Audit 371593

2024-001 U.S. Department of the Treasury Passed-through Bristol County, Massachusetts COVID-19 – Coronavirus State and Local Fiscal Recovery Funds – ALN 21.027 Criteria: Per 2 CFR section 200.319, procurements must provide for full and open competition. Condition: The Town’s procurement files did not contain documentation regarding competitive procurement procedures for one contract. The Town, through the Raynham Center Water District, awarded a contract for final design services for two water treatment plants to a vendor that had previously provided preliminary evaluations for the plants, without performing competitive procurement procedures. Context: Procurement was not documented for one of the four contracts selected. The sample was not a statistically valid sample. Cause: The Town did not follow its established policy regarding federal procurement as the Town relied on State procurement exemptions which do not apply to this award. Effect: The Town charged $425,000 to the grant award from this contract that did not adhere to federal procurement requirements which could result in unallowable costs. Questioned Costs: Not determined, as the Town has not performed a cost analysis of the contract. Repeat Finding from Prior Year: No. Recommendation: The Town should adhere to its grant award procedures to perform competitive procurement procedures on all applicable contracts for goods and services charged to Federal awards. The Town should also complete a cost analysis to justify the amount charged to the award and adjust costs if necessary. Alternatively, the Town could contact the pass-through agency to re-allocate these expenditures to other properly procured and obligated project expenditures. Views of Responsible Official: Management agrees with the finding.