Finding Text
2022-001 Department of State ? Bureau of Population, Refugees, and MigrationFederal Financial Assistance Listing #19.517, Overseas Refugee Assistance Programs for AfricaAgency for International DevelopmentDepartment of State - Federal Financial Assistance Listing # 98.001, USAID Foreign Assistance for Programs OverseasProcurement, Suspension and DebarmentType of Finding: Significant Deficiency in Internal Control over ComplianceGrant Award Number: Affects all grant awards included under Federal Financial Assistance Listing #19.517 and #98.001 on the Schedule.Criteria: Uniform Guidance and 2 CFR sections 200.318 through 200.326 set forth the procurement standards non-federal entities, other than states, must follow when operating federal programs and the required procurement procedures based on the amount of the transaction.Condition: CVT has documented procurement procedures that conform to applicable federal standards; however, the procedures were not followed regarding maintaining documentation of obtaining quotes for simplified acquisition small purchases and the conclusion as to which item was selected. In addition, CVT was not testing vendors for suspension and debarment.Cause: Controls were not adequately designed due to lack of oversight, awareness, or understanding of all of the specific requirements under the Uniform Guidance and applicable CFR sections.Effect: The best price for the purchase may not have been obtained and payments could be made to recipients who were suspended or debarred.Questioned Costs: None reported.Context/Sampling: For Federal Financial Assistance Listing #19.517, a nonstatistical sample of 60 transactions out of 2,935 total transactions was selected for testing. Required documentation related to procurement was not maintained for 13 of the items selected, and 13 of the items selected did not have support for suspension and debarment. For Federal Financial Assistance Listing #98.001, a nonstatistical sample of 60 transactions out of 1,594 total transactions were selected for testing. Required documentation related to procurement was not maintained for six of the items selected, and seven of the items selected did not have support for suspension, and debarment.Repeat Finding from Prior Year: Yes, prior year finding 2021-001.Recommendation: We recommend that management maintain adequate supporting documentation and records to document history, methods of procurement, and documentation to support check for suspension and debarment to comply with these CFR sections.Views of Responsible Officials: Management agrees with this finding.