Audit 53455

FY End
2022-06-30
Total Expended
$1.83M
Findings
14
Programs
4
Organization: Houston Recovery Center, Lgc (TX)
Year: 2022 Accepted: 2022-10-23

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
58129 2022-001 Significant Deficiency - I
58130 2022-001 Significant Deficiency - I
58131 2022-001 Significant Deficiency - I
58132 2022-001 Significant Deficiency - I
58133 2022-001 Significant Deficiency - I
58134 2022-001 Significant Deficiency - I
58135 2022-001 Significant Deficiency - I
634571 2022-001 Significant Deficiency - I
634572 2022-001 Significant Deficiency - I
634573 2022-001 Significant Deficiency - I
634574 2022-001 Significant Deficiency - I
634575 2022-001 Significant Deficiency - I
634576 2022-001 Significant Deficiency - I
634577 2022-001 Significant Deficiency - I

Contacts

Name Title Type
QF3FX66CEA81 Leonard Kincaid Auditee
7132367802 Tami Preece Auditor
No contacts on file

Notes to SEFA

Accounting Policies: Basis of presentation The schedule of expenditures of federal awards (the schedule) is prepared on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of Title 2 U. S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Federal expenditures include allowable costs funded by federal grants. Allowable costs are subject to the cost principles of the Uniform Guidance, and include costs that are recognized as expenses in Houston Recovery Centers financial statements in conformity with generally accepted accounting principles. Houston Recovery Center has elected not to use the 10% de minimus rate for indirect costs. Additionally, Houston Recovery Center does not have subrecipients.Because the schedule presents only a selected portion of the operations of Houston Recovery Center, it is not intended to and does not present the net position or the changes in net position of Houston Recovery Center. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.

Finding Details

Finding #2022-001 ? Significant Deficiency and Other Noncompliance Applicable federal programs: U. S. Department of Health and Human Services: Assistance Listing #93.243 Substance Abuse and Mental Health Services Projects of Regional and National Significance Contract #5H79TI080624-03 Contract year: 09/30/20 ? 09/29/21 Contract #5H79TI080624-04 Contract year: 09/30/21 ? 09/29/22 Passed through the City of Houston Health Department Contract #H79SP080300 Contract years: 06/09/21 ? 06/08/23, 11/01/20 ? 10/31/21 and 11/01/21 ? 10/31/22 Assistance Listing #93.788 Opioid STR Passed through the Texas Health and Human Services Commission Contract #HHS000357900001 Contract years: 10/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Passed through the University of Texas Health Science Center, McGovern Medical School Contract #HHS000114600001 Contract year: 09/30/20 ? 08/31/21 Contract #HHS000508700003 Contract year: 10/01/20 ? 09/30/21 Passed through the University of Texas Health Science Center, San Antonio Contract #HHS000561800001 Contract years: 01/27/21 ? 08/31/21 and 09/01/21 ? 08/31/22 Assistance Listing #93.855 Allergy and Infectious Diseases Research Passed through the University of Texas Health Science Center, Houston Contract #UM1A1068619 Contract year: 01/04/21 ? 01/02/22 Assistance Listing #93.959 Block Grants for Prevention and Treatment of Substance Abuse Passed through the Texas Health and Human Services Commission Contract #HHS000130500019 Contract years: 09/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Criteria: Procurement ? Houston Recovery Center is responsible for having an internal control system in place to ensure expenditures are procured in accordance with its procurement policy and that its procurement policy includes all of the provisions required by the Uniform Guidance ?200.318. Condition and context: Houston Recovery Center adopted a procurement policy in the prior year. The policy requires three quotes for annual purchases greater than $10,000 but does not include formal procurement methods for expenditures that exceed the simplified acquisition threshold of $250,000. The policy also has no provision requiring determination of suspension or debarment of vendors as required by the Uniform Guidance. In fiscal year 2022, Houston Recovery Center had one annual federal expenditure that met or exceeded the simplified acquisition threshold. The expenditure was procured through a formal bid process despite their policy not requiring the formal procurement method. Questioned costs: Unknown Cause: The finding occurred as a result of Houston Recovery Center adopting a policy that did not fully comply with the provisions of ?200.318 of the Uniform Guidance. Effect: Failure to have a procurement policy that fully complies with the provisions of the Uniform Guidance could result in the purchase of goods or services at a cost greater than the amount required if competitive procedures had been utilized or contracting with suspended or debarred organizations. Recommendation: Modify Houston Recovery Center?s procurement policy to include all provisions and meet all the standards of ?200.318 of the Uniform Guidance. Provide procurement training to those with purchasing responsibilities. Views of responsible officials and planned corrective actions: Management agrees with the finding. See Corrective Action Plan.
