Finding Text
U.S. Department of the Treasury Passed through the Nevada Housing Division COVID‐19: Coronavirus State and Local Fiscal Recovery Funds, Assistance Listing #21.027 Procurement, Suspension and Debarment Significant Deficiency in Internal Control Over Compliance Grant Award Number: SLFRP2634 Criteria: Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires contracts contain the applicable provisions described in Appendix II to Part 200 for contracts under federal awards. Condition: Certain applicable provisions described in Appendix II to Part 200 were not included in contracts as required. Cause: The Foundation did not have adequate internal controls to ensure contracts under federal awards contained all of the applicable provisions. Effect: Contractors may not be aware of required terms and conditions. Questioned Costs: None noted. Context/sampling: A nonstatistical sample of 14 procurement transactions out of a population of 89 was selected for testing, including one contract totaling $3,500,000 subject to Appendix II to Part 200. Repeat Finding from Prior Year: Yes, 2024-001 Recommendation: We recommend the Foundation enhance internal controls to ensure contracts under federal awards contain all the applicable contract provisions. Views of Responsible Officials: The Foundation agrees with this finding; see corrective action plan.