Finding: The Organization does have an internal procurement policy in accordance with the federal regulations, however, there appears to be a lack of controls around the documentation of following the existing procurement policies in place for all the Organization’s purchases in 2022 with federal fu...
Finding: The Organization does have an internal procurement policy in accordance with the federal regulations, however, there appears to be a lack of controls around the documentation of following the existing procurement policies in place for all the Organization’s purchases in 2022 with federal funds. there is no known monetary impact, improper expenditure of funds or questioned costs identified. However, if the Organization does not strengthen the internal controls in regard to their procurement policy, there is a possible effect on the ability of the Organization to obtain additional funding under this program if they are not following the federal regulations when it comes to procurement policies. There is a lack of review in regard to obtaining, retaining and approving documentation that support the fact that the Organization is consistently following their internal procurement policies Views of responsible officials and planned corrective actions: Management agrees with the recommendation to review policies, procedures and practices in place over the controls related to obtaining, retaining and reviewing proof of price or rate quotations from an adequate number of qualified sources. In the audit sample, many of the invoices were for Provider Agency Staffing. We only have a couple staffing agencies that we use and each are contacted when we are recruiting for a position to get proposed rate; however, it is done verbally and we could not provide proof that it was done. Going forward we will confirm rates via email and maintain the documentation supporting that we are obtaining rate quotations from an adequate number of qualified sources. • The Controller is sending out the Procurement Policy to all relevant personnel to remind them of the procedures that must be followed before making purchases greater than $10,000. • Personnel will be required to send in the quotes from the qualified sources at the time the purchase order is submitted. • The AP specialist will request support of the qualified sources prior to processing the invoices if none are sent with the invoices. Anticipated date of completion: December 31, 2025 Contact person responsible – Tammy Grinnan, Controller and Margaret Boemmel, CFO