Finding #2022-001 ? Significant Deficiency and Other Noncompliance Applicable federal programs: U. S. Department of Health and Human Services: Assistance Listing #93.243 Substance Abuse and Mental Health Services Projects of Regional and National Significance Contract #5H79TI080624-03 Contract year: 09/30/20 ? 09/29/21 Contract #5H79TI080624-04 Contract year: 09/30/21 ? 09/29/22 Passed through the City of Houston Health Department Contract #H79SP080300 Contract years: 06/09/21 ? 06/08/23, 11/01/20 ? 10/31/21 and 11/01/21 ? 10/31/22 Assistance Listing #93.788 Opioid STR Passed through the Texas Health and Human Services Commission Contract #HHS000357900001 Contract years: 10/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Passed through the University of Texas Health Science Center, McGovern Medical School Contract #HHS000114600001 Contract year: 09/30/20 ? 08/31/21 Contract #HHS000508700003 Contract year: 10/01/20 ? 09/30/21 Passed through the University of Texas Health Science Center, San Antonio Contract #HHS000561800001 Contract years: 01/27/21 ? 08/31/21 and 09/01/21 ? 08/31/22 Assistance Listing #93.855 Allergy and Infectious Diseases Research Passed through the University of Texas Health Science Center, Houston Contract #UM1A1068619 Contract year: 01/04/21 ? 01/02/22 Assistance Listing #93.959 Block Grants for Prevention and Treatment of Substance Abuse Passed through the Texas Health and Human Services Commission Contract #HHS000130500019 Contract years: 09/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Criteria: Procurement ? Houston Recovery Center is responsible for having an internal control system in place to ensure expenditures are procured in accordance with its procurement policy and that its procurement policy includes all of the provisions required by the Uniform Guidance ?200.318. Condition and context: Houston Recovery Center adopted a procurement policy in the prior year. The policy requires three quotes for annual purchases greater than $10,000 but does not include formal procurement methods for expenditures that exceed the simplified acquisition threshold of $250,000. The policy also has no provision requiring determination of suspension or debarment of vendors as required by the Uniform Guidance. In fiscal year 2022, Houston Recovery Center had one annual federal expenditure that met or exceeded the simplified acquisition threshold. The expenditure was procured through a formal bid process despite their policy not requiring the formal procurement method. Questioned costs: Unknown Cause: The finding occurred as a result of Houston Recovery Center adopting a policy that did not fully comply with the provisions of ?200.318 of the Uniform Guidance. Effect: Failure to have a procurement policy that fully complies with the provisions of the Uniform Guidance could result in the purchase of goods or services at a cost greater than the amount required if competitive procedures had been utilized or contracting with suspended or debarred organizations. Recommendation: Modify Houston Recovery Center?s procurement policy to include all provisions and meet all the standards of ?200.318 of the Uniform Guidance. Provide procurement training to those with purchasing responsibilities. Views of responsible officials and planned corrective actions: Management agrees with the finding. See Corrective Action Plan.
Finding #2022-001 ? Significant Deficiency and Other Noncompliance Applicable federal programs: U. S. Department of Health and Human Services: Assistance Listing #93.243 Substance Abuse and Mental Health Services Projects of Regional and National Significance Contract #5H79TI080624-03 Contract year: 09/30/20 ? 09/29/21 Contract #5H79TI080624-04 Contract year: 09/30/21 ? 09/29/22 Passed through the City of Houston Health Department Contract #H79SP080300 Contract years: 06/09/21 ? 06/08/23, 11/01/20 ? 10/31/21 and 11/01/21 ? 10/31/22 Assistance Listing #93.788 Opioid STR Passed through the Texas Health and Human Services Commission Contract #HHS000357900001 Contract years: 10/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Passed through the University of Texas Health Science Center, McGovern Medical School Contract #HHS000114600001 Contract year: 09/30/20 ? 08/31/21 Contract #HHS000508700003 Contract year: 10/01/20 ? 09/30/21 Passed through the University of Texas Health Science Center, San Antonio Contract #HHS000561800001 Contract years: 01/27/21 ? 08/31/21 and 09/01/21 ? 08/31/22 Assistance Listing #93.855 Allergy and Infectious Diseases Research Passed through the University of Texas Health Science Center, Houston Contract #UM1A1068619 Contract year: 01/04/21 ? 01/02/22 Assistance Listing #93.959 Block Grants for Prevention and Treatment of Substance Abuse Passed through the Texas Health and Human Services Commission Contract #HHS000130500019 Contract years: 09/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Criteria: Procurement ? Houston Recovery Center is responsible for having an internal control system in place to ensure expenditures are procured in accordance with its procurement policy and that its procurement policy includes all of the provisions required by the Uniform Guidance ?200.318. Condition and context: Houston Recovery Center adopted a procurement policy in the prior year. The policy requires three quotes for annual purchases greater than $10,000 but does not include formal procurement methods for expenditures that exceed the simplified acquisition threshold of $250,000. The policy also has no provision requiring determination of suspension or debarment of vendors as required by the Uniform Guidance. In fiscal year 2022, Houston Recovery Center had one annual federal expenditure that met or exceeded the simplified acquisition threshold. The expenditure was procured through a formal bid process despite their policy not requiring the formal procurement method. Questioned costs: Unknown Cause: The finding occurred as a result of Houston Recovery Center adopting a policy that did not fully comply with the provisions of ?200.318 of the Uniform Guidance. Effect: Failure to have a procurement policy that fully complies with the provisions of the Uniform Guidance could result in the purchase of goods or services at a cost greater than the amount required if competitive procedures had been utilized or contracting with suspended or debarred organizations. Recommendation: Modify Houston Recovery Center?s procurement policy to include all provisions and meet all the standards of ?200.318 of the Uniform Guidance. Provide procurement training to those with purchasing responsibilities. Views of responsible officials and planned corrective actions: Management agrees with the finding. See Corrective Action Plan.
