Finding Text
Federal Agency: U.S. Department of the Treasury Federal Program: Coronavirus State and Local Recovery Funds Assistance Listing Numbers: 21.027 Type of Finding: • Significant Deficiency in Internal Control Over Compliance Compliance Requirement: Suspension & Debarment Criteria or specific requirement: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award requires compliance with the provisions of suspension, and debarment. The Town should have internal controls designed to ensure compliance with those provisions. Condition: The Town was unable to provide documentation that they verified prior to start of contract that the vendors were not suspended or debarred. Questioned Costs: None Context: 2 of the 2 vendors tested did not contain the evidence that the Town verified the vendors were not suspended or debarred. Cause: The Town did not maintain supporting documentation to support suspension and debarment compliance. Effect: Noncompliance with federal suspension, and debarment compliance requirements. Recommendation: We recommend the Town implement controls that ensure adherence to the suspension and debarment requirements of the Uniform Guidance. Views of responsible officials: There is no disagreement with the audit finding.