Audit 363546

Criteria or specific requirement: Per 2 CFR 200 Appendix II (H) Debarment and Suspension (Executive Orders 12549 and 12689)—A contract award (see 2 CFR 180.220) must not be made to parties listed on the governmentwide exclusions in the System for Award Management (SAM), in accordance with the OMB guidelines at 2 CFR 180 that implement Executive Orders 12549 (3 CFR part 1986 Comp., p. 189) and 12689 (3 CFR part 1989 Comp., p. 235), “Debarment and Suspension.” SAM Exclusions contains the names of parties debarred, suspended, or otherwise excluded by agencies, as well as parties declared ineligible under statutory or regulatory authority other than Executive Order 12549. Condition: During our testing, we noted that management’s review of contracts did not include a review to ensure that the party was not debarred, suspended or otherwise excluded. Questioned costs: None. Context: Audit procedures included a review of the three agreements during the year ended June 30, 2024, which represented the entire population. For all of the items reviewed management did not obtain verification that the party was not debarred, suspended or otherwise excluded, prior to entering into the transactions. However, upon subsequent review, no parties were determined the be debarred, suspended or otherwise excluded. Cause: The County’s procurement process did not include a requirement that required a verification of debarred or suspended status. Effect: Amounts could be paid to parties that are debarred, suspended or otherwise excluded. Repeat Finding: Yes Recommendation: We recommend that management enhance the procurement controls to ensure that all required parties are reviewed for suspension and debarment prior to entering the transaction. Views of responsible officials: The County agrees with the findings. Corrective action plan: The County has developed a formal policy, which has been distributed to all departments. The policy is scheduled to take effect in Fiscal Year 2024–2025.

Criteria or specific requirement: Per 2 CFR 200 Appendix II (H) Debarment and Suspension (Executive Orders 12549 and 12689)—A contract award (see 2 CFR 180.220) must not be made to parties listed on the governmentwide exclusions in the System for Award Management (SAM), in accordance with the OMB guidelines at 2 CFR 180 that implement Executive Orders 12549 (3 CFR part 1986 Comp., p. 189) and 12689 (3 CFR part 1989 Comp., p. 235), “Debarment and Suspension.” SAM Exclusions contains the names of parties debarred, suspended, or otherwise excluded by agencies, as well as parties declared ineligible under statutory or regulatory authority other than Executive Order 12549. Condition: During our testing, we noted that management’s review of contracts did not include a review to ensure that the party was not debarred, suspended or otherwise excluded. Questioned costs: None. Context: Audit procedures included a review of the three agreements during the year ended June 30, 2024, which represented the entire population. For all of the items reviewed management did not obtain verification that the party was not debarred, suspended or otherwise excluded, prior to entering into the transactions. However, upon subsequent review, no parties were determined the be debarred, suspended or otherwise excluded. Cause: The County’s procurement process did not include a requirement that required a verification of debarred or suspended status. Effect: Amounts could be paid to parties that are debarred, suspended or otherwise excluded. Repeat Finding: Yes Recommendation: We recommend that management enhance the procurement controls to ensure that all required parties are reviewed for suspension and debarment prior to entering the transaction. Views of responsible officials: The County agrees with the findings. Corrective action plan: The County has developed a formal policy, which has been distributed to all departments. The policy is scheduled to take effect in Fiscal Year 2024–2025.