Finding Text
2022-002 Criteria: ?200.318 - ?200.321 requires that all procurement transactions be conducted in a manner providing full and open competition consistent with the standards of the section. Procurement by noncompetitive proposals may be utilized if the item is available only from a single source, however efforts must be made and the process fully documented in order to conclude that the use of a sole source procurement is appropriate. Condition: It was noted during procurement testing that the district did not utilize quotes, sealed bids, or competitive proposals for certain procurements and any sole course conclusions were also not documented. Questioned Costs: ALN 10.553 and 10.555, Federal Award Identification Number 22MIN061N1199: $115,190.69 ALN 84.027 and 84.173, Federal Award Identification Number H027A210087: $302,459.82 Context: Of the two procurements tested in the Special Education Cluster, both were missing documentation to support a proper procurement method. Of 14 procurements tested in the Child Nutrition Cluster, three were missing documentation to support a proper procurement method. Cause: The District procedures do not contain sufficient guidelines for ensuring all procurements utilize the proper method and are properly documented. Effect: The lack of proper methods and documentation could lead to using vendors for small purchase acquisitions without ensuring comparable pricing from other vendors and justifying costs. Repeat Finding: This is not a repeat finding from the prior year. Recommendation: CLA recommends the District puts in place the proper procedures for sufficiently documenting all procurements and methodology used. View of Responsible Official: There is no disagreement with the audit finding.