Finding 1124048 (2024-006)

Enhancement of Policies and Procedures for Federal Awards Criteria: The Uniform Guidance administrative requirements and cost principles apply to federal funding awards on or after December 26, 2014. 2 CFR 200, Subpart D – Post Federal Award Requirements and Subpart E – Cost Principles of the Uniform Guidance require specific written policies and internal controls relative to federal awards. Written policies should be in place to establish operational parameters to ensure compliance with regulations. Condition: The written policies and procedures of the Town do not directly address all the requirements under the Uniform Guidance for federal programs as it relates to procurement, suspension and debarment. Cause: The Town has not taken appropriate steps to formalize policies and procedures relating to the requirements established under Uniform Guidance for compliance with and procurement, suspension and debarment. Questioned Costs: None. Effect: The Town is susceptible to a higher risk of non-compliance with federal awarding requirements as they relate to procurement, suspension and debarment. Recommendation: The Town must establish written policies and procedures to ensure compliance with Uniform Guidance relating to procurement and suspension and debarment. Identification of a repeat finding: N/A View of Responsible Official: Management concurs with the finding.