Finding Text
Finding: 2024-005 Procurement, Suspension, and Debarment
Federal Programs: Department of Health and Human Services
Health Center Program Cluster
Assistance Listing No. - 93.527 & 93.224
Criteria: Procurement 45 CFR 75.329 and 45 CFR 75.213
Condition: The Organization did not verify that employees and certain vendors were not suspended, debarred, or otherwise excluded from participating in federal programs before entering into transactions with them.
Cause: The Organization did not have proper procedures in place to ensure debarment searches were obtained as required.
Effect: The Organization did not verify that employees and certain vendors were not suspended, debarred, or otherwise excluded from participating in federal programs before entering into transactions with them.
Questioned Costs: None reported.
Context/Sampling: The finding appears to be a systemic issue.
Repeat Finding from Prior Year: Yes
Recommendation: It is recommended that the Organization establish policies and procedures to ensure that the procurement policy is followed and that debarment searches are performed and documented as required.
Views of Responsible Officials: Management concurs. This was corrected after the audit for the fiscal year ended November 30, 2023, which was completed after the fiscal year ended November 30, 2024.
Contact Person: Suzanne Freeman, CEO
Anticipated Date of Completion: October 31, 2025