Finding Text
Finding: 2022-005 Procurement, Suspension, and Debarment Federal Programs: Department of Health and Human Services Health Center Program Cluster CFDA 93.224 and 93.527 Criteria: Procurement 45 CFR 75.329 and 45 CFR 75.213 Condition: The Organization did not properly document verification that certain vendors were not suspended, debarred, or otherwise excluded from participating in federal programs before entering into transactions with them. In addition, the Organization did not obtain bids, purchase orders, and receiving reports for certain purchases in accordance with established policies. Cause: The Organization did not have proper policies and procedures in place to ensure and document that debarment searches and bids, purchase orders, and receiving reports were obtained as required. Effect: The Organization did not verify that certain vendors were not suspended, debarred, or otherwise excluded from participating in federal programs before entering into transactions with them. In addition, the Organization did not obtain bids, purchase orders, and receiving reports for certain purchases in accordance with established policies. Questioned Costs: None reported Context/Sampling: The finding appears to be a systemic issue. Repeat Finding from Prior Year: No Recommendation: It is recommended that the Organization establish procedures to ensure that the procurement policy is followed and that debarment searches are performed as required. Views of Responsible Officials: Management concurs. The Organization will establish procedures to ensure that debarment searches are completed to verify that all vendors subject to debarment requirements are not suspended, debarred, or otherwise excluded from participating in Federal programs before the Organization enters into transactions with them. The Organization will also establish procedures to ensure that bids, purchase orders, and receiving reports are obtained in accordance with the Organization?s procurement policy. Contact Person: Michael Savino, CFO Anticipated Date of Completion: January 31, 2023