Finding Text
2023-003 Procurement (Significant Deficiency)
U.S. Department of Treasury 21.027 Coronavirus State and Local Fiscal Recovery Funds
Criteria: The Uniform Guidance required that an Organization have written procurement policies in place to comply with 2 CFR Sections 200.318-300.327 when procurement is applicable to a federal program. According to the compliance requirements matrix, procurement is applicable to ALN #21.027.
Condition: While testing the procurement compliance requirement we found that the Organization does not have a written procurement policy. We did not, however, find any evidence of material noncompliance related to this requirement. Cause: Management does not regularly expend federal dollars above the threshold requiring a Single Audit under the Uniform Guidance. As such, policies related to procurement were not adopted.
Effect: Internal controls surrounding Uniform Guidance are incomplete.
Questioned Costs: None noted.
Recommendation: Management should review 2 CFR Sections 200.138 – 300.327 and develop written policies that comply with the compliance requirements.
Views of Responsible Officials and Planned Corrective Actions: The Organization will review CFR Sections 200.138 and 300.327 and develop written policies that align with the compliance requirements. Monique Johnson, Executive Director of Allen County Drug & Alcohol Consortium, is responsible for this corrective action. The anticipated completion date is June 30, 2025.