Finding Text
Federal Agency: U.S. Department of the Treasury
Federal Program Name: Coronavirus State and Local Fiscal Recovery Funds
Assistance Listing Number: 21.027
Federal Award Identification Number and Year: SLFRP0002 – 2021, SLFRP1045 – 2021, SLFRP0194 - 2021
Pass-Through Agency: Washington State Department of Commerce, City of Seattle, Snohomish County
Pass-Through Number(s): (DOC) 23-F21400119-017, DC222308, CLFR-042
Award Period: Various
Type of Finding:
• Significant Deficiency in Internal Control Over Compliance
Criteria or specific requirement: For grants and cooperative agreements, the procurement method used must be appropriate based on the dollar amount and conditions specified in 2 CFR section 200.320 or the entities policies, whichever is more restrictive.
Condition: Procurement procedures were not followed in accordance with the Agency’s policy.
Questioned costs: None
Context: Eight vendors that were identified as requiring procurement procedures during testing did not have formal documentation of obtaining bids, the reason for final decision and justification for sole source.
Cause: The Agency did not follow its procurement policy.
Effect: The Agency is out of compliance with its procurement policy.
Repeat finding: No
Recommendation: We recommend the Agency's procurement policy is updated to reflect the current federal guidelines and that policies and procedures are implemented to ensure that the history of the procurement, including the rationale for the method of procurement, selection of contract type, basis for contractor selection, and the basis for the contract price is documented as applicable (2 CFR section 200.318(i) and 48 CFR Part 44 and section 52.244-2).
Views of responsible officials: There is no disagreement with the audit finding.