Finding Text
Federal Program Information:
Funding Agency: U.S Department of Health and Human Services
FALN: 93.926
Federal Award Identification Number: H49MC00119‐19‐00
Pass Through Entity: State of Georgia Department of Human Services
Award Year: 2018‐:2020
Criteria: Under 2 CFR Section 200.303(a), non‐federal entities must establish and maintain effective
internal controls to provide reasonable assurance that the entity is managing the federal awards in
compliance with statues, regulations, and the terms and conditions of the award. Additionally, under
2 CFR Section 200.320, the Organization must have and use documented procurement procedures
for acquisition of property and services under a federal award or a sub‐award.
Condition: The Organization does have approved policies and procedures over procurement that
meet the requirements of the Uniform Guidance. However the Organization is not following its
prescribed policies and procedures. The Organization lacked supporting documentation verifying
procurement policies and procedures were followed. Due to lack of supporting documentation,
procurement could not be verified. Of the sixty (60) transactions examined, ten (10) lacked
supporting documentation for review of procurement.
Effect: Not following procurement policies and procedures may result in funds to be returned back
to grantor and/or impact future funding.
Cause: Supporting procurement documentation for acquisition of property and services were not
properly maintained in part due to several changes in personnel within the accounting area and
overall limited number of personnel for certain functions and lack of board oversight.
Questioned Costs: Known questioned costs of $3,870 and likely questioned costs of $17,206 for
Healthy Start.
Recommendation: We recommend the Organization strengthen its policies and procedures to ensure
procurement is adequately documented for that goods and services purchased in accordance with
Uniform Guidance and other federal guidelines.