Finding 1056986 (2023-001)

Material Weakness
Requirement
I
Questioned Costs
-
Year
2023
Accepted
2024-08-06
Audit: 316743
Organization: Town of Van Buren (ME)

AI Summary

  • Core Issue: The Town of Van Buren lacks a procurement policy that meets federal compliance standards.
  • Impacted Requirements: This finding relates to 2 CFR sections 200.318 through 200.327, which outline necessary procurement practices.
  • Recommended Follow-Up: The Town should adopt a compliant federal procurement policy to mitigate risks of unallowable purchases.

Finding Text

Section III - Federal Awards Findings and Questioned Costs MATERIAL WEAKNESSES 2023-001 - Procurement Policy Federal Program Information: Department of Environmental Protection: 66.458/66.482 Clean Water State Revolving Funds Cluster 21.027 Coronavirus State Local Fiscal Recovery Funds Criteria: The following CFR(s) apply to this finding: 2 CFR section 200.318 through 200.327. Condition: During audit procedures, it was identified that the Town of Van Buren did not have a procurement policy consistent with federal compliance standards. Cause: The District did not adopt a procurement policy consistent with federal regulations. Effect: By not having a compliant federal procurement policy, the Town is at an increased risk for making unallowable purchases. Identification of Questioned Costs: None identified. Context: A review was conducted of the Town’s procurement policy and the policy was not in compliance with Uniform Guidance. Repeat Finding: This is not a repeat finding. Recommendation: It is recommended that the Town adopt a federal procurement policy that is consistent with Uniform Guidance. Views of Responsible Officials and Corrective Action Plan: Client agrees with finding, and the unabridged version of their response can be found in the Corrective Action Plan. Please see the Corrective Action Plan issued by the District.

Categories

Procurement, Suspension & Debarment Allowable Costs / Cost Principles Material Weakness

Other Findings in this Audit

  • 480544 2023-001
    Material Weakness
  • 480545 2023-001
    Material Weakness
  • 1056987 2023-001
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
66.458 Capitalization Grants for Clean Water State Revolving Funds $717,228
21.027 Coronavirus State and Local Fiscal Recovery Funds $463,509
66.418 Construction Grants for Wastewater Treatment Works $390,539
14.228 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $90,000