Finding 538128 (2023-003)

Significant Deficiency
Requirement
I
Questioned Costs
-
Year
2023
Accepted
2025-03-27

AI Summary

  • Core Issue: The Organization lacks a written procurement policy required for federal program compliance.
  • Impacted Requirements: This affects adherence to the Uniform Guidance under 2 CFR Sections 200.318-300.327 for ALN #21.027.
  • Recommended Follow-Up: Management should create and implement written procurement policies by June 30, 2025, to ensure compliance.

Finding Text

2023-003 Procurement (Significant Deficiency) U.S. Department of Treasury 21.027 Coronavirus State and Local Fiscal Recovery Funds Criteria: The Uniform Guidance required that an Organization have written procurement policies in place to comply with 2 CFR Sections 200.318-300.327 when procurement is applicable to a federal program. According to the compliance requirements matrix, procurement is applicable to ALN #21.027. Condition: While testing the procurement compliance requirement we found that the Organization does not have a written procurement policy. We did not, however, find any evidence of material noncompliance related to this requirement. Cause: Management does not regularly expend federal dollars above the threshold requiring a Single Audit under the Uniform Guidance. As such, policies related to procurement were not adopted. Effect: Internal controls surrounding Uniform Guidance are incomplete. Questioned Costs: None noted. Recommendation: Management should review 2 CFR Sections 200.138 – 300.327 and develop written policies that comply with the compliance requirements. Views of Responsible Officials and Planned Corrective Actions: The Organization will review CFR Sections 200.138 and 300.327 and develop written policies that align with the compliance requirements. Monique Johnson, Executive Director of Allen County Drug & Alcohol Consortium, is responsible for this corrective action. The anticipated completion date is June 30, 2025.

Corrective Action Plan

Views of Responsible Officials and Planned Corrective Actions: The Organization will review CFR Sections 200.138 and 300.327 and develop written policies that align with the compliance requirements. Monique Johnson, Executive Director of Allen County Drug & Alcohol Consortium, is responsible for this corrective action. The anticipated completion date is June 30, 2025.

Categories

Procurement, Suspension & Debarment Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 538124 2023-001
    Material Weakness
  • 538125 2023-001
    Material Weakness
  • 538126 2023-002
    Material Weakness
  • 538127 2023-002
    Material Weakness
  • 538129 2023-004
    Material Weakness
  • 538130 2023-005
    Material Weakness
  • 538131 2023-005
    Material Weakness
  • 1114566 2023-001
    Material Weakness
  • 1114567 2023-001
    Material Weakness
  • 1114568 2023-002
    Material Weakness
  • 1114569 2023-002
    Material Weakness
  • 1114570 2023-003
    Significant Deficiency
  • 1114571 2023-004
    Material Weakness
  • 1114572 2023-005
    Material Weakness
  • 1114573 2023-005
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
93.959 Block Grants for Prevention and Treatment of Substance Abuse $320,200
21.027 Coronavirus State and Local Fiscal Recovery Funds $203,832
93.994 Maternal and Child Health Services Block Grant to the States $101,739
93.276 Drug-Free Communities Support Program Grants $88,579
93.136 Injury Prevention and Control Research and State and Community Based Programs $51,533
16.582 Crime Victim Assistance/discretionary Grants $49,614