Finding 2537 (2023-001)

Significant Deficiency
Requirement
I
Questioned Costs
-
Year
2023
Accepted
2023-11-28
Audit: 4324
Organization: Epidaurus Dba Amity Foundation (AZ)

AI Summary

  • Core Issue: The Organization's procurement policies lack specific language required by 2 CFR Part 200.
  • Impacted Requirements: Written policies must comply with federal guidelines for procurement under the grant.
  • Recommended Follow-Up: Update procurement policies to include all necessary requirements from 2 CFR Part 200.

Finding Text

Assistance Listing Number and Title: Coronavirus State and Local Fiscal Recovery Funds, ALN 21.027 Federal Agency: U.S. Department of the Treasury Federal Award Numbers: ARP-C4C-03 Grant period: February 22, 2022 - June 30, 2023 Criteria: Procurement - The Organization is required to maintain a written policy for procurement under a federal award. The policies should refer to 2 CFR Part 200 - Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Condition: The Organization was adequately procuring items under the Uniform Guidance, however, certain language required by 2 CFR Part 200 was not included in the Organization's written policies. Cause: Implementation of compliance with Federal requirements was incomplete. Effect: The Organization does not have adequate written policies and procedures. Context: Procurement is direct and material to the grant purchases. Questioned costs: None Repeat Finding: No Recommendation: We recommend the Organization implement changes to their procurement policies so they contain all the requirements of 2 CFR Part 200. Views of responsible officials of the auditee: Management is working on improving the documentation of their procurement policies, and will ensure any updated policies are in line with the requirements of 2 CFR Part 200.

Corrective Action Plan

Epidaurus dba Amity Foundation respectfully submits the following corrective action plan for the year ended June 30, 2023. Name and address of independent public accounting firm: BeachFleischman PLLC 1985 E. River Road, Suite 201 Tucson, AZ 85718 Audit Period: Year ending June 30, 2023 The finding from the June 30, 2023 schedule of findings and questioned costs is discussed below. The finding is numbered consistently with the number assigned in the schedule. Findings - Major Federal Award Programs Audit 2023-001 Procurement Recommendation: We recommend the Organization implement changes to their procurement policies so they contain all the requirements of 2 CFR Part 200. Auditee response: Management is working on improving the documentation of their procurement policies, and will ensure any updated policies are in line with the requirements of 2 CFR Part 200. Management expects to have the policies updated by the end of December 2023. If you have any questions regarding this plan, please call Gloria Meridew, at 520-622-6489 or gmeridew@amityfdn.org.

Categories

Procurement, Suspension & Debarment Allowable Costs / Cost Principles

Other Findings in this Audit

  • 578979 2023-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $1.02M
93.243 Substance Abuse and Mental Health Services_projects of Regional and National Significance $271,229
14.218 Community Development Block Grants/entitlement Grants $271,196
17.258 Wia Adult Program $40,628
17.270 Reintegration of Ex-Offenders $34,354