Finding 1114371 (2024-002)

2024-002 (Material Weakness over Compliance): Insufficient Design of Procurement Policy Criteria: Under CFR 200.320, three types of procurement methods are outlined based on the dollar amount and nature of transactions. Condition: The Organization’s existing procurement policy does not outline the three methods described under CRF 200.320. The policy also does not clearly outline the conditions under which different procurement methods are required based on the dollar amount and nature of transactions. Questioned Costs: There were no questioned costs associated with this finding. Effect: This error potentially resulted in the payment of higher prices for goods and services, violating federal procurement regulations. Recommendation: The Organization should strengthen its policies, training, and monitoring related to procurement to ensure compliance with CFR 200.