Finding Text
COVID-19 Testing and Mitigation for Rural Health Clinics Federal Assistance Listing Number 93.697 U.S. Department of Health and Human Services Criteria: Procurement, Suspension and Debarment (2 CFR 200.317–200.327; 2 CFR 180.220) Condition: The District is required to have and follow documented procurement procedures that conform with Uniform Guidance (UG) procurement and suspension and debarment standards. Cause: The District did not have a policy that addressed procurement or suspension and debarment. Effect or Potential Effect: The District did not provide for full and open competition in procuring services or check suspension and debarment requirements entered into with grant funds. Questioned Costs: $389,332. Questioned costs were using the direct expenses charged to the grant that no procurement was completed. Context: During testing of expenses charged to the grant and discussion with the District, it was discovered that procurement wasn’t performed on any contracts and that the District didn’t have a procurement policy. Additionally, there was no documentation that the vendors were checked for suspension and debarment. Recommendation: A procurement policy conforming with UG standards should be in place at the District, including policies for suspension and debarment. Views of Responsible Officials and Planned Corrective Actions: See attached corrective action plan.