Finding 1217321 (2025-003)

Material Weakness Repeat Finding
Requirement
J
Questioned Costs
-
Year
2025
Accepted
2026-06-11

AI Summary

  • Core Issue: The Board failed to obtain required price quotes for federal-funded purchases, violating procurement rules.
  • Impacted Requirements: Non-compliance with U.S. Code of Federal Regulations Part 200.320 and Board Policy 7.90 regarding procurement procedures.
  • Recommended Follow-Up: Review and reinforce procurement policies to ensure compliance with federal requirements for future purchases.

Finding Text

The U. S. Code of Federal Regulations Part 200.320, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), specifically the compliance requirements regarding procurement, require the Board to use specific methods of procurement when using federal award funding. Section 200.317 of the Uniform Guidance requires the Board to follow the same policies and procedures it uses for procurements with non-Federal funds when purchases made with federal funds are within the small purchase thresholds as defined in the Uniform Guidance. Board Policy 7.90 states that procurement transactions for federal programs that are not subject to the state procurement laws but exceed the aggregate amount of the federal micro-purchase threshold, will be obtained by utilizing price or rate quotes from two or more qualified sources. The Mobile County Board of School Commissioners (the “Board”) expended $54,470 for professional development services and $38,000 for professional services from the Special Education Cluster without obtaining price or rate quotations. The Board did not follow the Uniform Guidance and its established policy to ensure appropriate procurement procedures are followed when using federal award funding. As a result, the Board is not in compliance with the applicable procurement requirements.

Corrective Action Plan

The board will ensure the schools and central office departments are aware of and follow the federal procurement codes for federal funds. The Purchasing Department will vet purchases to ensure compliance.

Categories

Procurement, Suspension & Debarment

Other Findings in this Audit

  • 1217319 2025-003
    Material Weakness Repeat
  • 1217320 2025-003
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.010 TITLE I GRANTS TO LOCAL EDUCATIONAL AGENCIES $34.01M
10.553 SCHOOL BREAKFAST PROGRAM $10.79M
84.367 SUPPORTING EFFECTIVE INSTRUCTION STATE GRANTS (FORMERLY IMPROVING TEACHER QUALITY STATE GRANTS) $4.63M
84.424 STUDENT SUPPORT AND ACADEMIC ENRICHMENT PROGRAM $2.64M
10.555 NATIONAL SCHOOL LUNCH PROGRAM $2.48M
84.027 SPECIAL EDUCATION GRANTS TO STATES $2.35M
12.006 NATIONAL DEFENSE EDUCATION PROGRAM $2.24M
84.048 CAREER AND TECHNICAL EDUCATION -- BASIC GRANTS TO STATES $1.35M
12.U02 ARMY ROTC $1.05M
10.582 FRESH FRUIT AND VEGETABLE PROGRAM $639,972
84.287 TWENTY-FIRST CENTURY COMMUNITY LEARNING CENTERS $393,852
84.173 SPECIAL EDUCATION PRESCHOOL GRANTS $328,328
84.365 ENGLISH LANGUAGE ACQUISITION STATE GRANTS $232,527
84.011 MIGRANT EDUCATION STATE GRANT PROGRAM $195,211
12.U01 NAVY ROTC $139,045
84.196 EDUCATION FOR HOMELESS CHILDREN AND YOUTH $100,000
10.560 STATE ADMINISTRATIVE EXPENSES FOR CHILD NUTRITION $42,247
11.417 SEA GRANT SUPPORT $27,220
96.001 SOCIAL SECURITY DISABILITY INSURANCE $9,714
84.419 PRESCHOOL DEVELOPMENT GRANTS $1,751