Finding Text
2022-002 Federal Agency: U.S. Department of Education Federal Program Title: Supporting Effective Education Development Assistance Listing Number: 84.423a Award Period: October 1, 2020 ? September 30, 2023 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award requires compliance with the provisions of procurement, suspension, and debarment. The Center should have internal controls designed to ensure compliance with those provisions. Condition: During our testing, we noted the Center did not have adequate internal controls designed to ensure vendors were not suspended or debarred. Questioned costs: None Context: During our testing, it was noted that the Center was not reviewing vendors prior to entering into a contract, that a vendor was not on the suspended or debarred list maintained by the GeneralServices Administration. Cause: The Center was unaware of the grant requirements related to procurement, suspension, and debarment. Effect: The auditor noted no instances of noncompliance with the provisions of procurement, suspension, and debarment; however, the lack of internal controls over these compliance requirementsprovides an opportunity for noncompliance. Repeat Finding: Repeat finding, however it is noted that due to timing of release of audit reports, all occurrences of lack of internal controls over compliance requirements occurred prior to the Center being informed of this issue as part of the prior year audit. Recommendation: We recommend the Center design controls to ensure an adequate review process is in place to review potential contractors to determine they are not suspended or debarred. Views of Responsible Officials: There is no disagreement with the audit finding.