2025-001 Suspension and Debarment Federal agency: U.S. Department of Health and Human Services Federal program title: Maternal, Infant and Early Childhood Home Visiting Grant Program Congressional Directives Grant Program Assistance Listing Numbers: 93.870/93.493 Award Period: July 1, 2024 – June 30, 2026 September 30, 2023 – September 29, 2026 Type of Finding: • Significant Deficiency in Internal Control over Compliance • Other Matters Criteria: 2 CFR Part 180.220, states that recipients of federal funds are prohibited from contracting with or making sub awards under covered transactions to parties that are suspended or debarred. “Covered transactions” include those procurement contracts for goods and services awarded that are expected to equal or exceed $25,000 or meet certain other criteria. Condition: The Village for Families & Children, Inc. and Subsidiaries did not retain documented support of their review of the System for Award Management website demonstrating that they confirmed a vendor was not suspended or debarred prior to entering a covered transaction arrangement with them. Questioned costs: None. Cause: The internal control framework does not mandate that employees maintain documentation of the procedures used to verify a vendor’s suspension or debarment status before entering into a covered transaction. Effect: Noncompliance with the federal award programs’ suspension and debarment compliance requirements could occur and not be detected and corrected timely. Repeat Finding: No Recommendation: Develop and implement an internal control framework that ensures retention of evidence documenting the procedures performed to verify that vendors are not suspended, debarred, or otherwise excluded from conducting business before The Village for Families & Children, Inc. and Subsidiaries procuring their services. Program management should either obtain certifications from applicable vendors or maintain sufficient documentation of their review of the System for Award Management (SAM) website. Views of Responsible Officials of the Auditee: There is no disagreement with the audit finding.