Finding Text
Finding: Item 2024-001 – General Procurement Standards Material Weakness Federal Program – Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number – 21.027 Federal Award Number – PJ1350-ARP35-CMF 20220466 and 2159FR0357 Federal Agency – U.S. Department of the Treasury Pass-Through Entities – Board of County Commissioners of Tulsa County and City of Tulsa Criteria: Per 2 CFR §200.318(a), non-Federal entities must use documented procurement procedures consistent with applicable laws and regulations, and the standards set forth in the Uniform Guidance. Condition/context: The Organization did not have written procurement policies in place during the audit period. The Organization has an informal procurement process. We tested the two vendors for which expenditures exceeded the micro-purchases limit, as defined by 2 CFR §200.320(a)(1). For one of the vendors, expenditures totaled $52,477, and there was no documentation that price or rate quotations were obtained from an adequate number of qualified sources. Cause: The Organization had not developed or adopted written procurement policies. Effect: Without written procurement policies, there is an increased risk of noncompliance with Federal procurement standards, inconsistent procurement practices, and potential misuse of federal funds. Questioned cost: $52,477 Repeat finding: This is not a repeat finding. Recommendation: We recommend the Organization develop and implement written procurement policies that comply with 2 CFR §200.318, 2 CFR §200.318(c) and other applicable procurement standards. These policies should be communicated to relevant staff and incorporated into procurement practices. View of responsible officials: Management's response is reported in "Corrective Action Plan" at the end of this report.