Finding 1090265 (2023-005)

Significant Deficiency
Requirement
I
Questioned Costs
-
Year
2023
Accepted
2024-12-11
Audit: 331804
Organization: Tulsa Community Foundation (OK)
Auditor: Hogantaylor LLP

AI Summary

  • Core Issue: The Foundation lacks documented procurement policies for federal awards, leading to potential non-compliance with federal standards.
  • Impacted Requirements: Non-federal entities must adhere to procurement standards outlined in 2 CFR sections 200.318-200.326.
  • Recommended Follow-up: Develop and implement a formal procurement policy and controls to ensure compliance across all affiliates.

Finding Text

Item 2023-005 – Procurement Significant Deficiency Federal Program – COVID-19 – Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number – 21.027 Pass-through Grantor's Numbers – 2159FR0256, 2159FR0212 Federal Award Year – December 31, 2023 Federal Agency – U.S. Department of Treasury Pass-Through Entity – Tulsa County/City of Tulsa Non-federal entities must follow the procurement standards set out at 2 CFR sections 200.318 through 200.326, which stipulates that the organization must have a policy in place to comply with these standards. The Foundation had no documented policies in place over procurement of goods or services with the use of federal awards. As such, evidence was not available to document that federal procurement standards were followed as transactions took place. The Foundation and affiliates lacked a formally documented policy to prevent or detect inappropriate procurement from being entered into. The Foundation may improperly award and/or pay more than what could have been obtained for comparable goods or services for the geographic area. If instances of non-compliance with federal procurement have occurred or occur in the future, it could result in loss of grant funds, additional federal oversight of federal funding, or repayment of overspent federal monies could be requested to be paid by the Foundation. Not applicable. This is not a repeat finding. The Foundation should create a documented procurement policy that follows federal procurement policies and ensure that all affiliates establish and follow that policy. The Foundation and its affiliates should also establish formally documented controls to ensure that the procurement policies are being adhered. Management's response is reported in "Corrective Action Plan" at the end of this report.

Categories

Procurement, Suspension & Debarment Subrecipient Monitoring Significant Deficiency Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

Other Findings in this Audit

  • 513821 2023-003
    Material Weakness
  • 513822 2023-004
    Significant Deficiency
  • 513823 2023-005
    Significant Deficiency
  • 513824 2023-006
    Significant Deficiency
  • 513825 2023-003
    Material Weakness
  • 513826 2023-004
    Significant Deficiency
  • 513827 2023-005
    Significant Deficiency
  • 513828 2023-003
    Material Weakness
  • 513829 2023-004
    Significant Deficiency
  • 513830 2023-005
    Significant Deficiency
  • 1090263 2023-003
    Material Weakness
  • 1090264 2023-004
    Significant Deficiency
  • 1090266 2023-006
    Significant Deficiency
  • 1090267 2023-003
    Material Weakness
  • 1090268 2023-004
    Significant Deficiency
  • 1090269 2023-005
    Significant Deficiency
  • 1090270 2023-003
    Material Weakness
  • 1090271 2023-004
    Significant Deficiency
  • 1090272 2023-005
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
10.331 Gus Schumacher Nutrition Incentive Program $360,579
10.500 Cooperative Extension Service $158,144
11.307 Economic Adjustment Assistance $132,632
21.027 Coronavirus State and Local Fiscal Recovery Funds $121,947
11.024 Build to Scale $39,629