Corrective Action Plans

Finding Reference Number: MW2022-006 Statement of Concurrence or Nonconcurrence: CUAHSI agrees with the finding and recommendation. CUAHSI Corrective Action: Action by CUAHSI impacting audit year 2022: Vendor status for 2022 recipients was retroactively evaluated by CUAHSI staff and certified by management during calendar year 2024. Records were organized and filed in a secure, centralized document management system. Corrective actions to processes and responsibilities impacting subsequent years: CUAHSI considers this finding closed, as current practices comply with established policies and procedures. Name of Contact Person: • Maureen S. Ako, Director of Finance • Telephone: (339)221-5400 • Email: msabino@cuahsi.org Projected Completion Date: NA; is complete

Procurement documentations were provided on May 19, 2025. The MOF management designated three audit focal points to coordinate effectively with external auditors in regards to timely submissions of required supporting documents.

Finding Number: 2022-006 Condition: Policies and procedures in place over procurement, suspension, and debarment are not in conformance with Uniform Guidance. Additionally, the Organization did not procure in accordance with the regulations, including maintaining records sufficient to detail the history of each procurement transaction nor did they comply with suspension and debarment rules. Planned Corrective Action: Management will implement written policies and procedures over procurement, suspension, and disabarment that conform with Uniform Guidance Contact person responsible for corrective action: Chief Financial Officer Anticipated Completion Date: 06/30/2025

Assistance Listing Number 21.027 Noncompliance Over Procurement and Suspension/Debarment - Major Federal Program - Coronavirus State and Local Fiscal Recovery Funds Muskogee County has hired an internal grant administrator to assist in keeping the county compliant with all local, state, and federal requirements. Efforts will be made going forward to ensure that all grant funds are properly expended. This includes that all expenditures are properly documented and that all vendors are ferderally eligible to perform services

AIRS management has started the process of creating new and updated policies and procedures related to financial reporting, activities, including written procurement standards, written standards of conflict of interest and others as required under Uniform Guidance

Finding 2022-005: Procurement Federal Program: Research and Development Cluster (Education and Human Resources) Assistance Listing Number and Title: 47.076 STEM Education Name of Federal Agency, Pass Through Entity (when applicable), Award Number and Year: National Science Foundation: 1431638 (9/1/2014 – 8/31/2022), 1500529 (9/1/2015 – 8/31/2022), 1624185 (9/16/2016 – 8/31/2022), 1640791 (9/15/2016 – 8/31/2022), 1720869 (5/15/2017 – 4/30/2022), 1726113 (8/1/2017 – 9/30/2023), 1821462 (7/1/2018 – 6/30/2024), 1940925 (1/15/2020 – 12/31/2023), 1907950 (7/1/2019 – 6/30/2024), 2015205 (4/1/2020 – 3/31/2022), 2021059 (10/1/2020 – 9/30/2024), 2141745 (5/1/2022 – 4/30/2027), 2212807 (7/1/2022 – 6/30/2026) Federal Program: Research and Development Cluster (Mathematical and Physical Sciences) Assistance Listing Number and Title: 47.049 Mathematical and Physical Sciences Name of Federal Agency, Pass Through Entity, Award Number and Year: National Science Foundation: 1821372 (10/1/2018 – 9/30/2024 pass through entity American Physical Society), 1834530 (9/1/2018 – 8/31/2025 pass through entity American Physical Society), 1938815 (8/1/2020 – 7/31/2024) Federal Program: Research and Development Cluster (Science) Assistance Listing Number and Title: 43.001 Science Name of Federal Agency, Pass Through Entity: National Aeronautics and Space Administration: NNX16AR36A (8/24/2016 – 8/23/2021 pass through entity Temple University of the Commonwealth System of Higher Education), 80NSSC21K1560 (6/28/2021 – 6/27/2022 pass through entity Temple University of the Commonwealth System of Higher Education), 80NSSC22K1071 (5/23/2022 – 5/22/2023) Condition: AAPT did not consistently adhere to written policies with respect to the procurement process, as bids/quotes were not obtainable or the conclusion for selection was not documented. Views of Responsible Officials and Planned Corrective Actions: Management will update current policies and procedures and review and enforce the polices. Management will be responsible for proper documentation and confirmation that all policies and procedures are followed. Management will confirm that all agreements, mou’s and contracts are property, reviewed signed and documented. Management will require all departments to document all procurements for goods and services with written cost and price analysis based on AAPT's dollar thresholds. Anticipated Completion Date: November 2024 Responsible Official: Dr. Beth Cunningham CEO, Michael Brosnan CFO