Finding #2022-001 ? Significant Deficiency and Other Noncompliance Applicable federal programs: U. S. Department of Health and Human Services: Assistance Listing #93.243 Substance Abuse and Mental Health Services Projects of Regional and National Significance Contract #5H79TI080624-03 Contract year: 09/30/20 ? 09/29/21 Contract #5H79TI080624-04 Contract year: 09/30/21 ? 09/29/22 Passed through the City of Houston Health Department Contract #H79SP080300 Contract years: 06/09/21 ? 06/08/23, 11/01/20 ? 10/31/21 and 11/01/21 ? 10/31/22 Assistance Listing #93.788 Opioid STR Passed through the Texas Health and Human Services Commission Contract #HHS000357900001 Contract years: 10/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Passed through the University of Texas Health Science Center, McGovern Medical School Contract #HHS000114600001 Contract year: 09/30/20 ? 08/31/21 Contract #HHS000508700003 Contract year: 10/01/20 ? 09/30/21 Passed through the University of Texas Health Science Center, San Antonio Contract #HHS000561800001 Contract years: 01/27/21 ? 08/31/21 and 09/01/21 ? 08/31/22 Assistance Listing #93.855 Allergy and Infectious Diseases Research Passed through the University of Texas Health Science Center, Houston Contract #UM1A1068619 Contract year: 01/04/21 ? 01/02/22 Assistance Listing #93.959 Block Grants for Prevention and Treatment of Substance Abuse Passed through the Texas Health and Human Services Commission Contract #HHS000130500019 Contract years: 09/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Criteria: Procurement ? Houston Recovery Center is responsible for having an internal control system in place to ensure expenditures are procured in accordance with its procurement policy and that its procurement policy includes all of the provisions required by the Uniform Guidance ?200.318. Condition and context: Houston Recovery Center adopted a procurement policy in the prior year. The policy requires three quotes for annual purchases greater than $10,000 but does not include formal procurement methods for expenditures that exceed the simplified acquisition threshold of $250,000. The policy also has no provision requiring determination of suspension or debarment of vendors as required by the Uniform Guidance. In fiscal year 2022, Houston Recovery Center had one annual federal expenditure that met or exceeded the simplified acquisition threshold. The expenditure was procured through a formal bid process despite their policy not requiring the formal procurement method. Questioned costs: Unknown Cause: The finding occurred as a result of Houston Recovery Center adopting a policy that did not fully comply with the provisions of ?200.318 of the Uniform Guidance. Effect: Failure to have a procurement policy that fully complies with the provisions of the Uniform Guidance could result in the purchase of goods or services at a cost greater than the amount required if competitive procedures had been utilized or contracting with suspended or debarred organizations. Recommendation: Modify Houston Recovery Center?s procurement policy to include all provisions and meet all the standards of ?200.318 of the Uniform Guidance. Provide procurement training to those with purchasing responsibilities. Views of responsible officials and planned corrective actions: Management agrees with the finding. See Corrective Action Plan.
Finding #2022-001 ? Significant Deficiency and Other Noncompliance Applicable federal programs: U. S. Department of Health and Human Services: Assistance Listing #93.243 Substance Abuse and Mental Health Services Projects of Regional and National Significance Contract #5H79TI080624-03 Contract year: 09/30/20 ? 09/29/21 Contract #5H79TI080624-04 Contract year: 09/30/21 ? 09/29/22 Passed through the City of Houston Health Department Contract #H79SP080300 Contract years: 06/09/21 ? 06/08/23, 11/01/20 ? 10/31/21 and 11/01/21 ? 10/31/22 Assistance Listing #93.788 Opioid STR Passed through the Texas Health and Human Services Commission Contract #HHS000357900001 Contract years: 10/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Passed through the University of Texas Health Science Center, McGovern Medical School Contract #HHS000114600001 Contract year: 09/30/20 ? 08/31/21 Contract #HHS000508700003 Contract year: 10/01/20 ? 09/30/21 Passed through the University of Texas Health Science Center, San Antonio Contract #HHS000561800001 Contract years: 01/27/21 ? 08/31/21 and 09/01/21 ? 08/31/22 Assistance Listing #93.855 Allergy and Infectious Diseases Research Passed through the University of Texas Health Science Center, Houston Contract #UM1A1068619 Contract year: 01/04/21 ? 01/02/22 Assistance Listing #93.959 Block Grants for Prevention and Treatment of Substance Abuse Passed through the Texas Health and Human Services Commission Contract #HHS000130500019 Contract years: 09/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Criteria: Procurement ? Houston Recovery Center is responsible for having an internal control system in place to ensure expenditures are procured in accordance with its procurement policy and that its procurement policy includes all of the provisions required by the Uniform Guidance ?200.318. Condition and context: Houston Recovery Center adopted a procurement policy in the prior year. The policy requires three quotes for annual purchases greater than $10,000 but does not include formal procurement methods for expenditures that exceed the simplified acquisition threshold of $250,000. The policy also has no provision requiring determination of suspension or debarment of vendors as required by the Uniform Guidance. In fiscal year 2022, Houston Recovery Center had one annual federal expenditure that met or exceeded the simplified acquisition threshold. The expenditure was procured through a formal bid process despite their policy not requiring the formal procurement method. Questioned costs: Unknown Cause: The finding occurred as a result of Houston Recovery Center adopting a policy that did not fully comply with the provisions of ?200.318 of the Uniform Guidance. Effect: Failure to have a procurement policy that fully complies with the provisions of the Uniform Guidance could result in the purchase of goods or services at a cost greater than the amount required if competitive procedures had been utilized or contracting with suspended or debarred organizations. Recommendation: Modify Houston Recovery Center?s procurement policy to include all provisions and meet all the standards of ?200.318 of the Uniform Guidance. Provide procurement training to those with purchasing responsibilities. Views of responsible officials and planned corrective actions: Management agrees with the finding. See Corrective Action Plan.
