Finding 1101256 (2024-001)

Significant Deficiency
Requirement
I
Questioned Costs
-
Year
2024
Accepted
2025-02-27

AI Summary

  • Core Issue: C/CAG failed to verify that one vendor was not debarred or suspended from federal awards.
  • Impacted Requirements: This violates 2 CFR 200.214, which mandates checks against SAM.gov or obtaining certifications.
  • Recommended Follow-up: Implement a process to ensure all vendor contracts include debarment clauses and maintain proper documentation for compliance.

Finding Text

Criteria: Per 2 CFR 200.214, when an entity enters into a covered transaction using federal awards with a vendor, the entity must verify that the vendor is not debarred, suspended, or otherwise excluded from receiving or participating in Federal award. The entity can do this by: (a) Checking SAM.gov Exclusions; or (b) Collecting a certification from that entity; or (c) Adding a clause or condition to the covered transaction Condition: C/CAG was unable to provide proof that it performed a suspension and debarment check on one of two vendors tested. C/CAG did not have evidence of a SAM.gov check on the vendor, or a timely certification from that vendor, or a clause or condition in the contract with that vendor asserting they were not suspended or debarred. Cause: The vendor had been selected for an earlier similar non-Federally-funded project, and the new amended contract did not include the suspension/debarment clause as required by C/CAG’s policy. Effect: One vendor of two tested vendors did not have sufficient evidence that they were not debarred or suspended from participating in Federal award activities.

Categories

Procurement, Suspension & Debarment

Other Findings in this Audit

  • 524814 2024-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
20.205 Highway Planning and Construction $2.05M
66.126 Geographic Programs - San Francisco Bay Water Quality Improvement Fund $403,995