Corrective Action: Management of the Institute did not provide any planned corrective actions for this finding. Person Responsible: Management of the Institute did not identify an individual responsible for corrective action for this finding. Completion Date: Management of the Institute has not established a completion date for corrective action for this finding.

November 17, 2022 To: U.S. Department of Agriculture, Passed-through Commonwealth of Massachusetts, Department of Elementary and Secondary Education (DESE). From: Mystic Valley Regional Charter School (MVRCS) respectfully submits the following corrective action plan for the year ended June 30, 2022. Name and address of independent public accounting firm: AAFCPAs, Inc. 50 Washington St, Westborough MA 01581 Audit period: June 30, 2022 The findings from the June 30, 2022 schedule of findings and questioned costs are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. FINDINGS-FEDERAL AWARD PROGRAMS AUDITS SIGNIFICANT DEFICIENCY U.S. Department of Agriculture (Passed-through Commonwealth of Massachusetts, Department of Elementary and Secondary Education): 2022-001 Child Nutrition Cluster: CFDA No. 10.55 Written Procurement Policy Recommendation: MVRCS should revise their written procurement policy to comply with current standards under the Uniform Guidance. Actions taken: MVRCS is updating it's procurement policy and will submit to it's Board at the next meeting for review and approval. If there are any questions regarding this plan, please call Rick Veilleux at 781-974-5671. Sincerely yours, Richveller Rick Veilleux, Assistant Superintendent-Finance & Operations]

Finding 2022-005: Procurement Federal Programs: Research and Development Cluster: All Grants Condition: AAPT did not consistently adhere to written policies with respect to the procurement process, as bids/quots were not obtainable or the conclusion for the selection was not documented. Views of Responsible Officials and Planned Corrective Actions: Management will update current policies and procedures and review and enforce the polices. Management will be responsible for proper documentation and confirmation that all policies and procedures are followed. Management will confirm that all agreements, mou’s and contracts are property, reviewed signed and documented. Management will require all departments to document all procurements for goods and services with written cost and price analysis based on AAPT's dollar thresholds. Anticipated Completion Date: 04/15/2024

Action Item Title 2022-003 – Procurement Policies and Covered Transactions Compliance Requirement Procurement, Suspension, and Debarment Status (Open: In-process) Condition: General Procurement Standards - Written Policies – The Corporation has an outdated institutional procurement manual approved in 2014 that lacks written policies to ascertain compliance with the provisions of federal statutes, regulations, or the terms and conditions of federal awards regarding procurement, suspension, and debarment requirements. Suspension and Debarment - Covered Transaction – From a population of nineteen disbursements, we selected nine disbursements to ascertain compliance with 2 CFR section 180.220 by examining the procurement documents provided by the Corporation. From that sample, we identified nine instances in which the SAM.gov registration verification process was not performed. Of the nine instances, we found eight suppliers properly registered, but one supplier appears as validated as unique and existing but not registered in SAM.gov. Identified root cause: Lack of understanding of procurement compliance requirements for federal awards. Fiscal year 2023 was the first year for the Corporation to be subjected to a single audit compliance requirement for receiving and expending COVID-19 public health emergency programs Grantee resolution plan: General Procurement Standards - Written Policies – With the implementation of Law No. 73 of 2019, previous processes established by regulation are repealed and rendered ineffective. In addition, the Corporation will adopt procurement policies in compliance with the federal regulations. Suspension and Debarment - Covered Transaction - Currently, the Corporation is verifying and requesting all suppliers with contracts of $25,000 and over with evidence of being active at SAM.gov. Also, the Corporation is verifying if the supplier is suspended or debarred to do business with the Federal government. Completion Date: General Procurement Standards - Written Policies – By June 30, 2025 Suspension and Debarment - Covered Transaction – Corrected in FY2023. Name and Title of contact: Linnette Dávila Alemán- Financial and Budget Assistant Manager Phone: 787-724-4747 ext. 2105 Email: ldavila@cba.pr.gov Jetppeht Pérez de Corcho Morgado – General Manager Phone: 787-724-4747 ext. 2102 Email: jperez@cba.pr.gov