Finding #2022-001 ? Significant Deficiency and Other Noncompliance Applicable federal programs: U. S. Department of Health and Human Services: Assistance Listing #93.243 Substance Abuse and Mental Health Services Projects of Regional and National Significance Contract #5H79TI080624-03 Contract year: 09/30/20 ? 09/29/21 Contract #5H79TI080624-04 Contract year: 09/30/21 ? 09/29/22 Passed through the City of Houston Health Department Contract #H79SP080300 Contract years: 06/09/21 ? 06/08/23, 11/01/20 ? 10/31/21 and 11/01/21 ? 10/31/22 Assistance Listing #93.788 Opioid STR Passed through the Texas Health and Human Services Commission Contract #HHS000357900001 Contract years: 10/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Passed through the University of Texas Health Science Center, McGovern Medical School Contract #HHS000114600001 Contract year: 09/30/20 ? 08/31/21 Contract #HHS000508700003 Contract year: 10/01/20 ? 09/30/21 Passed through the University of Texas Health Science Center, San Antonio Contract #HHS000561800001 Contract years: 01/27/21 ? 08/31/21 and 09/01/21 ? 08/31/22 Assistance Listing #93.855 Allergy and Infectious Diseases Research Passed through the University of Texas Health Science Center, Houston Contract #UM1A1068619 Contract year: 01/04/21 ? 01/02/22 Assistance Listing #93.959 Block Grants for Prevention and Treatment of Substance Abuse Passed through the Texas Health and Human Services Commission Contract #HHS000130500019 Contract years: 09/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Criteria: Procurement ? Houston Recovery Center is responsible for having an internal control system in place to ensure expenditures are procured in accordance with its procurement policy and that its procurement policy includes all of the provisions required by the Uniform Guidance ?200.318. Condition and context: Houston Recovery Center adopted a procurement policy in the prior year. The policy requires three quotes for annual purchases greater than $10,000 but does not include formal procurement methods for expenditures that exceed the simplified acquisition threshold of $250,000. The policy also has no provision requiring determination of suspension or debarment of vendors as required by the Uniform Guidance. In fiscal year 2022, Houston Recovery Center had one annual federal expenditure that met or exceeded the simplified acquisition threshold. The expenditure was procured through a formal bid process despite their policy not requiring the formal procurement method. Questioned costs: Unknown Cause: The finding occurred as a result of Houston Recovery Center adopting a policy that did not fully comply with the provisions of ?200.318 of the Uniform Guidance. Effect: Failure to have a procurement policy that fully complies with the provisions of the Uniform Guidance could result in the purchase of goods or services at a cost greater than the amount required if competitive procedures had been utilized or contracting with suspended or debarred organizations. Recommendation: Modify Houston Recovery Center?s procurement policy to include all provisions and meet all the standards of ?200.318 of the Uniform Guidance. Provide procurement training to those with purchasing responsibilities. Views of responsible officials and planned corrective actions: Management agrees with the finding. See Corrective Action Plan.
Finding #2022-001 ? Significant Deficiency and Other Noncompliance Applicable federal programs: U. S. Department of Health and Human Services: Assistance Listing #93.243 Substance Abuse and Mental Health Services Projects of Regional and National Significance Contract #5H79TI080624-03 Contract year: 09/30/20 ? 09/29/21 Contract #5H79TI080624-04 Contract year: 09/30/21 ? 09/29/22 Passed through the City of Houston Health Department Contract #H79SP080300 Contract years: 06/09/21 ? 06/08/23, 11/01/20 ? 10/31/21 and 11/01/21 ? 10/31/22 Assistance Listing #93.788 Opioid STR Passed through the Texas Health and Human Services Commission Contract #HHS000357900001 Contract years: 10/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Passed through the University of Texas Health Science Center, McGovern Medical School Contract #HHS000114600001 Contract year: 09/30/20 ? 08/31/21 Contract #HHS000508700003 Contract year: 10/01/20 ? 09/30/21 Passed through the University of Texas Health Science Center, San Antonio Contract #HHS000561800001 Contract years: 01/27/21 ? 08/31/21 and 09/01/21 ? 08/31/22 Assistance Listing #93.855 Allergy and Infectious Diseases Research Passed through the University of Texas Health Science Center, Houston Contract #UM1A1068619 Contract year: 01/04/21 ? 01/02/22 Assistance Listing #93.959 Block Grants for Prevention and Treatment of Substance Abuse Passed through the Texas Health and Human Services Commission Contract #HHS000130500019 Contract years: 09/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Criteria: Procurement ? Houston Recovery Center is responsible for having an internal control system in place to ensure expenditures are procured in accordance with its procurement policy and that its procurement policy includes all of the provisions required by the Uniform Guidance ?200.318. Condition and context: Houston Recovery Center adopted a procurement policy in the prior year. The policy requires three quotes for annual purchases greater than $10,000 but does not include formal procurement methods for expenditures that exceed the simplified acquisition threshold of $250,000. The policy also has no provision requiring determination of suspension or debarment of vendors as required by the Uniform Guidance. In fiscal year 2022, Houston Recovery Center had one annual federal expenditure that met or exceeded the simplified acquisition threshold. The expenditure was procured through a formal bid process despite their policy not requiring the formal procurement method. Questioned costs: Unknown Cause: The finding occurred as a result of Houston Recovery Center adopting a policy that did not fully comply with the provisions of ?200.318 of the Uniform Guidance. Effect: Failure to have a procurement policy that fully complies with the provisions of the Uniform Guidance could result in the purchase of goods or services at a cost greater than the amount required if competitive procedures had been utilized or contracting with suspended or debarred organizations. Recommendation: Modify Houston Recovery Center?s procurement policy to include all provisions and meet all the standards of ?200.318 of the Uniform Guidance. Provide procurement training to those with purchasing responsibilities. Views of responsible officials and planned corrective actions: Management agrees with the finding. See Corrective Action Plan.
