Finding 553587 (2024-002)

Significant Deficiency
Requirement
I
Questioned Costs
-
Year
2024
Accepted
2025-04-01
Audit: 352185
Organization: North Nelson Water District (KY)
Auditor: Rfh PLLC

AI Summary

  • Core Issue: The District lacks written procurement standards as required by 2 CFR 200.317 through 200.326.
  • Impacted Requirements: Non-compliance with federal procurement standards puts the District at risk.
  • Recommended Follow-up: Adopt a formal purchasing policy to align with the required procurement standards.

Finding Text

Finding 2024-002 – AL 21.027 – Significant Deficiency/Non-compliance – Procurement, Suspension and Debarment Criteria: The District should have in place written procurement standards found in 2 CFR 200.317 through 200.326 of the Uniform Guidance. Condition: The District does not have written procurement standards that are in accordance with the standards found in 2 CFR 200.317 through 200.326 of the Uniform Guidance. Cause: The District’s purchasing policy has not been updated to incorporate the standards found in 2 CFR 200.317 through 200.326 of the Uniform Guidance. Effect: The District is not in compliance with the procurement standards found in 2 CFR 200.317 through 200.326 of the Uniform Guidance. Recommendation: We recommend the District adopt a written purchasing policy to ensure the procurement standards found in 2 CFR 200.317 through 200.326 of the Uniform Guidance are incorporated. Management’s Response: North Nelson Water District has made every effort to comply with purchasing requirements. In addition to these efforts, North Nelson Water District will be adopting a formal procurement policy.

Corrective Action Plan

Management’s Response: North Nelson Water District has made every effort to comply with purchasing requirements. In addition to these efforts, North Nelson Water District will be adopting a formal procurement policy.

Categories

Procurement, Suspension & Debarment

Other Findings in this Audit

  • 553588 2024-002
    Significant Deficiency
  • 553589 2024-002
    Significant Deficiency
  • 1130029 2024-002
    Significant Deficiency
  • 1130030 2024-002
    Significant Deficiency
  • 1130031 2024-002
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $1.18M