Finding 1103332 (2024-003)

Assistance Listing Number 21.029 Coronavirus Capital Projects Department of Treasury North Dakota Department of Career and Technical Education Procurement and Suspension and Debarment 2 CFR part 180.220 2024 Grant Year Criteria Non-Federal entities are prohibited from contracting with or making subawards under covered transactions to parties that are suspended or debarred. “Covered transactions” include goods and services awarded under a non-procurement transaction (e.g grant or cooperative agreement) that are expected to equal or exceed $25,000 or meet certain other criteria as specified in 2 CFR part 180.220. Condition The Center is not currently reviewing parties they are contracting with to ensure they are not suspended or debarred parties. Audit testing of covered transactions did not reveal any suspended or debarred vendors. Cause The Center does not have written policies or procedures addressing contracting with suspended or debarred parties. Effect Non-compliance with Suspension & Debarment compliance requirements Context The Center entered into contracts with six vendors during the year, of which all six were tested. Questioned Costs Undeterminable. Recommendation We recommend for the Center to revise their procurement policy to include steps to review parties they are contracting with to ensure they are not included on the Federal suspended or debarred party listing, in accordance with 2 CFR part 180.220. Repeat Finding New finding Management’s Response The Center will implement suspended and debarred party procedures and monitor vendors to ensure they are not listed on the Federal suspended or debarred party listing.