Audit 388329

Federal Program Name: Full-Service Community Schools Program Federal Agency: U.S. Department of Education Federal Assistance Listing Title and Number: Full-Service Community Schools Program, 84.215J Award Year: July 1, 2024 – June 30, 2025 Criteria or Specific Requirement: Procurement, suspension and debarment Condition: The University did not comply with the federal procurement, suspension, and debarment requirements (Material Weakness and Material Noncompliance) Questioned Costs: $210,000, calculated as costs identified in our sample that were not expended in accordance with the applicable procurement, suspension, and debarment requirements. Context: During testing of compliance with the procurement, suspension and debarment compliance requirements, the one item selected for testing resulted in an error. From a population of two vendors with a total of $224,880, a sample of one vendor valued at $210,000 was selected for testing. This selection did not apply the applicable procurement, suspension, and debarment requirements in identifying and selecting a vendor. Our sample was not, and was not intended to be, statistically valid. Effect: Services were procured without applying the appropriate compliance guidelines. Cause: While the University has a draft procurement policy, it is not necessarily compliant with federal regulations and was not consistently applied to acquisitions funded by the grant. Repeat Finding: No Recommendation: We recommend the University update and finalize the procurement policies to comply with federal requirements and ensure the updated policies are followed when acquiring goods and services using federal funds. Views of Responsible Officials and Planned Corrective Action: See corrective action plan prepared by management.