Management Response #2022-010: Due to the staff shortages and turnover in FY2020-2022 the company did not have adequate personnel in place to monitor or document grant activity. Formal documentation of policies and procedures were also deficient. Additionally, documents were not stored centrally, which made it extremely difficult to find supporting documentation. Corrective Action Plan: In mid-2023, the company established policies and procedures that formally document the current compliance practices that are in place for dissemination and training throughout the organization. Detailed in the procedures was a hard stop by the manager of procurement that would require three bids prior to a purchase order being created. Once a vendor is selected, the manager of the procurement will send the vendor information to the compliance department to check for debarments and federal eligibility requirements. Added to the procedures is the creation of a central repository platform to keep all bids and price analysis performed for each vendor. To further enhance compliance, all Accounts Payable invoices that are designated for grant funding are routed for approval to the respective grants program manager prior to payment being made via the WorkPlace software. Responsible Party: Tamara Barnes, CFO

The administration will review the procurement policy in the next management meeting. Division Directors will review the procurement policy with all Program Directors and Managers. Also, see actions for 2022-017

Corrective Action Planned: The City Clerk and Mayor, with help from the Treasurer, will develop and implement documented procurement procedures that conform to the procurement standards relating to Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) 200.317 through 200.327 Name(s) of Contact Person(s) Responsible for Corrective Action: City Clerk, Kami Hoerning. City Treasurer, Karen Kipp. City Mayor, John McGinley. Anticipated Completion Date: Summer 2024

FINDING 2022-005Subject: Child Nutrition Cluster - Procurement and Suspension and DebarmentFederal Agency: Department of AgricultureFederal Programs: School Breakfast Program, COVID-19 ? School Breakfast Program, National SchoolLunch Program, COVID-19 ? National School Lunch Program, Summer Food Service Program, COVID-19 ?Summer Food Service ProgramALN Numbers: 10.553, 10.555, 10.559Federal Award Numbers and Years (or Other Identifying Numbers): FY21, FY22Pass-Through Entity: Indiana Department of EducationCompliance Requirements: Procurement and Suspension and DebarmentAudit Findings: Material Weakness, Other MattersContact Person Responsible for Corrective Action: Chad Yencer - SuperintendentContact Phone Number: 765-348-7550Views of Responsible Official: We concur with this findingDescription of Corrective Action Plan:BCS has established the following internal controls to ensure compliance:1. Internal Control: When a purchase is made at $10,000 or more using Federal Funds, thesuperintendent will require that any vendors selected are in compliance with theProcurement and Suspension and Debarment compliance requirement by completing one ofthe following quality checks with each vendor prior to purchase:a. Checking the federal System for Award Management (SAM) database athttps://sam.gov/content/exclusions and maintain a screenshot of the search results.b. Collect a certification from the vendor directlyc. Add a clause or condition to the covered transaction with the vendorAnticipated Completion Date:This corrective action will be implemented and completed immediately with any purchase made that meets theabove threshold.

