Finding Text
2025-001 – U.S. Department of Education, For the Period July 1, 2024, through June 30, 2025, Assistance Listing #84.027-84.173 – Internal Controls and Compliance over Special Education Cluster Criteria: Non-federal entities are prohibited from contracting with or making subawards under covered transactions to parties that are suspended, debarred, or otherwise excluded from participating in the transaction. In addition, under the requirements of fiscal management, grant recipients are required to design and implement internal controls to ensure compliance with grant requirements and their own policies and procedures. Condition: The School Unit contracted with schools to provide out-of-district tuition and did not document that the schools were not suspended or debarred as service providers. Cause: Although the School Unit verified the schools were not suspended or debarred through the site Sam.gov, no documentation was maintained to show such verification was performed. Effect: The School Unit is not in compliance with documentation requirements under the Uniform Guidance. Questioned Costs: None Recommendation: Management should ensure that documentation of suspension and debarment checks are maintained annually for all vendors for which suspension and debarment requirements apply. Documentation should be in accordance with the School Unit’s procurement policy and procedures.