Finding #2022-001 ? Significant Deficiency and Other Noncompliance Applicable federal programs: U. S. Department of Health and Human Services: Assistance Listing #93.243 Substance Abuse and Mental Health Services Projects of Regional and National Significance Contract #5H79TI080624-03 Contract year: 09/30/20 ? 09/29/21 Contract #5H79TI080624-04 Contract year: 09/30/21 ? 09/29/22 Passed through the City of Houston Health Department Contract #H79SP080300 Contract years: 06/09/21 ? 06/08/23, 11/01/20 ? 10/31/21 and 11/01/21 ? 10/31/22 Assistance Listing #93.788 Opioid STR Passed through the Texas Health and Human Services Commission Contract #HHS000357900001 Contract years: 10/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Passed through the University of Texas Health Science Center, McGovern Medical School Contract #HHS000114600001 Contract year: 09/30/20 ? 08/31/21 Contract #HHS000508700003 Contract year: 10/01/20 ? 09/30/21 Passed through the University of Texas Health Science Center, San Antonio Contract #HHS000561800001 Contract years: 01/27/21 ? 08/31/21 and 09/01/21 ? 08/31/22 Assistance Listing #93.855 Allergy and Infectious Diseases Research Passed through the University of Texas Health Science Center, Houston Contract #UM1A1068619 Contract year: 01/04/21 ? 01/02/22 Assistance Listing #93.959 Block Grants for Prevention and Treatment of Substance Abuse Passed through the Texas Health and Human Services Commission Contract #HHS000130500019 Contract years: 09/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Criteria: Procurement ? Houston Recovery Center is responsible for having an internal control system in place to ensure expenditures are procured in accordance with its procurement policy and that its procurement policy includes all of the provisions required by the Uniform Guidance ?200.318. Condition and context: Houston Recovery Center adopted a procurement policy in the prior year. The policy requires three quotes for annual purchases greater than $10,000 but does not include formal procurement methods for expenditures that exceed the simplified acquisition threshold of $250,000. The policy also has no provision requiring determination of suspension or debarment of vendors as required by the Uniform Guidance. In fiscal year 2022, Houston Recovery Center had one annual federal expenditure that met or exceeded the simplified acquisition threshold. The expenditure was procured through a formal bid process despite their policy not requiring the formal procurement method. Questioned costs: Unknown Cause: The finding occurred as a result of Houston Recovery Center adopting a policy that did not fully comply with the provisions of ?200.318 of the Uniform Guidance. Effect: Failure to have a procurement policy that fully complies with the provisions of the Uniform Guidance could result in the purchase of goods or services at a cost greater than the amount required if competitive procedures had been utilized or contracting with suspended or debarred organizations. Recommendation: Modify Houston Recovery Center?s procurement policy to include all provisions and meet all the standards of ?200.318 of the Uniform Guidance. Provide procurement training to those with purchasing responsibilities. Views of responsible officials and planned corrective actions: Management agrees with the finding. See Corrective Action Plan.
Finding #2022-001 ? Significant Deficiency and Other Noncompliance Applicable federal programs: U. S. Department of Health and Human Services: Assistance Listing #93.243 Substance Abuse and Mental Health Services Projects of Regional and National Significance Contract #5H79TI080624-03 Contract year: 09/30/20 ? 09/29/21 Contract #5H79TI080624-04 Contract year: 09/30/21 ? 09/29/22 Passed through the City of Houston Health Department Contract #H79SP080300 Contract years: 06/09/21 ? 06/08/23, 11/01/20 ? 10/31/21 and 11/01/21 ? 10/31/22 Assistance Listing #93.788 Opioid STR Passed through the Texas Health and Human Services Commission Contract #HHS000357900001 Contract years: 10/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Passed through the University of Texas Health Science Center, McGovern Medical School Contract #HHS000114600001 Contract year: 09/30/20 ? 08/31/21 Contract #HHS000508700003 Contract year: 10/01/20 ? 09/30/21 Passed through the University of Texas Health Science Center, San Antonio Contract #HHS000561800001 Contract years: 01/27/21 ? 08/31/21 and 09/01/21 ? 08/31/22 Assistance Listing #93.855 Allergy and Infectious Diseases Research Passed through the University of Texas Health Science Center, Houston Contract #UM1A1068619 Contract year: 01/04/21 ? 01/02/22 Assistance Listing #93.959 Block Grants for Prevention and Treatment of Substance Abuse Passed through the Texas Health and Human Services Commission Contract #HHS000130500019 Contract years: 09/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Criteria: Procurement ? Houston Recovery Center is responsible for having an internal control system in place to ensure expenditures are procured in accordance with its procurement policy and that its procurement policy includes all of the provisions required by the Uniform Guidance ?200.318. Condition and context: Houston Recovery Center adopted a procurement policy in the prior year. The policy requires three quotes for annual purchases greater than $10,000 but does not include formal procurement methods for expenditures that exceed the simplified acquisition threshold of $250,000. The policy also has no provision requiring determination of suspension or debarment of vendors as required by the Uniform Guidance. In fiscal year 2022, Houston Recovery Center had one annual federal expenditure that met or exceeded the simplified acquisition threshold. The expenditure was procured through a formal bid process despite their policy not requiring the formal procurement method. Questioned costs: Unknown Cause: The finding occurred as a result of Houston Recovery Center adopting a policy that did not fully comply with the provisions of ?200.318 of the Uniform Guidance. Effect: Failure to have a procurement policy that fully complies with the provisions of the Uniform Guidance could result in the purchase of goods or services at a cost greater than the amount required if competitive procedures had been utilized or contracting with suspended or debarred organizations. Recommendation: Modify Houston Recovery Center?s procurement policy to include all provisions and meet all the standards of ?200.318 of the Uniform Guidance. Provide procurement training to those with purchasing responsibilities. Views of responsible officials and planned corrective actions: Management agrees with the finding. See Corrective Action Plan.
