Finding Text
Findings and Questioned Costs Related to Federal Awards
Finding Number: 2024‐001
Repeat Finding: No
Program Name/Assistance Listing Title: Coronavirus State and Local Fiscal Recovery Funds
Assistance Listing Number: 21.027
Federal Agency: U.S. Department of Treasury
Federal Award Number: ERMT‐21‐2016
Pass‐Through Agency: Arizona Governor’s Office
Questioned Costs: N/A
Type of Finding: Noncompliance, Significant Deficiency
Compliance Requirement: Procurement and Suspension and Debarment
Criteria
Non‐federal entities other than states, including those operating federal programs as subrecipients
of states, must follow the procurement standards set out at 2 CFR §§200.318 through 200.326.
Subrecipients must use their own documented procurement procedures, which reflect applicable
State and local laws and regulations, provided that the procurements conform to applicable federal
statutes and the procurement requirements identified in 2 CFR part 200.
Condition
The District did not follow Federal, State, and Board policies and regulations governing procurement.
Cause
The District’s review procedures over each transaction did not operate as designed.
Effect
The District was not in compliance with Federal, State, and Board policies and regulations governing
procurement.
Context
The District procured a multi‐year professional development support services contract in the amount
of $111,200 using quotations rather than issuing a formal procurement. The sample was not intended
to be, and was not, a statistically valid sample.
Recommendation
Approvers of requisitions should ensure multi‐year purchases exceeding the formal procurement
threshold are appropriately procured in accordance with Federal, State and Board policies and
regulations.
Views of Responsible Officials
See Corrective Action Plan.