Finding 3169 (2023-003)

2023-003 Procurement SAMS.gov - Significant Deficiency ALN: 84.425 Criteria: Uniform Guidance policies, 2 CRF Part 180, states written policies and procedures related to internal controls be written and documented in regard to SAMS.gov vendor verification of debarment and suspension. Cause: The School District does not have internal control Federal written updated policies implementing Debarment and Suspension. Condition: While detail testing found no unallowed costs, without written policies addressing the verification of vendor suspensions or debarment, vendors could be debarred or suspended that are paid under Federal contracts. The School District could not provide documentation that vendors paid - were verified through SAMS.gov for debarment or suspension. Effect: The School District must use funds as required under the Federal Award guidelines under Uniform Guidance to prevent mismanagement of projects funded by Federal Awards. Questioned Costs: None. Recommendation: We recommend that the Board of Trustees and School Officials review Financial Internal Control Policies and ensure that Uniform Guidance policies are incorporated for Federal Grant Expenditures. These policies be reviewed with Federal Grant Award Guidelines.