Finding 42460 (2022-005)

Significant Deficiency Repeat Finding
Requirement
I
Questioned Costs
-
Year
2022
Accepted
2022-11-16

AI Summary

  • Core Issue: The District lacks a written procurement policy, leading to non-compliance with federal regulations.
  • Impacted Requirements: Title 2 U.S. Code of Federal Regulations §200.319 mandates written procedures for procurement transactions.
  • Recommended Follow-Up: Implement a procurement policy by the anticipated completion date of June 30, 2022, as outlined in the corrective action plan.

Finding Text

Finding: 2022-005 Procurement Policy Federal agency: U.S. Department of Agriculture Federal program name: Child Nutrition Cluster Assistance Listing Number: 10.553, 10.555 and 10.559 Federal Award Identification Number and Year: 212MN061N1199- 2022 Pass-Through Agency: Minnesota Department of Education Pass-Through Number(s): 1-213-000 Award Period: June 30, 2022 Type of Finding: Significant Deficiency in Internal Control Over Compliance and Other Matters Condition: During procurement and suspension and debarment testing it was noted that the District did not have a written procurement policy in place. Criteria or Specific Requirement: Title 2 U.S. Code of Federal Regulations ?200.319 states that the entity must have written procedures for procurement transactions and the written procedures must meet the requirements of the regulations. Context: During our testing of two procurement transactions, it was noted that the client does not have a procurement policy in place and that they did not retain quotes from vendors for either transaction. The sample tested was a statistically valid sample. Effect: District is out of compliance with federal procurement requirements. Cause: The District was not aware of the federal requirement. Repeat Finding: 2021-004 Recommendation: We recommend that District implement a procurement policy. Views of Responsible Officials: There is no disagreement with the audit finding Planned Corrective Action: Contact Person: Randy Bergquist, Superintendent Correction Action Planned: A corrective action plan is in place. Anticipated Completion Date: June 30, 2022

Corrective Action Plan

Finding: 2022-005 Procurement Policy Federal agency: U.S. Department of Agriculture Federal program Title: Child Nutrition Cluster Federal Assistance Listing Number: 10.553, 10.555 and 10.559 Federal Award Identification Number and Year: 212MN061N1199- 2022 Pass-Through Agency: Minnesota Department of Education Pass-Through Number(s): 1-213-000 Award Period: June 30, 2022 Type of Finding: Significant Deficiency in Internal Control Over Compliance and Other Matters Recommendation: We recommend that District implement a procurement policy. Views of Responsible Officials: There is no disagreement with the audit finding. Action Taken in Response to Finding: The District will create and implement a procurement policy. Name of the Contact Person Responsible for Corrective Action Plan: Randy Bergquist, Superintendent Planned Completion Date for Corrective Action Plan: June 30, 2023

Categories

Procurement, Suspension & Debarment

Other Findings in this Audit

  • 42461 2022-006
    Significant Deficiency
  • 42462 2022-005
    Significant Deficiency Repeat
  • 43587 2022-006
    Significant Deficiency
  • 43588 2022-005
    Significant Deficiency Repeat
  • 43589 2022-006
    Significant Deficiency
  • 43590 2022-005
    Significant Deficiency Repeat
  • 43591 2022-006
    Significant Deficiency
  • 43592 2022-005
    Significant Deficiency Repeat
  • 43593 2022-006
    Significant Deficiency
  • 618902 2022-005
    Significant Deficiency Repeat
  • 618903 2022-006
    Significant Deficiency
  • 618904 2022-005
    Significant Deficiency Repeat
  • 620029 2022-006
    Significant Deficiency
  • 620030 2022-005
    Significant Deficiency Repeat
  • 620031 2022-006
    Significant Deficiency
  • 620032 2022-005
    Significant Deficiency Repeat
  • 620033 2022-006
    Significant Deficiency
  • 620034 2022-005
    Significant Deficiency Repeat
  • 620035 2022-006
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
93.575 Child Care and Development Block Grant $270,700
84.027 Special Education_grants to States $182,953
10.553 School Breakfast Program $133,475
10.559 Summer Food Service Program for Children $107,889
84.010 Title I Grants to Local Educational Agencies $94,910
84.367 Improving Teacher Quality State Grants $32,334
10.555 National School Lunch Program $19,224
84.173 Special Education_preschool Grants $10,393
84.048 Career and Technical Education -- Basic Grants to States $10,255
84.424 Student Support and Academic Enrichment Program $9,544
84.425 Education Stabilization Fund $7,100
84.181 Special Education-Grants for Infants and Families $6,390
21.027 Coronavirus State and Local Fiscal Recovery Funds $6,075