Audit 367557

Finding 2024-001: Procurement, Suspension, and Debarment Epidemiology Lab Capacity – 93.323 Criteria: Pursuant to 2 CFR § 200.214, the entity must verify that potential vendors are not excluded or disqualified before forming a contract regarding a covered transaction in accordance with the Federal statutes, regulations, and the terms and conditions of the Federal award. Condition: As a result of our testing of Procurement, Suspension, and Debarment, we noted that the County did not have sufficient audit evidence to demonstrate the suspension and debarment of the vendors were reviewed prior to a contract for two of the contracts selected. Cause: Due to staff oversight, the vendors were not evaluated for suspension or disbarment. Effect: The County is not in compliance with the Procurement, Suspension, and Debarment requirements and internal controls are not functioning as designed. Questioned Costs: The amount of questioned costs, if any, is indeterminable. Recommendation: The County should review policies in place over Procurement, Suspension, and Debarment and establish procedures to identify clear roles for the review of vendors prior to a contract. Management’s Response: Management concurs. While steps were taken by the Architect to ascertain the Contractor's qualifications, the County will ensure contract language includes attestation by vendors of debarment status. Project managers will be required to perform debarment checks through SAM.gov.