Audit 395879

SIGNIFICANT DEFICIENCIES 2024-001 - Procurement and Suspension and Debarment Federal Program Information: United States Department of Agriculture ALN - 10.760 - Water and Waste Disposal Systems for Rural Communities Criteria: The following CFR applies to this finding: 2 CFR §200.318(a) Condition: During our testing we reviewed the procurement policy for the Town and identified multiple provisions required were not included in the policy. Cause: The control lapse occurred because there was turnover in key positions and the policy has not been reviewed. Effect: Procurement activities conducted under this incomplete policy may not adhere to required federal standards, increasing the risk of noncompliance, unallowable costs, or procurement practices that do not ensure fair and open competition. Identification of Questioned Costs: None identified. Context: The procurement policy in effect during the fiscal year was reviewed. Repeat Finding: This is not a repeat finding. Recommendation: We recommend the Town revise its procurement policy to fully incorporate all elements required by 2 CFR §§200.317-200.327. Additionally, we suggest that the Town implement a regular policy review process to ensure continued compliance with federal regulations. Views of Responsible Officials and Corrective Action Plan: Please see the Corrective Action Plan issued by the Town Manager of the Town of Bridgton.