Finding Text
Suspension and Debarment
Federal Agency: U.S. Department of the Treasury
Federal Program Name: COVID-19 American Rescue Plan Act Local Fiscal Recovery
Assistance Listing Number: 21.027
Federal Award Identification Number and Year: Not Available
Pass-Through Agency: State of Connecticut Office of Policy and Management
Pass-Through Number(s): 12060-OPM20600-29669
Award Period: March 3, 2021 through December 31, 2024
Type of Finding:
• Significant Deficiency in Internal Control over Compliance
Criteria
The Town must verify that an entity with which the Town plans to enter into a covered transaction is not debarred, suspended, or otherwise excluded.
Condition
The Town does not have formal policies or procedures in place for verification that an entity with which the Town plans to enter into a covered transaction is not debarred, suspended, or otherwise excluded.
Questioned Costs
None noted.
Context
Although the Town did not have formal policies or procedures in place in conformity with the federal Uniform Guidance criteria, in the sample of transactions that were tested, we did not note any suspended/debarred vendors.
Effect
With the absence of compliant policies and procedures, the Town is at risk of noncompliance as it relates to federal suspension and debarment requirements.
Cause
The Town’s policy has not been updated to be in compliance with these requirements.
Recommendation
We recommend that the Town review its formal procurement policies and make necessary revisions to formally include policies and procedures to meet the requirements for verification that an entity with which the Town plans to enter into a covered transaction is not debarred, suspended, or otherwise excluded.
Views of Responsible Officials
Management agrees with the auditors’ recommendations.