Finding 1140384 (2024-004)

Significant Deficiency
Requirement
I
Questioned Costs
-
Year
2024
Accepted
2025-06-05

AI Summary

  • Core Issue: The Town's procurement standards lack essential elements required by federal regulations.
  • Impacted Requirements: Compliance with 2 CFR sections 200.318 through 200.326 is not met, risking federal procurement noncompliance.
  • Recommended Follow-Up: The Town should revise its procurement policies to align with federal criteria.

Finding Text

2024-004 Procurement Federal Agency: All Federal Agencies - US Department of Transportation Federal Program Name: All Federal Programs Assistance Listing Number: All Assistance Listing Numbers - 20.205 Federal Award Identification Number and Year: N/A – applies to all Federal Programs Pass-Through Agency: N/A Pass-Through Number(s): N/A Award Period: N/A Type of Finding: Significant Deficiency in Internal Control over Compliance Other Matter Criteria: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (UG) requires compliance with the provisions of procurement, suspension, and debarment. Condition: The Town’s procurement standards do not include the essential elements as outlined in 2 CFR sections 200.318 through 200.326. Effect: With the absence of a compliant policy, the Town is at risk for noncompliance as it relates to federal procurement. Cause: The Town was unaware that the policy was not compliant with Uniform Guidance. Repeat Finding: No Recommendation: We recommend that the Town review its formal procurement policies and make necessary changes to comply with the criteria as set out in 2 CFR sections 200.318 and 200.326. Views of Responsible Officials: Management agrees with this finding.

Categories

Procurement, Suspension & Debarment

Other Findings in this Audit

  • 563942 2024-004
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
20.205 Highway Planning and Construction $4.97M
14.228 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $1.42M
10.555 National School Lunch Program $367,706
84.027 Special Education Grants to States $171,458
84.010 Title I Grants to Local Educational Agencies $146,903
10.553 School Breakfast Program $100,350
10.560 State Administrative Expenses for Child Nutrition $77,244
84.048 Career and Technical Education -- Basic Grants to States $49,421
21.027 Coronavirus State and Local Fiscal Recovery Funds $35,000
84.365 English Language Acquisition State Grants $26,101
84.424 Student Support and Academic Enrichment Program $25,497
97.042 Emergency Management Performance Grants $16,800
20.616 National Priority Safety Programs $15,239
84.367 Supporting Effective Instruction State Grants (formerly Improving Teacher Quality State Grants) $13,014
84.425 Education Stabilization Fund $8,926
16.922 Equitable Sharing Program $4,425
10.649 Pandemic Ebt Administrative Costs $3,918
32.009 Emergency Connectivity Fund Program $2,494
84.173 Special Education Preschool Grants $988