Finding 1147114 (2024-004)

Federal Agency: U.S. Department of Agriculture Federal Program Name: Partnerships for Climate-Smart Commodities Assistance Listing Number: 10.937 Federal Award Identification Number and Year: NR233A750004G022 – 2023 Award Period: April 14, 2023 through April 28, 2028 Type of Finding: Significant Deficiency in Internal Control Over Compliance and Other Matter Criteria: Non-federal entities are prohibited from contracting with or making subawards under covered transactions to parties that are suspended or debarred. Condition: While performing audit procedures over subrecipients, it was noted that the Board does not have a formalized policy in place to ensure subrecipients are not suspended or debarred. Questioned Costs: None Context: The Board does not have a formalized policy in place to ensure subrecipients are not suspended or debarred, however the Board performed other procedures to ensure subrecipients were not suspended or debarred. Cause: The Board has not had a history of entering into contracts with subawards therefore has not historically had a formalized suspension and debarment policy in place. Effect: The Board may contract or subaward with parties that are suspended or debarred. Repeat Finding: No Recommendation: The Board should adopt a written suspension and debarment policy. Views of Responsible Officials: Management agrees with the finding.