Finding Text
Criteria: Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) 200.318 General Procurement Standards requires entities to have documented procurement procedures that conform to the procurement standards identified in 2 CFR 200.317 through 200.327.
Condition: The City does not have formal documented procurement policies and procedures related to expenditures of federal awards.
Cause: The City Council forms a committee to review and approve disbursements of federal funds. This process is the City’s general practice but does not follow written procurement policies and procedures.
Effect: The City is out of compliance with general procurement standards under 2 CFR 200.318.
Recommendation: The City should adopt formal documented procurement policies and procedures related to expenditures of federal awards.
Response: 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.