Audit 401468

Title 2 U.S. Code of Federal Regulations, Part 200.318, of the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires non-Federal entities to have and use its own documented procurement procedures which reflect State and local laws and regulations provided that the procurements conform to applicable Federal law and the standards identified under the Uniform Guidance. Board policy 3.10 provides that the Baldwin County Board of Education will comply with all requirments for the receipt of federal funds. Further, the Code of Alabama 1975, Section 16-13B-1(a), requires all expenditures of funds of whatever nature for labor, services, work, or for the purchase of materials, equipment, supplies, or other personal property involving $40,000.00 or more, made by or on behalf of any city or county board of educaiton to be made under contractual agreement entered into by free and open competitive bidding, on sealed bids, to the lowest responsible bidder. The Baldwin County Board of Education (the "Board") entered into a contract in fiscal year 2025 for grease trap services totaling $73,170.75 that were paid with Child Nutrition Cluster funds. The Board failed to follow its established policies regarding compliance with the requirments for receipt of federal funds. As a result, the Board did not comply with the Code of Albama 1975, Section 16-13B-1(a) or Uniform Guidance procurement requirments for these purchases.