FINDING 2022-001Contact Person Responsible for Corrective Action: Mayor Terry AmickContact Phone Number: 812-752-3169Views of Responsible Official: I concur with the findings.Description of Corrective Action Plan: The City plans to review existing policies and procedures andmake any needed changes to endure that they are in compliance with the federal compliancerequirements for procurement as well as suspension and debarment. Furthermore, controls will beestablished to ensure that the City?s policies related to compliance with the federal compliancerequirements for procurement as well as suspension and debarment are followed.Anticipated Completion Date: December 31, 2023

Program: Continuum of Care, Emergency Solutions Grant Program Federal Financial Assistance Listing No.:14.267, 14.231 Federal Agency: U.S. Department of Housing and Urban Development Pass-through: Sacramento Steps Forward, Sacramento County Department of Human Assistance Award Year: 2022 Compliance Requirement: Procurement, Suspension and Debarment Grant Award Number: CA0955L9T032007, CA0955L9T032108, CA0143L9T032013, CA0143L9T032114, CA1303L9T032006, CA1303L9T032107, DHA-PRTS-NM-06-22, DHA-NM-03-22, DHA-NM-03-23, DHA-NM-08-23, DHA-NM-10-23 Finding Summary: The Organization’s procurement policy did not include all the required elements as outlined in the Uniform Guidance. Additionally, the Organization did not retain documentation to support the procedures performed to ensure compliance with suspension and debarment requirements. Management’s Response: We concur. Views of Responsible Officials and Corrective Action: • Management will update policies and procedures to ensure they confirm to the Uniform Guidance regarding procurement, suspension and debarment (2 CFR 200.317 through 200.327, 2 CFR 180). • Train grant staff on new policies and procedures. Name of Responsible Person: Bryan Wagner, CFO Projected Implementation Date: December 31, 2024

Planned Corrective Action: Team Rubicon will institute policies and procedures to ensure compliance with applicable procurement guidelines when accepting federal awards. These will include prohibition against contracts which could be influenced by a perceived or actual conflict of interest, documentation of a search for suspended and debarred parties, and guidelines for approved methods of procurement (including specific situations where noncompetitive procurement may be appropriate, and documentation to be required if so).

Action Taken: Range Mental Health Center, Inc. and Subsidiaries will adopt a documented procurement policy consistent with the standards of 2 CRF section 200.317 through 200.320 to use procurement of the acquisition of property or service required under federal awards or sub-awards.

Finding 2022-003 Procurement The auditors recommended the following: 4. Management adhere to its written policy and maintain documentation to support all management decisions related to federally funded procurements to comply with federal regulations. SDA should consider creating a checklist form to document its procurement decisions and related approvals, as required. Also, we recommend SDA develop procedures to identify federally funded contracts let/awarded during the fiscal year. Context Two contracts were identified that required documentation to validate that the entire RFQ process from RFQ formulation to advertisement to receipt and evaluation were completed. One of the said contracts could not provide the backup documentation to validate that the evaluation process had been completed. There was no evidence that debarment/suspension verification checks were performed prior to awarding the contract. Staffing Corrective Actions In September 2023, SDA hired a permanent Director of Business Growth Services with experience in federal grant funding. In November 2023, SDA hired a permanent Director of Finance and Administration for additional support in management and oversight. Both Directors are responsible for overseeing procurement processes and reviewing documentation of the process. Process Corrective Actions The SDA has created a checklist and training materials on procurement processes and decisions. Mandatory training sessions for Program Directors and other appropriate staff will be held to ensure that the guidelines are understood. All procurement decisions and information will be filed in the password protected e-filing system. Policy Corrective Actions The SDA maintains active written policies on procurement that adhere to federal guidelines. In June of 2023, the SDA board approved an enhancement of the SDA Fiscal Policy to make the procurement policy more accessible to all members of the organization. The Director of Finance and Administration will continue to conduct periodic quality compliance checks to ensure that all procurement follows SDA policy. All procurement decisions and information will be filed in the e-filing system, Google Drive.

