Finding 385088 (2023-001)

Federal Agency: U.S. Department of Treasury Federal Program Name: The American Recue Plan Act/State Fiscal Recovery Fund Program Assistance Listing Number: 21.027 Pass-Through Agency: Illinois Department of Commerce and Economic Opportunity Pass-Through Number: 420-27-2921 Award Period: July 1, 2022 to June 30, 2023 Type of Finding:  Material Weakness in Internal Control over Compliance  Other Matter Criteria or specific requirement: When a non-Federal entity enters into a qualifying contract with a vendor, the non-Federal entity must verify that the vendor, as defined in 2 CFR section 180.995, is not suspended or debarred or otherwise excluded from participating in the transaction. Condition: During the award period, the Organization entered into two qualifying contracts, however the Organization did not verify if the vendor was suspended or debarred. Questioned costs: None Context: The Organization was not aware of this requirement, therefore for both of the instances was not in compliance with federal regulations. Cause: Management was not aware of this requirement. Effect: The Organization is not in compliance with requirements of the federal program. Repeat Finding: No Recommendation: We recommend that for all federal funded grants the Organization perform the required suspension and debarment verification when required, including implementing the necessary internal controls over this process. Views of responsible officials: There is no disagreement with the audit finding.