Finding Text
Audit Finding 2023-002
Criteria or Specific Requirement:
Internal controls that assure all construction contracts entered into with federal awards have prevailing wage requirements.
Condition:
We selected a construction contract to test for prevailing wage requirements noting that this project had not met these requirements as prevailing wage verbiage was not included in the contract.
Context:
Construction contracts not following prevailing wage requirements could have been accepted.
Effect or Potential Effect:
Prevailing wage requirements could have not been met and would impact the amount of federal funding the District receives or the use of it on projects.
Cause:
The District did not oversee that prevailing wage requirements were included in contracts.
Recommendation:
Ensure the prevailing wage requirement are included in all construction contracts paid for with federal funds.
Responsible Official's Response:
CORRECTIVE ACTION PLAN (CAP):
1. Explanation of Disagreement with Audit Finding
There is no disagreement with the audit finding.
2. Actions Planned in Response to Finding
Change orders have been issued for the construction project, and contractors will be paid prevailing wages for the entire project. Internal control measures have been adjusted to identify construction projects funded by federal resources and to guarantee that project specifications include the necessary components for prevailing wages.
3. Official Responsible for Ensuring CAP
Bradley Bergstrom is the official responsible for ensuring the corrective action of the deficiency.
4. Planned Completion Date for CAP
Completed.
5. Plan to Monitor Completion of CAP
The Director of Business Services will be monitoring the CAP.