FAC Explorer

Audit 327088

FY End
2024-06-30
Total Expended
$67.86M
Findings
4
Programs
2
Organization: Narragansett Bay Commission (RI)
Year: 2024 Accepted: 2024-11-04
Auditor: Bacon & Company CPAS LLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
504522 2024-001 Significant Deficiency Yes I
504523 2024-001 Significant Deficiency Yes I
1080964 2024-001 Significant Deficiency Yes I
1080965 2024-001 Significant Deficiency Yes I

Programs

ALN Program Spent Major Findings
66.458 Clean Water State Revolving Fund $13.31M Yes 0
66.958 Water Infrastructure Finance and Innovation (wifia) $2.41M Yes 1

Contacts

Name Title Type
R2MVTJWMR833 Leah Foster Auditee
4014618848 Patricia Boucher Auditor
No contacts on file

Notes to SEFA

Title: Note 1 Basis of Presentation Accounting Policies: Note 1 and Note 2 De Minimis Rate Used: N Rate Explanation: Elected not to use the de mimimis indirect cost rate The accompanying Schedule of Expenditures of Federal Awards (the “Schedule”) includes the federal award activity of the Narragansett Bay Commission under programs of the federal government for the fiscal year ended June 30, 2024. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the Narragansett Bay Commission, it is not intended to and does not present the financial position, changes in financial position, or cash flows of the Narragansett Bay Commission.
Title: Note 2 Summary of Significant Accounting Policies Accounting Policies: Note 1 and Note 2 De Minimis Rate Used: N Rate Explanation: Elected not to use the de mimimis indirect cost rate Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years.

