Finding 385016 (2023-001)

Finding 2023-001: Lack of Documentation Ensuring Vendor is Not Suspended or Debarred Federal Agency: U.S. Department of the Treasury Federal Program: ARPA – Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Award Period: March 15, 2022 to December 31, 2024 Type of Finding: Significant Deficiency in Internal Control over Compliance Condition and Criteria: Non-federal entities are prohibited from contracting with or making subawards under covered transactions to parties that are suspended or debarred, including contracts for goods and services awarded under a non-procurement transactions that are expected to equal or exceed $25,000. Cause: In our sample of five (5) vendors, we noted no noncompliance, however, the Organization was unable to provide documentation that it had verified the vendors were not suspended or debarred. Effect: The Organization could make payments to a suspended or debarred vendor. Recommendation: We recommend that the Organization verifies that vendors are not suspended or debarred and retain documentation verifying that process occurred. View of Responsible Officials and Planned Corrective Actions: The Organization agrees with the finding. The Organization will print or save documentation to include date and source of search when verifying debarment or suspension. A procedure will be created documenting the process as well as documenting that an additional individual reviewed the documentation verifying the search for debarment or suspension. Name of the Contact Person Responsible for the Corrective Action: Paula Culp, Chief Administrative Officer Planned Completion Date for the Corrective Action Plan: January 2024