Finding #2022-001 ? Significant Deficiency and Other Noncompliance Applicable federal programs: U. S. Department of Health and Human Services: Assistance Listing #93.243 Substance Abuse and Mental Health Services Projects of Regional and National Significance Contract #5H79TI080624-03 Contract year: 09/30/20 ? 09/29/21 Contract #5H79TI080624-04 Contract year: 09/30/21 ? 09/29/22 Passed through the City of Houston Health Department Contract #H79SP080300 Contract years: 06/09/21 ? 06/08/23, 11/01/20 ? 10/31/21 and 11/01/21 ? 10/31/22 Assistance Listing #93.788 Opioid STR Passed through the Texas Health and Human Services Commission Contract #HHS000357900001 Contract years: 10/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Passed through the University of Texas Health Science Center, McGovern Medical School Contract #HHS000114600001 Contract year: 09/30/20 ? 08/31/21 Contract #HHS000508700003 Contract year: 10/01/20 ? 09/30/21 Passed through the University of Texas Health Science Center, San Antonio Contract #HHS000561800001 Contract years: 01/27/21 ? 08/31/21 and 09/01/21 ? 08/31/22 Assistance Listing #93.855 Allergy and Infectious Diseases Research Passed through the University of Texas Health Science Center, Houston Contract #UM1A1068619 Contract year: 01/04/21 ? 01/02/22 Assistance Listing #93.959 Block Grants for Prevention and Treatment of Substance Abuse Passed through the Texas Health and Human Services Commission Contract #HHS000130500019 Contract years: 09/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Criteria: Procurement ? Houston Recovery Center is responsible for having an internal control system in place to ensure expenditures are procured in accordance with its procurement policy and that its procurement policy includes all of the provisions required by the Uniform Guidance ?200.318. Condition and context: Houston Recovery Center adopted a procurement policy in the prior year. The policy requires three quotes for annual purchases greater than $10,000 but does not include formal procurement methods for expenditures that exceed the simplified acquisition threshold of $250,000. The policy also has no provision requiring determination of suspension or debarment of vendors as required by the Uniform Guidance. In fiscal year 2022, Houston Recovery Center had one annual federal expenditure that met or exceeded the simplified acquisition threshold. The expenditure was procured through a formal bid process despite their policy not requiring the formal procurement method. Questioned costs: Unknown Cause: The finding occurred as a result of Houston Recovery Center adopting a policy that did not fully comply with the provisions of ?200.318 of the Uniform Guidance. Effect: Failure to have a procurement policy that fully complies with the provisions of the Uniform Guidance could result in the purchase of goods or services at a cost greater than the amount required if competitive procedures had been utilized or contracting with suspended or debarred organizations. Recommendation: Modify Houston Recovery Center?s procurement policy to include all provisions and meet all the standards of ?200.318 of the Uniform Guidance. Provide procurement training to those with purchasing responsibilities. Views of responsible officials and planned corrective actions: Management agrees with the finding. See Corrective Action Plan.
