Finding 1208178 (2022-001)

Material Weakness Repeat Finding
Requirement
I
Questioned Costs
-
Year
2022
Accepted
2026-04-17
Audit: 399031
Organization: County of Aroostook (ME)

AI Summary

  • Core Issue: The County's procurement policies lack procedures for micro and small purchases and do not include necessary Debarment and Suspension checks.
  • Impacted Requirements: Compliance with 2 CFR 200 regulations is at risk, increasing the chance of using improper procurement methods and contracting with ineligible vendors.
  • Recommended Follow-Up: Update procurement policies to include micro and small purchase requirements and establish internal controls for Debarment and Suspension checks.

Finding Text

2022-001 - Procurement Federal Program Information: CFDA - 21.027 - Coronavirus State and Local Fiscal Recovery Funds Criteria: The following CFR(s) apply to this finding: 2 CFR 200.317-327, 2 CFR section 200.314, 2 CFR 200 Appendix II . Condition: During audit procedures, it was identified that the County’s policies did not include procedures for micro and small purchases. The procurement history files did not include documentation of Debarment and Suspension search’s/certifications Cause: The County does not have the necessary internal controls over compliance. Effect: The County did not update its policies to include required micro and small purchase requirements. This increases the likelihood of using incorrect procurement methods. The lack of knowledge in procurement history file requirements to include Debarment and Suspension searches/certifications on contractors/vendors could result in contracting with ineligible contractors/vendors, increasing the likelihood of loss of federal funds. Identification of Questioned Costs: Payments for Identified project is $169,000, which appears to have been awarded without performing a Debarment and Suspension Search, or requiring the debarment and suspension certification, remedy/breach of contract clause, or termination clause. Context: Three of the Four Procurements for the County of Aroostook, Maine were tested. All three were missing the Debarment and Suspension search/certification. These were obtained later, after the fact. The procurement policy was missing the Micro and Small purchase threshold and requirements. Repeat Finding: This is not a repeat finding. Recommendation: It is recommended that the County include Micro and Small purchase threshold and methods in their Procurement Policy and implement internal control processes and procedures over Debarment and Suspension to ensure compliance with federal requirements. Views of Responsible Officials and Corrective Action Plan: Please see the Corrective Action Plan issued by the County of Aroostook, Maine.

Corrective Action Plan

CORRECTIVE ACTION PLAN (Concerning Finding 2022-001) Contact Person Responsible for Corrective Action: Dana L. Gendreau, Interim County Administrator Corrective Action: The County of Aroostook has initiated corrective action to address Finding 2022-001. Subsequent to the audit period and notice of the finding January 15, 2026, the County developed a comprehensive Federal Grant Procurement Policy that fully complies with the procurement standards of 2 CFR 200.317–327, including clearly defined micro-purchase and small-purchase thresholds and required procurement methods. The revised policy also establishes mandatory procedures for verifying and documenting contractor eligibility through Debarment and Suspension reviews using SAM.gov prior to contract award and requires inclusion of applicable federal contract provisions. The policy will be presented for formal adoption at the next available County Commissioner meeting scheduled for February 18, 2026. Upon adoption, these measures will strengthen internal controls over procurement compliance and reduce the risk of future noncompliance with federal procurement requirements. Anticipated Completion Date: February 18, 2026

Categories

Procurement, Suspension & Debarment

Other Findings in this Audit

  • 1208179 2022-002
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $1.08M
16.710 PUBLIC SAFETY PARTNERSHIP AND COMMUNITY POLICING GRANTS $128,591
14.228 COMMUNITY DEVELOPMENT BLOCK GRANTS/STATE'S PROGRAM AND NON-ENTITLEMENT GRANTS IN HAWAII $121,405
16.575 CRIME VICTIM ASSISTANCE $50,291
16.034 CORONAVIRUS EMERGENCY SUPPLEMENTAL FUNDING PROGRAM $42,540
97.067 HOMELAND SECURITY GRANT PROGRAM $35,198
97.042 EMERGENCY MANAGEMENT PERFORMANCE GRANTS $24,332
20.703 INTERAGENCY HAZARDOUS MATERIALS PUBLIC SECTOR TRAINING AND PLANNING GRANTS $5,062
16.607 BULLETPROOF VEST PARTNERSHIP PROGRAM $2,728
20.600 STATE AND COMMUNITY HIGHWAY SAFETY $516
16.738 EDWARD BYRNE MEMORIAL JUSTICE ASSISTANCE GRANT PROGRAM $436