendors being paid with federal funds. Repeat Finding: No Recommendation: We recommend that the District reviews its related policies and procedures to ensure it is retaining documentation showing that the District crosschecked the vendors with procurements over the threshold of $25,000 at the time of procurement, which could be accomplished by (1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA), (2) collecting a certification from the entity, or (3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-002 Type of Finding: Material weakness in internal control over procurement Federal Agency: U.S. Department of Treasury Federal Program Title: State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: Not available Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: ?200.319 requires that all procurement transactions must be conducted in a manner providing full and open competition consistent with the standards of this section. In order to ensure objective contractor performance and eliminate unfair competitive advantage, contractors that develop or draft specifications, requirements, statements of work, or invitations for bids or requests for proposals must be excluded from competing for such procurements. Condition: During our testing, it was noted that the District did not retain quotes or document its considerations of open competition for two procurements over the micro-purchase threshold before the related contract was awarded. Questioned Costs: None Context: Of a sample of 3 vendors tested for cost analysis in line with the procurement standard requirement, there were no documented cases of the district properly following procurement guidelines. Cause: The District did not have the controls and procedures in place to ensure the proper documentation of its procurement and open competitions considerations related to the underlying procurements. Effect: A lack of proper documentation could lead to using vendors for small purchase acquisitions without ensuring comparable pricing from other vendors and justifying costs. Repeat Finding: No Recommendation: It is recommended that the District creates some sort of standard procedure or form that indicates what method is being used to track all procured items over the micro-purchase threshold ($10,000) to help formally document of how open competition is being assessed and then retain documentation of any quotes, bids or direct negotiation procedures completed. Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-001 Type of Finding: Material weakness in internal control over and compliance with suspension and debarment Federal Agency: U.S. Department of Agriculture and U.S. Department of Treasury Federal Program Title: Child Nutrition Cluster and State and Local Fiscal Recovery Funds Assistance Listing Number: 10.553, 10.555, 10.559, and 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: 1-0077-000 Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: When a non-Federal entity enters into a covered transaction with an entity at a lower tier, the non-Federal entity must verify that the entity, as defined in 2 CFR section 180.995 and agency adopting regulations, is not suspended or debarred or otherwise excluded from participating in the transaction. This verification may be accomplished by: 1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA); 2) collecting a certification from the entity; or 3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Condition: The District did not retain formal documentation of its testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Questioned Costs: None Context: None of the 8 contracts tested included formal documentation of the District?s testing and controls to ensure that all vendors over the $25,000 contract threshold on a District-wide basis were not suspended or debarred prior to awarding the related contracts. Cause: District has been unaware of formal documentation suspension and debarment requirements on a District-wide basis for any contract or procurement with all or part of the contract coded to the Food Service Fund. Effect: Lack of proper procedures and controls related to the suspension and debarment could result in improper contracts with suspended or debarred vendors being paid with federal funds. Repeat Finding: No Recommendation: We recommend that the District reviews its related policies and procedures to ensure it is retaining documentation showing that the District crosschecked the vendors with procurements over the threshold of $25,000 at the time of procurement, which could be accomplished by (1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA), (2) collecting a certification from the entity, or (3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Views of responsible officials: There is no disagreement with the audit finding.
FINDING: 2022-002 Type of Finding: Material weakness in internal control over procurement Federal Agency: U.S. Department of Treasury Federal Program Title: State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Pass-Through Agency: Minnesota Department of Education Pass-Through Number: Not available Award Period: Year ended June 30, 2022 Criteria or Specific Requirement: ?200.319 requires that all procurement transactions must be conducted in a manner providing full and open competition consistent with the standards of this section. In order to ensure objective contractor performance and eliminate unfair competitive advantage, contractors that develop or draft specifications, requirements, statements of work, or invitations for bids or requests for proposals must be excluded from competing for such procurements. Condition: During our testing, it was noted that the District did not retain quotes or document its considerations of open competition for two procurements over the micro-purchase threshold before the related contract was awarded. Questioned Costs: None Context: Of a sample of 3 vendors tested for cost analysis in line with the procurement standard requirement, there were no documented cases of the district properly following procurement guidelines. Cause: The District did not have the controls and procedures in place to ensure the proper documentation of its procurement and open competitions considerations related to the underlying procurements. Effect: A lack of proper documentation could lead to using vendors for small purchase acquisitions without ensuring comparable pricing from other vendors and justifying costs. Repeat Finding: No Recommendation: It is recommended that the District creates some sort of standard procedure or form that indicates what method is being used to track all procured items over the micro-purchase threshold ($10,000) to help formally document of how open competition is being assessed and then retain documentation of any quotes, bids or direct negotiation procedures completed. Views of responsible officials: There is no disagreement with the audit finding.