FINDING 2023-001
Finding Subject: COVID - 19: Coronavirus State and Local Fiscal Recovery Funds – Suspension and Debarment
Summary of Finding:
Prior to entering into subawards and covered transactions with SLFRF award funds, the City of Michigan City did not
verify that such contractors and vendors ...
FINDING 2023-001
Finding Subject: COVID - 19: Coronavirus State and Local Fiscal Recovery Funds – Suspension and Debarment
Summary of Finding:
Prior to entering into subawards and covered transactions with SLFRF award funds, the City of Michigan City did not
verify that such contractors and vendors were not suspended, debarred, or otherwise excluded.
Contact Person Responsible for Corrective Action: Mary Lynn Wall
Contact Phone Number and Email Address: 219-873-1404 Ext. 2006 mlwall@emichigancity.com
Views of Responsible Officials:
We concur with the finding
Description of Corrective Action Plan:
To bring the City into compliance with effective internal controls with regards to suspension and debarment, the City has
updated the purchasing checklist, Exhibit A, clarifying the requirement for the Controller’s office to verify suspension or
debarment in Sam.Gov.
Anticipated Completion Date: August 26, 2024
INDIANA STATE BOARD OF ACCOUNTS
30
EXHIBIT A
PURCHASING CHECKLIST
CHOOSE THE APPROPRIATE SECTION BELOW
SECTION I
1. Is this purchase a small purchase for capital equipment or operang supplies under $50,000?
_____Yes (proceed to 2.) _____No (proceed to Secon II)
2. Purchase less than $2,500 with sufficient funding in budget
a. Inquire with at least two (2) vendors – must document date, who spoken with,
what the quote is for, and price.
b. Upload this checklist and two quotes to purchase order.
3. $2,500 ‐ $24,999 with sufficient funding in budget, you must submit wrien solicitaons,
with detailed specificaons, to at least two (2) vendors
4. $25,000 ‐ $49,999 you must submit wrien solicitaons, with detailed specificaons, to
at least three (3) vendors
a. Obtain proof of funding from Controller’s Office.
b. Controller’s office will verify suspension or debarment in Sam.Gov if
needed
5. The quote or solicitaon with detailed specificaons and proof of funding must
accompany the purchase order when submied
_______________________________________________________________
Department Head Signature
SECTION II – CAPITAL EQUIPMENT AND OPERATING SUPPLIES GREATER THAN $50,000
1. Is this purchase for capital equipment or operang supplies between $50,000 and
$149,999.99?
_____Yes (proceed to 1a.) _____No (proceed to 3.)
a. Wrien solicitaon with detailed specificaons must be preapproved by Board of
Works.
b. Proof of Funding aached (obtained from Controller’s Office).
c. Date submied to BOW _____________________________
d. Signature of BOW President ________________________________________
2. Aer BOW approval, obtain quotes from three (3) vendors known to deal in the line of
business. Upload this checklist and three quotes to purchase order.
3. The Controller’s Office will verify for suspension or debarment if Federal Funds are used.
Aach Sam.Gov screen shot to purchase order.
__________________________________________________________________
Department Head Signature
INDIANA STATE BOARD OF ACCOUNTS
31
EXHIBIT A
4. If the purchase is greater than $150,000, the formal bid process must be followed.
a. Wrien solicitaon with detailed specificaons must be preapproved by Board of
Works.
b. Proof of Funding aached (obtained from Controller’s Office).
c. Date submied to BOW _____________________________
d. Signature of BOW President ________________________________________
5. Upload the awarded bid, proof of adversing and this checklist to purchase order.
6. The Controller’s Office will verify for suspension or debarment if Federal Funds are used.
Aach Sam.Gov screen shot to purchase order.
__________________________________________________________
Department Head Signature
SECTION III – SERVICE AGREEMENTS
1. Is the service agreement less than $5,000?
_____Yes (proceed to 2.) _____No (proceed to 3.)
2. Service Agreement less than $5,000
a. Inquire with at least two (2) vendors – must document date, who spoken
with, what the quote is for, and price.
b. Upload this checklist and two quotes to purchase order.
_______________________________________________________________
Department Head Signature
3. Service Agreement greater than $5,000.
a. Wrien solicitaon with detailed specificaons must be preapproved by Board of
Works.
b. Proof of Funding aached (obtained from Controller’s Office).
c. Controller’s office will verify suspension or debarment if federal Funds are used.
d. Date submied to BOW _____________________________
e. Signature of BOW President ________________________________________
4. Aer BOW approval, obtain quotes from three (3) vendors known to deal in the line of
business. Upload this checklist and three quotes to purchase order.
___________________________________________________________
Department Head Signature
INDIANA STATE BOARD OF ACCOUNTS
32
EXHIBIT A
SECTION IV – PROFESSIONAL SERVICES (ACCOUNTING, ARCHITECTURAL, ENGINEERING, LEGAL OR
OTHER ADVISORY SERVICES FOR WHICH A LICENSE IS NEEDED)
1. Wrien solicitaon with detailed specificaons must be preapproved by Board of Works
a. Proof of Funding aached (obtained from Controller’s Office).
b. Controller’s office will verify suspension or debarment if Federal Funds are used.
c. Date submied to BOW _____________________________
d. Signature of BOW President ________________________________________
2. Aer BOW approval, upload this checklist and specificaons to purchase order.
__________________________________________________________________
Department Head Signature
SECTION V – LEASE AGREEMENTS IN THE AMOUNT OF $5,000 OR MORE AND DURATION OF ONE (1)
YEAR OR LONGER
1. In addion to the Quote and Bid process set forth above, any lease of equipment or capital
(which includes but are not limited to vehicles, tools, machines, printers, computers, etc…) in
the amount of $5,000 or more and of a duraon of one (1) year or longer, MUST first be
approved by the Board of Works along with copies of any and all contracts.
__________________________________________________________________
Department Head Signature
INDIANA STATE