Finding 513667 (2023-008)

Significant Deficiency
Requirement
I
Questioned Costs
-
Year
2023
Accepted
2024-12-09
Audit: 331570
Organization: The City of Homewood, Alabama (AL)
Auditor: Bmss LLC

AI Summary

  • Core Issue: The City of Homewood, Alabama lacks proper controls to verify if vendors are suspended or debarred before entering contracts.
  • Impacted Requirements: This situation violates Title 2 U.S. Code of Federal Regulations Part 180, which mandates verification of vendor eligibility.
  • Recommended Follow-Up: Implement new policies and procedures to ensure checks on vendor status are documented in bid-contract files.

Finding Text

Criteria: The requirements of Title 2 U.S. Code of Federal Regulations Part 180, OMB Guidelines to Agencies on Government-Wide Debarment and Suspension state that when you enter into a covered transaction with another person or entity, you must verify that the person or entity with whom you intend to do business is not excluded or disqualified. Condition: The City of Homewood, Alabama did not have adequate controls in place to ensure that person or entities were not suspended or debarred. Cause and effect: The City of Homewood, Alabama lacks the policies and procedures concerning the process of determining if a person or entity is suspended or debarred. The lack of such policies and procedures for suspension and debarment could result in contracts with suspended or debarred vendors. Recommendation: The City of Homewood, Alabama should adopt policies and procedures and improve controls necessary to ensure there is evidence of review of suspended or debarred vendors is included with bid-contract documents. View of responsible officials: The City of Homewood, Alabama has plans to revise its policies and procedures for federal award programs to include procedures related to suspension and debarment.

Corrective Action Plan

The City of Homewood, Alabama has plans to revise its policies and procedures for federal award programs to include procedures related to suspension and debarment.

Categories

Procurement, Suspension & Debarment

Other Findings in this Audit

  • 513662 2023-007
    Significant Deficiency
  • 513663 2023-007
    Significant Deficiency
  • 513664 2023-007
    Significant Deficiency
  • 513665 2023-007
    Significant Deficiency
  • 513666 2023-007
    Significant Deficiency
  • 513668 2023-007
    Significant Deficiency
  • 513669 2023-008
    Significant Deficiency
  • 513670 2023-009
    Significant Deficiency
  • 1090104 2023-007
    Significant Deficiency
  • 1090105 2023-007
    Significant Deficiency
  • 1090106 2023-007
    Significant Deficiency
  • 1090107 2023-007
    Significant Deficiency
  • 1090108 2023-007
    Significant Deficiency
  • 1090109 2023-008
    Significant Deficiency
  • 1090110 2023-007
    Significant Deficiency
  • 1090111 2023-008
    Significant Deficiency
  • 1090112 2023-009
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $2.43M
20.600 State and Community Highway Safety $734,643
20.219 Recreational Trails Program $279,169
97.083 Staffing for Adequate Fire and Emergency Response (safer) $69,122
45.310 Grants to States $10,000
15.904 Historic Preservation Fund Grants-in-Aid $6,157