Finding #2022-001 ? Significant Deficiency and Other Noncompliance Applicable federal programs: U. S. Department of Health and Human Services: Assistance Listing #93.243 Substance Abuse and Mental Health Services Projects of Regional and National Significance Contract #5H79TI080624-03 Contract year: 09/30/20 ? 09/29/21 Contract #5H79TI080624-04 Contract year: 09/30/21 ? 09/29/22 Passed through the City of Houston Health Department Contract #H79SP080300 Contract years: 06/09/21 ? 06/08/23, 11/01/20 ? 10/31/21 and 11/01/21 ? 10/31/22 Assistance Listing #93.788 Opioid STR Passed through the Texas Health and Human Services Commission Contract #HHS000357900001 Contract years: 10/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Passed through the University of Texas Health Science Center, McGovern Medical School Contract #HHS000114600001 Contract year: 09/30/20 ? 08/31/21 Contract #HHS000508700003 Contract year: 10/01/20 ? 09/30/21 Passed through the University of Texas Health Science Center, San Antonio Contract #HHS000561800001 Contract years: 01/27/21 ? 08/31/21 and 09/01/21 ? 08/31/22 Assistance Listing #93.855 Allergy and Infectious Diseases Research Passed through the University of Texas Health Science Center, Houston Contract #UM1A1068619 Contract year: 01/04/21 ? 01/02/22 Assistance Listing #93.959 Block Grants for Prevention and Treatment of Substance Abuse Passed through the Texas Health and Human Services Commission Contract #HHS000130500019 Contract years: 09/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Criteria: Procurement ? Houston Recovery Center is responsible for having an internal control system in place to ensure expenditures are procured in accordance with its procurement policy and that its procurement policy includes all of the provisions required by the Uniform Guidance ?200.318. Condition and context: Houston Recovery Center adopted a procurement policy in the prior year. The policy requires three quotes for annual purchases greater than $10,000 but does not include formal procurement methods for expenditures that exceed the simplified acquisition threshold of $250,000. The policy also has no provision requiring determination of suspension or debarment of vendors as required by the Uniform Guidance. In fiscal year 2022, Houston Recovery Center had one annual federal expenditure that met or exceeded the simplified acquisition threshold. The expenditure was procured through a formal bid process despite their policy not requiring the formal procurement method. Questioned costs: Unknown Cause: The finding occurred as a result of Houston Recovery Center adopting a policy that did not fully comply with the provisions of ?200.318 of the Uniform Guidance. Effect: Failure to have a procurement policy that fully complies with the provisions of the Uniform Guidance could result in the purchase of goods or services at a cost greater than the amount required if competitive procedures had been utilized or contracting with suspended or debarred organizations. Recommendation: Modify Houston Recovery Center?s procurement policy to include all provisions and meet all the standards of ?200.318 of the Uniform Guidance. Provide procurement training to those with purchasing responsibilities. Views of responsible officials and planned corrective actions: Management agrees with the finding. See Corrective Action Plan.
Finding #2022-001 ? Significant Deficiency and Other Noncompliance Applicable federal programs: U. S. Department of Health and Human Services: Assistance Listing #93.243 Substance Abuse and Mental Health Services Projects of Regional and National Significance Contract #5H79TI080624-03 Contract year: 09/30/20 ? 09/29/21 Contract #5H79TI080624-04 Contract year: 09/30/21 ? 09/29/22 Passed through the City of Houston Health Department Contract #H79SP080300 Contract years: 06/09/21 ? 06/08/23, 11/01/20 ? 10/31/21 and 11/01/21 ? 10/31/22 Assistance Listing #93.788 Opioid STR Passed through the Texas Health and Human Services Commission Contract #HHS000357900001 Contract years: 10/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Passed through the University of Texas Health Science Center, McGovern Medical School Contract #HHS000114600001 Contract year: 09/30/20 ? 08/31/21 Contract #HHS000508700003 Contract year: 10/01/20 ? 09/30/21 Passed through the University of Texas Health Science Center, San Antonio Contract #HHS000561800001 Contract years: 01/27/21 ? 08/31/21 and 09/01/21 ? 08/31/22 Assistance Listing #93.855 Allergy and Infectious Diseases Research Passed through the University of Texas Health Science Center, Houston Contract #UM1A1068619 Contract year: 01/04/21 ? 01/02/22 Assistance Listing #93.959 Block Grants for Prevention and Treatment of Substance Abuse Passed through the Texas Health and Human Services Commission Contract #HHS000130500019 Contract years: 09/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Criteria: Procurement ? Houston Recovery Center is responsible for having an internal control system in place to ensure expenditures are procured in accordance with its procurement policy and that its procurement policy includes all of the provisions required by the Uniform Guidance ?200.318. Condition and context: Houston Recovery Center adopted a procurement policy in the prior year. The policy requires three quotes for annual purchases greater than $10,000 but does not include formal procurement methods for expenditures that exceed the simplified acquisition threshold of $250,000. The policy also has no provision requiring determination of suspension or debarment of vendors as required by the Uniform Guidance. In fiscal year 2022, Houston Recovery Center had one annual federal expenditure that met or exceeded the simplified acquisition threshold. The expenditure was procured through a formal bid process despite their policy not requiring the formal procurement method. Questioned costs: Unknown Cause: The finding occurred as a result of Houston Recovery Center adopting a policy that did not fully comply with the provisions of ?200.318 of the Uniform Guidance. Effect: Failure to have a procurement policy that fully complies with the provisions of the Uniform Guidance could result in the purchase of goods or services at a cost greater than the amount required if competitive procedures had been utilized or contracting with suspended or debarred organizations. Recommendation: Modify Houston Recovery Center?s procurement policy to include all provisions and meet all the standards of ?200.318 of the Uniform Guidance. Provide procurement training to those with purchasing responsibilities. Views of responsible officials and planned corrective actions: Management agrees with the finding. See Corrective Action Plan.
