Finding 47737 (2022-001)

U.S. Department of Education Passed Through Kansas State Department of Education Program Name: Special Education Cluster (IDEA) Federal Assistance Listing Numbers: 84.027; 84.173 Finding 2022-001 SIGNIFICANT DEFICENCY Internal Controls Criteria: Pursuant to the Code of Federal Regulations (CFR), Title 2 Grants and Agreements, Subpart D Post Federal Award Requirements, Section 200.318 ?the non-federal entity must have and use documented procurement procedures, consistent with State, local, and tribal laws and regulations and the standards of this section, for the acquisition of property and services required under a Federal award or subaward.? Condition: The internal controls related to procurement and suspension and debarment are non-existent. Cause: The District does not have a written policy for procurement and suspension and debarment. Effect: Staff was unaware of the federal guidelines related to procurement and suspension and debarment. Expenses that happened over the micro-purchase threshold did not undergo the additional procedures before purchase. Recommendations: The Board of Directors, the Director and key positions of management should adequately document internal control procedures relating to procurement and suspension and debarment and adopt board policies related to such. The Board should then periodically check for changes in federal guidelines and update the board policy and needed. Views of Responsible Officials and Planned Corrective Actions: The Cooperative agrees with the finding. See separate document for planned corrective actions.