Finding 1157501 (2025-005)

Material Weakness Repeat Finding
Requirement
I
Questioned Costs
-
Year
2025
Accepted
2025-09-30

AI Summary

  • Core Issue: The Township lacks a written procurement policy as required by 2 CFR Section 200.318 through 200.326.
  • Impacted Requirements: Compliance with federal procurement guidelines is necessary to maintain eligibility for federal funding.
  • Recommended Follow-Up: The Township should develop and implement a procurement policy that aligns with the specified federal requirements.

Finding Text

2025-005 - Procurement Criteria: In accordance with 2 CFR Section 200.319(d), non-federal entities must have their own written policies for procurement transactions. The policy should incorporate all requirements within 2 CFR section 200.318 through 200.326 of the Uniform Guidance. Condition: As of March 31, 2025, the Township did not have their own written procurement policy as required by 2 CFR section 200.318 through 200.326 of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Cause: The Township was unaware of the requirement. Effect: The Township is not in compliance with the procurement policy requirements identified in 2 CFR section 200.318 through 200.326 which could jeopardize federal funding. Questioned Costs: This finding does not result in questioned costs. Recommendation: The Township should create a procurement policy that meets all the requirements of 2 CFR section 200.318 through 200.326. View of Responsible Officials: Management is in agreement and will create a procurement policy that meets all the requirements of 2 CFR section 200.318 through 200.326.

Corrective Action Plan

FINDING: 2025-005 Name of contact person: Lynn Gierke, Township Supervisor, 906-523-4000 Description of Finding: In accordance with 2 CFR Section 200.319(d), non-federal entities must have their own written policies for procurement transactions. The policy should incorporate all requirements within 2 CFR section 200.318 through 200.326 of the Uniform Guidance. Corrective Action Plan: We will create a procurement policy that meets all the requirements of 2 CFR section 200.318 through 200. Proposed Completion Date: March 31, 2026

Categories

Procurement, Suspension & Debarment Allowable Costs / Cost Principles Matching / Level of Effort / Earmarking

Other Findings in this Audit

  • 1157499 2025-005
    Material Weakness Repeat
  • 1157500 2025-006
    Material Weakness Repeat
  • 1157502 2025-006
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $364,778
21.027 Coronavirus State and Local Fiscal Recovery Funds $131,106