Finding 1090109 (2023-008)

Significant Deficiency
Requirement
I
Questioned Costs
-
Year
2023
Accepted
2024-12-09
Audit: 331570
Organization: The City of Homewood, Alabama (AL)
Auditor: Bmss LLC

AI Summary

  • Core Issue: The City of Homewood, Alabama lacks proper controls to verify if vendors are suspended or debarred before entering contracts.
  • Impacted Requirements: This situation violates Title 2 U.S. Code of Federal Regulations Part 180, which mandates verification of vendor eligibility.
  • Recommended Follow-Up: Implement new policies and procedures to ensure checks on vendor status are documented in bid-contract files.

Finding Text

Criteria: The requirements of Title 2 U.S. Code of Federal Regulations Part 180, OMB Guidelines to Agencies on Government-Wide Debarment and Suspension state that when you enter into a covered transaction with another person or entity, you must verify that the person or entity with whom you intend to do business is not excluded or disqualified. Condition: The City of Homewood, Alabama did not have adequate controls in place to ensure that person or entities were not suspended or debarred. Cause and effect: The City of Homewood, Alabama lacks the policies and procedures concerning the process of determining if a person or entity is suspended or debarred. The lack of such policies and procedures for suspension and debarment could result in contracts with suspended or debarred vendors. Recommendation: The City of Homewood, Alabama should adopt policies and procedures and improve controls necessary to ensure there is evidence of review of suspended or debarred vendors is included with bid-contract documents. View of responsible officials: The City of Homewood, Alabama has plans to revise its policies and procedures for federal award programs to include procedures related to suspension and debarment.

Categories

Procurement, Suspension & Debarment

Other Findings in this Audit

  • 513662 2023-007
    Significant Deficiency
  • 513663 2023-007
    Significant Deficiency
  • 513664 2023-007
    Significant Deficiency
  • 513665 2023-007
    Significant Deficiency
  • 513666 2023-007
    Significant Deficiency
  • 513667 2023-008
    Significant Deficiency
  • 513668 2023-007
    Significant Deficiency
  • 513669 2023-008
    Significant Deficiency
  • 513670 2023-009
    Significant Deficiency
  • 1090104 2023-007
    Significant Deficiency
  • 1090105 2023-007
    Significant Deficiency
  • 1090106 2023-007
    Significant Deficiency
  • 1090107 2023-007
    Significant Deficiency
  • 1090108 2023-007
    Significant Deficiency
  • 1090110 2023-007
    Significant Deficiency
  • 1090111 2023-008
    Significant Deficiency
  • 1090112 2023-009
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $2.43M
20.600 State and Community Highway Safety $734,643
20.219 Recreational Trails Program $279,169
97.083 Staffing for Adequate Fire and Emergency Response (safer) $69,122
45.310 Grants to States $10,000
15.904 Historic Preservation Fund Grants-in-Aid $6,157