Finding Text
Finding 2022-001 ? Material Weakness, Procurement Federal Assistance Listing No. 84.425F U.S. Department Of Education ESF Section 2 ? Higher Education (Higher Education Emergency Relief Fund (HEERF)) Criteria: 2 CFR section 200.3018 requires grantees to have and use documented procurement procedures in accordance with the Uniform Guidance for the acquisition of property or services under a federal grant. Condition: In our nonstatistical sample of 3 contracts, we noted 3 contracts for which the University did not retain documentation of their selection of qualified vendors under the simplified acquisition threshold. Cause: Management charged with oversight over the federal grant could not support their compliance with these procurement requirements under the Uniform Guidance. Additionally, controls over compliance were not designed effectively to ensure compliance with such grant requirements. Effect: Instances of noncompliance were not detected by management. Questioned Costs: Not applicable Context: 3 individual contracts ranging in amounts from $87,548 to $137,840 were purchased under the federal grant without maintaining proper documentation related to the requirements of the simplified acquisition threshold. Identification As A Repeat Finding: Not applicable. Recommendation: We recommend that management document its procurement policies for purchases under federal grants and hold training specific to these documented policies for those responsible for grant compliance. Views Of Responsible Officials/Corrective Action Plan (Unaudited): See the corrective action plan provided by management included with this report. Completion Date: June 2023 Contact Person: Kris Pace, Controller