Finding Text
Finding 2024-001 – Procurement (Significant Deficiency and Noncompliance)
Information on the Federal Program: U.S. Department of Education, Assistance listing # 84.031
Higher Education Institutional Aid
Criteria: 2 CFR 200.317-327 establishes procurement standards for non-federal entities. This
includes different requirements based on the amount of purchases made from the vendor during the
year.
Condition: Of ten vendors tested, one vendor’s services was not properly bid and one vendor was
paid over the micro-purchase threshold and therefore should have obtained price or rate quotes.
Cause: The College contracted with a vendor for consulting and then retained them for on-going
services. These services were not bid. The other vendor was paid more than the micro-purchase
threshold during the year, but price or rate quotes were not obtained for purchases.
Effect: The College did not comply with federal procurement requirements for these two
exceptions.
Questioned Costs: $856,476
Recommendation: We recommend the College strengthen its policies and procedures over
procurement to ensure vendors are properly procured.
Views of Responsible Officials: See Management’s View and Corrective Action Plan included at
the end of the report.