Finding Text
Condition: A sample of three (3) contractors were selected for testing procurement, suspension, and
debarment. Our test work indicated that there was no documentation for the verification of suspension and
debarment for all three contractors selected for testing.
Criteria: Suspension and debarment regulations under 2 CFR should be followed.
Cause: Procedures have not been established to verify if vendors contracted with the Foundation related to
the federal program in excess of $25,000 are not suspended, debarred or otherwise excluded from doing
business.
Effect: Noncompliance with the federal award program’s suspension and debarment compliance
requirements could occur and not be detected and corrected timely.
Recommendation: We recommend that the Foundation establish and document suspension and debarment
reviews for all contracts entered into using federal awards.
Views of Responsible Officials and Planned Corrective Actions: The Foundation has always had procedures
in place to research whether an organization is suspended and debarred. The Foundation has also
developed a process by which the grant administration team both looks up and takes screen shots of the
search for each vendor’s status in the database (both upon contract renewal or when entering a new contract
with a value of more than $25,000). This information is maintained by the grant administration team.