FAC Explorer

Finding 1056684 (2023-001)

Material Weakness
Requirement
I
Questioned Costs
-
Year
2023
Accepted
2024-08-01
Audit: 316476
Organization: Brother Bill's Helping Hand (TX)
Auditor: Sutton Frost Cary LLP

AI Summary

  • Core Issue: The Organization failed to obtain required price quotes for procurement transactions exceeding the micro-purchase threshold.
  • Impacted Requirements: Non-compliance with Section 200.320 of the Code of Federal Regulations regarding procurement processes.
  • Recommended Follow-up: Implement procedures to ensure price quote documentation is collected and retained for all relevant transactions.

Finding Text

Finding 2023‐001: Procurement – material weakness in internal controls over compliance and compliance finding. 21.027: Coronavirus State and Local Fiscal Recovery Funds Criteria: Section 200.320 of the Code of Federal Regulations requires non‐federal entities to obtain an adequate number of price quotes from qualified sources for acquisitions of property or services when the aggregate dollar amount exceeds the micro‐purchase threshold but does not exceed the simplified acquisition threshold. Condition: During testing of procurement, the auditors noted that the Organization did not have a process to obtain price quotes for vendors that exceeded the micro‐purchase threshold. The Organization had two material procurement transactions charged to the grant. Cause: Organization was unaware of federal procurement requirements. Effect: Internal controls were not properly implemented to reduce the risk of noncompliance and the Organization was not in compliance with federal procurement requirements. Recommendation: Procedures should be implemented to obtain price quote documentation for covered transactions that exceed the micro‐purchase threshold. This documentation should be kept on file for all covered transactions. Management’s response: See corrective action plan.

Categories

Procurement, Suspension & Debarment

Other Findings in this Audit

  • 480242 2023-001
    Material Weakness
  • 480243 2023-002
    Material Weakness
  • 480244 2023-001
    Material Weakness
  • 480245 2023-002
    Material Weakness
  • 480246 2023-001
    Material Weakness
  • 480247 2023-002
    Material Weakness
  • 1056685 2023-002
    Material Weakness
  • 1056686 2023-001
    Material Weakness
  • 1056687 2023-002
    Material Weakness
  • 1056688 2023-001
    Material Weakness
  • 1056689 2023-002
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $570,899
10.569 Emergency Food Assistance Program (food Commodities) $160,644
21.023 Emergency Rental Assistance Program $108,750
10.187 The Emergency Food Assistance Program Commodity Credit Eligible Recipient Funds $55,541
10.182 Local Food Purchase Assistance $20,684