Finding Details

Finding 2024-001
Criteria – When procuring and executing contracts for WIFIA funded projects, procurement documents and contracts must include language to ensure compliance with federal requirements. Condition – During our test of controls and compliance with procurement requirements, we noted the following: • Eight professional service contracts and related contract amendments did not include all the applicable language to ensure compliance with federal WIFIA requirements. Specifically, language related to federal lobbying restrictions was not included in the contracts and related amendments. • One construction contract did not include the required language to ensure compliance with federal WIFIA requirements. • Certain construction contracts tested included an older version of the WIFIA Borrower’s Guide to Federal Requirements Appendix, which outlines the Specification Package and Bid Contract Language. Cause – • NBC was not aware that certain language was required to be included in professional service contracts. • NBC did not adhere to established policies and procedures. • NBC had not updated the construction contracts to include the most current WIFIA contract language. Effect - NBC did not include in all the contract procurement documents selected for testing the required language to ensure compliance with federal program requirements. Questioned Costs – None. Recommendation – We recommend that NBC follow established procedures for all WIFIA funded contracts to ensure compliance with procurement requirements. The procedures should ensure that the applicable language related to compliance with federal program requirements is included in the contracts and procurement documents. We also recommend that NBC confirm that the most current WIFIA guidance is utilized when preparing WIFIA funded contracts and procurement documents. Corrective Action Plan/Auditee Views –- NBC will implement procedures for all WIFIA funded contracts to ensure compliance with applicable procurement requirements. Specifically, the procedures will ensure that the applicable language related to compliance with federal program requirements is included in the contracts and procurement documents. NBC will also confirm that the most current WIFIA guidance is utilized when preparing WIFIA funded contracts and procurement documents moving forward. NBC will also amend previously executed, but still active, professional service contracts to include the required contract language. Anticipated Completion Date – March 30, 2025 Contact Person - David Bowen, Director of Construction and Engineering
Finding 2024-001
Criteria – When procuring and executing contracts for WIFIA funded projects, procurement documents and contracts must include language to ensure compliance with federal requirements. Condition – During our test of controls and compliance with procurement requirements, we noted the following: • Eight professional service contracts and related contract amendments did not include all the applicable language to ensure compliance with federal WIFIA requirements. Specifically, language related to federal lobbying restrictions was not included in the contracts and related amendments. • One construction contract did not include the required language to ensure compliance with federal WIFIA requirements. • Certain construction contracts tested included an older version of the WIFIA Borrower’s Guide to Federal Requirements Appendix, which outlines the Specification Package and Bid Contract Language. Cause – • NBC was not aware that certain language was required to be included in professional service contracts. • NBC did not adhere to established policies and procedures. • NBC had not updated the construction contracts to include the most current WIFIA contract language. Effect - NBC did not include in all the contract procurement documents selected for testing the required language to ensure compliance with federal program requirements. Questioned Costs – None. Recommendation – We recommend that NBC follow established procedures for all WIFIA funded contracts to ensure compliance with procurement requirements. The procedures should ensure that the applicable language related to compliance with federal program requirements is included in the contracts and procurement documents. We also recommend that NBC confirm that the most current WIFIA guidance is utilized when preparing WIFIA funded contracts and procurement documents. Corrective Action Plan/Auditee Views –- NBC will implement procedures for all WIFIA funded contracts to ensure compliance with applicable procurement requirements. Specifically, the procedures will ensure that the applicable language related to compliance with federal program requirements is included in the contracts and procurement documents. NBC will also confirm that the most current WIFIA guidance is utilized when preparing WIFIA funded contracts and procurement documents moving forward. NBC will also amend previously executed, but still active, professional service contracts to include the required contract language. Anticipated Completion Date – March 30, 2025 Contact Person - David Bowen, Director of Construction and Engineering
Finding 2024-001
Criteria – When procuring and executing contracts for WIFIA funded projects, procurement documents and contracts must include language to ensure compliance with federal requirements. Condition – During our test of controls and compliance with procurement requirements, we noted the following: • Eight professional service contracts and related contract amendments did not include all the applicable language to ensure compliance with federal WIFIA requirements. Specifically, language related to federal lobbying restrictions was not included in the contracts and related amendments. • One construction contract did not include the required language to ensure compliance with federal WIFIA requirements. • Certain construction contracts tested included an older version of the WIFIA Borrower’s Guide to Federal Requirements Appendix, which outlines the Specification Package and Bid Contract Language. Cause – • NBC was not aware that certain language was required to be included in professional service contracts. • NBC did not adhere to established policies and procedures. • NBC had not updated the construction contracts to include the most current WIFIA contract language. Effect - NBC did not include in all the contract procurement documents selected for testing the required language to ensure compliance with federal program requirements. Questioned Costs – None. Recommendation – We recommend that NBC follow established procedures for all WIFIA funded contracts to ensure compliance with procurement requirements. The procedures should ensure that the applicable language related to compliance with federal program requirements is included in the contracts and procurement documents. We also recommend that NBC confirm that the most current WIFIA guidance is utilized when preparing WIFIA funded contracts and procurement documents. Corrective Action Plan/Auditee Views –- NBC will implement procedures for all WIFIA funded contracts to ensure compliance with applicable procurement requirements. Specifically, the procedures will ensure that the applicable language related to compliance with federal program requirements is included in the contracts and procurement documents. NBC will also confirm that the most current WIFIA guidance is utilized when preparing WIFIA funded contracts and procurement documents moving forward. NBC will also amend previously executed, but still active, professional service contracts to include the required contract language. Anticipated Completion Date – March 30, 2025 Contact Person - David Bowen, Director of Construction and Engineering
Finding 2024-001
Criteria – When procuring and executing contracts for WIFIA funded projects, procurement documents and contracts must include language to ensure compliance with federal requirements. Condition – During our test of controls and compliance with procurement requirements, we noted the following: • Eight professional service contracts and related contract amendments did not include all the applicable language to ensure compliance with federal WIFIA requirements. Specifically, language related to federal lobbying restrictions was not included in the contracts and related amendments. • One construction contract did not include the required language to ensure compliance with federal WIFIA requirements. • Certain construction contracts tested included an older version of the WIFIA Borrower’s Guide to Federal Requirements Appendix, which outlines the Specification Package and Bid Contract Language. Cause – • NBC was not aware that certain language was required to be included in professional service contracts. • NBC did not adhere to established policies and procedures. • NBC had not updated the construction contracts to include the most current WIFIA contract language. Effect - NBC did not include in all the contract procurement documents selected for testing the required language to ensure compliance with federal program requirements. Questioned Costs – None. Recommendation – We recommend that NBC follow established procedures for all WIFIA funded contracts to ensure compliance with procurement requirements. The procedures should ensure that the applicable language related to compliance with federal program requirements is included in the contracts and procurement documents. We also recommend that NBC confirm that the most current WIFIA guidance is utilized when preparing WIFIA funded contracts and procurement documents. Corrective Action Plan/Auditee Views –- NBC will implement procedures for all WIFIA funded contracts to ensure compliance with applicable procurement requirements. Specifically, the procedures will ensure that the applicable language related to compliance with federal program requirements is included in the contracts and procurement documents. NBC will also confirm that the most current WIFIA guidance is utilized when preparing WIFIA funded contracts and procurement documents moving forward. NBC will also amend previously executed, but still active, professional service contracts to include the required contract language. Anticipated Completion Date – March 30, 2025 Contact Person - David Bowen, Director of Construction and Engineering