Coronavirus State and Local Fiscal Recovery Funds- Assistance Listing No. 21.027 Recommendation: We recommend that the Organization adopt a formal and written procurement policy. Additionally, management should develop controls to help ensure procurement procedures are followeed and to monitor the amount spent with vendors throughout the year to ensure procurement procedures will help ensure compliance ith Compilance Supplement and the Code of Federal Regulations related to procurement and suspension and debarment provisions. Explanation of disagreement with audit finding: there is no disagreement with the audit finding. Action taken in response to finding: The Organization will develop a written procurement policy and will develop controls to monitor when expenses approach the various procurement thresholds to help us complete the appropriate procurement procedures in compliance with out policy. Name(s) of the contact person(s) responsible for corrective action: Frank Caruso, Director of Finance and Operations. Planned completion date for corrective action plan: Sarted in January 2024. If the the U.S. Department of the Treasury has questions regarding this plan, please call Frank Caruso, Director of Finance and Operations at (602) 241-4645.

2022-009: Significant Deficiency and Noncompliance – Procurement Documentation Statement of Condition/Criteria: Delta County is not following its procurement policy and is therefore not meeting the requirements of 2 CFR section 200.318 to use documented procurement procedures. The County does not have controls in place to ensure that written records are maintained sufficient to detail the history of procurement including the rationale for the method of procurement, selection of contract type, contractor selection or rejection, and the basis for the contract price. Planned Corrective Action: County management will develop control to ensure the procurement policy is followed. Contact person responsible for corrective action: Ashleigh Young, County Controller/Administrator Anticipated Completion Date: March 2024

Finding No. 2022-014 Area: Procurement, Suspension and Debarment Views of Auditee and Planned Corrective Action Condition 1 17 (or 28%) transactions totaling $3,281 pertained to small purchases not exceeding $500 and for which no price quotations were made. No evidence was provided showing that a written determination of the reasonableness of price was performed in accordance with § T60-40-210(b). We disagree. Based on existing Public School System Procurement Rules and Regulations, the Public School System through the Finance department strongly maintains that the Commissioner of Education, being the chief state school superintendent and the Chief of Procurement and Supply, are vested with the determination authority in all Procurement and Supply matters, among others. Such affirmation is further articulated in the Public School System's October 30, 2023 letter to Ernst & Young, LLP Executive Director James N. Whitt, that, among others and in particular, as cited in Part T60-40-210(b) 2: “Expertise and Authority of the Chief: The Chief of Procurement and Supply possesses specific and comprehensive experience in the procurement of goods. We argue that their signature is not merely an administrative formality but a professional endorsement of the price’s reasonableness. “ Condition 2 2 (or 3%) transactions totaling $1,824 pertained to procurements entered into by competitive sealed proposals. No evidence was provided showing that the Commissioner of Education has determined in writing that the procurement satisfies the condition for use of competitive sealed proposals in accordance with § T60-40-225(a). We disagree. Based on existing Public School System Procurement Rules and Regulations, the Public School System through the Finance department strongly maintains that the Commissioner of Education, being the chief state school superintendent and the Chief of Procurement and Supply, are vested with the determination authority in all Procurement and Supply matters, among others. Such affirmation is further articulated in the Public School System's October 30, 2023 letter to Ernst & Young, LLP Executive Director James N. Whitt, that, among others and in particular, as cited in the following under: Part T60-40-225(a): Interpreting Rule Language: The rule explicitly requires the Commissioner of Education to determine "in writing" upon the advice of legal counsel when the use of competitive sealed bidding is not practical or advantageous. However, it doesn't prescribe a specific form or extent of justification needed. Commissioner's Signature as Written Determination: We believe that the Commissioner's signature on a cover letter stating that competitive sealed proposals will be used fulfills the "in writing" requirement. The signature, in this context, serves as an acknowledgment that the Commissioner has considered the matter and found it advantageous to PSS. Subjectivity of 'Advantageous': The rule leaves room for interpretation by using the term "advantageous," which is inherently subjective. Since it does not stipulate the need for detailed justification, the Commissioner’s decision that the method is advantageous should suffice. Legal Counsel's Role: The regulation specifies that the determination should be made "upon the advice of legal counsel." It can be inferred that this due process has been followed if the Commissioner signs a letter or document related to competitive sealed proposals, thereby adding another layer of checks and balances. Presumption of Expertise: As the Commissioner of Education, it is presumed that the individual is capable of making informed decisions that are in the best interest of PSS. Their signature, therefore, carries the weight of their expertise and authority. Anticipated Completion Date: N/A Name of Contact Person and Title Contact Person – Arlene Lizama, Director of Finance Contact – arlene.lizama@cnmipss.org

