Finding 1090515 (2022-004)

Material Weakness
Requirement
I
Questioned Costs
-
Year
2022
Accepted
2024-12-12
Audit: 332259
Organization: Leech Lake Tribal College (AZ)
Auditor: Redw

AI Summary

  • Core Issue: The College failed to maintain adequate records for procurement transactions, violating federal compliance requirements.
  • Impacted Requirements: Noncompliance with 2 CFR Sections 200.318i and 200.319a, which mandate detailed procurement records and full competition.
  • Recommended Follow-up: Establish and enforce formal policies for monitoring procurement processes, ensuring compliance with sealed bid requirements for contracts over $150,000.

Finding Text

2022-004 — Procurement – Material Weakness in Internal Control Over Compliance and Noncompliance Federal program information: Funding agencies: U.S. Department of Interior and U.S. Department of Education Titles: Assistance to Tribally Controlled Community Colleges; Higher Education Institutional Aid; and Education Stabilization Fund ALN Number: 15.027, 84.031, and 84.425 Award years: Various Criteria: According to 2 CFR Section 200.318i, the recipient or subrecipient must maintain records sufficient to detail the history of each procurement transaction. These records must include the rationale for the procurement method, contract type selection, contractor selection or rejection, and the basis for the contract price. According to 2 CFR Section 0200.319a, All procurement transactions under the Federal award must be conducted in a manner that provides full and open competition. Condition: The College did not maintain records sufficient to detail the history of each procurement transaction for the nine procurements contracts tested. Cause: The College did not have sufficient procedures in place to ensure that procurement records are maintained. Effect: The College is not in compliance with procurement requirements. Questioned Costs: None Context: Procurement documents were not retained for nine out of nine transactions tested. Recommendation: Formally document and enforce policies and procedures that will promote adequate monitoring of the procurement and bidding process. Ensure that any contract over the College’s threshold ($150,000) follow the sealed bid requirements listed in 2 CFR Section 200.320b1. View of Responsible Officials: The College concurs with this finding.

Categories

Procurement, Suspension & Debarment Subrecipient Monitoring Material Weakness

Other Findings in this Audit

  • 514063 2022-003
    Material Weakness Repeat
  • 514064 2022-004
    Material Weakness
  • 514065 2022-005
    Significant Deficiency
  • 514066 2022-003
    Material Weakness Repeat
  • 514067 2022-004
    Material Weakness
  • 514068 2022-005
    Significant Deficiency
  • 514069 2022-003
    Material Weakness Repeat
  • 514070 2022-004
    Material Weakness
  • 514071 2022-005
    Significant Deficiency Repeat
  • 514072 2022-003
    Material Weakness Repeat
  • 514073 2022-004
    Material Weakness
  • 514074 2022-005
    Significant Deficiency Repeat
  • 514075 2022-003
    Material Weakness Repeat
  • 514076 2022-004
    Material Weakness
  • 514077 2022-005
    Significant Deficiency
  • 514078 2022-003
    Material Weakness Repeat
  • 514079 2022-004
    Material Weakness
  • 514080 2022-005
    Significant Deficiency
  • 1090505 2022-003
    Material Weakness Repeat
  • 1090506 2022-004
    Material Weakness
  • 1090507 2022-005
    Significant Deficiency
  • 1090508 2022-003
    Material Weakness Repeat
  • 1090509 2022-004
    Material Weakness
  • 1090510 2022-005
    Significant Deficiency
  • 1090511 2022-003
    Material Weakness Repeat
  • 1090512 2022-004
    Material Weakness
  • 1090513 2022-005
    Significant Deficiency Repeat
  • 1090514 2022-003
    Material Weakness Repeat
  • 1090516 2022-005
    Significant Deficiency Repeat
  • 1090517 2022-003
    Material Weakness Repeat
  • 1090518 2022-004
    Material Weakness
  • 1090519 2022-005
    Significant Deficiency
  • 1090520 2022-003
    Material Weakness Repeat
  • 1090521 2022-004
    Material Weakness
  • 1090522 2022-005
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
15.027 Assistance to Tribally Controlled Community Colleges and Universities $798,622
84.063 Federal Pell Grant Program $650,284
84.031 Higher Education Institutional Aid $376,471
47.076 Stem Education (formerly Education and Human Resources) $191,442
10.202 Cooperative Forestry Research $134,956
10.500 Cooperative Extension Service $133,127
10.766 Community Facilities Loans and Grants $98,814
10.221 Tribal Colleges Education Equity Grants $75,146
84.425 Education Stabilization Fund $54,472
10.222 Tribal Colleges Endowment Program $27,857
84.007 Federal Supplemental Educational Opportunity Grants $12,900
43.008 Office of Stem Engagement (ostem) $10,157
45.310 Grants to States $200
45.310C Cares Act Tc Libraries $0