Finding 565961 (2024-001)

Material Weakness
Requirement
I
Questioned Costs
-
Year
2024
Accepted
2025-06-24
Audit: 359615
Organization: Charter Township of Texas (MI)

AI Summary

  • Core Issue: The Township lacks written policies for federal awards, specifically regarding vendor suspension and debarment.
  • Impacted Requirements: Non-compliance with 2CFR 200 due to insufficient procedures for federal grant management.
  • Recommended Follow-Up: Establish formal written federal grant policies and procedures to ensure compliance.

Finding Text

Condition and Criteria: The Township does not have written policies and procedures regarding some aspects of federal awards required by 2CFR 200. This includes procedures for review of vendor suspension and debarment. Cause: The Township has had minimal federal grant funding in the past and has not implemented written federal grant policies and procedures as required by 2CFR 200. Effect: The Township expended federal funds without implementing written federal grant policies and procedures, and did not follow the federal requirements for bidding and review for vendor suspension and debarment. Recommendation: The Township should establish formal written federal grant policies and procedures. Management Response: Management will establish formal written federal grant policies and procedures as required by 2CFR 200.

Corrective Action Plan

Texas Charter Township agrees with the finding identified and respectfully submits the following Corrective Action Plan for the year ending December 31, 2024. The Township did not document the part of the policy that is needed to show that the vendor was not suspended or debarred from the Federal Government through SAM.gov before the contract was entered into. The Township has discussed the procedure of policy and has identified that the review and documentation on the selected vendor needs to happen prior to approval of the contract by Township Board. It will be the responsibility of the Township Superintendent and the Township Treasurer to adhere to the policy to document the review of the vendor through SAM.gov. If anyone has questions about the plan, please contact the Township superintendent at 269-375-1591.

Categories

Procurement, Suspension & Debarment

Other Findings in this Audit

  • 1142403 2024-001
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $1.28M
97.039 Hazard Mitigation Grant $1.01M