Finding 386448 (2023-003)

Program Information Federal Organization U.S Department of Health and Human Services Assistance Listing Numbers 93.354 Public Health Emergency Response: Cooperative Agreement for Emergency Response: Public Health Crisis Response Award Numbers HC319700 Criteria [ ] Compliance Finding [ ] Significant Deficiency [ X] Material Weakness Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, Subpart F, Compliance Supplement, Part 7, Compliance Requirement I, Procurement and Suspension and Debarment, requires the Hospital to review vendors to the debarment and suspension listing Condition The Hospital does not have procedures to compare vendors to the debarment and suspension listing before procuring goods or services. Context This finding appears to be isolated. Cause The Hospital’s internal controls over compliance were not adequate to prevent or detect errors in the selection of debarred or suspended vendors. Effect There is a risk federal funds may be expended out of conformity with federal regulations and compliance requirements. Questioned Costs None identified Recommendation We recommend the Hospital implement procedures to ensure grant money is not given to vendors on the debarment and suspension listing. Views of responsible officials and planned corrective action A procedure and policy will be drafted and implemented this fiscal year.