Audit 365185

Finding 2024-001 Procurement and Suspension and Debarment AL # 21.027 Coronavirus State and Local Fiscal Recovery Funds Criteria: In accordance with 31 CFR section 19.300, the Borough is required to perform procedures to ensure that contractors are neither suspended nor debarred prior to entering into a contract to procure goods and services. This may be accomplished by checking the System for Award Management Exclusions, collecting a certification from the entity, or adding a clause or condition to the contract with the entity. Condition: As a result of our testing, we noted that the Borough entered into a contract without performing procedures to ensure that the entity was not suspended or debarred. Cause: The Borough does not have adequate procedures in place to ensure compliance with Federal Procurement and Suspension and Debarment compliance requirements. Effect: Adequate internal controls are not in place over Federal Procurement and Suspension and Debarment compliance requirements. Questioned Costs: None. Recommendation: Procedures should be implemented to ensure that contractors are neither suspended nor debarred prior to entering into a contract. Borough’s Response: The Borough has updated its procurement procedures to ensure that a provider is neither suspended nor debarred prior to entering into a contract. The Borough will ensure that all required components are included within the contract and will verify that the provider is in good standing by checking the System for Award Management Exclusions.

Finding 2024-001 Procurement and Suspension and Debarment AL # 21.027 Coronavirus State and Local Fiscal Recovery Funds Criteria: In accordance with 31 CFR section 19.300, the Borough is required to perform procedures to ensure that contractors are neither suspended nor debarred prior to entering into a contract to procure goods and services. This may be accomplished by checking the System for Award Management Exclusions, collecting a certification from the entity, or adding a clause or condition to the contract with the entity. Condition: As a result of our testing, we noted that the Borough entered into a contract without performing procedures to ensure that the entity was not suspended or debarred. Cause: The Borough does not have adequate procedures in place to ensure compliance with Federal Procurement and Suspension and Debarment compliance requirements. Effect: Adequate internal controls are not in place over Federal Procurement and Suspension and Debarment compliance requirements. Questioned Costs: None. Recommendation: Procedures should be implemented to ensure that contractors are neither suspended nor debarred prior to entering into a contract. Borough’s Response: The Borough has updated its procurement procedures to ensure that a provider is neither suspended nor debarred prior to entering into a contract. The Borough will ensure that all required components are included within the contract and will verify that the provider is in good standing by checking the System for Award Management Exclusions.