Finding #2022-001 ? Significant Deficiency and Other Noncompliance Applicable federal programs: U. S. Department of Health and Human Services: Assistance Listing #93.243 Substance Abuse and Mental Health Services Projects of Regional and National Significance Contract #5H79TI080624-03 Contract year: 09/30/20 ? 09/29/21 Contract #5H79TI080624-04 Contract year: 09/30/21 ? 09/29/22 Passed through the City of Houston Health Department Contract #H79SP080300 Contract years: 06/09/21 ? 06/08/23, 11/01/20 ? 10/31/21 and 11/01/21 ? 10/31/22 Assistance Listing #93.788 Opioid STR Passed through the Texas Health and Human Services Commission Contract #HHS000357900001 Contract years: 10/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Passed through the University of Texas Health Science Center, McGovern Medical School Contract #HHS000114600001 Contract year: 09/30/20 ? 08/31/21 Contract #HHS000508700003 Contract year: 10/01/20 ? 09/30/21 Passed through the University of Texas Health Science Center, San Antonio Contract #HHS000561800001 Contract years: 01/27/21 ? 08/31/21 and 09/01/21 ? 08/31/22 Assistance Listing #93.855 Allergy and Infectious Diseases Research Passed through the University of Texas Health Science Center, Houston Contract #UM1A1068619 Contract year: 01/04/21 ? 01/02/22 Assistance Listing #93.959 Block Grants for Prevention and Treatment of Substance Abuse Passed through the Texas Health and Human Services Commission Contract #HHS000130500019 Contract years: 09/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Criteria: Procurement ? Houston Recovery Center is responsible for having an internal control system in place to ensure expenditures are procured in accordance with its procurement policy and that its procurement policy includes all of the provisions required by the Uniform Guidance ?200.318. Condition and context: Houston Recovery Center adopted a procurement policy in the prior year. The policy requires three quotes for annual purchases greater than $10,000 but does not include formal procurement methods for expenditures that exceed the simplified acquisition threshold of $250,000. The policy also has no provision requiring determination of suspension or debarment of vendors as required by the Uniform Guidance. In fiscal year 2022, Houston Recovery Center had one annual federal expenditure that met or exceeded the simplified acquisition threshold. The expenditure was procured through a formal bid process despite their policy not requiring the formal procurement method. Questioned costs: Unknown Cause: The finding occurred as a result of Houston Recovery Center adopting a policy that did not fully comply with the provisions of ?200.318 of the Uniform Guidance. Effect: Failure to have a procurement policy that fully complies with the provisions of the Uniform Guidance could result in the purchase of goods or services at a cost greater than the amount required if competitive procedures had been utilized or contracting with suspended or debarred organizations. Recommendation: Modify Houston Recovery Center?s procurement policy to include all provisions and meet all the standards of ?200.318 of the Uniform Guidance. Provide procurement training to those with purchasing responsibilities. Views of responsible officials and planned corrective actions: Management agrees with the finding. See Corrective Action Plan.
Finding #2022-001 ? Significant Deficiency and Other Noncompliance Applicable federal programs: U. S. Department of Health and Human Services: Assistance Listing #93.243 Substance Abuse and Mental Health Services Projects of Regional and National Significance Contract #5H79TI080624-03 Contract year: 09/30/20 ? 09/29/21 Contract #5H79TI080624-04 Contract year: 09/30/21 ? 09/29/22 Passed through the City of Houston Health Department Contract #H79SP080300 Contract years: 06/09/21 ? 06/08/23, 11/01/20 ? 10/31/21 and 11/01/21 ? 10/31/22 Assistance Listing #93.788 Opioid STR Passed through the Texas Health and Human Services Commission Contract #HHS000357900001 Contract years: 10/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Passed through the University of Texas Health Science Center, McGovern Medical School Contract #HHS000114600001 Contract year: 09/30/20 ? 08/31/21 Contract #HHS000508700003 Contract year: 10/01/20 ? 09/30/21 Passed through the University of Texas Health Science Center, San Antonio Contract #HHS000561800001 Contract years: 01/27/21 ? 08/31/21 and 09/01/21 ? 08/31/22 Assistance Listing #93.855 Allergy and Infectious Diseases Research Passed through the University of Texas Health Science Center, Houston Contract #UM1A1068619 Contract year: 01/04/21 ? 01/02/22 Assistance Listing #93.959 Block Grants for Prevention and Treatment of Substance Abuse Passed through the Texas Health and Human Services Commission Contract #HHS000130500019 Contract years: 09/01/20 ? 08/31/21 and 09/01/21 ? 08/31/22 Criteria: Procurement ? Houston Recovery Center is responsible for having an internal control system in place to ensure expenditures are procured in accordance with its procurement policy and that its procurement policy includes all of the provisions required by the Uniform Guidance ?200.318. Condition and context: Houston Recovery Center adopted a procurement policy in the prior year. The policy requires three quotes for annual purchases greater than $10,000 but does not include formal procurement methods for expenditures that exceed the simplified acquisition threshold of $250,000. The policy also has no provision requiring determination of suspension or debarment of vendors as required by the Uniform Guidance. In fiscal year 2022, Houston Recovery Center had one annual federal expenditure that met or exceeded the simplified acquisition threshold. The expenditure was procured through a formal bid process despite their policy not requiring the formal procurement method. Questioned costs: Unknown Cause: The finding occurred as a result of Houston Recovery Center adopting a policy that did not fully comply with the provisions of ?200.318 of the Uniform Guidance. Effect: Failure to have a procurement policy that fully complies with the provisions of the Uniform Guidance could result in the purchase of goods or services at a cost greater than the amount required if competitive procedures had been utilized or contracting with suspended or debarred organizations. Recommendation: Modify Houston Recovery Center?s procurement policy to include all provisions and meet all the standards of ?200.318 of the Uniform Guidance. Provide procurement training to those with purchasing responsibilities. Views of responsible officials and planned corrective actions: Management agrees with the finding. See Corrective Action Plan.