Finding No. 2022-013 Area: Procurement, Suspension and Debarment Views of Auditee and Planned Corrective Action Condition 1 7 (or 12%) transactions totaling $1,355 pertained to small and for which no price quotations were made. No evidence was provided showing that a written determination of the reasonableness of price was performed in accordance with § T60-40-210(b). We disagree. Based on existing Public School System Procurement Rules and Regulations, the Public School System through the Finance department strongly maintains that the Commissioner of Education, being the chief state school superintendent and the Chief of Procurement and Supply, are vested with the determination authority in all Procurement and Supply matters, among others. Such affirmation is further articulated in the Public School System's October 30, 2023 letter to Ernst & Young, LLP Executive Director James N. Whitt, that, among others and in particular, as cited in Part T60-40-210(b) 2: “Expertise and Authority of the Chief: The Chief of Procurement and Supply possesses specific and comprehensive experience in the procurement of goods. We argue that their signature is not merely an administrative formality but a professional endorsement of the price’s reasonableness. “ Condition 2 18 (or 30%) transactions totaling $104,603 pertained to procurements entered into by competitive sealed proposals. No evidence was provided showing that the Commissioner of Education has determined in writing that the procurement satisfies the condition for use of competitive sealed proposals in accordance with § T60-40-225(a). Further, Notices of Intent to Award were not provided for the reason that there was only one proposer. § T60-40-225(g) does not discuss about exemptions for instances where there is only one proposer. We disagree. Based on existing Public School System Procurement Rules and Regulations, the Public School System through the Finance department strongly maintains that the Commissioner of Education, being the chief state school superintendent and the Chief of Procurement and Supply, are vested with the determination authority in all Procurement and Supply matters, among others. Such affirmation is further articulated in the Public School System's October 30, 2023 letter to Ernst & Young, LLP Executive Director James N. Whitt, that, among others and in particular, as cited in the following under: Part T60-40-225(a): Interpreting Rule Language: The rule explicitly requires the Commissioner of Education to determine "in writing" upon the advice of legal counsel when the use of competitive sealed bidding is not practical or advantageous. However, it doesn't prescribe a specific form or extent of justification needed. Commissioner's Signature as Written Determination: We believe that the Commissioner's signature on a cover letter stating that competitive sealed proposals will be used fulfills the "in writing" requirement. The signature, in this context, serves as an acknowledgment that the Commissioner has considered the matter and found it advantageous to PSS. Subjectivity of 'Advantageous': The rule leaves room for interpretation by using the term "advantageous," which is inherently subjective. Since it does not stipulate the need for detailed justification, the Commissioner’s decision that the method is advantageous should suffice. Legal Counsel's Role: The regulation specifies that the determination should be made "upon the advice of legal counsel." It can be inferred that this due process has been followed if the Commissioner signs a letter or document related to competitive sealed proposals, thereby adding another layer of checks and balances. Presumption of Expertise: As the Commissioner of Education, it is presumed that the individual is capable of making informed decisions that are in the best interest of PSS. Their signature, therefore, carries the weight of their expertise and authority. Anticipated Completion Date: N/A Name of Contact Person and Title Contact Person – Arlene Lizama, Director of Finance Contact – arlene.lizama@cnmipss.org

