Finding 1062193 (2023-005)

COVID-19 – Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) – Federal Assistance Listing Number 20.027 Condition: We noted three covered transactions where the debarment and suspension status of the vendor was not verified by the County. Criteria: The CSLFRF grant award states the regulations contained in 2 CFR 180 regarding debarment and suspension are applicable to this award. Cause: The County did not have any internal controls in place to verify the debarment and suspension status of a vendor for covered transactions. Effect: Disbursement of grant funds to a suspended or debarred vendor could occur, which would be in violation of the grant award. Context: A total of thirteen disbursements was selected for testing, which was 100% of the population. The auditor verified on SAM.gov that the vendors for the three covered transactions were not debarred or suspended. Therefore, there are no questioned costs. Recommendation: The debarment and suspension status of all vendors for which grant fund disbursements exceed $25,000 should be verified on SAM.gov prior to the disbursement of grant funds. Views of Responsible Officials and Planned Corrective Actions: Management was not aware of this requirement. The County will verify the debarment and suspension status of all vendors for which grant fund disbursements exceed $25,000 on SAM.gov prior to the disbursement of grant funds.