Finding 565147 (2024-004)

Material Weakness Repeat Finding
Requirement
I
Questioned Costs
-
Year
2024
Accepted
2025-06-17
Audit: 359071
Organization: Family Health Centers, Inc. (SC)
Auditor: Terry Horne CPA

AI Summary

  • Core Issue: The Organization failed to follow its own procurement policy by not obtaining required quotes or bids for purchases.
  • Impacted Requirements: This finding violates procurement criteria outlined in 45 CFR 75.329 and 45 CFR 75.213.
  • Recommended Follow-Up: Implement stronger procurement controls and provide training to ensure compliance by July 31, 2025.

Finding Text

Finding: 2024-004 Procurement, Suspension and Debarment Federal Programs: Department of Health and Human Services Health Center Program Cluster Assistance Listing No. - 93.224 and 93.527 Criteria: Procurement 45 CFR 75.329 and 45 CFR 75.213 Condition: The Organization did not follow its policy governing procurement requirements for the purchase of goods or services. Cause: The Organization did not obtain quotes or bids for certain expenditures as required by the Organization’s procurement policy. Effect: Purchases were made that did not adhere to the Organization’s procurement policy. Questioned Costs: None reported Context/Sampling: The finding appears to be a systemic issue. Repeat Finding from Prior Year: Yes Recommendation: It is recommended that procurement controls be implemented to ensure that quotes or bids are obtained as required by the Organization’s procurement policy. Views of Responsible Officials: Management concurs. Procedures will be updated, and employees will be trained to ensure compliance with the procurement requirements. Contact Person: Dondre Wilson, CFO Anticipated Date of Completion: July 31, 2025

Corrective Action Plan

In Finding 2024-004, a condition was noted in which the Organization did not obtain quotes or bids for certain expenditures as required by the Organization’s procurement policy. Management recognizes the importance of complying with the Organization’s procurement policy. In response to Finding 2024-004, procedures will be implemented to ensure bids or quotes are obtained and properly documented for all necessary expenditures.

Categories

Procurement, Suspension & Debarment

Other Findings in this Audit

  • 565139 2024-002
    Material Weakness Repeat
  • 565140 2024-002
    Material Weakness Repeat
  • 565141 2024-002
    Material Weakness Repeat
  • 565142 2024-002
    Material Weakness Repeat
  • 565143 2024-003
    Material Weakness Repeat
  • 565144 2024-003
    Material Weakness Repeat
  • 565145 2024-003
    Material Weakness Repeat
  • 565146 2024-003
    Material Weakness Repeat
  • 565148 2024-004
    Material Weakness Repeat
  • 565149 2024-004
    Material Weakness Repeat
  • 565150 2024-004
    Material Weakness Repeat
  • 565151 2024-005
    Material Weakness Repeat
  • 565152 2024-005
    Material Weakness Repeat
  • 565153 2024-005
    Material Weakness Repeat
  • 565154 2024-005
    Material Weakness Repeat
  • 1141581 2024-002
    Material Weakness Repeat
  • 1141582 2024-002
    Material Weakness Repeat
  • 1141583 2024-002
    Material Weakness Repeat
  • 1141584 2024-002
    Material Weakness Repeat
  • 1141585 2024-003
    Material Weakness Repeat
  • 1141586 2024-003
    Material Weakness Repeat
  • 1141587 2024-003
    Material Weakness Repeat
  • 1141588 2024-003
    Material Weakness Repeat
  • 1141589 2024-004
    Material Weakness Repeat
  • 1141590 2024-004
    Material Weakness Repeat
  • 1141591 2024-004
    Material Weakness Repeat
  • 1141592 2024-004
    Material Weakness Repeat
  • 1141593 2024-005
    Material Weakness Repeat
  • 1141594 2024-005
    Material Weakness Repeat
  • 1141595 2024-005
    Material Weakness Repeat
  • 1141596 2024-005
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
93.359 Nurse Education, Practice Quality and Retention Grants $1.26M
93.224 Consolidated Health Centers (community Health Centers, Migrant Health Centers, Health Care for the Homeless, and Public Housing Primary Care) $594,593
93.243 Substance Abuse and Mental Health Services_projects of Regional and National Significance $437,476
93.527 Affordable Care Act (aca) Grants for New and Expanded Services Under the Health Center Program $220,005