Finding Text
Criteria: The Uniform Guidance regulations (§200.320) require, among
other things, that procurement for purchases of goods and services
follow certain procedures related to obtaining and awarding of
contracts based on sealed bid, competitive-, and non-competitive
proposals. Additionally, §200.318(d) provides that written
policies and procedures must document the avoidance of the
acquisition of unnecessary or duplicative items.
Condition: During our testing of purchases under the procurement
regulations, for 3 out of 11 vendors (paid approximately $2.86
million out of the amount tested of $3.45 million) selected for
testing, the Parish was unable to provide supporting
documentation that these vendor services or supplies were
procured in accordance with the standards in §200.320. The
universe (population) from which the items were selected was all
vendor payments in 2022 over scope ($205,000 for GoMESA and
$77,000 for CSLFRF) consisting of 14 vendors paid
approximately $5.7 million.
Questioned Costs: Unknown.
Cause: A material weakness exists in the internal controls over
procurement. The Parish does not have adequate controls in place
to ensure that appropriate supporting documentation is maintained
for purchases made under the procurement standards to support
the Parish’s consideration and/or conclusion for obtaining and
awarding of contracts based on sealed bid, competitive, and noncompetitive
proposals. Additionally, written policies and
procedures for procurement were not reviewed to ensure all
requirements under these regulations were addressed.
Effect: The Parish may not be receiving the overall lowest cost for
services and supplies procured by the Parish.
Recommendation: We recommend the Parish implement internal controls to ensure
that supporting documentation is maintained for the procurement
of goods and services in accordance with §200.320. Additionally,
we recommend the Parish enhance its written policies and
procedures to ensure compliance with federal procurement
requirements.
View of Responsible Official: The Parish will review the policies and procedures to ensure that
proper internal controls are in place and the Parish will emphasize
federal procurement guidelines.