Finding Text
Grants for Capital Development in Health Centers –
ALN 93.526
U.S. Department of Health and Human Services
Award No. 6 C8ECS44310-01-05, September 15, 2021-September 14, 2024
Award No. 6 C8ECS44310-01-04, September 15, 2021-September 14, 2024
Award No. 6 C8ECS44310-01-03, September 15, 2021-September 14, 2024
Award No. 6 C8ECS44310-01-02, September 15, 2021-September 14, 2024
Award No. 6 C8ECS44310-01-01, September 15, 2021-September 14, 2024
Award No. 1 C8ECS44310-01-00, September 15, 2021-September 14, 2024
Criteria or Specific Requirement – Procurement – 45 CFR 75.329
Condition – Procurement procedure was not followed for use of
vendor with costs greater than $250,000 for purchase of dental
equipment.
Questioned cost – None
Context – A sample of 1 vendor was tested out of a population of
3 vendors. The sampling methodology used is not and is not
intended to be statistically valid. For the vendor that was tested, it
was found that selection of this vendor was inconsistent with the
procurement policy. The client initially had intended to use the
grant money for other purposes and had not intended to use
federal funds to purchase dental equipment. Therefore, they did
not go through the formal procurement processes to select the
tested vendor.
Effect – Procurement methodology was not followed for vendor
with expenses of over $250,000.
Cause – The Organization did not comply with their procurement
policy.
Identification as a repeat finding, if applicable – New finding
Recommendation – We recommend management continue to
ensure all personnel understand the procurement policy and
adhere to the requirements and guidelines set forth in the policy.
Procedures should be implemented to ensure that vendors,
especially those over $250,000, are selected and vetted in
accordance with policy and Uniform Guidance.