Finding 50313 (2022-002)

Significant Deficiency Repeat Finding
Requirement
I
Questioned Costs
-
Year
2022
Accepted
2023-04-23

AI Summary

  • Core Issue: The University lacks complete procurement procedures for goods over $250,000 and does not retain documentation to verify vendor checks against debarment.
  • Impacted Requirements: Non-compliance with federal regulations requiring written procurement policies and vendor verification processes.
  • Recommended Follow-Up: Implement a system to retain evidence of vendor checks performed through SAM.gov to ensure compliance and address repeat findings.

Finding Text

Federal Agency: U.S. Department of Education Federal Program Name: Higher Education Emergency Relief Fund Assistance Listing Number: 84.425F Federal Award Identification Number and Year: P425F202063-20B and 2022 Pass-Through Agency: N/A Pass-Through Number(s): N/A Award Period: 2021-2022 Type of Finding: Significant Deficiency in Internal Control over Compliance and Other Matters Criteria or Specific Requirement: Title 2, Subtitle A, Chapter 2 Part 200, Subpart D, section 200.318 of the Code of Federal Regulations requires Universities to have a written procurement policy that includes certain requirements as it relates to procuring good and services using federal dollars. Additionally, 2 CFR 180.995 requires that the University has a written policy where Universities should perform a check to ensure vendors are not debarred. Condition: During our testing, it was noted that the University has a written procurement policy in place starting July 2021 and revised in February 2022. During review of the procurement policy, it was noted it was missing required procedures for the procurement of goods over $250,000. Also, it was noted during testing that there was no support to show the University verified the vendors were not suspended or debarred. Questioned Costs: None. Context: A tracking and documentation system was implemented for the suspension and debarment process. However, the documentation is not retained after the SAM.gov check is performed. Cause: The University experienced turnover during the year, and supporting documentation was not accessible to provide evidence of the check being performed. evidence retained to show that as of the time of check the vendor was not debarred/suspended. Repeat Finding: Yes, 2021-002 Recommendation: We recommend that the University establish a process where when the SAM.gov check is performed, evidence is retained to show that this was completed. Views of Responsible Officials: There is no disagreement with the audit finding.

Corrective Action Plan

Higher Education Emergency Relief Fund ? Assistance Listing No.: 84.425F Recommendation: We recommend that the University establish a process where when the SAM.gov check is performed, evidence is retained to show that this was completed. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The procurement policy for Federal Grants will be revised to include the process of how to have a SAM.gov check performed and documented for evidence, as well as include procedures for the procurement of goods over $250,000. At this time, with the HEERF grant completely spent, there are no other Federal grants in place where the SAM.gov check would be required. However, the revised policy will be communicated to department managers for future federal grant awards. Name of the contact person responsible for corrective action: Michelle Hegarty, CFO Planned completion date for corrective action plan: June 1, 2023

Categories

Procurement, Suspension & Debarment

Other Findings in this Audit

  • 43508 2022-001
    Significant Deficiency Repeat
  • 43509 2022-004
    Significant Deficiency
  • 43510 2022-001
    Significant Deficiency Repeat
  • 43511 2022-003
    Significant Deficiency Repeat
  • 50306 2022-004
    Significant Deficiency
  • 50307 2022-001
    Significant Deficiency Repeat
  • 50308 2022-004
    Significant Deficiency
  • 50309 2022-001
    Significant Deficiency Repeat
  • 50310 2022-004
    Significant Deficiency
  • 50311 2022-001
    Significant Deficiency Repeat
  • 50312 2022-004
    Significant Deficiency
  • 619950 2022-001
    Significant Deficiency Repeat
  • 619951 2022-004
    Significant Deficiency
  • 619952 2022-001
    Significant Deficiency Repeat
  • 619953 2022-003
    Significant Deficiency Repeat
  • 626748 2022-004
    Significant Deficiency
  • 626749 2022-001
    Significant Deficiency Repeat
  • 626750 2022-004
    Significant Deficiency
  • 626751 2022-001
    Significant Deficiency Repeat
  • 626752 2022-004
    Significant Deficiency
  • 626753 2022-001
    Significant Deficiency Repeat
  • 626754 2022-004
    Significant Deficiency
  • 626755 2022-002
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $29.77M
84.038 Federal Perkins Loan Program $1.59M
84.425 Education Stabilization Fund $344,499
84.063 Federal Pell Grant Program $296,469
84.033 Federal Work-Study Program $186,289
84.007 Federal Supplemental Educational Opportunity Grants $24,396