Finding No. 2022-012 Area: Procurement, Suspension and Debarment Views of Auditee and Planned Corrective Action Condition 1. 2 (or 3%) transactions totaling $26 identified as doc nos. 333590 and 28221 pertained to small purchases not exceeding $500 and for which no price quotations were made. No evidence was provided showing that a written determination of the reasonableness of price was performed. We disagree. Based on existing Public School System Procurement Rules and Regulations, the Public School System through the Finance department strongly maintains that the Commissioner of Education, being the chief state school superintendent and the Chief of Procurement and Supply, are vested with the determination authority in all Procurement and Supply matters, among others. Such affirmation is further articulated in the Public School System's October 30, 2023 letter to Ernst & Young, LLP Executive Director James N. Whitt, that, among others and in particular, as cited in Part T60-40-210(b) 2: “Expertise and Authority of the Chief: The Chief of Procurement and Supply possesses specific and comprehensive experience in the procurement of goods. We argue that their signature is not merely an administrative formality but a professional endorsement of the price’s reasonableness. “ Condition 2. 2 (or 3%) transactions totaling $739 identified as Doc Nos 332318 and 332718 pertained to small purchases not exceeding $10,000 and for which no price quotations were obtained. We disagree. Price quotations for Document Nos 332318 and 332718 were provided to the Ernst & Young audit team. Condition 3. 1 (or 2%) transaction amounting to $575 identified as Doc. No. 27345 pertained to a small purchase not exceeding $10,000 and for which only 2 price quotations were obtained, instead of the 3 quotations required by § T60-40-210(d). We disagree. Doc No. 27345 price quotations were provided to the Ernst & Young audit team. Condition 4. 43 (or 72%) transactions totaling $245,856 were procured through competitive sealed proposals. No evidence was provided showing that the Commissioner of Education has determined in writing that the procurement satisfies the condition for use of competitive sealed proposals in accordance with § T60-40-225(a). We disagree. Based on existing Public School System Procurement Rules and Regulations, the Public School System through the Finance department strongly maintains that the Commissioner of Education, being the chief state school superintendent and the Chief of Procurement and Supply, are vested with the determination authority in all Procurement and Supply matters, among others. Such affirmation is further articulated in the Public School System's October 30, 2023 letter to Ernst & Young, LLP Executive Director James N. Whitt, that, among others and in particular, as cited in the following under: Part T60-40-225(a): Interpreting Rule Language: The rule explicitly requires the Commissioner of Education to determine "in writing" upon the advice of legal counsel when the use of competitive sealed bidding is not practical or advantageous. However, it doesn't prescribe a specific form or extent of justification needed. Commissioner's Signature as Written Determination: We believe that the Commissioner's signature on a cover letter stating that competitive sealed proposals will be used fulfills the "in writing" requirement. The signature, in this context, serves as an acknowledgment that the Commissioner has considered the matter and found it advantageous to PSS. Subjectivity of 'Advantageous': The rule leaves room for interpretation by using the term "advantageous," which is inherently subjective. Since it does not stipulate the need for detailed justification, the Commissioner’s decision that the method is advantageous should suffice. Legal Counsel's Role: The regulation specifies that the determination should be made "upon the advice of legal counsel." It can be inferred that this due process has been followed if the Commissioner signs a letter or document related to competitive sealed proposals, thereby adding another layer of checks and balances. Presumption of Expertise: As the Commissioner of Education, it is presumed that the individual is capable of making informed decisions that are in the best interest of PSS. Their signature, therefore, carries the weight of their expertise and authority. Anticipated Completion Date: N/A Name of Contact Person and Title Contact Person – Arlene Lizama, Director of Finance Contact – arlene.lizama@cnmipss.org

Finding 2022-006: Procurement, Suspension, and Debarment – Material Weakness. The buying policy ordering process has been updated to include blocking GSA (Government Services Administration) & HHS (Health & Human Services) disbarred sellers in accordance with SAM (System of Award Management) system. The overall Procurement policy, contracts and forms will be updated to include suspension and debarment language.