Finding 1182852 (2025-002)

Procurement Federal Agency: Department of Treasury Federal Program Name: Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Federal Award Identification Number and Year: SLFRP0128 - 2021 Award Period: 6/7/2021 - 12/31/2026 Type of Finding: Significant Deficiency in Internal Control over Compliance - Other Matters Criteria or specific requirement: Purchases in excess of $25,000 will be made pursuant to the formal bidding requirements established in Chapter VIII - C-1 of the City Charter. The City Manager is required to sign contracts prior to the issuance of a purchase order when the sealed bidding method of procurement is utilized. Condition: The contract was signed by the vendor and returned to the City, but was not signed by the City Manager prior to the issuance of the related purchase order. Questioned costs: None noted. Context: The City did not have the proper approval on the executed contract for 1 out of 8 selections tested. Cause: The executed contract was sent back to the City from the contractor; however, the City Manager did not sign upon return from the contractor and the project proceeded without the proper approval. Effect: Procurement risk for noncompliance if the proper approvals are not obtained. Repeat Finding: No Recommendation: We recommend that the City review its procurement controls to ensure they obtain the proper approvals to comply with local policy. Views of responsible officials: Management agrees with this finding.