Finding 1106207 (2024-001)

Criteria: Non-federal entities are prohibited from contracting with or making subawards under covered transactions to parties that are suspended or debarred. Before entering into a covered transaction the entity must verify that the contractor is not suspended, debarred, or otherwise excluded from participating in the transaction. Condition: During the course of the audit, it was observed that suspension and debarment checks were not conducted for three vendors. This oversight was identified through a comprehensive review of the vendor management process and related documentation. Questioned Costs: None noted. Context: CLA found the following: Suspension and debarment procedures were not perfomed for three out of five vendors prior to entering into the transaction. Cause: The County does not have standard procedures in place for ensuring that vendors are not suspended or debarred. Effect: Without checking debarment before engaging services, the County could have entered into an agreement with a vendor that was disbarred from receiving federal funding. Repeat Finding: Not a repeat finding. Recommendation: CLA recommends the County implement procedures to ensure that federal guidance is followed relating to suspension and disbarment and provide training on these procedures. Views of responsible officials: There is no disagreement with the audit finding.