FAC Explorer

Finding 37182 (2022-004)

Significant Deficiency
Requirement
I
Questioned Costs
-
Year
2022
Accepted
2023-09-04
Audit: 31772
Organization: Victor Valley Union High School District (CA)
Auditor: Eide Bailly LLP

AI Summary

  • Core Issue: The District failed to verify vendor status regarding suspension or debarment before transactions.
  • Impacted Requirements: This violates 2 CFR 200.214, which mandates verification for non-Federal entities.
  • Recommended Follow-Up: Implement stronger internal controls to ensure compliance with vendor verification requirements.

Finding Text

Federal Program Affected Program Name: COVID-19: Emergency Connectivity Fund (ECF) Program Assistance Listing Number: 32.009 Pass-Through Entity: N/A ? Direct Award Federal Agency: Federal Communications Commission Criteria or Specific Requirements In accordance with 2 CFR ?200.214 of the Uniform Guidance, non-Federal entities must verify that vendors are nor suspended or debarred prior to entering into covered transactions. Condition The District did not maintain documentation to demonstrate that they verified whether a vendor was suspended or debarred prior to entering into a covered transaction. Cause The condition identified appears to be due to lack of sufficient internal controls to ensure that program requirements are met.

Corrective Action Plan

The Board Trustees has authorized a reorganization of the Fiscal Services department that includes adding Purchasing Manager and Purchasing Technician to ensure the District follows all purchasing guidelines and compliance requirements related to purchasing. The Purchasing Manager will also be responsible for our warehouse and inventory processes. This reorganization was approved effective July 1, 2023. Recruitment has begun for these positions.

Categories

Procurement, Suspension & Debarment Subrecipient Monitoring Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

Other Findings in this Audit

  • 37180 2022-002
    Significant Deficiency
  • 37181 2022-003
    Material Weakness
  • 613622 2022-002
    Significant Deficiency
  • 613623 2022-003
    Material Weakness
  • 613624 2022-004
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
32.009 Emergency Connectivity Fund Program $638,750
84.424 Student Support and Academic Enrichment Program $594,323
84.367 Improving Teacher Quality State Grants $447,667
84.048 Career and Technical Education -- Basic Grants to States $395,594
10.553 School Breakfast Program $384,588
84.010 Title I Grants to Local Educational Agencies $293,752
10.555 National School Lunch Program $217,267
84.425 Education Stabilization Fund $66,059
12.000 Junior Reserve Officer Training Corps - Air Force $63,014
10.558 Child and Adult Care Food Program $27,598
84.365 English Language Acquisition State Grants $5,687
84.027 Special Education_grants to States $300