Audit 368878

Federal Program Name: Coronavirus State and Local Fiscal Recovery Funds Federal Agency: Department of Treasury Federal Assistance Listing Number: Number 21.027 Criteria: Procurement, suspension and debarment – CFR Part 180.300 states, “when you enter into a covered transaction with another person at the next lower tier, you must verify that the person with whom you intend to do business is not excluded or disqualified.” Condition: An effective internal control system was not in place at the County to ensure compliance with federal requirements related to suspension and debarment compliance requirements. Questioned Costs: None noted. Context: The County entered into contracts with vendors that were reimbursed through funds granted under the Coronavirus State and Local Fiscal Recover Funds program. The County failed to retain documentation of the verification of suspension or disbarment to document that a covered transaction was not entered into with a suspended or debarred entity. Effect or Potential Effect: Goods or services were procured without retaining documentation that appropriate compliance guidelines were followed. Cause: The County’s internal controls did not require retention of suspension and debarment checks being performed. Recommendation: Management should perform a review to ensure controls are put into place and followed and documented for all applicable vendors and that documentation is retained to show the necessary suspension and debarment checks are completed. Views of Responsible Officials and Planned Corrective Actions: For the views of responsible officials, refer to the Corrective Action Plan.