Finding 1241464 (2026-002)

Material Weakness Repeat Finding
Requirement
I
Questioned Costs
-
Year
2026
Accepted
2026-10-31
Audit: 415551
Organization: North Central Family Medicine (AL)
Auditor: MCINTEECPA LLC

AI Summary

  • Answer: The Organization lacks effective internal controls for procurement compliance, leading to documentation issues.
  • Trend: There is a recurring pattern of inadequate support for purchases above the small purchase threshold.
  • List: Update the Procurement Policy to include all necessary procurement methods and compliance requirements.

Finding Text

The Organization continued to have deficiencies in the design and implementation of procurement-related internal controls over compliance. Specifically, purchases exceeding the applicable small purchase threshold were not consistently supported with required bid solicitation, vendor evaluation, or selection documentation. In addition, the Organization’s Procurement Policy had not been fully updated to explicitly address all procurement methodologies and suspension and debarment requirements applicable under Federal regulations at the time transactions were processed.

Corrective Action Plan

Management concurs with the finding and acknowledges that additional controls are necessary to ensure full compliance with Federal procurement requirements. During fiscal year 2026, the Organization revised procurement procedures and conducted training sessions for finance personnel and departmental stakeholders responsible for purchasing activities. Management plans to continue quarterly compliance reviews of procurement transactions and enhance monitoring procedures related to bid documentation and suspension and debarment verification. Oversight responsibility has been assigned to the Vice President of Finance and Director of Finance.

Categories

Procurement, Suspension & Debarment

Other Findings in this Audit

  • 1241463 2026-001
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
93.224 HEALTH CENTER PROGRAM $2.93M