Finding Text
2024-003: Procurement over Small Purchase Transactions (Mental and Behavioral Health Education and Training Grants)
Material Weakness / Other Matter Noncompliance
Federal Program(s): Mental and Behavioral Health Education and Training Grants
Assistance Listing Number(s):
• 93.732
Criteria: Procurement methods established under 2 CFR 200.320, requires price or rate quotations to be obtained from an adequate number of qualified sources when the aggregate dollar amount of the procurement transaction is higher than the micro-purchase threshold of $10,000, but less than the simplified acquisition threshold of $250,000.
Condition: The College did not obtain price or rate quotations obtained from different qualified transactions for all small purchase transactions sampled under the Mental and Behavioral Health Education and Training Grants.
Cause: The College did not have a procurement policy in place during the year ended June 30, 2024 that required price or rate quotations for small purchases.
Effect or Potential Effect: Noncompliance with procurement requirements could result in unethical purchasing practices or overspending.
Questioned Costs: Undeterminable
Context: We tested 1 small purchase vendor transaction from the Mental and Behavioral Health Education and Training grants in the amount of $13,000 were no price or rate quotations were obtained prior to payment. The total population of small vendor purchases within this federal program was $13,000.
Repeat Finding: No
Recommendation: We recommend the College review its procurement policy to ensure it is in compliance with 2 CFR 200 Uniform Guidance and implement controls to ensure an audit trail is maintained surrounding the procurement of vendors using federal funds.
Views of Responsible Officials: Management agrees with the finding. See corrective action plan.