Finding Text
Procurement Federal Agency: U.S. Department of the Treasury Federal Program Name: Coronavirus Capital Projects Fund (CCPF) Assistance Listing Number: 21.029 Federal Award Identification Number and Year: NOW-20005 - 2025 Pass-Through Agency: Rhode Island Department of the Treasury Pass-Through Number: NOW-20005 Award Period: August 2, 2023 – October 30, 2026 Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters Repeat Finding: No Criteria or specific requirement: Per Uniform Guidance §200.318 General procurement standards, a non-Federal entity must maintain written standards of conduct covering conflicts of interest and governing the actions of its employees engaged in the selection, award and administration of contracts. Condition: The Town of Smithfield does not have a written conflict of interest policy in place for the selection, award, and administration of contracts as required by Uniform Guidance. Questioned Costs: None Context: Although the Town does not have a written conflict of interest policy in place for the selection, award, and administration of contracts, we did not identify transactions where contracts were awarded where there appeared to be a conflict of interest in the procurement process in 3 of 3 procurement transactions tested. Cause: Management was not aware of the procurement standards set out at 2 CFR section §200.318 within Uniform Guidance. Effect: The Town is at risk for noncompliance with Federal grants as it relates to procurement. Recommendation: We recommend the Town implement a written conflict of interest policy in line with Uniform Guidance §200.318. Views of Responsible Officials: Management agrees with this finding.