Finding Text
2023 – 004: Property & Equipment, Procurement, Suspension and Debarment Federal Agency: U.S. Department of Health and Human Services Federal Program Title: State Opioid Response Discretionary Grant Assistance Listing Number: 93.788 Pass-Through Agency: Central Florida Cares Health System, Inc (CFCHS) Pass-Through Number: RCC24 Award Periods: 7/1/2022 - 6/30/2023, 7/1/2023 - 6/30/24 Type of Finding: -Material Weakness in Internal Control over Compliance -Material Noncompliance (Modified Opinion) Criteria or specific requirement: When accepting federal funds, entities are required to have a procurement policy meeting certain requirements, written standards for conflict of interest and governing the performance of its employees engaged in the selection, award, and administration of contracts, and procedures for verifying that an entity with which it plans to enter into a covered transaction is not debarred, suspended, or otherwise excluded. For equipment acquired under federal awards, entities must appropriately safeguard and maintain property. Condition: Recovery Connections of Central Florida, Inc. does not have written policies or procedures covering procurement, suspension, or debarment. No documentation of evaluation and approval for purchase of equipment. No physical inventory observation procedures in place. Questioned costs: None Context: Out of the sample of 1 vendor, 1 exception noted where documentation of assessment and approval of purchase, including procurement, suspension and debarment procedures were not provided. No physical inventory observation procedures in place. Cause: Recovery Connections of Central Florida, Inc. was in the start-up stage and had a limited number of employees. Effect: Recovery Connections of Central Florida, Inc. could enter into a covered transaction with an entity that is debarred, suspended, or otherwise excluded. Repeat Finding: Yes Recommendation: We recommend Recovery Connections of Central Florida, Inc. create a suspension and debarment policy and perform a physical inventory observation. Views of responsible officials: There is no disagreement with the audit finding.